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BOOM IN OCTOBER.

FINANCIAL JOURNAL MAKES BOLD PROPHECY. “GOOD TIMES FOLLOW BAD.” “Remember that good times follow bad times as sure as day follows night. Things will be booming in New Zealand not later than October, 11)31. Overseas prices will be higher. Internal costs rectified and Government economy effected. Unreproductivc GoS-em-inent expenditure is being stopped and Arbitration Court awards adjusted.” This prophecy, made by Uie New Zealand Financial Times, although perhaps a little hard to believe at the present time, is nevertheless encouraging. In support of its confident assertion that New Zealand’s financial troubles will be at an end in nine months’ time the paper points out that the net national wealth of New Zealand at the present time (after allowing for debt domiciled in New Zealand) is £918,000,000, which means that, excluding children, the Dominion has £IOOO per head of every man and woman in the country. The oft-quoted statement that there is no money about is refuted by figures showing the amount of savings standing at credit of depositors in various savings and other banks. This accumulated wealth totals £116,000,000 or £10,000,000 more than it was in 1925, representing £IOO for each man and woman in the country. On the other side of th e ledger the Times points out that the Government and local bodies owe slightly over £2OO per head, spread over the next 36£ years. It adds that we can get all the money ,w e want within reason. “Under sober responsible government” it goes on “we could soon taper off our overseas borrowing and become financially selfcontained.” It is pointed out that although impoverished European countries cannot pay the same prices for our exports and our industrialists and farmers need minor readjustments of wages and other internal costs to meet the changed conditions, the salaried man was never better off. “The scared and nervous condition into which New Zealanders have been thrown, has resulted in tied-up capital, foolish retrenchments instead of salary reductions or rationing of work. Hard work is the cure-all for any economic disease. To say that business is bad, is bad business.”

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Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/HC19310219.2.52

Bibliographic details

Horowhenua Chronicle, 19 February 1931, Page 8

Word Count
351

BOOM IN OCTOBER. Horowhenua Chronicle, 19 February 1931, Page 8

BOOM IN OCTOBER. Horowhenua Chronicle, 19 February 1931, Page 8