THE NATIONAL CREDIT

Wanganui Chronicle, Volume 79, Issue 164, 16 July 1935, Page 8

THE NATIONAL CREDIT

The. main remedy put forward by the Labour Socialist Party is the control of our national credit by the State for the use of the people. This implies that hitherto our national credit has not been used for the people, whereas the State, has never had anything else to work upon and has always done so. Beyond Slate enterprises and Crown properly the national credit depends on the capat-ily of the people to pay raxes. The nation's wealth i* the aggregate wealth of the individual citizens and Ihe nation’s credit .s based upon the belief that it will, and can out of taxation, meet its liabilities. No banking reform or monkeying with the currency can alter this fundamental fact. I-Jvcr since New Zealand has had a constitution the Government has made full use of the national vredit. It has never had anything else to work upon, and has borrowed money upon that credit to its utmost extent. This national credit is to-day spread over many organisations the savings banks, building, friendly, and loan societies, and the trading banks. The Labour-Socialist L’artv threatens to take over, under political control, all the activities of these lending institutions, they wish the public to believe that by so doing they will increase the natioual ■credit, whereas it would not be. increased by a penny. — (Contributed by the N.Z. Welfare League.)