NATIONAL PARTY’S ANXIETY FOR THE WORKER

Grey River Argus, 3 April 1948, Page 5

NATIONAL PARTY’S ANXIETY FOR THE WORKER

Caucus Sets Up Committee to Study Cost Rises P.A WELLINGTON, April 2 The caucus of the Parliamentary Opposition met to-day, when gratification at the news of next year’s royal visit to New Zealand was expressed. After the caucus, Mr S. G. Holland stated that he and his colleagues were delighted that the King and Queen and Princess Margaret were to visit New Zealand early in 1948. Not only would they be welcome on personal grounds, but their visit would strengthen those strong bonds which linked New Zealand to the mother country and to other countries in the Empire. The Royal visit would be a landmark in New Zealand’s history and a memorable event in the lives of the people. An announcement that the Opposition had appointed a special committee, which would have assistance from outside experts ,to study living costs and price levels was also made after the caucus. Mr Holland, in reporting this said it was agreed that a steady rise in living cost and the Government’s inability to deal effectively with the position was the main economic problem of the country, To-day, he said, inflation was still cutting deeply into wages. Costs were rising so rapidly that wage increases were almost immediately swallowed by increased prices, which the worker and his family had to pay for their daily needs. Many items, he said, were, of necessity, passing beyond the reach of those on moderate incomes, while other items were not being produced because producers were not permitted to recover their costs and earn reasonable profit. The greatest need of the moment was a stable price level. All countries which had embarked upon inflation had experienced disaster. If New Zealand were to avoid a similar experience, a solution must be found to the problem. The chief worry was born by the housewife, who had to manage the household budget, but everyone in the community was affected in a greater or less degree. The task of the Opposition’s committee would be to examine from all angles the problem of restoring stability of the financial structure of New Zealand.