FINANCIAL DEBATE.

Horowhenua Chronicle, 8 September 1934, Page 7

FINANCIAL DEBATE.

Grounds for Optimistic Outlook COUNTRY MUCH BETTER OFF (By Telegraph —-Press Association). WELLINGTON, Last Night. The House resumed at 2,30 p.m., when the financial debate was continued by Mr W. A. Bodkin, who severely criticised the Labour Party’s policy and said the Labour speeches were wild and sweeping. He claimed that Labour was inconsistent in attacking the Government for adopting an inflationary policy when inflation of a dangerous sort was one of the mam planks of their own party’s platform. He compared the remedies taken to deal with the depression in New Zealand with those adopted in the United States and said the United States had been more favourably situated at the beginning of the depression than any other country, while New Zealand, to a large extent, had been dependent on overseas markets.

To-day New Zealand’s condition redounded to the credit of the Government, which had courageously followed unpopular methods to rehabilitate industry and trade, the unemployed and the farmers. New Zealand had suffered severely, but there had been no strikes, whereas in America there had been considerabl industrial' unrest. He criticised Labour’s statement that the Government should print millions of notes to guarantee prices to the farmers and pay pensions and other charges. He said the Labour Party desired control of the savings of the people so that they could distribute largesse among other sections. Mining Law Overhaul Urged Mr Bodkin concluded by saying that the mining law in New Zealand was obsolete and he considered that Mr Tyndall was the best man available to bring it up to date and make it suitable to modern conditions. As Undersecretary of Mines, Mr Tyndall probably had the most important position in the public service. He also paid tribute to the Public Works Department for the improvement in backblock roads.

Mr J. W. Munro said the Budget was good in small parts. Referring to the mortgage corporation, he said if it was necessary for the House to sit over Christmas, that legislation should have been put on the statute book during the present session. Promises would not keep the farmers, who were in a difficult position. He believed that a - housing scheme would be one of the most useful things that could be inaugurated if it could be done with success. There was a shortage houses and a building scheme would set the wheels of industry in motion, I Referring to the native affairs in- j quiry, he contended that the Govern- | ment should have accepted the Native : Minister’s resignation when it was : tendered. He had been approached by : many persons who had asksd why the Opposition had, not taken the matter up and he had assured them that he would, unpleasant as the task was, and would raise the matter at the earliest opportunity. He considered that nurses should have been the first to gain any benefit of a reduction in taxation or an increase in wages. He urged the Government, in co-operation with the Australian Government, to do something to protect New Zeaalnd shipping, and said he knew the Union Company had plans ready to build a new vessel in British yards if some protection was given. Mr J. A. Nash’s View Mr J. A. Nash claimed that the farmers had benefited greatly from the exchange. It might be true that the banks and the stock and station agents had also benefited, ’ but why not? They had , carried the farmers through difficult times. There was an undoubted feeling of goodwill towards the Government since the Budget was issued. Every day an improvement was taking place, and he thought it justified the Minister for Finance in his optimism. Customs revenue had increased, the excess of deposits over withdrawals in the savings banks had in-creased,-and there had been an increase in the number of building permits and wireless licenses. He considered that the increase : in old-age pensions, small as it was, would be gratefully received. He hoped , : that next year the full 10 per cent, would be restored, as the country owed a debt; to the people who had done pioneering work in • the Dominion. He thought the Unemployment Board had done the best it possibly' could for the unemployed with the money at its disposal. He , urged the Government to seek fresh markets for butter and cheese in Eastern markets, so that, if Britain imposed quotas, the Dominion wdm’d be in a position to iheet the situation. He considered some consideration should have been given to a reduction in the cost of wireless licenses and thought there-would.be a greater demand if the cost was reduced. The Minister was to be congratulated on the success of the com version loans, as it had had the effect of bringing interest rates- down to a reasonable level. Mr D. W. Coleman was speaking when the debate was adjourned. The House rose at 5.30.