DOUGLAS SOCIAL CREDIT.

Press, Volume LXVIII, Issue 20574, 16 June 1932, Page 7

DOUGLAS SOCIAL CREDIT.

TO THE EDITOR O* THTS PBESB Sir,—Your correspondent, Miss Jessie Mackay, said, in. her letter of June Bth: "This year, it seems, will determine whether Aryan civilisation is mended or ended, and Gerniany will cast the die." I certaintly agree with her that we are on the brink of the abyss, but I do not agree when she says that, the fundamental cause of Germany's troubles is the unbelievable economic pressure brought to bear on her by. the rest of Europe. This "unbelievable economic pressure" certainly has accentuated her chaotic conditions; but it is not the fundamental cause of them, i am going to suggest that' the United States is in almost as bad a condition as Germany, and yet she has had no "unbelievable economic pressure" brought to bear on her by Europe; and that the fundamental cause of the chaotic conditions in the world, including New Zealand, is to be found in the Stone Age financial system. Regarding this as a possible cause I would like to oifer the following facts for consideration: ■ . . There is x a flaw in our present financial system. The knowledge of this flaw was given to the world by Major C. H. Douglas, in 1919, in his two books "Economic Democracy" and "Credit, Power; and Democracy." The flaw is that the wages, salaries, and dividends of any industry are insufficient to buy the products of that industry, and as this is true of ,any industry, so" is it true of industry as a whole. The present financial system, was seemingly satisfactory when the problem of industry was one of? production only. The problem is now one of consumption. We have conquered in the field of production only to be slain in the field of consumption.

The Douglas Credit proposals will en- ■ able us to follow up our conquest in the field of production with a. Mmquest in the field of consumption. A member of Parliament, who .is one. of the leading Douglas Credit advocates in New Zealand, said in the House, last session that if he was offered the opportunity of putting this country in a prosperous condition within three. months, with the penalty of facing a firing party if he failed, he -would , accept it.—Yours, etc., TREVOR 0. L. ARMSTRONG. New Brighton, June 14th, 1932. I