ACCOUNTANTS EXPECT TRADE IMPROVEMENT

Sun (Auckland), Volume II, Issue 444, 28 August 1928, Page 12

ACCOUNTANTS EXPECT TRADE IMPROVEMENT

DOMINION FINANCES

LINKS WITH BRITAIN

Optimism regarding New Zealand’s finances was voiced by several members of the Society of Accountants at the annual meeting in Auckland yesterday afternoon. ‘Tt is the general and probably true opinion of those competent to judge,” said Mr. Ernest W. Hunt, president, of Wellington, “that the present.period is one of generally falling prices right through the world. This is consistent with minor fluctuations in the economic cycle. The outlook for the Dominion is for good and sustained prices for the next two or three years. Calculations may be affected by poor producing seasons or by world conditions. “The volume of our exports has shown a tendency to increase. Values depend largely on the purchasing power of the mass of the people in England, and the preference we can induce them to show, by such means as advertising, in favour of our produce. “The recovery of British trade is a vital factor in our prosperity. “If the world is prosperous, then Great Britain, which trades with the world, must be prosperous. “This reflects on the Dominion. As we are so dependent on foreign trade, probably no other country has greater interest in world peace and prosperity. Indications point to our export surplus being kept up, and far greater purchasing power. “Traders granted credit too -freely in the boom years. Business in this country is too dependent on borrowed money. This may cause considerable trouble during a bad season. New Zealand should avoid its previous mistake of over-importation, and I feel the banks could do much to counter this undesirable tendency.”