AN OVERHAUL

Wanganui Chronicle, Volume 72, Issue 235, 3 October 1929, Page 7

AN OVERHAUL

THE BANK OF ENGLAND IS EFFICIENCY IN DOUBT? DR. BEAGLEHOLE’S OPINIONS (Special to “Chronicle”) WELLINGTON, Oct. 2. A Royal Commission to investigate the position of the Bank of England, is anticipated at an early date, states Dr. J. c. Beaglehole, who has just returned to New Zealand after three years’ study at Ldndon University. Dr. Beaglehole who did post-graduate work in England and took his Ph. D. degree, gives a s the reason for this step, tho grave suspicion that the bank is not able to meet modern requirements in the matter of finance and that new machinery is needed. “Grave problems face the country if England is to recover from her present position,” said Dr. Beaglehole to-day. “A great deal of her industrial organisation is inefficient, and in some largo industries the plant and methods in use are hopelessly outmoded. In cotton and in coal the position is shockingly bad, largely owing to lack of intelligent direction on the part of the employers. The one idea of the cotton manufacturers for the betterment of the industry f appears to have been to reduce wages.

“At the same time, there is a more optimistic feeling in the country since the advent of the Labour Government, it is not realised in New Zealand what an intense purpose almost spiritual in quality, underlies the acts of the Labour Party. The roots of that Party are deep in the soil of the country, and its rapid rise is evidence of its powerful appeal to the English mind. It is indeed, more than a party; it is a religion. The Party has, of course, grown mostly at the expense of the Liberals, and it is anticipated that as a Parliamentary body, the Liberal Party itself will not long survive Lloyd George. The efforts of the Liberals to keep their hold on the country led to the expenditure of large sums of money during the last election—a total of about £750,900, whereas the Labour Party’s expenditure, apart from local effort, was only in the region of £20,000. Towards the Liberals the Labour Party preserves a poli Vj of no quarter, as it realises that if it is to grow further, it must be by incorporating the Liberals themselves. The spirit of Liberalism, naturally, will be preserved, but the Party seems doomed to extinction. The Liberals in Parliament me highly intelligent, but they suffer from an overplus of leadership, and though they have lately concentrated on very valuable research work into the needs of the country they have always been a trifle late with their reme dies for existing ills. Lloyd George's unemployment policy, for instance, was anticipated by the Labour Party almost before the end of the war. Brilliant Men. “The Labour Party has some brilliant men in its ranks, and outstanding young nn ; arc joining it rapidly. Some of them are probably careerists but there remain some fine figures. The party has a solid, intellectual background, which is not at all characteristic of the Labour Parties of Australia or New Zealand, whose lack of fine thinking seems, in comparison, appalling. For instance, two of the junior members of the Cabinet, lesser known in New Zealand, are Dr. Hugh Dalon and Philip Noel Baker. Dr. Dalton has been a lecturer at the London School of Economics and is extremely brilliant and Noel Baker, till he was elected lor Coventry, held the chair in international relations in the University of London. He was once described by Dr. Nansen as possessing greater knowledge of international relations than any other man Nansen knew. Behind the Party stand great figures in contemporary British, and world thought— Harold Laski, C. Al. Lloyd, G. D. H. Cole and R. H. Tawney; outstanding men in political science to-day. Another man who docs not seem to be appreciated in New Zealand, is Arthur Henderson, who is proving the ideal man in the Party for the portfolio of Foreign Affairs. I believe it is true to say that most officials connected with the League of Nations were hoping that he would receive the portfolio. He is a great administrator, knows the Continent intimately, and has not the slightest craving for praise or recognition.

“Tile attitude towards the new Government was very favourable, and the general opinion* seemed to be that if iney were forced to go to the country witnout a reasonable chance of developing their policy, they would be assured of a return with an absolute majority. This time there will be no Zinovielf letter. The problems which are facing them ai’3 great, and though Air J. 11. Thomas was hailed as the saviour of the country, it will be interesting to see just how much he can do towards freeing Britain from the load of past years. It seems unlikely that they will abandon England’s free trade policy. They are unlikely to repeal the McKenna duties, but when these lapse it seems fairly certain that they will nut be renewed. Lord Beaverbrook has commenced a newspaper campaign for protection, or for an economic imperialism, and it is interesting to note that Dr. R, Al. Campbell, who has beei working in Loudon while on leave from the New Zealand Prime Alinister’a department, has made an exhaustive study if imperial preference and has put forward the conclusion that to England, imperial preference makes no difference, that economically it is an irrelevance—a gesture and a wasteful At the same tune, Dr. Campbell advances the opinion that there may bo something in favour of an Imperial Zollverein. ”