One of the immediate results of
gold. standard ove ago Great, Brita een that one by ong other Important countries which had previously been fuccessfal in maintaining a" old feurrency, basis have also. abandoned fold, until a. point has now. been Teached at which only one or {Wo countries can be said to be on a. rue gold basis, "A ndimber of the countries which have followed Bric ftain's Tead have, because of the closeness of their trade" relations with Britain, sought. to maintain practical stability of their exchange terms of sterling, so that there is already a large part of the world which, having ceased to be on a gold basis, is now in effort on a sterling basis. "As a result of this situation very considerable interest attaches to the operations of the Bank of Bngland, which is the me strument For putting into effect the monetary polley considered appro= Driate by the British Government. At the tame time it must, be reecognised that the responsibility of the latter is considerably increased, The British Government in framing land carrying through its monetary has now to take into account, out only. the probable. effects upon fraid quotations of sterling exchange, but also the repercussions of its policy in those countries which are Fecking to maintain their currency tata more or less fixed ratio to ster= Ting.
In some quarters the abandonment of the gold standard is repre sented og a release from an intolerable burden, and the advocates fof "managed" currencies are frankly jubilant. It'can, however, scarce ly be denied that the breakdown of the international gold standard has, by. creating further uncertainty Jeontributed to the continuance of the world depression, and the ques tion arises. how best to deal with this situation in order $9 promote conditions more favourable "tothe revival of world trade. The" Gold Delegation of the Leagse of Nations stated in a recent Report that it's impressed by the practical difficulties and dangers of rogulat-Jing earrencies which are not on common world basis, and cly the
Text read from the printed page and cleaned; old type leaves the occasional error.