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APPEAL BY PRIME MINISTER

THE DUTY OF ELECTORS

(By Telegraph.—Special to "The Evening Post.") CHRISTCHURCH, This Day. A detailed survey of the difficulties through which the Dominion is now passing was given by the Prime Minister (the Right Hon. G. W. Forbes) when he opened his campaign before a crowded meeting in Rangiora. The meeting, which was fully representative of the Reform.and United interests in the district, gave the Prime Minister a flattering reception, and at the end of a two-hour address, which was followed with close interest, accorded him a vote of thanks and confidence without one dissentient voice. Mr. Forbes declared that the formation of the Coalition was the only reasonable step in the face of the country's difficulties, and said that the conditions were such that it was^the duty of everybody to place country before party. He made a further appeal to candidates who were standing in defiance of the agreement made to withdraw from the contests, and asked those who at the last election supported United candidates to support only Coalition candidates at this election. .

{By Telegraph.—Press Association.) ' CHRISTCHUBCH, 17th Nov. "When he came back from England, •aid Mr. Forbes, he found that the estimates of public income had altered considerably. ThaVwas in January; but it had.been clearly seen that there would bo a deficit in the balancing of the accounts. Preparations were made to meet this deficit, but nevertheless therewas still a deficit at the end o, the financial year. ~ In the present year, Mr. Forbes continued, they had again been faced witii ■a deficit, and had also to meet the problem of. unemployment. He detailed the history and work^ of tnc economic, session that was called, and thanked the Eight Hon. J...G. Coates 'and the Reform Party for the assistance they had given. Even during that short session the accounts went _ stiu ■ further in the wrong direction, and the position was worse by the time the Budget came down: The gap in the accounts was then £6,800,000. Finally, after the Economic Conference :it had been decided that it was necessary to set the whole-hearted support of the House. Mr. Coates was approached, but it had not been possible to get the support or co-operation of Labour. "That was how the Coalition came about," said Mr. Forbes. "Wo .felt the time had come when wholehearted co-operatiou for the good of the country was necessary. ■•' I felt the burden of responsibility as Minister of Finance too heavy for me, and I knew people wanted, security." Mr. Forbes said that at one time he thought the Coalition might make possible a postponement of the election, lut he had quickly realised that the authority of the country was necessary .to give the-Coalition Government effective power. Had there been a postponement the sitting members would have remained in the House, and it had been thought wise and fair that tbey should be the candidates for the election. That was why he did, his best to persuade Independent candidates to stand down. Now he asked those who had supported the United. Party before to support the official candidates again. Aspects of the last Imperial Conference and Dominion preference were discussed by MrJ-Foi-bes, who expressed : the hope that there might shortly be a trade agreement with Britain, giving us security in our principal market. REGAINING CONFIDENCE. -■:" W : & must now: set ourselves to re-gain-the confidence of people abroad, and to set ourselves to meet the deficiencies in revenue in all sincerity and good faith is by far the best way to do it," said Mr. Forbes. • : , ; There was one. thing about New Zealand I was proudest to hear in the Old Land: its reputation for soundness.That is the reputation this Government wants to se« continued. We will honour our obligations to the letter. . : ■',■'. •■..lt had been said in regard :to the cuts in the Public Service salaries that the cuts were unnecessary and, that the best way to meet the depression was to raise wages and give increased purchasing power. ;■■.. . "If that be so, I think we'should all want depressions all the time," said the Prime- Minister.' "There ,is only one way. to carry on this country, and that is to carry on as an individual, and that I. shall endeavour to sep done. "It hasbeen said that the depression is slackening, and I believe that that is so," said the Prima Minister. "I don't think there will, be any enormous improvement, but with a rise in tho prices of wool and butter I think thingswill slowly but. surely improve. However, the public finances are the first to suffer and the last to recover from a depression, and the Government is asking the country's mandate to take, the necessary measures to bring them back to normal." Mr. Forbes went on to deal with the recent decision, regarding aid to farmers by means of cheapening fertilisers and reducing rates. THE GRADUATED LAND TAX. "The farmer is too backbone of the country, and everything we do to help ■him helps the country. When you come up against conditions such as exist at present it- is necessary to face the facts and do everything possible to meet the position of all classes in the country. The sheep farmer has been hit hardept, and T , doubt if a single sheep farmer in the country has been able to pay his rates and taxes without,drawing on his reserves. , I have been made the subject of a good deal of criticism for my support of the abolition of the graduated land tax, but the Government has to lay the taxation burden equally on : those who pay. •I. dbn't care who . started the tax or put it on, but so long as I am Prime Minister I shall see. that taxation which cripples the major producing class in the country is lightened. There was no doubt- that unemployment was ono of the most serious problems faced by. the country, continued Mr. Forbes. He summarised the history of the battle with unemployment in New Zealand. "The money, we raise is exhausted almost as it is raised, and unless we can pufr men on productive works the country ' will soon be very heavily burdened. Mr. Coates is endeavouring to direct men into work in the coun-. try so . that the Dominion may get some return for the- money spent. When it is remembered that there has boen the phenomenal growth in tho number of workless of from 5000 to 50,000 I say we stand comparison with any other country. THE ARBITRATION COURT. It has been said that the Government is out to abolish the Arbitration Court. I deny that emphatically." Mr, Forbes considered, however, that it L was imperative that the system, should be revised. The time had come,when regulations restricting employers and employees should be overhauled. Industry; was in a strait-

jacket thanks to harassing : awards of the Court, and the Government would see that they were done away with. "The Government has been criticised regarding the smallness of the area settled by it," said tho Prime Minister.- "I was instrumental in getting through an Act which gave the Government authority to break in land before opening it for settlement and to give advances to settlers. The result has been that a considerable area of Crown land has been settled in recent years." RAILWAYS ON BUSINESS LINES. , Mr_ Forbes commended the setting up of tho Eailways Board. One of the contributory, causes of,the Budget deficiencies had been the demand of money by the. railways to. pay . interest on construction costs. The/ board was constituted of businessmen, and it was their duty to see the railways run on something like : "business lines. Last year the railways had been able to pay £.680,000 as their toward the interest payments. This year the railways hoped to pay & 900,000. Revenue was now slowly catching up with expenses; the board was now out to cut down the. enormous sums the Consolidated Fund: had to pay. out on behalf of the.railways.in the past. Mr. Forbes discussed at length the position of Mr., .H. .H, Sterling, and praised iiis action in accepting the chairmanship of the Eailways Board. "One of the duties of the board was to report on the lives under construction which later they would have to carry on," said Mr.. Forbes. f'They recommended unanimously that construction should be stopped. I regretted the closing down of the South Island Main Trunk, but our financial position makes ono very loath to spend huge sums ou railways. Furthermore, it has been impossible to raise money anywhere in the world for railway construction, because no railways anywhere siro paying."' ■ ■■'.'.■■■ ..•■,.'■■ . ' ■ DEVELOPMENT OF INDUSTRIES. The Industries Development Board was mentioned by Mr. Forbes. Dealing with the encourageuient[\of local industries, he thought a good deal could be done in reducing overhead costs in local secondary industries, and that was cue of the purposes for which th'o new board had been set up. Many of the by-products of industry could be improved as well as many less important national products. "We realise that an improvement in unemployment depends upon the success of local industry, and any industry that can be carried on on sound lines will receive help from the Government." LABOUR'S SMOKE SCREEN. Mr. Forbes criticised severely Labour's promise regarding unemployment and banking. "They propose to take over the banking . system,", he said. "I think they would have to if they wanted to carry out the proposals for uneraploy-. ment—a full union wage." Mr/ Holland had said that he would reorganise the resources of the Dominion on modern lines. What had he meant? That was what they were doyig in Eussia.. ■ : : , "I know that in Parliament every proposal for economy has been opposed by the Labour Party," he said. "They said we must build up, not cut down; but a man. who has 20s cannot get 30s without doing somebody down. All Labour's vague generalities amount to .a smoke screen., Wo know we are up against hard economic facts; that wo must! cut down expenditure, and that we must all carry , the burden. A cutting down must take place even in. education, for we cannot afford to spend £3,500,000 on education alone. "Wo must have a strong Government, which is impossible without strong support," Mr. Forbes concluded, "in,order to face all the facts, in all their importance, of the economic position."

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https://paperspast.natlib.govt.nz/newspapers/EP19311118.2.63.1

Bibliographic details

Evening Post, Volume CXII, Issue 121, 18 November 1931, Page 10

Word Count
1,730

APPEAL BY PRIME MINISTER Evening Post, Volume CXII, Issue 121, 18 November 1931, Page 10

APPEAL BY PRIME MINISTER Evening Post, Volume CXII, Issue 121, 18 November 1931, Page 10

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