THE Wairarapa Age MORNING DAILY. TUESDAY, FEBRUARY 22, 1927. THE IMPORTANCE OF OPTIMISM.

Wairarapa Age, 22 February 1927, Page 4

T HE Wairarapa Age MORNING DAILY. TUESDAY, FEBRUARY 22, 1927. THE IMPORTANCE OF OPTIMISM.

Within the last few months, fair emphasis has been laid upon the fact that the economic affairs of the Dominion are in such a state as to call for careful handling. Looking at our present balance of trade and at our big public debt, which evidently must continue to expand rapidly for years to come, no one can doubt that there is need of judicious economy and of enterprise in stimulating production. In one way and another, too, prominence has been given of late to the fact that means have yet to be found of establishing a stable and equitable economic balance as between the primary producers of the Dominion and. other sections of the community. It is clear that conditions in which the farmer is left to bear so muca more than his share of the brunt of bad times cannot be allowed to stand unchanged. It is one thing, however, to face these facts and to shape an appropriate policy. It is another thing altogether to give way to gloomy apprehensions and to assume that a state of affairs which for the moment leaves something to be desired is bound to go from bad to worse. There is u good deal to suggest that at present some sections of our community are allowing their fears to run away with them and arc inviting bad times by expecting them. It seems worth while in these circumstances to point out that panicky fears are liable in themselves to do a great deal of harm, and to bring about conditions of trade and industrial depression that otherwise might have been escaped. Facing the visible facts of the existing situation, there is no reason to anticipate serious depression in the immedate future. On the contrary, thefe is much to encourage an anticipation of gradually improving prosperity.

The need for a better economic organisation of farming and other industries is not a trouble of the moment, but one of long standing which can only be remedied gradually. At an immediate view, the two big facts that claim attention are that there is good scope in this country for the expansion of productive enterprise, and that there are reasonable hopes of gradual improvement in our trading position. There is, no prospect of getting hack to the 'high export prices that ruled in the comparatively recent past, but, as the Prime Minister pointed out since his return, there are reasonable hopes of an improving market in Britain for our staple exports. Commercial and industrial enterprise in the Mother Country is .beginning to l get into its stride again after the disastrous setback of the coal strike, and New Zealand, linked as she is with Britain in trade, may expect to share in the benefits thus brought within reach. Caution is always commendable, hut the thing needed to lift the Dominion out of its present difficulties is vigorous productive enterprise. Tn the extent to which this enterprise is chocked needlessly, by an undue tightening of commercial credit or in other ways, the whole country will suffer. As much harm may he done in times like those by undue caution inspired by overdone fears as is one sometimes by unbridled speculative extravagance.