é”?

I PRICE CEILING COMBATS INFLATION

SPENDING AND

PURCHASE OF VICTORY BONDS Urged by J. A. McLeod

[Prpsirlcnt AT

of THE BANK OF NOVA SCOTIA 110th ANNUAL MEETING

111M"!

nnual address on February Uh, qfler discussing business condi-

Md m» effects of shortages and controls, Mr. McLeod spoke in part

“follow: Prices Risdin 194-1 use of the growing scarcity dfimr and material luPPllWv w, year just past brought to the fore till llircnt of inflatfion. léor . - ‘s1 svm tom o scarcl y: mflaflcn 1 i _ P it _ because people try to b u y m o r e goods and ser- vices than are current- ly avail- able and it inevi- ably re- sults in higher p r i o es and in- mnsing costs of living. In 19:11, u» rate of spending for aivlhan as continued to rise and, while civilian production expanded lug-espouse to the greater demand, ltwas increasingly handicapped by material and labour shortages. Furthermore, prices began to rlse quite rapidly in the United States mi this naturally fostered the pWBICl movement in Canada. The result of these and other influ- ences was the appreciable increase in wholesale prices and the cost of living, which gathered momentum is the Spring and Summer, and whhh led to the establishment d the price and wage ceiling."

'l‘hcPrice and Wage Ceilings

‘The policy of “ ' " " the . pales a-nd wags ceilings was a bold mi courageous one and its objec- tive should commend itself to Canadians in all walks of life. Instead of the selective approach which moans s. continuous and widening struggle with rising prices, it was decided to take im- mediate and decisive action now l and to attempt to achieve price stability.

"Perhaps the most immediate poblem in regard to the price

has been what might be called the momentum of rising prices. As businessmen know, re- tsll prices tend to lag behind wholesale prices. The retailer does not. necessarily raise his price as soon as the wholesaler or manu- facturer raises his. He is likely to have an Inventory bought at the previous quotation and he may wait until it hnsrun off before marking up his retail price. Similarly, the anufacturer does not change his selling prices every time his costs of raw materials and labour increase.

"1‘l1us the effect of freezing retail lrices has in some cases been to narrow operating margins sll the way beck to the primary producer ‘ssditiswiththissortcfproblem that the Wartime Prices and Trade Board has been mainly concerned since the policy came into force. 0n tho grounds that to allow frequent upward adjustments vouldbetonecesaitste many more Ind would involve losing the battle st the very beginning, the Boprd has taken the stand that retail prices must not be increased except in extreme circumstances. This has made it necessary for the Board to adopt a policy of facilitating a isir distribution of the "squeeze" below the retail price level and of encouraging reductions in costs ‘ through standardization on s 5 lmallcr number‘ of varieties and through elimination of frills and unnecessary _ _"

i | REDUCTION 11y

i. A. anuzon

Must Have Co-operstion

“The success of the price ceiling depends greatly upon the succel of the wage ceiling. Indeed, the two r " ' cannot be conside u} separately. Another major problem is the q " of insulating Cana- dian prices from further advances In the United States, for even under wartime conditions it may be some time before that country develops fully effective controls over prices and wages.

“It is too early to see just how and in just what form the price and wage ceiling will develop, for it is necessarily pl ‘ing on the basis of trial and error. It demands not only firmness but a high degree of intelligence and impartiality in administration. It requires the fullest co-cperation from the businessman, the worker, and the public at large. In making the sacrifices which are certainly in- volved, lct us remember that it is the war rather than the price ceil- ing which really makes them neces- sary and that the success of the new policy will bring great and lasting benefits."

Ceilings Not Complete Solution

“Important as the price and wage policy is, it does not and cannot solve all our economic problems. Rising prices have been a symptom of the basic problem, which is the growing rate of spend- ing on a progressively restricted supply of civilian goods and ser- vices. The price ceiling should reduce spending to some degree, in that by removing the fear of higher prices, it takes away one of the for r ‘ “ve pur- chases both by business and the public. The wage ceiling will tend to stabilize one of the factors which has contributed toward the higher rate of spending. Nevertheless, it should be remember “‘ that the principal factor which has con- tributed to the increase in pur- chasing powcr remains, namely the great expansion in employment. It follows, therefore, that the price and wage ceilings in themselves cannot bring the rate of spending Into line with the available supplies of civilian goods, and unless the rate of spending is decreased it will exercise considerable pressure upon the price ceiling itself."

Reduced Spending by All, Essen I

“It is perfectly clear that the Government's rigorous tax policy is contributing toward a restriction in individual spending. But heavy as taxation is, it alone is not cap- able of bringing about the neces- sary restriction in spending. We must continue to rely greatly on voluntary means of curtailing spending, that is to say on divert- ing income through the sale of both Victory Loans and War Sav- ings Certificates.

“In a fow days the Canadian people will again be asked to lend a huge sum of money for the war. Let us resolve to subscribe to the utmost of our ability and to see that our subscriptions result in the fullest possible reduction in our rate of spending. By so doing we shall contribute to the success of the price ceiling and of the battle against inflation. Above all, we shall be playing our part in in- creasing the war efiort and in winning the battle against Hitler- ism. The Victory Loan is s. test not only of our appreciation of the economic necessities of war, but of our will to survive as a frce

people."

BIG DISCOUNT SALE

_..()F__

WINTER

GOODS

TllllRSDAY-TRIDAY-SATIIRDAY

CHILDREN'S WOOL DRESSES

(All Sizes)

JUNIOR CREPE DRESSES Sizes 11-13-15

COATS AND

GIRLS’ SNOW SUITS

SERGE SKIRTS (2-6 yrs.)

SE Rea $1.49 for RGE SKIRTS 1-1 . Ree $1.93 (for. 0 m)

1/3 OFF 1A OFF

1/3 our 98c

$1.49

TABLE sonar \RTICLES TO CLEAR AT 29c, 49c AND 98¢

"m" IIDLMES 15° QUEEN ST.

MISSES

BRADLEY

PHONE 92

THE_ ‘CHARLOTTETOWN

DEIITRAL GUARDIAN

This column ls reserved lur new: ol Ml! Interest. but ldvartiling of a newly nature Ill! be inserted It I cents a word. strictly ggygblg g- lulvnnra.

i. DL

cnsswnu. IOI Photographs CONFEDERATION us -~ ANCE. E “Elli,

COOK STUDIO where smart people are being pnotograpned.

SUNDAY. FEBRUARY sill.- Canoe Cove 1i AM. Nine Mile Creek J P. M. Clyde River '1 P. M.

LATEST CRETONS figured Art Sateens also travellers samples. Henry McFarlane 18s Co.

L-47-2-5-31.

ST. JOHN'S PRESBYTERIAN CHURCH. Belfast, Sunday, Fiebru- ary 8th. Morning service ll. A. M. Y, P. S. 'l P. M. Rev E. C. Evans. Minister. L-75-2-6-li.

CAVENDlSdH CHARGE. —8V}illur- hi S , Feb‘ l. , . . imgflg? Bglégym‘ n tang am, Nova Scotla, Wl-O presided ut_the Norm Rusmo M 3 a M’ _ w_ 110th Annual Meeting at Halifax, ‘Dliley, Minister, L-63-2-6-li. Phfllw 41h. and addressed the

i Slim holdler . LECTURE MONDAY by 9.6V. T.

I . A. McLEOD

The Preslilell of The Bank cl

GUARDIAN

H. D. BURNS

The General Manager of The Bank of Nova Scotia, who address- ed the Shareholders at the lllJth Annual Mcetin of the Bank held at. Halifax on ebruary 4th.

H. Buasell Somers 1n Bt. James Church Schoolroolll, B o'clock. Bub- ject. Scottish Covenanlers. Musical

program. Admission 25c at door._

L-73-2-6 li. i- FRIJJAY, F A ST. ANDREWS PRESBYTEBIAN 3.30—Brcwnlea. ma" RY “h CHURCH. Montilltufi. ——UIVlI1e WOI- 100-Choir Rehearsal. shin will be held on Sabbath next at g,15_.y_ p_ U_

'l P. M. Rev. J. Keir Fraser. B. D.. _____.__%_ will preach. 11-70-2-6-11. RESERVE Monday evening Eel).

--—— ‘l6, moccasl ‘ ' TRYON - BONSHAW BAPIKST C1,“, someltflngaliffw if“, 0:23;,“ CHUltCrL-Sunday. February istrl. Proceeds for Red cross - Bonshaw 11.00 A. M. Tlyon ‘L30 PM. . " The pastor will speak on the sub- ject: "A wortny Ambition“. A cor- dial invitation Li extended to all to unlle wlm us ln these services of worslliD and bruise. L-64-2-o-21.

MR. AND MKS. JOHN J. Mc- lSAAu, 11.&lI-I¢I1\1X,éOl'III€I‘AY o1 Par. Hawkesuur , . ‘.. announce e ‘i engagelllelll of melt daugiliel" Irene BACK FROM TRIP—Afl9r three to Peter lvl. uoylo,>so1l o1 Mr. and millflhfi Service in the merchant Mrs. Wm. Doyle oi DIIAS City. ivlar- 11131100. MI‘. J_. Prank Macdoilald riage to take place at a loner dale. g returned to his home in CZifCllgan

n L-Yli-‘A-d-ll. lust night. As a member of [he -——— _ g crew on n Norwe ian tmlke NEW LONDON PRESBYTERIAN crossed the AtlantIc and chilled CONGILEGATIOIV- February llm.— Sewn-Elmer's m ‘he United Km _ South Granville 11.00 A. lvi. Clllton do,“ The trip across was g 2.30 P. M. Long ltlvcl" ‘(.00 I’. M. m] m w,“ also H L fmevfm‘ Please now tllc change in time ol Howévertlhe Sill le are m“. "$15030. Scum Granville service. ltev. h._ . cans” m-th bpum several close Buntain. Mlnlswr. L-Za-z-o-ll. the mp froemsl; porigshidtlyveattellgltrgré

PRESByTERIAN Cuungn 1N States to an East Canadian Port. GANAnm-nroolafield Cilarge. Ser- vices next Lord's may. Harisvillc 11 A. M. Brooklieml 3 P. M. Hunter River 7.30 P. M. Y. P_ S. Christian Endeavour and Prayer" Service Brookiield Tuesday. ii P. M. Harts- ville FUCHS’ 8 P. 1V1. Dl". A. u. Thom- son, ' r. 11-48-2-6-11.

TRAFFIC ACCIDENT -- A de- livery truck travelling norl-li orl Queen Strelet and an automobile were in c0 isioll ul. the comer" of _‘ ~ Queen and Kent Streets yesterday onrgiifiyn§jfidi.e°l y“ Pram‘ Wm‘ afternoon at 5.15. The car was tra- serious, in . 3mm m 193m Sh‘! 1S vellim; east on Queen and was turrl- Hospmfl m e charwllemwn lng east on Kent when ule mishap ' occurred. Both machines were slightly damaged but none of the a1 occupants of eltllcr vehicle was in- jured.

DR. FRASER CH0lCE—At I. meeting of the Prmbytery of St. Jzihn uof this‘ Presbywrlian Church o Sn. it Jo n and Sa nt Stephen _‘“ y held ltzis week. Rev. D1". Davies and anmfifierfléggwlfrfiétlfh‘) Pnaerwenl Rev. Allison Macbean were ap- Hospital on Wedncsdelly Ills Iliealgiil’ pointed commtasloners to the Gen- comfortably and making sntisféacig oral Assembly in June. It was 011v progress. Major er; arrived moved by Rev. C. J. st. Clair Jeans Wednesday evening to Wm, m, and seconded that Dr. n. .1. rras- "1 er‘, principal emeritus and profes- sor of New Tbstament Greek in the Presbyterian College of Moll- treal. be nominated as the Modern- tor of the General Assembly. Dr. Fraser who is a P. E. Islander was formerly minister of St. Stephen's Church in Saint John and up to a. few years ago was principal of

14-51-2-5-21.

PARISH OF MILTON AND EH3. TILQ-Church of England. Services Sunday. February 8th, Milton 11.1.0 A. M. Morning Prayer Rustlco 3.00 P- M- Evening Prayer. Rev. J. n. McMahon. L-vl-z-e-ll.

Personals

Edward Michael of the R. C. N . R._ is spending two sveoks (mi 1811115111; eifill-gitlgls lather. Mr. Thomag

M1‘. G115 Waddell, NOIIh ‘Pryon, 35$ B Dmenger to the city sari".

Ml‘. and Mrs. D. Peter MacDon. d, Shamrock, were “lfifik-elld vls. “m5 I0 the 61W- Wltile here they attended the MacLean-Sumptei‘ Wedding In St. Paul's church, and were the guests of Mr. and Mrs, Charles Rogerson, School St.

MIRACLE Bill.

Montreal College. — Saint, Jolm Telegraph-Journal. s s BRIDE-TO-BE- SHOWERED—

A miscellaneous shower was held at the home of Mrs. Rowan Mac- Kenzic. Cllarlottetoivn on Friday January 30th in honor of Miss Ada Isabelle Macbeod of Charlottetown by the girls of the Royal Packing Company of which she was an em- Dlflyee. She was the recipient of many beautiful gifts including a satin bedspread from the lzirls where she was employed. The gifts

Last night I got to think- ing about how our cousins across the Atlantic keep ask- ing us for more pork and ham and bacon. I see two angles to that. We can raise

were opened by the bride-to-be, handed to her by Miss Ruth Mac. Eacherrl. A verse acaxnpanied each gift and was read by Miss Bud MacMillan. The room was beauti- fully decorated for the occasion. After the opening of the gifts a lunch was served by the hostess a11d the evening was well spent by games and other amusements. after ullich all Joined in singing "For l she's A Jolly Good Fellow.

more hogs, and we can raise them faster — both ways will help get more meat across the big pond. Now, one good way to raise hogs quicker to marker weight is to feed 3cm Ogllvie “Mlracle" Hog Starter, to begin with. That, and the other “Mlrscle" Hog Feeds puts hogs up to two hundred pounds as early as four and a half months. And Cutting down the growing time like that also saves feed money- it cuts two months (or more) feeding. So, by getting our hogs ready for market faster we can help our cousins, and help ourselves, too, because we grow those hogs more cheaply. It seems to me like it's up to us to speed up our

hog produc-

MADAME CASGRAIN RETURN- ING-Plnns to hold a mass meeting in Charlottetown on February 2'7, which will be addressed by Mad. ame Pierre F. Casgrain of Mm- lrenl, were completed at n. meeting of the local Warren's Advisory Com- HVIW‘ Rsicrriny. At this proposed urhlic meeting Madame Cnsgrain will address men and women Oil price control. The meeting of the Women's Advisory Committee, which was recently appointed to act in collaboration with the War- time Prices and Trade Board. was presided over by the chairman. Mrs. E. S. Coffin and was attended by every member with one exception. It was held yesterday afternoon in The Charlottetown. No definite de- cision was reached as to the place where the public meeting will be held but efforts will be made to obtain the Prince of Wales Col- lege Auditorium for the occasion.

COMMITTED TO

SUPREME ' ' couwr- Alfred Clilioll, charged __.( m)" will‘ with theft. from a PCiaOD. yvns com- OflIVIQ mittcd id stand trial in the Su- “Mhadau preme Court at the conclusion of the preliminary hearing before sti- Feeds.

pendirlry Magistrate K.M. Martin in the City Police Court yesterday. Fred Saviriant, charged jointly with Clinton. was dischariwrl. The case arose out of the theft of $54 from Harry Barrett early last Saturday morning. The money was taken from a wfllet ivhkh was stolen from his pocket while he was sleeping on a couch in the business place of s friend. Clinton and Savidnnt had visited the place while the man was sleeping. A few hours after Barrrtts

HIKE l'I' HI

m: mpafvlsv

IIIDDIIVIE nous mils Cami Jill"

complaint. Constabgles ‘A. J. "Boga u-v lgxddihlfsiiitlll ikllliii§§m:n'b1»1§n§lr CARVELL "Roso Urn‘ Street. Mono" was found on lhcir Charlottetown

.= . b it‘ peLom and, ,_f_,fi',‘§°§‘.'v“(',-§O,,‘:,“§g a; Exclusive Distributors for l’- 1'1 I

house. Mr. peered for the accused.

Addresses at Annual meeting Bank of Nova Scotia

The necessity for progressive re- duction of individual spending was emphasized by President J. A. Mac- Lafod at the annual general llloctillg cf tllc shareholders of the Blink or Nova Scone. at Halifax on Feb. 4. ‘Heavy as uiartinle taxation Ml‘. Macleod said, “it is not capable oi" bringing about the necessary restric- tion in spending. We must continue to rely greatly on voluntary means of curtailing spending, that is Lo say on diverting incomes through the sale of both Victory Loans and WM‘ Savings Certificnles."

Reviewing the economic Mr. MacLeod said:-

"Tlie most complete measure of economic activity is, of course. tile national income, A prolilninarv esti- mrllc of tho nation l income produc- cri and available lll 1041 has been luadc by our" Statistical Department and this places the total income of

Canada at about $6.200 This, I may say, is by far the larg- est figure in the history our country. What is more to the point. the estimate for lne last year is al- most $1,000 millions greater llun the figure for 1940 and is over $2.000 millions greater tilau in 1938-—the last lull year of peace. Of course it must be recognized that part of the $1,000 million increase last year re- flfiCis tlic upvyzlrd movement of pric- cs, WiHCil gnincd lliomcnturll in the Spring 1111a 51111111101". But cvcll when aliouullcc is made fol" this faclcr it. is clear that the greater purl. of llie increase reflects enlarged pro- duction and effort by tile people Canada.

"That this shown by the further" sharp IHCFPBLC in industrial 0111111051111111. Translat- ing the olficilll ClllpltiiylllCflb index into numbers of wage-earners. we find that il1 the twelve months up lo November 1st, 1941. there had been a filrther growlll in the work- ing force of at least ‘MKLUDU persons. and this ui a time when tile mill- tarv services land udliorl more than 150,000 pcizorls Lo Lllill‘ tslllbihsll- rllents."

M1". H. D. Burns, General Man- ager. also addressed the meeting. i"e- vlewing the Bank's statement and enlpilnsizlng that as an iusritution "we are strongly coliscioils of our re- sponsibility to do cvxrytlilllg Wlllllll our power to facilitate the war" ci- fort. Ill common wltll the other Banks, we are providing security and liquidity for" our depositors, and in these difficult Limes let us not lll1G0l'-1‘£lI€‘lll€ great importance of these qualities. As lilo stnlcillcili. shows. our current loans and Ac- cepiances and Llotlers of Credit have increased over the year, larg- ely for reasons of a wartime nat- ure; and. in addition. we have car- ried oul" full share of short-igrm financing fol" the G0\‘(‘l'l‘llll(‘l‘lI.'

Current loans ill Canada at $106.- IOEJOLZ. Mi". Burns reported. are ul- nlost $13.000.000 lllgllffl‘ than at llle end of 1940, Current loa1"ls else- wnere than in Canada are $13,- 516,254, which is a decline of $840.- 000 for the year". Loans to Prov- incial Govcrlmlenis are $l.461.603. an increase of $662000, but loans to municipalities at $2,092,287 show s reduction of $1,729.000. Total current loans are $123,313,048, a net increase for the year of not quite $11,000,000.

"The increase in our current loans in Canada," he said,-"n1ld this applies also to the other Banks-As, perhaps. not ns grout as one would expect from the large expansion in the volume of busi- ness throughout the country dur- ing the year, but many of the collni-ryls principal war producuorl activities have been financed by Government advances and we find also, that many businesses arelna relatively strong working capital position and able to finance their turnover without recourse to bank credit in any large volume. We, of course. nro anxious to do our full share in the financing of reduc- tion generally throughout t e Do- minion and elsewhere where we have branches, and we hope to maintain our volume or current loans, although the present indi- cation is not for any large ill- crease."

trends

5. E s h

War’s Diplomacy Closed to women

LONDON. Feb. 4 ~ (C P) -— Brilisll women will have to atav rut of the dlplwnatlq field at least until after tlzc wnr

Foreign Soc otary Eden. reply- lllg to roposal: cf a Wouwn Poucr Commi tee that women br- ildflnllll- cd to the dlliplomittlc and consular services, sat that as nli rc uiur entry into these services had con suspended during the war thcrc can be n0 question of ftdlliltllll-g ivomen at. present.

Mr. Eden explained. also, that it was Imlloslslble for him to give an undertaking that the decision to "cxdude wmen from the service; would be reversed afte the Will‘.

He expressed his readiness, how- ever, to agree to regard the ro- port of a committee which ox- smined the question In 1934. as no longer necessarily neln the in‘! wcrd. nnrl to consider The cumi- ion again in the light of existing circumstance;

After Stock-taking SPECIALS For the Week

End

[T EA

KING COLE COFFEE 1-2 tlnl — 29c

CYCLONE SOAP, 10 bars

RED ROSE SALMON 1 lb. tin SURPRISE SOAP 10 for — — FELO NAPHTHA SOAP 3 fol" CRISCO, 3 lb. tin — - - - - 65c

co|=|=m e- col.

RED ROSE, KING COLE. Label), MOTHER'S O\\'N,OIi1\I‘J(iI§ PEKOE. All — — — — — — — — RED ROSE bags 100

for- — — —- — — — — — — — — -—

SAZADA (lirown

ouch.

MAGIC B. l’O\\'l)i‘llt — — -- -- 26c PERFECTION (fit. lil"I"l‘ER 2 lh. 75c