VOICE OF THE PEOPLE

Taranaki Daily News, 7 March 1935, Page 7

VOICE OF THE PEOPLE

VIEWS ON CURRENT TOPICS NEW PLYMOUTH FLOOD DAMAGE. PEOPLE'S ATTITUDE COMMENDED. (To the Editor). ' ~ Sir,—ln connection with a .meeting,.in the interests of those who suffered "loss in the late floods in New Plymouth it was very refreshing to read that there are still some men with enough fine pride and independence to shoulder their own troubles. All honour to them. History teaches us’ that good times and bad times, or sunshine and shadow, come to all -of us, and in the early days our parents, the pioneers of New Zealand, realised that, and made provision in the good times for the bad times if possible. If not, when bad times or hardship came they put their shoulder to the wheel, cut out some pleasures and luxuries, and came safely through the trouble. It seems to have become a habit with the present generation to spend lavishly in the good times, and as sodn as bad times, or any unforeseen troubles, come they rush to the Government for help. In some cases they simply demand help. Such a policy is very shortsighted, also very selfish. The Government is not an institution with an unlimited supply of money to ' hand ” out at' its'" discretion. Those who get help from the Government are only shifting their troubles' and burdens on to the shoulders of their neighbours.’ Also ultimately they are worse off, because the’help obtained from the Government,., results in increased taxation of. the people of the Dominion., At present the taxation in New Zealand is a very heavy burden, very grievous in some cases. Many of the people of medium income are quite. crushed by taxation, and the Dominion will never get back to the “good old times” so often quoted unless we, as a people, cultivate the spirit of thrift and independence I am so pleased to see that fine spirit is not quite dead that I feel I must write and say “All honour to those sufferers by the late flood who ai‘e determined to carry their own burdens and stand up to their troubles like men.” They surely will be more admired and respected as citizens for the stand they have taken. —I am, etc., B; HORNER. Patea, March 6. THE MORTGAGE CORPORATION BILL (To the Editor). Sir,—The Mortgage Corporation Bill is merely another example of the Coalition Government’s inability to fulfil its election pledges in regard to the financial and economic reconstruction of this Dominion. The Minister of Finance seeks to justify the introduction of tliis Bill by stating that the Mortgage Corporation will be the means by which the farmers may re-finance at cheap rates of interest. It must be agreed that such an objective as the refinancing at a rate of interest commensurate with the prices received in pounds sterling for the exports of this Dominion is entirely necessary if the primary producer is to receive any financial relief for the purpose of carrying on farming operations. Unfortunately, the rate of interest the Minister of Finance deems to be satisfactory will not only incur hardship on the farming community but also will make it impossible for the majority of farmers either to maintain their , farms in a state .of repair, or to make repayment of principal. -

During the debate on the Agriculture (Emergency Powers) Bill on October 31 of last year the Rt. Hon. J. G. Coates stated: “I think it would .be dangerous and would amount to a dis-service, if the Government arbitrarily fixed the rate of interest to-day.” With apparently no heed to these words it is proposed to let a group of individuals, subservient neither to the Government nor . to the people of this Dominion, fix the rate of interest, with a total disregard for, the fanners* right of representation. In the valuation of land, as' proposed ’by ’the "Mortgage Corporation Bill, there is/obviously no realisation of the fact that such'valuation would be purely fictitious, due to the fact that New Zealand currency is depreciated.

Assuming that this Bill becomes law, what would be the position of a farmer re-financed at a valuation on to-day’s prices in New Zealand currency, and at a rate of interest over -which he has neither say nor control, should the exchange rate New Zealand on London be lowered to par? Such a state of affairs is not improbable. Unfortunately it is a position which can be brought about by the Reserve Bank, which controls the monetary system of tliis country. The Coalition Government is merely governing by commissions and orders-in-council. Farmers will live to remember that at a period of this depression when the economic position, not only of this country but also of the world, shows absolutely ho prospects of improving, this Government chose to ignore its responsibilities and hand the farmer over to the mercy of the money power.—l am, etc., CITIZEN. Tariki, March 5.