RUSSIAN TRADE: THE KEY TO • EMPLOYMENT.
[To the Editor of the SPECTATOR] SIR,—Your article in the Spectator of June 21st is thought- provoking ; we must not neglect any remedy which may contribute, however slightly, to the cure of our economic ills. But no matter in what way he may be assisted by the State, a borrower has ultimately to come to the City for the greater part of his loan. The City in turn must rely on the confidence of the public.
We saw a fortnight ago how the public, even with the stimuli of wide publicity and patriotic motive, failed to take up the :Imperial Airways issue of ordinary shares made by the British, Foreign and Colonial 0 Corporation and backed with a Government subsidy of £1,000,000. The public, during, that fortnight, has seen the value of its shares drop from .10s. to 5s., and the state of its mind is undoubtedly such that it is not out for gambles, Russian or otherwise.
Your parable of the well-established firm which has been in trouble is apt, if I may say so, but scarcely cogent. The Chairman of such a firm may say : " Let us put the money back into the business because we know we can make at least 15 per cent." But if the Chancellor of the Exchequer were to say that he knows this country can make the equivalent of this in the immediate future, he would have the support of few of its industrial or economic leaders.—I am, Sir, &c., " SENEX " writes has been stated that trade with Russia formerly was rather less than with New Zealand. Now, at least, it would be much less. How can such trade possibly be " the key to employment " ?
[Russian trade is capable of indefinite expansion. The -resources of the country are enormous.—En. Spectator.]
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