MONEY SYSTEM

Hokitika Guardian, 8 September 1931, Page 2

MONEY SYSTEM

PRESENT-DAY EVILS

NEW ECONOMICS. An illustration oi the increasing popular interest in' economics which was mentioned recently by Professor Copland, of Melbourne, was presented by the audience which assembled to listen to addresses by Messrs P. B. Fitzherbert and S. W. 1 itzherbert, organiser and president respectively oi the New Economics (Research Association at Wellington last Tuesday evening. At the outset of the meeting, Mr Harold Johnston, K.C., explained that he had taken the chair at the request oi the speakers, both of whom were his school-fellows and close friends. “My presence here,’’ Mr Johnston said, “does not mean that 1 am in any degree in accord with the views they may express. (A voice: What a pity!) What those views are I do not at.present know. But I am sure it must be very gratifying to them 'to see such a large audience here to-night. Air P. B. Fitzherbert said that the New Economics Research Association was not in 'the narrow sense a political movement, but was in a broad s-nse the most important democratic movement that had ever Bet in motion in New Zealand. Money monopoly and war had during the last 14 years created a rather evil environment which, in turn, made men evil and greedy to a great extent, Although democracy had high ideals among the ruling classes these things pcivinted: for nothing, and the result was the 1 , present cataclysm. MONEY-MAD WORLD. The world at the present time was mad for motny, because it lived in slavery where money was withheld, Mr Fitzherbert said. The dollar-mad leaders of American finance were doing America terrible injury, and the money interests in England were leading directly toward the dissolution of the British Empire. It was only the will, determination and action of ordinary folk that could save this country and others as an inheritance for the next generation. Mi’ Fitzherb>'i‘t went on to discuss the evolution of tho I •.•inking system. The banks had now deveioj"d tremendous power, wtih the result that production and still more production had no value unless the banks permitted it to have value. Money was the life-blood of the’ State—why then let it be brought and sold or let private people have complete or nearly complete control of it? The remedy was for the people to free themselves, their children and their I country by adopting a system that would not hold up money and which would supply the necessary credit notes to enable them to exchange their goods and services for the goods and services of others, It was .simple, easy and practicable. Their economic enemy was tho power which controlled and held the money against them, remedy TO be APPLIED, Air S, W, Fitzherbert outlined m e rely as a standard of reference an imaginary money and credit system in an imaginary Socialist State, When he had explained this in some detail h« sketched the plan he would adopt in New Zealand. He would build a scientific credit system somewhat similar to the one he had described. It was not necessary to retain the gold standard, and an end woujd have to be put to all forms of money -lending. A great central bank would be created, of which other banks would be branches, and the right to lend money on mortgage by private individuals would be abolished, as also would the 1 us© of gold as legal tender. The business of the central bank would be controlled by a group of mathematicians working according to contemporaneous conditions. Currency would be issued by them on the land so that the landowners of the country would take the responsibility for the validity of the currency. He declared that if he and 40 others who thoroughly understood the new plan could step' into power to-mori’ow there would be no unemployment in New Zealand by Christmas.