301R. I. L. Hore-Belisha to Harrod, 4 April 1933 [a]
Hore-Belisha thanks Harrod for his article in the Daily Telegraph. He asks to explain exactly how Harrod's Currency Equalization Fund is to operate,  and to define the term "idle money". 
2. The term is not used in Harrod's article, and must therefore belong to the letter (not found) accompanying it. A number of Harrod's writings of this period suggest that he was concerned with people's hoarding, which he saw as side-tracking money from effective circulation and thereby reducing the monetary demand for goods and producing a deflation of profits (Harrod, "The Challenge to Treasury Orthodoxy", 1933:6 , pp. 578-79; see also, for instance, International Economics, 1933:10 , pp. 171, 147-48, 153, and Harrod's letters to Walter Runciman of 22 June and 6 July 1932: letters 243 , [jump to page] and 249 , [jump to page] and passim). He was worried that an increase in the quantity of money would be ineffective if "held in idleness by the public" ("Currency and Central Banking", 1933:13 , p. 118). For a comparison of Harrod's and Keynes's interpretations of "hoarding" see note 2 to letter 280 .
- a. From Treasury Chambers, Whitehall # , one page TLS, in HPBL Add 71184/182.
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