THE EXCHANGE BILL

Rotorua Morning Post, Volume 2, Issue 442, 28 January 1933, Page 5

THE EXCHANGE BILL

("Post" Special Commissioner)

SECOND READING OPPOSED BY THE LABOUR PARTY AN EARLY CIIALLENGE

Wellington, Friday. The Banks Indemnity (Exchange) Bill was introduced into the House 'this afternoon and the second reading debate was commenced on the moftion of Mr. Coates. Mr. H. Holland (Leader of the Opposition) said there was no problem as far as the producers were concerned. The problem was one of distribu'tion. It was a case of poverty in the midst of plenty in New Zealand. There was no shortage of any of the necessaries of life and yet the people^ were going hungry. The position had been brought about by the disastrous policy of the Government and if that policy was persisted in the Dominion would soon be on the rocks of bankru'ptcy. The State finances were down nearly £10,0^0,000 after nearly two years by a Government which was supposed to have been called together flor the purpose of leading the coun'try out of its troubles. He moved the following amendment: — This Hoimse refuses to accord a second reading to the Bill which fails to provide an adequate method of dealing with the serious economic distress of the country, as the fixing of the rate of exchange at an artificially high level will raise the cost of living, intensify unemployment, f^oster unnecessary antagonism hetween town and country, and afford no permanent help to farmers while inereasing the finaneial difficulties of the Dominion." Mr. Holland said, while criticising the Government's failure, the Labour Party presented its own alternative proposals. The party recognised that the first steps to be taken ipust be towards restoration and stabilisation of purchasing power — which inv'olved raising ineomes both farmers and works — and also towards the restoration to economic employment of those who were now classed as relief workers.