March 22, 1949 (20th Parliament, 5th Session)

CCF

Eric Bowness McKay

Co-operative Commonwealth Federation (C.C.F.)

Mr. McKay:

I should like to ask a question arising out of a news report in the Toronto Star of March 18, which reads:
Vancouver,, March 18-"Restoration of Europe might well be the task of a generation or more, and to that degree Canada will be without its traditional customers capable of buying from this country," declared Graham Ford Towers, governor of the Bank of Canada, in an address to the northwest credit conference yesterday.
Mr. Towers said European recipients of aid had been forced by dollar shortages to form trading arrangements among themselves and with countries outside the dollar area. "Some of these international trade policies are enough to make classical economists turn in their graves," he declared.
I assume that when Mr. Towers refers to international trade policies which are causing classical economists to turn in their graves he is referring to barter trade. On several occasions the minister has indicated to the house that he is at least in principle opposed to barter trade arrangements. If he is opposed in principle to barter arrangements, will he tell the committee what the government has to offer in place of those barter arrangements, other than granting Europe increased loans and credits so that they can purchase goods from Canada?

Topic:   FOREIGN EXCHANGE CONTROL ACT
Subtopic:   CONTINUANCE IN FORCE UNTIL SIXTY DAYS AFTER OPENING OF FIRST SESSION OF PARLIAMENT IN 1951
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