The Hawera Star. TUESDAY, SEPTEMBER 12, 1933. N.Z. AND THE AMERICAN EXPERIMENT.

Hawera Star, Volume LIII, 12 September 1933, Page 4

The Hawera Star.

TUESDAY, SEPTEMBER 12, 1933. N.Z. AND THE AMERICAN EXPERIMENT.

Delivered every evening by 5 o'clock in Hawera, Manaia, Kaupokonui, Otakelio, Oeo, Pihama, Opunake, Normanby, Okaiawa, Eltkam, Ngaere, Mangatoki, Kaponga, Awatuna, Te Kiri, Mahoe, Lowgartji, Manutahi, Kakaramea, Alton, Hurleyville, Patea, Whenuakura, Wa-ver-ley, Mokoia, Whakamara, Okangai, "ileremere, Fraser Road and Ararata.

<i> 1 It was a foregone conclusion, that the National Recovery experiment of the United States would loom largo as a Labour electioneering point in the Lyttelton campaign; and it is also certain that the experiment, imperfectly understood, is likely to have an unsettling - effect on economic and political opinion to some extent throughout the Dominion. Fortunately for New Zealand, however, no general l election is’ Scheduled for the near future and intelligent New Zealanders are weekly and daily obtaining a clearer view of the principles and, even more important, the .causes, of President Roosevelt’s National Recovery Act. The greatest service -to- this end that has been performed to date is that undertaken by Mr Coates in the course of his Lyttelton campaign speeches. In the speech reported yesterday Mr Coates said very truly that America was only nowemerging from its " laissez faire policy of economic medievalism” and "the Roosevelt code is but a poor imitation of what wo have ihad in New Zealand for years.” That might sound like the utterance of insular ignorance and pride to the blind admirer of everything American, but it is nothing of the sort; it is the truth, which earn be stated in. all modesty. By the industrial codes President Roosevelt is seeking to abolish abuses that weiro wiped) out by legislation in this country years ago—many of them, before the dawn of t(h'e present century. Mr Walter Nash, M.P., who gave a Labour address in Hawora a few weeks ago, speaking in Canada last week, said that ‘ ‘ the National Recovery Act codes are similar to- those that have been operating in New Zealand for more than 30 years.” Here is confirmation of the ActingPrime Minister’s statements from a source which can scarcely be said to be biased in favour of the present or past governments of New Zealand. The claim that has been made on behalf of New Zealand in this respect does not, of course, call for any more confirmation) 'than the actual facts themselves provide. America is only now seeking a minimum wage and) maximum hours for millions of its workers. Only now' is it preparing to admit that the workers should' have the right to. organise for the purposes of. collective bargaining—and the admission comes very hard to many; a few weeks- ago- a body of employers called into conference under the N.'R.A. left the meeting because the •president of the American Federation of Labour was present. Sweated labour and child labour are evils from which New' Zealand has ‘lo,ng been emancipatedl—but to-day there are people in this country who 1 , impressed) with the little they have heard of the National Recovery Act, are wondering whether there is not something in all this fo'r Now Zealand. Some of Mr Coates’ statcini'eruts should give reason for further thought in this connection. America, he said, was spending 500 million dollars on unemployment relief; if New Zealand spent proportionately she would need to find only £1,250,000 per annum for relief, instead of £4,000,000. And w T ha)t does America propose .to do with this relief money? According te Mr Coates, the President proposes to give one-half to State apd local bodies for .the payment of up to one-third' of wages spent on relief. "Compare this with our -No. 5 and No. 10 schemes,” said Mr Coa'tes. The United States is planning to spend' 400 million dollars on highway construction. A proportionate amount applied to New Zealand would be £1,000,000, but, as Mr Coates painted out, New Zealand’s loan expenditure this year was £3,500,000. It is not in these attempts to ameliorate social and industrial conditions that Ajmoriea has anything to. -tea'ch New Zealand. It is in .that part of the Act which seeks to control the output and the returns of industry that the United States' has'embarked into the realms of novelty. Nobody can say what, the result will be for America. Mr Coates, while wishing President Roosevelt success, apparently suspects that the operation of the code will further isolate America from the rest of the world. But whatever the outcome for America, the lesson will not be applicable to New Zealand. America exports only six per cent). aT her products; New Zealand exports something like 48 per cent., of her produced wealth. While this Dominion •can do more to increase domestic consumption it can never hope to becoime self-contained and independent of the overseas markets. The American experiment carries no message for us in ■that conn'ecit.ion. America’s recovery means much to the world at large, including New Zealand', but New Zealanders are beginning to realise as they learn' more about the National Recovery Act and the causes which brought it into existence, that they have moro reason than some of them previously believed for satisfaction with the manner in which this country has faced up to the slump.