SLIDE TOWARD ABYSS

Wairarapa Times-Age, 15 November 1938, Page 5

SLIDE TOWARD ABYSS

GRAVE ECONOMIC POSITION

IN FRANCE

ACTION NEEDED TO AVERT TRAGEDY CAPITAL BEING WIPED OUT By Telegraph—Press Association—Copyright PARIS, November 14. Statistics explain the seriousness of the warning by the Finance Minister, M Reynaud, that France’s financial situation is grave. “Our fate will be tragic if we don’t act.” he said. "Make no mistake about it. We are sliding down a slippery slope toward an abyss.” The facts are on the basis of the 1930 figures for , world production France is now at the bottom of the list. Her exports and manufactures have fallen by half. One in every three railway wagons during.the last eight years has been idle. The torment of the capitalist is revealed in the fact that during the last 10 years he has lost 60 per cent of his capital and the remainder consists of francs which have lost half their value. HEAVY TAXATION PROGRAMME ACCEPTED Vi/ITH RESIGNATION APART FROM ABANDONMENT OF 40 HOUR WEEK By Telegraph—Press Association—Copyright. (Received This Day. 10 a.m.) PARIS, ■ Novembei - 14. Apart from the Socialists’ attacks on the abandonment of the forty-hour week, M Reynaud’s programme seenqs to have been accepted with quiet resignation. The national contribution to the scheme consists of a 2 per cent tax on earnings, pensions and annuities in 1939, applied even to incomes below £56, which hitherto have been exempt. Income tax payers are also taxed an additional 30 per cent on general income, the tax ranging from 16 to 32 per cent. It is also decreed that savings bank accounts must not exceed £ll2, in order to encourage the movement of capital. A million sterling is being devoted annually to measures to increase the birthrate.