15,000 Without Jobs Predicted

Press, Volume CVIII, Issue 31579, 17 January 1968, Page 1

15,000 Without Jobs Predicted

(New Zealand Press Association) DUNEDIN, January 16. A rise in unemployment this winter to 15,000 and cuts in Government expenditure on Social Security benefits are but two of the bleak predictions made by “Management,” the journal of the New Zealand Institute of Management.

The magazine also said that New Zealanders would face lower standards of living during the next four years.

In addition, a slowing in immigration would be noticed, together with an increase in emigration. Prepared by the economic marketing and research division of W. D. Scott and Company, the article said that the reduction of consumer demand has opened the way for dismantling the import control system. It predicted that after the freeing of raw materials, semi-finished goods and consumer goods would be freed by July this year, and capital goods by 1969. The article forecast a fall in consumer spending in all fields but necessaries.

Other predictions include: more indirect taxes if consumer demand shows signs of rising, national growth held to a maximum of 4 per cent, and tight selective credit with interest rates rising to 7 per cent.

tremely unpopular, a change of Government in 1969 was almost inevitable, the article said. But unless there were radical changes in the structure and trends of international trade and monetary policy it was unlikely that at this stage of the economic difficulties another Government would be able to introduce economic policies differing much from those outlined, the article said.

Because measures taken by the Government would be ex-