1931-02-11 — Page 7

+

GOLD AS MONEY BASIS.

PROFESSOR ROBERTSON AT

ROTARY CLUB.

COMPLEX QUESTION.

Professor R. Robertson, M.A., the economist at Hongkong University, was the speaker at the Rotary Club meeting, which was held at Mesars, Lane Crawfords restaurant yesterday,

under

the chairmanship of Sir William Hornell. Professor Robertson delivered an extremely interesting address on golt and its relation ship to trade depressions, At the conclusion of the meeting, the hope was expressed that he would speak at a future meeting and

meet deal with the aliver problem.

Visitors present were Mr H. McGowan, from Shanghai, Dr. Wat- Mon, In

charge of a big mission hospital in Yunnaafu, Colonel God- สดก, D.S.O., who has served through

SUGAR MARKET.

THE LATEST CABLED QUOTATIONS.

The following cable at the close of the sugar markets yesterday has been received by Measra. Pen-) treath and Co.........

London Terminals, March 5/84 upd May 6/-% no change. August 6/3% no change. December 6/1⁄2 up 4. Buyers at the above sellers d, more.

THE HONGKONG TELEGRAPH.

THE SZE YAP CASE

CONCLUDES.

POINTS IN MR. POTTER'S

CLOSING ADDRESS.

JUDGMENT RESERVED.

The Sze Steamship Company care, which has been occupying the Supreme Court for some days, con cluded this morning, when Mr. Jun prices:tee Word, aeting Chief Justice, res

New York Terminals,

March 1.20 no change. May 120 no cliange. July 137 no condike. September 1.44 down 1 pt. 1 December 1.52 down 1 pt.

Samarang 10/2/31-The Trust have sold 20,000 tons White 18.25, 6,000 tons Brown 17.25.

accumulated deposits of gold being

served judgment.

WEDNESDAY, FEBRUARY 11, 1931,

STOLEN ARTICLES IN SOCK.

CONFESSED PICK-POCKET

SENTENCED.

CINEMA NOTES.

COINCIDENCE OF LIFE IN TALKIE.

in the John McCormack starring picture for Fox movietone "Song O' My Heart," directed by Frank Dor- zage, now playing at the Queen's Theatre, there is one bit of dialogue that in far removed from fiction.

Arrested while trying to pawn a gold tooth-pick. in Shanghai Street, 4 Chinese, Wong Pak, was taken to the Police Station and searched. Inside his left sock was found a pa- The particular scene takes place in per packet with three gold tooth-

the New York office of a concert picks, and in the right sock a gold Jel, with McCormack and his accom

manager, played by Edward Martin- wristlet watch. Another wristlet watch was

gold panlet, Edwin Schneider, who also found in his makes his screen debut in this picture, right pocket.

conferring with Martindel over the

Mr. Eldon Potter, K.C.. In his! The defendant was produced at the Kowloon Magistracy this morn- finn! address on behalf of the plaining, before Mr. Bulters and charged ti, dealt with questions of law, with having these articles, reason- and argued with relation to the ably suspected to have been stolen, nest notice. That notice, he said, in his possession. fembodied bath meetings, and it was clear from the references he had given that notices of both meetings could be embodied in the one na tice. if a person was entitled to send out notices of both meetings. then they could be sent out at the a time. He would submit that

itinerary of a coast to coast tour.

louse, The Cannt la now molely en gaged a screen work and his volee resounds in many pictures from the audible screen,

As they are leaving, Count Andreas de Segurola forces his way into the offee. "I have sung with him in this is the true art of it. Count de grand opera," says de Segurola. And Segurola actually did sing with Me- A Chinese detective, gave evl-Carmanck at the Metropolitan Opera dence of the arrest and search of the defendant. He also said that the defendant told him that he bnd heen given the articles by a friend. The defendant also said he was a

and, when questioned still further, plek-pocket and had stolen them,

Canton. Witness denied that he Fad threatened defendant into mak ing these statements,

"Song 'My heart." hased on a story by Tom Barry, gives the world's i most popular lyric tenor an error- tunity to introduce eleven song nu- the screen in a scene which is n ro allen of zelf McCormack's concerts in New York City.

eight campaigns in Africa, Canada large in comparison with the annual they were perfectly entitled to do added that he was a jeweller from here, four of which are heart from i

and France, and Mr. G. Hubbard, production

Gold Standards.

The defendant said he and re- reived the articles from a clansman in Canton.

Mr. Butters convicted him and fined him $75, or six weeka' in- prisonment.

The eleven sang

which is a forest manner hat are incipally McCormack wipers are not introduser}

a mort of the story of youth, romaner,

my and the heart,

The pie past includes May- reen O'Sullivan J. M. Koreioan, Jahn fabrick Broll Mischenpla Alice Joven, 6 Eller. Edwin Sahnelder. Emily Fitzroy and others of eqund

ao in the present case.

Dealing with a ruper-technical of the Hongkong and Shanghai

paint which, he said, the directors Bank. The Chairman announced

had taken, counsel said the argu- that Mr. R. Morris, of the Dollar A gold standard, however, muyment was that intemuch as they had Steamship Company, was a new mean different things. Before the seven days in which to convene the addition to the ranks of the Club. war we were accustomed to restard confirmatory meetings, no meeting After announcing that, next Tuen-he gold standard a necessitating could be convened until that seven day being Chinese New Year, there the circulation of gold enlus, Since days had elapsed. Assuming that, would be no meeting of the Club the war we have ceased to regard as was clear, a notice covering two on that day, and that the next meet that is essential, and to-day, in meetings could be sent out under ing would be held on the following Great Britain for example, we have certain circumstances, then Tuesday, the Chairman called upon another form of gold standard, would submit that equally well could NAVAL YARD MISHAP. { note.“ Mr. McGowan to speak,

which might be called a gold bullion the requisitionists, who desired to standard, In each of these, how-call an extraordinary and confirma- ever, the essence of the matter is tory meeting. send out

a noties the same, unmely that the attempt covering both meetings at one and is made to get a value of the money the sable time. unit on a par with the value of the specifle weight of the yellow metal. There is also the gold exchange stan. dard which, I might mention at

Mr. McGowan extended greeting from Shanghal Rotary Club, and sold that they were very favourably Impressed with the good work that the Jungkong Club was doing, new that they were organised,

Professor Robertson's Addres,

|

other

he

There was, said counsel, not a word in the section that prevented this from being done, and no fur- ther notice was repaired to be given to the directors, with regard to the secund meeting. With regard to a first meeting, all they had to do was to cut upon the directors to convene a meeting, and if the direc- tors did But all the meeting, and did not intend to do so, then there was nothing to prevent shareholders from calling one,

COOLIE KILLED HY STEEL, PLATE CRASHING.

And

acts in a manner that no other actress

Miss Lawrence sings, danees

han ever done. She has infinite variety of expression and she can change her moods like an April day, and overy one of them becomes her.

"The Battle of Paris," That delightful musical

comedy star of "Oh Kay" and "The Treasure Girl" could na have been more enter- Laining if she had been at the Central At an inquest on Li Pun, a dock-Theatre, Inst night, in person, present. yard hand, at the Central Magising her initial motion picture venture tracy yesterday afternoon, it was "The Battle of Paris." stated that he was killed on Jan: uary 2, as the result of an accident at the Royal Naval Dockyard,

With three other coolies he was employed in moving a 7-foot steel plate from the storeroom Into the The story is presented in true New engine room. By

Show World form, with a same means,

dazzing which was not established, the plate array of snappy Bongs and music in- slipped through its clamps while terspersed with excellent dialogue.

Georgle in a Paria walf selling being hoisted aloft by a crane. The other coolles managed to dodge the war, with the assistance

songs from the streets, before the pinte as it fell, but the decensed,

of Zizi (Charlen Ruggles). who had been employed for only scamper before u police raid she three days, was not quick enough. meets a young American artist, Tony, He was caught under the plate and

and picks his pocket. received injuries from which he

Returning the next morning to give lied after being admitted

Tony back his wallet, he persundes Ilospital.

her to stay and model for him in his studio.

From They fall in love. then on the story is lively, ending with a wild dush and flourish.

into

Professor Robertson, said:-1this time. This standard essential must apologise for having chosen ly comes to the same thing, namely, auch a depressing subject as this that the unit of the currency is kept more or less related to a certain on which to talk to-day. It is un- fortunate that

of gold. In Hongkong at pre-fixed weight rent we seem to be suffering from words, all these three gold standards various phases of depressions, not come in their essentials to mean excluding climatic depressions, and the same, but, in practice, the last it is possible that some meteberstwa, that is the gold bullion stan-

dard and

the gold exchange On the second part of his argu- have come here to-day rather in a dai mood to be cheered than to be des standarsi, are, perhaps, favourable ment relating to the notice, Mr. Pol- the fact that they ter said he would submit that, on pressed, However, I have avoided owing to entangling my subject with certain economise the amount of gold which the evidence, the directors had matters which are all of very close is available for money.

made it clear that they would have What is the amount of interest to us in Hongkong to-day.

money nothing to do with the confirmatory I have carefully refrained from

which is available for the needs of meeting. They had made it clear trade? It is a fairly common de- (that they would not convene a con- calling my subject "Monetarytusin that money is cash, especial-firmatory meeting because, as far System and Trado Depression," lest

In returning a verdict of "Ac- or currency notes, as they were concerned, the resolu- cidental Death," the jury recom I should be asked, at the end of my bank notrg address, some questions concerning but, of course, the preponderating tions on the requisition were not mended that an experienced member the dollar. I have limited my ad-element in the purchasing media of put to the first meeting, and they of the Dockyard Staff, not neces dress to the matter of the relation country is bank money. That is had and no notice of it.

sarily a European, should always between the sold monetary system to say deposits upon which cheques

By reason of correspondence, the be on the spot when such lifting may be drawn by depositors; de directors knew that a confirmatory operations are in progress, to see and trade depression.

This matter is a highly con-posite an constituting the liabilities meeting had been convened, but they that the plate or other Яimilar troversial one and economists, of the bank. The amount of cash did not take the point then that article la securely clamped, and that bankers, industrialists, and finan-in actual circulation and in the re- the meeting would be out of order. the signal for boisting is given at ciers all hold very different opinions servoirs of the banks themselves, is They had no right to stand by the proper time. on the matter. When I express very small, compared with the actual and do nothing, as they should have

include taken the point at the time. any views, they should be taken amount of money, if we

do. merely as offered to you, not thrown bank credit as we must at you. I have given a certain bank, either by law or by custom, amount of attention to the subject must keep a certain proportion be vin the last few months, and I have tween its deposits and its cash re-

been

much Impress serves. When it lends and when od with the vast diversity of opinionit dincounts, it is really increasing

very

on the subject.

Complex Mechanism.

The question centres round the instability of Industry, and in this connexion with our complex mon experiencing, in the past year and tary mechanism. We have been a half, a very decided industrial depression. That is not un

have precedented. There

been many such depressions in the past, and economists have become ac

Its liabilities and the proportion between its reserves and liabilities declines unless reserves are added to in some way.

www.

DOLLAR COMPANY

DENIAL.

NOT SEEKING CONCESSION IN CHINA.

The Coroner (Mr. Williams) said

such recommendation would be for- warded to the proper quarter.

INDIAN AFFAIRS,

VICEROY DEFENDS THE POLICE ATTITUDE.

In î mad

THAT SILVER LOAN.

(Continued from Page 5.)

Soviet industries on long-term eredits and helping to make the Five-Year Plan a нuccess.

It la essential that future finan- cing in China should be produc tive. Most of the money which has hitherto been sunk in China haa disappeared along administra. tive channels into administrative pockets. Some of the loans have been exchanged for a lien on valu able sources of Chinese revenue, Of their own accord, however, the New Delhi, Feb. 10, foreign powers have relinquished

respondent

According to the Allahabad cor- their hold

on security within of the Hindustan China, and the Chinese business Gandhi's letter of February 4 now be convinced that the old Times, the Viceroy's reply to man, if not the politician, must holds that the requested enquiry order of political imperialism in

Chinn exccans is respect to has passed into alleged police

awny, se A undesirable

The never to return,

basis present.

The police attitude has generally been future leans must be economic.

good. Congrese The question of security exceptionally volunteers in many places have therefore be faced without any not abided by Congress injunc-apprehension of impingement 201 tions for strict non-violence, and China by land-hungry powers. the best course now is to let by-they are persuaded of good inten- zonea be bygones.

tions, the Chinese may be expect- thated to discuss security Congress has not helped to create mosphere cleared of diplomatic

With the gold standard in opera-

San Francisco, Feb. 6. tion, the amount of monetary gold

Mr. Stanley Dollar, president of available for the bank, for reserve the Dollar Line, denied to-day that That is how gold comes into the official of the company and made purposes in the controlling factor. Captain Robert Dollar or any other question of-the monetary machanism. So long as the gold overtures to the Chinese Govern ment for a concession to operate a standard exists, the amount of

flect In Chinese constal waters. money available for the needs of report that such a concession was trade must have some relation to customed to regarding the industrial the amount of gold available to theeing sought was received from cycles, as they call them, as an in-banks for their reserves.

Shanghai several days ago. ovitable accompaniment to our pro-

"We know nothing regarding this The question has arisen as to

matter." sent system. Thesa

"Mr. Stanley Dollar sald. recurring whether the maintenance of cycles are probably connected with minimum proportion of liabilities at company't conducting ne- the monetary system, although it

Kotations with the Chinese for might be rash to say that the whole is a good thing. Some economists operation of ships under the Chi-

complains have that it would be wise allow greater elasticity in this res- China or elsewhere."

Other economists have as- sailed the whole system. Professor

money.

pect.

At the same time, in addition to these recurring cycles, there is the J.M. Keyres, in his latest book. better banking mechanism might longer period movements. There Bads, so as I can understand, that are long period changes in the value the chief factor in the industrin have served to modify the factors of that depression. In any case 1 of money reflected in price levels, cycle is due to mismanagement of do not believe, myself, that the and this, also, may be explained the banking system, owing to monetary factor is the sole factor in briefly at least by defects of our misunder-standing by the banks of the Industrial cycle, although I am monetary system. The question at the proper functions they should of the opinion it is probably the least in an interesting one, as to perform in the country's chief one. (Applause). how far our monetary system is to dustries. be held responsible for the changes,

That in both of the short period and the not enter in detail. I may only

is a mattor into which I can-

Questions and Thanks,

long period in price levele, and the state that, according to Keynes: the speaker had said he belleved Sir Robert Ho Tung recalled that concurring changes in industry. there should ba A certain

The connexion between money

And

Lord Irwin

in

of

-con

If

at-

a peaceful atmosphere, and points ambitions. They should realize out that proceedings on Indepen- that the best use of capital and dence Day, January 25, when the

the Garwals were congratulated, weretion would be insured by enrolling quickest method of reconstruc-

as well as the finan- the persona of an incitement meeting-Reuter. cial

foreigners. New Delhi Inauguration, Would it not be feasible for the

New Delhi, Fob, 10, World Bank to receive a larges began with the ahvoling of four agent of the leading nations and The inauguration of New Delhi of power aufficient to become the columns, a gift by the four great in this dress to associate itself Dominions of the Empire. Lord with Chinn in 'patting in hand an Irwin made a speech before ambitious programme of reconstruc- large and distinguished gathering tion. gratitude of India in which he expressed the derp to the Do- goodwill, and prayed that the

price levels is a complex one,quilibrium between the actual the chief cause of the trade depres- minions for their generosity and

and savings

the rate of alon was due to the monetary ques- and it is very commonly stated that investment, and If the bank-tion, and asked what were the columns would forever_aymbolise the more money there in the highering system does not maintain that other factors?

the unity of the Empire-Reuter. Parin

:

EXCHANGE RATES.

Yesterday. 123.00

25.17 20.44

1034

Previous Day

Geneva Berlin..

7148.08 .24.17% 20.45%

Oslo.

.18.10

18.1014

SİR JOSEPH KEMP TO BE PRESIDENT.

Athens. Buenos Aires Shanghai.. Now York. Amsterdam. Stockholm. A matter of great satisfaction | Vienna.

.375 .344

·1/1%2. .4.86.11/32

12.103

103% 978 84.0/82

1/11

4.86.5/32

12114

18.15.

will This satisfaction

un-Lisbon doubtedly be sharon by the mem-Rio bera of the Sooloty, Preparations Rombay, ..1/5%

Prague.

.84.00 .48.30 :.817 81%

.31.83%

DZ.BT .18.14 104%

18.10% 34.60

48.20

817

17

10%

34.84

92.87

104%

..108.25 .4.0/32

108.25 4.0/32

1/5

the price levels will be. I mean, equilibrium then industrial cycles Professor Robertson replied they by price levels, the general level of are bound to appear. This is bound were such as over-production and prices, taken on a list of standard up also with the difference between under-consumption, which might be commodities. That is merely ex the market rate of interest and the brought about by the monetary fac. ST. PATRICK'S SOCIETY, Helsingfora. brossing a truism, and when one natural rate of Interest. The tor. In addition, there was the of comes to examine the manner of the former may rise but not sufficient-fect of political situations in various relationship between money and ly rapidly to meet the latter. At parts of the world, which disturbed prices, and how it is worked out, any rate, although the question is the equilibrium for markets. There one sees considerable complexity

a complicated one, it seems that, was, for example, nolitical unrest which is not apparent at first sight. possibly, closer attention to the which disturbed market conditions to the Committee of St. Patrick's Madrid.

in South Amerien, China and India, Gold has come to be a generally banking mechanism of country adopted standard in the countries might produce an improvement in That, however, was entirely outside Society of Hongkong, it was learn- Bucharest of the world. It is not of great the manner in which harmony is the monetary factor. The mattered at their meeting, on Tuesday Montevideo.

10 Hongkong.. antiquity as a monetary standard, obtained between money on the one of silver was monetary so far as that a cable has been received

Brussels... but it has favourably "established

WAN concerned, but It Intimating that, Sir Joseph Kemp

Milan itself as the standard of all count-hand, and the ends of trade on the Hongkong

was not monetary in relation to is willie to accept the Presidency Copenhagen. coanother. tries of advanced Industrial type. The question of the future pro- countries with a gold standard. The of the Society Why it should be so is another duction of gold is not sy pressing fall in silver had reduced the pur- matter. The generally conceived as the immediate question of the chasing power of vaat markets, this reason is that with gold as a basis existing trough of depression, and being another factor. of currency, you have not the same with regard to the part played by Mr. G. S. Archbutt, in expressing fluctuations which are likely to oc- the monetary factor in that depres-thanks to the speaker, said he hoped cur in any other commodity-gold sion, we can only say that future that he would speak again later on being extremely durable and the examination may prove that a the queation of silver.

in connexion with the Ball are wol! Yokohama.. .2/0.13/32 2/0.13/02 in hand and it is the present Silver ("pat)...12

12.6/10 Intention to limit the tickets to (forward) 11.15/16 000.

British Wireless:

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GORDON'S

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Special display now being made. D. CHELLARAM, Right Opposite Hongkong Botel.

A Great Compliment.

MUSSOLINI and the FRENCH AGREE that

· WAKEFIELD'S

CASTROL OIL

IS THE BEST.

After exhaustive tests, with their lives at stake, Major Costes and Licut: Bellonte and the Italian Air Squadron of twelve aeroplanes in their respective epoch making flights from France to New York, and from Portuguese New Guinea to Brazil, decided that though their great fights were essentially for the credit of French and Italian aviation, they could not risk using other than WAKEFIELD'S CASTROL, the product. of an all-BRITISH Firm.

The Hongkong Flying Club use CASTROL, Do you, or are you an economic Bolshevist?

Castrol is stocked by all garages. We are Sole Agents" in South China, and a chit or a telephone call will receive our prompt attention. (Tel. 21746).

ROBERTSON, WILSON & CO., LTD.

12.3/10

David House.

Hongkong.