THE WAY OUT OF THE SLUMP.

Waikato Times, Volume 114, Issue 19100, 10 November 1933, Page 9

THE WAY OUT OF THE SLUMP.

(To the Editor). Sir, —Kindly allow me space to make a few suggestions as to what might help to solve the unemployment question, also the slump. Cure one and you will soon right the other. We all know that the slump is caused by having so many unemployed. The working people have to go without things that they really should have; but they have not the wherewithal to buy them. If we could get the workers into constant work there would be plenty of demand for all goods. The tradesmen would be happy, the farmer would benefit, and everything in the garden would be lovely. What is the cause of so much unemployment? It is brought about by the use of too many labour-saving devices. If these are to be allowed to displace labour there will always be slumps on and off. Borrowing a few millions to help unemployed Is only a temporary palliative, causing prices to move up and down. It would be belter to make things more stable by facing the situation at once, and be done with it. To do this we should have a big tax on a lot of machinery that is displacing labour. People may think this would be going back; but I think we have gone back, and if we do not soon do something we will have spoilt a whole generation of young men and women. If they cannot get work at a reasonable wage now, when they are in their prime, they may not want It later on. It also has a tendency to spoil their principles. If any big contracts are let now, the first thing you see is a lot of machinery landed on the job. Men are racking their brains to invent something to do away with labour, and others, are trying to find what to do with tiie workers. Well here may be a way out if put into execution: (t) Put a heavy tax on all machinery that is displacing labour; (2) abandon all relief work Tor, say, 12 months, and pay a “dole.” If this is done there will be very few unemployed in 12 monlbs. and in less than three years there will be a more contented and happy nation. —I am, etc., A. J. Li I,LEY. Hamilton, November 8, 11)33.