DOUGLAS SOCIAL CREDIT

New Zealand Herald, Volume LXIX, Issue 21359, 7 December 1932, Page 14

DOUGLAS SOCIAL CREDIT

Sir,—ln his letter in the Herald of ' Thursday last "Student" still pins, his faith to words. Words >arc no more important in this connection than are the names of persons. It is the facts behind the words which count. Money under the .Douglas system would have the real wealth of the community behind it, as it has now. The supporters of social credit are not putting forward a-, cut and dried method of administration, but are seeking to establish basic facts. Once those are accepted then the details of adminis- -' tration in accordance with the facts should,, not be difficult to formulate. The prima fact is that the money issued through industry creates a greater ratio of costs than purchasing power. Therefore, there are always more goods produced than there is money to pay for them, aftd the only way to quit those goods is to export them. It would not help if tho surplus, exported was balanced by imports, for then we' would be as we were before. Ihis fact is really admitted in the necessity f° r countries to obtain a favourable balance , of trade. As every country's necessity u the same any particular country can only succeed by forcing its exports and tins ultimately leads to war. Now tlie position is either that this is so or it. is not so.-" it is so then it is obvious that all. other suggestions for mending our deplorable conditions, even war debt cancellation, will not succeed. The present monetary system was evolved in an age of scarcity and no attempt has been made to c'uauj, 8 it with the changing conditions. Like t ® laws of the Medes and the Persians, i& seems to he a fixture, and we ha\e pitiful spectacle' of attempts to artificial scarcity so that the system cj still function in the old way. ■ President* Social Credit. Association