UNPALATABLE HOME TRUTHS

Chronicle (Levin), 15 March 1946, Page 7

UNPALATABLE HOME TRUTHS

— Press Association

COUNTRY MUST BE ON GUARD AGAINST INFLATION MR. F. P. WALSH'S REPORT

By Telegraph-

TIMARU, ivLarcn 14. No one »would deny that the state ment reviewed the present econonuc situation fairly, althoiigh some of the tlnngs said might be unpalatabie to some sections of the community, employers and empioyees alike-, staLe.d uiie president of the New Zealaud Mauufac turers' Eederation, Mr. ,W. J. Truscott, referring at tlie annual conference to Mr. F. P. Walsh's statement on stabihs' ation and the need for .increased pro duction. The federation had refrained from passing comnieut when tne statemeni was ilrst made, he added, because of the imminence of the annual conference. Many of Mr. Walsli's remarks had been said before and therefore should 1101 have come as a surprise to the public, but in the prosperous times lneviiauk in wartime, warnings of hidden dangers were inciined to pass unheeded. The man in the street xvas not an economist. The average eliild woulo live on svveets if allowed to do so, aua onlv actuai. discomfort made him eall a halt. it was ditlicult, -almost mi possible, to eonvinee people when times were good that aii was not well. ' ' For this reason no more opportune timo could have been selected for ihe publication of Mr. Walsh's stat-e ment," continued Mr. Truscott. "New Zealand is facing, perhaps for the lirsl time sinee the wai*, really serious short ages. Vitai raw materials froni over seas are being restricted and in sonm cases are being cut out allogether. Thi doilar position prevents us getting goods from the United Etates, wheuee so much of our sut)|jlies were receiveu during the vvar. No one can complai:* if Britain tries to alieviate some of the shortages from which her people have sull'ered for live to six years." -In New Zealand, said Mr. Trus cott, the shortage of t'emale labour wa vreatmg further shortages, even wiiere inalerial was available. Iu other words, a shortage of goods, oae of the greates. causes of inflation, must face Neu Zea land for some time vot. The prosperity of the country depended 011 the prosperity of ali, but the reverse vvas also true and, therefore, Mr. Walsh's statement should 'be read bv every itiember of the community, liecause 110 one seetion could avoid the. eli'ects of inflation. it was deplorublo to lind an accredited meiubcr of the Federation of Laboui and secretary of the New Zealand Waterside Workers' Union stating that the workers would be frightened ta accept it, as it had reeeived the sup port of employers' orgauisations. " To my niiud that statement is siniply childish," continued Mr. Trus cott. "It would be more thau deplor nble if there was 110 connnon grouud opou which employer aiul empio3ree or ganisat ions could meet. 1 do not be lieve that tliat is the position, and 1 do not believe that the average working man in New Zealand will ignore Mr. Walsli 's report because, being a matter of urgcnt national welfare, it has rei;(;iiVjd/tlie support of employers' orgauisations. ' '