DECADE IN OFFICE

Otago Daily Times, Issue 26232, 16 August 1946, Page 8

DECADE IN OFFICE

REVIEW OF PROGRESS INCOME AND PRODUCTION SUBSTANTIAL INCREASES “ During a decade yrhich included six years of total war remarkable progress has been made,” said Mr Nash in a review of social and economic progress during the past 10 years. “As an instance of this progress,” said Mr Nash, "in the year ended June 30, 1936, total production was valued at £114,000,000, in 1939 the value was £136,000,000, whereas the laiest figure—for 1946—gives a total of £184,500,000, representing an increase of over 62 per cent, since 1936. This substantial increase represents not only an advance in money values, but in actual volume. The index number for volume production was 93 in 1936, 100 in 1939, and 107 for the latest available year (1944). Aggregate private income totalled £125,000,000 in 1936, £186,000,000 in 1939, and over £304.000,000 for the year ended March 31, 1945, an increase over the whole period of nearly 145 per cent. Mortgage interest-rates are now at the lowest average rates ever recorded in New Zealand—namely 3.87 per cent. Private Incomes Net aggregate private income (gross, less taxation) increased from £52,700,000 in 1935 to £117,300,000 in 1945 an increase of 123 per cent. Further, when this residuum is corrected for retail-price changes, we find that the real purchasing-power of the people increased by 60 per cent, between 1935 and 1945. These improved conditions are reflected, as elsewhere, in the savings-bank figures. The total funds standing to the credit of depositors in March, 1936, were £65,000,000, in 1939 these had increased to £75,000,000, while in March, 1946, the total stood at no less than £156,000,000. To these figures must also be added National Savings bonds and accounts which, at March 31.7 ’last, totalled over £ 40.000,0P0. “Statistics of the volume of production during the past decade,” Mr Nash added, “ show-that the volume of factory production,'increased by 70 per cent, between 1936 and 1944. Coal production (1935-45) was 34 per cent, up; timber production (1936-44) 20 per cent increase; electricity production 120 per cent, increase. The number of building permits issued for private dwellings totalled 4,140 in 1936 (March year). In 1946, 7,736 permits were issued for private dwellings of which Government housing construction accounted for 2,623 dwellings. The Farming Position

“Turning to live stock production, wool produced in the 1946 production year totalled 1,006,000 bales, as compared with 717,240 bales in 1936; total meat production exceeded 500,00 tons in 1946, compared with less than 450,000 tons in 1936. Despite the drought during part of the current season, cheese production amounted to 90,000 tons in 1946, compared with 88,500 tons in 1936. Butter production shows a fall from 168,329 tons in 1936 to 126,000 tons in 1946. Butter production in 1945 totalled 155,900 tons. “That the live stock position is inherently sound is indicated by the statistics of cattle and sheep. The number of cattle in the. Dominion in 1945 was 4,590,926, the second highest figure on record (exceeded only in 1942), while the number of sheep, 33,975,000, in 1946, is the highest on record. “A sample survey of the net incomes of some 1200 to 1500 dairy farmers,” Mr Nash continued, “shows that the average net incomes for a herd of 57 cows totalled £452 in 1945, as compared with £306 in 1936, when the herd average of the sample was 56 cows. The average return per cow from butter-fat totalled £19.36 in 1945, compared with £13.03 in 1936. . Price Levels

“New Zealand has experienced to date a smaller increase in the general level of prices than has obtained in any other country. The war-time index figure of essential items in the cost-of-livmg indicates that in March, 1946, retail prices of essential goods were less than 1 per cent, above those ruling in 1942. These statistics indicate very clearly that New Zealand is continuing to maintain a high standard of wellbeing for the people. “ Index numbers of course, tell only part of the story, the absolute level of prices of essential commodities in relation to purchasing power is the real criterion of the prosperity of the people,” Mr Nash concluded. “In regard to the level of prices of basic needs, New Zealand also shows up in a most favourable light. Retail prices of bread, flour, milk, butter, cheese, beef, and bacon are shown to be lower in price than in other low-priced areas the efficient control of distribution of basic foods contributing in no small measure to this result.”