NATIONAL OR PRIVATE INDEBTEDNESS

Bay of Plenty Beacon, Volume 6, Issue 86, 2 July 1943, Page 4

NATIONAL OR PRIVATE INDEBTEDNESS

Sir, —Whilst reading a report from the House on March 5 I learnt that the trading banks: li<fve bought £35,000,000 of Government security. What with? 1 would ask what have « the banks parted with to buy £35»000,000 of public securities on which tve arc paying 3 per cent, interest. They are only using public credit. That is all! To use the term of the Minister of. Public Works, they have npt parted with one brass razoo! What,other section of the community-' do we allow to buy public securities without putting down anything of their own? We do not allow it. If all the previous loans «nd the present loan of £35,000,000 are public securities then these figures should only represent the wealth of the nation but they are being converted into a debit to private capital by the strode of a pen. Why in the name of all that is sensible can we not issue Treasury Bills against the wealth of the nation and cancel it on the basis of production? 1 Mr Savage stated that it was as necessary for the nation to be solo authority for the issue and. control of money as it was, for it to be tlier sole authority for the organising and control of the Army and Navy. Why is it that this great policy measure has not been implimented for the benefit of the people? Is it not that party politicians are the propagandists for high finance.

Yours «tc., W. BRADSHAW. i