COST OF LIVING

Hauraki Plains Gazette, Volume 52, Issue 32308, 3 September 1943, Page 5

COST OF LIVING

POSITION IN NEW ZEALAND GOVERNMENT’S POLICY MR THORN AT KARANGAHAKE Discussing the problem of the cost of living during times of war, Mr James Thorn, Labour candidate for Thames, in a speech at Karangahake claimed that the Government’s policy of controlling prices since the beginning of the war had won a greater measure of success than in any othercountry in the world. Under the 'Price Stabilisation Emergency Regulations brought in on September 1, 1939, the prices of such commodities as bread, flour, oatmeal, sugar and butter had remained unchanged during the course of the war,

while during" the 1914-18 war they had increased by from 40 to 80 per cent. Among other steps taken by the Government to hold down the cost of living was the Price Investigation Tribunal whose decisions had saved the consumers millions of pounds by fixing prices at reasonable levels. The policy of heavy taxation and loans for financing the war was also designed

to produce a stabilising effect on prices, seeing that its effect was to divert from the purchase of consumable goods to the war effort excess buying power. Comparison Given The evidence that the cost of living had risen less in New Zealand than in any other country since the war began, stated Mr Thorn, was contained in a cablegram from Mr W. J. Jordan, our High Commissioner in London, addressed/ a week or so ago to the. Hon. D. G. Sullivan. In this Mr Jordan quoted the British Ministry of Labour Gazette showing increases in retail prices or the cost of living up to the latest date available as being: New Zealand 13.4 per cent, Canada 16.7 per cent., Australia 22.4 per cent., United States 22.6 pei’ cent, South Africa 23.6 per cent., United Kingdom 29 per cent., Sweden 42 per cent., Eire 59 per cent., Portugal 59.6 .per cent., and India (Bombay). 95.2 per cent.

These figures, said Mr Thorp, should leave no consumer in any doubt as l to the effectiveness of the Government’s policy.'