Sept. 2.
Complaints are becoming daily more rife of the Chinese "attempt to enforce jon to their new loans. Realizing how severely Nanking must be pressed for money as a result of the highly expensive campaign at present in progress, it stands to reason that the, tendency to. resort to every known expedient is enormous, and apparently her economists have' been lured on by high-sounding expressions such as the "mobilization of capital" and so forth. The facts of the case, however, give the impression that the method employed not such as to command success. Capital can properly be mobilized! for a national object only' when the immense. reserves built up by industry are in a position to! be freed for special service, but! when it comes to trench it upon that portion of funds necessary' for the purpose of carrying on trade from day to day, the opera~ tion is likely to be attended with disastrous results. Tt is to "be feared, judging from the reports to hand, that the scheme put into force by the Nanking Government, is having the effect. of leating away the working capital of the firms affected by the operation in question, and if continu~ it is equally true that the experience of many who have placed their money in certain Chinese loans has been by no means happy. At any rate the response from this source did not meet the Government's fiscal needs, and the forced Joan scheme came of information can only be approximations: they hi how. ever been conservatively estimated and it is believed that no injustice is done to the com: pilers of the Report, "Nor do the subjoined tables give a full account of all the charges upon into being. The method by] the ratepayers for there are stilt which this was enforced was missing approximate values of that likin and other revenue] hospital payments, exemptions stations were empowered to levy} from the payment of rates, the fan extra four per cent. over and annual value of the pension above the customary twenty per: scheme, and the application of cent. imposed on goods passing exchange compensation to super-these barriers, but with the annuation. The three instances proviso that this was not duty, set out below are not intended but a contribution to the loan, to refer to any individual in the and—merchants according! present employ of the municipal-should receive loan certificate ity, but the incumbent of each bearing interest, in exchange for position indicated is assumed to their additional contribution. be drawing the maximum allow-There is no evading such pay-ances under the headings ments, and it is believed that the "passages," "medical attention" amount already paid by mer-and "children's allowance' 80 chants into the loan is 20 large that differences in marital con-as to constitute a very serious dition may be ascertained by menace to their necessary) work-proportional deductions from ing capital, with the prospect at these items. no distant' date of trade being The three instances follow:—severely curtailed, When it comes to a question of Case 1 such high duties as twenty per Official described on Page 376 of the cent. and over, it might possibly'
Report, 2F (a) (assuming him to be thought that a fractional have served in that rank for six increase would be neither here years, to be married, and to have nor there, and perhaps it was on two children) this assumption that the Government authorities acted. If so, a fatal mistake has been made, Salary at $1430 per month 17,160, Excessive taxation has already Superannuation (Council's had a paralyzing effect on seve-Contribution of 10 per ral sections of the country's], trade, and it is a tribute to the nonce eiaeetls 116
that in spite of all the handicaps! ability of the Chinese merchant] £"2 of)! prem Saver Ave Senry at $17.81—Sl)-...
1,929,—civil war, floods, famine and] yyedieal attention—say Tis. the like, to which the country has"
39 per head been exposed—he has still been Atlowances two children at able to carry on. The days, how-lever, of large profits are at an Tls. 360..ssssseesseee Tls. 15 each per month 500, end, and he has to work on the Exchange compensation 845% most meagre of margins, so that aut this extra two per cent. may even mean that his operations Case 11 show a definite loss. While from the point of view of a balance Official described on Page 374 1(b)° sheet he can show these loan Drawing maximum pay, married, bonds as an asset that does not two children help his present position, for all ry, $3,100 per month..
37,208 that is frozen capital. The num-ion (Counci ber of firms throughout the world 3,720 which have gone under because of an excess of frozen Seric legion, and an increase is likely 198 tobe seen in China if this forced Allowances for Children loan policy is persisted in. When xchange Camp it is realized that it is levied on the value of thousands of tons of jeargo passing through revenue Case stations every week it will be Assistant Page 973 2(f)twelve years seen that it is no small amount, Service, married, two children and that it should cause distress fu the commercial community Salary, $955 per month 10,260 is natural. The hope may be|Superannuation:+.-....+° L260 expressed that the authorities will take steps to remedy Mate of affairs before the dings eheage Compenation 2006 done is irreparable. $19,127
Mr, Hsu Shih-yin his resignation as chairman of the Central Goverai ment's Famine Relief Committee, Children's: allowances are 1 longer given under the recom mendations of the Commission,
Text read from the printed page and cleaned; old type leaves the occasional error.