Blackett warned the chancellor that any form of government expenditure would prevent wages and costs of living from going down. In his words, “So long as the British government is creating new credit to meet its expenditure or to replace maturing short debt, there is added diffi culty in getting prices and wages and the cost of living down to reasonable fi gures” (August 6, 1921, T 175/6 part 1, fol. 15).

Clara E. Mattei, The Capital Order, loc. 1695