PRESS COMMENTS

Evening Post, Volume CXXVI, Issue 137, 7 December 1938, Page 15

PRESS COMMENTS

DEVICE SAME AS

BEFORE

LOGIC OF CIRCUMSTANCES

(Special to the "Evening Post.")

AUCKLAND, This Day.

! Commenting on the depletion of the London funds," the "New Zealand Herald" says that the Government, in taking steps to check it, "has merely bowed to the logic of circumstances. It is doing, in another way, and for different reasons, what a previous Government did at the end of 1931 when the exchange pool was established. The purpose in each instance has been the same, to assure New Zealand, a debtor country, the resources overseas to meet obligations which cannot be allowed to go by default." Regarding the control imports and the licensing of exports, the "Herald" says that "Precisely the same device was used in 1931-32 durjng the period of the exchange pool, to which reference has already been. made. It assures against the development of an outside market in exchange. What effect it would have with imports strictly controlled is problematical, but the licensing system disposes of the whole question at the outset. The licensing need not, and should not, be burdensome. No doubt the Customs Department has complete records of what was done in the first six months of 1932. With that precedent as a guide there should be no excuse for difficulties'arising." 'y