ECONOMY NEEDED.

Lyttelton Times, Volume CXVIII, Issue 18413, 20 May 1920, Page 4

ECONOMY NEEDED.

MR MASSEY’S WARNING. iPkii Press Association.y • WELLINGTON, May 19. Interesting references to public finance were made by the Prime Minister at the annual dinner of the New Zealand Dental Association to-night. Mr Massey said that ho did not wonder that there was to-day a great clamour for public expenditure. Ded velopment, improvement and expansion were wanted in every direction, and each of the claims was in itself good, but New Zealand had only & certain amount of money to spend, and that point could not be emphasised too strongly. “It will take us all our time to avoid a wave of depression,” said the Prime Minister. “We do not want depression, and I believe that it can be avoided, but it can be avoided only by care, economy and industry on tho part of the people of this country. We must curtail the extravagance that has been going on in town and country for a long time past. Money has been plentiful in New Zealand, more plentiful, perhaps, than in any other part of the Empire. The people of the Dominion concentrated during the war on doing .everything they possibly could to supply the heart of . the Empire with the products it required for the use of its people and for the Army and Navy. Tho consequence has been that money has poured into this country in a way we had never experienced before- But a change is coming over tho scene. You will have seen from London that already there has been a drop in prices The commandeer of our produce is coming to an end. and we must not expect to receive for our principal products the prices that we have been receiving. There is no question about that. Some people will see consolation in the reduction of the cost of living We all want to see the cost of living reduced, but rempmber that we are not likelv to have the amount of money to spend that we have had during the Ipst few years. That is wliv I wish to impress upon the public of this country the necessity of being careful.”