INDEPENDENT.

Auckland Star, Volume LXVI, Issue 231, 1 October 1935, Page 10

INDEPENDENT.

SIR A. HERDMAN. . CANDIDATE FOR PARNELL. OPENING OF CAMPAIGN ADDRESS. Determination to he independent was expressed by Sir Alexander Ilerdman when he addressed the Parnoll electors in the Renmera Library Hall last evening. Tie said that if lie were returned to Parliaments-there would be no donbt where lie stood. He would vote to put flic Government out of office, and ho would vote to keep Labour out of office, fie could not see his way to join with Mr. Hislop's party. With some of Mr. Ifislop's political views he agreed, but with others-Jic feared that he .was not in Therefore he preferred to remain unshackled and detached. Although amongst the Independents in Parliament, he hoped that he would meet some kindred souls. The hall was filled to capacity a quarter of an hour before the meeting was timed to commence, with the result that an audience of about three hundred people assembled outside tie building to listen to a loud speaker. Mr. J. B. Fatcrson presided. Desire To Help New Zealand.

"I have come forward in the hope that I can bo some help to the people of a country in which I have lived all my life and in "which I have served in some form of public capacity for over 30 years," said Sir Alexander. "I prefer to stand as an Independent. I prefer to enter Parliament, if, of course, I have the good fortune .to win your good opinion, free from any allegiance to any political organisation. The Reform party has ceased to exist. I was present at its birth. I saw it grow from infancy to vigorous- manhood and unfortunately I have been a disappointed spectator of its decline. Reform in its later days has not been what Reform was when I knew it years "ago. Its conduct of public business, its administration, its legislation, its policy in recent years would never for .a moment have been countenanced by the men I was chiefly associated with when that party first saw the light' 4 of day. In principle and sentiment I am still a Reformer of the 1912 period, but I appear to be one of the few survivors of .that species. As to ' Mr. Hislop's party, I am delighted to find that a young man of Mr. Hislop's type and experience has the hardihood to offer his service's to the country. I have known of him for many years and for him I have graat respect, but I cannot see my way to join with him. Puzzling Problems., "It is said that we are to-day living in times of unprecedented difficulty and that this justifies a departure from- all precedent and principle," continued Sir Alexander. "I" agree that Messrs. Goates and ' Forbes have been faced with puzzling ..problems, »and - I agree- that they have made attempts to jn'eet adverse conditions/- but ,: on the nther hand it is clear to me that they have made grave mistake's, and that some of their public actions, well intentioned as I have no doubt they were, have only created difficulties which are more serious and Stupendous than those they have sought to cure. One or the other has been in office since the year 1925, and during the 10 years that have elapsed money has been squandered, taxation has been crushing, Departments have been mismanaged, unemployment has been increased, business has becomo stagnant, the machinery of commerce has been groaning and creakitig", and tho people have been demoralised and confidence has been destroyed. "Some time ago if a man' proposed that moneys should be lent to him on mortgage ho would be laughed at. Confidence in a mortgage security had been so shaken that lending money in this form was practically discontinued, and when lending was restricted' dealing in land diminished* building was curtailed, and when building "was curtailed unemployment reared its 'ugly head. Shock After Shock.

"The Government itself canndt escape blame for contributing'its quota to the ranks of the unemployed," said ' Sir Alexander. "Its policy aggravated the unemployment difficulty, and that policy should be changed. To-day I am glad to learn that there are signs of a loosening of purse strings, but even to-day money is not being lent on mortgages security freely. The security must be gilt-edged, otherwise 110 money is forthcoming. The borrower must be a man of proved worth, and the amount lent will be small in proportion to values. There is still no briskness and buoyancy about business. "The nerves of the people are still highly strung, and investors, having experienced shock after shock, there is always the dread that another blow will be delivered in the shape of some exasperating legislation. There have been other influences at work which cause people to shudder at the prospect of another four years of apprehension and disquiet under the rule of the National Government. New taxes are invented which punish the whole community. One day it is a sales tax. On another day it is an unemployment tax. Again you have a petrol tax, and over all hovers the 25 per cent exchange, which in effect is a tax. One might endure these heavy imposts with equanimity if they were accompanied by economy, but what has happened? Expensive Royal Commissions are set up to inquire into faulty administration, and more commissions are created under tiie mortgage legislation. Boards spring up like mushrooms. Whart they cost' and how many there are I don't know. I imagine they cost as much as would provide relief for many struggling farmers. "No One recognises more clearly than I do that things have been out of joint. That there was something radically wrong in the 'State of Denmark' is beyond question, but, in my judgment, nothing can justify" the extravagance and some of the disturbing and unsettling legislation which has harassed New Zealand. In striving to stamp out the disease Ministers have only stimulated it, or created another organic trouble infinitely more dangerous and destructive than the one they sought to pure. When I look out over the field of politics T see during the last ten years extravagance and inefficiency. Exchange Position. 'I'or 70 years-or so the regulation of exchange in New Zealand gave rise to no difficulty," said Sir Alexander. "The rate was controlled by the banks, and I think I am right in saying thnt during that period the machinery revolved smoothly, importers knew exactly where they were, and so did exporters. Mercliiiuits

carried on their business without dreading tho uncertainty which alterations in exchange rates create. In mercantile circles 110 one ever dreamt that the longestablished practice relating to exchange, which had worked so well, would be disturbed by the blighting hand of the politician.

"In fixing exchange rates the banks were influenced by the law of supply and demand. Exchange rates depended very largely upon the amount of money required in London to meet our obligations for interest 011 the public debt, for interest 011 local body debt, and for other matters, and upon the amount of money available for these purposes; If .there was ruoro than sufficient for these purposes, the rate would bo low. If there was not enough, then the rate would be raised, and imports into New Zealand would bo restricted. The farmer gets a. subsidy of 25 per cent 011 his produce, measured in New Zealand currency, and ho gets this subsidy no matter whether he be as rich as Croesus or as poor as Lazarus. No discrimination is made between the rich farmer, who does not requiro tho benefit of the exchange, and the poor man, who may need help. The country is being taxed to make the rich man richer. Ho is being subsidised when ho docs not need it.

"We have seen that there is a danger that our imports into England arc likely to suffer some limitation or restriction, a circumstance which everyone concerned with the future of this country must view with gravity. If Now Zealand is to progress, she must have a market. If New Zealand is to bo developed she must be assured of a certain market. This is vital. If future generations of young men and young women are to bo* provided for we must be able to sell our produce in England or , elsewhere. Interference "With Contract, "In times of national trouble you will always see springing into the foreground bands of political chiropractors who are prepared to supply remedies for the alleviation of all the ailments that the body politic is heir to," continued Sir Alexander. "Businpss people and investors have been dealt blow after blow and they, never know when another blow will bo struck. They live in constant fear that just around the corner they will be pounced upon by a highwayman ready to strike with his sandbag. 'Lhe trouble is a national one and the nation should compensate if an interference with rights wore unavoidable. To despoil one particular class so that the public interest may bo served is, in my judgment, utterly wrong. New Zealand's Great Need. "The crying want in the public lifo of New Zealand to-day is men of ripe experience, men with sound knowledge, and men who, by the exercise of sound judgment, and application, can steer the country back into safe waters. I liavo lived a life of seclusion for many years and cannot profess to have an up-to-date knowledge of public business. Other men have that knowledge and experience- they are better able to help than I am. To them I appeal to step forward and help New Zealand back to security and to such a high level of public conduct as to make the Dominion one of the most respected parts of the Empire." -(Applause.) On the motion of Mr. V. J. Larner, seconded by Mr. W. Collins, a vote of thanks and confidence was passed. There wore only & ȣew dissentients.