POLITICIANS AND ECONOMICS

New Zealand Times, Volume XLII, Issue 9784, 6 October 1917, Page 3

POLITICIANS AND ECONOMICS

To the. Editor "N.Z. Times.” Sir,—it is deeply interesting to follow the opinions' of prominent politicians regni-din;; ecouomio theories. Burins a discussion recently in tho House on an accident insurance measure Mr .Poland urged the principle of State m/mapolv regarding accident insurance business with a view to eliminating twenty-seven mother acriiU-rit insurance companies, and the incidental cost of maintaining separate staffs, agents, special medical men, commissions, etc. On the toco of it, the principle is thoroughly sound, and has been urged by economists, for years past. Mr Poland's suggestion was favourably endorsed by some of the , members, but received a distinct rebuff from the Minister for Finance, who rose to utter a discordant note. cSir Joseph Ward then proceeded to enlighten the House on the subject of economies. "He believed it_ would 1 be a bad system. If it was right in regard to insurance that they should have a State monopoly, because it would be much more economical, would "it not be right in regard to every other trade and industry?” Certainly it would, and the principle is being applied at present in the case of the Post and Telegraph Department, of which 1 tho hon. Minister is the nominal head. K was never tho policy of the country, added the Finance Minister, to say that other institutions should l be driven out mid that they should have a State mon-o-ply in regard to banking, life, fire, and accident insurance and such things., Just so. Of course, it is not intended that those institutions that have now' become firmly established under State sanction should be driven out, but it is contended that they should not have been allowed to begin, and that the principle of State monopoly is urged in these matters. Sir Joseph facetiously asked, why shouldn’t they only have one picture show in each centre? Well,nvhy shouldn’t they! There are sounder reasons in favour of one. picture show in each centre, or at least a restricted number, than- tho rule of promiscuous multiplicity of picture shows that obtains at present. And in this connection it is pertinent to _ remark that the principle of regulation has boon in operation for years with regard to hotels, and racing clubs. The State will not permit the erection oil an hotel on every street corner nor will it allow every little hamlet from tho North Capo to the Bluff to have its OfWn race meeting. But is not tho Finance Minister blowing hot and cola at tho same moment? He asks if the system is right for insurance, _ why not for every other trade and industry? Certainly! On general . grounds the principle could be well ''applied. . Just hero,. Sir Joseph himself is the best) person to offer an explanation for an inconsistent attitude. ~Ho advocates a. S-tato monopoly with regard to post and telegraph offices, railways, savings tanks, utilisation of water power within Dominion, and so on. Why so? is not private enterprise as much entitled to exploit these fields of commerce as others wherein they now have a free hand! . . lord Selborne, at a Food Commissioninquiry in England • recently, where the hopeless system of distribution was the point being particularly discussed, characterised as a tragedy the spectacle of tho . half-dozen little carts bringing in supplies and following methods centuries old. • Of course, a more economical system could be devised by any 1 school-boy, but that would threaten the sacred rights of private enterprise so beloved by politicians, and clearly could not be thought of. Meanwhile, tho consumer must wait, suffer —and pay.—I 1 am ’ ° tC ” SQtTABE DEAD.