STATE CURRENCY.

Taranaki Daily News, Volume LIII, Issue 38, 25 May 1910, Page 7

STATE CURRENCY.

MAKING THE DOMINION BLOSSOM AS THE ROibE. At Thursday night's meeting of the New Zealand State Currency Association in Wellington the platform adopted previously was enlarged to the following:— "The object of this association shall be the formation of societies in all parts of New Zealand for the purpose of advocating the establishment of a State bank of issue; each society to consist of a president, secretary, .and' treasurer and an unlimited membership; the qualification of members to be their rights to enrolment as an elector of New Zealand, and the payment of an annual subscription of one shilling. "The principal functions of the bank of issaie to be: (1) The issue of notes in exchange for gold, redeemable in gold coin on demand. (2) The issue of notes in exchange for land and r.n pantile securities and for services rendered to the State, redeemable in gold at the pleasure of Parliament. "These notes to be issued as 'legal tender' within the Dominion of New Zealand, and decreed lawfully acceptable for the discharge of all financial obligations excepting the payment of Customs dues, which tax must be paid in gold, realisable from the sale of the purpose of providing interest and sinking fund on the national debt. "The advantages New Zealand will derive from a State bank Oi issue are: (1) Immediate release from the necessity of borrowing further moneys at Home, and enabling the creation of a sinking fund for the early repayment of the national debt. (2) A full supply of money would at all times be available for advances to settlers and workers,' and for granting loans on easy terms to local bodies. (3) The Public Works Department could be supplied with all the money required for works authorised by Parliament. (4) Educational and benevolent State departments could be entirely supported from the profits earned by a State bank. (s)' The State bank could be empowered to purchase and mint all the gold produced in New Zealand. (6) Pastoralists and agriculturists —the producers of our national wealthwould never be hampered for the credit they require in order to increase the yields of our greatest assets. (7) The development of industries,, manufactures, and mineral fields could be undertaken whic.h are now economically impossible owing to the .high rates of interest ruling for money. (8) The profitable occupation of all waste lands in the Dominion would rapidly develop with the aid of cheap money. (9) The'surplus value, realisable in gold on the sale of exports, after payment of the cost of imports, would yearly increase in such ratio that a large reserve of gold would speedily accumulate in New Zealand. (10) When the true functions of money are understood, and the efficacy of a paper issue based upon the security of the whole of the present and future wealth of New Zealand is appreciated, people will vote en masse for a State bank; and 'when taat happy and glorions day arrives, i\ew Zealand may then confidently boast -that this country leads the world—but not till then. (11) John Young's text book on metallic and paper money contains the true history of the world's finance, anil shows that a paner currency can be successfully used. (12) All cases of failure in the past have been due to wilfully corrupt legislation and administration. The American greenbacks were deliberately depreciated by Acts passed in Congress for the purpose of enriching private bankers and financiers at the expense and ruination of the peaple. " Mr. A. W. Hogg, M.P., wrote accepting the position of patron of the association, and stated that m his opinion, after having addressed meetings of electors in all centres of New Zealand, the time\is Tipe for the establishment of a State bank.