DOMINION’S CREDIT

Sun (Auckland), Volume IV, Issue 1037, 30 July 1930, Page 10

DOMINION’S CREDIT

INDIVIDUAL BLAMED FOR NATIONAL FINANCES TALK TO CREDITMEN Vigorous criticism of the expenditure of the people as well as of the Government and local bodies was delivered at a luncheon of the Auckland Creditmen’s Club today by the president, Mr. W. J. Holdsworth, in a talk on “National Credit as it Affects the Individual.” He outlined some of the causes of New Zealand’s financial position, showing that the individual was equally culpable, and stated that it was only through every man doing his part in reducing expenditure that the Dominion could retain its national credit. Thrift, industry and moral standing are essential if credit is to be secured. Economic laws cannot be ignored and apply equally to the community and to the individual, said Mr. Holdsworth. Mr. Holdsworth showed that Australia’s present position was due to her ignoring the laws of economics in the past. However, he thought that Australia would recuperate under careful management. This could not be too soon, as New Zealand was being affected. The Dominion had been living beyond her means and her credit would soon be impaired if nothing was done. Much of her national debt was unproductive and further money spent on roads and bridges did not bring in a direct return. Eleven branch railway lines had been closed, but interest was still being paid. The country had not learned a lesson as lines were still being built, but would not pay. ANTIQUATED METHODS Mr. Holdsworth pointed out that in local government the Dominion was using the methods of 60 years ago and huge sums were wasted annually. The Individual was not blameless. Sport and pleasure cost New Zealand more per capita than any other country. There is no short cut out of the present difficulty. The Government and local bodies could assist, but the Individual must give his industry and thrift if prosperity was to be regained. France had recovered after the FrancoJPrussian war in two years, and New Zealand could do the same It the people all played their part.