REMEDY FOR PROBLEMS

New Zealand Herald, Volume LXX, Issue 21467, 15 April 1933, Page 10

REMEDY FOR PROBLEMS

THE LABOUR VIEWPOINT MR. HOLLAND AT TE KUITI [BY TELEGRAm OWN CORRESPONDENT] TE KUITI, Thursday A political address was given by the Leader of the Opposition, Mr. H. E. Holland, last evening. The supremo problem at present facing the civilised nations was unemployment, with hardship, lack of food, lack of clothing, and lack of proper housing. If famine conditions were prevailing, this condition would be understandable, but the baffling point about it was that it was occurring in the midst of a super-abundance of food and clothing supplies. The weakness in New Zealand was that the country had r.ot sufficient knowledge or statesmanj fhip to distribute what was produced. | There were three great factors operating to bring about increased unemployment. They were multiplicity cf mechanical aids, the natural increase in population, and the economic consequences of the world war. An internal social credit was required. A nation's credit was based on the goods it produced and the services it established. Mr. Holland stated that the State could create money in the same way as the banks created it. If the banks made money out of nothing but book entries, -the Government could do the same, and the ultimate aim should bo for the Government to control the whole of the country's finance policy, instead of the dictated policy of the banks prevailing. The amount of the legal note issue could j bo doubled if necessary.