ENLIGHTENMENT FROM NORTHEAST VALLEY

Otago Daily Times, Issue 23202, 28 May 1937, Page 6

ENLIGHTENMENT FROM NORTHEAST VALLEY

TO THE EDITOR.

Sir, —Your correspondent C. M. Moss is again to the fore with a hash (I use the word advisedly) of excerpts, quotations, and assertions —excerpts and quotations which he is unable to digest. The one point that causes me some surprise is his now expressed enthusiasm for the Reserve Bank "paper" which he formerly decried. He quotes with much approval that " the Reserve Bank has control over the note issue " . . . . "and there is practically no limit to its (the bank's) powers to increase the money in circulation." Now. the same Mr Moss, prior to the present Government coming into power, asserted in your columns that if 100 notes, legal tender, cost the Reserve Bank only £1 to manufacture, then a producer of goods to the value of £IOO on exchanging them for 100 Reserve Bank notes, was robbed of £99 in the transaction. Yet, now they seem to be regarded by Mr Moss as "savings "! But one does not take your contributor seriously. He is possibly getting out early for the next election, and, with free advertising space, who can blame him for making use of it? —I am, etc., Dunedin. May 26. Observer.