King Country Chronicle. Saturday, March 5, 1932. FACING HARD FACTS.

King Country Chronicle, Volume XXVI, Issue 3439, 5 March 1932, Page 4

King Country Chronicle. Saturday, March 5, 1932. FACING HARD FACTS.

It was expected that the Prime Minister would have some unpleasant proposals for consideration at the emergency session of Parliament and some of these have now been made public. Mr. Forbes is not going to increase his popularity, nor does he seek popularity when the whole future of the Dominion is at stake. It must now be realised by every section of the community that the State finances are in a precarious condition. It is no use blaming any particular Government for this state of affairs. The causes are not of a domestic nature, but are world-wide in their ramifications, and every country has been drawn into the vortex of the depression. At the same time it cannot be denied that for many years this'country has been living beyond its means. This extravagance does not apply to the Government particularly, but also to local bodies and individuals, and now the day of reckoning has come with a suddenness that has allowed no time for a gradual tapering off of expenditure in all directions. Everyone is involved in this reckoning, and it is no tribute to the people if they cannot face the position fairly and squarely. The people of Great Britain have helped to balance the National Budget by an extraordinary effort of self-sacrifice, with the result that the prestige of the country, which was at a low ebb six months ago, has been restored in a way which has surprised the world. It is just as necessary that the prestige of this Dominion should be restored by balancing our National Budget, and this can only be done by the people co-operating with the Government in a spirit of selfsacrifice. If that co-operation is lacking there is nothing ahead but State bankruptcy. Few people stop to think what will happen should the State default in its payments. It means that bankruptcy also faces the business men, and workers would have no work and no money. Strikes or talk of strikes will only make matters worse for the workers in this national crisis. Everyone has had some benefits through the artificially created prosperity by borrowed money, and now everyone must help in the reckoning. There is a good deal of talk about maintaining the standard of living. That standard, if it is on a sound economic basis, is only determined by the ability of the country to maintain it. The bald fact now remains that this Dominion cannot maintain that standard of living which

has been operating during the last decade. It is not inferred that this standard of living only refers to the workers drawing wages. The salaried man, the business man, and the professional man will all have to cut down their private expenditure. The history of finance is littered with bankruptcies of individuals who have failed to realise that expenditure must be kept within the limits of income, and have set up false standards of living. The time has now come for the State and the individual to consider in what way economies can be exercised. After a long period of easy spending we must discriminate between essentials and luxuries. It will be a difficult task for many people, this sorting out, but will have to be done. In addition to the many sacrifices that have to be made in the process of stabilisation, those fortunate enough to be in steady employment will be called upon further to* help those hot so fortunately situated. No one with any humane feeling will grudge this extra taxation. We are living in strange times which call for the highest principles. There is a silver lining to the clouds of depression, and the hope of better things to follow. In the meantime we have to adjust our affairs to conditions as they are to-day. Let it not be said that this Dominion, with so many natural advantages, will not co-operate in lifting us out of our present troubles.