The Guardian And Evening Star, with which is incorporated the West Coast Times. MONDAY, MAY 18, 1931. PRODIGAL OE PROMISE.

Hokitika Guardian, 18 May 1931, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times. MONDAY, MAY 18, 1931. PRODIGAL OE PROMISE.

Tub speeches now being made by the Leader oi the Labour Party in some oi the principal centres of the Dominion, are plainly designed as preliminaries lor the election campaign falling due thi s year—probably at an earlier date than is customary. Air Holland deals with the economic situation in rather an easy matter. Pro. digal in promise as to what Labour "ill do if returned to power, jt would appear lie (as is usual) ignores the general situation. He dee s not face tlie lacts oi the fall in the returns nationally or individually. The trade of the country hag declined enormously. The earning capacity of the producers lias shrunk in many eases from profit to debit. Instead, of a surplus of revenue, there is a loss, alld US a confluence heavy drain oil negotiable assets. Credit generally fs curtailed a s to restrict enterprise, and the business of the community so dislocated that the State has less revenue, and an all round stringency results. Mr Holland ignores' these plain facts which have created what is called the depression. Surely, the matter can he brought home to the average man by the study of the conditions on the West Coast following the slump in the timber trade. Sawmilling had grown into a paramount industry here, and up and down the Coast, hundreds were employed and the workmen had familie s resulting in large communities being well maintained. But when the wheels of industry stopped for the want of orders, there was a serious position for the workmen and their families, and the communities involved. No amount of “legislation” could remedy the position affected by the law of business demands. Were orders to roll in to-day, the wheels of industry would soon revolve, and the unemployed mill-hands would be back at congenial employment, and the depression would pass. What lias happened to the timber worker, is affecting the y producers generally—those whose commodities hitherto brought in the millions of money which provided for work and industry generally and was the keynote to tile country’s pros, perity, Mr Holland and his political associates fpnst, know, ~tl)isj tied they must know the consol!ueuees of tile restricted incomes, j Jut, they rail against the State for not currying on under a full sail of expenditure as though the Treasury were overflowing. They might as well rail against the sawmiller who does not carry on, and keep his workmen employed. But there is a limit set hv credit to what may he done, and wlnit governs the individual rules also the State. In Australia the Labour Governments have elected to carry on on the old scale, and the reputation ot the country is being received through the default made. No one with any regard for the honour of New Zealand desires that state of affairs to arrive here, and Air Forbes, as Crime Alinister, recognising his full responsibilities has shaped a policy of economy to steer clear ot disaster. Ihe sawmiller shortened hands or reduced wages so that he might remain solvent and able to meet his obligations in a legitimate way. The State is trying to do no less. It has had to reduce both wages and staffs, and to enforce general economies which are considered essential to save the reputation of the country. Any sane person will agree it i,s not a pleasant task, and it is clear the Government avoided the duty as long as it could do so but with the close of the financial year the state of the finances revealed the difficulties of the situation, and the Government had to economise. Any Government zealous of the good name of the country would do likewise. The opposite line of action leads to the financial impasse Australia appears to he reaching, but Mr Forbes will save the country from that. It is well to remember at this juncture where Mr Holland’s prodigal promises would hind the country, and electors should note the situation, and seek to avoid it at election time by giving their support to a safe and sane policy of economical finances to steer the country safely out of its present troubles’.