DOMINION TOPICS

Dominion, Volume 29, Issue 226, 20 June 1936, Page 18

DOMINION TOPICS

Labour and the Banks. The annual report on the transactions of the Bank of New Zealand last year discloses the unshakable stability of the bank’s financial position, and the important part the banks have played down the years in financing and developing primary industries by providing the necessary finance to facilitate the transport, distribution and sale of New Zealand’s products overseas; to say nothing of the assistance given by the banks ip the promotion of progress along sound lines in the commercial and industrial development of the Dominion. It is not surprising, moreover, in view of the sweeping legislative changes that have been forced into the banking system of New Zealand by the amending measures passed by Parliament since the new Government took office, that bankers should examine these changes for the purpose of informing their shareholders just how far the new legislation affects the trading banks. —"Timaru Herald.”

The Government and Broadcasting. Historians write about Henry VIII tuning the pulpits to the policy of the Crown. Mr. Jones will be able to tune the microphones to the policy of the Labour Party, which sees in radio an instrument of propaganda or of "publicity.” the gentler word used by the Prime Minister in discussing the Broadcasting Bill. Obviously it would not help this scheme if the council were elected by listeners. The council would then have a representative status that could not easily be ignored. A puppet council is a far, far, better thing. Nevertheless, listeners should not be put off with this sham. They pay for the broadcasting organisation and should demand a voice in its control. Thev should protest at the Government’s betrayal of the democratic or representative principle professed by the Labour Party, but directly denied to listeners. —“New Zealand Herald.' The Maori and the Tourist. In a recent address to the' Philosophical Institute of Canterbury Dr. I. I* G. Sutherland stated: "The Maoris are too frequently expected to provide a picturesque, romantic side to New Zealand. They are generous to a degree’, but this expectation of them always to put on a show for visitors is bad.” In view, of the important ceremony at Waitara at the end of this month, when a statue of the late Sir Maui Pomare will be unveiled, Dr. Sutherland’s remarks have a timely application. Unfortunately the very thing he warns us against has actually happened. The Maori has become a tourist attraction, and his character has suffered. Instead of his natural generosity and ingenuous simplicity one sometimes finds craftiness and lack of sincerity, the whole nature of the Maori being coloured and marred by commercialism. - "Taranaki Daily News.”

The Public and the Navy. The president of the Navy 'League has deplored the apathy of the public. Such apathy probably is not rooted m ignorance or disregard of the dangers inherent in insufficient naval protection, but in a feeling (stronger probably in New Zealand than in Australia) that this is primarily Britain’s business. If it were ever so, it is not so now. Australia, until the depressionobliged the Government to make drastic “cuts,” maintained a naval squadron, the Royal Australian Navy, which in war time was of great value in the Pacific. That squadron was built up. and now is being rebuilt, on a basis of national pride and popular support. It is felt to be “Australian.” Nationalistic sentiment can be perverted, but it is properly used when it is aroused In support of the nation’s defences. _ It could be so aroused amt used in New Zealand, in support not only of the Navy, but of the other services which have a part to play in the Dominion’s defence.—“Auckland Star.” The Price of Butter. At the middle of May all butters in store were estimated at 13.362 tons, compared with 20,654 tons in May, 1935, and 28,512 tons in May, 1934 Production in the Northern Hemisphere is reaching its peak, and tne Australian output on account of dry conditions will be considerably than last season. If -by August 1 the improvement has been maintained and the industry can no longer lie said to be in difficulties. Mr. Savage to be logical (lie lias spoken of guaranteed prices as though they arc to be applied only to industries in distress) shou.d abandon the scheme. If he will not abandon it, he will be faced with the unpleasant task of persuading tae dairyfarmers of New Zealand that although their butterfat is worth perhaps 16d. or lid. a lb. on the London market they must be satisfied with his guaranteed price which, unless it is artificially “weighted” at the taxpayers’ expense, will be at the most 13d. a lb. or a fraction over.—“ Southland Times.”

Labour and the Press. The Postmaster-General attempted to justify a Government dictatorship of the radio by suggesting that the newspapers ■ restricted the news service broadcast over the air. In support ot this view he quoted at length from a statement made by an Australian Minis ter regarding conditions in Australia, and inferred that a similar position existed in this country. It is true that this criticism was uttered by Mr. Parkhill, the Australian Minister ot Defence It is also true that the statement'was subsequently corrected, and that Mr.’ Jones made no attempt to "ive the same publicity to the collection of charges which were admittedly made under a misapprehension. And Mr. Jones is a responsible member of a party which demands a fair presentation of all the facts. In any case, there is no parallel between the practice in Australia and that existing in New Zealand.— "Poverty Bay Herald.’’

And the Money? The Dominion has yet to learn how the programme the Government is now empowered to carry out is to be financed. That most important explanation will be the -main feature of the second half of the Parliamentary session, and whatever may. be the Government’s financial proposals it is certain that the Dominion cannot insulate itself from the influence of economic forces in other countries. The enactments of die session will entail increased costs in industry, primary and secondary. They are nt the same time to prevent any undue rise in the cost of living, to rationalise industry by eliminating wasteful methods, and, most Important of all. they are to increase employment. Every one of these aims is commendable. The methods chosen for the development have yet to be put to the test.—“Taranaki Daily News.”

The Trading Banks.

The remark is sometimes heard that the trading banks have made profits that are unduly large, but when the experiences of some other countries under a different banking system are remembered this Dominion has reason to be thankful that the institutions here have been conducted with rectitude and sound methods. For some years subsequent to 1895, although increasing profits were earned annually, no dividends were paid to shareholders (of the Bank of New Zealand), all surpluses being used to write down assets and place the bank In a strong financial position. To-day the shareholders are reaping the benefit of that policy. It is only fair to remember at this moment that the trading banks have been important factors tn the development of New Zealand from national poverty to prosperity, that they have saved many producers and traders from financial disaster, and that their shareholders are not, as is sometimes supposed, all rich people, many being possessed of small means, to whom the successful operation of the trading banks is an important matter.—Dunedin “Evening Star.” Maintenance of Main Highways. The State will take over no antecedent liabilities in connection with these (main highway) roads, which means that local bodies which have been progressive in their methods will not receive any compensation for the work they have done, while backward areas will be provided with first-class roads without any expenditure. This arrangement will not be favourable to Taranaki, but we do not think it can be avoided. Districts with good roads have benefited from their existence and the attempt to assess the compensation for past expenditure would be an extremely difficult task and would satisfy no one. The local bodies affected will have more money available for county highways and rural roads. The Minister hopes the local bodies will not neglect the maintenance of State highways during the period before they are taken over, and we share this hope. Our advice to the Minister, however, is that there should be the least possible delay before the State takes over complete control. It would be wiser if the Bill included a provision that any approved expenditure on State highways by local bodies after July f and before the roads are taken over will be refunded. —“Taranaki Herald.”

Radio and the Press. We are more concerned at present with demonstrating the limitations of broadcasting than with championing the cause of the newspapers. Nothing in the world could threaten their position, for they are as essential to the daily routine of the average household as breakfast, dinner and tea, and in tabloid form provide the reader with the news gleaned by' a world system which in the aggregate costs millions every year to operate. That is the chief disadvantage the radio suffers by comparison. It cannot supply the news of the world to be read at leisure, and would have to be functioning continuously day and night to broadcast the contents of the morning and evening newspapers in the cities. The radio should not aspire to be a competitor with the newspaper, but should content itself with providing entertainment for its vast clientele, which it alone is capable of serving with music, song and story anything like adequately—“ Southland Daily News.”

Labour in a Hurry. So fast has the Parliamentary machine been working that the public must be a little bewildered and some of the measures affecting them intimatelv will be in operation before they have bad an opportunity of knowing just in what respects methods and systems in use will have to be modified. The Government itself realises that there is likely to be a period of confusion, and it has been a little unfair to the industrial and commercial communities in making the interval before the measures come into operation so short. In fact, it is doubtful if the necessary changes to the machinery of State can be completed in the brief term allowed.—“ Christchurch StarSun.”

A Delusion and a Snare. , It may be that a boom period is now approaching. If so, it is as a psychological reaction after the depression. There is a danger it may become a national debauch of spending. There is nothing more certain than that after a debauch there must be a dismal reckoning. Any persons who believe that public spending can go on ad infinitum, and that bills for payment will never be presented, delude themselves. The bills will come in;, they always do. Optimism may readily degenerate into folly, with an inability to perceive the risk that, by overheated political and economic air. there may be created a new area of low pressure comparable with, or even worse than, the one that is just beginning to dissolve.—“Otago Daily Times.”

Restored Stability. The annual report of the directors of the Reserve Bank contained a very significant quotation, to the effect that ’‘an area covering more than 85 per cent, of the world’s trade had enjoyed for a full year the benefit of practically stable exchange rates.” There were no changes, it added, in the basic rates quoted by any country in the sterling group. The period of stable rates is welcome for several reasons. One is that it may be taken to mark the close of a long period of wild fluctuations. These movements have constituted one of the worst obstacles to the restoration of world trade. Business firms could not operate freely when exchange movements might impose heavy losses. —“Waikato Times

Hotel Licences. At present the distribution of hotel licences bears no relation to the distribution of population; and licensing committees have no power to remedy the situation. It is absurd, for instance, that a petition to Parliament should be the only means of securing the transfer of a licence from Thames to Matamata (this was the case that provoked the Rotorua committee’s resolution) or that the owners of a large tourist hostel on the West Coast should be unable to get a licence, despite the fact that most West Coast'towns have far too many licences. The trouble seems to be that the periodical battle between the prohibitionists and their opponents prevents the sane middle course of licensing reform from making any headway. — Christchurch “Press.”