The Guardian (And Evening Star, with which is incorporated the West Coast Times. ) THURSDAY, SEPT. 27th., 1923. THE GOVERNMENT IN INDUSTRY.

Hokitika Guardian, 27 September 1923, Page 2

The Guardian (And Evening Star, with which is incorporated the West Coast Times. ) THURSDAY, SEPT. 27th., 1923. THE GOVERNMENT IN INDUSTRY.

With many folk nationalisation is the panacea for all the labor troubles of tho world, but experience does not bear out that belief. As an American financial journal puts it the idea that there is something to be gained by having governments undertake various industrial services, thereby eliminating private profits, is one of the most persistent fallacies. It is a theoretical conception, based upon the assumption that government officials can and will manage industry as carefully and efficiently as private owners. The instances in which such results are obtained are rare, for even where the management is personally capable, the conditions attaching io public operations usually are such as to make efficient management impossible. Of course the outstanding illustration of the incompetenev of government management of industry just now is afforded by Russia, but in all the European countries which have been experimenting with government operations, the results are very much alike. In Germany, where all the public services are overloaded with employees, there has been a great revulsion of sentiment. Even in the case of municipal undertakings. the trend of public opinion* is pronounced. The following paragraph is from a recent issue of the Chief Boc-ialist organ, the Berlin “Vorwarts”: “In all German towns opinion is slowly going over to the surrender by the towns of the actual running, of the undertakings to companies. The object in view is the greatest possible de-bnreaucratizing of the undertakings. Business men will be put in control. Such a change, which existing economic, circumstances make ab-

solutely necessary, signifies for the public, of course, the tendency towards the greatest possible cheapness and the fullest use of economic possibilities.” The city council of Berlin recently lias passed liy a. large majority a bill for the transference of the canal docks and warehouses to n company. In the ‘‘Berliner Tagoblatt”, Di .Michaels, spokesman of the Democratic memliers of the council, comments upon this net- in the following language: ‘‘One can say at once that such an net by a corporation in which the Socialists, though not predominant, form an almost decisive minority would not long since have been considered impossible and even unthinkable. And no attempts to reconcile tile changed attitude of the Socialists with the fundamor.ini principals ot milnicipalisatioii and nationalisation can alter the fact that in the sphere of municipal activity a momentous reversal has been completed.” These instances arc worth pondering over, seeing that in New Zealand there is quite a set in certain spheres for public opinion to iot towerds Government control. The elimination of private enterprise and resource, will be a sad day for general progress, and will pul back the clock of advancement very markedly.