COUNTRY'S FINANCES

Evening Post, Volume CX, Issue 117, 14 November 1930, Page 10

COUNTRY'S FINANCES

PRICES AND COSTS

NEED FOR. CAUTION The necessity of exorcising all-round economy was stressed by Mr. Will Appleton, of Wellington, when speaking at the Optimists' Club luncheon vestcrday afternoon on tho subject of tho present financial depression. He said that ther had been a cry lor tho reduction of wages, in particular Civil servants' wages. hvcryoue had to share in the sacrifice. He pointed out that all costs had to be reduced. \t tho present, export prices of New Zealand commodities were about -0 per cent, above 1914 levels, but wages were over 60 per cent, above that level. Perusuals of stock exchange lists showed that during the past few months both capital values and average dividends of leading stocks had dropped anywhere up to -10 per cent, on the aver--ice The present was a time for a closer co-operation between capital and labour. . , , ~ Ho expressed tho opinion that the Government and the municipal authorities should give a lead to tho people in the reduction of unnecessary public expenditure. An item he thought that should bo tackled at once was the elimination of standard rates of pay on relief works. Sensible business men would agree that railway construction at the present time was unjustified. If the money that was being spent ou railway construction was devoted to the opening up of land, we would receive something for the money. In reference to education, he considered that New Zealand was wasting thousands of pounds each year in providing educational facilities that were unnecessary. Secondary education was a very fine thing, but there was -in endeavour to impart higher education to boys and girls which was not warranted by the ability they displayed. In conclusion, he said he had no doubt whatever about the ultimate recovery of New Zealand. One of the brightest features was the fact that from all parts of the Dominion reports were being received indicating heavy production in the principal lines of primary products.