TOWARDS THE GOAL

Evening Post, Volume CXXII, Issue 31, 5 August 1936, Page 6

TOWARDS THE GOAL

MUCH ACHIEVED

BUT MORE TO BE DONE

LABOUR'S RECORD

In opening and closing his speech, the Minister of Finance dealt with the achievements of the Government since it assumed office early in December last. He claim' ed that the record was worthy of New Zealand's earlier ; statesmen, ' but. stated that the legislation passed was not enough. Much work still remained to be done. • • "The election campaign which con-1 eluded on November 27 of last year followed extraordinary difficulties to primary producers owing to fall in prices, and consequential over-mort- i gaged land," said Mr. Nash. "This | was associated with cuts in salaries' and pensions, and reduced votes for education, health,; and -■ other social' services, and unprecedented unemploy- ■ ment. > ' "The election policy of the present Government affirmed . that New . Zea-1 land's trade and marketing policies' would best 'serve the people of the j Dominion, the nations in the British Commonwealth, and other countries, by putting' our own production and marketing system in order. The election manifesto said that the essential procedure to give the best results to exporters', importers, producers, and consumers would be to allow production to expand so long as any important human wants remained unsatisfied, and to take the necessary sftps to ensure that, the expansion of production did not ruin the x producer by catastrophic price-falls. , This implied the relation of expanded production to sound marketing machinery with means to ensure simultaneous' expansion of demand and exploration of new markets to extend sales of immediate and ■ future production. ' • '

"The aim of the, Government as expressed in a paragraph was and is—

"To organise an Internal economy that will distribute the production and services of the Dominion In a way that will guarantee to every person able and willing to work an income sufficient to provide him and his dependants with everything;'necessary to make a 'home' and 'home life' in the best sense of the meaning of those terms." , ADVANCES IN WAGES. To' that, end the Government had raised the allowances to those who were unemployed, had provided for increased rates of pay on public works, was instituting the .forty-hour week for industry, and had raised the wages of young people on- a graduated scale so that when reaching adulthood they would automatically secure a basic wage, "that basic wage was a minimum which "must be paid throughout industry, and would be based on the sum required to Ngive an adequate standard of living for a man, his wife, and three children. The amount, would be fixed by the Arbitration Court, j&id altered from time to time to suit changing On the side of education it was the Government's intention -to >. reorganise the school, college, and university systems to provide the maximum facilities -for all children from the kindergarten to the university. HEALTH OF THE PEOPLE, "This, however, will not be worth while unless we can also ensure that the physical needs of the child and the adult are fully provided for on the same basis as are the needs-of the mind," said the Minister. "Health services should be made as. freely available as educational service. That is why the Government intends to. organise a system of public health services, including full medical, maternity, and dental care, which will stress the prevention rather than the cure of illness. This system will be extended to all our people in both rural and' urban areas. "The Government has already taken the initial steps for the organisation of a complete health insurance, invalidity, and old are superannuation scheme. The objective is to provide superannuation by right during - sickness or old age, without a means test.

"The preliminary organisation has been established under which negotiations will be1 inaugurated with all .bodies associated'with-the care of the aged and the sick.

"The organisation of the friendly societies, the national provident fund, the .public service superannuation schemes,: the pensions system, .the Government life insurance office, and the health ; department 'will all be used to determine the most efficient financial and service procedure necessary to provide for accident, invalidity, sickness, and old age. In ■ the intervening period whilst-the constructive work is proceeding, steps are being taken to introduce pensions for invalids and to raise the general standard of all. pensioners. CONTROL OF BANKING. "Unless a Government controls its banking and credit system-it will.be materially hindered' in .the' planning and carrying out.of its policy. That is why the first .major policy measure of the Government was the Reserve Bank of New Zealand Amendment Act, which gave it full control of the foreign exchanges and of credit within the country, making the. Reserve Bank entirely a State Bank; "In a developing agricultural economy, the question of farming finance is all important, and New Zealand is no exception1. Over forty years ago the State initiated a policy, whereby settlers were provided with finance at particularly low interest rates, and for long periods. This system has been the greatest single factor in developing New Zealand's farm (lands. "Last year the Government then in office established a Mortgage Corporation, changed the old procedure, limited the scope of the, legislation for social service, introduced private shareholders , and /share capital and bonds not guaranteed by the State. As with the Reserve Bank, the Government has bought out the shareholders of the Mortgage Corporation and the institution has again come under direct Government control and responsibility as the State Advances Corporation. Bonds will be State-guaranteed so that money may be raised at the .lowest' possible rates.. Where it is necessary to* assist a farmer in financial difficulties, or for purposes of providing homes for wage-earners, a high percentage of the security will be lent. There are safeguards so that the loans cannot be used'for speculation. The intention is to provide homes and farms for the people at low cost. FIVE THOUSAND HOUSES. "Provision is made in the Housing Act for the erection' of houses, and plans arc in course of preparation to

provide for the construction of some 5000 houses at a cost of approximately £3,000,000. It ;is hoped, to erect some 900 houses before the end of the financial year. Finance will be available to local authorities for '■■"•' house building and full details of procedure will be sent to inquiring local bodies within the next few weeks.

"Those who save to buy land upon which to erect their own homes nay borrow a large proportion of the total cost at special low rates of interest— the interest and principal being repaid by small quarterly instalments spread over a period up to forty years.

"An interesting innovation in the Act is a' provision under which the addition of a small sum to the principal of the mortgage to cover the life of the borrower enables the property Dn his death to be handed over to his widow free from all further payments."