§ 48. Mr. WISEasked the Prime Minister whether any calculation has been made by the Government as to the number of persons likely to be rendered unemployed by the operation of the economy measures of the Government; and what steps the Government proposes to take to deal with the expected increase of unemployment?
§ The PRIME MINISTERThe answer to the first part of the question is in the negative. The general reduction of expenditure which will be necessitated by the measures of economy and heavier taxation must, I am afraid, taken alone result in some temporary increase of unemployment. But these measures have been imperative in order to try and avoid a situation which, had it come before the foundation of sound national finance had been laid, would have had a moat serious effect upon the numbers unemployed and the hardships imposed on all classes of 1270 the population. The proposals of the Government will, I trust, enable us to maintain a standard of assistance for the unemployed which, though reduced, is still higher than in any other country in the world, and enable the nation to tide over with less trouble any financial readjustments which it may have still to face. Our attention will be devoted urgently to the measures necessary to correct the unfavourable trade position.
§ Mr. WISEIs the Prime Minister aware that one of our most distinguished economists, whom he himself chose to serve on the Economic Council, Professor Keynes, stated at a meeting of Members of this House last week that the number of persons whom the Economy Bill was likely to throw out of employment was at least 400,000?
The PRIME, MINISTERI chose several distinguished economists when seeking advice, and I listened to them all.
§ Mr. STEPHENrose—
§ Mr. SPEAKEROrder! This is developing into a Debate.