Although nearly three weeks have passed since the Bank of England raised its rediscount rate, its example has not so far been followed by the Bank of France. Nor is it likely to be. There was a remote possibility of an increase in the French Bank rate so long as the franc remained a free exchange. Now, however, that exchange restrictions have been adopted in France, many people who formerly favoured a higher Bank rate have changed their views. They maintain that, once the franc is protected by means of restrictions, it would be pointless to put up the Bank rate. France is now financially insulated from the outside world, and it would serve no useful external purpose to have a high Bank rate.
Text read from the printed page and cleaned; old type leaves the occasional error.