Growth strategy ‘positive’

Press, 9 November 1981, Page 6

Growth strategy ‘positive’

The National Party’s growth strategy was the most positive policy New Zealand had ever seen, the National Party candidate for Papanui, Mr Brian Keeley, told a public meeting last evening. He told the 80 people gathered in the Paparoa Street School hall that it was a policy of growth. “Growth for jobs, growth for industry, and growth for exports which are essential to the well-being of this country. It is growth for qur future.” : 7 \ Growth was the-answer to all of New Zealand’s economic problems, he. said. “Critics of the growth strategy called it the ‘think big’ policy. The opposite to ‘think big’’ is think stagnation.” ; . Labour and Social Credit policies were based on “mas "'MF '

sive handouts” and on a socialist system. A socialist system would not work in New Zealand because it was a democratic country. “You will have to decide whether you want to vote for a socialist government or a free enterprise government. National is a free enterprise government,” said Mr Keeley. New Zealand was fighting for its economic survival because it was no longer the “extended farmyard of the United Kingdom.” . The country had been hit by a series of oil 'shocks, which caused the price of imported goods to rocket and brought unemployment. Although the Government had' made “rapid and tough” responses to the problem', the increase in oil from $3 to $36 a barrel had brought inflation and an increased cost of X ' .

living. Big industry would help New Zealand out of its economic problems. It would not squeeze out small businesses, Mr Keeley said. About 3.5 per cent of the work-force was unemployed which was not acceptable to National. Australia had 5.5 Sir cent unemployment; the nited Kingdom, 12 per cent; Canada, 8 per cent; and West Germany, 7 per cent — “the same countries that also had to face the oil shocks.” Jobs would be created by large industries, both directly and as-spin-offs. Engineering companies ‘ in Christchurch had been given $l7 million in orders from the Tiwai Point aluminium smelter, he said. The growth . strategy proposed 45 such , projects. “There will be ripples and ■ hiccups but at least 90 per I

cent of those projects will go ahead,” said Mr Keeley. Alusuisse had withdrawn from, the Aramoana smelter project because the Govern--ment had stood firm and refused to sell electricity at the price Alusuisse wanted. The Government had withstood pressure from inflation because of its export drive. Agricultural exports had increased by 21 per cent, forestry by 102 per cent, manufacturing by 126 per cent, and fishing by 203 per cent since 1975. “Without exports this country would be on its knees,” said Mr Keeley. About 50,000 more jobs had been created since 1975 while there had been no population increase. In the last three years, 1600 more people were working on farms. The price of an average house had increased from

$30,000 to $50,000 recently, but the Government had kept the increases to 46 per cent. Housing had increased in price 88 per cent under the last Labour government, said Mr Keeley. It now took 170 weeks work on,-the average wage’to buy an average house. In 1975 it took 275 weeks work to buy a house, he said. The Government had promised a tax review and a working party was studying the matter. “But we are not promise big handouts. Someone has to foot the bill,” said Mr Keeley. ■ Labour’s tax scheme would be paid by a 6- per cent surcharge On imports. . “Everything .we import would go up m-Vprice, and just as we must , export we must also import,” Mr Keeley said. ft &