MR POLSON’S SUBSIDY SCHEME.

Evening Star, Issue 21822, 11 September 1934, Page 6

MR POLSON’S SUBSIDY SCHEME.

TO THE F.DITOK. Sir, —Mr Poison’s subsidy scheme advocates the setting up of a national credit authority, whose duty would be to issue costless credit to manufacturers and employees. This scrip would ho considered as legal tender which would be cancelled after it had done its work. The latter portion of his subsidy statement is worthy of most careful thought, for when Mr Poison states that “ the present methods are failing,” he is very close to the Major Dougins theory, as explained in his 1 New Economics.’ In reply to Mr Poison we have Mr Mander, the secretary of the New Zealand Manufacturers’ Federation, who says “ there is plenty of money for production, hut land here’s the rub) we must consider how to increase the purchasing power of the public ’’—meaning, 1 presume, the consumer. Mr Mander further adds that “ when we increase the consumer’s ability to purchase, production will automatically result.” Where is Mr Mander’s difficulty? Any small precis of the Douglas now economies will explain away his doubts and fears if he is willing to learn. It is a tragedy that neither the producer nor the manufacturer is able to see the consumer’s viewpoint. Producers and manufacturers persist in placing the cart before the horse. Mt Mander and each, member of his federa-

tion is a consumer first ami a manufacturer afterwards. It is only through consumption that manufacturers can hope to prosper. There are approximately 1,500,000 consumers in New Zealand. Attend to their requirements first and all our troubles will automatically disappear. The answer of the consumer to the producer and manufacturer is therefore: “There must be in future money for the consumer. Attend to his needs first and you will not regret it. Producer, manufacturer, and retailer will find turnover going up by leaps and bounds only when the consumer is placed first.” Unfortunately the needs of the consumer have been overlooked by the untliinking politician and financier. These men must be educated by the consumer to see the Douglas way. We are suffering poverty in a land of plenty. Wc have the machinery for production, yet no money wherewith to purchase the needs and luxuries of life. What is the remedy? Major Douglas has shown the way, and any small precis on social credit will explain the Douglas New Economics. Here are a few of the remedies: “A national credit authority to issue costless credit to consumers and producers which will allow both to go full steam ahead. Prices of goods to be regulated by a ‘ just price ’ to prevent inflation, and a ' national dividend’ for all, founded on our cultural heritage, which will allow consumers to purchase the necessities of life and the luxuries as required by the individual. Banking to be an accounting system only, and bankers to be shorn of the power to issue credit.” The Douglas way means security during the best years of our lives, and in one’s declining years the stigma of poverty or of charitable aid will be entirely removed. Shims and poverty would disappear. The future of our children would be assured, and we would enjoy a higher standard of' life and leisure. ' New Zealand can adopt the Douglas plan without studying any other country, and once the Douglas Plan is established population would increase rapidly ami this would be a country fit to live in. It is up to the consumer to make it so, —f am. etc., Don; i.asitk. September 10. w