DOUGLAS CREDIT.

Press, Volume LXIX, Issue 20789, 24 February 1933, Page 16

DOUGLAS CREDIT.

CONDITIONS IN NEW ZEALAND. ADDRESS BY MR D. C. DAVIEA statement that the people of the Dominion had been deceived by the propaganda of the leaders of the country and that financial chaos would result if a changed policy was not adopted was made by Mr D. C. Davie, during a public address under tho auspices of the Douglas Social Credit movement last night. The policy of reducing costs of production was a contest amoDg the foo,d.producing countries, he said, and the oue which would be prepared to accept the lowest standard 01 living would be the country which could fight the longest. In addition he advocated a partial industrialisation oi the Dominion. Mr W. T. Carlisle was in the chair. ■. "Anyone who cares to look up tue remarks of our professors of economics, our bankers, and our business men during the last few years," Mr Davie said, •'will realise that these people have been persistently wrong, not only in their analysis of conditions, but in the remedies suggested by them. It will not be necessary to go back further than the Hoover moratorium to illustrate the point that I wish to make. Mr Hoovers magnificent gesture was blazoned in every newspaper in the world. The suspension of the debts, would, it was said, create a degree of confidence that would enable business and industry to obtain a much-needed respite and the economic difficulties confronting the world would, as a consequence, begin to roll back. This was neverthleess followed very shortly in England by a financial crisis and a general election." Promises of Better Things. It had been stated that business would be more settled under a stable coalition government, he continued, and many people genuinely considered that the end of the'depression was in sight. Tho Coalition Government in New Zealand was to establish confidence, and it began by brave announcements about balancing the Budget. "Wages were cut because lower wages would enable production to improve, and through increased exports New Zealand would recover its position. The fanners supported this idea, and were led by men who were even now willing to continue giving advice. "As things became rapidly worse, the people were asked to wait for the results of the Ottawa Conference," said Mr Davie, "but the only result of that conference was to place restrictions on exports of meat, thereby Smashing the chief arguments for reduced wages, excepting that prices did in fact come down as predicted. An increase in prices'was then urged, and the method adopted was to increase exchange and to use the same arguments that had been used in favour of wage cutB —If the farmers' costs w f ere low enough and his prices high enough everyone would prosper.' " Argument Against Douglas. As the Ottawa meat quota really killed the favourite arguments in favour of the wage cuts, the position of the butter market to-day made it apparent how hopeless was the exchange policy, said Mr Davie. First of all, low prices were the cure, and now high prices were advocated, but in spite of this it was repeatedly said that the Douglas scheme would be accepted if instances could be given of orthodox professors of economics or big "business men supporting the scheme. "If our case has to rest on the acceptance by these men, we are well and truly doomed," he said. "Our case, however, rests on the acceptance of Douglas's statement that the purchasing power distributed to the community does not equal the total prices attaching to all the goods for sale." New Zealand was a fertile country with many resources, continued Mr Davie. Numbers of the people had separate claims, to prosperity and it might seem that for the scheme to operate, control of these persons', possessions would have to be taken. But it was also found that trade, production, and distribution were entirely governed by the medium of money. It was therefore necessary to understand this medium and it might be found ; that it was possible to manage it without interfering with private property. Operations would be begun, he said, by drawing up a national account and bringing down a balance-sheet to show how things stood.

SYDNEY SALE. BRISK COMPETITION. (Received February 23, 10.20 p.m.) SYDNEY, February 23. At the wool sales 9295 bales were offered, of which 83]2 were sold and 587 dinposed of privately. The market was very firm, and competition was brisk and general, with improved Japanese bidding. A special feature was "the demand for superfine wools. Greasy merino made 26|d, constituting a new record for the season. The average price of ttool for the first three days of this week was ill 0s 4d a bale or 8".72 d per lb.

The following is the range of prices:— A. d. Merino 64-70, 60-64— Extra super 10 to 10| Super .. Average 9 to 9| 7J to 8i Inferior 5% to 7 Corriedale — Extra super ... to 13J Super' .. 10 to ll| Average 8 to H Inferior 6 to 7§ Fine .Halfbred, 58, 56-58, 56— Super .. 10 to Hf Average 8* to 9| Inferior ' 5*. to 8 Medium Halfbred, 50-56, 50— Super 9 to 10. Average 7* to 8$ Inferior 4$ to 7 Extra Tine Crossbred, 48-50— Super 7* to .74 Average " . .. - 5* to 6} Inferior 4 to 5 Fine Crossbred, 46-48— Super ' ... 5 to 53 Average .. • Zi to 4| Inferior 2 to 3 Medium Crossbred, 44-46— Super 32 to 4$ Average 3 to 3} Inferior ... 1! to 2J Bellies and pieces 1 — Merino good to super .. 6 to 8 Merino low to medium .. 4$ to 5$ BelliesHalf bred good to super 6 to 8 Halfbred low to medium 5 to 5| Pieces—• Halfbred good to super 7i to 10 Halfbred low to medium < 4 to 7 Bellies and pieces— .Crossbred good to super 3* to 5£ Crossbred low to medium 1 to 3 Crutcliings—■* Medium to good 2i to 4J Inferior and seedy ... Locke— 1 to 2 Merino .. 2i to 4} Halfbred .. .. 2J to 35 Crossbred <t to 2J