}

AMERICAN ECONOMIST'S

IMPRESSIONS OF UK

A paper entitled "The impressions of a very well-known Amarican econom- ist on Britain," in which the writor describes Britain's economic posi- tion today and its possibilities in the future, was road of the Rotary Club luncheon at the Roof Garden yesterday by Rotarian P. S. HIL. The author of the papel, whose name was not rd-'I

vealed, said that Britain and the United States were an unbeatable combination 'ond between them had the answer to Commun- ísm.

He said: "Our goal must be frear trade; our moans, the increase of imports and invost- ment. Our hope: that the expansion of world trade will provide security and renow ed strength to our essential ally." The paper is as follows:

know

us

the name

THE CHINA MAIL, WEDNESDAY, AUGUST 30, 1950.

Reminders

Today

By pushing and prodding her which is clearly enough to be in- own people, by.. pleading with ferred from the day-to-day da and Beraunding her dominions, velopments of Brital foreign Wertly negotiation with other policy 4 tuntit várbus piecas trela, by penalties and taxes, by equal

py exhortallon and con- of thila

edit and 'thportance. -

design are not of

Bilocation, nild restriction by

ver, be austerity rarely

nid un-permitted to break, the pieces are fortunately, by the use of alven forties, it s traditional incentives-England brought her- Bellish polley to take.

Toe meeting, 5b, Macdonnell I self to ho point wherɑ, now the canong its allies but ↑

Road, 8.30 p.m. Women's Section,

10 am.

1

is well on the way to internal European and external solvency. YMCA, bridge-najong drive, | **

Even with the expensive over- Nine Dragous Services Club, ride of Socialism and, elaberate included within the Brkish Emdruncing class, p.ro.: boxing, welfare steina, her domesti et 7 pm, boxing champion-budget is balanced. Thus far sho pire. What Austraila, New Zen-

ships,

nas lived through devaluation Bp.m. land, South Africa. Candida. India and all the rest night have been

.7.45 pin. by now is a challenging thought. What they still may he is equally Excling.

te that as it may, within the hourt of the Empire, England. where the decisions were made, the defensive choice was taken In severat Important respects.

"The management jor industry, "Another, seving

as 1 faced growing competitior "I just returned from England country and the same people might have ret that competitor. and my Impressions are not a Bais England anation with Bpressively. Instead, all too fre little confused. It is difficult to balanced budget internally, fast auently, it rought the way out rounded view of another attaining viability in its interna was often afled and abetted by through protective cartels. In this get u

The sil country.

tional accounts, the home of t from their experience with our quality products, brilliant techno-government. The cartel roluilon

-I's that

were stationed and logs, full employment, with a pro- of dividing an existing market toyed there during the war, from nising lavestment programme, instead of compellig for it and Hollywood's Interpretations of our nation with a standard of livinge drive to Improve technology. expanding it took away much of culture, from tourists gawking at serand only to our OWN. and

and lower la Ben and complaining abou possessing incredible skilt inseck ent savings. the plumbing, and from the oe-government with Which it has prices. Anet though for several epsioni visits of American public beca successfully working its way decades British companies profil They learn about us put of a situation that would have raten have beer: high, even by figures.

U.S. standards, cartels and re- from their prew, which doesn't cored any other nation. hesitate to emphasise

strictive trade associnilon activity- The irrespon "What one thluks of England. ponsibllity of a

llity of a Congress that ties therefore, depends on which it has left a herliage of obsolescens ECA appropriations to the parti- of facts one chooses to emphasise machinery and light easily tlun of Ireland, and they neces-Let ine run through some of the tion which makes it increasingly sarily have a biased, na incom- main points, which from our paint dimeuil for English is to cum- TE On pleie, and somewhat envious view of view of estimating the strength pete in world markets. of America and Anuricans.

nt au ally, seen the nost m-fact worth mentioning that Eng

land's share i world manufacture portant. To begin with:

hos declined steadily ever aines the 1870's. That is not dynamle

"By the same token, our view of Britain, however objective we try to be is Imited by our pre- judices, qua: by the scattered 'and perhaps

facto unrepresentative that came to our attention.

"One man can go to England and come back with

a dismat

Great power "Britain is a great power witn long experience in acting like one. Its supremacy as a maris time and trading power dater from Queen Elizabeth,

captur in In turn, has also taken a a defensive view. The grim experience of depression and doic in the 1920's left a deep mark on the British working man. And

Paing having to inko siny, final Whenever,, on mor matters, ed Isinavitable, the priort- In English

es, are clear

Firal Engian Next→→→Thp Empire. Then Western Europe. And only then The United

Union Jack Club, whisk drive. Without laternal infation, site, bal States.

and

6:15 p.m.

grophic exhibition,

maintained "full: sripleynient ----

We take this last place, not because we are Important but because we are less poke Teliable and less predictable. England, at present.

NAAFT Club, Kowloon, darts samo say hyper-full employment. tournament, 8 p., Servicee the line rebuilt her industrial

machine back to where it want Spotlight, D...

Externally she HK Art Club, monthly exhibition before the war.

dare tie to clorly with us hp: Christmas Cards, St.ns nhsorbed the drain of un- John's Cathedral hall, 10 n.m.requited exports to areas holding.

war-created sterling balahides and

caure, aké lo nevar sure what to 8 p.m. (admission free).

what we are being to do next.. she has reached the point where Sine-British Orchestra rehearsal, viability is in sight by the end

"If we keep the ting system.

in of St. John's Cathedral hall, suraball, all in 1902 Shnky mind, and The prioritica al- viability, to be sure dollars wil tach to lt, many of the confusing, Peter Teang's one-man photo-still be sculely short, but it will and to us, upsetting and anta- Plotehon solution she en live with.gonising polloles, that England bos graphie Society of Hong Kong,

adopted in recent years, are gasier 217A, Prince's Bldg, 10 nm.

· “Frankly, most Americans tako to understand. But our

problemi exception to some of the methodn is that the

form those policies Coming events

by which England, has accom- take doesn't always work to the plished Its crida. Few of us would interest of the United States. **TOMORROW`

like to live in England today. And we have to decide w sue that the latest election has hov Aud most of us were relieved to

{"port the ring,

cand try to arrested the drift to Socialism.muscle in on it, and dominate it.

Whether stom We hope that the present stalemate or whether to break it up and wil be resolved the older way establish our own system. Theat and that the next governmen? will offer inore of the carrot and are the basic alternatives of our

foreign

polley. me be more specific: less of the suck. Even the pr aunt Government is leeing come of its fall in planning and con- trols and is relying thereazingly |

:

Kowloon Rotary Club, luncheon,

Fausula Hotel, 12.30 p.m. HK Art Clib, monthly exhibition arid 'Christina. Cards, St. John's Cathedral hall, 10 p.m. to 6 p.m. (admission free), NAAFI Club, anooker tournament, 7 p.m.; dancing class, 7:30 pan. Union Jack Club, tombola, 7.30

p.ni

Nine Drogons Services Club, games competition 7. p.m. HC Women's International Club, bathing plenie for. Forces. buses leave at 0.30 p.m., and 7 p.m.

Grainophone recital, Diocesan

order

Boy's School, 8.15 pm.

hold their

on business initiative to solve.

ising a peculiarly position in the non- world and is well

there

critical problems of increasing aware of it. She is no longer the productive capacity, and Increas-dominant great power. She lacks the strength abe had and is

once dollar exports.

grimly

delénsive actions Oghting But like her methods or not, to protect her position rather approve of her pelilles or not. than 10 we cannot fall to respect her ac- try to expand 11.

"During.

recont complishment and to resignis0|1ins

been # considerable amount that with all of her troubles in of economic friction between the past, all of her dificuliles of Britain and the United States. In The Present and all of her prob- the months

It is FREY to come, it come, England, and her can, point to her post-war preses a, good dont more

Our conception of the.

In Own

Jez

story of austerity and Socialismctures begen when it got thebeatis, of business, government the rest of the world it started →of oppressive fixation, antiquai-

www jump on the rest of the world in officio's. economists and journalists;

all duplong about further growth an avalanche of bilateral trade

ed nachinery, low productivity, the dustrial revolution.

Our

lupe in Industry or manu- when he saw others around him world markets. And through people, and bol up her head eurtels, lollar gaps, and decline, Colonial strength and its Empire for England. He took their alguns, retaliatory, and de. I proudly as one of the still great War world-and. Paul,.

He sees a nation whose resources

Its

ԸԸ

Always consist of little incre that cond started with the great explorers and put in his bird for security. In The sort of arrangements which have maintained coller a worthy

ys uneconomic powers of the world and as

isrand desirable ally. gende cont deposits, some pottery and continued expanding through the factory this took the form of

Hjalmar Schacht his re- elay, and the great dead hand of the reign of Queen Victoria. Al resistling the introduction of new bavo

ila peak before his first world

Britain's place processes putation, and which finds us tradition.

new machinery and war, England was the banker and whenever it mitit cost seincons today with a world where

BUZI London was the financial centre his particular to. There are those cach nallon tends to be on uu- for most of the world. And the who also say it took the for not surrounded by trade barriers, of torchle little economic island, pound was the principal inter- festherbedding, ca'canny, national currency, For several

quantitative restrictions veral working too hard on the job, tariffs, qua centuries British

fingers have oaking a given task last for fear and currency controls. been in every political and econo-there night not be another-all of

a little have spent a

extra nic ple of conséquence in China, which are defensive tactics igult- time talking about these defeu- the Moslem work, the Hindu ble for at hidividuat without sive, decisions in England: Indus expressot (in a speech I heard world. Africa, most of Europe, hope for the future, but in the try turning, to carteis instead of

San

Honolul

Wake

Guam

Manilla

34 HOURS AWAY

25 HOURS AWAY

17 HOURS AWAY

· 10 HOURS AWAY

-ட்

4 HOURS AWAY

CHOCKS AWAY

PAL

AND ARRIVE. "FEELING:FINER

PHILIPPINE AIR LINES

די

on this

of

among

to

Hollman

free economy with a minimum of point is of an expanding a been an eloquent spokesman

trade barriers and a maximum mutually soltanations

the Individualé.

this goat. but shows ni Intention friendly nations of all "For purposes of négollation Britain is willing to subscribe to of uccomplishing it on our terms.

Dollar gap

of course, is yes, ut not an un- "But does England, for her part, wish to be our ally? The answer. qualified yes. She has no inlet Lon of being a tall, fo', our kite. Brilath's notion of her place in the world was very colourfully Winston Churchill make during "Where we cry for free multi- ana, except for the United States. aggregate, when adopted by all competition, labour seeking the last election campaign. Speak lateral trade. Britain, to protect the Ewish-speaking world. It's workers, serlaus

ans impediments to security

rity instead of productivity, Ange only about 300 people in a the remaining place she has in akugcessful mission to beca, mobility and to the Increase of government choosing protection schoathouse auditorium in hul world markets and to safeguardi

safe to say that if there

moon

ntury

because

lonies.

productivity without which instead of free trade,

own constituency, he developed her internal economy against dis at the turn of the 20th'

locations, keeps. her controls, her vennoine system cannot grow they not only help describe cen- his anology of the three rings. that one of the first to land would This attitude on the part of labour tral trends affecting the British Without mentioning Bollanting traile barriers and Scotister have been a British Consul,

has had its political munifesta

they also point to dan-Ale by name, he sketched their bilaterally with other countries, This didn't happen by accident, ilon, too, will the emergence of gets within the United States, symbol of three Interlinked rings. We haven't yet got over our dis- And Eritain didn't maintain its British Socialism under a Labouri preeminent place in the world for Government-with its fellan of Now that we are a leading world but instead of what is it, Purlly taste for the Anglo-Argchiinlan

Over and,- i in part

must take Body and Flavour? Re Identifed deals.

"Where we pters for the econo- ve centuries by sheer luck or full employment and its extensive

place,

It is important ip each ring in a different fashion, Juri by

Jntegration of Western "miduling through." and expensive welfare pro- ronise that, wo bavo. much Coinmonwealth. the United King-| Europe, for a European Payments}

"One ring, he said, is the British mic. To Military and naval power, an in-grammes, dustrial end-start, un economic

her example. We enn hun what to do, and what not gum,its Dominions and is Co-Union--and eventually for con In a trap

Jeurn system grounded, on individual

"Desirable as full employment to do. If we are vise, we needn't Incentives, the expanding force of free trade, and great political may be un humanitarian as the copy her mistakes. If we are alert skill all played their part. In ex-programmes of social welfare, the to the problem, we'll continue to panding and sustaining British In-point is that of the two ways of place our bets on. competition, in sistence. There is much. We can attaining them, the expansive way creasing productivity, and freeing

and the defensive way, Britain, world irade... feurn from thelf example-and

"But back to England: verture, to say that it would be d'under the Labour-Government good bargain for the United States chase the defensive way of divid- If we could swap some of ouring the existing ple more evenly resources for some of that British rather than bending all its ener- ski in governing-aud expericles toward the baking of a large: ence negotiating with other ple.

Revertheless, we must realise that some of that British pre- enilence has begun to fray at the edges From its peak in the early part of this century, British power has begun to decline.

The long-ranke hielbrian moy project this fact into a prediction

"But long before a Labour Government came to power with; Its programme of austerity and controle, other administrations fall into the defensive trap in avory important respect. And we in the United States helped push them into that trap.

* Page 3

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vertible currencies, Britain. In- The second ring is the bloc of sisis on seedel projection for TRIANGLE TRADING CO., FEDERAL INC., U.S.A. nations known as the Western sterling, and, with it, maintenance European democracies; the United of her donation over trade in Kingdom, the Scandinavien coun- the steriing area and most inofu less the Low Countries, Franco currency countries., The running And Italy the recipients of Mar- disagreement between Hoffman "The trends I have talked

ahall Plan aid the European and Harriman on our elda and Sir theirs hao members of the Alontie Detence Stafford Cripps on reach some time Packing he identified as than

Bearly hamstrung the OFFC. They are long The third ring he

about back in

range UR 15. 10. Des the English-speaking would. In 1

fore their pressure of 130 with the United States.

"far-war, and; steifect, ha incant, Britain together

was

that

exerting British economy. The war llaolf "Churchill's point accelerated the decline of Bri-England-or to be more strictly tish power and brought about accurate, 23

the United Kingdom-Is samo major Internal changes, esscutial member--and h "Britain come out of the war would have it, the central brain.

weakened capital af each of those three rings, What

by

obsoles is more it is the silly nation, that

with a

"England is not a self-sumclent plant into replacement, is a member of all three. If you

economy.. She must import food cenico,

thut is not the problem generation. Our problem is that a century and a quarter, ever since

a declno' hos bbguh-and

tho the 1820's, England has had

on verseas resources, her 1 England." And "Uhe-maintenance

(Continued on Page 11

JUST WHAT YOU HAVE

ALWAYS WANTED

MURRAY'S REACHES HONG KONG

IMPORTANT STATEMENT.

that within a century for "to" End to eat and raw materials to pro- and war damage. There, Mor JIR RON them in the Ballantine sign. innd will be another Venice or at best a Holland. Fossibly so, but cess and resell. To live, she must equal or even greater need for the central part of the design,

for the saine

reasons. and the means of linking them, of our trade with the outside world. For

claims, had been liquidat of those three linked rings is, in the grand United States may have to offset in uulavourable (balance of trade; ed and drained away, and she, his eyes, the key to

world strategy agoinet Communism. or pick up the pieces.

she hus imported more than she the onetime creditor or coursć Churchill is not at This is not the place to try to has exported. And she has made had nearly £4 billion of

in power and his views analyse all: the, ressons for the up her balance with the invisible) debts-claims in sterling on her not always representative"af) waning of British power. The ate items of trade, shipping fees future production. And suệ hid

A population Hát demanded his country's policies (where trition of twoj wars played a part foreign investments, interest and so did the rise of super industrini dividend payments, and all the political change, with emphasis only ahead of his times)--but Murray's Scottish Beer is now on sale in Hong Kong powers.England's original indus, flows of gold and funds that are on full employment.- trial strength was based on coal connected with her position us and security steel and textiles Germany and cial centre of the world, From creditor nation and as the fan-

liin löng tee sleppad die neces-At long last you are getting the chance to taste the United States, richër in prej sources and capable in techno, lier excess of imports, if it worth! logy, and to

To get on, hex-feet: pran, the this world-famous beer shipped direct to you for with atrussing, she enhanced her stand- wealth

has had generous. help-from-usi three-Thigs analbay, as if it were your enjoyment. Ask for a bottle to-day and taste became his state

prd of living

te of affaire was after the end of Lend Lease, she oficial, regardless of which party ources and -capable In tecline- markets. New major industries brought alfold and matutalded had the But this in power, now or after the next the goodness of a good beer.

polley, of boj trude Eh it's ECA ald. But imost of the lobelcabi ardse oil, chemicals, automotive. by

of

Iair shares.

at Amazing job

they differed in the past he was

In matters of foreign policy,

Tho

elty approach-fanother les-

electrical-in which England hat land put her econdiny at the tile she has had to do herself. And The priorities

neither the headstart, no, the res resped the greatest bench From bit of political and economie Im

posal of the wilole world Bud her success to date is an amazing ----- sources to become the dominant 1870 on, when

Arab- provisión". ****

ProducerĄ"long; déprézélön "is) | Tahed Indutridien 31b (Jee!]

government to provide some, pro-

the 20's shook: the fabric of fred Amedeon and German enterprise and established tramatic fear

"of insecurity.which

etion, pressure began to be put on still has its polilicht) teperous tection. But as 104,68=1031" Bil- clóns, Nationallitte 1 strings tain was predominantly a freq among subject peoples and der trade nation; the exceptions wer mands for self-government among stod.

the Dominions loosened the ties But in 1932 under the fore of the Empire. All these things of world economie depression, have wonkinied Britak'a grip!

when the pound was shaky, and. England had been driven of the in defence own ill-advised

***** Cardinal kin~

"But, most important, and hero gold is an object, lesson for us-in the against United States, the British people Smoot Hawipy high tariff policy, and the Brigh Government England swung away from free committed what for a capitalist trado, and criablished the Im- Thereafter, country, is the cardinal sin, the portal

`accepted, ás k permaneat fact thuệ | the which fort

their economy had stopper drów over a century and demonstrated ing and went on the deferelve, the superiority of treo trude, be

came almost Wholly protected,

brit

-his

"Ona point which Churchill

neglected to make explicit, but HONGKONG BUILDING SERVICE LTD.

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