The Economics of War

Horowhenua Chronicle, 9 November 1915, Page 2

The Economics of War

lintior tlio auspices of tlio Social )jimocratic party a lecture was delivorou bv Mr J. Ctondlitfe (lecturer to tbo Workers' -Educational Association) on "The Economics of War. ! Mr Vennell was in the chair. Mr (Jondliffe compared the old-time 'warrior with tlic modem warrior, the latter being, J'e said, the greatest .economic loss 'to the community owing to the great commercial development ol tlio modern State. .Speaking ol the great drain 011 nations from the monetary point 01 view, he said that a third! of the English workers wages were taken from him in the form of taxation after the 100 years' war, and what this war will coist the worker of the future is not yot a mattor ol speculation. He quoted Mr Hirst (editor of the "IDconomist") to show that the race for armaments had be j a a factor in this great war, this competition was different from the ordinary commercial competition (whL-h gradually eliminated the competitor) ii so far as it created a _ desire for further armaments until the final crash came. War was a great distuirber ot business owing to the starving of thoso industries which required additional capital for development, and thereby retarding the general trade of the countries. The question of paying tor wars by loans or immediate taxation was a political expediency, and a. reflection of the political morality of the time. It was much easier to pay by loan and hand the debt on to posterity, but it was another question whether il was morally right. In conclusion he said that this war had 'been the greatest advertisement economic science had over had, and had been" the means of clearing away a • numlcr of econoun•• fallacies that had passed as 'currant coin.—N.Z. Times.