THE STUDY OF ECONOMICS.

Dominion, Volume 2, Issue 330, 17 October 1908, Page 4

THE STUDY OF ECONOMICS.

An interesting suggestion is put. forward in an Auckland paper by Mn. Samuel Vaile, who, like many, other people, has been disturbed by the ignorance displayed by so many of our politicians respecting the economics of industry, and especially the economics of railway transit. He says that there aro not half-a-dozen members of Parliament who have even a moderate grip of the theory of railways working, "and if our Premier and Minister' for Railways really believe what they say in Parliament, and elsewhere, their knowledge of the railway transit systems of the world mdst be of the most limited description." Mb. Vaile reminds us that the railways' section of the London University teaching ia presided over by tho most ominenir railway men in tho by whom a,

course of 100 lectures on "Railway Subjects" was arranged for the University session of 1906-7. Accordingly, Mr. Vaili; urges that Schools of Economics should be established in connection with our University Colleges. We should then "always bo training up young men who would bccome our future statesmen." There is much to be said for Mr, Vaile's suggestion for, although the University Statutes make provision for degrees in commerce, the course in commerce requires from a student no more thorough study of the theory of economics than is sufficient to pass the B.A. examination in that subject. It appears that at the Auckland University College the necessary teaching is supplied for the degree in commerce, and facilities are afforded to unmatriculated persons to attend the lccturcs and secure certificates or diplomas of Associateship. But it is well-known that the attention paid by the University to the teaching of economics is rather perfunctory, although an attempt is made to equip the students with some knowledge of the fundamental principles involved in the .different areas of this wide subject. But "economics" is regarded by the students as no more than a single subject to pass in and then forgot as,rapidly as possible. Me. Vaile's idea is something entirely different from this. He desires that tho University should make the teaching of economics something more than a detail of one of its minor functions. He would have, if we understand him aright, something like an approximation to the American treatment of the subject. What America does may be guessed from the fact that tho Harvard University issues quarterly its wellknown "Journal of Economics," in-which the current economic problems of tho time are elaborately discussed by eminent authorities. That there is some need for a School of Economics must be obvious to everyone who has observed the complete ignorance of economic theory displayed by most of our members of Parliament. Just now tho public throughout the Dominion is hearing a groat deal from th,e candidates for election about the financial excellences of the Government, and tho most astonishing absurdities are being uttered on thj subject. The average Ministerial candidate is almost completely unacquainted with the theory of any economic or social question. Either he adopts without analyst tho ideas of the Government, or ho has Bome still more foolish ideas of his own. This is a natural result of tin development of politics into a scramble for the loan-money expended on public works. The fact that practically' every Ministerial candidate supports tho Government's practice of using capital as revenue and believes that the railways arc splendidly administered is alone sufficient to prove our contentions. In Great Britain the conflicts of politicians are not conflicts between ignorance and knowledge, but between points of view The whole House of Commons would gasp in amazement if any member of it gave expression to the absurd opinions on economic and financial problems that fill our own "Hansard." As it is impracticable that a candidate for Parliament should pass an examination in economics and finance, we can only hope that provision may be made so that in the future a better class of mind than the average will be found in tho liousc of Representatives. Already tho financial side of politics is the most important side in New Zealand, and the one . which causcs more anxious thought than any other to those who realise the'truo position'. Already there is urgent need for the application of sound principles of finance and economics to the affairs of New, Zealand. A democracy, said a famous Professor in a lecture in Sydney tho other day, may be the finest kind of society, but it requires the finest kind of men to direct it. For many years New Zealand has been directed mainly by the very opposite sort of men, and as "in, the. future we must look largely to tho Uni 7 versity for properly-trained men, it would pay the public to consider whether, the Schools of Economics suggested by Mr. Vaile cannot have a beginning even if a modest one.