ADDRESS-IN-REPLY.

Otago Daily Times, Issue 17065, 25 July 1917, Page 6

ADDRESS-IN-REPLY.

(Abridged from Press Association telegram.)

WELLINGTON. July 24. In the House of representatives to-day Mr_ Reed resumed the debate on the Auuress-in-Reply. He generally supported the National Government, nut lounu iau.it with the effect of the excess profits tax, indicting as it did a great hardship upon many farmers. He quoted instances to show where farmers who had to give up dairying because their sons had gone to tho front were mulcted to the extent of 45 per cent, the proceeds of the sale of their cattle. This, strictly speaking, was capital, yet it was taxed as if it were war profits, 'lhis was both irritating and unfair. In tho same way the, dairy farmer had been singled out to make a sacrifice on behalf of the community through the butter fat tax. Ho favoured an export and import tax, whicn had been a musterstroke from a revenue point of view.. Speaking of settling returned soldiers, he estimated that 15,000 men would be prepared to take up land, and he suggested the setting up of local boards for classifying the applicants and the land, and acting generally as advisers. Ho favoured .settling these men on bush land in the north of Auckland and the Urewera Country rather than on highly improved farms, which were too costly. Mr Forbes referred to the fact that it was part of the compact when the National Government was tormed that the cost of living should be effectively dealt with. He questioned whether tho Prime Minister had given his whole-hearted support to Air MacDonald in connection with the butter fat tax.

Mr Massey: "I take my full share of tho responsibility."

Gonunuuig, Mr Forbes said ho thought the Liberal side of the Cabinet was not receiving sufficient consideration, instancing the neglect to inform Sir Joseph Ward of a Second Division deputation a few days ago. He thought Ministers should take members more lully into their confidence, and suggested a secret session, where members could have a round table conference on war matters. Concerning the general policy of ttie Government, lie urged a vigorous policy of land settlement, and he advocated a re-enactment of the power to take land compulsorily, as since that power had been abrogated land settlement had hot been as vigorous as it ought to' have been. Ho also urged the imposition of a drastic system oi taxation in such a way as to make war profiteers disgorge their lllgotten gains. , The Hon. Mr Herdman criticised Mr Forties's references to dissension in the Cabinet, characterising such references as likely to create dissension rather than remove it. A secret session was not necessary. Ministers were taking members into their confidence as much as possible, giving the House all the information it was advisable to make public under present circumstances. He favoured some system under which the dominions would be given a greater voice in matters affecting peace and war, but he doubted tho wisdom of setting up an Imperial Parliament which would lord it over all other parliamentary institutions. Many questions awaited uniform treatment throughout the Empire. 'Ihe naturalisation of enemy subjects was one. Even now wo were in doubt as to Britain's policy regarding the treatment of alien enemy subjects. He thought that at the outbreak of the war every alien subject should have been interned or sent back to his own country. The whole subject was most difficult to deal with. J_i naturalised an enemy, that should carry some responsibility with it, but that responsibility had yet remained to be determined. Trading with the enemy was another matter which demonstrated the need! for a national organisation so that we oould always be prepared to check aggressions against our trade, and in this respeset two kaa«.rs ol tne . parties in th.s dominion had done service in England which oould never be forgotten. He detailed work done by the National Government since its inception, paying a compliment to the Hon. Mr Mac Donald for the manner in which he had negotiated the purchase of our produce for the Imperial authorities. A large saving had been made to the people in the arrangement which the Government made for the supply of sugar to the public. A considerable amount of organisation had been done by the Efficiency Board. More could not be done except by placing all labour in the dominion under compulsion, and he doubted if the country was prepared to go to that extremity.

Mr V eitch: What you want to do is to organise the idle rich. Mr Herdman agreed, and said he thought something more might have to be done in that direction when the Second Division was called up. Then would we bo in a more difficult position, for whatever reinforcements were required must bo sent. Discussing demob.l:sat.on, he described the operations of the Discharged Soldiers' Department. He justified the war regulations, contending that Miy man who prevented a man from getting into camp or to the front was an enemy of the State. Likewise any man who interfered with shipping was an enemy of the State and an ally of Potsdam, and ought to be treated as such.

Mr Payne: There is such a thing as liberty of speech in the British Empire. Mr Herdman: Yes; but when you get spceoh that stirs up men to strike and to interfere with shipping which is necessary to succour the men at the front and the people of the Empire, is that liberty of speech? Certainly not the kind of spcech that ought to be encouraged or permitted during a grave crisis. The speaker concluded by paying a tribute to the spirit of the people of New Zealand and of the young men sailing for the front, who went out with a song on their lips to fight for the glorious principles of liberty. Dr Thackcr urged that the men of the Main Body Bhouid havc_ furlough to come home. The men were tired, and needed a rest. He contended that we had sufficient men to supply all requirements and still let the remainder of the Main Body come home. The only reason he could conceive for the Minisetr and his officers not agreeing to this course was that if the men come back they would let the country know what humbugs were at the head of affairs. He feared for tho efficiency of the country when the Second Division was called up. This would be exhausted in 18 months, and it was time wo had a stocktaking. I-Ia criticised the management of the railways ih not taking earlier steps to find out tho eligible men in the service, and said tho decision of the Minister of Defence not to take the next ballot for two months was the first symptom of a olimb-down on the question of reinforcements. Local camps were advocated, and the National Cabinet was satirically compw-ed to a military " tank." floundering in the crater of tho cost of living, from which it endeavoured to eßcape by appointing all sorts - of boards; but the fact remained that the " tank" was still wallowing in tho crater, which was growing deeper and wider every week. The cost of living was as much a live question as ever. The speaker concluded by making an appeal \ t the people should see that the graves ot soldiers were kept sacred and hallowed. , Mr T. W. Rhodes complained that our arrangement with the Old Country -.egard ing reinforcements had never been made clear to tho House. He analysed the figures quoted by the Minister of Defence, and declared that any examination of them showed that 15,000 men were unaccounted for. He aflked where those men were. The House had a right to know. He deprecated taking tho last son of any family or the calling out of the Sccond Drvisnn a day earlier than was necessary; otherwise we would destroy the productivity of the country and be unable to keep the ' home fires burning. More generous provision must be m ?°°. f° r the dependents of the Second Division, and the most liberal conditions observed in regard to soldier settlers to enable them to get back into the routine of civrt lifo as soon as possible. He favoured an increased graduated income tax. an amusements tax, and a tax on luxuries, to check extravagances, and enable the country to provide more liberal pensions for elderly peoplo, who had borne tho h«ai and burden of tho cb-t*