AT THE TEA TABLE.

Rangitikei Advocate and Manawatu Argus, Volume XLV, Issue 12015, 18 March 1920, Page 5

AT THE TEA TABLE.

SOME TOPICAL TALKS. “The German turmoil is beginning to look more like an attempt.to avoid compliance with the Allies’ demands than a revolution, ” remarked the Guide. “It would almost seem that Ebert and Kapp were in collusion, for there, was no blood spilt, not even a heated party argument. The smoothness creates snspioiou.” “Possibly it was only another of the German attempts to conceal real intentions,” said, the Sage. “There may have been a hope that the Allies would not interfere in an apparent ’quarrel, while both the partied were really working together’ to consolidate the armed force of Germany. It is therefore satisfactory to note that the Allies are not relaxing their vigilance. They have indeed had quite enough experience of the results of trusting the Huns. ’ ’

“The apparent revolt may not be entirely unconnected with the Socialist question,” said the Scribe. “You may have noted that Kapp’s proclamation concluded by emphasising that work is the principal duty of mam” “That’s what the Russian Bolsheviks have been saying.” said the Oynic. “Lenin ‘and Trotsky have found that under their scheme every man wants to be a captain, and is a work shirker, so those holding military power are even suggesting the conscription of Labour.” “That would not suit our five day week shirkers,” said the Critic. “There are lots of peopie nowadays who seem really to believe that mankind do not need to labour, and that those who condescend to be employed need not give value in return for wages. ’ 7

“There are indeed some funny ideas current,” remarked the Critic. “I have noticed a few published during the iast few days that supply full proof that the generous Sir Robert Stout was quite rignt wljen he said that the one thing that is needed in New Zealand is the study of economics. If writers in public journals had studied economics they would not make such foolish suggestions as that in a Dunedin paper which asserts that an export tax on our produce would reduce the cost of living. Strange to say it bases this belief on a statement said to have been made by a Professor of Economics, whose death occurred recently. If he made such « a statement he must have learnt in a bad school.”

“If yon can benefit a community by making it more difficult for ire producers to market their produce, ” said the Oynic, “then it seems to. follow that your surest method of making tne nation prosperous would be to make the export freight charges absolutely prohibitive.” ‘ ‘You are quite right in pushing a foolish argument to a ridiculous conclusion, ” said the Critic. “Yet another curious statement was m»de at Wanganui the other day by Professor Murphy of Victoria College.” “His statement should surely carry the weight of authority, ” said the Scribe.

“Well, here it is,” said the Critic. %‘Possibly he may have been misreported, but he is credited with saying in a leccure, ‘The doubling of the cost of living was due to the fact that there was twice as much money doing the same work as in 1914, and therefore the money only went half as tar. ‘ ”

“Bedad, then, Mr Murphy,” said the Cynic;- ‘‘according to tnat theory if we had less money in the country we would be better off, begorra, indeed we should be richer still if . we had no money at- all, ac all. But what was he driving at?” “He missed seeing the true causes of the increased cost of living, ” sard the Critic, “because his eyes were fixed on a theoretical cause, and he could not apply the logic of facts. Yot at the conclusion of his lecture he seemed to have discerned a little clearer, for among the remedies fie suggested were ‘keep down the tariff, produce more, and give up extravagance ’ His chief error was In ascribing the evils to the issue of paper Money, which is an effect, not a cause. ’’

“I notice, by the way,” said the Sage, “that our Postal Department is doing its bit to force up the cost of living. It has increased the rate of interest on deposits.” “How will that increase the cost of living?” asked the Spinster. “Surely it will benefit those who put their money in the savings hank.”

“Let me remind yon,” said the Critic, “that very often the effect of an action is very different from what you might expect at first sight. This may benefit a few thrifty people for the time, but its effect is more likely to be to make money dearer. If an increase in the rate of interest by the savings bank is followed by an increase by the other banks, what is going to be the effect on money required ffor legitimate enterprises. And, if money becomes dearer, it will obviously be more costly to get it. As a matter of fact Postal Department has no right to interfere with the price of money. The sole reason for the existence of the Post Office Saving Bank is, or ought to be, to provide a place of safe deposit which will allow a moderate rate of interest, bat not sufficient to Indnee the looking up of money that might be profitably employed otherwise for the'general benefit. As the State uses all money of this Bank, and gives paper promises in exchange for it, the whole affair looks suspiciously like an attempt to withdraw money from general use to devote it to the assistance of the State financiers.” A JAYE PENNB.