AUSTRALIAN PROBLEMS

Wanganui Chronicle, Volume 74, Issue 143, 19 June 1931, Page 7

AUSTRALIAN PROBLEMS

INDEBTEDNESS HISTORY A REVIEW BY MR SCULLIN t ADVERSE EXCHANGE BURDEN ' UNEMPLOYED TOTAL 3b0,000 I , I [By Telegraph—Pres Association—Copyright] Received June 18, 11.5 p.m. CANBERRA, June 18. The Prime Minister, in moving the * second tending of the Bill to approve the Premiers’ Conference financial agreement, which covers the conversion plan, reviewed the whole history of Australian indebtedness He said that Australia had had no credit in London since September last, and whatever new expenditure had arisen had been caused by world conditions. For example the adverse exchange was costing £10.000,000 a year. The unemployed in Australia now numbered 360,800, the cost of whose sus- . renance and relief is £9.000,000 a year, while if no action werr taken to cope ’ with the drift this cost would be swollen to £13,000,000 a year. The debate has not concluded. FATE OF PLAN. ADOPTION UNCERTAI N. Reccibed June 18. 10.50 p.m. SYDNEY, June 18. It is not by any means certain that, the Premiers’* Conference plan for the financial rehabilitation of Australia will be adopted. Recent events disclose growing opposition on the part ot La hour organisations in the Eastern States to the plan, despite the earnest appeal by the Prime Minister to let it go through, and the danger of default and complete stoppage of credit. It is asserted privately that the majority of delegates to the special meeting of the Federal Labour executive now sitting at Canberra is distinctly hostile to anv reductions in salaries or pensions am! intend to urge a double dissolution on the fiduciary and currency issue. On the other hand an unofficial statement was made in Canberra to-day to the effect that the Federal Government will in no circumstances deviate from its intention to give full effect to the Melbourne Conference plan. Complete endorsement of the plan has already been given by the Governments of New South Wales, Queensland, South Australia and Tasmania. INCREASED TAXATION CIVIL SERVICE WAGE CUTS SENATE APPROVES GOLD EXPORT

Received June 19. 1.20 a.m. CANBERRA. June 18. The Senate passed the Bill authoris ing the shipment of £5,000,000 wort! of gold. In the House of Representatives Mi E. G. Theodore, 'Treasurer, announce! legislation would be introduced imine ! diafely increasing the sales tax frorr I 2$ to 5 per cent., the priinagr dutj from 4to 10 per cent. .Income la> , will also be Increased. It was thus . hoped to reduce the deficit from £2O, •100,000 to £4,500.000. Twenty per cent cuts would also ho made without delav ! in public servants’ salaries and ex-sol diers’ pensions, but due considcratior would ho given indigent cases. Pen stops would, in future, be, denied the widows of soldiers who re-married, and I also for the children of such re-mar . riages. > ‘ STOCK EXCHANGE ’ INVESTORS VERY CAUTIOUS Received June 18, 5.5 p.m. SYDNEY, June 18. Business on the stock, exchange has Loen entirely restricted for the past few days and a markedly cautious attitude has been adopted, Commonwealth bonds displaying a tendency to dri ft. Investors are disinclined to operate in the absence of the conversion loan details. Banks have reacted from the re- ' cently improved levels, but most of the better-class industrial shares continue steady. CONCESSION ABOLISHED NEWSPAPER TELEPHONE WORK Received June 18, 7.40 p.m. SYDNEY, June 18. The Postmaster-General has abolished the concession rate to newspaper proprietors for the despatch of news by telephone on long distance lines to country newspapers. He has also prohibited the use of dictaphones in conjunction with telephones for newspaper offices, which of recent years have made serious in roans into the telegraphic revenue. OPPOSITION’S ATTITUDE STATEMENT BY LEADER SYDNEY, June IS. Discussing the Budget, the Leader of the Opposition (Mr Bavin( said that the deficit had been increased by the introduction of the party policy legislation. such a the 44 hour week. The Opposition would support the Government if it carried out the policy adopted at the Premiers’ Conference and abandoned the Lang Plan. AID FOR SOUTH AUSTRALIA GRANT RECOMMENDED CANBERRA. June IS. In a report presented to the House of Representatives, the Public Accounts Committee recommended that, South Australia had a resonable claim for a grant of £1,000,000 from the Commonwealth for 1931 32 and that no increase in the financial assistance to Tasmania would be justified at present.