"A SUPINE BUDGET"

Evening Post, Volume CXV, Issue 24, 30 January 1933, Page 10

"A SUPINE BUDGET"

In its editorial under the caption, "A Supine Budget," the "Auckland Star says:—"The Budget gives no hint of what new sources cf revenue it is proposed to tap beyond the bald statement that additions to taxation will be necessary. The public is left completely in the dark on a matter of vital concern to everyone. The only inference is that the Government does not know where it will be able to get the money, and it is now beginning to cast around for a sum which is almost as large as the amount it expects to callect next year in income -tax. Even in good times the raising of an extra two and a half millions would test the capacity of a Minister of Finance. What is the position to-day, with the law of diminishing Teturns operating in every direction? There is no evidence in the Budget that Ministers have used the opportunity given by the sudden adjournment of the House last December to give undivided attention to the busi-

ness of the country. What they-were expected to do has not been done. The Budget statement makes it clear that they have been obsessed by the question of exchange, and tells only too plainly of the confusion caused in the Treasury Estimates by their action in forcing up the rate on Loudon. In spite of the adverse effects, Mr. Coates appears to take a roseate view. He thinks the immediate losses will be offset by beneficial effects later. Such an assurance would carry more weight if it were supported firstly by some calculation Showing how far the addition of 15 per cent, to prices paid to the farmers may enable them to meet •their interest and other obligations, and secondly by definite proposals- for finding the sum necessary to balance the Budget. 'An impression of vagueness is left by perusal of the, Budget. The figures are speculative, and there is an airiness about the attitude of the Government to finance which is disturbing to business and to the public generally. There should be a definite indication of new channels of revenue it is intended to explore, and of further savings in departmental spending."