The Money Illusion

Manawatu Times, Volume LIV, Issue 7241, 22 August 1933, Page 8

The Money Illusion

(To the Editor.) Sir, —Permit me to endorse the Mayor’s comment concerning strict supervision of credit and investment. He suggests there is a shortage of money, and I quite agree, but where is it gone and through what channels did it go? We know there aro 73,000 unemployed, but why are they unemployed? Did their mode of living and spending cause their own poverty? Why blame the present monetary system? I opine that the "pathways and avenues’’ do not converge on the highways of currency and credit, but they do converge on the direction in which many people spend their money. That the money illusion is the cause is very obvious, and as enlightening as the Meat Board’s report that “the market is quiet owing to no demand.’’ It rather reminds me of a friend who confides he cannot wear his boots until he lias had them on a fortnight. If our Government would aid and guide the people and not compete or dictate, we would soon emerge on the highway of progress. Tho taxing of careful and thrifty people to sustain the careless and thriftless has reached its limit —robbing Peter to clothe Paul till something turns up. Years ago any worker who dared mention Socialism was sacked and chased with a baton, and sometimes victimised out of the town; but to-day the different Acts enacted have the idea in practice down to a fine art. If we are to judge by performance, I would ask: Has the drift to Socialism eased or intensified the condition of affairs?—l am, etc., “BEDROCK.” Palmerston North, Aug. 24,