Show 1 1 1 Sees No Blessing j jIn I In lIt Seasons Season's Drouth According to the Alexander Ham Harn Hami ilton Uton institute there is no Justification jusUfI justification cation for the argument that th the drouth which now seems to have been definitely broken has been to some extent a beneficial development because it has supplemented the gOY gov governments government's governments government's curtailment measures Such an argument says s the institute tute is based on thc pr m mise e that the governments government's curtailment curtail curta ment me measures provide a means of t restoring prosperity because a small smaller er means higher prices and higher prices mean the restoration of normal parity between farm arm prices and manufactured goods prices the present lack of at which is held the chief ob obstacle tace to business recovery The fallacy of this theory is he the assumption that the restoration of price parity at a high level is just justas as effective as parity at a low Jev level Jevel l. l This is not true At the present level of manufactured goods prices activIty activIty activity ity will remain curtailed under any I circumstances The raising of tho the thoI I prices of at farm products through the curtailment of at production means a scarcity of farm products as well a aa as asa asa a scarcity of manufactured goods In other words price c parity at a high level will not not- only restore prosperIty prosper prosperity ity but it will create greater po pov erty From every aspect then th the drouth must be accepted as such an anI obstacle to business improvement this I fall faU that it is not likely to to be over ove come N |