The Rangitikei Advocate. TWO EDITIONS DAILY. SATURDAY, MARCH 13, 1920 THE RACE TO RUIN

Rangitikei Advocate and Manawatu Argus, Volume XLV, Issue 12011, 13 March 1920, Page 4

The Rangitikei Advocate. TWO EDITIONS DAILY. SATURDAY, MARCH 13, 1920 THE RACE TO RUIN

FOR better or worse the dictum h as been accepted that the rate of wages paid shall be measured, not by the value of the results of work but by the cost of living to the worker. It may be objected to this that the cost of living depends to a large extent on the thrift of the worker, and restraint of self-indulgence, but when

men in mases make demands such objections are swept aside. It may also he argued that no industry can flourish or even continue long to exist, if its profits do not compensate for the working. False ideas prevail at the present time, and will continue to do so until the inevitable limit has been reached, as it has been in some industries iu the Motherland, which have had to cease working, and iu the bakery trade here, where the conditions are oom : polling employers to declare that they will no longer carry on business at a loss. Unless the present tendency is reversed, there is going to he very serious disaster, in which the whole community will suffer. Though Judge ♦ Stringer has given a report that caused great dissatisfaction among the railwayman, he himself very recently said the indications are that there will be a further' increase in the cost of living, and that after 31st March the bonuses may again have to be raised. It is merq folly to assert that the increased cost is due to profiteering. There are other and much more baneful causes at work, and the raising of wages is merely a, quack palliative, which only- increases the virulence of the disease. It is also not true that the position ia entirely due to decreased production; indeed, .while the cost of living has been ' speeding ■ "upwards our production of exports has increased enormously. It is imperative, however, ihat the purchasing power of the sovereign shall' be restored. Though our exports were nominally of much greater value last year than for manj’years previous >y, it is questionable whether they were of much greater value than our exports of a few years ago, because the purchasing power of the .money obtained for them has so seriously decreased. We believe that the chief causes operating are that full value is not in evorv ease; given for wages received, so thatthe difference

between result and cost has to be made up by the public; that by fax too large a proportion of the people are living on the producers, who are compelled to pay more than should be necessary for the supplies they require, so that this difference also affects the public; that many are employed at useless work behind the protection of a tariff barrier, and the whole community has thus to find sustenance for a horde of-hungry parasites. Allegations as to the effect of the currency on the cost are merely attempts to keep the people off the scent. Here is a man growing wheat, or producing meat, butter, or any other of our products that bring in wealth from outside. What does it matter to him whether he is paid in gold, silver or paper ? What really does concern him is that the sovereign or the paper money he receives for his produce will not buy a sovereign’s worth of supplies. The causes we have mentioned are those most potent in increasing the cost of living. They are ail removable, and would speedily be removed by sound statesmanship, and firm action by men who could not be deterred by the noisy clamour of a few from making improvements that would benefit all.