BIGGER WAR BUDGET

Grey River Argus, 10 September 1941, Page 5

BIGGER WAR BUDGET

AUSTRALIAN PREMIER Expects Support of Labour [Aus. & N.Z. Cable Assn.] (Rec. 11,20). BRISBANE, Sept. 9 Mr Fadden, Prime Minister, states he is supremely confident of securing adequate support and political cooperation from the Federal Labour Party now that he has become Prime Minister. He expressed this view at a civic reception ~in his honour at Ipswich to-day. He said: “If the Labour Party co-operates to the same extent as it did when I was Acting-Prime Minister, then I, and Australia through me, will have no cause for complaint.” He also gave an assurance that the Labour Party would grant a pair for Sir Earle Page during his absence in London. Mr Fadden referred _to the forthcoming Budget as outweighing Anything that preceded it, and, he hoped, anything that would follow. Reviewing Australia’s primary production, he said that, notwithstanding the shipping difficulties, export income had substantially increased since the war began, while the gross income of the farmers was even higher than before the war. in round figures the wool exports ioi 1940-41 totalled £41,500,000; wheat and flour income £16.500,000; butter exports £12,000,000; sugar exports £4,750,000; and mea,t experts £15,750.CRec 115) BRISBANE, Sept. 9. Mr Fadden announced that Aus- . tralia would spend 225 millions on defence this vear or nearly as much as she spent in the whole of the last War SYDNEY, Sept. 9..

The Prime Minister, Mr Fadden, in his broadcast last night denied that the Government was contemplating inflation to meet war costs. War costs would have to be met from Australian resources of men and material. The Government plans were based on an appropriate blending oi taxation. That policy had not produced inflation in the past two years. The internal stability of the Australian pound would continue to be safeguarded adequately. Mr Fadden appealed to everyone in Australia to back up those who were fighting abroad, to suffer long hours of work and heavy taxation m the cause of freedom. The story of the Australian fighting forces in this war has shown the world that ours is a virile democracy, carrying on the British spirit.” he said. At least three times as many men are serving in the Royal Australian Navy as when the war broke out. For every one serving in the army two years ago, there are now ten by his‘side. For every man in the Australian Air Force in September. 1939, there now are seventeen or eighteen. , He said Australia might also be proud of what had been done as far as her industrial and economic prenarations for war were concerned. In two years the nation had been revolutionised industrially. The foundations had been laid of a great munitions industry, of a great aircraft industry, of a great ordnance industry. “I assure you that, within the next six months, we shall be astonished at our capacity to produce war-time essentials. In the current year, we will be devoting about 30 per cent, of our total resources to the war effort. We have put our hands to the plough, and we shall not look back, whatever sacrifice we have to make. ' SYDNEY FINANCIAL BAROMETER (Rec. 1.15 L SYDNEY, September 9. A war-time price record was established in the Sydney Stock Exchange to-day. . * Ordinary shares sold at the highest rates, not only since the war has begun, but since 1938. The revival of interest is due in a large measure to growing optimism in regard to the outcome of the war. also Russia’s stout resistance and Japan’s * hesitancv'in proceeding with her threatened expansion.