'A Suggested Remedy recent jolt Couneit kas taken psychological effect in easing the acute rice situation and bringing down prices to a certain, extent, it nevertheless is merely a negative measure, Hoarders may. be compelled to sell and speculators threatened, but the stock of rice in Shanghai is after all limited, and the problem of the supply of this neces Sary commodity is still unsolved. A further sep of constructive nature should, therefore, be taken by the authorities of the two areas in. view of the importance of this commodity connection with the living conditions of the Chinese community, especially wage carers and labour-on 'Although it is impossible to undertake a control of Fee prices due' the peculiar polls! situation, Shang. hal remains © "free market" and the Municipal Governments are at liberty Uo"tatee into competition. with the manipulators by Importing the staple themselves. The plan to be adopted must; In: my opinion, consist of two functions to acquire the sources of Supply." through" the " Governments efforts and to encourage Imports rice merchants. flfling the frst function, r0- duction of "Gast" ought. to. receive prime consideration, "I therefore sug: eat that the Toco suthorties should cavernment Yor' exchange "att te. the Chinese National he GREP Tae fea by te, Zon cof purchase of cee o¢ vera Hua Com Saigon for tne case Sain" SE cram neo Make necemary" arrangements purchase and every facility for bart snipping and Snsurance firms tu order 12), Tavla ce-operation trenton! teal Promtien Se "ae {o'er reasonably tow rated To carry out the above project, 1 believe Ht wil not be a dideult tsk forthe authorities to receive. supe port and" ce-operation from local The first few lots of rice thus purchased ought to be sold at the lowest Possible prices even with a slight loss. By so doing hoarders will have Automatically to push out their stocks. without being warned of the expulsion from the two areas and. confication of their goods. The losses, it-any, on the part of these hoarders fare 10 be considered asa punishment for their greedy actions.
When the hoardings are exhausted, the prices can then be readjusted lowing a reasonable profit to encourage scrupulous merchants to. buy from abroad. In the meantime, the local Governments must of necessity continue to hold a considerable quantity of the staple in hand so as to prevent any future manipulation that may happen in the market, 1am well aware of the fact that there is a deficiency that runs into. several millions of dollars in the rounicipal budget for the current. fiscal year. But the losses that may bbe sustained by the Municipal Governments in executing the above pro. Ject can be considered as a price for the preservation of peace and order.
Text read from the printed page and cleaned; old type leaves the occasional error.