[GJM] (historic document...)

Tue Apr 17 03:35:52 MDT 2007

Dear Brother David and all on the list,

  Greetings for peace to all,

  Encouraged by David Soori and assuming your support, I am preparing for an international seminar as the problems of the atheistic economic systems are quite wellknown and analysed. Thanks a lot for sharing the report. Indeed, problems remain the same as it was in 30s.

  It is time to work for necessary policy actions locally and  globally through getting more and more convergences with the organisations, governments, political parties ,citizen groups for getting the necessary change.

  Your book is a good guide. I have written an article (shared with you) calling for the transforming the finance instituions. Faith based convergence needs to be consolidated . Global Justice Movement represents combination of faith based and secular arguments for eliminating usurious transactions.

  Dr.Muhammad Mukhtar Alam
  On behalf of Labour League Foundation and Sufi Trust, Delhi ,India

david pidcock <davidpidcock at yahoo.co.in> wrote:
    Dear Ken
  Excellent. Thank you. Remember we gave a copy to Justice Taqi Usmani in Pakistan for his Sharia Court Ruling. I am copying this to Proff Sharma and others.
  Yours sincerely
  david

Kenneth Palmerton <kenpalmerton at cix.compulink.co.uk> wrote:
  Dear David.

Do we believe in coincidence ?

I thought not :-)

This arrived in my inbox this morning, I am sure you will remember it from the time that I printed off several thousand copies. But for the first time we have a digitised version.

Though it was penned all of Seventy years ago nothing has changed, it is an excellent analysis of what we are about, and I would have thought the Chinese would understand it well.

Byrnes little forward is new to me. Though I did know of the Association of British Chambers of Trade involvement, I did not know of their outright rejection at that time. 

They did in fact host an international conference in South Africa after 
WW2. But I do not know anything further. Another thing that I had promised myself to research, but that requires prolonged visits to London :-(((

Byrne by the way was the bloke that went off to Edmonton when Aberhart appealed to Douglas for help after his landslide victory in Alberta in 1935.

Ken.

---- Forwarded Message ----
To: socialcredit at elistas.com
From: 
Date: Sun, 15 Apr 2007 07:45:06 -0700 (PDT)

This historic document was forwarded to me by Wally
Klinck, which I've converted to plain text for posting
to this list.
-------------------------------------------------------

SOUTHAMPTON CHAMBER OF COMMERCE 
REPORT OF THE 
Economic Crisis Committee 

INTRODUCTION 

L. Denis Byrne

AN INSTITUTE OF ECONOMIC DEMOCRACY 
PUBLICATION 

First Printing--June, 1933
Twentieth Printing--March, 1977 
First Printing with Introduction by L. D. 
Byrne--June, 1977 

PRINTED IN CANADA
ISBN: 0-920392-12-1 

INTRODUCTION 

The decision to investigate the causes of the 
world-wide economic crisis of the early 
'Thirties was taken at a general meeting of 
members of the Southampton Chamber of 
Commerce, in England, in January 1933. The 
meeting appointed a committee with the terms 
of reference set forth in the opening 
paragraph of its subsequent report. 

The committee's initial action was to extend, 
through the Secretary of the Chamber, an open 
invitation to other Chambers of Commerce, 
organizations and persons, to submit evidence 
of the cause of economic crisis and remedial 
measures to deal with it. A number of 
submissions were received and considered. 
After numerous meetings and discussions, the 
report which follows was presented by the 
committee first to the Directors and then the 
general membership of the Southampton Chamber 
of Commerce, who authorized its printing and 
wide distribution. 

Subsequently, the report was brought before 
the Annual Meeting of the Association of 
British Chambers of Commerce, where a 
resolution to refer it for study and action 
to a special representative committee was 
approved despite strong opposition from the 
Association's executive who brought in 
prominent bankers and economists to support 
them. When the committee met in response to 
the resolution they were informed that their 
enquiry had been vetoed by the executive and 
that no further action was to be taken on the 
Southampton Report. 

However, despite this formidable opposition 
and a complete boycott of the Report by the 
media, the document termed the "Report of the 
Economic Crisis Committee" of the Southampton 
Chamber of Commerce soon attracted widespread 
attention. Requests for copies poured in from 
every part of Britain and the world--from 
Canada, the United States, Australia, New 
Zealand, as well as several European and 
Asian countries--necessitating reprint after 
reprint of the report over the years which 
followed. In all that time not a single valid 
refutation of its content was either received 
by the Chamber or published. 

The glaring faults in the monetary and 
pricing system of orthodox finance which are 
exposed in the Southampton Report have 
continued to plague the nations with 
progressively devastating results-- 
pyramiding debt, mounting taxation, rampant 
inflation, widespread labour unrest, cut-
throat competition both internally and 
internationally, and persisting unemployment-
-results which have reflected in the rise of 
dictatorships and the decline of democracy, 
in war, revolution and widespread spiritual 
decay. As the report states in its 
penultimate paragraph, "... never has mankind 
been threatened by such overwhelming 
disaster." The history of the world since the 
Southampton Report was first published bears 
fearsome testimony of the truth of that 
warning. 

L. Denis Byrne 

June, 1977 

SOUTHAMPTON CHAMBER OF COMMERCE 
Economic Crisis Committee 
Constitution of the Committee
MR. E. DENNIS MUNDY
MR. S. J. FAZAKERLEY
(Chairman)
(Vice-Chairman)
MR. L. A. APSEY
MR. L. D. BYRNE
MR. A. T. DOGGRELL
MR. E. N. EMMERSON
MR. R. HENDERSON
MR. WALTER MUNN
MR. E. PHILIP SHAW, M.A.
MR. B. D. KNOWLES (Secretary)

REPORT

We were appointed by Chamber Minute, dated 
the 5th January, 1933, to make a "study of 
the root causes of the calamitous depression 
in national and international trade, 
especially focusing attention on the problem 
as now represented by unemployment, and to 
make a recommendation, based on the findings, 
to the Association of British Chambers of 
Commerce." 

We have held eighteen meetings. 

The condition of world trade and the grave 
economic situation have been exhaustively 
reviewed from time to time by various 
authorities. In approaching its task, your 
Committee has given careful consideration to 
the views which have been put forward, to the 
many factors which have been quoted as being 
responsible for the situation, and to many 
suggested remedies--some fantastic, some 
ingenious, but most of them unrelated to the 
real "root causes" of the problems. It is 
these "root causes" which your Committee have 
been entrusted to find, and it was early 
decided that no such analytical investigation 
could possibly take place without a review of 
the development of the present economic 
situation. 

This review has covered the period from man's 
earliest application of manual labour down to 
the present highly specialised mechanical 
industrial age. I t is not intended to set 
out fully all the aspects we have considered, 
as most of these have been found unrelated 
directly to our present problem. Therefore, 
in order to present our subject matter in 
clear perspective, we consider it is 
sufficient to confine ourselves to a brief 
review of some of the main factors which 
should be taken into account. 

Part One: General Review 

History reveals that the fight for existence 
called for all the strength and cunning of 
primitive man, but as time advanced his 
security increased as the forces of nature 
were harnessed or overcome by him. Gradually 
by experience and co-operation a higher 
standard of living was made possible, but, 
until the latter part of the 18th century, 
progress was slow. In spite of the great 
advance which was made during the period, and 
the measure of security achieved by mankind 
in his development, most men, and, indeed, 
women and children, had to work for long 
hours, and suffer great hardships in order to 
obtain the fundamentals of subsistence. 

With the industrial revolution came the dawn 
of an age of power production. Solar energy 
applied to machinery through the medium of 
coal made it possible simultaneously to 
increase production and to reduce the need 
for human labour. Science and invention 
continued to sustain a process of development 
in industry and agriculture, so that within a 
comparatively short period the potentialities 
of the application of man's newly acquired 
knowledge in the economic field became 
apparent. An age with a low standard of 
living progressed by sporadic development 
until immediately before the European War of 
1914-18, certain industrial countries had 
attained a standard of living never 
previously contemplated. 

During the period of about a century and a 
half the process of industrial development 
assumed world-wide proportions under the 
stimulus of foreign trade and investment. 
Methods of production and transport were 
revolutionised; facilities for trading 
between nations increased, and foreign 
markets were eagerly sought by countries 
endeavouring to secure outlets for the 
products of their rapidly-expanding 
industries; specialisation and division of 
labour developed; industrialised countries 
became adjusted to the massing of their 
populations around their industries, and the 
machinery of commerce grew to vast 
proportions; populations increased rapidly. 

Thus it was during a comparatively short 
period that mankind created an entirely new 
process of development. That the economic 
system was not adjusted to this new process 
was plain even prior to the War. 
International relations became strained under 
the stress of competition for markets. With 
growing difficulty an increasing number of 
nations strove to maintain favourable 
balances of trade. The difficulties of 
national and international monetary questions 
caused havoc, and booms in trade were 
followed by slumps with regularity. 

With the War millions of men forsook the land 
and factory to follow an unproductive 
pursuit. Millions more were engaged in the 
production of munitions and other war 
materials, which were destroyed almost as 
fast as they were produced, and in the 
process vast areas and much wealth were laid 
waste. 

Such a departure from normal productive 
activity called for intensive scientific 
research in all branches of production. With 
a diminished amount of labour and with 
increasing demands upon their productive 
capacity, industry and agriculture were 
mobilised for maximum output. Invention and 
technical progress were stimulated, and the 
nations found themselves obliged to utilise 
their own latent resources to supply 
themselves with the goods which they had 
hitherto imported. This resulted in many 
less-developed countries being forced to 
undertake manufacturing for themselves. With 
the end of the War nearly all efforts of 
production of war material were directed 
towards peaceful requirements. Within little 
over a year newly-equipped industries made up 
deficiencies caused by the havoc of war, and 
the world started upon another stage of 
abundance even greater than before. 

The post-war years were responsible for a 
process of intensive development in methods 
of production and transport of which no 
parallel exists in the world's history. In 
agriculture, coal, steel, cotton, 
shipbuilding, communications, transport, in 
fact, in every field of economic activity, 
rapid advances were made. The enormous 
increased productive capacity was accompanied 
by a decreasing demand for human labour as 
improved technical processes were introduced. 
Manufacturing countries like Great Britain 
turned to adjust their industries to pre-War 
conditions after the War, but found their one 
time markets for exports invaded by other 
nations or closed to them on account of the 
growth of the industries of the areas in 
question. Those who had once been customers 
had become competitors. Export trade became 
increasingly difficult with resulting 
repercussions on internal conditions. The 
failure of agriculture and industry to 
dispose of their respective surpluses caused 
a slowing down of production. Fewer men were 
employed and the purchasing power of the 
public reduced, leading to further 
curtailment of production. National tariff 
barriers were raised progressively in efforts 
to support home industries and prevent 
dumping from abroad of the surplus production 
of other nations. Bad debts, bankruptcies, 
and fear combined to encourage the 
deflationary policy upon which many countries 
had embarked. Industrialists, finding their 
hopes of making profit diminishing, reduced 
output and introduced improved methods, thus 
causing more men to be thrown into idleness 
with consequent loss of purchasing power. 
Lack of confidence and enforced legislation 
put an end to much foreign lending, resulting 
in many export markets being closed. So the 
cycle continued its disastrous course. 

We now find ourselves confronted with a state 
of affairs in which, on the one hand, there 
is a real surplus in the form of food, 
clothing, building materials, transport and 
other needs and luxuries with a potential 
surplus indicated by millions now unemployed, 
while, on the other hand are millions living 
at poverty level, in need of most of the very 
commodities that are super-abundant. To add 
to the paradox, it seems that their privation 
is due to the very existence of the surplus. 
Trade depression, when supplies are plentiful 
and transport is efficient, must be 
associated with a need for buyers, and it 
appears that each country, finding too few at 
home, looks almost in vain for markets abroad 
where it may unload its otherwise unsaleable 
produce. 

Another paradox is revealed by the picture of 
each and every country endeavouring to 
consolidate its position by disposing of its 
real wealth while trying to avoid taking real 
wealth in return, and we cannot but refer to 
the anomaly of the wholesale and deliberate 
destruction of wheat, coffee, meat, and other 
foodstuffs, while surplus transport 
facilities are available to take these 
necessities to the homes of the hungry. 

It is inconceivable that anyone can associate 
the difficulties with natural causes. There 
is no evidence of widespread failure of 
harvests, neither is there evidence of the 
failure of our age to appreciate the 
necessity to conserve natural resources. 

Your Committee is unanimous in its belief 
that there must be a way out. It cannot 
reconcile a state of affairs in which people 
who have gained such vast knowledge regarding 
the wonderful powers of the universe, who 
have thought out all the intricacies of 
modern machinery and rapid transport, and who 
have secured such mastery over disease should 
still prove incapable of solving the economic 
riddle of our age. 

With a full appreciation of our limited 
qualifications as investigators of a problem 
of this magnitude, we have endeavoured to 
approach our task without prejudice and with 
a full sense of responsibility, in the hope 
that it may help in some small measure the 
deliberations of those in whom has been 
placed responsibility for the destiny of our 
country. 

* * * * * 
Extract from leading article of The Times, 
3rd November, 1932: 

The problem which is now perplexing mankind 
is to discover by what flaw or flaws in our 
system it has come about that the world, 
never better equipped both in knowledge and 
in machinery to produce all its needs, is 
forced to see so much of that knowledge and 
machinery lying idle while millions of 
willing workers are unemployed and in want. 

The professed authorities on these questions 
have expressed many conflicting opinions and 
have given such contradictory advice, that 
the best hope of success seems, indeed, to 
lie in candid examination of the facts by men 
not professing to be experts and consequently 
unhampered by preconceived theories. 

This medley of opinions among those who 
profess to know would itself seem to tell in 
favour of the view that mass production, 
rationalisation, the displacement of labour 
by machinery, scientific inventions 
increasing the productivity of the 
agricultural as well as of the manufacturing 
industries, and, not least, the wonderful 
improvement in the facilities of 
communication, arc creating a new world in 
which the old canons of orthodox economics 
and finance may not perhaps be applicable 
without adjustment. There is plenty of 
material here for searching study by men not 
obsessed by any theory or dogma, but anxious 
to get at the facts and to frame policies to 
meet them. 

The situation of the world to-day is a 
challenge to world statesmanship, a challenge 
which statesmen must take up for themselves, 
It is impossible to shift the responsibility 
upon the experts who differ so fundamentally 
among themselves over both the diagnosis and 
the appropriate remedy for the world's 
economic sickness. 

Part Two: Analytical 

In the preceding part of our report the main 
features of the world situation have been 
reviewed. In approaching the analysis of 
specific facts your Committee submit that no 
analysis purporting to reveal the root causes 
of the World Economic Crisis can be of any 
use unless the results can account for the 
present situation, its development and 
probable trend in the future. 

(I) Purpose of Economic System 

Much confusion of thought arises from 
examining economic conditions without bearing 
in mind the objective for which an economic 
system functions. The purpose of an economic 
system is to deliver goods and services as 
they are required, when they are required, 
and where they are required, by members of a 
community. To this end the resources of a 
community should be mobilised and production 
organised in a manner likely to prove most 
beneficial to the majority of individuals. 
The object of an economic system is not the 
provision of work; in fact, it has already 
been shown that the tendency of human 
progress has been to release men from nature-
imposed necessity to toil. Yet we find that 
national leaders are concentrating upon the 
problem of "finding work," while ignoring the 
main consideration as to whether the economic 
system is adjusted to its function of making 
available the abundant supplies of goods and 
services as, when, and where they are 
required.

(II) Unemployment

Our terms of reference direct our attention 
to what is termed the problem of 
unemployment, which dominates the economic 
life of every industrial country. This 
problem is by no means new, as it has existed 
in one form or another since the beginning of 
the industrial revolution. At first the 
problem was obscured by employment being 
given to vast numbers of men, women, and even 
children at meagre wages, which provided them 
with the bare necessities of existence in 
return for long hours of work. 

Unemployment as we know it was precipitated 
as a result of the stimulus given to 
industrial development during the War, when 
producers, finding the restrictions on 
improved processes removed, were forced to 
meet an increasing demand for goods with a 
diminishing supply of labour. No other 
feature shows more clearly the magnitude and 
the nature of the diseased condition of the 
body economic. The effects of unemployment 
have spread like a plague over the whole 
civilised world, carrying destitution, 
suffering, degradation, and despair into 
millions of homes. Taking the total number of 
unemployed persons and those dependent upon 
them, it is estimated that about 120 millions 
of human beings have been rendered destitute 
in the industrial countries of the world. It 
is our view that the problem of unemployment 
consists not only of these unemployed persons 
and their dependents, but also of the vast 
resources lying idle in factories, plant, 
mines, and land. 

We have already seen that science and 
engineering skill are being directed towards 
the elimination of human labour. New 
inventions reduce daily the number of man-
hours required in production, and when we 
find that over a given period productivity is 
increased and human employment is decreased, 
we are forced to the conclusion that 
unemployment, due to technological progress, 
will continue to increase. 

As an instance, in the United States of 
America the height of employment in industry 
was reached in 1918, and since then it has 
been declining. The height of production, 
however, was not reached until 1929, though 
we are aware that the increasing standard of 
living during this period obscured the 
results of this development in the field of 
employment. Here is clear evidence that, as 
technical knowledge increases, we may expect 
a progressive decline in the need for human 

=== message truncated ===

David Pidcock     
---------------------------------
  Check out what you're missing if you're not on Yahoo! Messenger 

---------------------------------
Ahhh...imagining that irresistible "new car" smell?
 Check outnew cars at Yahoo! Autos.
-------------- next part --------------
An HTML attachment was scrubbed...
URL: /pipermail/discussion_globaljusticemovement.net/attachments/20070417/4ba9f6e8/attachment-0001.html 
-------------- next part --------------
A non-text attachment was scrubbed...
Name: note for GCAP and MDG campaign.doc
Type: application/msword
Size: 82944 bytes
Desc: 853285525-note for GCAP and MDG campaign.doc
Url : /pipermail/discussion_globaljusticemovement.net/attachments/20070417/4ba9f6e8/attachment-0001.doc 
-------------- next part --------------
A non-text attachment was scrubbed...
Name: Transform World Bank,WTO and IMF.ppt
Type: application/vnd.ms-powerpoint
Size: 78848 bytes
Desc: 1779191161-Transform World Bank,WTO and IMF.ppt
Url : /pipermail/discussion_globaljusticemovement.net/attachments/20070417/4ba9f6e8/attachment-0001.ppt 