Hawke's Bay Times. Nullius addictus jurare in verba magistri. THURSDAY, DECEMBER 28, 1871.

Hawke's Bay Times, Volume 18, Issue 1208, 28 December 1871, Page 2

Hawke's Bay Times. Nullius addictus jurare in verba magistri. THURSDAY, DECEMBER 28, 1871.

New Zealand is not the only Colony that has adopted the system of borrowing instead, of retrenching, nor is it the first on the list of those which have done so. Tasmania, at least, took the lead, and tried the plan before Mr. Vogel propounded his great scheme. True, indeed, it is that the result of Tasmania's experiment is any tiling but of an encouraging character ; but in this, as in most other things, people will not take advantage of the experience of other*. As clearly put by Josh Billings, ." no person can be satisfied as to what molasses is like from another person's tasting it," but at the same time a wise

man can generally judge of the desirability of any line of action from observing its obvious effects. It is now ■seven years since Tasmania found her revenue insufficient to meet lier expenditure, and tried to make up the deficiency by borrowing. The result has been just what should have been expected. It has plunged her into greater difficulties year by year, until at length the burden of the interest on the loans Las Income too much for the people to bear. Her trade has been destroyed by Jier import duties. Emigrants have been deterred from her shores, and she has been brought to the yerge of bankruptcy. To meet the periodically renniins payments of interest on her *• v ' • ' fc. • t

Joan.*, her population have been ground down by taxation, which it has been found necessary to increase just in proportion to the decrease of her trade, until at last her legislators appear to have come to their senses. A. committee was recently appointed by her legislature to enquire into the whole subject, and that committee has reported. It recommends the entire abolition of the Custom-house system—the throwing open of the ports of the island freely to the commerce of the as the means whereby a vast increase of population may be attracted, and its own productive energy extended. This is a reaction of no common kind, and perhaps it is too much to hope that the recommendations of the committee will be carried out in their integrity; but this at least is certain—that her borrowing and interest-paying power is at an end, and whether direct taxation be substituted for the customs system or not, a thoroughgoing scheme of retrenchment and a vast reform in her fiscal system has been decided on. Would that our legislators could onlv take warning by her experience ; but this is too much to hope. Oar Government is just now enjoying the luxury of being in funds. It can and will for years to come supplement the deficiencies of revenue from the borrowed funds. The taxes it has recently laid on are such as will tend to decrease rather than add to the revenue, though they will press in a most vexatious way upon the people of the Colony. No attempt will be made to retrench as long as capitalists will supply it with funds, and we may be certain that a very few years will see the end of all this fictitious prosperity, when the enoimous yearly interest for the squandered loans must be extracted from the people ; those who now, and who may for a time, bask in the sunshine having left the Colony to its fate.