DOUGLAS CREDIT SYSTEM

Bay of Plenty Times, Volume LX, Issue 11093, 19 April 1933, Page 2

DOUGLAS CREDIT SYSTEM

LOCAL CO>DiITTEK FOR.HEI) AT KATIKATL (From our correspondent.) Considerable interest having been displayed in the Douglas Credit System movement: at Katikati, the Waihi branch held a meeting there last, week-end. Mr H. C. Howe, of Waihi, occupied the chair, and Messrs L. Fee and M. C. Larsen gave addresses. Mr Fee pointed out a number of delusions from which, he contended, the people were suffering under the present monetary system. They were mistaking money for real wealth, and because they were short: of the moans of obtaining the goodkS produced, thought they were poor. Wealth consisted of the things people used, not necessarily of money.

The speaker then went on to explain how the control of credit by private individuals had caused the downfall of the British Labour government some years hack. A coalition government had then been formed. but it later had to abandon the gold standard. Mr Larsen stated that the Douglas proposals embraced a complete new economic system. This could suitably be divided into two sections, the productive and consumptive systems. Between them stood the financial system, which had broken down, and was therefore the cause of all our troubles. That the people could produce in plenty was shown by Australia’s huge surplus of £700,000,000, or nearly three years’ consumption at her present rate. If anyone had a man working for him who once or twice made a mistake, he might forgive him, but if the man continued to make mistakes and was unfit for the work, the employer would obviously have to dispense with his services. The present monetary system was inherently wrong, and the people should therefore insist on having another. Prices were always greater than the purchasing power distributed, and the result was an accumulation of unsaleable goods. To overcome the difficulty the people would have to take the monopoly of credit fiom the banks and restore it to the people. They would then be in a position to issue a national dividend and introduce the just price. A keen and instructive discussion followed, after-which the meeting decided to form a local committee, or study circle, and a large number joined up.

Canon Kyall was elected chairman and Mr W. H. Wright hon. secretary^

The meeting was a marked succees, and was considered quite one of (he best held in the district for some time.