MONETARY POLICY

Wairarapa Times-Age, 1 July 1938, Page 8

MONETARY POLICY

UTTERANCES OF NEW ZEALAND MINISTERS UNEASINESS IN BRITAIN MR W. MACHIN’S IMPRESSIONS (By Telegraph—Press Association.) WELLINGTON, This Day. Reference to comment in British financial circles on the New Zealand Government’s monetary policy was made by Mr W. Machin, a prominent Christchurch business man, upon his return today from a trip abroad. New Zealand still stood well in the minds of the British people, who were unwilling even to consider butting into the domestic policy of the Dominion, Mr Machin observed, but much concern and anxiety had been expressed to him about the present stability of New Zealand securities, and also not a little perplexity over the utterances of New Zealand Minister that they had plans to insulate the economy of New Zealand from that of the overseas world. City men remarked to him that the large and satisfactory export income New Zealand had enjoyed during the last year or two was due to satisfactory overseas prices, and that these would probably feel the effect when overseas prices decreased. Mr Nash’s letter to the London •Economist,” in January last, disclaiming any unconventional financial methods was favourably commented upon, but Mr Machin heard much concern expressed at remarks attributed to the Prime Minister of New Zealand. A group of business men asked him pointedly if the Prime Minister would describe New Zealand’s creditors .as “money bugs” when he asked for the conversion of present loans, or for new loans. All the first questions put to him about the state of New Zealand were variations of an inquiry as to whether New Zealand was really about to try some new and daring and possibly disastrous experiments with money. It was also remarked that a number of young New Zealand Government officers were obviously Socialists.