WAR MILLIONS AND ECONOMY.

Pukekohe & Waiuku Times, Volume 6, Issue 257, 9 March 1917, Page 2 (Supplement)

WAR MILLIONS AND ECONOMY.

Recent statements by responsible statesmen, anil the publicity associated witu the triumphant success of the " \ icto;.'y Loan," are our latest reminders of bow important a part money plays in the war. According to the figures ol the new Chancellor, cabled a few days ago, it is now estimated that the Imperial authorities will have to find no less than £1,930,000,000 for the current financial year, or an increase of 3->0 minions over the earlier estimate made by .ur McKcnna, Mr Bonar Law's predecessor in office, L'p to the end ot the year the total expenditure on the war by the centre of the Empire, including loans to the Dominions and the Allies, but excluding the large amounts whicli the Dominions have found for themselves, amounts to the stupendous total of 4800 millions. So far these huge sums have been found with comparative ease, and it is clear as day to those who are at all acquainted witn the facts that the time has not yet arrived in which any part of the Empire has really taken seriously to heart what Mr Lloyd George says is the most important task of his Government, that being " to complete and make more effective the mobilisation of our national resources." Something nas been done, and something tangible, too, a.s the enemy is fast learning to his discomfiture, but, to quote a Sydney contemporary, "much more can be done, and, indeed, must be done before the road is clear for complete and lasting victory. It is hoped that the present conflict in Europe in the long run will have as decisive and lasting results ;.s the victory of Nelson had at Trafalgar more than a century ago. It is this that is being aimed at; and it is for this mat our people, wherever situated, are bjing called upon to make supreme sacrifices." The cables tell us that the great middle-classes in England arc fneeiv honouring the nation's demands lor economy, but that in the West End, particularly among the clubs, there ~.s not the same realisation that savings are a condition precedent to successful finance on a war scale. What, in this regard, our contemporary says of Aus- j tralia applies with equal force to New Zealand. "We all know," it says, "that we in this country are doing very little in this connection. How many in this community are making an appreciable sacrifice, say, in their food bills, except those who have of lato suffered through spasmodic Government retrenchments? But if we are to continue to find what for us are large sums to enable our Government to finance the war, individuals must economise. or thj Government must in the last resort take drastic steps through its control over imports and over taxation to compel the people to do what they seem unable or unwilling to do for themselves. Precisely the same difficulty has faced the Imperial Government. Ir. has taken some steps to curtail imports of luxuries, as well as of other commodities which are scarcely to be described as luxuries, but are of such a nature that they can be done without in this time of national crisis. The difference between economy and waste may make all the difference botween victory and defeat. As the British Prime Minister recently put it: "We can appeal to men of all ranks and conditions to play the game." But liefore tile game can be played it must lie correctly understood. Those who still hold to the idea that expenditure of any kind is good because it makes the money go round, and so benefits .someone, must be effectively disillusioned before any good result can be attained. Moreover, as another writer points out, it is not sufficient to economise merely to the extent of making one's income meot the increased prices. An individual may do with one suit less a year, or one hat less, and lie hugging the notion that he has been laudably economical. At the same time the smaller numl>er of suits or of hats, as the case may b.e, may very easily cost him precisely as much a.s the larger unmoor did formerly. He has done without, he lia.s made some present ' sacrifice; but neither his pocket nor the country at large has really benefited. They are just where they were. Looking at the matter from another angle, it may be pointed out that had this hypothetical individual not done without some of his garments, his pocket would have suffered and his country would have had greater difficulty in financing the war. What is clear from tii»s analysis of the position as disclosed by the trade returns, is that it is not enough for the individual to economise just sufficiently to neutralise the advance in prices. By doing that much he may benefit himself; but if 1.-: desires to do more and benefit the <Oll ncry as well, he mu4t economise much more effectively, so as to enable him to save more and thus to have more money available for .subscriptions to war loans or for other patriotic purposes.