THE NEW EVANGEL.

Waikato Times, Volume XXXI, Issue 2558, 1 December 1888, Page 2 (Supplement)

THE NEW EVANGEL.

Vl.— THE MAIN ISSUES. Fixanck-Euoxomy, Wkalth-I'roduc-xro.v, Fair-Lkgislation. [Continuation of article in the New Zealand Herald, 13th September, ISSS.] Not as adventitious will the wise man regard the faith that is in him. Tld highest truth he sees he will fearlessly utter ; knowing that, let what may come (it it. ho is thus playing his right part in the world ; knowing that, if he can effect the change he aims at, well ; ifnot, well also, although not so well.—Ukkbukt SI'IiNCEU.

There can be no doubt that the fearless utterance of truth is sadly needed. In other words, " I feel that we have arrived at an epoch iu our history when it behoves public men to speak the truth, and not only tlie truth, but the whole truth." I therefore venture to promulgate the fai h that is in me, in hopes that, by these articles, I am at this crisis playing my right part in the world. For, as George Eliot says, " What do we live for, if it is not to make life less difficult to each other?"

Convinced that it is what we have been that makes us what we are, I now propose to show how current expenditure may be reduced by at least £1,500,000; and to substantiate my assertion " that it is simply disgraceful incompetence on the part of our representatives that such reduction was not long since made."

And first, let rae request my readers to study, if they have not already done so, " The Estimates " (which term I use as including also the Supplementary Estimates) for 18S8-ISB9. ±'or it is safe to state that, for a poor colony, a more monstrous compilation of financial folly—a wilder collection of monetary extravagances—it is hard to imagine. They are literally crammed with grossly unjustifiable items ; and it is outrageous to send members who not only approve such expenditure, but insist upon it. Do not infer that by such strong language I intend to specially reflect on the present Treasurer; because I believe there is no abler man in the House, but that he is powerless for heroic measures, or even for substantial reform, in the hands of a reckless and corrupt Assembly. ladeed, so pronounced are my opiuions on this subject, that I feel convinced, if the requisite constitutional and financial changes are to be carried out, the firet plank in the reform platform must be that, with the rarest exceptions based on very soecial qualifications, no man who has sat in the present demoralised Assombly shall be returned. For I hold that the preseut situation supplies an exception to President Lincoln's political axiom, " that it is a bad thing to swop horses in crossing a stream; " and 1 fear that a member, on a recent occasion, correctly expressed the feelings, and revealed the calibre, of a very large majority of our present representatives when he said—"l shall before I say anything just wait and see how the cat jumps." Truly nowhere than in our politics can be seen more clearly the paltriness of human nature.

'' The Financial News " of October 29, BS7, in an article on the Bank of New Zealand, promulgated indeed pithy truth when—after pointing out that "this spendthrift colony has at last come to an end of its profligate borrowing and loose politics, and it will now have to turn over a new leaf,"—it said, '-In doing that, it will find it advisable to employ now methods and new men." "Otherwise coupon days may occur before the colony is ready for them." But now for some facts learnt from " The Estimates." And the first fact which impresses, is that the enormous item of £1,838,539 for interest is the great crushing factor in the expenditure ; and is the first item, therefore, which should receive attention. Strange to say, however, it has received no attention; and has been regarded as inevitable and immovable, but by repudiation. For I make so boW as to say that, in the present demoralised state of commercial and social ethics here, the possibility of Stato bankruptcy, or in other words of Repudiation, is secretly contemplated with complacency—if not approval —by a large section of electors. ludeed, I go farther, and state my belief that the restraint on the open approval of State bankruptcy is exceedingly sleuder. And can this be wondered at when individual bankruptcy is esteemed a peccadillo, and merely as one of the inevitablo minor incidents of fortuue iu an enterprising community ? For let it not be forgotten the Stato being the people, State morale is necessarily only the reflex of individual morale, th*e Stato laws only the concrete form of the opinions of the majority of persons in the State. If, therefore, the majority of persons in the State regard bankruptcy lightly—to bo regretted rather than condemned : or, if such majority condemn the difference in principle between honesty and dishonesty as immaterial— provido the offender be not found out; or, if such majority bo not satisfied that honesty j 8 fa 9 b e 8(; poliojr j then. a<J per.

tainly will a democratic State, as a State —which is simply the individuals in tho State in concrete form—hold the same view*. This surely is a mutter of grave importance, seeing that right-thinking must be the prerequisite to right-acting ; and as George Eliot writes, " there is no creature whoso inward being is so strong that it is not greatly determined by what lies outside it." But is this monstrous interest leech, which is draining- our vory life-blood, inevitable and immovable? I hold not, aud that our first pluin duty is to grapple with it honestly and courageously : first, by reducing" the principle, and thereby reducing the Interest ; and, second, by additionally diminishing the interest in other wavs.

In considering how tho principal can be reduced, we naturally enquire what are our realisable assets purchased out of the loans, or otherwise ; and our railways and lands suggest themselves in the first

instance. The suggestion seems to me reasonable; and I therefore advocate that, to reduce the principal of our debt, the railways, and certain of our lands if saleable without grievous sacrifice, be at once sold, whilst money is so cheap. This involves, of course, the working of the railways passing into private hands ; but, even apart fro.n financial necessities, the arguments in favour of such a transfer seem to me overwhelming, and were vory fairly stated by Mr Boarrlman at the Lorne-street Hall, at the last political meeting there. And, whilst saying this, I may mention that I have not omitted to weigh the argument that large powers thereby become, to the alleged detriment of the State, vested in railway monopolists, as instanced in the United States. But to urge such an argument—even if there were anything substantial in it for us — when we are rosolved to inaugurate an arbitrary bureaucracy, an imperiiun in imperio, in the shape of a grossly expensive Railway Board is, indeed, absurd ; to say nothing of the ridiculous confession of weakness on the part of the Government admit-

ting its incompetency to manage, by the usual machinery, a very ordinary State concern. Such a sale would not only sweep away all such extravagant fooling, but bring vital advantages to us immensely outweighing all possible disadvantages, viz., the reduction of the principal of the debt by at least the cost of the railways, £14,603,109, and an annual saving of the very large loss in their present working—which loss has been estimated for 1887-8 at £459,148, and for 1888-9 at probably not less than £600,000. The sale of the railways, moreover, would, by reason of the interest of the new railway proprietors, no doubt largely help sales of land adjacent to the lines. But, in any event, organised sales of land should be made; and the proceeds devoted to reduction of principal debt—not misappropriated as now for current expenditure. Indeed, such misappropriation is dishonest to the British bondholder—as being a-fraudulent diversion of a part of his security. Tho land sales, by reducing principal, would, of course, proportionately reduce interest. But I do not hero pursue this subject, because my calculations for the £1,500,000 are made exclusive of nny reduction of interest by reason of land sales ; and be. en use when we, in the next article, discuss Wealth-Production, it will become important to consider the advisability of free grants of good land in order to promoto settlement.