3 SEPTEMBER 1937, Page 36

GROWTH OF STATE CONTROL.

There is also a further point of similarity, namely, the con- trol which the Governments of both countries have obtained over the monetary _situation and monetary policy, with apparently a mutual determination to exercise that control in the direction of expanding credit and maintaining very cheap money. Of this latter determination there has been fresh evidence only during the past week, so far as the United States is concerned, the Federal Reserve rate of re-discount having been further lowered from IA to i per cent., making it the lowest Central bank rate on record.

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