The Taranaki Herald. DAILY EVENING WEDNESDAY, JUNE 4, 1919. MORE PRODUCTION WANTED.

Taranaki Herald, Volume LXVII, Issue 16448, 4 June 1919, Page 2

The Taranaki Herald. DAILY EVENING WEDNESDAY, JUNE 4, 1919. MORE PRODUCTION WANTED.

In his presidential address at the annual meeting of the Wellington Chamber of Commerce last week Mr. J. G. Harkness drew attention to the need for

greater production-in the Dominion. He pointed out, as we have done on several occasions, that the great excess of exports over imports during the last three or four years has been due. to inflated values of our chief products. This excess is made to appear oreator by the practice of assessing the exports at their full value f.o.b. and limiting the value of imports to a ten per cent, advance on invoice cost. If the high ocean freights were fully taken into account the lauded cost of imports would be seen to be materially greater than is shown in the official statistics, and the balance of trade in favour of the Dominion materially less than is shown. As against this adverse element, however, there is a great accumulation of produce awaiting shipment. If transport facilities had been better the balance in favour of the Dominion would have shown up even better. Nevertheless it cannot, be gainsaid that, future safety lies not sllimich in high prices as in an increased output of the Dominion’s products. It is encouraging in this connection to note that in the last two years there has been an increase of 451,974 in the number of cattle in the Dominion and of 1,750,152 in the number of sheep. This promises well for future development of the export trade. Mr. Harkness

dwelt upon the fact that since 1914 the national debt of the Dominion has grown from about .£99,000,000 to £166,000,000, involving the providing of at least £3,654,000 additional annually by way of interest and sinking fund. He emphasised that a nation does not live on its accumulated wealth, nor does it exist on the accumulations of posterity, but solely on what it produces from day to day and month to mouth. This principle is the very foundation of our existence. If then a certain production in 1914 enabled us to meet the Dominion’s financial obligations, what are we doing now, if our output remains about normal and values are reduced considerably in the near future, to pay nearly double the amount? There is only one answer to this. Dominion must increase its' output and economise in its expenses. In England, when the German submarines threatened to cut oft’ imported food supplies, the country rose to the emergency and increased its home production of foodstuffs by from 50 to 75 per cent. We m.ust do the same. We must produce more wool, more meat, more butter, more cheese for export and at the same time increase the output of secondary industries in order to reduce our expenditure on imported goods. We must bring new land into oocupation and by better farming increase the product per acre of the land already occupied. More than this, we must not restrict output in other directions. To restrict the output of coal is to handicap all other industries which depend upon coal for fuel. If the men on the land were to insist upon a 40 or even 48-hour week they would be able to produce enough for their own wants but the surplus for export, with which our foreign obligations have to be met, would suffer. It is no use saying that the men on the laud are making excessive profits. Some of them may be, but that provides the incentive of effort and encourages them to increase their output. If there were no such incentive, or if taxation of the land were greatly increased as is suggested, production would lag, the Dominion would be unable to pay its way, and a depression such, as was experienced in the eighties of last century would ensue with disastrous results for everyone, but especially for the wage-earners.

points are of importance. We often speak of Austria, when we mean AustriaHungary, hut the present treaty refers only to Austria. Before the war Austria had an area of 115,000 square miles and a population of 29 millions. Of these nine millions were Germans, six millions Bohemians and Moravians, four millions Poles, three millions Ruthenians, and one million Slovenes. Now Austria, will have' an area of 55,000' square miles and a population of about six millions, almost all Germanspeaking. The Bohemians in the north will be independent, the Poles of Galicia will form part of the new Poland, and the other races will belong to the new kingdom of Tchecho-Slovkia. Austria never was a united kingdom, but consisted of half-a-dozen races' who were under the rule of one Emperor, with practically all tho power in the hands of the German-speaking section. Hungary was in the same case, but there the Hungarians dominated the position. Austria is now broken up into its component parts, and it remains to be seen whether the new ■ nations which are being created will be able to establish stable governments and maintain their separate existence. Hitherto they have , never had a chance, but they are desperately ignorant and have little idea as to tho fundamental difference between liberty and license. We are apt to think that democracy is the cure for all evils, though there is little evidence that tho Southern European and Slav nations have at present the capacity for self-government. The risk must, however, be taken, because we cannot leave millions of Europeans under the domination of tyrannical Austrian and Hungarian masters. Our responsibilities will not end with the creation of these new States, as we shall have to assist them in the process of self-de-velopment, prevent them from flying at one another’s throats, and defend them against aggression on the part of Germany and Austria. The present peace 1 will by no means be the final settlement.

It is disappointing to learn, apparently from anauthoritative source, that Germany is to be allowed to the end of Juno to sign the peace treaty. Four weeks have elapsed since the terms were handed to the delegates, and two extensions of time have already been granted. This time, it is stated, Germany will bo instantly invaded west and north, or from the Baltic, and pence will not he accepted until Berlin is occupied, if the treaty is not signed at the end of June, or according to another account, by Juno 2G. It is sincerely to he hoped that this will be final, but the Germans will devote all their efforts to further delaying the final decision. Wo could almost wish that they will refuse, for there is only one way to convince the German people that they were hopelessly beaten militarily, and that is by an Allied army occupying Berlin. But there is reason to believe that a considerable section of the German p/oplo is anxious to have the peace treaty signed, to accept the inevitable as speedily as possible, so that the energies of the nation may be turned to reconstruction of the disorganised industries and commerce. Wo can scarcely believe, however, that the German delegates will refuse to sign when they are made to understand that there is no alternative except invasion. They would rather sign at Versailles than at Berlin, and under present conditions no very serious resistance could he offered to the onward march of the Allied armies Delay, however, is dangerous for the Allies, and irritating also, for there will be no genuine settling down to peace the countries concerned until the treaty is actually signed.