'A MONEY PROBLEM'

Auckland Star, Volume LXV, Issue 277, 22 November 1934, Page 16

'A MONEY PROBLEM'

MR. SAVAGE'S VIEW.

NATIONAL BANKING URGED. MORTGAGE ADJUSTMENT FIRST. (By Telegraph.—Own Correspondent.) TAURANGA, Wednesday. In an address to-night to an audience which filled the r J Down Hall to capacity, the Leader of the. Opposition, Mr. M. J. Savage, made an exhaustive survey of the position of the dairy industry in the light of the Dairy Commission's report and the recent legislation. He spoke for nearly two hours, and was frequently applauded. He concluded his address with the following summary of Labour's indictment against the Government and Labour's proposed remedy for the position : —

"The recent legislation, following on the Dairy Industry Commission's report, contains the chief elements of autocratic government in the industry. Section 7 of tlie Agriculture (Emergency Powers) Act empowers the Governor-General-in-Council to transfer to the Executive Commission of Agriculture, provided for in section 3 of the Act, any powers conferred by statute or otherwise on any of the following bodies, namely, the NewZealand Meat Producers' Board, Dairy Produce Board, Fruit Export Control Board, any local control board the establishment of which was provided for under the Fruit Control Act, 1924, the Honey Control -Board, and the Poultry Board. The powers are to be transferred after consultation with the bodies concerned. "Autocratic government in the industry as a whole must inevitably be followed by similar methods in the Parliament of the Dominion. "The immediate need of the primary industries, with particular reference to the dairy industry, is a readjustment of mortgage liabilities and a guaranteed price for produce, which can be maintained by the productivity of the whole of the industries and services of the Dominion. While farmers are subject to rapidly-changing external conditions and prices, due to the exploitation of cheap labour," and to market-rigging, there can bo no security for them or any other section of the community.

"The main problem to be solved is the money problem, and the proposed National Mortgage Corporation, while giving temporary relief to some, will not in any way affect the cause of the present difficulty. It can only deal in money made available to it from other sources, and it will have no powers of issue. The solution of the money problem can be brought about by establishing a national banking system, with absolute power to issue and control money in keeping with the requirements of production and distribution."

A vote of thanks to Mr. Savage concluded the meeting, over which the Mayor. Mr. A. F. 'funks, presided. Mr. C. H. Burrett, Labour candidate for the Tamanga seat, was also on the platform.