ECONOMIC CONDITIONS.

Taranaki Daily News, 15 December 1921, Page 4

ECONOMIC CONDITIONS.

CAPITAL AND LABOR. PROBLEMS OF THE DAY. An interesting lecture on present economic conditions was given by Mr. C. G. Bottrill, M.A., at the quarterly meeting of the Taranaki Employers’ Association last night. Mr. P. E. Stainton presided. The lecturer commenced his paper by an exposition of economics, and did not advocate that it was a cure for any social disorder. Economics at the best, he said, was merely an analysis of existing conditions, and could point out the historic and immediate causes of social troubles. Proceeding to deal with the difficulties of major importance to-day he referred to the three agencies of production: Land, earning rent; labor, earning wages; capital, earning interest and profit. After touching on each branch individually, he remarked that till 1914 capital dominated the economic landscape, and until it was prepared to work with labor and vice versa it must be subjected to an ever-increasing series of attacks. If they granted the economists’ premiss that land, labor and capital were the prime agents in production of that wealth which the world so sorely needed to-day then it must be admitted that co-operation on their part and mutual give and take was the first law of economic existence.

The lecturer dealt fully with deflation, currency and wages, and remarked that unless New Zealand was to live in an artificial prosperity we must get nearer the standard of the consumers of our goods, for they naturally could not pay in consonance with our standard. He also dwelt on the apathy exhibited by the community towards economic teaching, and concluded by expressing confidence that if only employer and employee and the public, who really Were vitally affected, could sit at the round table of economic facts a great deal of the conflict, distress and difficulty at present existed could be overcome. An interesting discussion followed on Mr. Bottrill’s remarks. In reply to a question he expressed the opinion that there were comparatively few industries in which a man could eirn wages sufficient to enable him to save enough capital to start a business of his own.

Answering other questions, the speaker said capital was defined as wealth that was devoted particularly to the making of more wealth by the co-operation of labor. Ensuing discussion elicited widely divergent views on the subject, and one speaker remarked on the number of men in New Plymouth who during the last twenty-five years had succeeded from wageearning positions td s that of employer, and used the illustration to support his argument that there were great chances for the working man of to-day if he had the desire to get on. Other supporters of the view that the working men had favorable opportunities remarked on the amount that was spent on racing and pictures to support their contention that money could be saved by the employee. A speaker who asked for a definition of the standard of living remarked that it seemed to be something just above what a man could reach. The lecturer replied that the standard established was an amount which was regarded as sufficient to keep a family of four. At the conclusion of the discussion a hearty vote of thanks was carried to Mr. Bottrill, and the suggestion was made that the association might arrange another lecture and make the proceedings open to the public.