Saving Grace
Readers will have noticed the Prime Minister’s decree about high unemployment: “Quite simply and unequivocally it is caused by paying ourselves more than the value of what we produce.” We had been under the impression that it is caused when the owners of capital no longer find it profitable to employ workers in such great numbers. Some people seem to have taken his judgment personally. One who has volunteered for a degree of “self-sacrifice” is Mr. Horace Cutler, Conservative leader to the Greater London Council. He has made a “Save Britain” gesture (his term) — putting his money where his mouth is, and is giving up his £10 a day councillor’s allowance.
Considering the size of the governments debts, they could do with quite a few more of Mr. Cutler’s calibre, although his generous action will last for only one year “because he did not want to create an awkward precedent for other Tory leaders”. However, the government should not count the benefits too hastily.
How ridiculous for the GLC to pay me £2,700 of which I get only 12½ per cent [after tax]. All it means is that the ratepayers are pouring money into the State coffers. I just do not see why the Chancellor of the Exchequer should get their money.London Evening Standard, 5th October ’76
Pouring it into Mr. Cutler’s pockets he regards as fair enough no doubt, but that’s another thing. But before readers feel impelled to initiate a "Save Mr. Cutler fund” they will take into consideration that 12½ per cent of £2,700 is in the region of £350. Mr. Cutler draws £20,000 a year as managing director of various property and finance companies. Thus we learn why he wants “Britain” saved.
Capital Fellows
Mr. Callaghan informed the Labour Party Conference that he “did not become a member of our party even less its leader, to propound shallow analyses and false remedies for the fundamental economic and social problems”, which as the phrase goes, takes away all his best punches. However it became clear that intentions are to fall short of the performance. His proposition to deal with the social problems of capitalist society seems to be bending the knee to capital’s requirements.
When I say that they [industries] must have sufficient funds, I mean that they must be able to earn a surplus — that is a euphemism for saying that they must be able to make a profit. Whether it was called surplus or profit, it was necessary for a healthy industrial system whether in a socialist economy, a mixed economy or a capitalist economy.London Evening Standard, 28th September ’76
Confirmation that all three, in Mr. Callaghan’s mind, are the same thing. The fundamental sameness of Labour and Conservative was made even clearer when Lord Thorneycroft, the Conservative Party Chairman, remarked that Callaghan had made “a brave speech.” Mrs. Thatcher conceded that he “seems to be saying much the same thing” as she was. Which goes to show that, when it comes to running capitalism, great minds can tinker alike.
Scum Clearance
The anti-pollution supporters may take heart from the development of electroflotation. This, essentially, involves the passing of a low electric current through “dirty” water which splits the hydrogen and oxygen elements, forming gas bubbles. These help to bring foreign particles in the water to the surface. Once there, the particles of scum can be made to cling together chemically, then scooped off or collected in special fibrous materials designed to attract them. ICI are marketing the process in Britain, and approach potential users with more than the welfare of the environment in mind.
It has taken two baking summers for us to appreciate that we have been undervaluing water, and that there is a strong case for treating it with a respect more usually reserved for the metallic minerals.Daily Telegraph, 4th October ’76
Therefore the strength of the case is an economic one, and some industries may find it worthwhile from two angles. Firstly polluted water (the industries themselves cause this) becomes re-useable, and secondly the extracted pollutants may have value.
A road tanker firm which carries cooking oil, and whose tankers have to be cleaned after every load has been using the flotation technique to clean up the washing water. As a bonus the firm has succeeded in reclaiming about 30 tons of vegetable oil a month with a commercial value of about £6,500.
Astounding to think that this sort of wealth was simply being pumped away into the rivers, the seas and other unimportant places, until someone realised that there was money in it.
Stand-by Flight
Figures popularly given at the time of the death of Mr. Howard Hughes concerning his assets, appear to have been slightly inaccurate. On the 29th of September the Daily Telegraph made the discovery of a plane owned by Hughes which cost £1m. in 1971. He had kept the plane secretly in a hangar in Cheshire, and it had been ready for take-off over the last five years. Over that period it had logged only five hours flying time — presumably on routine test flights. Hughes had never used it.
Pleading Ignorance
Politicians at home seem more than willing to give all manner of explanations for inflation; have treasury officials been instructed to play possum while abroad? Sir Douglas Wass, permanent secretary to the Treasury, was recently in Manila applying to the International Monetary Fund for a loan on behalf of the government, when he remarked:
Inflation does not have a unique cause and none of us can claim to understand the casual mechanism.London Evening Standard, 5th October ’76
In spite of his rank it seems that the government must have been keeping something from him. It is they, after all, who have been printing what Mr. Healey and Mr. Callaghan now refer to as “confetti money”.
Alan D'Arcy
















