HOW TO RECOVER.

Auckland Star, Volume LXIII, Issue 208, 2 September 1932, Page 11

HOW TO RECOVER.

NEW ZEALAND ADJUSTMENTS. MUST AVOID MORE BORROWING. (By Telegraph.—Press Association.) PALMERSTON N., Thursday. Defining the steps which New Zealand would have to take for the purposes of rehabilitation, Mr. W. Machin, president of the Associated Chambers of Commerce, speaking at a chamber of commerce function, said firstly the country had to avoid any more borrowing. Secondly, those who were drawing too big a slice of the income of the nation would have to be content with less. Thirdly, said Mr. Machin, interest rates would have to be l'educed still further, and he would like to see this done voluntarily. It had been done elsewhere as a high patriotic duty, and he believed it would be done iu New Zealand if the matter were presented in the right way. Fourthly, it was necessary to economise. The Government would have to do what had been done in piivate business and cut down expenditure even more. Everybody was to blame for asking the Government to enter into excessive expenditure, but to-day the Government could not continue to spend money that it could not afford. Again, it was necessary to bring money and prices rtiore into balance. The soundest economists said that was necessary, and the Dominion should not shrink from doing it.