The Dominion WEDNESDAY, APRIL 13, 1932. THE TONIC OF CONFIDENCE

Dominion, Volume 25, Issue 169, 13 April 1932, Page 8

The Dominion WEDNESDAY, APRIL 13, 1932. THE TONIC OF CONFIDENCE

While the Government in its policv now beto^ e / arl . iai F e ‘ lt nn . trning the right way about laying a firAi and sound foundation oi which to rebuild prosperity, it is fading to.recommend~its pr g to a great many people because most of the emph , ‘ on the means and too little on the end. The psychology o the situation has been neglected The has shown exceptional courage but not enough understanding./ The count y ■ upon to endure hardships and has responded splendid y. . - begins to falter, it will be because not enough has been said about what- it can hope for as a result of its effort and sacimce. The tonic of confidence is needed. More attention must be given to the national morale. Hope breeds confidence, and con i cnee : enterprise and trade. It would be idle to deny that there is a general lack of confidence to-day, the unfortunate result being that t e depression sinks deeper than the facts warrant An i hist raton ,s ready to hand in the latest bank returns. - The total of deposits is higher than it was a year ago, and actually H mil! ,ons hl f^ er II F in 1928, a good year. The trouble is that now so large a propoitio (over two-thirds) is tied up on fixed deposit, whereas four years ago the percentage of free to fixed deposits was almost - cold P figures speak of a cold fact, loss of faith in the future. People want to be reassured. They want the stimulus to effort which comes from the assurance that they are fighting a winning battle. Such faith and confidence has been engendered in Great Britain where a magnificent spirit his been aroused and held, lhe national morale has helped enormously in overcoming forbidding circumstances. It seems as if the people there have whole-heartedly identified themselves with the National Government they chose, and the Government has held with the people, in a conquering double partnership that has reduced mountains to molehills. »Surely that is not because the Btti 1 are a more responsive or a stouter race; New Zealanders are the same stock The difference seems to be that our leaders, immersed in then problems, which are also the nation’s, have paid too little attention to heartening the people by telling them the happier end of the difheu t path they are being asked to tread. • . . If people are given too little hope to feed on, it is no wonder if there are doubts and forebodings. To what end? they ask. Self-ques-tionings become insistent, and next become general. Ihis aspect of t e situation has received too little attention from the Government. On the other hand, in Parliament, at public meetings, from street-corners —in season and' out of season and all the time—the Labour-Socialists are busy with * their destructive criticism, undermining confidence, weakening the team-spirit, sowing the seeds of doubt and discontent. Is it surprising that there should be waverers? It is not easy to stand fast in adversity Unless we have a clear conception of what we are standing for. • , • , i Now we firmly believe that the Government is on the. right track with its policy of a general readjustment of costs to a lower price level. We are strengthened in that belief by what is happening ,n Australia, where they made an earlier start and, by all accounts, ate already beginning’to see the light. In spite of Mr. Langs defaults, the Commonwealth hopes to balance its Budget., In all the States but one there is a growing feeling of confidence, reinforced by the facts of better business and declining unemployment. The exception is New South Wales where the Labour Premier is applying the policy that our own Labour leaders recommend —that the remedy for a reduced income is to spend more. The other States and the Commonwealth are trying with fair success to reduce costs and live within their income, and are beginning to reap their reward. Of the necessity dictating the course reluctantly taken by the Forbes-Coates Government, there can be no question. We all know in our hearts,-that there is no easy way. Did we not, the figures supplied by the Economic Committee showing the sharp contraction of national income and public revenues would convince us. But the Prime Minister should supply the country with a moral stimulus to help it travel the hard road. “A merry heart goes all the day, Your sad tires in a mile-a.” Something to hope for and look forward to; some assurance that, if we plod on a little further, we shall begin to emerge from our difficulties —that is what is wanted now to sustain us and restore our confidence and strengthen our efforts. Ihe tonic of confidence will hasten the return of better times.