DOMINION TOPICS

Dominion, Volume 29, Issue 208, 30 May 1936, Page 20

DOMINION TOPICS

Fantastic Figures. The leaders of the Labour Party are supposed to have given much attention to social conditions and to be authorities on the subject. When, therefore, a Labour member like Mr. A. 8. Richards, who has been the representative of the Roskill electorate since 1931, made a statement about the number of those in the Dominion who received large incomes, it was to be expected that he would Know what he was talking about. He told the House that a little group of SSOO persons in New Zealand earned between them for the year 1934-35 "more than £00.000.000. amounting to over 30 per cent, of the total assessable income for the year.” Tlte statement is. of course, ludicrous. We are asked to believe that 5800 people each receive an average income of over £lO.OOO a year. If true, it would be a wonderful windfall for the Commissioner of Taxes, who has only been able to discover seven persons with incomes of over £lO.OOO per annum. The figures are clearly set out in the monthly Abstract of Statistics for January. 1930.—“Taranaki Herald.”

Our London Funds. Given a further development of imports. which in the present exchange position of the Dominion the Govern meat should do everything in its power to encourage, a gradual fall in the total of the London funds may be looked for in the near future One of the needs to Ulis end is the opening up of more profitable avenues for the use of money in New Zealand. Until the opportunities for bank advances and the investment of private capital in the Dominion are much more numerous and attractive than they are to-day. the banks will have no alternative to leaving their funds where they now are. mainly In London. The method of taxing banks in New Zealand operates to drive away their unemployed funds, and the only important lodging-place where these funds can lie employed to earn some return during their absence is in London. Thus the London accumulation has a close connection with the level of bank deposits in the Dominion While these variations in bank funds tire occurring it is interesting to observe that there is a definite rise in the note issue, which indicates that more money is in the hands of the people and more cash is circulating in business.—“ Auckland Star."

Co-ordination in Transport. Co-ordination could not be developed save in a very imperfect degree, by the Transport Co-ordination Board which is now abolished, because the board bad no control over the railways. There "'ere also too many licensing authorities for agreement on principles to be easily attained. When Ihis Bill is passed the Government — or l-wo members of it. the Transport and Railway Ministers —will have control over road, rail and air services alike. Private transport operators will have no voice in administration. It is a despotism which, while offering the best advantages for co-ordination, can easily be abused, but this Government is bold. Not the least result of its scheme of guaranteed prices promises to be in making trouble for itself. The trade policies that have been explained to deputations representing first New Zealand and then British manufacturers bear most resemblance to a process of squaring circles. And in this matter of transport control, as in some others, the last motto which it can be imagined as laying down for itself or for successors is : “Lead us not into temptation.” —Dunedin "Evening Star." Traffic Laws.

The legislation designed to control ti attic in New Zealand forecast by the Hon. R. Semple cannot too promptly be brought into operation. Every day In almost every town of importance in New Zealand accidents of a more or less serious nature are happening as a result of motorists driving when in a state of intoxication, and neither penalties nor threats of more serious ones are of avail to check the practice. The chief difficulties are the indefinite attitude of magistrates when dealing with offenders and a capricious fate which distributes the consequences of dangerous driving with wide partiality. One mail knocks down a lamp-post and another kills several people, though in principle the degree of their culpability was at the outset equal. The Minister has promised that attention shall be given this matter, and the outcome is certain to be imprisonment for varying terms according to circumstances. “Southland Daily News."

A Harassed Minister. For the first year, at all events, direction of tile Government's marketing policy is likely to prove a full-time job for the responsible Minister. There is the additional consideration that Mr Nash will be absent from the Dominion for a lengthy period, during which the portfolios of Finance and Customs, tor the purpose of domestic administration, will have to lie accepted by others. Mr. Savage lias said that an increase in the size of Cabinet is inevitable, "with the pressure of work under which Ministers are at present labouring." There is no suggestion that a redistribution of portfolios would avoid the necessity for actually adding to Cabinets strength, although it is to be surmised that such a solution has been examined and wili be further explored befoie there is recourse to the alternative Either way there ap]ieiirs little prospect of relief for the harassed Minister of Marketing.—"Otago Dally Times."

Housing. The private investor having been eliminated by legislation and other circumstances from supplying the need for dwellings, there remains but the State as the source from which the lie eessary finance can he obtained. It is true that public moneys spent previously in the erection of houses did not always prove a wise Investment. On the. other hand, in the majority of cases where State loans were granted for the provision of homes they proved of great assistance to the wage-earner and a wise investment for the Dominion. If the new social order is to give more leisure hours to workers comfortable homes are more essential than ever, for it is a well known fact that nothing breeds discontent and unrest more proliflcally than uncomfortable ami overcrowded dwellings. The Goveriiment has promised a comprehensive housing plan. If would be in the interests Of the Dominion if it could be made available without delay.--"Taranaki Daily News.”

Upsetting the Balance. To control primary production successfully al one point so that the farmer gels a guaranteed living, the State will in the -end have to control it at ti series of points, involving not only marketing and prices, but distribution and production methods, land values, mortgage investments. How else can this control be fully achieved except through land nationalisation, in effect if not in fact, tinder which farmers will become the servants of the State, receiving their "average’ prices and dtdng as they are told by tlte master employer and land-owner? We wonder if the thousands of farmers in New Zealand who voted Labour at the last election realised that processes like this were involved in the guaranteed prices scheme that so greatly tempted them. We wonder, too. if the Labour Government when it first adopted the scheme as a plank of its policy, understood bow far it would be led in its efforts to make the scheme effective. —“Southland Times.”

Mr. Nash’s New Job.. Mr. Duncan is at present a member of the Executive Commission of Agriculture and was widely known previously as an expert in the finance, management and administration, of the dairy industry. Tlte commission itself is being retained to organise the department, and arrangements are being made to take over the staff of the Dairy Board. Hence a valuable fund cf knowledge and experience is to be at the disposal of th.e Minister and he will have full need of it.' The functions of his department are to make all necessary arrangements for the acquisition of any primary products (dairy produce to begin with), the marketing at home or abroad of piimary products, whether or not acquired by the Crown, and the making of freight contracts. The Minister must also largely determine the prices to be fixed from time to time. The whole represents a vast and hazardous experiment with a vital industry.— "New Zealand Herald.” Transport Licensing.

Tiie position under the Transport Bill is that the Minister, which means the department, will be the final court of appeal. This is just another illustration of tiie acquisition by Government departments of judicial functions I'hieh they can hardly be qualified to discharge. To tiie Minister's own statement that while be is Minister of Transport "there will lie no injustice imposed on anybody” it is sufficient to reply that he will have more than enough work to do without inquiring into the details of all the services in a very complicated and Dominion-wide system of road transport. Whether he intends it or not. this task will have to be left to Ills department and his decisions will necessarily be guided by its advice. All that he should be called upon lo do is to lay down the principles of transport co-ordination and sec that they are carried out. Disputes regarding rights should be left to the decision of the competent tribunals. — Christchurch "Star-Sun.” Dairy Produce Prices,

Prices for butter and cheese have been above those of 1934-35 throughout tlie past season, and to-day are at a level which assures most farmers of some margin of profit. When the final returns for butter are known, the average for 1935-3(1 should approach twopence a pound above the previous season. In the Auckland province, which means chiefly the Waikato. this should represent a gain in butter values little short of £2.000,000. Not without reason has it been said that Auckland lives on the cow’s back. Last year more than two-thirds of the butter shipped from New Zealand was the output of this province, and this hail been the proportion over a series of years. The Waikato is justifiably proud of its great industry, and it is fortunate for Auckland that dairying has emerged from the depression with its efficiency unimpaired.—“ Auckland Star.”

Two-Way Trude. No profound knowledge of the intricacies of fiscal philosophy is needed to appreciate the immense significance of Australia’s determination to deal with indifferent purchasers of Australian goods, and at the same time give more favourable consideration to the claims of intra-imperial trade. Indeed, it remained for the Prime Minister of Australia to reveal the full purpose of the changes in fiscal policy, and tills revelation ought not to lose its significance in New Zealand. "The new tariff lias a twofold purpose." declares Mr. Lyons, namely, “to provide pre ferenee for British goods, and create markets for Australian primary products. and at the same time stimulate Australian secondary industries, while keeping the ultimate aim of Australian statesmanship in sight: the resumption of immigration from Britain on a moderate scale. —“Tiinaru Herald." Our Defences. In view of the discussions at Westminster it would be sound policy it' tile Minister of Defence would inform the Dominion what steps are being taken, ot are proposed, to overcome any weaknesses in (lie defences of New Zealand. It is not suggested that details of policy should be given, but an outline of the Government’s plans and preparations would reassure many who are gravely perturbed. Whether justified or not. the Government is considered by many to regard defence as a matter of less concern than social adjustments. But without adequate defences the best of social systems may be crushed by force, and the ideal of a more abundant life be superseded by subftTVience to autocracy. —"Taranaki Daily News." Guaranteed Prices.

The Prime Minister inis said that only if the marketing of wool and meat should "get into difficulties” would the Government take action. This, it must be admitted. Is an altogether different attitude from that adopted during the election. In the official manifesto of the Labour Party, Issued on November 8. it was stated plainly: "During the first year after taking office the Government will pay guaranteed prices for all primary production." The decision to limit the plan to dairy produce was reached soon after Labour became responsible for the control of affairs, ami the limitation itself seems to Indicate that others besides the .Minister of Agriculture regard the move as a tremendous experiment.—“Waikato Times.”