DIFFICULT TIMES

Nelson Evening Mail, Volume LXIV, 12 January 1931, Page 5

DIFFICULT TIMES

APPEAL FOR CO-OPERATION

MR SCULLIN AT MELBOURNE (United Press Association —By Electric Telegraph—Copyright) MELBOURNE, 11th January. The Prime Minister, Mr Scullin, and also the Attorney-General, Mr Brennan, arrived yesterday from the Imperial Conference. Thousands of people cheered thorn. Mr Scullin is looking much improved in health. “There is no welcome like an Australian welcome,” he cheerfully observed when interviewed. He added that his main desire was to be relieved of the Treasuryship, and frankly said lie would like Mr Theodore back in tho Cabinet. lie appealed to his fellowcountrymen to lend him all possible, aid in the present difficult tiiVies. He was convinced that there was little hope of securing an immediate loan on the London market with Australian 5 per cent. £IOO bonds on offer as low as £79. He, however, believed that when confidence was restored in London, when financiers definitely got out of their heads that Australia was likely to default, the stringency would ease and better days return. Realising also that there was certain to be a heavy Commonwealth deficit, lie could not see how it would be possible to balance the Budget, and the best lie could promise to this end was a further trimming down of expenditure, the exact nature of which he was unable to disclose.

Above all Mr Scullin is emphatically opposed to the caucus plan for dangerous uncontrolled inflation. He has heard rumours of a plot for a Cabinet reshuffle, but lias sufficient confidence in his colleagues to think that the-" will hear his views before any attempt in that direction is launched.

AUSTRALIA’S FUTURE

THE FINANCIAL CRISIS NEED OF DRASTIC ECONOMY LONDON, 9th January. The “Daily Mail,” in a leading article. entitled “Great Hopes Built on Future Action.” said: “Mr Scullin is apparently taking vigorous measures to cope with the financial crisis, but much depends on what he does in the next few weeks. Australia’s situation should open British politicians’ eyes. It shows the need of drastic economy here before it is too late and beforo irreparable mischief has been done.” The “Daily Mail” is obviously referring to a “Daily Express” editorial, published the day before.

The financial writer of the “Morning Post” says that England is never backward in fulfilling the role of banker to the world. As far as Australia is concerned there is every conceivablo motive present to inspire sympathetic aid. Those who are concerned with the position in Australia look eagerly for indications that Labour, in common with the rest of the community, is accepting the requirements of the situation, and is prepared to back those aqxious to solve the problem on sound lines. Immediately such indications are apparent tho moment will have arrived for taking a definitely hopeful view of the Australian outlook.

A prominent exporters’ representative stated that the increased exchange, plus the primugo duty and sales tax will kill the export of stud stock to Australia. There has not been a single order placed since the primage duty was enforced. . A disinterested Australian . authority says that the cessation of the export of British stud stock will quickly result in a decline of the quality of Australian cattle.

WORKERS’ UNION CONVENTION

PRETENTIOUS FINANCIAL PLAN (Received 12th January, 8.45 a.m.) SYDNEY, This Day. The Australian Workers’ Union at its annual convention at the end of January will discuss a pretentious financial plan as an alternative to the Australian Labour Party’s avowed policy of inflation. The basic idea is that Australia should seek a £30,000,000 gold loan from the United States for the stabilisation of Australian curency, the expansion of internal credit, and to ensure the refunding of Australia’s huge debt on terms equal to those granted in 1923 by the United States to Britain, namely, 62 years payment at 3.3 per cent. In addition the convention will be asked to formulate a constructive economic policy for recommendation to the Commonwealth Government of the abolition of State parliaments, State governors, the consolidation of State enterprises and social services, and the creation of provincial councils.

LOYAL COLLEAGUES WILLING TO STAND DOWN HOBART, This Day. In a speech at a dinner, Mr Lyons, Acting-Federal Treasurer, said: “I am quite willing to stand down if others can do the job better.” He paid a tribute to Mr Scullin, whom, lie said, he was delighted to follow. “What becomes of me is of no consequence, but what happens to Australia matters a great deal.” THE LANG~GQVERNMENT FURTHER FINANCIAL ASSISTANCE (Received 12th Januarv. 10.20 a.m.) SYDNEY, This Day. Tlie Lang Government received further financial assistance from the Commonwealth Treasury. Bills amounting to half a million sterling issued by the Federal Government to the State, which now recently has received assistance to the amount of £5,500,000. EXPENDITURE EXCEEDS REVENUE (Received 12th Januarv. 10.20 a.m.) CANBERRA, This Day. The total revenue for the Commonwealth for the first half of the financial year amounted to £29,127,000. and the expenditure to £38,630,000. The expenditure thus exceeded revenue by £9,503,000.

BIG DEVELOPMENT PREDICTED

A NATIONAL GOVERNMENT

(Received 12th Januarv, 9.20 a.m.) LONDON, illh January. The “Observer” predicts a big development in Australia very shortly. There arc men in Air Scullin's Party, even in the. Cabinet, who would let Ire exchange break, admit default and start afresh with a clean slate. Mr Scullin himself aims at a National Government to face a national emergency. All hopes of extremism centre in New South Wales, where Air Lang has embarked on a policy whose logical end would mean the dissolution of the Commonwealth.