The Daily News TUESDAY, APRIL 28, 1931. PARLIAMENT'S WORK.

Taranaki Daily News, 28 April 1931, Page 6

The Daily News TUESDAY, APRIL 28, 1931. PARLIAMENT'S WORK.

When the Prime Minister first announced the decision to call an emergency session of the Parliament of New Zealand he was optimistic enough to suggest that the work that had to be done could be accomplished in about three weeks. Parliament being a costly machine, and the main purpose of the session being to curtail public expenditure, most people hoped that this forecast -would be realised, and but for the tactics of the Labour Party it might have been. There were two principal tasks to be faced by members—the readjustment of the country’s finances and the provision of means for the rehabilitation of Hawke’s Bay. In each case the Government had clear-cut proposals to submit, and in the ease of the financial measures it was obvious to everyone who had devoted thoughtful study to the subject that entirely in principle and very largely in detail the Government’s plans afforded the best means of meeting the situation. Yet it was through opposition to the finance programme that Labour, managed to hold up the proceedings of the House of Representatives for many weary days and to prolong the session to more than double its expected duration. The reason was, not that Labour had a preferable plan to substitute for that put forward by the responsible Ministers, but that this is election year and the extremists are eager to create among careless voters the impression that organised Labour is their true friend and the Government their enemy. It is therefore Labour’s purpose to decry the very praiseworthy efforts of the Government to reduce costs and so bring about such a readjustment of both public and private expenditure as alone can enable the Dominion to meet new economic conditions and remain solvent. Labour’s prescription is just the opposite of that,which has been adopted: it would increase costs, levy heavier taxes, until the taxpayers collapsed under the burden, and so intensify the country’s difficulties until it fell into the same parlous plight as New South Wales has done under a Labour Administra-. tion. The ultimate result of Labour’s policy would be that there would be no money to pay wages, industries and businesses would close down, and the people who still remained in the country would have to forage for a living as best they could. Fortunately for New Zealand the great majority in Parliament has taken a saner view of the needs of the times. By making provision for the reduction of both public and private expenditure Parliament has strengthened the country to meet its difficulties. If the legislation now added to the Statute 1 Book is given full effect practically the whole population of,the Dominion will be brought into line with those who already know i what it is to make sacrifices, and ' in a comparatively short while 1 conditions will have changed to ’ such an extent and values will iave been so adjusted that individuals will be able to realise that they are no worse off than before. Parliament certainly has dpne good work so far as the finance legislation is concerned. If the Government and Parliament have been rather less far-seeing in their attempts to deal with the problem of earthquake relief it is not hard to find excuses for them. It is to be said in the Government’s favour that it showed courage and resourcefulness when it decided ' that the Dominion must itself finance the first steps in the rehabilitation of the stricken area and therefore must immediately transfer to that purpose its reserve fund of £1,500,000 .held in London. It is fortunate that such a sum in cash can be made available at once, for the Dominion’s self-reliance is bound to enhance its reputation for soundness at a time when its credit might easily be prejudiced by Australia’s misfortunes. The Government again did the right thing in proposing to take immediate steps to build up the reserve fund, and for that purpose even a class tax such as that to be levied on insurance might almost be justified. It is, however, still open to question whether the necessary tax should be regarded as a permanent levy, or whether it should not be limited to a period sufficient to cover the cost of recouping the reserv , fund. It is generally supposed that the cost of restoration in Hawke’s Bay will very greatly exceed the sum of £1,500,000, and it will be a national duty to meet the bill. But if that is to be done and at the same time the country is to continue to add to the reserve in London the burden may become excessive. There is more to be said on this question than has yet been said, but Parliament will have another opportunity a few months hence. The essential thing at present is to make provision for immediate needs. When that has been done it ■will be time enough to look ahead.