The Temuka Leader THURSDAY, NOVEMBER 20, 1884. PUBLIC EXPENDITURE.

Temuka Leader, Issue 1267, 20 November 1884, Page 2

The Temuka Leader THURSDAY, NOVEMBER 20, 1884. PUBLIC EXPENDITURE.

Now that Parliament lias prorogued, and Sir Julius Vogel is freed for a time from the worrying attacks of Messrs Rolleston, Wakefield, and Bryce, it is to be hoped that he will set about maturing plans lor removing the repression from the colony. There is not the slightest doubt but that that depression ought never to have existed. We have a fertile and fruitful land, large enough to support twenty times our population, and if things were as they ought to 'be we should now be among the most prosperous people in the world. It is not our intention now to enter into the causes which have led to the depression. We have done so frequently before. We shall only take a glimpse at what Sir Julius Vogel has been doing since his reappearance in the colony, and see whether he has taken the proper steps for securing to us prosperous limes once more. Sir Julius V ogel first made a tremendous speech at Ashburton, and issued an address to the people of Christchurch when elected. In this speech he foreshadowed extra- ‘ vagant borrowing, and other things which he afterwards abandoned. When he actually got into power he put forth his programme, but this had to be modified also. His South Sea Island Bubble burst, and the District Railway dub perished in the Upper House, while bis Eastand WestCoastßailvvay Scheme was considerably mutilated. In fact, his policy was fearfully hashed up. We are not sorry for this, for certainly there was not one item in his programme which would do much good. “ The South Sea Scheme,” if it evei came to anything, would not be worth a straw for many years to come, the District Railways would benefit a few landowners at the cost of the people at large, and only Christchurch and the West Coast would gain immediate benefit from the construction of the line from Christchurch to Hokitika, As regards the Otago Central line, and the North Island Trunk line, these would have been gone on with had Sir Julios Vogel never come to the colony. There is no doubt but that the expenditure of large sums of money in any locality improves trade in that locality, but that is all it does,- Some peop'e entertain the erroneous notion that money spent in one locality will circulate to surrounding districts, and that all will be benefited. For instance, there are many wellmeaning people under the impression that money spent on the construction of the East and West Coast railway would improve trade and make us more prosperous in South Canterbury, be cause, they say, “ the money will circulate.” This is a mistaken idea. The only way in which we could secure some of that money would be by obtaining it in exchange for our produce, If the making of the West Coast railway would increase the population to an extent that would raise the price of the products of the land, we then would certainly benefit, but that is impossible. We grow more Jood in this colony than we can consume, and consequently the prices will always be regulated by those ruling in the English market, No matter therefore what money is spent in any other part of the colony this district will gain nothing by it, and consequently extravagant public expenditure cannot benefit us, neither will it benefit any other district in which the money is not spent. The expenditure of public money will not therefore remove depression, for its effects will only b« felt in the

localities in which the money is being spent. In fact it will do more harm than good to other localities, for it is hound to raise the price of labor, and that is exactly what farmers can’t afford when grain is so cheap. We feel confident this policy of spending money to remove depression will not luv he desired effect, and that Sir Julius Vogel must devise some other means to attain that end.