NEW ZEALAND TO-DAY.

Taranaki Daily News, 7 May 1921, Page 6

NEW ZEALAND TO-DAY.

STRONG FINANCIAL POSITION.

PROBLEMS OF THE FUTURE.

By Telegraph—Press Assn.—Copyright, London, May 5. Sir James Allen has a signed article in the Manchester Guardian on the economic and political developments of New Zealand. Referring to the existing Parliament, he says that there is practically no difference between the Liberal and Labor parties. Some members of both parties would regret the extinct(pn of the Liberals and their replacement by an opposition consisting of Laborites dominated by extremists. There is no cohesion among the present Laborites, as at least three favor constitutional methods for securing the betterment of workers.

Referring to the report of the national executive of the Federation of Labor, advocating the socialisation of industry, Sir James Alien regrets that employers have not sufficiently considered the executive’s scheme. Experience has demonstrated that nationalisation has not cured industrial strife. There are more strikes in the Stateowned than in the privately-owned coal mines, also the Government railwaymen have adopted direct action. New Zealand is financially strong, notwithstandi ing' its indebtedness. Dealing with the future, Sir James Allen thinks the position resolves itself into two problems, firstly, the relationship of several free nations under one sovereign: secondly, provision for defence against foreign aggression. Tn reference to the first some new method is necessary to preserve the sovereign from the impossible situation which might arise from conflicting advice. He supports this by quoting the differing interpretations in South Africa and New Zealand of the methods of dealing with mandated territories, also the proposed Canadian and Australian ambassadorial representation in America. He criticises the designation “Imperial Cabinet,” because the term implies too intimate relationship, and prefers Imperial Council, which should be permanent but only advisory. He maintains that defence is dependent on the efficacy of the League of Nations and suggests the creation of an Imperial General Staff under the proposed Imperial Council.