The Temuka Leader. SATURDAY, JUNE 14, 1884. A REMEDY FOR THE DEPRESSION.

Temuka Leader, Issue 1191, 14 June 1884, Page 2

The Temuka Leader. SATURDAY, JUNE 14, 1884. A REMEDY FOR THE DEPRESSION.

We have pointed out frequently that the cause of the depression is that the farmers pay too high a ratfc of interest for borrowed money. There is ouly one remedy for this, and that is to lower the rate of interest. This can only be done in one way. By the Chapter of all the Banks in this colony they are allowed to issue three pound notes to every sovereign they posgass—that is, three fourths of their money may be paper and one-fourth gold. If banks are allowed to do this, why could not the Government do it? Why could not the Government start a bank of its otvn; borrow one fourth of the nacessarv sura to take over all the mortgages on land, issue paper money for the three-fourths, and lead the money

to farmers at 5 per cent ? If banks can issue three pound notes to every sovereign, there is no rr.ison why the Gorernment could not do th* same thing. The security of the banks is the limited liability of its shareholders ; the Government bank would have the whole colony at its back as a security. No man thinks of refusing- a bank note now, why should he refuse a Government bank note? Besides, the Government bank would hare, in addition to one-fourth gold, the rsrenuo, the accounts of local bodies, of the Insurance Department the Savings Bank money, the money which farmers would receive for the export of their produce and many other accounts that would enable it to meet any rush for gold that might be made upon it. If this proposal were adopted it would have the effect of putting a large sum of money into the pockets of farmers, which money the farmers would spend with th(» tradespeople; it would release the money now locked up on freehold security ; the rate of interest would come down ; people would turn their attention to staiting industries to find investment for capital ; an impetus would be given to trade and commerce, and general prosperity would be the result, There is no objection to this scheme that we know of, and it is the only way in which the depression can be speedily removed.

THE OTAGO SCHOOL COM MISSIONERS.

The Hon. Mr Rolleston has got himself into trouble with the Otago School Commissioners. That august body have now at their disposal 11,108 acre* of land reserved for educational purposes, and they hare come to the conclusion of selling it. Of selling this land the Hon, Mr Rolleston justly disapproves, and has written to the Commissioners asking them to reconsider their decision. The Commissioners in reply assert that they mean to adhera to their former resolution, and wax rather warm at the idea of Mr Rolleston interfering. Ther say that " the Legislature professed to give the Commissioners freedom of administrative action within defined limits, hut this freedom is illusory—it ii nothing but a mockery if an imperious Minister of Lands is entitled to censure the Commissioners and frustrate their efforts to secure the industrial occupation of waste land, if they venture to act upon opinions different from those he entertains upon the most advantageous mode of settling these lands, although their action is strictly within statutory limits. Moreover, it is not improbable that Mr Rolleston deceives himself if he believes the opinion of the Legislature to be eminently favorable to 4 the nostrum of perpetual leasing. He cannot fail to remember that ' The Land Bill 1882 ' could not be carried through until it was amended by the insertion of a purchasing clause ; and that all his influence was strained in obtaining a modification of that clause, which to some extent limited its application, and also that the attempt to repeal that purchasing clause by his Land Amendment Bill, 1883, of which it was a prominent provision, caused the summary rejection of that Bill in the last session of the General Assembly." The language of these few sentences falls nothing short of impertinence, and when we find amongst those who dictated this epistle two members of the Legislature—The Hons. Reynolds and Menzies—the matter becomes more aggravated. That Mr Kolleston is right, and the Commissioners viciously and intentionally wrong is beyond a doubt. This land, as the Minister of Lands pointed out, was reserved to provide " a permanent and increasing revenue for educational purposes," but these arrogant Commissioners have taken upon themselves to sell it just because the law gives them power to do so. The motives which have prompted them are quite plain, The land monopolists hate the bare mention of the perpetual leasing system, and they wish to discourage it in every way they can, They recognise in it the thin end of the wedge of Land Nationalisation, and they know that if that became law there would be an end of monopolies, Perpetual leasing is to them as the proverbial red rag is to the bulj. The self-sufficiency with which they argue that Mr Rolleston is deceived in believing that the Legislature is favorable to perpetual leasing is amazing. Who compose the Legislature? The few wooden-headed old fogies who comprise the Upper House, or the elected Representatives of the people ? The House of Representatives affirmed the principle of perpetual leasing by a ■ large majority, in f.nct the decision was I almost unanimous, but when it came to l the honorable pensioners in the Legislative Council it was destroyed by the insertion of a clause giving leasees power to purchase after a, certain time. And because this irresponsible body of monopolists made this alteration, two of their number, assisted by another o'd fogy of the same species, have the impudence to deny that the Legislature is in favor of perpetual leasing. There is a large principle involved in this matter. The. land was reserved for educational purposes, and now the determination is to sell it. Supposiag that is done, what is to become of the money? Is it not possible to spend it immediately, and then call upon the State to supply fu'ids for carrying on education in Otago. On the other hand if the land were leased the rent would always be coming in a 3 a revenue, and as the land would increase in value so would the rent. If the, bind is sold, the present generation ia b.iund to spend the money $ if it were perpetually,

leased, future generations would be secured a revenue for educational purposes. We in this district have an interest in this matter, because if the educational endowments are allowed to be thus alienated, the time will come when we shall have to put our hands in our pockets to supply funds for carrying on education, whereas if tiese endowments are leased, the rents will do it. It is on this ground we feel an iaterest in the matter, and that we command Mr Rolleston's action. Whatever may have been Mr Rolleston's fault, it is not the way he has dealt with the land during his term of office. A better Minister of Lands New Zeala»d never saw, and it is with extreme regret we find that he is likely to be replaced by another. We sincerely trust he will succeed in preventing the Commissioners from selling the land referred to.

BOARD OF EDUCATION,

Mr James Brucb, Chairman of the Timara School Committee has issued a manifesto complaining of the unfair treatment to whisht that school had been subjected. Ue appeared before the Committee with almost tears in his good-natured eyes, and became so pathetic as he recounted the cruel injustice of the Education Board with regard to Timaru that the members of the Committee literally fell upon each others necks and wept, and resolved to let the world know the villainy that was going on by publishing the Chairman's rpport. ' That report is entirely levelled at schools in this district, but we doubt very much whether our local Committees have not grievances as long standing and as pressing as Timaru. For instance, £2O was once granted to the Temuka School Committee for planting trees and this sum was lept as carefully as it would be in the hands of a miser until the new school was built so that it might be utilised in beautifying the ground around it. The cupidity of the Board of Education, however, was aroused, and they asked the Committoe to rpfnnd to them this sum, and promised that whan the time for planting trees came round, the Board would plant them. The ireeplanting time has come round but the Board will give only £lO of the ±2O. Now, if that had been done to Mr Bruca he would not hesitate to use the words trickery and chicanery in connection with it. Also the people uf Geraldine know how many ineffectual appeals they have made to the Board, and many other Committees throughout the district can testify to similar experiences. Mr Bruce may possibly have grievances, but he ought to seek their redress without rushing into reckless misstatsments as to one district being favored more than another.

THE LEGISLATIVE COUNCIL. Amongst the Inst things the Government did last session waf to announce their determination to alter the constitution of the Legislative Council. It was given out that a Bill would be introduced to make the Counc'l elective, that the suffrage should bo the same as the Qouse of Representatives, and that the Hare system of election would be adopted. Strange to lay all this has since been forgotten,- and there is no 'mention of it in the Governor's speech. This betrays indecision *nd fickleness undesirable in a Government. They ought never to have made the announcement, or, haviner made it, they ought to have 6tick to it. It is evidently put by now, for surely if such a measure were to be brought forward it is of sufficient importance to have referred to it in the Governor's speech. However, the country is heartily tired of the present Council, bucauie it is useless, it is only a barrier to progressive legislation, and, worst of all, its members get handsomely paid for standing in the way of progress. We are not going fully into the matter at present, but there is one point which we wish to point out, The Council as constituted at present represent wealth and monopoly, and their business is to protect these interests. Is it right that rich men shonld be paid to guard their own interests ? We think net. If the Council is to be nominated its members should not J)e paid ; if it is to be elective, by all means they ought to be paid. There then is the first place where the pruning knife ought to be applied. The Lower House ought to refuse to vote the honorariums of the Upper House, and if that were done better results would be produced.

THE POLITICAL SIfUATION. The position of parties in Wellington is most extraordinary. There are now four parties, the Ministerialists, the Greyites, the Montgomeryites, and the remnant of a little lect who ware wont to call themsslTes the Constitutional party, The latter are those who were attached to Sir John Hall personally, and their creed is, and has been land, monopoly. This is the party Mr Wakefield would fain lead, but it appears to be numerically insignificant, and is likely to remain so. It is this motley crowd that combined together to turn the Ministry out of offic* on the very ere of a general electien. Their conduct is more like that of a lot of lunatics than anything' else, unless their object is to work out a double honorarium for themselves. Now of what use is it to turn the Ministry out under existing circumstances ? They have been a long time in power, and they have not dono so badly that they might not bo trusted for a few months longer until the general election had decided their fate. Sir George Grey's

party, Mr Montgomery's party, and Mr Wakefield's high and mighty Constitutional party can never be got to agree to any one particular thing. Is it into their hands tho government of the country is to be thrown ? It would be absolute nonsense to do so. A Ministry formed by either party would not last a week, and would hare to dissolro at once. It is now apparent that there must bo an immediately dissolution, and this will cost the colony thousands upon thousands of pounds. The defeat of the Ministry, therefore, may b« looked upon as a great misfortune, and those who have contributed to it have done a good deal of harm, We are not, and never have been, supporters of the present Government, but they could have done very little harm if thpy tad remained in power until after next election. The proper course to have adopted was to have bad a short session, and then go to the country in the usual way.

MR E. WAKEFIELD. Thi great orator, Mr E. Wakefield, seems to be thought very little of in Wellington. After recounting the interviews held between Sir George Grey and Mr Montgomery, with the view of coming to some understanding, the Evening Post says, " Mr Wakefield was busily engaged working out his own little game, but finding he could not command a following, he addressed the other Opposition chiefs in writing, suggesting that he should move a vole of wunt of confidence, undertaking that, if it was carried and he was sent for, he would decline to take office, and would adv'se the Governor to dissolve Parliament. This liberal and disinterested offer waa instantly scouted on-all sides, and none aee.tied to seek Mr Wakefield's support." So, after all, neither party will trust him, and he is not going to be Postmaster-General just yet!