The Temuka Leader SATURDAY, JANUARY 29, 1887. BRIGHTER PROSPECTS.

Temuka Leader, Issue 1546, 29 January 1887, Page 2

The Temuka Leader SATURDAY, JANUARY 29, 1887. BRIGHTER PROSPECTS.

Freetraders must find it rery disconcerting to learn from recent telegrams that “ there is a remarkable industrial reviVal in America.” If we were told that the revival bad taken place in Freetrade England no one, except some unfortunate Protectionist, would have been surprised, but to find that America, suffering under the blight of a most rigorous protective tariff, is the first to shake off the cloud of depression which has bung over most nations for the past, few years, must stagger the most steadfast of Freetraders, It is very cruel of America to spoil the pet theories of Freetraders in this way. She ought to sink deeper and deeper into the “ Slough of Despond,” so that Freetraders might be able to point to her as the victim of the pernicious policy of Protection, but somehow she does not seem inclined to do so, She must in the most aggravating manner lead the van of prosperity, and let others follow at her chariot wheels. This is unkind; she has in the most perverse way robbed the Free'.raders of tbeir argument. For the past few years Freetraders found great delight in pointing to America as a protected country, which was far more depressed than England, and they attributed the ,

cause to Protection, Now the facts are that the depression has not been Half so intense in America as it has been in England. In sympathy with other nations the depression was experienced there no doubt, but it was not so severe as it was in England, and it was not due to Protection. The depression in America was chiefly caused by the depression in England. Nearly half the exports of America go to England, and when the spending powers of the English people were contracted by the depression they were not able to buy American goods, and that caused OUrprodaction in America. For instance, in 1880 the value of the goods bought by England from America was £107,000,000; in ]BB4 it dwindled down to £86,000,000. Thus there was a falling off of £21,000,000, and goods representisg that sum remained on the hands of American manufacturers. The exports to other countries fell off in a similar way, and the goods thus remaining on band caused over-production, The manufacturers finding they had more goods on band than they could dispose of, shut up their works ; this threw many out of employment, and this caused the depression in America. Now these stocks which the Americans had on hand have been worked off, and the factories are beginning to work as industriously as ever. This explains the cause of the depression in America, and also the cause of the revival in trade there. It is unfortunate for the cause of Freetrade that a protected country is the first to throw off the depression, but we shall not dwell further on that point. Freetraders have been born Freetraders, and they mean to die Freetraders, and that settles the question. There is no use in arguing with them, for they are not open to conviction. Instead of pursuing this point further it is better to reflect on what effect this revival of trade in Ameiica will have on things in this colony. Freetraders and Protectionists will agree as to this; it most have a good effect; it will result in eventually bringing back,prosperity to us. When trade revives in America the spending powers of the people there will increase, and they will be able to buy larger quantifies of English goods. For instance, in 1880 America bought £31,000,010 worth of English goods; in 1884 she only bought millions pounds worth from England, When trade revives, and America gets prosperous again, she will be a good customer to England, and the result will be a revival io English trade, with a corresponding increase in prices. When prices improve in England the value of our products will increase proportionately, and the result will be beneficial to us. There can be no doubt about this, We are in the beginning of better times. Our readers will remember that two years ago we prophesied that 1887 would see the beginning of prosperous times, and there is every prospect now of our prophesy becoming true. But let us not be mistaken, So long as every penny we make goes out of the colony to pay foreign money-lenders and manufacturers we can have no real prosperity. We shall be in a better position than we are at present, for we shall get better prices for our products, but our prosperity will be fictitious, and the moment there is a fall in prices in England we shall be as badly off ns we are at present. There is nothing for us but to take a lesson from the story of the lark in the corn, that is: rely on ourselves and our own resources, and live independent of foreign moneylenders and manufacturers as much as possible. We meantime gladly welcome the dawn of a brighter day.