EFFECT ON EMPIRE.

Waikato Times, Volume 109, Issue 18251, 12 February 1931, Page 2

EFFECT ON EMPIRE.

LABOUR AT WESTMINSTER. ITS TENURE OF OFFICE. SUPPORTED BY LIBERAL PARTY. The political situation at Westmin- • ster and its effects on Empire economics was the subject of an addi bv Mr A. E. Manning to the Hamilton ■ T nnrheon Club on Wednesday. Many people, said Mr Alaiuung. now found themselves confronted - problem of why was it a minouty Government retained powei in t e ■ United Kingdom? That was ea answered if one went hack a fe Tears Mr Stanley Baldwin s Conser S, Government ol 1»« .fad been returned by a huge majority. Un doubtedlv Mr Baldwin regarded himself as a national leader, and personally, said the speaker, he considered him more of a natlona than party leader. However, the old Die Hands among the Conservatives wielded such power as to dominate the party and its leader. Mr Baldwin was a rugged, honest man, but he ” diUy daHled with his great majority at the um of the great strike, until matters went too far. He would not move; with the result that the coal owners had dorn- • inated the situation. Mr Baldwin went to the country ■ and lost office, Labour attained power, supported and kept theie by tie Liberals. The 59 Liberal ■ members of Parliament threw in ieir lot Willi Labour because they would not have the Conservatives in office ■ at anv price. Only 59 Liberals were returned,, although by the actual pol. •• the number should have been in the vicinity of 150. They now desired to . get electoral reform passed by Labour with their support, a measure' they would never gain from the Conservatives. With a new franchise system / they hoped to get better representation in the next House. Touching on the foreign policy. of the Labour Government Mr Manning said that whereas that of the Conservatives had been vacillating, tha*. of Labour was strong. In spite ol many rebuffs the Labour Government had.done more for disarmament than any previous British Government.

Unemployment. The present Government had been accused of failure to alleviate the unemployment situation. They had taken office with promises to rectify matters, but unfortunately had struck Jhe world crisis. Unemployment at Home was due to many causes, among them high taxation and the Treaty of Versailles. That treaty had set up a number of small nations which, immediately they received their Independence, asked “ how can we become self-supporting?” One and all they created tariff walls to the detriment of England’s trade. ■, The financial crisis in the United ■States of America had also affected the situation. Previous to that English capitalists could receive from live to eight per cent, on call money in the United States of America and a great deal of it was lost In the crash. It had meant a considerable exodus of English capital attracted by the big interest rates.

Overproduction , underproduction , artificial prices, dumping, and the restriction of the-gold supply were also contributing causes. Continental countries from behind their tariff walls were dumping their produce in Enghind, being enabled to do this through Li i c labour involved being cheap—almost half the price of labour in England.

Russian Dumping. Russia dumped wheat, eggs, bacon, chickens and many other articles of commerce. Chickens were landed at Smithlleld market at from Gd to Is each driving English poultry farmers out of business while the same chickens in Russia cost 20s each. Russia flooded England with fruit pulp at £l2 per ton below the cost of production in England, with the result that fruit in England lay rotting on the ground. Many people wondered whether Russia adopted this practice because she required money. It was however, quite .apparently Russian propaganda. Illustrating how this country was affected Mr Manning said that the Russian dumped wheat affected Canada and Australia. Canada was now giving up some wheat areas and going in for dairy farming, therefore affecting New Zealand. Why was this dumping not stopped? The Liberals as traditional free traders supported Labour in its policy. The Liberals were now more ardent Free Traders than ever before on account of the Conservatives being avowed safeguarded. There was a strong feeling in the Labour Party to stop dumping, but Mr Phillip Snowden, the Chancellor of the Exchequer, a tremendous man, the most powerful in the House, was a Free Trader.

Empire Preference. As for Empire preference, said Mr Manning, Imperial preference was on the side of the Dominions, England gave New Zealand and the other Dominions preference in the matter of loans, money being raised there cheaper than by foreign countries. The Imperial Marketing Board by investigating conditions, pushing and advertising our products, had accomplished incalculable good for us. In contrast was the system of tariff walls raised by one Dominion against the other. When we read that the Labour Government in England had turned down Imperial Preference we. should realise that it supported Emire Trade all it could. It was, however, mostly one-sided. England found that she had to pay 20 to 25 per cent, duty before landing goods on our shores. It had been proposed that an Imperial Development Board should be set up in London with Empire-wide ramifications to function continuously instead of a body meeting at long intervals.