PATH TO FOLLOW

Hokitika Guardian, 3 November 1932, Page 8

PATH TO FOLLOW

WAY OUT OF DEPRESSION

STEADY CONFIDENCE

AUCKLAND, November 1

Until primary'producers found themselves, either by an increase in world prices or by a decrease in cost of production, in a position profitably; to carry ori/'it would be"too soon to say deffihitely that prosperity had reamed, but . there were signs of, improvement, said Mr Albert Spencer,, president of ■the Auckland 1 'Provincial Employers’ Association, in his address at the annual meeting. ~V-. , s- >' ..Cfoiumodi jy prices, he,, said, had 'steadily moved up during the past four■■!months, which must eventually resiilt in the rehabilitation of industry •and the return of prosperity. It was gratifying to know that . New Zealand had met its obligations and thereby retained its credit. Another vitally important factor had been the voluntary reduction in interest, made by/ British- bondholders or the war debts, which in the appreciation of approved Dominion stocks mast lend to the lowering of interest on all State gilt edge securities, also tile freeing of huge suffis of money foil developing secondary industries. There was no reason why urgent public works should not be carried out later on, though in a- much less costly Way than in the past reckless fashion. ;> The future of New Zealand as a 'food and mineral producing country : should be assured; arid soonfer or' -lntet it musty if wisely, and prir’crtly- governed, r -establish' itself ir the' confic dhhee of British investors, with the result that capital - would once more flow into New Zealand for developing the resources of the' country. ■'

‘‘The great aim now should be to reestablish and; credit;” Mr fencer added.} “Any hasty or ill-ad-vised action,- any tendency toward Socialism, Communism; or' extravagance find repudiation of debts and' obligations, as was unfortunately attempted in New South Wales, would be absolutely fatal to any . chance of economic recovery.

7 ' “Fortunately the sound good sense of . the people of Britain; Australia aird New Zealand/as shown by the recent elections, appears to be sufficient guaranted',that Ahy Stick? disaster will be averted, andthat 'therefore we’ can await' confidently the lining of -the clouds of depression whjiffi have for so long overshadowed- usv*. •in' the meantime we must sympathise With and help each other practically to the full limit of our ability and patiently put up with conditions of'taxation which, are at the present time outrageous, Unfortunately there seems very liltt? f prospect for some timet to come of this'crushing taxation heingliftod.