A WORD OF WARNING.

Dominion, Volume 4, Issue 1204, 12 August 1911, Page 4

A WORD OF WARNING.

TO THE COMMERCIAL COMMUNITY. (By Tclcgrapu.-Prcss Association.! Auckland. August 11. \t a meeting of the Auckland Chamber of Commerce this afternoon, Hie chairman (Mr. Leo. Myers) had something of interest to sav upon tho subject of caution in business 'and financial circles at tho present time. Mr. Myers said that newspapers had published tho value- of tho imports and exports in New Zealand during the quarter ended June 30, compared wi'th tho corresponding quarter of 1910, showing that while the imports had increased .£862,639 for that quarter, the exports showed a'dccreaso of J:950,20!). lh« publication of figures such ns these should 'make everv business man pause and rolled as to* their meaning. These figures combined make a difference ol nearly two millions. Their publication recalled witn intensifying distinctness and importance tho remarks made by Mr. Harold Beauchamp, chairman of the directors of tho Bank of New Zealand, nt the annual meeting of the bank held on Juno 16 last, whorcin he felt constrained td say that in. view of tho figures ho quoted dealing ivit.li the imports and exports of the previous four years it would be wise on tho port of tho business community to pursue a policy of economy and caution- Burin" a long period of prosperity such as had been experienced m New Zealand, tlio tendency to increase our private, municipal, and 'national expenditure had so easily developed that tho responsible section of the business community, without "stunting their legitimate enterprise, could not too loudly emphasise the necessity for prudence and restraint. Tho financial stringency that existed about three years ago could only be regarded by seusibla people as a hint of what was possible at any fi.mo should there bo a fall in (ho values of our staple products such as wool, butter, cheese, etc. It appeared to him that this was the right moment for the council of the Chamber of Commerce to givo expression to a note of warning to the commercial community, for the figured already referred to would seem to clearly indicate that over-trading was being generally indulged in. Now, the evil effect of over-trading was hardlv noticeable during times of unusual prosperity such as they had passed through during the last decade, but (hat was just the time wheu the l!u-'...i-?s community had to keep their mind.- v i U balanced, and iwiwi" the nc ecssity fur exercising a considerable degrot of pnidrni" and caution. Commuiiiitai, like individuals, were very apt to overlook the'leadlines of history, which clearly demonstrated that over-tradins was tho livsl cau>o of a weakness (hat hecamo manifest when the pressure of necessity compelled the brake to be put en. A word of warning such as h* had attempted to convey could not possibly muitato against sound coinnic.vci.nl progress.