UNEMPLOYMENT.

Auckland Star, Volume LXI, Issue 103, 3 May 1930, Page 19

UNEMPLOYMENT.

It is with no intention of raising a controversy or of interfering with other people's business that I sit down to put in writing what comes to my mind, as a means of meeting to some extent the problem of unemployment. As a resident of New Lynn there naturally occurs to me first what is nearest to me. I understand that within a recent period quite a number of hands hare been paidoff from the local brickworks. The cause, it is said, is that there is a sufficient quantity of bricks on hand to supply the demand for a considerable time ahead. I am not in a position to say what it costs to produce these bricks, but suppose that a reasonable profit could be derived from eales at a reduced price from that now charged. Such a reduction might create a demand. If such a reduction were not sufficient to create a demand, then go a step further —reduce the cost of production. This means, probably, the reduction of wages paid to employees. If the trade has reached that stage, then the employee in his own interests must accept a reduction in wages ; not only this but to such an extent as is necessary to allow the price of bricks to be reduced sufficiently to create a demand. Having reached this stage, more people benefit. Builders get busy, which means employment for bricklayers and for all tradesmen necessary to complete a building- This process goes on; it is far-reaching; it is indefinite. It creates trade all round us. It livens up the property market, thereby giving an opportunity to the landoyvner to quit what has become a burden to him to hold. A demand at a reasonable figure will be created, and he will then only have himself to blame if he does not participate in a renewed market. Aa I said at the beginning, I chose bricks because what is nearest me I see first, but the same argument might apply to many lines. The law of supply and demand governs, or should govern," all markets, and the true value is the price obtaining between a willing seller and a willing buyer. In conclusion, one word to the working man. His price must also be so governed. This system, to my mind, is the one and only way to set things-Tight. Let us get down to the foundation of things and build our edifice anew. -- \-£'- < E. F. STANLEY GEORGE.