Douglas Social Credit

Manawatu Times, Volume LIV, Issue 7242, 23 August 1933, Page 8

Douglas Social Credit

To the Editor. Sir—-There are a number of people who are not conversant with Major Douglas’s proposals who think that to carry out this system, it would be necessary to print and circulate a large number of notes, but this is quite a fallacy, as it would probably not be necessary to issue any more notes, as bank credit, issued scientifically and debt free by the national credit authority, and backed by tho real wealth of the Dominion, serves exactly the same function as legal tender, and is a perfectly costless creation. It is fundamentally wrong for banks to monopolise the issue of credit (which is money) when this credit is roally a community creation. As we repay this money to the banks they cancel or destroy it (this cannot be refuted) and this fact keeps the community chronically poor, even in periods of so-called prosperity. When this power is taken away from the banks and given solely to' the national credit authority, the banks would still function as banks, but they would cease to lend the people the credit which the people create, and charge for the use of it. More money than goods means inflation and ruin. More goods than money (as at present) means deflation and ruin. But where money equals goods we get prosperity, a prosperity only limited by our ability to produce wealth whicii is unlimited. To sum up the whole thing in a nutshell. For every £1 worth of value produced we have to-day only 10/- worth of purchasing power. The result being collapse of industry and untold misery of the people. The Douglas proposals will provide £1 of purchasing power for everjr £1 worth of value produced, ensuring prosperous industries and a happy and contented people. The Douglas Credit Movement is the biggest movement in tho world to-day, and in New Zealand it is striving to waken up an apathetic Government to a realisation of the folly of poverty in a land of plenty. It has been suggested that no single country such as New Zealand can do anything, but the debacle of the Economic Conference has proved the lie that the problem being an international one can only bo solved internationally. The people of New Zealand can solve their problem if they so desire, and Major Douglas gives them the solution without fee or reward. Are we to head up-stream or drift with the tide? I am, etc.,

“HOPEFUL.” Palmerston North, August 22.