The Grey River Argus WEDNESDAY, AUGUST 25, 1948. ON THE RAIL!

Grey River Argus, 25 August 1948, Page 4

The Grey River Argus WEDNESDAY, AUGUST 25, 1948. ON THE RAIL!

JJIMSELF evidently in a somewhat divided camp, with supporters who acclaim the restoration of the value of our currency, the Opposition Leader was obviously unhappy last night when he criticised the return to sterling parity. He even admitted that he has himself been of opinion that the step now taken has been delayed a year longer than it should have been. While questioning the Finance Minister for delaying his explanation of the decision until it could be given over the air to the whole community, Mr Holland did not himself give much of an explanation of his own opinion, although it is only fair to concede that he doubtless reckoned it an injustice for the country generally that its currency should have remained artificially depreciated long after the exporters whom it was meant, to favour had attained a degree of prosperity calling for such favouritism ho longer. The Minister of Customs, in reply, hit the nail on the head when he defied any listener to judge whether the Opposition Leader welcomes the return of parity or does not. No political party can have things both ways, and the Nationalists arc fooling few people when pretending to run with the hare and hunt with the hounds. They have developed the tactic of confusing issues, and in this instance they illustrate it with an assertion that inflation is a thing which will not be eliminated by the exchange restoration. Nobody has claimed that that would follow, but it is undeniable that the inflation of prices has received a very definite check, and that one effect of this must be to stabilise wages in the degree that their purchasing power is augmented. Mr Nordmeyer last night quoted a sufficient list of approaching price decreases to demonstrate that the appreciation of our money is a boon for the community generally., The Opposition expedient of vamping on the 20 per cent, bonus which exporters have since 1933 enjoyed may be continued throughout the Budget debate, but it is evident that the whole community must be taken into account when the value of the currency is the consideration. Meantime, it remains to be seen whether New Zealand’s action does not prove the forerunner of currency readjustments in other countries, including Britain and Australia. A state of unstable equilibrium in this sphere cannot go on indefinitely.