MR. A. HAMILTON

Hokitika Guardian, 26 April 1939, Page 6

MR. A. HAMILTON

IMPORT CONTROL RESTRICTIONS

(Per Press -Association.—Copyright.)

• WELLINGTON, April 26. ’ “The latest trade slashing restrictions announced by the Minister for Finance (-Hon. W. Nash), come like another bolt from the blue. They force home tb all people the full realisation of the serious situation into which New Zealand has been allowed to drift, even after years of record prices, a situation •which, has made this latest unjustified, aild dictatorial decree necessary,” said Hon. Adam Hamilton, prior to his departure for the north to-day. He said thrt- restrictions would put thousands out- of employment and cripple thousands more.

“They direct a reduction in the standard of living overnight; they impose direct loss, direct hardship and direct interference to a large section of the people and ultimately-an accumulation of that serious impact would shake the whole economic life of the community to its foundations. Mr Nash was unable longer to keep as a State secret the fact that his socialist theories and the Government’s ' incompetent administration have brought New Zealand .to desperate economic straits, so 1 desperate in fact that Mr Nash had actually suggested that manufacturers, overseas should supply New Zealand with more goods but that payment for those goods should be postponed for 12 months or more. That was the act of a desperate bankrupt who tells his creditors he has not enough money to pay his debts with, but if only tlie creditors will give Him more goods and time to pay all will be well,” '

Mr Hamilton said Mr M. J. Savage and his colleagues had made the blunder of acting on their assumption that, purchasing power could be created by the Government’s tinkering with the money system. Purchasing power could be created only by production. Having left production to take care of itself the . Government had intensified deterioration by making unproductive apd relief work more attractive than productive employment. in a sum 'total purchasing power ' "’as out of relationship with production. The latest restrictions constituted a backdoor method of cutting wages and incomes of th e people. The Government was well aware of this impending crisis, long before/ the last election, but categorically denied any threat of it. and the whole course of introduction of 1 corrective measures 1 since December necessarily bad to be accomplished by camouflage and expense, patiently making the best possible use of cover during the inglorious I,.retreat as the front line of the Socialist policy insulation was blown up. If, before the last, election, the huge i list of restrictions recently announced had been published, the Labour Party would never have scored the victory it registered. As usual, there was a vast difference between what the Government preached and what it practised.’ It preached a gospel of spending as the way to (prosperity, and practised spending as the way out of it, and into tlie biggest muddle this country has ever been in. It‘was tragic to think this state of affairs had occurred in New Zealand, immediately following two years of the highest income from production ever recorded in ' the history of the Dominion. | A great deal of talk of restricting imports so as to help the manufactor- ! ing- (industries, continued Mr Hamil- : ton, was utter humbug because many of the goods prohibited or restricted were not suitable for production in New Zealand. Mr Nash might as well admit straight out that the rea- ' son for denying the people, wageearners, traders —indeed, all people—their fundamental right to buy the ; goods they have need of was due to ' the spendthrift policy of the Government in using up the London re- ' serves, and by chasing capital out of New Zealand. /