By the end of 1936, industrial recovery in Great Britain was virtually complete. The Government policy of a balanced Budget, easy money and control of foreign lending; together with assistance to certain industries and agricultural producers, though savouring of paternalism was still essentially orthodox and the pattern of recovery ran along correspondingly normal lines. It was essentially a balanced recovery which took in all branches of commercial activity and brought a measure of prosperity to all classes of people. It was not disturbed by any important industrial dispute nor by schemes of social reform for which there was no pressing need and though certain problem: the Depressed Areas, still remai they were not such as to imp recovery.
In the course of the trade cycle) consumers' goods such as food and clothing show the smallest variation in offtake, while semi-durable goods like motor-cars and more especially capital goods, machinery and other means of production and distribution are the first to feel the impact of depression and the last to be restored. Hence no recovery is complete until the heavy industries fully participate. In this respect the British figures are significant. By the end of 1936 Steel production had long since overshot: all previous marks and in 1937 still higher figures were being recorded: there is no sign yet of a recession, nor will there be for some time as unexecuted orders will keep the mills going for months. This is not due merely to re-armament as it is estimated that only 15 per cent. to 20 per cent. of the stea! produced is used for that purpose: it is a reflection of intense industrial development.
Text read from the printed page and cleaned; old type leaves the occasional error.