TO BALANCE THE BUDGET.

Press, Volume LXVI, Issue 20027, 8 September 1930, Page 11

TO BALANCE THE BUDGET.

FEDERAL CABINET AGREEMENT. SEVERE ADMINISTRATIVE ECONOMIES. (TOITED PRESS ASSOCIATION —BY ELSCTJiIO TELEGRAPH— COPYRIGHT.) (Received September 7th, 5.5 p.m.) MELBOURNE. September 7. The Federal Cabinet concluded its meeting on Saturday afternoon with a complete agreement on the supreme necessity of balancing the Budget. It was stated that the only alternative to increased unemployment was a national non-Party programme, behind which the wjiolo community could rally. A Cabinet Sub-committee will confer with representatives of the employers and the employees. Severe economies will be enforced in the* Commonwealth administration, i while taxation on sheltered incomes will be further explored. EFFECT OF HIGH TARIFFS. AN AMERICAN OPINION. (Received September 6th, 11 p.m.) NEW YORK, September 6. The "New York World," in a leader on "Australia's Problems," sayß: "Since Australia has been rather a heavy borrower in this country since the World War, the effect of the depression on the Government's Budget is a matter of immediate interest to many American investors, especially since there has been some political agitation in Australia for a refunding of debts at lower interest." The leader then comments on the failure of the high tariff to remedy the situation and concludes by saying: "Australia's experience shows that a tariff, like any other tab, is more likely to aggravate than to cure trado depression. She needs more trade and the tariff gives her less." ECONOMY SESSION. FEDERAL PARLIAMENT TO MEET. MELBOURNE, September 6. The Federal Parliament will be called together in October to enact, at a special economy session:— Legislation to deal with unemployment. To impose a spocial interest tax. To reduce Ministerial, Parliamentary, and public servants' salaries. To readjust maternity allowance and pensions payments. - , To further tax imported luxuries. To readjust taxation on higher incomes. The Federal Cabinet came to these decisions and at the same time decide to honour the pledge given by Mr J. H. Scullin (Prime Minister) to balance the Budget. The Acting-Prime Minister, Mr J. E. Fenton, declared:— "The Government will uphold every obligation to the people of this country, and to its creditors." Cabinet adjourned till to-day, when steps will be taken to frame the sessional programme and work- out* details of the proposed legislation. Most of the lengthy sittings wore spont in debating the suggestion that a special tax be imposed on interest. Sir Robert Gibson (chairman of the Commonwealth Bank directors) had a three hours' consultation with the Federal Ministers. He explained the financial position and suggested plans for financing the State and Federal Governments over a considerable period. The Federal Ministers stated that although the financial situation, due to the rapidly declining revenues, was acute, the Government had the matter well in hand. They asserted that rumours of a split in the Ministry wore greatly exaggerated. Mr A. E. Green (Minister for Defence), who was attempting to fly from Western Australia to attend, was not present at the meeting. The Assistant Minister for Customs, Mr F. M. Forde, was also absent. FORTY-EIGHT HOURS* WEEK. SYDNEY, September .6. The Railway Commissioners have announced that, commencing on Monday, a 48-hours week will operate generally on the railways. This includes employees engaged under both Federal and State awards. COMMONWEALTH BANK. REAPPOINTMENT OF CHAIRMAN. (Received September 7th, 5.5 p.m.) MELBOURNE. September 7. The statement of the Acting-Prime Minister (Mr J. E Fenton) included the announcement that Sir Robert Gibson, whose term as chairman of the Commonwealth directorate of the Commonwealth Bank expires this month, was re-ppointed, also that the vacancy on the Bank Board was filled by the appointment of Mr Maurice Duffy, of Melbourne.