Evening star., 1925-05-03

mary of the most important
news of the world for the
seven days ended May 2:
The British Empire.-On April %
! Winston Churchill, chancellor OF the
exchequer, submitting his first budget
to the Commons. announced the re
turn of Great Britain to the gold
standard. The dominions Il. e., those
which had not already done sol stimuli
taneously returned TO gold; and so did
Holland and the Dutch East Indies.
1t remains to see how soon France
and Italy will Tor perhaps one should
say cam follow suit.
OF course, Mr.. Churchill expects
that the return to gold will boost the
foreign and intraimperial trade Of the
empire; others, however, think that
the return is premature and that de-
preston of trade will result. Credits
to the total of $500, 900 900 have been
placed, in New York, at the disposal
of the Bank of England; 5000, 900. 900
by the Federal Reserve Bank of New
| York; 500, 200, 900 by the Morgans; If
more Is required it will be forthcom-
ing, said Mr.. Churchill. These credits
and the Bank of England's gold re-
serve of f153. 100000 will furnish pro-
lection against fluctuations of ex-
change from speculation or whatever
cause.
The most interesting other features
Of the budget are as follows: Res
toration of the "McKenna duties"
! formerly levied under the safeguard
ing of industries acD abolished by
the late Labor government, the most
important being the duties on the fol-
lowing named imported luxuries:
motor vehicles, films, clocks, watches
and musical instruments; new pro-
tective duties on silks and hops; ex-
tension of operation of the principle
of imperial preference (but so as not
to involve taxation of essential food
Stuffs); six pence in the pound off
the income tax on earned incomes
under $4,000; a supertax reduction
and corresponding increase of the
death duties, and, far the most i'm
portant, a recasting and enlargement
of the system of insurance for the
laboring classes Involving certain
compulsory contributory features not
| likely to please the labor uDionS)
The present value of the incumbrance
on the state entailed by the recasted
system is estimated at G750, ,000. 900
The budget contemplates a total
expenditure of about eight hundred
million pounds, and predicts a surplus
of about thirty-seven millions. In
aiming his budget, Mr.. Churchill did
not permit himself to assume an i'm
portant expansion of trade.
Attacking the budget, Philip Snow
den, chancellor of the exchequer ii
the Labor government, was very sar
castle concerning its protective fea
lures and the income tax and super
tax reductions. He called Churchill
one-time fiery champion Of free trade
turncoat protectionist, and lone can
not but suspect sour grapes) he
characterized the workers insurance
proposals as camoufage for rich
mans budget Sir Robert Horne
formerly Conservative chancellor Of
the exchequer, declared to the con
trary that the insurance provisions
made the prospects of the Labor
party negligible, as Mr.. Snowden has
discovered" It's all in the interpre
tation, you see. Sir Robert was de
lighted, too, with the proposal of ex
tension of operation of the principle
! Of imperial preference, aptly inviting
| attention 20 the reaction of the Unior
! of South Africa to the Labor party.
! contraction OF operation of that prin
/ ciple. Mr.. Snowden was happier IL
| his charge that the new chancellor
had failed to make any constructive
! suggestions looking TO remedy of the
financial depression and unempfoy
ment.
Walter Runciman pointed out TO the
/ Commons that operation of certain
! of the measures proposed would sadly
! affect the chief categories of French
importations in Britain (motor We
hicles, wines and Silks. and hamper
| the efforts to rehabilitate French eX
| change.
The Prince of Wales arrived al
! Capetown on April 80.
| Ono in five nf tho yrhi&ac Of
Union of South Africa who work are
| in government service. The costs OF
government in that country are ex
/ cessive, largely because education is
bilingual, and every official paper
. must appear in African as well as
in English; waste of time as we'll as
of money has to be considered in re
lation to the costs.
The money expenditure of education
is proportionately twice what it is
in Great Britain.
The total population of the union
is about 100000, of whom about
- 100000 are Cauca slams. One hears
much of the Labor party, but its
members constitute but a small frac
: ton of the Caucasian minority.
r The proportion Of Caucasian as
r against the native blacks. the Asiatics
J.. and those of mixed breeds, has stead
, lily declined since 1904
. The ideal of white South Africa
p goes glimmering. The most distress
: ing aspect Of the population problem
: is the steady increase of the proper.
@ tion of poor whites; they probably
q constitute 10 per cent Of the eau
= casians, with a growing fringe
), The philosopher will attribute this
= condition to the obsession of racial
superiority. A growing number OF
Caucasians, assuming themselves tc
: : be of superior race, are content to let
!. 1t go at that and to do nothing to vim.
dicate the claim. Many Of them live
like beasts, while the number of
J skilled artisans of color mounts rap.
! idly.
There are elements of reinsurance
but, on the whole, the present phase
Of the union is gray and gloomy and
the prospect is fearsome.
: The comforting of the baton of field
| marshal on Sir William Bidwood upon
. his appointment as commander in.
chief in India is a thing without
. precedent. Others have been so hon.
! ored on relinquishing that job: none
, on undertaking it. This departure
, | from precedent is of particular sig
nificance. 1t is apprehended that Sir
William may have need Of the pres.
: tige attaching to the highest rank to
supplement his demonstrated military