PARLIAMENT

Evening Star, Issue 23354, 25 August 1939, Page 7

PARLIAMENT

i TO-DAY'S SITTING ECONOMIC DIFFICULTIES ADMITTED INEVITABLE IN FIRST STAGE OF RESTORATION i , [Per /United Press Association.] WELLINGTON, August -25; The House met at 11.30 a.m. j’he Alsatian. Dog Bill .was introduced from the -Legislative Council. Mr Morgan Williams, who is in charge of the measure, intimated that he proposed to ask for the second reading of the Bill on September 6. The Bill was accordingly read a first time and set down for its second reading on that date. Urgency was granted the passing of the Finance Bill, and the Land and Income Tax (Annual) Bill, and the House immediately went into committee on these measures. In the committee stages of the Finance Bill the Acting Leader of the House, Mr Fraser, said nothing would be gained by resumption of the Budget Debate on the second reading, but he did think the position should be clarified. The Government required the money provided for in the Bill, and if it did not receive it nothing but disaster faced thousands of families in the country. ‘ That would not be allowed to happen. The people of the country ■would be safeguarded as far as human endeavour could iprovfde, and would not again be subjected to the conditions of the slump years. Mr Fraser said it had to be admitted! that certain economic difficulties had arisen, but they were inevitable in the first stage of the restoration of the finances of the country. There was a limit to what could be spent on public works, and that was stated in the Budget. The whole reason for the increased loan authority was that it would be disastrous to stop works that had been commenced. The problem facing the Government was to direct- employment to productive industries. Mr Cobbe said there was no doubt inflation was coming, and to a certain extent it had arrived already. This was evidenced by the increased note circulation. He urged the Government to reconsider the taxation proposals. which, he said, would create hardship on almost every section of the community. Mr Hargest said the proposed expenditure for housing and hydro-elec-tricity would be largely reproductive, but the borrowing of £18,200,000 for public works would not be in the best interests of employment, since a great deal of the money spent on the purchase of machinery and petrol would go to pay the overseas sellers. The debate in committee on the Short Title was continued by Messrs Dickie, Barclay, Bodkin, Robertson, and Broadfoot, and the House adjourned for lunch at 1 p.m.