DISCUSSION.

The article presents comments of economists George Soule, Harry W. Laidler and Eduard Heimann on researchers Summer H. Slichter's and Kirk Hinrich research papers related to economic instability. Schule argues that socialism is not synonymous with economic isolation. Germany and Italy are today following the policy of autarchy, although they are about as far from socialism as any regime that can be imagined. The Soviet Union, which is socialist, has been compelled by historic necessity to become nearly self-contained, but this is a departure from socialist theory, which remains internationalist. During the depression the government has devoted nearly as much borrowed money to the relief of unemployed capital as it has to the relief of unemployed labor. Laidler argues that the arguments of Slichter against wage cuts as a means to recovery axe far stronger. He agrees with Hinrichs that one should regard stability as a dynamic, not as a static concept. Heimann argues that Slichter made a rather unusual statement in saying that the present system is nearly always on the verge of shrinkage.