POLICY FOUGHT FOR THREE YEARS

Wanganui Chronicle, Volume 83, Issue 27, 3 February 1939, Page 8

POLICY FOUGHT FOR THREE YEARS

RFPI.Y TO PROFESSOR R. M. ALGTE I Per Press Association.) NEW PLYMOUTH, Feb. 2. "The Opposition has been fighting this policy in Parliament for three years with all the energy possible tor a small band numbering less than a fourth of the House," said Mr. W. J. Polson, M.P. for Stratford, in answer to Professor R. M. Algie’s criticism of the Opposition tor not fighting the exchange control. "The electors gave the Government a ■very substantial majority," Mi. Polson continued. “The whole plan

is already on the Statute Book and there is no misunderstanding about it. With others I explained to the public that exchange control would come, and even in Auckland the Pres gave full publicity to my statements. I personally explained that the causes of the diminution of the London funds were: Firstly, the use of Reserve Bank credit, which was really manufactured money, coupled with lavish Government expenditure; secondly, the excess of imports, caused largely by the Government's deliberate spending policy; thirdly, a feeling of uneasiness and uncertainty regarding the Government's intentions, which have caused a flight of capital. "Rationing of exchange came about precisely as we anticipated.”