ADJUSTING VALUES

Dominion, Volume 25, Issue 264, 3 August 1932, Page 5

ADJUSTING VALUES

Lessons of the Slump NEED FOR FORESIGHT Mr. J. S. Barton’s Views Some lessons that could be learned from the depression were discussed recently by Mr. J. S. Barton, Chief Commissioner for Napier, in an address before the Napier Rotary Club. One of the effects of the slump, said Mr. Barton, was to make the people think. There'were numbers of people who did not bother about things in the normal course of events, but who, by being hard hit themselves, had been driven to give some attention to the actual cause of the depression. When the New Zealand constitution was formulated the lines- of development chosen were those of intensive production of articles of food from the soil. This was confined to a comparatively small number of the whole population, the rest being divided up under different headings of activity. Nearly all these headings, however, were dependent upon the primary industry for their prosperity and when that failed the whole scheme of things broke down. Mr. Barton gave the following figures detailing the number of persons engaged in New Zealand in different/ occupations, correct up to. 1928: —

Primary produce Industrial Transport and communication •••• 05,7-4 Commerce and finance 83,788 Public administration and profcssional 05.?55 Domestic and personal M,’™ Other groups 70,914 Total 592,245 Top-heavy Structure. Continuing, the speaker said that for the purpose of his argument the industry and well-being of New Zealand might be represented in a three-story building. The ground floor was shown to be very much smaller than the upper two floors, which appeared to be top-heavy. The ground floor represented the primary industries. Yet, when wondering how the building could be strengthened and improved many thought that the upper stories should be added to. The people of New Zealand should benefit from their visit to the “valley.” It was only while depression lasted that the people realised that different systems were required. When they were on the hill-top they should remember their misfortunes ,and put something by tb tide them over future difficulties. “If we could have had meetings in 1928 and 1929 to consider methods of currency and the proposal for a central bank, and had realised the necessity of building up a reserve, we should have been In a very different position from that in which we find ourselves to-day,” said Mr. Barton. Looking Ahead. “But if such a meeting had been advertised, how many people would have attended? Ido not think half a dozen. It is the truth that only when ppople are ip the grips of a depression you can get their Interest. Yet one cannot apply remedial measures during a depression. I trust that when the slump ends the people will decide that they will never again be caught napping and will take such interest and action as are necessary. “Personally I should be sorry to see the slump end immediately with . a meteoric rise. I trust the change will stay long enough for the feeling to bring permanently more sanity into our international philosophy.' “Unless we had been hit by the depression we would never have realised how foolish we had been in the past. Sb long as credit had been good so long would our foolish ways have continued.”