General Election

Press, Volume CVI, Issue 31230, 30 November 1966, Page 16

General Election

Sir, —I query Mr Lake’s interpretation of Social Credit. He states that Social Credit would print its own money, thrust it into circulation, and thus cause grave inflation This is a misrepresentation of Social Credit policy. Because the economy is riddled with debt, measures must be introduced gradually. No more money would be put into circulation than at present, but the money made available from the Reserve Bank for public and local body works would be debt-free. Social Credit claims that the cause of inflation is debt. It is not “too much money chasing too few goods,” as last year the country was £256 million short in buying power, while taxes and costs continued to rise. Mr Lake says that the money supply must be balanced by resources. This “equation” is what Social Credit aims for. Unfortunately for Mr Lake his system is dogged by an inbuilt and recurring annual shortage in the money supply. —Yours etc.

R. WATSON. November 29, 1966.

Sir,—Mr Kirk exaggerates the effect that Mr Eyre’s remarks will have in Asia Mr Kirk does not know that this “nation” is so insignificant that its bellicose yapping does not reach the ears of Hanoi or Peking. Radio Peking has not yet mentioned New Zealand as one of the “running dogs of United States imperialism” because our size excludes us from the figurative genus of “running dogs,” and our bark is too tiny to be recognised as canine.—Yours, etc.,

HUGH MOORE. November 28. 1966.

Sir,—-The great increase in the Social Credit vote clearly shows that many are not satisfied with the National Party’s monetary and Mr Lake’s bor-row-or-bust policy running up the national debt to the collosal sum of £1266 million and taking £62 million a year to service the debt. Social Credit votes nearly doubled because they came out in the open, clearly stating their policy of using Reserve Bank credit, reducing rates, increasing pensions, which appealed to the voters. Now that Mr Cracknell has been elected he will have a great influence on future monetary policy. In today’s leading article you, as an Opponent of Social Credit, run true to form with your quip that it is too facile to be permanent. Time will tell. —Yours etc.

S. W. Hickmott November 29, 1966.