THINGS POLITICAL.

Star (Christchurch), Issue 11729, 20 June 1916, Page 5

THINGS POLITICAL.

THE BUDGET. COST OF LIVING. [From Our Correspondent.] WELLINGTON, June 19. The Minister of Finance read "his Budget to a cold and traresponsive House on Friday evening. There wore the faintest suspicions of applause when ho announced his hugo surplus, a few half-hearted " hear, hears,' when ho mentioned the taxation of war profits and some restrained murmurs of approval and dissent, about equally divided, when he alluded to the cost of living; but apart from these mild demonstrations members gave no indication of what they thought of tho Government's achievements and proposals. The groat 'majority of thera sat and listened in etony silence. Tho truth is tho average politician is a modest person and in nothing is ho more modest than in his frank admission that he knows nothing about finance. Ho depends for his opinions of Budgets almost entirely upon the guidance of his party leader, and when his party leader is absorbed in a National Cabinet he requires time to frame his criticism. To-day the general feeling about the lobbies among the rank and file of both parties is that Sir Joseph Ward has handled the finances of the country on the whole very capablj*. No glamour is being thrown around tho surplus, members recognising it as merely tho result of taxation which anticipated the Minister's requirements later on, but the main features of the Budget are being warmly approved. CRITICISM. The local newspapers, each after its way, criticise the Budget perhaps a little more frankly than do the politicians. The "Dominion" takes exception to the methods in which war profits are to be assessed for the purpose of taxation, saying it will lead to injustice and allow many people to escape thoir proper contribution, and it does not like tho idea of those who have given a large part of thoir profits to patriotic funds being required to pay again. It also complains of the Government shirking " tiie unpopular ■step of spreading any share of the taxation to those with incomes of less than £3OO a year." Altogether the Reform journal is much less favourably impressed by Sir Joseph Ward's proposals than the Reform politicians appear to be. The "New Zealand Times," with its now and aggressive independence, wanders over the whole Budget seeking opportunities to belabour- tho Minister of Finance and finding\hem, or making them, at many turns. Its final conclusion, rather implied than expressed, is, however, that the Minister has done very well, displayed exemplary courage, given <the Dominion a sound finance and inspired its people towards further effort. Tho "Evening Post" follows on much the same lines, in a raiher more consistent spirit, of course, and, like its contemporaries, promises to return to the subject again. COST OF LIVING. The great blot on the JBudget is its failuro to deal in anything liko, a comprehensive way with the cost of living problem. After the statement made by the Prime Minister in the House last week, it was expeoted that the Minister of Finance would have something really notable to say in respect to this subject. The statement he did make was notable enough, but unfortunately for quite a different reason from the one that had been anticipated. "It seems," the gist of it runs, "almost impossible during war time, owing to the world-wide increases in freights, added to the general increase in the first cost of goods in tho countries of origin, to hope for a general lowering of prices until the war is over. Similar difficulties present themselves regarding our own produce, which is s fortunately, in general demand'." This, purporting to come from Sir Joseph Ward, who placed the Cost of Living Act upon the Statute Book only seven or eight months ago. reads like a complete surrender to the Conservative view that the law of supply and demand, interpreted by interested people, must govern prices in spite of anything the Legislature may do; but more probably it is the outcome of differences of opinion in the Cabinet adjusted by the inevitable compromise. Mr Massey, as Minister of Industries and Commerce, has the administraion of the Cost of Living Act, and it is quite likely he had the last word in drafting -this part of the Budget. THE COURSE OF BUSINESS. The debate on the Budget—or rather the debato on everything under the sun which the introduction of the Budget permits—will begin to-morrow evening, and probably will occupy the House for the rest of the month. The Prime Minister himself is not sanguine of getting it through earlier. The problems suggested by the Government's proposals are so varied and' some of them so far-reaching that the whole range of politics will bo open for discussion, and an unusually laTge number of members will bo tempted \o take their full hour. After the debate is concluded, legislation will be required to give effect to the Government's proposals, and this easily may occupy another fortnight. By that time the session will have run into its third month without the end being close at hand. Just why there should be any haste at all is not clear to tho mere outsider. Mr Massey declares he and Sir Joseph Ward are in no hurry to get Home, and' there certainly is enough work of a more or less urgent character to keep Parliament busy for the nest three months, or even longer." However, the edict has gone forth that the proroeation is to take place as early as possible, and when the Government makes a resolution of this sort trifles aro not allowed to stand in the way.