PARTY DIVISION

Evening Star, Issue 19918, 14 July 1928, Page 11

PARTY DIVISION

LABOUB'MAHES ONE HECRUIT 'I .. . ADDRESS-IH-REPLY DEBATE [Peb United Press Association.! . WELLINGTON, July 13. . •' The dob a to’ on the Address-in-Ileply was v resumed by Mr J. R. Hamilton (Awarua) hf ‘the House of Representatives this afternoon. He said the House and the country were indebted to Mr C. ,E. MacMillan, the member for Tauranga, for tho part he had played in securing a reduction in the prices of, fertilisers. ' Farmers were in ‘a much better position than ever before, since the dairy companies were now able to get fertilisers at the same price as the merchants, and could let tho settlers have them at cost price. It was pleasant to know that the economic position of the dpminion had greatly improved. . Since tho House met last year the Opposition had teen touring the country denouncing the Government because of the recent depression, but now the tide had turned it was not prepared to give the Govern-, ment any credit. Ho considered if tho Government' was 'darned 'or the depression it should receive credit for the prosperity. The Opposition said that the Government should be turned out, of office because it had failed to settle tho laud problem The fact was that much land in New Zealand had been bought at too high a price to make the recent prices for produce payable.. Now that the prices of produce had risen land owners were in a better position, and lie believed if they held on long enough values would adjust themselves, anti there would be no need to sell or leave their farms. He did not believe the people were leaving the land to the extent stated. .His knowledge of the South Island led him to ray there were practically no vacant farms, and his fellow-members for the North Island told him that much the same condition prevailed there. There was little or no Crown hind available lor settlement, so that a, “ bokfeomprehensive policy ” of settlement of Crown lands was put of the question, nor would a revaluation of the land serve any good .purpose. , .The Opposition was very aiikibus about’ the farmer today because it was election year, but what had it done to assist the farmers during tho period of depression? It had gone to tho Arbitration Court and asked for increases of wages in many branches of farm work. He agreed witli the dairy control policy, and lie ajwavs gave the Labour Rarty credit for’ Its support. of that '.policy, which lyas essential to protect' the settlers against the aggression of, the middleman, who.was making largo profits out of New Zealand dairy produce. His opinion was that the absence of complete dairy control was costing the lafmors of Now' Zealand Id per lb on the whole!of tl\pir dairy produce, so that tho farmers were not getting tho benefit of their fight witli the merchants on the question of free marketing. This speech closed the debate on the amendment moved by the Leader of the Opposition, and at 3.47 a division was taken, when the amendmo was defeated by 48 votes to 14, the. Labour; Party and Mr Atmore alone voting for the amendment. The debate on the - .main question-was can •ied.ou by Mr T. Forsyth (Wellington East), who gave general approval pf tho Government’s policy. Aff R. M‘Kocu (Wellington South) criticised . what ho called the “sheer hypocrisy ” of the National Party, which throughout the country had denounced the Government, .but when At had an opportunity of proving the sincerity of its criticism ~it..,had .walked, into the division lobby and voted for the Government" it ‘ bad condemned Wheat growing, .laud settlement, land aggregation,.;''and unemployment were all discussed by Mr M‘Keen, who arrived at conclusions detrimental to ’-he Government, and .was ; proceeding on similar lines when tho House adjourned •it d. 30 p.m.

EVENING SESSION THE/ DEBATE CONCLUDED. ' , When the 1 Louse resumed at 7.80 .the ‘debate was continued by. Mr Wright, 1 who said it' was correct that tho/Gol vernmout had raised the rate' of interest- out workers’ loans, but it -was not , true to say that:it was done at the instigatjou of the .banks. Tho interest ,was raised because when they raised £5,000,000 tdy lending to settlors. and .others they had to pay per cent, interest, and' Would it bo sound business,, to lend money out at a lower rate of interest than that which the ■ Government had to pay for it? To increase the rate of interest was the only alternative, and that fact was i commonly known, but even at s:i per [cent, the Government money was cheaper than any other money, so that I it was absurd to say that the rise wins in any'way influenced by the banks. As a 'matter of fact, it was the Lending Board winch told the Government that the interest rates must be raised, not the banks, and the Government did it because it did not pay to lend at lower rates than it was paying. The Government had been censured because it was trying to keep the people on -.the. land. Surely that was to the credit of the Government, and in that it was extending the hand of friendly help to the settlers, who had been passing through an extreme crisis. The Labour Party had blamed the Government because there was a deficit in onr railway returns. That might be so, but such deficits were not peculiar to New Zealand. Queensland —• “the white-headed boy ,of the. Labour I?arty ” —had the largest deficit of all the countries of which they had returns. The fact was the railway deficits were due to economic causes, and fot such causes the Government should not bo blamed. Mr H. E. Holland; The charge is that the deficits are not fihown in the accounts in such a way that they could he traced. . Mr Gnatos: That is imagination, not a charge. < Continuing, Mr Wright said the Opposition was fond of declaring that the Government had borrowed too much, hut not one of the party would say definitely .that the money should not be spent on this work nr that. They liked to. talk in generalities, and instead of settling down .tor. facts they preferred to say.; “Look at this wicked Government., ,Tt has borrowed too much.” The Government, was not responsible for tjie unemployment problem, which was . world-wide. Thai fact proved that no one in the world was able to solve the problem.- Why then, should the Government bo blamed in not doing what no one else had been able to do ? The Government was not justified in paying award rates on rebel works, otherwise the men. would never .seek -work, elsewhere, and tho Stato would have largo, numbers of men per -raanently-on rfs bands.. Summing u»> .[he- likened the,.Opposition ’to Joseph’s coat.” Tt. was-;of many colours, none of which harmonised, and want of liar :mo|iy would prevent the.' Opposition .thirties' doing any harm to The .Govern ./Vmat.at the. next election. iff ' J. ■A. .Nash (Palmerston North haid that' I he' 'experience nf-,,the pat* vear bad shown, .that the Governnien' bad mapaged : t lht v affairs of tho couutr wifi’ care and wisdom, and it was com Tort lug. to kno\v' there was no danger e r NchV Zen and ;drifting into the deplor '’hfe condition, of seme of -the 'States re Ahstralia-finder Labour Governments, ■

■"■■Mr F.‘ W'aito.(Glutlia), .mover-of tlir ■■iHtipnj'-briefly’replied, and The' motion ['(‘‘That' a. VcspecHnl address' be' pro;'hntecl • to' His •ExrciTo'jiny the GovernorGh'iVeral,’* was'trtdbptelvwitKotit a division, .and'the House rose i! fvl ,T -9;30' pan. till 2.30 p.m. on Tuesday.