MEANT TO BE DRASTIC

Sun (Auckland), Volume IV, Issue 1023, 14 July 1930, Page 9

MEANT TO BE DRASTIC

SCULLIN DEFENDS HIS FEDERAL BUDGET CONFIDENCE IN ENGLAND CANBERRA, Sunday. The Prime Minister, Mr. J. 11. Scullin, vigorously defended his Budged against the critics. He said that apparently some people wished to repudiate debts and reduce the war and old-age pensions. He certainiy would not do that. “We intend to go along fearlessly,” he added, “facing the position and balancing the Budget.” The Attorney-General, Mr. F. Brennan, said he did not expect that the Budget would be popular. On tbe contrary, the Government intended it to be drastic. A message from Eondon says tho rally of Australian Government stock,; has heen well maintained, and they are still meeting with a good inquiry, in some quarters the improvement is attributed to the bankers’ resolution in favour of Empire free trade, for the commencement of the rise followed immediately on the publication of that document. But there is no doubt that the-better feeling was largely induced by the news of Sir Otto Niemeyer’s visit, and the expectation that his discussions with the Prime Minister of Australia, Mr. J. H. Scullin, will lead to an improvement in the economic and financial situation. OTHER WAYS OUT

Commenting on what he calls “Mr. Scullin’s ruthless Budget,” Sir Otto says other means may be devised to circumvent the great difficulties that face the Commonwealth.

A New York dispatch states (he “New York Times,” commenting on Australia’s finances, says Australia is essentially sound and her resources aro unlimited. Apparently she is suffering most from the effects of the attempts to regulate economic processes by law. The newspaper says Australia’s new troubles illustrate (lie importance of i he Imperial Conference to he held in Eondon in the autumn.