COMMUNISTIC STATE

Evening Post, Volume CXIII, Issue 141, 18 June 1927, Page 8

COMMUNISTIC STATE

(To the Editor.)

Sir,—How far have we advanced towards Communism in New Zealand, and how much farther do we intend to go in that direction? Communism, as we under stand it, is the system which claims "to nut r'Ylu v pnvate ownership and establish the absorption of all proprietary rights or the State for the common good. It claims the rigltt of the State to control production, distribution and consumption and an equitable division of labour Wo already have in New Zealand a fair amount of interference by the State in industry and commerce, namely, butter control, meat boards, fire and life insurance, railroads and other transport, eveu bus routes, while considering the advisabil ty of State banks, State controlled hotels, and other State institutions. At the same time the Government is allegedly strongly opposed to Communism, a system of State control. ■While-we admit that the State'does and can control certain public services and utiht.es, we know that the machinery of a State department, with its bonds of red tape, etc., is too cumbersome and unwieldy to properly control an ordinary inteiest of ownership, is lost, and success in team work and enterprise cannot accrue as time goes on. It appears, then, that we are not advancing under the present system, and the WHfv f°y Id s.e" OUSJy consider the advisace^th t^ lne °f of any bu^ei* except the business of government, leaving private.enterprise to do the rest. Private^ enterprise nowadays and in the future is not the individual trader or the partnership concern, but the joint stock comply of large or small dimensions In the writer's opinion the joint stock company or corporation will successfully control the production, distribution, financing and marketing of th^s country's goods and services in the. future. Large cor porations combines, or trusts are the controlling elements in industry even to-day, ?w 5? iu} are Vl l •?« WVter. strides in that direction. The joint stock concern enjoyg many privileges that individuals do not enjoy and no one within reason is debarred from holding one or more shares in tms torm of corporation, so that the great majority are entitled to. share in the efforts of production, and the profits Hf P fefi Vel tur-e at int<*vals during the life of- the business. The duty pf the Government, then, is ImiT k^Tl,^ of B°vemment and look, to the stabilising and improving of the commercial laws-of this country" particu arly company laws upon which joint stock companies are founded. There is plenty of room for improvement in this direction, and the time is ripe, over-ripe at this moment. Industry is hampered by the heavy company taxation, and" in this direction also a revision of the Taxation Act will help both primary and secondary mdustres, so-called. , - If the Government will make it a business to look after these- things and leave the business in its real sense to those who understapd.it, New Zealand will be that much better off, nnd a good deal further away from the much-dreaded Communsstic state,—l am, etc,

/ ECONOMIGUS.

15th June.