The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1927-06-25

THE policy of the gradual revival of the Ira"
announced by the fascist government has in
practice led to a very violent rise, which, however
has not only failed to effect the economic recovery
of Italy but has made the industrial crisis stiil
worse.
The sudden rise of the Ira not only strikes blow
at export industry, weakening its competitive ca
pacty on the foreign market, but creates state OF
INDIGESTION and lack of faith in the morrow in the
whole economic life Of the country on which rapid
dcfation acts just as dsastrously initiation. The
rise of the Ira is in itself unhealthy sign being
as it is not the consequence OF financial and INDUS
trial settling down, but the product of artificial
measures chiefly innumerable foreign loans, on such
a footing that the foreign currency falls into the
hands of the italian Bank" the fascist govern
ment's financial instrument thus enabling IT to
speculate in the Ira This speculation is among otter
things source of profit for the fascist business
men and tends to form a secret government for
fascist agitation and dark Vaccinations at home
and abroad
One of the consequences Of the unhealthy growth
of the Ira is the discrepancy between its nominal
value on the foreign market and its real purchasing
power at home. While the Ira stood at "a gold
centesimi on the foreign market in March last, its
purchasing capacity in Italy lat wholesale prices)
was only II cents. Even the most cautious spe-
ciasts never weary of lauding the wisdom OF the
government have been forced to admit that il this
discrepancy is not compensated for by lowering
of prices it will inevitably lead to another fall in
the Ira If, however, wholesale prices cannot cope
with the rise of the Ira, retail prices bear still less
relation to it. The campaign for lower prices so
long waged with Underwriting success by the fas-
cist government press and trade unions has up to
the present shown real results. Special shops
for the workers. limited prices, threats to the re-
tailers and other palliative measures have so FAR
led to nothing substantial.
While the Ira stood 30 per cent higher in Febru-
airy last than in the preceding August lin ratio to
English pound) the index of wholesale prices during
this period had fallen from 69135 to 600.S5 lie, II
per cent and the average cost of living index in
Italy (27 towns) from Isl to lat, ie- two-and-a-
half per cent In Milan the cost of living index Tar
from falling even went up from 652 to 667
ATTACK ON WAGES: The employers have
long been working at the lowering of prices in their
own way. The argument as to whether the lower
ing of prices or the lowering of wages ought to
take precedence has been answered by them in a
practical manner by attack on wages unfalter-
inglv and great deal more successfully than the
struggle for lowered prices, carried out, either IN
spite Of or with the assistance of the fascist unions
At first the government organs and fascist party
kept officially out of this attack in some cases even
irving to moderate the zeal of the employers. The
Supreme Council of the Fascist Party passed
resolution against the lowering of wages until the
cost of living should down Tin spite of which,
however Belucci Minister for National Economy,
was able to announce in March last that wages had
been cut by efforts of the employers, in 81 prov
inces).
In his March parliamentary address Belucci APP
pealed to the employers notto take the line of least
resistance ie not to try to bring down prices but
cutting wages, as industry required an extension
of home markets. The greater however, the strides