The Dominion MONDAY, JULY 23, 1917. EQUALITY OF SACRIFICE

Dominion, Volume 10, Issue 3143, 23 July 1917, Page 4

The Dominion MONDAY, JULY 23, 1917. EQUALITY OF SACRIFICE

The call for equality of sacrifice has become a common feature of discussions on matters relating to tho duty of individuals in regard to the war, and thero would seem to be a growing weight of opinion behind this cry. The Second Division League adopted it last week when voicing the demands of its members for more liberal treatment in the matter of provision for soldiers and their dependants; and the strength of tho case the League was able to make out is so unanswerable in its main features that the National Government cannot fail to bo duly impressed. Though no real equality of sacrifice can be expected —it is indeed, in tie circumstances, impossible of attainment—yet tho principle underlying the demand is so eminently just that every effort should be made'to reach as near as possible to that equality; which is aimed at. In his very interesting letter on the subject published in our issue'of Saturday last, Mr. H. T. von Haast gave a simple illustration of tho working of the principle of general average for the spreading of losses on a fair and equitable basis amongst individuals faced with a common misfortune. He quoted tho rase of a small community forced to fight in its own defence and spreading the burden of financial cost in proportion to tho means of the individual members of the community; those who were called on to fight having their financial interests fully safeguarded by those who stayed to carry on at home. Though this simple illustration of the principle he was advocating was not put forward as the best practical method of spreading the burden of sacrifice in New Zealand, it served admirably to emphasise in a clear and convincing way the undoubted responsibility which rests on those who are- not called on to risk their lives to make lull provision out of their earnings tor those who do the fighting and their dependants. No ouo really disputes this liability; it is universally recognised; but an excess of caution on the part of Parliament has lett the matter in an unsatisfactory position. Adequate provision has not been made by Parliament for tho men who are called on to fight or for their dependants. Tho sacrifices which should be borno by the wholecommunity have up to the present fallen almost entirely on the men who have been called on to risk their lives and on their dependants. This was'not due to any lack of sympathy with the fighting men and • their dependants, but was due to Parliament basing its original scale of pay, allowances, and pensions on pre-war standards and to a fear of creating a standard which the finances of the country would be unable to maintain. Parliament as stated erred on the side of caution. It is only fair to state that thcNew Zoaland Parliament was not singular in this respect, and it had some justification at tho time for acting cautiously. . . , To-day the situation is entirely changed. Things are seen in a truer perspective. What wo owe to the fighting men of the nation arid what is due to them and their dependants is more clearly recognised. Financial questions are seen in anew light. Millions of pounds of extra taxation have been collected from the people and the people are still prosperous. In spite of heavy increases in expenditure hucrc surpluses have boon accumulated by the MiNisTun ok I r iNANCB and invested in London. It is not gurprisingin , the circumstances that the question

of tho pay and allowances of soldiers and their dependants should command sympathetic consideration and tho demand go forth that the burden of sacrifice should be spread more equitably, and those who do not fight, but who benefit bv tho risks which others run should bo called on to contribute a larger share financially to the common cause. That the people of Now Zealand, generally speaking, aro prepared to bear these sacrifices and place the soldiers and their dependants on a fair and liberal footing we do not doubt. That they do not fully realise what this may mean is less certain. In spito of tho splendid revenue returns of tho past two years the Minister of Finance and the National Government aro faced with_ a tremendous task in making provision for tho increasing demands on tho National purse. In 1913-M our .annual expenditure (exclusive of loan money) totalled £11,825,864; in 1914-15, £12,379,803; in 1915-16, £12,493,107; while for 1916-17 it was estimated at £14,390,026. This estimate may provo to havo been too high, but tho Minister of Finance . is still faced with the certainty of heavy increases in annual expenditure arising from interest charges, war pensions, etc., over which he has no control. On tho other hand, tho fact cannot be ignored that his ordinary sources of revenue are for tho time being at least liable to a substantial shrinkage. Owing to the shipping shortage and consequent reduction in imports there is certain to be a falling-off in Customs revenue; tho curtailment of railway services may bo expected to reduce his revenuo from this source; while his revenue must suffer in a variety of ways unless provision is made for the shipment of our surplus produce overseas. At tho moment the uncertainty which prevails as to tho transport of our meat and butter and cheese to the markets overseas is a matter of tho gravest concern to the Minister ok Finance from a revenue point of view as well as to the farmers and the community generally. It is most necessary that tho public should be kopt fully informed as to the position and to tho financial possibilities ahead. So far as it is possible to judge on the information available the extra provision which we expect to see made for soldiers and their dependants, coupled with tho heavy increases of expenditure in other dircctionsand the dwindling of revenue from indidirect sources of taxation, will mean very heavy additions in tho way of direct taxation. What the Minister of Finance has in mind has yet to bo disclosed, but it is obvious that the taxation proposals to be brought down this sassion must entail exceptionally heavy demands on the non-fichting section of the people and will mark a big step forward towards that equality of sacrifice financially which is so widely advocated at the present time.