Evening star., 1936-05-24
FEARS OF FRENCH
MONETARY ACTION
GROW IN BRITAIN
Trade Shows Uncertainty,
Coal Industry Expecting
Loss of Markets.
BIG GAINS EXTENDED
IN HOME CONSTRUCTION
Volume of First Two Months Up
5Per Cent Over Impressive
Total of Year Ago.
,eciaI Dispatch to The Star,

Special Dispatch to The Star.
NEW YORK, May 23.-Cable and
wireless dispatches to Business Week
give the following survey of business
abroad for the week ending today:
Business continues to
progress, but there is growing under
tone of uncertainty.
"The prospect Of French devalus-
ton is reacting unfavorably on the
coal industry, which fears loss OF
markets due to- new French compe-
tition and to smaller purchases of
special British coal by French in
dustry.
when building plans for the first
two months of this year were released
recently, they showed that contracts
for residential building were per
cent larger than a year ago. What
this means to British business is more
evident when it is recalled that build
ing activity last year was 70 per cent
greater than in 1929.
Besides the three causes for the
boom listed in Business Week last
year (cheap money, lower building
costs, housing shortage), the British
now acknowledge a fourth-the in
PRODUCTION of modern selling methods
and intensive advertising by the con-
struction industry and by the build
ing societies which have provided
most of the mortgage money"
French Trade SIackens.
PARIS. THE only industries
which are really under threat of ma
tionalization are the armament and
ammunition industries. The govern
ment already controls the manufac-
ture of gun powder and explosives.
1t is presumed that the Socialists will
attempt to extend this control to the
rest Of the arms industries through a
system of licensing. or even by direct
state monopoly.
Key industries and public services
are unlikely to be nationaliZed soon,
though the government may reduce
their profits considerably through
tariff reductions or taxes.
Business is naturally slack until 1t
is known what policies the new gov
ernment viii attempt to carry through
In general. however. business is better
than 1t was year ago in spite of the
political situation
Soviet Air Force Huge.
MOSCOw.-"The Soviets maintain
a huge air force in Vladivostok and
along the Siberian border. Since this
region also Is being developed indus
trially on large scale, the Soviets
have worked out plans to utilize the
military planes for commercial pur-
poses while they are in reserve.
Center Of the Far Eastern gold
producing region is Bodaibo. Here
gold is collected from the vast Lena
goldfields and from newly discovered
deposits far in the north. Rail con-
nection with these regions is still in
complete and military planes have
been drafted to carry the gold to
Irkutsk and other centers along the
trans-Siberian railroad"
Canadian Autos Higher.
OTTAWA-"Canadian purchasers
Of cars paid s14.000,0OO more than
United States prices. owing to tariff
duties. The implication in the report
is that the industry requires this pro-
lection.
Effect Of the tourist exemption
from customs duty on $l0O of pur-
chases in the United States, made ef-
fective by budget implementation OF
the Canada United States treaty, is
not yet felt. Canadians have to be
absent 48 hours before being entitled
to the exemption and cannot claim ii
oftener than once in four months"