Reconstruction Scheme

Dominion, Volume 26, Issue 220, 13 June 1933, Page 11

Reconstruction Scheme

Sir, —I was pleased to see the report of the “Citizens’ Ccheme,” for reconstruction and unemployed relief as outlined by the representative meeting of leading citizens in Auckland, and 'think they should be congratulated on the attempt to do something and do it quickly. Cannot . Wellington organise a similar meeting immediately to wait on the Acting-Prime Minister or Ministers in Wellington to impress on them the necessity of doing something big to increase spending power? Surely they 1 will follow on now that the "ball” has been set rolling on a worth-while field.

Urgency is the keynot of the whole business. Mr. Coates’s reply that “he still believed better times were ahead,” :.s typical of the present Government’s attitude. It is almost impossible for men in a good continuous position, with plenty of salary and expenses, to realise the hopslessness of the unemnloyed.. the poor, the hungry, and the cold. If they could be induced to go personally—like the Prince of Wales has done—amongst these unfortunate people, they would no doubt get a better idea of what is required, and instead of answering gentlemen who know the position, from their Ministerial offices, they would realise the futility of saying. "Better times ahead.”

I have previously*—months ago—suggested a raising of £5 to £6 millions for .similar nurnoses, not at 3 per cent., costing £150.000 a year in taxation.- but in issuing local Government currency, free of interest, redeemable over 5 or 6 years on a small tax of up to 6d. in the £l. similar to the unemployment tax. If the security is good enough for the banks to issue a loan of. s'ay, £6 millions, surely it is good enough for the Government to create currency cumpulsory legal tender in New Zealand, the same as/ notes were made compulsory local tender in war time, when gold was withdrawn from circulation. The opposition to such a scheme will not hold water if the scheme is properly handled, and only a controlled amount sanctioned. —T am. ef<-.. EQUITY. Wellington.. June 6.