STABILISATION AND PRICES

Otago Daily Times, Issue 25302, 12 August 1943, Page 7

STABILISATION AND PRICES

Sir,—Broadcasting from 4ZB on several mornings recently an official of the Price Tribunal Office said the Government’s stabilisation plan had been a wonderful success, with the result that prices 'had risen much less than they did in the last war. That, however, is not the full story. This official knows full well that the Government got in early and bumped prices up to war level a year or two in advance of the times, thus giving a false impression of the real position. Speaking on January 18 last, the Minister of Supply, Mr Sullivan, said that since the beginning of the war retail prices had risen by 13 per cent., against nearly double that figure in the last war. Tire position is, however, that costs, according to index figures, had risen 164 per cent, from January, 1936, to September, 1939. Although these figures are based on facts, they still do not tell the full story, as many of our commodities are not included in the price index, nor are the numerous subsidies, which are simply cunningly concealed costs levied upon our War Expenses Account to pay overtime rates, not to the soldier, but to the man who stays behind. —I am., etc., Matilda, August 7.