COST OF LIVING

Hawke's Bay Herald-Tribune, Issue 61, 30 March 1937, Page 4

COST OF LIVING

-PreS« Atsociation.)

Minister Explains Relatiou to Wages BENEFITS CLAIMED

(By Tolesraph-

WELLINGTON, Last Night, "There appears to be a considexabl® amount of miaunderstanding in tllfl minds of a certain sectlon of the public as to the relationship between increased ' prices and increased purcihaeing power," said Hon D. G. Sullivan, Minister of Industries and Commerce and Minister in charge of Census and Statistics, in an interview on Saturday. "I do not for pne moment deny that there has been some inerease in the cost of living but I say emphatieally that the wage-earner of Kew Zealand is in subL^antially a much better position to-day than he has been for many years past. The inerease in the cost of living ihas been more than otfset by wage and sfc&ary increases and th# people have still a substantial margin which represents the difference between their increased wages and. the increased cost of living. In Kew Zealand the inerease in retail prices has been but small compared with the inerease ^ in wages rates and inCrease in puxciliasing power. This statement is based on absolute faet as disclosed by a studyj of the latest figures to me by the Government Statistieian. " After analysing the figures, the Minister said he would summarise the post'i >tion as follows: — ! (1) Tihere has admittedly been biafie) inerease in the cost of living contrii buted to by the inerease in price ofj gooda imported into this country from abroad by the inerease in prices r*j ceived foT our own expbrtable pnmaryj products, and by the Labour Government 's legislation. (2) On the average the increaae of cost of living that has taken place since the Labour Government took pffice, has been more than compeUsated tfor by the increaBe in Wages, leaving ! workers with a substantial advantage jeBtimated by the Government Statis1 tician to be 11.9 per cent. Consequently, it is not trce to iiy that the inerease ia the workers * wagN provided by the Government hae b«*i cancelled out by inerWiBes ia. the eerit jof living.