UNCONVINCING SCHEME.

New Zealand Herald, Volume LXVIII, Issue 20794, 10 February 1931, Page 11

UNCONVINCING SCHEME.

POLICY OF MR. THEODORE. A HOSTILE RECEPTION. * (Received February 9, 11.25 p.m.) SYDNEY, Feb. 0. Financiers in Sydney say Mr. E. G. Theodore's financial scheme is unconvincing. It ignores fundamental facts, one of which is that Australia's price level is higher than the general lovel of prices throughout the world and the gap is growing wider. Another is that Australia cannot act independently of world movements in any attempt to correct her position. The daily newspapers unreservedly condemn Mr. Theodore's policy. The Sydney Morning Herald likens Mr. Theodore to a master magician. The Evening News describes it as inflation, naked and unashamed. It points out that the floating debts of the Australian Governments in 1929 were £5,500,000, while now they are £55,000,000. DISMAY IN LONDON. MR. SCULLIN'S BACKSLIDING. (Received February 9, 11.25 p.m.) LONDON", Feb. 9. The Financial News says: —"All thoso with Australian interests must be filled with dismay at the news from Canberra. Mr. Scullin, who only a few months ago agreed to balanco Budgets and reduce expenditure as cardinal points of reconstruction, has denied both. But it is at least something that Mr. Theodore, in uncovering his capricious financial light from under the Mungana bushel, has told the public definitely what to expect. "The committee of experts has warned the Government that reconstruction is a painful process, but nothing painful can be accepted. Advance, Australia, aloug the primrose ppth!"