COST OF LIVING COMMISSION.

Colonist, Volume LIV, Issue 13507, 29 August 1912, Page 4

COST OF LIVING COMMISSION.

FORECASTS OF THE RECOMMEND-

ATIOiNS

(From our Parliamentary Correspondent.)

Wellington, August 28. For nearly three months the Royal Commission appointed to inquire into questions bearing upon tho cost of living has been taking evidence, and considering its report. The subject is so wide in its extent, that even after liberal extensions of time, the mem"ljers of the Commission have found themselves unable to fully and adequately deal with the thirteen specific questions put to them for inquiry .«-Th© . report was completed last wools, and will be laid on the table of tho House of; Representatives in a day or two. It will be foimd that many of the recommendations ara thoroughly radical in > tone, and that the report is the most exhaustive submitted by any -Royal Commission sine© the- Land "Commission eight/years ago. HEIGHTENED COST AND STANDARD, Answering; the question : Has tho cost of living increased in New Zealand during: the last twenty years? the report, of course, is emphatic in the affirmative, but tie Commission is careful to nlso point out that the- .standard of living has also gone up in that period, and that things onco regarded as the luxuries of the 'few, are now almost every day necessaries of the many. However, this does not by any means fully explain the increase which has ! been clearly demonstrated by the evidence. PREVALENCE OF COMBINES. The Commission took a groat deal ,of evidence bearing upon the alleged . existence of trusts and combines in the Dominion, and therefore it will be , found, it declares, that trusts and com- , bincss exist to a greater extent than is I generally believed to be the case, and that the influence of their operations upon the prices of necessaries has been i more marked than has hitherto been . realised. ; A SUGGESTED REMEDY. A definite proposal is put forward by the Commis'Bion as a remedy for this • state of affairs. The recommendation '' is that there should be sot up a permanent board of industrial investiga- ; tion, the functions of which will be- to ' deal promptly with any allegation that 1 undue and unfair restraint is being ■ practised in trade to the detriment of 1 i^e consumer. The proceedings will : be private and, the Commission, I understand, will 'recommend that this authority should exercise wide oowers in th-v matter of securing evidence. This [ scheme is practically on the same lines | as a proposal put forward at the last ■ general election by Mr. W. A. Veitch, 1 the member for Wanganui. who was • one of the Commissioners. The proposed body will have nothing to do with ' matters coming within the sphere of l the Arbitration' Court.

It is understood that the printed evidence will contain some important new facts relating to .attempts to control sales and pricey of imported goods in use in the Dominion. EFFECT OF THE TARIFF. The question^ of the Customs tariff .had to be considered Tby the Commission, as it wae asked to stat-o: What ha« been the effect on prices of the tariff reductions? The Commission's answer ig, I understand, tantamount to Z> declaration favouring free trade in all the necessaries of life, not only of food, but clothing as well. i THE GOLD STANDARD. ' ; After taking & considerable, amount orendencsv upoii the' point as to the influence of the value of gold upon the cost of living, the Commission came to the conclusion that here is to bo found one of the causes contributing to the present unsatisfactory position of the manual worker, whose margin between mcomo and expenditure is s aght or non-existent. They find that the increased output of gold lias had a marked effect in reducing the effective value or purchasing power o_f money, this being equivalent to an increase in prices of commodities. THE ROOT OF THE QUESTION. The Commission expresses the opinion that the great increase in land values during the period of 20' years reviewed by the witnesses has had an im-' portant effect in making living dearer. The report is, I understand, very definite in referring to this factor as the root of the whole trouble. Attention is drawn to the. huge increment in land values, following the provision of railways, roads, and other utilities at the public expense, and the Commission recommends that some steps should be taken by the Government to ensure at land values arising from large public works shall benefit the State, not the private landowner.

There is evidence of the most painstaking work on the part of the Commission in its endeavour to clearly indicato the tendency of prices and values during the last 20 years, and to correctly sum. up the-conclusions to be derived from a. mass of exceptionally interest-, ing evidence placed before it.