LABOUR REMIT ON CONTROL OF MONEY

Chronicle (Levin), 13 May 1947, Page 5

LABOUR REMIT ON CONTROL OF MONEY

-Press Association

BV Telearavh-

AUCKLAND, May 12. Whether goods and serViCes shouict detetmine the volume of money in circulation, instead of money being allowea to determine tlie Volume of production and the Standard of living, will, it is uUdersfood, be considered at the annuai conference of the New Zealand Labour Party. According to a well-iriformed sottrce, a remit will be stibmitted that the conference request the Gove'rnment to iiitroduee legislation immediately whereby the issue and eontrol of credit aua curreney be directed to the maintenr ance of a stable internal price levet. It will be urged that the objective and guiding principle of such legislation and eontrol should be to maintam the stability oi" the internal price levei,' Us determined by eommodity price indexes. This remit is sponsored by Mr. F. G. Young, M;L,C., who states:' "If the progi'essive elements of the movemeni get togetlier, I- am confident we cau bring about this essential, much overdue reform," It was a great tragedv for the people of New Zealand and the Labour Government in particular that the principles .of monetary .eontrol advocated by the late Mr, Savage and the Labour Members' Monetary Comniittee of 193a had not been put into operation, ne said, "Much of.the diseontent and mdustrial unrest evid,ent- on ' every haha arises 4 directly from the rapidlydimiiiiShing purchhsing power of our curreney," he concluded,