Socred defends monetary policy

Press, 9 May 1981, Page 3

Socred defends monetary policy

PA Wellington The National Party's assertion that the Social credit Political League would simply "print money” to carry out its Lnancial policies was "a deliberate appeal to emotional fears,” said the deputy leader of the League, Mr Jeremy Dwyer, yesterday. Such tactics would no longer work because of the growing conviction among people that nothing could be “phonier” than the money that was "zipping in and zapping out" of their pockets today. Social Credit's financial policy was based on sound principles of modern management techniques. Both Germany and Japan made use of financial techniques which closely mirrored some of those advanced by Social Credit. Social Credit's case for a New Zealand Credit Authority was based on the argu-

ment that the responsibility for the creation, issue, and cancellation of credit had to be placed under the guardianship of an independent authority responsible to Parliament. Management techniques or guidelines to be applied to monetary policy under Social Credit would include proper rewards and incentives for investment and saving, the channelling of investment money into the growth of production, and- the spreading of taxes over as broad a base as possible of individual and co-operative enterprise.

A Social Credit government tax take as a percentage of the gross national product would be progressively reduced and the use of internal credit as a revenue opton would be increased, with a corresponding and offsetting decrease in present high levels of taxation and borrowing.