UNDER-CONSUMPTION

New Zealand Herald, Volume LXIX, Issue 21347, 23 November 1932, Page 12

UNDER-CONSUMPTION

"TROUBLE WITH THE WORLD"

GOVERNOR-GENERAL'S VIEW

The view that the world was suffering from underconsumption and not permanent over-production, as some people deemed to think, was expressed by tho Governor-General, Lord Bledisloe, when Speaking to farmers at Otaki last week.

"Times are bad," said His Excellency. ''The price of butter is falling, cheese i!s low, wool has gone to the winds, and meat is being given away on the London market, but do not be troubled, tetter /times aro coming." These would Home when the world overcame the present trouble of maldistribution of primary products and instituted some equitable ixiedium of exchange. Partners, Lord Uledisloe continued, wero told that permanent over-produc-liion was the trouble of the world, but he did not believe it and was convinced l.hat the troublo was under-consumption. iDne-thifd of the population of the world "was only half clothed and was half starving, yet there was a glut of wool and ineat on the market. The other two-thirds tif the world's population was so poor that it was purchasing one-third less than before the war. To overcome tho difliculty Winers should adopt co-operative measures wherever possible and strive for a. product of uniform quality. "I sfress uniform quality because your Competitors are getting better prices* for their goods because they have put pjofclucts of uniform quality on tho market, something which you have been unable to do £o far," concluded His Excellency.