POLICY OF LABOUR

Greymouth Evening Star, 24 April 1946, Page 2

POLICY OF LABOUR

UNG PARTY JOURNAL/ ATTACKS MR. NASH ;

NEW ZEALAND PROBLEMS (N.Z.P.A. Special Australian Correspondent)

SYDNEY, April 23.

Criticism of the New Zealand Government’s policy, and particularly of the economic and monetary reforms implemented by the Minister of Finance (Mr. Walter Nash), is made in the latest of a series of articles appearing in Mr. J. T. Lang’s Labour newspaper, the “Century,” which claims to be “.the only Labour newspaper in New South Wales:’’' H ’■ Adverse Comment from such a source is not Unexpected, as “Mr. Lang’s party is the bitterest enemy of the Australian how in power. The “Century” charges Mr. Nash with “using the same blueprints as Mr. Chifley” and states: “In New Zealand there are the same restrictions, the same over-centralisa;ion of government in Wellington as in Canberra, the same tyranny of bureaucracy, the same artificial shortages, and the same paralysis of indusiry through price control and Government-pro-tected monopolies.” “Economic Witch Doctor”

“Mr. Nash,” says the writer, “gets the same economic instructions from the same source as Mr. Chifley. The economic witch-doctor has cast a spell over Wellington as over Canberra. The problem of inflation is already on the New Zealand doorstep, and consumer goods are dwindling instead of increasing.” According to the “Century”, one weapon at hand to fight the inevitable crash is a vigorous people’s bank operated for the people by the representatives of the people. “Instead, Mr. Nash has given New Zealand bankers a bank operated for the banks by the banks.” Stating that money reformers in New Zealand—particularly a. solid bloc of Labour thought—are bitterly disappointed at the pefformance of the Fraser Government in the banking field, the “Century” describes Mr. Nash thus: “All sides pay tribute to his ability, but at the same time he has few friends in the political arena. He has a good grip on orthodox finance. He has a brains trust. He spiels economics with rare facility. He argues a case with facts and figures. But no one expects him to implement Labour’s full monetary policy.” The decision to take over the pri-vately-owned shares in the Bank of New Zealand is described as “the greatest furore of 1945.” The main charge that Lang Labour has against the nationalisation of the bank is that it was a half-hearted attempt to carry out desires of the whole Labour movement, made 10 years after the party came into power. The National Party opposition is described as “making a great show of righteous indignation in its propaganda campaign with all the time-hon-oured bogies.” Orthodox Practice

“But high finance had no real reason to be upset,” continues the newsnaper. “The first shock came when Mr. Nash announced that the policy of the bank under complete Government control need cause no fear amongst his critics. His assurance .was that he would adhere to the tracks of, orthodox banking practice.” ; The article as two further stages of disillusionment the payment of private shareholders at £2/5/- for every £ 1 share held and the retaining of the old board of directors -as the directorate of the bank. This, claims the “Century,” was regarded as a stroke of genius in that it spiked the Opposition’s case, but the solid Labour thinker regarded it as ending all hopes of reform. The dissatisfaction arising from the mishandling of the situation “is likely to wreck the party,” claims the writer.