MEANS OF RECOVERY

New Zealand Herald, Volume LXIX, Issue 21277, 2 September 1932, Page 12

MEANS OF RECOVERY

NECESSARY ADJUSTMENTS CESSATION OF BORROWING [B¥ TELEGRAPH —PRESS ASSOCIATION] PALJJfERSTON NORTH, Thursday Defining the steps which New Zealand would have to tako for tlie purposes of rehabilitation, Mr. W. Machin, president of the Associated Chambers of Commerce, speaking at a chamber of commerce function, said firstly the country had to avoid any more borrowing. Secondly, those who were drawing too big a slice of the income of the nation would have to be content with. less. Thirdly, said Mr. Machin, interest rates -would have to be reduced still further, and lie would like to seo this done voluntarily. It had been done elsewhere as a high patriotic duty, and he believed it would bo done in New Zealand if the matter were presented in the right way. Fourthly, it was necessary to economise. The Government would have to do what had been done in private business and cut down expenditure even more. Everybody was to blame for asking tho Government to enter into excessive expenditure, but to-day the Government could not continue to spend money that it could not afford. Again, it was necessary to bring money and prices more into balance. The soundest economists said that was necessary, and tho Dominion should not shrink from doing it.