§ 47. Mr. Ellis Smithasked the Prime Minister if he will consult other heads of Government with a view to preparing for a World Economic Conference early in 1961; and if, at this conference, he will make proposals for an expansion of trade and the building of economic co-operation throughout the world.
§ The Prime MinisterNo, Sir. While I fully sympathise with the objective which the hon. Member has in mind, I am not convinced of the usefulness of the method he proposes. There is already ample provision for international consultation on these problems.
§ Mr. Ellis SmithThough I am a firm believer in the United Nations, may I ask if the Prime Minister does not agree that it has failed in regard to organising world economic affairs? Does the Prime Minister remember that he himself advocated this suggestion several times between the two wars when the conditions were not ready for such a conference? Does he not agree that world conditions now demand such a conference?
§ The Prime MinisterNo, Sir. We have made great advances since that time in the organisation of international institutions and international consultations, but I am wholly in sympathy with what I think underlies the hon. Member's thought, that we must find a way to increase the basic credit on which the world's production can be maximised.
§ Mr. GaitskellCan the right hon. Gentleman say what discussions are taking place between Her Majesty's Government and the Government of the United States about the dollar crisis and the need for some co-ordination of interest-rate policies between the two countries?
§ The Prime MinisterPerhaps the right hon. Member will understand that the exact timing of such conversations is a matter of some delicacy.
§ Mr. GaitskellIf, presumably, the Prime Minister is referring to the American election and its outcome, can he say whether he will take an early opportunity of instituting talks with the United States Government, the new Government, on this issue as soon as it comes into office?
§ The Prime MinisterI shall certainly take an early opportunity to respond to talks which I hope may be proposed.
§ 48. Mr. Ellis Smithasked the Prime Minister if, at the forthcoming meeting of Commonwealth Prime Ministers, he will propose an expansion of Commonwealth economic co-operation and a Commonwealth approach to the need for increased world trade.
§ The Prime MinisterI do not want to enter into commitments as to what I may or may not say at the meeting of Commonwealth Prime Ministers, where discussion is both free and confidential.
§ Mr. Ellis SmithDoes the Prime Minister agree with me that the countries making up the Commonwealth have been most loyal to the Commonwealth? Has not the time arrived when Britain should take the initiative in cementing that loyalty by increasing Commonwealth co-operation and at the same time bringing about a Commonwealth approach to world problems such as is proposed in these two Questions?
§ The Prime MinisterYes, I would agree entirely with what the hon. Member has said. It seems to be a most irreproachable proposition.
§ Mr. C. OsborneWould my right hon. Friend make it quite clear, both to the Commonwealth and to foreign powers, that on economic matters our greatest need is to export a great deal more and to import less, as is shown by the rather terrifying figures issued this morning by the Board of Trade?
§ The Prime MinisterI think I would agree that the interests of the free world are to increase the total trade which passes between all the countries of the world. What we have to do is not to drift into restrictionist policies when the need is for world expansion.