THE COUNTRY'S CREDIT.

Dominion, Volume 2, Issue 422, 3 February 1909, Page 4

THE COUNTRY'S CREDIT.

'" Sir,—TJifj;position public credit is .in . (jvory"tcorin|ry'4undoy ;, representatiive .institu-:tioris-a most'important- question,; arid in-.'a Stealthy/'stilte of .the piiblib : mind- its disaus-: •/gio# .m ; ust;nbe,v^^^ }Viieri; to, : thcre' ■.isv;rJßason i ,,|pr "£he.isuggestion': that .the '.position will.::not .hoar" 'cjoso examination,. ..with. 'WS 'ASlia't'-isysjiicßiVi' and .anxiety, "are tfeat«i.;:i"Here,' Jl ffbm, Whatever cause, any keenly, resented* by. .-' and ns-.der scribed'as "urip^friotie.and;intended {ooblast ''bur' 'creditj^'a;ridiis: ; oftetf'denounced'. by ,-tljesb r g'eritllriieii4ri-immbddf ate s or, coarseiangiiagp. As a case in point,.-my .letter.- in your.recent, issue-has provoked. ..the ; ire of a:, "southern contemporary,". whoss{ editor,: while' seeking to confuse the, issue, -is; moire .than 'ordinarily, vapid.'- -; Hel the';point'by introducing.:■£!'comparison hetween.our bonds -.and-J.m^enal_Ciirjsoki^oJß:.;which the,' interest, .-.has/been, produced to 2} per cent., and;which :sjnce': haye.;. not. been,-regarded, as : a'-.de-"sirableinve'stm'erit'jlhelmperial public credit jyas through .the : BoerWar,-and M cbhtinnisVso affected4>y the. unsottledxoh--:'ditlolat=.|ifepfibli'c,.«lfairsjYboth in ■ Erig\and and 'a^i , ''6"Sa^'**'Frbrfl i ;''these"''(iSnsideratJoris'.np paConsols and pur •" bond's.;:"'^NjpKis.; there'■ '■' any value either *iri''the OTli6r';''cpmpa'ri£oris which, this worthy '.'editor• ; 'set5 4 ,'A'he'°(riiestion .to which ■; 1 ;sought- .was ;tho position the; SeddonWard ■par i ty c; succeeded ; :to office, and its pbsi-. . tionv-te^ay'i'^'with.;jtho - producing ;■■ so .niarkedia.rotrogressionasdisclosod-again last, week "by j'thp'sale of:'£'600,000 four per cent-.bpndsyn;Londpri;at:a'-preminm':.of only f to i demurs to my ascribing 'the. position '.'of. .iNew. Zealand' in 189o^8,iasja>''result.';.'of.';the''-self-reliant policy assoc.iated--.with.-tho'.vname :of,, Mr. Ballarioev True,-. ; the. r might more ,"acouratelif yhavo -been-attributed tp Sir."Harry'. ;Atkin^oni,but:frbnvthis,-their common.policy, Mr.'. Spddon ;had' then- made no .marked ,'.&&-. then, been:large,ly.restored;: d't''might, however, :be rioted as more in point that:in .February ■ 1899, wheri ■thei'-milli'ori.;'.loari : VwosVfl<iatad, .the. Bank of Englandftdisconnt.i-rate-was '3 per; cerit.,.'as it 'was : last, week when -'.this,: Government's :i : per.,;cent,. loan ; wasX.sold "at a. fraction, oyer par.r-prßctically,:.-iriifaci,>'atf the; same- rate as-Jthat' r days.later.'for .-If Ihad sought;:'as this editor is pleased to''say, ;credit,:or.oven;to expose .Ministers, I ;!;' raight.-,have-said: miicH. more oyer; rates paid: and'.tbe,'extent of Governfrient -b(jrrowiiig- ; for-six-Tyears- back/:but the posi-,:tionv;to':which"-I have drawn "attention is ; .the present,..as:compared„with that .existing:be■fpro .onHheir present pro-: iligatS career. '-TheiGoVerrirnerit may yet go -muefc-further:in building'up debt at '.these high' rates and by short dated /loan, :but the position. boiili Preated; is :-most: dangerous and ;calculated--to.-: I'vitality -.of -the ; Dofor .long year's' to :'■:-'■:■•: ■..h-:~'-:. < f <! : ; .;,£{&UMy, : 2fi,^ : ., ,v:■ ,'.;„,,;;:!; ■.';':;.:,;,.::