THE FARMER'S PROFITS

Dominion, Volume 11, Issue 234, 21 June 1918, Page 6

THE FARMER'S PROFITS

Sir-Some short time since Mr. Vnva:cur, a farmer of Wairau Valley, iVarl>orough, wrote to Tun Dominion' giving tumorous figures in support ot his condition that Hie farmers wore not makiie undue profits, considering the high inces they were paying for labour and naterials. As, however, Mr. Vavasour ailed to give us the returns for his .roducc during this period he left maters pretty much as they were, lie Mint I wish to stress is that while the :ost of living has gone up some 55 per :ent. since the .war, largely owing to ho unrestricted prices, labour's return las fallen. This, of course, needs no abouring, as, 'if labour's wage rises 20 ier cent, and the cost of living 55 per ent., wages have fallen 35 per cent, lad the Government at the beginning if the war taken over all transport and he means of production aa' l allowed ire-war prices no hardship v.<_ild have wen indicted. As it is labour is justiied in saying that while man-power is ionscripted wealth is left untouched, ['his is self-evident, because the extra axation caused by the war is ultimately >orne solely by the workers, as the niddlcnian is able to pass it on in in;reased prices. Thai, whiflo sending -lonic many thousands of bales of w'ool ast season less than the previous season, re should have been enabled to get soni'C £3,000,000 extra, is the gravest reflection lossible on our economic system of proluoiug not for value but for price. If s evident to the most superficial mind hat tbo more we produce the hiorc ho price rises to the consumer, the inly gain (if indeed it can. be ealUd ucli) bein-? in a corresponding rise in and values. Had the labourer some K) years ago 'been aMe to combine ami o exact thrice his present wages the armer would have been no worse off ban at present, as land values would lavo been to that extent kept down, and he interest on rent hereon would corespondingly be less. But the comiiuuity would have been proportionately letter oil', as its spending power would mve been increased. Let Jtr. Vavasour tudy economics, and he will the orce of the conclusion that capitalism, whether it takes the form of land nonopoly or the monopoly of the mean: if distribution and exchango, is its own legation, and must either evolve a highei orm of society by the peaceful means if evolution or will inevitably lead tc , revolution—take it which way you ike. Meanwhile, Mr. Vavasour, loan o be humble and know that, like the oiler, you are no more than a co* n: he wheel of the social fabric, which is ver working to a higher humanity thai: vo can now conceive of—l am, etc., X. Ngaio, June 20.