Mr A. F. Murray's paper published in the July issue of this Journal covers such a wide and complex field that it is obviously impossible to discuss it adequately in three to four pages. Within this limited space I have selected for comment a few points which not only constitute the main props in Mr Murray's arguments, but are also, largely for accidental reasons, of rather special interest. Their interest derives from the fact that in the last article written by the regretted Lord Keynes, these points are discussed in great detail and—most important—entirely different conclusions are reached.

If I understand him rightly Mr Murray's argument is roughly this. Multilateral international trade can function properly only if the following two conditions are satisfied:

(i) each of the participating nations must pursue a policy of full employment at home;

(ii) each nation must pursue abroad an economic policy such that its balance of payments over a long term is of manageable dimensions.