§ 51. Mr. CRAVEN-ELLISasked the Chancellor of the Exchequer whether he is aware that in consequence of the depreciation of the pound to approximately 15s. the cost of importing primary products has increased; and what steps the Government propose to take to maintain the internal purchasing power of the pound?
§ Major ELLIOTThere are many factors other than the exchange value of the pound which affect the price level of imported commodities and wholesale prices generally have not risen in this country in proportion to the depreciation of the pound. In reply to the latter part of the question, I cannot add to previous statements.
§ 52. Mr. CRAVEN-ELLISasked the Chancellor of the Exchequer whether he is aware that, in consequence of the depreciation of the pound to approximately 15s., the effective currency in circulation has been deflated by a substantial amount; and whether it is the intention of the Government to take any steps to counteract the deflation that has taken place?
§ Major ELLIOTThe depreciation of the exchange rates on gold standard countries is not so immediately connected with the movements of the purchasing power of the pound in home markets as the question would imply. The latter part of the question does not therefore arise.