LIGHTENING THE DEPRESSION.

Taranaki Daily News, 17 January 1931, Page 4

LIGHTENING THE DEPRESSION.

The account published yesterday of the results of inquiries concerning the cost of living made in New Plymouth afforded very cheerful reading. Comparison of the present retail prices of necessaries with those ruling twelve months or so ago shows that very substantial reductions have been made. It is estimated that the cost of drapery and clothing has been reduced by about 20 per cent, and boots and shoes about 10 per cent., groceries are down from 5 to per cent., and butchers’ prices appear to be from 15 to 40 per cent, lower. These conditions must have made matters appreciably easier for the average family, provided reasonable care has been exercised in the control of houshold expenditure. It is, no doubt, as easy to waste money on luxuries as it always was, but there is no reason why wage-earners and others with fixed incomes should not be able to obtain a good'standard of comfort. The economic circumstances of the country make it necessary for people to watch their expenditure, but the fall in the cost of the things everyone must have affords them a really comfortable margin. It is to be hoped\ that the very definite announcement of the reductions in costs will have the effect of brightening up the community and stimulating business. Someone has said that every depression is twice as deep as it ought to be; that is to say, people intensify it by becoming dispirited and telling everyone that times are bad, and their psychological augments the material depression. Confidence is destroyed, with the result that business falls off and purchasing power is reduced. In this country, we have plain evidence of the fact that purchasing power in general has been increased by the reductions in prices, and that is cause for cheerfulness. It would be idle to say that the cheapening of the cost of living is sufficient to counterbalance the depression that undoubtedly exists, but it certainly is a means of lightening the depression. And we can all do something more to lighten it by keeping up our courage. If we try to be normal and to strengthen our confidence in ourselves and our country we shall be on the way to better times.