RUINOUS FOLLY.

Auckland Star, Volume LXII, Issue 40, 17 February 1931, Page 8

RUINOUS FOLLY.

ACT OF REPUDIATION.

Theodore and Australia's Problems.

WORK FOR IDLE FIRST

(United P.A.—Electric Telegraph—Copyright)

(Received 2.30 p.m.) SYDNEY, this day. Mr. B. G. Theodore, in an interview at Sydney to-day, said: "I cannot hope to restore financial stability while one-fifth of our workers are unemployed and a large proportion working short time. The problem of getting the unemployed back to productive work is therefore the most outstanding matter for solution. "If this necessitates the balancing of Government Budgets, reducing interest rates and supplying an increased volume of bank credit for primary and secondary industries, let us attend to these things immediately. "The responsibility lies with the Governments and the banks. I believe the Governments will do their part. While a country can meet its just obligations it is sheer lunacy for any Government to rush into repudiation. When a country is driven to make default through uncontrollable circumstances it is usually considered a disaster, but that a Government should of its own volition declare it shall not pay while it still has means to pay is an act of ruinous folly. "Repudiation will not solve a single Australian problem but will increase unemployment and destitution through the interruption of business and industry."