The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY JANUARY 22, 1931. READJUSTMENT.

Hokitika Guardian, 22 January 1931, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY JANUARY 22, 1931. READJUSTMENT.

It is impossible to read the daily news of the Dominion without realising that the period of readjustment of prices is coming to pass. The chief agency is the fall in primary products. All the staple products which go to make up the annual wealth of the Dominion, have fallen. First, the markets dropped, and now in relation to stock particularly, nature is taking a hand, and by reason of a serious drought, depastured stock is not only a glut on the market, but in many cases is not of any value practically. The decline in the general wealth of the community caused by these adverse conditions must have, and is having, an all round effect. There is a drop in general trade, and business people are reducing hands, as well as buying less. Industries are in the same condition. Here we see how the timber trade is affected because the outside demand where timber usually was required, has ceased. In Canterbury and Otago and in the North Island, whither trains and ships have been despatched daily with timber, fihere is now no demand, and the others are not forthcoming. This has caused

a. radical change- here. The wheels of industry have ceased for the time being.. There is no work for the regular hands, and the stoppage of a great industry alfects all classes of trading and business in the community. As the matter stands, there must he a local readjustment here, as there is a general readjustment going in all over the Dominion. We bear that in the large centres rents are falling substantially. Food supplies are dropping in price also. Living must be growing cheaper where live stock is being given away or the ever supply of produce indefinitely stored has to be realised upon. The next step is in regard to wages. A fall is inevitable. The business people have had to reduce both wages and staffs. Local bodies are setting a useful example, also, in the same direction. The Government must foPpw suit. Then comes the real test, what is to be done about the Arbitration Court which is the lever to maintain wages in trades and industries! Here-, again, Parliament must face the situation. Sheltered labour so far as wages and special conditions are concerned must be prepared to make- some sacrifice in the common task of readjustment, if the. country is to he saved from financial disaster. There must he an all round readjustment by the State as hv the individual. Stress of circumstances has forced readjustment on the private business man, and he is doing his beat to tide over the difficult period. He lms a budget to balance as well as the State, for he must keep solvent and pay his way, or them is a sudden end to his operations. The medicine that the individual has to take must he gulped down also by the State, distasteful though it he; and like all medicine, the taste is the worst part of the consumption. After the medicine begins to do its ourr, the State like the patient will be the better for the self preservation brought about. The State, and all associated with it, will arise from its financial lied of sickness, brighter and better, and with renewed vigour to carry on all its necessary functions. Tt is first the question of rising the moral courage to adopt radical measures to cure a very had disease. It is necessary to eradicate -Jb.v the roots the main cause of the trouble. Over excess and a too generous state of administration, call for a modification, and that readjustment which will he good all round for the financial health of the country. This remedy is one of the obvious courses to. adopt in the present -overburdening state of affairs governing the welfare of the national estate.