DEBATE CONTINUES.

Star (Christchurch), Volume XLIV, Issue 364, 4 March 1932, Page 6

DEBATE CONTINUES.

Members Express Views on Country’s Position. REDACTION OF INTEREST. Per Press Association. WELLINGTON, March 4. The House of Representatives met at 10.30 this morning Mr F. Langstone (Lab.. Waimarino) gave notice of his intention to introduce the Licensing Amendment Bill. The Gaming Amendment Bill, sponsored by Mr IT. T. Armstrong (Lab., Christchurch East) was introduced and read a first time. Address-in-Reply Debate. The Addrcss-in- Reply debate was resumed by Mr J. O’Brien (Lab . Westland), who said that the method proposed by the Government to aid the farmers and others who were in difficulties was to add to their burden by decreasing purchasing power. There was one thing that the farmers wanted more than anything else at the present time, and that was a reduction in interest rates. Mr O’Brien went on to criticise the importations of coal by the Government, declaring that this involved increased unemployment among Dominion miners. Mr W. J. Poison (Ind.. Stratford) denied that there had ever been a demand from the farmers for a high exchange rate. What they wanted was free exchange. He agreed that the problem of interest rates should be tackled, but he was not in favour of an arbitrary reduction, pointing out that the greater part of Government money invested in mortgages had been borrowed overseas and it would not he desirable to reduce the rate on these loans, because it would prejudice New Zealand’s position on the overseas market. Furthermore, local bodies’ sinking funds and the Public Service superannuation funds were largely invested in these securities. He believed that the position would be best met by extending the powers under the Mortgagors’ Relief Act to give relief in the form of a reduction of both interest and principal where such relief was required. Mr F. W. Schramm (Lab.. Auckland Last) said that it was evident that the Government was determined to protect bondholders grid intended that the workers should bear the full burden of sacrifices that had to be made. Mr A. K. Ansell (C., Chalmers) said that any further proposals for economies and sacrifices must be accompanied by measures .for a reduction in interest, rents and other fixed charges. Mr Langstone (Lab., Waimarino) asserted that the Government was facing the present economic situation without a policy, without a message and without hope. The House adjourned at 1 p.m.