The Auckland Star: WITH WHICH ARE INCORPORATED The Evening News, Morning News, and The Echo. MONDAY, FEBRUARY 6, 1933. LONDON FUNDS.

Auckland Star, Volume LXIV, Issue 30, 6 February 1933, Page 6

The Auckland Star: WITH WHICH ARE INCORPORATED The Evening News, Morning News, and The Echo.

MONDAY, FEBRUARY 6, 1933. LONDON FUNDS.

For th« cause that lacks assistance, For the wrong that needs resistance, For the future in the distance, And the good that we can do.

To-day's comment on the new exchange policy by the London "Financial News" is interesting for two reasons. This leading financial newspaper underlines the criticism to which the Government's action has been subjected in New Zealand. By this "sectional legislation," says the "Financial News," the Government has assumed "a heavy new burden in return for a doubtful gain by the farmers," and budgetary difficulties will be inevitable. The second feature of this London comment is the reference to the difficulty the Government will experience in financing the sterling surplus in England. This was referred to in the House last week, when the question of profits made in London on the rise was raised. The Government has undertaken to indemnify the banks against loss in this respect, but what of profit? Government spokesmen said that the Government's concern was only with funds bought at £125, but it was admitted that 15 per cent profit could have been made, and this was described as "ordinary trading." Some people might describe it as easy money. The "Financial News" says that the banks in London will be able to "foist" any surplus purchases on to the New Zealand Government, and it predicts that the financing of the surplus will prove quite a formidable difficulty. There appears to be ample justification for this prediction. The Government is bound to buy all surplus money in London, but no one can say how much it will amount to. The budgetary provision is a million. Mr. Coates says the cost may be nothing; on .the other hand, it may be much more than a million. The exchange decision was a leap in the dark in London as well as in New Zealand. OUR PUBLIC LIBRARIES. A library is merely a storehouse of information, and it must be the aim of all good librarians to make this information of use to the community. Our city librarian has been able to give instances of what is being done in America towards making public libraries centres of educational activities and of service to readers. The Cleveland library, for instance, provides public information to inquiries by telephone. This means an extra staff and specialists in different subjects, and such service would be beyond the means of any but the largest centres, but there are other facilities which might be undertaken without much expense. Arrangements are made for special book talks in the lecture halls, and these act as a guide in the choice of books and an introduction to the best authors. At present many people look upon libraries as merely a cheap and convenient means of providing fiction and light reading for the public, and it has been questioned whether it is the duty of the ratepayers to pay for these facilities. Appreciative lectures on different classes of books would tend to create a demand for good literature, and would act as a guide to reading. It is gratifying to find that Mr. Barr thinks that up to a point the work being donp in Auckland compares favourably with that being done in America. Both the main library and the various branches are well equipped and capably managed. Something might, however, be done in the ways suggested by Mr. Barr. Those in search of information often find a difficulty in knowing where to look, and there is a large amount of desultory reading owing to lack of guidance. Fuller U3e might be made of the lecture halls attached to the branch libraries, but this demands the support of the public for any lectures provided. It is largely a question of expense. Cleveland is spending four times the amount pro rata compared with Auckland, and any proposal to spend more on Auckland libraries just notv would not have a very sympathetic reception. It is desirable, however, that the ideal of a library as an educational centre should be kept in view, and this is done in Mr. Barr's report. DEBT DISCUSSIONS. In the approaching discussions on war debts the uppermost question in the mind of Mr. Roosevelt and his advisers will be, "How much can the debtors pay ?" When the British case is submitted, in the negotiations for a final settlement, there is apparently to be a process of bargaining which may take either of two forms. America may endeavour to collect some portion of the debts, though on a heavily reduced scale; or she may insist upon trade and tariff concessions as part of a general compromise. Britain has said with emphasis that it is impossible to meet further payments without causing far-reaching damage to international trade. It has been pointed out that the transfer of any more money on account of these debts will upset the disturbed exchange position, will weaken the British market for American goods, and will result inevitably in a further contraction of commercial dealings between the two nations. World trade, in its present plight, is in no fit state to receive another blow, and Britain is arguing the case of debtors everywhere' when she contends that there must be a radical change in the American attitude. Britain, being a creditor as. well as a dabtor nation, is able, to speak with a full knowledge of the facts from both sides. She is ready to make the sacrifice needed for a complete cancellation, and claims that the United States would benefit in large measure from such a settlement. The only alternative is for Britain to insist upon payment by her European debtors of the amount she is called upon to pay America, thereby . jeopardising ; r the Lausanne agreement and perpetuating a state of affairs which can lead only to final collapse. The great issues at stake show the need of statesmanship, and the world will await in suspense the result of this momentous

conference.