LITTLE EFFECT

Opotiki News, Volume I, Issue 110, 16 November 1938, Page 4

LITTLE EFFECT

X.z. CAPITAL IN AUSTRALIA ECUN Oil IST’ S A CCU U N T It - ca pi till 'from Now Zealand wns entering Australia its presence was not being felt to any great extent, said Professor T. llytten. economic adviser to thq Haul-: ol Now South Walos. Sydnoy, who anived in Now Zealand rerentely. •■The truth is that money is rather tight in Australia at present.” . ProJossor llytten explained. “’The conntry has been suffering from a rather prolonged period of drought; and the effects of this may he seen in many industries. -This hurt-, together with the low export prices—the result of ovi rsosis conditions —h:is been principally responsible for the present position.” As far as one could sec the position would remain unchanged for some time, said Professor llytten. Because of the dry conditions, wool would probably he broken in fibre, and this meant a fall in price. Ho did not think iin improvemenet likely for a considerable time. A good deal of the development of secondary industries in Australia was financed by institutional hoards overseas, lie continued. Machinery and equipment were shipped by the countries concerned, necessitating no call on capital in Australia. ihe c oat strike at Newcastle had been of short duration and had had no lasting effect on the economic situation.