VOICE OF THE PEOPLE

Taranaki Daily News, 27 March 1934, Page 9

VOICE OF THE PEOPLE

VIEWS ON CURRENT TOPICS LAND AND CURRENCY PROBLEM. TRAFFIC IN LAND MUST STOP. (To the Editor.) Sir,—l write as a New Zealander for New Zealand. Like many other fellow sinners I have long held the opinion that the remedy to the depression is to be found in an improved land policy. As our currency system and land policy are vitally and indissolubly connected, it becomes impossible to adequately deal with these two subjects separately. In the first place let me point out that our currency is based on land values. This truth has never been recognised before; but it is a truth, nevertheless. When we reflect that our loans floated on the London market have been obtained against the value of our exports which comes from the land; that the sum of seventy million pounds has been borrowed by our local bodies against land value securities; that the sum of approximately two hundred million pounds has been advanced against land in the form of mortgages; that our large mortgage and financial institutions, including our banks, prefer land values to any other class of security, the fact that our currency is based on land values becomes irresistibly forced upon the mind. Such being the case, it follows, as a necessary sequence, that he who trafficks in the currency upsets the equilibrium; hence, to bring about the required adjustment, we must eliminate the land trafficker. The most effective way is to nationalise the land. . How to bring about this most desired reform, r without confiscation, becomes clear when we bear in mind that land is the basis of currency and decide to use it as such. To put this proposal in operation, we must first of all establish a State bank which will take upon itself the sole right of note issue and control of currency. This bank must be free from all external domination. Our next move will be to revalue the land of which the unimproved value is quoted in the Official Year Book at £332,000,000. We will assess this for our present purpose at £250,000,000, for which cheques would be issued to the-present owners, allowing the mortgagee his legal rights—if he has any left. In cases where the mortgage exceeds the security, the estate is a bankrupt one and should be treatr ed accordingly. The land having been

bought and paid for, we charge the occu- 1 pier a : rental of'4 per , cent of the value, which- would give an annual return of £10,000,000. This sum could be spent on public works, enabling the Government to employ men at a decent rate of wages. . That we should put the farmer on a sound and progressive footing is of the most vital importance. With this object in view, I submit the following: (1) That he be granted a life tenure, subject to periodical revaluations, with the right to dispose of his ' interest, viz., buildings, stock, machinery, etc w at valuation; but not to put the strangle-hold on his successor; (2) that he should be privileged to bequeath his interest to * whomsoever he will; ,(3) . that ’ he 7be allowed the full reward of his industry by paying him for any value he may add to his land; ? (4) that the penalty for allowing the land to deteriorate would be the cancellation of his tenure. This condition should be rigorously enforced.’ Regarding city and town lands, the position is different.' Any increase arising in the value of these lands from L the expenditure of public money and the increase in population should be acquired by the State in increased rentals without further compensation. In equity, the value created by the people belongs to the people, and should be taken by the State for the benefit of the people. Under the policy outlined, our currency will be based on wealth in its most concrete form - which could be kept under rigid control; it will privilege us to utilise our own created wealth; it will make us independent of -the London loan jobber; it will enable our farmers to look .the whole world in the face, for the same reason assigned to the village blacksmith of poetic fame; it will enable our wage-earners to live like civilised beings deserve to live; it will remove poverty and misery and worry and anxiety from thousands of homes; it will stop the drain of our national wealth by absentee landlords; it will be harmonious in its working, operating as it will to bring about an increase in revenue and currency proportionate to the increase in population.—l am, etc., J. L. HARWOOD. Palmerston N., March 19. HOSPITAL BOARD STAFF.

(To the Editor.) ( ■ Sir,—l was surprised to read in your issue of to-day a letter by “Ticket” with reference to the Hospital Board staff. First of all, why should “Ticket” interfere with the management of the Hospital Board, considering all its members were voted into power by the majority ■ of ratepayers, to ensure the smooth running of one of the best hospitals in the Dominion? The term “single man” has been done to death during the last three years, and I consider it high time that this sentiment was put aside, and that every man was given a fair chance of earning a few shillings. To become despondent about your lot in life is but to belittle yourself. To be determined on better things and ready and anxious to work for better things will surely bring its reward.—l am, etc., FAIR PLAY. New Plymouth, March 26.