WESTLAND CHAMBER OF COMMERCE.

Hokitika Guardian, 23 May 1917, Page 3

WESTLAND CHAMBER OF COMMERCE.

The following paper by Mr W. J. Butler, a member of the above Chamber, is published tor general information, and will be read with great interest no doubt by all who take some concern in the absorbing nature of passing public events in this time of world changes ; COMMERCE AS A PUBLIC SERVICE. The beneficial effect that has followed the awakening of the Imperial Government is very marked. Having stepped down from the niche wherein it has posed for so many generations, and having shaken off the dust of tradition which lay so heavily upon its shoulders, it practically cast aside the woolpack, th# mace, and all the baubles of office and took to the roller-top desk, the typewriter, and the ’phone. For the first time in history it set itself with business diligence to grapple with the essentials of nationhood. Such an awakening on the part of the chief institution' of the Empire leads one to hope that the people will recognise that the true functions of Government are of a constructive character as distinguished from pageantry, hot air, and party wrangling ; and one may hope that they Will demand such constructive services from their representatives. It is possible also that “ when peace breaks out,” and when our minds are once more concentrated on peaceful pursuits, tvs may recognise more clearly than we have hitherto done that industrial and commercial conflicts within the Empire or within this Dominion are uneconomic—just as are party conflicts within our governing bodies. Such institutions as this Chamber are the straws upon the surface that indicate the direction of the current. Our presence here to-night is evidence that we have advanced with the current far enough to recognise that concerted action is more effective than the random efforts of a number of individuals ; but it is questionable if we fully idealise whither the stream

leads. We have been so intent on watching the destructive effects of industrial conflicts, and we' have been so convinced of the “ other fellow’s ” depravity, that we have failed to see that a probably greater national waste is caused by our commercial conflicts.

It would be well to first settle in our minds that Commerce, although it may have been initiated by tlios# seeking to benefit themselves only, cannot be permitted to claim the continued shelter and protection of the State unless it is recognised as being purely a Public Service, and not merely an institution fostered and nourished by the State for the aggrandisement of those immediately engaged therein. Regarded as a Public Service, the extent of commerce within the community should be confined to - the needs of the community, and the functions of Commerce should be purely of a vehicular nature as between the producer and

the consumer. The Industries are naturally more nearly confined to satisfying the needs of the consumer ; and if distribution were carried along straight lines, without any unnecessary commercial exploitation, the activity of our industries would bear a strict relation to the needs of the community. The teaching of economics seem to indicate that all commerce and every industry that serves the people must ultimately be recognised as Public Services, just as are our Postal and Telegraph Services. The old saying that “competition is the soul of trade” needs qualifying. It is true that where competition in-

duces increased production of these commodities that are needed by tbe oommunity it is undoubtedly good. In such oases competition supplies the incentive that would otherwise be lacking in the individualist. But where competition creates a duplication of any public service, or an excess of any commodity beyond the needs of the community, even though such competition reduces, for the time being, the price which the people pay for such service or commodity, it is uneconomic anid wasteful. It is detrimental to the interests of the community that, anyone should be engaged in supplying a

service or a commodity at an unremunerative price ; and if, in consequence of a competitive duplication of any service, such service is overmanned or over-capitalised the community will ultimately suffer the consequent loss. The track that we are, then, groping along undoubtedly leads to an extension of State extension that will embrace all public services. It would seem that when we can appreciate the fact that all commerce and |industries, to be truly economic, must be confined to serving the public we shall also appreciate the necessity of such services being organised under a system of central

control. Just here it is well to dismiss from our minds any impressions that may have been formed (justifi-

ably conceived in consequence of oni‘ recent coal (strike troubles) that State control necessarily means incompetent management, unprofitable business, and seething discontent. State control divested of political influence

and in competent hands is beneficial. If there is any one public service wherein, more than in other services, corruption or-mismanagement- would recoil on the people it is in the administration of justice : and yet, it is safe to say under State control the Justice Department is pure and beneficial. Its freedom from political or class influence is its soul ; and it is the sacred duty of every citizen to resent any attempt (such as' was recently made in connection with the trial of strike leaders) to damn that soul by political influence. The necessity for the system of central control that is being adopted by the Allies is being admitted by all. It is the broadest application of economics that the world has seen—it is the greatest effort at co-ordina-tion that has ever been made ; but its efficacy is undoubted. that this Chamber, much less any member thereof, can influence the course that events will take, and he recognises that any paper which has not for its sole object the advancement of Commerce as at present administered, may be considered outside the province of this Chamber ; but it is respectfully submitted that we shall not detract from our efficiency as a Chamber of Commerce if we admit that all social questions have some relation to Commerce. We should not allow our commercial instincts to hide from us the fact that we are on the eve of great economic discoveries. It is essential, in order to maintain onr places in the procession, either as individuals or a nation, that we get a better grip of Economics as applied to Commerce.