The Auckland Star: WITH WHICH ARE INCORPORATED The Evening News, Morning News, The Echo and The Sun. TUESDAY, SEPTEMBER 10, 1935. LABOUR'S PROMISES.

Auckland Star, Volume LXVI, Issue 214, 10 September 1935, Page 6

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

TUESDAY, SEPTEMBER 10, 1935. LABOUR'S PROMISES.

For the cause that lacks assistance, For the tn-ong that needs resistance, For the future in the distance, Ami the good that ice can do.

Most people are ready to agree that Labour's objectives, as stated by Jlr. Savage in the Town Hall last night, are eminently desirable, but the difficulty is that they could only be attained by the unlimited expenditure of public money. No estimate has ever been given by Labour as to the cost of redeeming its promises, and as to methods, the statement of Mr. Savage is sufficiently alarming, that Labour would "assume control of the public credit and establish a national credit authority whose duty it would be to provide a money service to give effect to the will of Parliament." Put baldly, this means the manufacture of paper money by wholesale manipulation of the printing press. Unfortunately for those who have tried it, this has always led to disaster. Credit is a peculiarly sensitive plant; its essence is confidence, which may vanish overnight. Mr. Savage should face the plain fact that the only way to level up the incomes of some people—short of a general advance in prosperity— is to level down the incomes of others. He says much, about the levelling up, but nothing at all of the levelling down, which makes his whole programme appear illogical and impracticable. Universal pensions for the aged and infirm, guaranteed prices, national health insurance, expansion of public works, more education —these would cost millions, and they are only part of what Labour promises to give us.

A price guarantee to the farmers is Labour's substitute for the high exchange. It attracted attention from the producers for a ■while, but soon lost its lustre. Already prices for butter in New Zealand currency have reached almost the level which Labour promised to guarantee. Farmers may therefore , pause to consider whether they would receive anything at all at the hands of a Labour Government; on the other hand, they might have reason to expect that they would" be called upon to help in making others prosperous. As for secondary industries, any effort made to develop these along sound lines is certainly commendable. More trading between the Dominions-should be encouraged, and some redressing of the balance in favour of New Zealand is needed in the case of our trade with both Australia and Canada. The difficulty here is that the. interests of Dominion and British manufacturers come into conflict. If we buy more from Australia, we buy less from Britain, and so damage our best customer.

"Whether trade can be developed along the planned lines Mr. Savage contemplates depends largely upon skill in negotiation and upon o*r willingness to buy other than British goods. A Labour candidate at Whnkatane has gone so far as to tell an audience of farmers that the London butter and cheese market has been "arranged" to suit the Government, 'and perhaps he thinks other markets could be "arranged" with equal ease. The only comment on this extraordinary statement is that if it were true it would supply an excellent reason for keeping Messrs. Forbes and Coates in power. We do not suggest for a moment that Mr. Savage entertains any such ideas. One can only sympathise with him for having to endure such stupidity.