Labour, in its monthly survey of business takes an equally gloomy view "in its current issue of the country's economic future. It points out that between March and Septem. ber, 1933, 1,700,000 unemployed had been put' back to work. Instead of steady absorption of unemployed continuing, however, there was a set ack. In July, 1984, the unemployment figures had increased by 700,000 instead of still further diminishing, The decrease in unemployment in the first halt of 1933 brought all round benefits. "Workers " bought more from stores, stores ordered more from factories, factories produced nineteen per cent, more goods, industrial profits rose and dividend payments increased". Why has re-employment stopped asks the Jorgan of the AFL. The reason. it advances is "Business men this spring acted as individuals, each managing his Business 40 as) to se:
re possible immediate prof. This means that millions of individual business men have been making every effort to cut costs and favold expense. Also, at time like [present when there is no clear a surance of future profit, business men postpone orders" for' new. chinery "and equipment, make no 1929 production of new equipment and buildings gave work to 3,200,000 who are now idle, These three million when they had /work and income employed" other millions to provide their food, clothing, automobiles and other needs, If business men act as individuals time when prospects of profit are not good, the profit motive tends to hold production to a bare minimum, (Clearly we cannot at present depend on individual initiative alone to start Production and employment, Even though profits have risen " business men are still too doubtful of the future to expand their operations and put large numbers of men to work, "They fear inflation, labour troubles, high taxes, new laws to regulate them." That last sentence might al most have come from the mouth of some employer instead of from the organ of organized labour. There no doubt that in many cases the older Labour leaders do not approve their heart of hearts of the strikes forced by younger members Janxious for personal honour and lory though they may feel compelled as far as their public attitude is [concerned to stand back of them to the full extent of their powers, Shortages AI Round America does not suffer from over production the A.F.L. publication points out. "Living" standards for jour people are in general below the levels of 50 years ago, while ur industries which could produce all the homes, automobiles, radios, furniture, food, clothing we need for comfort level of living for all are running at half capacity. In America to-day there is a shortage of 5,000,- [000 homes and we produced last year only 50,000. There is a shortage of 11,000,000 automobiles, if everyone who wants a car is to have one and in the year ending June, 1934, we produced 2,135,000," Shortages in other articles which make up the American standard of living are similar and there are great shortages also in machinery and production equipment. Here is work for every man and woman of the ten million unemployed for many" years and work which creates its own income."
The AFL, organ finally has a dig at the banks. "To-day, banks refuse to lend to private business except where risk is practically dim! nated and prefer to loan their funds {to the federal government."
What can happen which could change the gloomy picture painted Jboth "by business and labour? Men in close touch with the government have many pet schemes which they [would Tike to see tried. What will most likely happen, however, will be jo slow and methodic plodding to Detter things. Business will be encouraged by a de facto stability of ithe currency even if no official announcement is made, No govern-iment oficial in any responsible influential position has any desire for currency inflation. Business, realizing this; will it is hoped have Jone cause the less for alarm. Then (Continued on page 112)
Text read from the printed page and cleaned; old type leaves the occasional error.