With the continued fall of the Chinese National Dollar there must be the gravest possible concern as to future developments, and people are naturally asking whether steps could not be taken in Shanghai for the purpose of protecting the economic life of the community. It is clear that should something not be done, and the exchange value of the Chinese dollar be even more reduced all business in Shanghai will be brought to a standstill. What obviously is needed is to provide some form of currency, of a stable value which will permit of the business of the port being carried on, as well as the continuance of municipal undertakings, for it is clear that with a currency which can command only a very low exchange value the municipality itself will find itself in difficulties. There is not only that aspect of the case, but consideration "has to be had for those various public utilities and other concerns whose capital as well as working liabilities are expressed in currency other than that of Chinese, and if from their revenues they are unable to secure sufficient to meet their exchange obligations, whether it be for the purchase of essential materials, Or the service of obligations the economic state of Shanghai may very soon become chaotic. The rapidity with which the original £10,000,000 which was provided for stabilizing the Chinese dollar was swallowed up suggests that the amount was not large enough to withstand the onslaughts which were made upon it, and while there are suggestions that further British support may be available if necessary, there is nothing to suggest that this form of assistance can be carried on indefinitely, and the question naturally arises as to whether local steps can be taken in Shanghai to afford that protection which at the moment is woefully lacking. The idea has been mooted in many circles that it is time the Municipal Council investigated means of establishing its own currency, and while in ordinary circumstances there might be political reasons why this should not be done, the existence of a state of grave emergency, and also of something in the nature of a precedent indicates that this is an occasion when some such action is necessary and justified.
One of the most interesting suggestions which has been made is that the Municipal Council should issue its own currency pegged on either the pound sterling or the gold dollars, or both. The general scheme is somewhat analogous with the systems in vogue in Hongkong and Singapore, where the currency has been pegged to sterling in a manner which by reason of the small amount of "spread" permitted gives the completest control, and proponents of such a system for Shanghai see no real reason why such a scheme could not be worked here. At what The Hythe by-election, made necessary by the death of Sir Philip Sassoon, was remarkable more for the personality of one of its candidates, Mr, Harry St, John Bridger Philby, than because of the result which was a foregone conclusion. Mr. Philby, at one time an Indian civil servant, was originally an aspirant for election to Parliament as a Socialist, but towards the end of June, Mr. Leon McLaren was chosen as socialist candidate for Epping Forest, whereupon Mr. Philby left the party and appeared in Hythe as the pioneer candidate for the newly-formed British People's Party. Mr. Philby is an author-explorer, a convert to Moslem, a fervent Arab publicist and personal adviser to King Ibn Sand. His connection with the Arab movement dates from 1915, when he was appointed Political Officer in Mesopotamia, After the war he commenced exploring the deserts and was the first European to penetrate the southern provinces of Nejd." Nine years ago he became a Moslem, joining the Wahabite sect, noted for its puritanical outlook on life and the rigid asceticism of its members. He is the only European with a house in Mecca, which was presented to him by King Ibn Sand, The British People's Party, which has only been in existence for about two months, has as its chairman the Marquis of Tavistock, and it is reported that the idea of contesting Hythe was not so much with the hope of Mr. Philby being elected as for the purpose of advertising itself. Its two main planks are isolation and a form of social credit, but far from being pacifist it denounces any policy which, might involve the risk of Britons fighting anywhere except strictly in self-defence in its most limited interpretation. The British People's Party may have succeeded in making itself known by contesting such a forlorn hope as Hythe, which is strongly Conservative, but it is an expensive advertisement at that, for securing no more than 576 votes, Mr. Philby must of necessity forfeit the deposit which all candidates must furnish according to law, prior to an election.
Text read from the printed page and cleaned; old type leaves the occasional error.