The Economy And Finance of the War Being a Discussion of the Real Costs of the
The Economy And Finance of the War Being a Discussion of the Real Costs of the
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First, the great enhancement in the quantity of imports that we demand cannot be provided by foreign sellers except at a considerably increased real price in terms of British goods. Since we want more foreign commodities than before, we are compelled to give (or promise) more of our own exports than before in exchange for a unit of them. Secondly, tlie shortage of capital and labour avail- able for use in foreign trade threatens to make it impossible for us to provide the necessary exports ; 6o... THE ECONOMY AND and, if this is impossible^ it may also be impossible for us to secure that provision of food, materials and munitions which is absolutely essential to success in the war. Herein lie the real problems of the foreign exchanges. The position of the money rate of exchange with New York, Amsterdam and the rest does not constitute, but merely symbolises and represents them.
The most obvious ways in which these problems can receive a practical solution are as follows. We may rigorously cut down a great part of those of our normal imports which are not strictly necessary ; or, we may divert resources from making commodi- ties for home use and turn them into making more commodities for export.
What to read after The Economy And Finance of the War Being a Discussion of the Real Costs of the?
You can find similar books in the "Read Also" column, or choose other free books by Pigou, A. C. (Arthur Cecil), 1877-1959 to read onlineMoreLess
To quickly assess the difficulty of the text, read a short excerpt:
First, the great enhancement in the quantity of imports that we demand cannot be provided by foreign sellers except at a considerably increased real price in terms of British goods. Since we want more foreign commodities than before, we are compelled to give (or promise) more of our own exports than before in exchange for a unit of them. Secondly, tlie shortage of capital and labour avail- able for use in foreign trade threatens to make it impossible for us to provide the necessary exports ; 6o... THE ECONOMY AND and, if this is impossible^ it may also be impossible for us to secure that provision of food, materials and munitions which is absolutely essential to success in the war. Herein lie the real problems of the foreign exchanges. The position of the money rate of exchange with New York, Amsterdam and the rest does not constitute, but merely symbolises and represents them.
The most obvious ways in which these problems can receive a practical solution are as follows. We may rigorously cut down a great part of those of our normal imports which are not strictly necessary ; or, we may divert resources from making commodi- ties for home use and turn them into making more commodities for export.
What to read after The Economy And Finance of the War Being a Discussion of the Real Costs of the?
You can find similar books in the "Read Also" column, or choose other free books by Pigou, A. C. (Arthur Cecil), 1877-1959 to read onlineMoreLess
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