Norwich bulletin., 1920-05-01

10 per cent. in physical units than ln 1917," he said. Coupled with thls oe- creased Production, due to the prolonged strain on our industrial system came d great increase in our export balance ol trade and a great increase in domestic consumption, as our people relaxed from wartime economy and swung to the other extreme. The net result is great CT shortage of goods than at the end or the war"
 Dr. Anderson declared bank expansion has been more passive result than an active cause of the rising prices
 Two mistaken policies in American war financing the responsible for imitation, ac- cording to Dr. Jacob H. Hollander, pro lessor of political economy, John Hop kins University.
 ''The first he said, consisted in is- | suing bonds at artificially low interest rates with aid Nf cheap borrowing facili- ties at the federal reserve banks, so that bond buyers found it easier to obtain ! additional credit from the bA ks to pay their bonds rather than use their saw | ings or such bnk deposits as they already | had.
 ''The second, and more important way 1 in which the treasury contributed to in fiH,ion was by continued adherence, even after the armistice, to its wartime prac- itce of borrowing from the banks by means of certificates of indebtedness. over and above it's unwholesome eff | fects upon the money mrket and upon the nations finances certificate borrowing 1 has aggravated the problem Of high prices by checking or delaying an other wise probable fall in prices-even con tributing to still higher price level. It 41.s.- af Ia font ha a certificates of indebtedness emitted by the treasury were taken almost entirely | by the banks for themselves and their customers and in either event, were paid by the banks almost entirely by credit.
 Construction, rather than reconstruc- tion is the great task confronting this | congress, the next congress, and perhaps the 6Sth congress, Senator Walter E Edge of New Jersey said, speaking al 1 the luncheon meeting.
 Some persons speak of reconstruc- tion," Senator Edge said, but times have changed so in the past six years that even the foundations of industry and business and finance have beer shaken and must be strengthened to sup port the new structures to be erected ir l place of those which were razed in the 1 Senator Edge declared There is>toc much government in business and not enough business in government. 4sra 1 Uncle Sam" he continued must be
 pried out of the shipping business thu
 real estate business, the wholesale an6
 retail clothing and grocery and othel
 trades which he has invaded. His mailed fist must be taken from the throat O private enterprises and his other hanC from Inc taxpayers pocket. Conversely we h-@ that some modicum of business will be injected into the management O
 the governments legitimate public bus
 mess through the enactment of a budge measure on which a committee of whicl
 l am a member long has labored.
 ''The United States must open and cul
 tivate worldwide markets for it's goods
 The people of the United States canno consume the entire production of tn
 land. nor would there be any profit fo
 them if they could, and merely inter
 changed dollars among themselves SC either word markets must be won an
 cultivated, or American production mus
 be curtailed, with resultant poverty, dis
 tress and unrest"