LABOUR PARTY POLICY

King Country Chronicle, Volume XXIX, Issue 4771, 12 November 1935, Page 5

LABOUR PARTY POLICY

ADDRESS BY MR. J. JONES. CONTROL OF MONETARY SYSTEM. A definite denial of the rumour that he was going to withdraw in favour of someone else was given by Mr. J. Jones, official Labour Party candidate for Waitomo, when speaking in t;he Parish Hall last evening. The hall was completely filled and Mr. Jones was accorded an excellent reception. Mr. Cameron occupied the chair. In denying the rumour, he pointed out that he had been unanimously decided upon by the Labour Party executive as the candidate to contest the Waitomo seat, and "nothing is going to stop Jack Jones from going on with this, until the 27th at any rate." Mr. Jones then referred to two manifestoes issued by the Government in 1931, asking what part of them had been realised—-not one word. Had the Government reduced unemployment in New Zealand? It had increased from 11,444 in 1931 to 79,435 in 1933. After the bold policy of reconstruction it promised, the Government had increased the number of unemployed sixfold—and the wages and the old age pensions had to make way .for the moneyed interests.

Position of Mr. Penniket.

"I appreciate very much Mr. Penniket's address, because he quoted very extensively from the Labour Party's policy," continued Mr. Jones. "If he had been standing as the official candidate of the Labour Party, then he could not have said anything more in line with what the Labour Party is standing for." "I am the official candidate for Waitomo, and it only requires another 17 members to place the Labour Party in power in New Zealand. Mr. Penniket has expounded a high standard of argument for control of the monetary system in New Zealand; but my party will give this control to the people of New Zealand if they have another 17 in Parliament." Mr. Jones referred his' audience back to the time of the wages cut, when it was urged that it was the low price of export produce. that necessitated this measure. Just about 12 months after the cuts were made prominent members of the Farmers' Union carried a motion, moved by Captain Colbeck, that they write to business organisations asking them to restore part of the cut. The wages cut had meant £20,000,000 per annum loss in the purchasing power of the community. Now that the Government had failed to show results for their policy, they had nothing to do but vilify the Labour Party. "Just imagine that Jack Jones is going down to Parliament to ruin his six children and future grandchildren," he said amid the laughter and applause of the audience. "The Labour Party are New Zealanders, who have identified themselves with the good of New Zealand," he said. Monetary Policy. When the Reserve Bank came into existence it was because the Government guaranteed a million pounds as a backing. But the moneyed interests would not allow this —it would make a State bank —and so the private share capital of £500,000 came into being. After operating for eight months, it was found possible to pay the 5 per cent on this latter, a sum of £2500. But the Government who had put up the guarantee of a million received only £3OOO. Where was the Labour Party going to get the money to carry out its policy? But where had the £2O million that had been lost to New Zealand through the wages to? How had the Reserve Bank four days after it had come into existence written out a cheque for £2B million to take over the credits in London? Again he would ask—where did this money come from? It came from the potential ability of the people of New Zealand to create wealth to the extent of £2B million.

The rumour was going round that Jack Jones not receiving the support of farmer. But in Tangitu the Labours-Party had 149 odd members, in Kopaki 100 members, while a couple of weeks ago a conference had demonstrated how well the farmers were supporting him because of what he stood for*,, the Labour Party. If the Labour Party did not obtain control of the monetary machine it could do nothing permanent, he continued. The people must control tne money power, not the motive of private profit, as at present. The money machine 'now only allowed enough money into circulation as would allow the meeting of the debt to the banks, and not enough for the needs of New Zealand. As Mr. McKenzie King had appealed in Canada that he could do nothing without control of credit, so would the Labour Party appeal that without control of the monetary system it could not make permanent progress in New Zealand. Guaranteed Prices. Mr. Sinclair, of the Te Awamutu Dairy Factory, had criticised Mr. Langstone's pamphlet on guaranteed prices, and had been the only interjector when Mr. Nash had expounded the scheme in Palmerston North. But the Labour Party did not need a stronger argument for guaranteed prices than Mr. Sinclair's own words. In 1933 he was putting forward his scheme of a stabilised price for butter. Quoting Australian price levels which were well above the money received in England for the butter, he said ] the writer felt inclined to remark that in a country controlled by a succession of Labour Governments the primary producers should have been treated so generously—and his reason was that the Australians had become accustomed to an Australian price level for an Australian commodity—they did not hold that the price ruling in England, the cheapest market of the world, should determine

the standard of living in Australia, even as the Labour Party dfd not think it should determine the standard of living in New Zealand. Mr. Jones then demonstrated the need for the guaranteed prices, attacking the exchange, which had accumulated £3B million in England because the English exporters knew there was not sufficient purchasing power in New Zealand to buy their goods. ),'.-, "At present the Government is trying to solve the paradox of poverty amidst plenty by destroying the ; plenty," he said. In the meantime thousands of pounds were being spent to keep the townspeople and the farmers apart. The only reason the farmer, the worker, and the people were down in the scrap heap to-day was the greed and avarice .of the monied interests. It was the people who created the wealth, not the financial machine. The banking machine was said to be sacred, yet every time it failed of its own volition the people of New Zealand had to come tb save it. ' \i The best support of the guaranteed prices was the motion carried at the last conference .of the Auckland! branch of the Farmers!. Union; After the- reading of the remit in regard tb taking control of the money, which had been endorsed, it was decided to urge that the credit be allocated a;s follows: — ] - 1. By paying farmers such a payable price for their produce as would restore their equity, enable them to carry out their contracts, and bring price into fair relationship with. COStS. ~ . ; 2. By paying men at present on relief works a standard wage for public works satisfactorily performed. \- Z. By increasing the old age and other pensions and benefits. i These, Mr Jones said, he believed tp be the main part of the, Labour Party policy. •; Questions Asked. When Mr. McLennan, complaining that he had heard no constructive polp icy but only asked how the ' Labour Party were going to solve thp unemployment problem, Mr. Jones said the Labour Party < was not the prisoner in the dock, but the presentGovernment. There was only one solu? tion—control of currency and credit so as to bring the poople back into' reproductive industry, and adminisj tration to bring back national pros? perity. Mr. McLennan still wanted to knowhow the Labour Party were going to deal effectively with unemployment. Mr." Jones prefaced his remarks by stating he always believed in putting forward his main plank Mr. McLennan: I want a reply, not a speech. Mr. Jones again dealt with the control of currency and credit, holding it would solve the unemployment and many other problems. Mr. Baddeley asked what was the Labour Party's views on customs" duties. The candidate replied that these would be necessary for revenue purposes. The Government would buy the produce of the farmer at a guaranteed price, and then make reciprocial agreements with other countries. . They would be the owners of the exchange and sell it at par to the importers. Asked by Mr. Baddeley as to how they would deal with Japanese trade, he said the reciprocal agreements would give control of imports coming into the country. Mr. J. Irvine pressed several times for an answer as to the amount of the guaranteed price and the minimum wage. Mr. Jones replied it would take a certain amount of accountancy—though all the figures necessary to determine what was going to be the guaranteed price for the farmer was contained in the Dairy Commission's report. Mr. Irvine tok it that this would not be fixed until the Labour Party was in power —it was so vague . Mr. Jones replied he was not asking for a blank cheque. The Dairy Commission's report had stated that to meet merely the costs of" production on a farm with under 70 cows a price of over Is would be necessary. When Mr. Irvine supposed the guaranteed price would be over Is Id, Mr. Jones said he was not prepared to say what the price would be. Mr. Langstone in giving an illustration had supposed the price for butter to be IsTßfl, and his opponents had un-. fairly seized on that. All he could say was that it would be sufficiently high to meet the standard of living in New Zealand. Mr. Irvine; The Labour Party would vote with tfee Democrats to put the present Government out of power? Mr. Jones: It with anything to put this" 'Government out. -Mr. Irvine: it work with anything afterwards? : In reply, Mr. Jones referred to the Government's unfulfilled .promises. :The meeting closed with" votes of thanks to the chairman and to the speaker. LAND SETTLEMENT. PROGRESS IN KING COUNTRY. MR. W. J. BROADFOOT'S VIEWS. Giving his 36th address in i2 days, Mr. W. J. Broadfoot, National Government candidate for Waitomo, was accorded a splendid hearing, by a representative meeting at Kihikihi on Saturday night. Mr. J. G. Sutherland presided. v - Mr. Broadfoot urged the electors to pause and think before deciding to vote for any other party than the Government, as the country had come through difficult times ;\ well, and the present was not. an opportune time for a change. He criticised as "half-baked" . the theories that were being nropounded by variious rival candidates as solutions of the country's difficulties. The speaker dealt with the roading and settlement of backblock districts, particularly in the northern Kins: Country, and commended the small farms scheme, declaring that under that scheme and the native lands development plan,, areas being made available at present for no fewer than 3000 families on onefamily farms. \ Mr. Broadfoot was accorded a I hearty vote of thanks and confl- ' dence,