PUBLIC OPINION

Waikato Times, Volume 122, Issue 20409, 28 January 1938, Page 9

PUBLIC OPINION

A» expressed by correspondents, svhose letter* ere welcome, but ft* whose rlews we bees no responsibility. Correspondents are requests* to writ* In Ink. It Is essential that anonymous writers enolose tbsir Proper names es a guarantee ot good faith. Unless this rale I* compiled with, their letters will not appear.

, PRIOE LEVELS (To the Editor.) Sir,—l notice that some of your correspondents are fond of quoting Cole and other economists when it suits them. Recently one writer blandly agreed with Cole on one point, but refused to accept him as an authority on another. That made me wonder what these enthusiasts would make of this statement: ‘‘lf the American experience of 1928-29 has taught the world nothing else, It should at any rate have taught it the danger of facile belief that to stabilise the general level of prices is to ensure the neutrality of money in economic affairs.” That is from Cole written when pointing out that the American banks tried ‘‘to maintain a stable ‘general, level’ of prices in the belief that this was the best way of securing the economic system against the interference of monetary forces.” What do the monetary reformers make of that? —I am, UNDERGRAD. Hamilton, January 27. ELECTORAL REFORM (To the Editor.) Sir, —I hope the leaders of the political parties will take note of the 1 report from Wanganui, that the Social Credit Movement may have several independent candidates contesting various seats. There, in one sweep, goes the fond hope of Mr Adam Hamilton and others that there would be straight-out fights at the next elections. Already several independents have announced their candidature, and others have been invited to stand. There is at least one case of a prominent man being invited to come out as an independent Labour candidate, so the matter does not concern the Nationalists only. It is certain that as the election approaches there will be more and more candidates not connected with any party. I suppose the Country Party will have some, but most of them will be Social Credit advocates in any case. And the more candidates the greater the certainty that there will be minority members. I suppose that not a ' single organisation openly approves of that, but all hope to benefit by the split. It all seems so foolish when there is a system available and used in Australia at all elections, where it does ‘ not matter how many candidates there are the member elected can claim to represent, as closely as possible, the \ wishes of a majority of the electors. Why cannot we have this reform in | New Zealand? All parties claim to be ’ democrats but they will not Introduce an electoral system that will act democratically. There is still an op--1 portunity for a Bill to be passed, and I for one hope that the prospect of a ' number of independent candidates will Induce the Government to take action. 1 —I am, etc., FOR REFORM 1 Hamilton, January 27. QUESTIONS OF FINANCE (To the Editor.) Sir, —Mr Young is to be commended on his candour and I appreciated his letter. It was, in a sense, good to have the frank admission that the overdraft in the Dairy Industry Account at the close of the trading period was not against some security. Previously your correspondent, had contended that the banks monetise the tangible assets of their clients, and he held that the dairy advances were against produce. Now, however, he admits that a substantial sum (£340,000) has been obtained without any security, and, whatever else it may be, that is bad banking. As the compensating price would have meant an overdraft running into some millions. Mr Young would I am sure admit that it, too, would be against no tangible assets. The suggestion that the Reserve Rank should now proceed to write off the overdraft "as the produce it was created against has gone into consumption long ago” is, I am afraid, beyond me. The overdraft appears in the accounts of the Reserve Bank as an asset. The balancing liabilities have taken the form of either increased note issue or an increase in the balances of the trading banks held by the central Institution. Now, could Mr Young or anyone else, tell me how an Institution could proceed to wipe off its assets and keep solvent? Could Mr Young do it himself? The latest statement of the Bank, to January 3, gives the total liabilities as £29,195,176. The assets, of course, are the same but they include £6,162,554, advances to the Marketing Department. Now that sum includes the £340,000 representing the deficit on the operations last year. Wipe off that amount and what is the position? The liabilities of the Bank will exceed its assets and it will not be solvent. How does Mr Young purpose getting over that difficulty? But, my mystification is about completed when Mr Young says, referring io the housing scheme: "Why should Ibe Reserve Rank appropriate the i assets and debit Hie public with the cost?’’ What, can that mean? I am not sure but I take it, that the item "For other purposes” in the bank statement refers to an advance of £900,000 for the building schemes. The money has been advanced, otherwise how could the wages have been paid and the materials purchased? If that, too, is written off then so much more of the assets disappears and the position of the bank is worsened. I hope Mr Young will explain his views. And, finally, let me say that it is not, in my opinion, possible to draw the distinction between overseas and domestic loans along the lines attempted by your correspondent. He admits that those overseas were for the purchase of goods etc, and so are the domestic loans. I have, as trustee, subscribed to many of them and can assure Mr Young that the transfer involved cash resources.—l am, etc., B. COM. ITamilt6n, January 27.

HOUBE SHORTAGE CTo the Editor.)' Sir,—l am absolutely fed up with trying to get a house or living rooms for myself and family of four children. The position is desperate. At present the family are living in tents, In another town, and have been doing this for the last four months. The tents are dry enough. They do not let the rain in but all the same everything feels damp and besides things are so cramped. Now' cannot something he done about things? There are houses—l know quite a few about—which have been empty for quite a w’bile but they are for sale. Well I cannot buy one but I am very anxious indeed to pay a fair rental for one, or for rooms or anything,, especially now that the wet weather is coming on. I dread the thought of winter with four children of school age.—l am, etc., HOUSE HUNTER. Hamilton, January 25. RETURNS RECEIVED • (To the Editor.) * _ Sir, —With an election coming along some time this year farmers want to know exactly how* they w’ould have got on if there had been no guaranteed price. I noticed that Mr Gibson, writing from Taranaki, said that the cheese factory suppliers w'ould have got at least Id per lb more if there had been no guarantee. What made me take notice w r as a clipping sent to a neighbour. I think it came from a southern paper. It quoted a Mr Purcell, chairman of the Commonwealth Equalisation Committee. New’ Zealand dairy farmers, lie said, received last year about 118 s per cwt., while the pay-out in the four eastern States of Australia was 126/G per cwt.. He did not know what would be paid out this year but expected it to be several shillings higher, and it w ? as stated that the pay-out in August last was 24s better than here. Now could not the Farmers’ Union get in touch with this gentleman and get all the figures? Could there not be an arrangement by which the monthly pay-outs were notified to the Union? Then we would be in a position to judge the scheme we have. It is all very good telling us that we have stability. Personally I would have a lot more stability if I had a higher return. That Is not simply a matter of a month. I go by the yearly figures, and I spread them over a fair period to get an average. Anyone would think, from the way some people talk, that the farmer thinks of nothing but the monthly cheque. In the past that varied, but it was the return for the season that counted, and it still counts. • I would like to see some body, representing the farmers, get from Australia figures that cannot be challenged. Let us see what the dairy farmer over there gets under his scheme, and then w’e can say whether ours is all that the politicians claim.—l am, etc., BRINDLE. Matamata, January 27. A VISITOR’S IMPRESSIONS (To the Editor.) Sir, —As a visitor to Hamilton, I should like to voice my opinions of Hamilton youth in general. I have been absolutely disgusted with the younger set, especially those who have achieved the most remarkable feat of entering a secondary school. These young whippersnappers think they are pocket editions of Mussolini, and each strives to show that he is the dictator. They deliberately seek to insult and in a most disgusting manner. I was enjoying the morning calm of the river, and watching two young boys fishing near the Wellington Street beach, when two lads—in age about 16 years, in mind 10 or under—ran their canoe into the bank. The larrikins proceeded to interrupt the innocent art of fishing by splashing to scare the fish away, to the chagrin of the small boys on the bank. Then they splashed* water over the boys, for no apparent reason. Surely there was no need for that. Not content with that they looked for missiles to vent their childish feelings. Such bullies should be made to taste their own wares. Their type is distinguishable from afar, for, like the cock of the walk, they have a bold eye. They think that at their age I they are men* and set about showing their superiority. I heard one fellow, after an outburst of profanity, say that he could keep that up for ten minute* without repeating himself. What an admirable achievement! What brain! The girls, I might say, are prematurely women, for they smoke and are quite unmaidenly. I do wish, as no doubt do others, that these uncouth lads could have their heads knocked together. In conclusion I should like to mention this is a beautiful city, well laid out. rich in trees and water, in fact, a perfect glen in beautiful surroundings, but this ‘‘annoyance” must surely spoil every visitor’s enjoyment.—l am, etc., CONTRA ADOLESCENTEM. From Suva, January 2G.