MORTGAGE SYSTEM

Evening Post, Volume CXVII, Issue 72, 26 March 1934, Page 10

MORTGAGE SYSTEM

CEASH PEEDICTED

MR. SAVAGE'S OPINIONS

(By Telegraph—Press Association.) INVERCARGILL, March 20. The Loader of the Opposition (Mr. M. J. Savage), addressed xl large audience in the Victoria Hall last evening, aad at the conclusion of his remarks a vote of thanks and confidence, was carried unanimously. Inferring to the mortgage system, .Mr. Savage said that if the present mortgage system, with its high rates of interest, was allowed to eontinu'c, a big crash in the near future was inevitable. The position in which thousands of farmers and others found themselves today made it imperative that immediate action should be taken by the Government to prevent unnecessary sacrifice of producers who through no fault of their own were on the verge of losinc their holdings. ' : Savings of a lifetime were in the melting-pot through the ill-advised actions of those who had the responsibility of Government during recent years, ho said. Instead of aiming at a policy of stabilisation of internal prices and conditions, the Coalition Government had insisted upon carrying on a policy of rigid inflation, which had landed thousands into a position which was little short of serfdom. The State must face the responsibility of complete control of the mortgage system and the readjustment of mortgages on a basis which would allow production to be carried on. Any piecemeal policy of helping a section of producers would not meet the situation. The need of the moment was a complete control of the Dominion monetary \and mortgage system, with the object of saving a large number of producers froiu- bankruptcy. • • ■ . .. FAIR DISTRIBUTION. " Guaranteed prices for products sufficient to enable producers to meet their obligations on a new basis is the only logical way out of the difficulty," said Mr. Savage. "The only problem to be solved is how to distribute the national income on an equitable basis. External influence should not be allowed to play any part. The application of the quota system to.l New Zealand/exports means in effect the . restriction of Dominion production, unless an alternative policy can be devised. There can be no serious thought of restriction of production while a large number of people are getting less than a fair, standard of life. "Labour asks'for a minimum below .which no wage-earner should be asked to work, and is prepared to carry the same principle into, effect by guaranteeing prices to producers. Conscious planning of national activities, with a guarantee of a standard of living for the people' in keeping with the productivity of the Dominion industries, is the prerogative of New Zealand citizens, and if given a mandate by the electors a Labour Government would lose no time in putting such a policy into operation. ' ' ■