BLAMES EXCESS IN PRODUCTION FOR CONDITIONS
BLAMES EXCESS IN PRODUCTION FOR CONDITIONS Undermined Purchasing Power Ignored by President of Stock Exchange NEW YORK.—"Overproduction is the basic cause of the present depression," said Richard...
...The reason, he said, was that output is greater than consumption, "Theoretical economists," he said, "sometimes tell us that there is no such thing as a general over-production of goods, since the wants of humanity are rhfinite...
...On the contrary," /he said, "it was the general realization of the downward trend In trade conditions which initiated the decline In security prices...
...ket slump did not cause the present depression...
...BLAMES EXCESS IN PRODUCTION FOR CONDITIONS Undermined Purchasing Power Ignored by President of Stock Exchange NEW YORK.—"Overproduction is the basic cause of the present depression," said Richard Whitney, president New York Stock Exchange, in an ad-flress to the Merchants' Association in this city...
...It is a fallacy to think that by juggling with finance, the whole course of trade can be readily diverted -or changed," he said...
...The ."tock exchange official said there is too great a tendency "to think of finance as a "thing in itself," rather than consider the nation's financial machinery as a facility for the production, distribution and consumption of goods...
...Whitney closed his address by again emphasizing that the stock mar...
...The speaker ignored such popular excuses as the tariff, want of confidence, the gold serve, and the stock market...
...However true this assertion may be as a general proposition and over long periods of time, it is certainly not applicable In specific instances...
Vol. 1 • September 1930 • No. 43
