ECONOMIC CONDITION.

Waikato Times, Volume 108, Issue 18139, 2 October 1930, Page 7

ECONOMIC CONDITION.

THE DOMINION’S POSITION

MR RANSOM DECRIES PESSIMISM.

“COUNTRY WILL PULL THROUGH.”

(Times Correspondent.) WELLINGTON, Wednesday. Pessimistic statements as to the financial and economic condition of the Dominion were strongly deprecated by the Acting Prime Minister (Hon. E. A. Ransom), in the Houe of. Representatives to-day in response to several speeches from the Opposition Benches in which stress was laid on the seriousness of the present position. “If some readjustment is not soon made,” declared 'Mr T. D. Burnett (Reform—Temuka), in addressing a question to the Acting Prime Minister, “employing classes cannot employ, and working people will be workless.” He suggested that as all the authorities were agreed that the Dominion’s selling season would be opening shortly tvifch all her primary products at a lower level than last season’s closing prices, a state of emergency should he declared immediately after the rising of Parliament, and a round table conference called of representatives of all State, pastoral, agricultural, manufacturing, banking, mercantile, industrial, legal and medical Interests with a view to seeing if by the facing of facts an amicable readjustment in the industrial life of the Dominion could not be effected.

“There is no necessity to resort to the panic measures indicated by the honourable gentleman,” remarked the Acting Prime Minister in reply. Several Reform members including Mr Burnett and Mr Coates expressed regret that the Acting Prime Minister had dismissed the'question so briefly, and not agreed to act as suggested. Mr Ransom said lie was sure the Dominion was not in such a parlous condition as to justify the Government in acting as Mr Burnett suggested. Sir Otic Niemeyer, the eminent financier, who had just/visited the Dominion, did not regard New Zealand as being in' a serious position. Mr W. J.. Poison (Ind.-Stratford) : “You never gave him an opportunity to investigate.” • Mr Ransom:-“The position is not nearly so serious as it was under the Reform Administration in 1921-22, though I do not suggest, however, that that administration was responsible for that depression. A Difficult Position.

Undoubtedly the present position was a difficult one, continued Mr Ransom, but experience had shown this country could overcome her difficulties. An attempt was being made to saddle the present Government with the responsibility for the present serious position. The Government, however, was endeavouring in a systematic and thorough manner to overcome the difficulties.

Referring to the suggestion that all the varied interests should be called together in conference to try and overcome the problems of the day he did not. believe the bringing together of interests which were diametrically opposed to one another would achieveany good results. It would be better to take the difficulties systematically and deal with them separately. That was being done in regard to the railways question, which was being investigated ip a thorough manner by a Royal Commission.

The other questions w r ere being tackled in the same statesmanlike manner, continued the Acting Prime Minister. If the people realised the wonderful resources of the country and buckled on their armour and all did their bit there would be no need for fear. He did not regard the position as being so serious as to justitfy such fetion as had been proposed, for he v'as convinced the country would recover. The Dominion’s wealth was not wrapped up in any particular industry. He realised that wool producers were feeling the pinch, but that industry was not so hard hit as it was in 1921-22. So far as dairy farmers were concerned a great increase in production had enabled dairy factories to pay out more than in the previous year despite lower prices. “I am going to do my best,” said Mr Ransom,” to stop this wave of pessimism which is being swept over the country by the Opposition.” . The Minister of Labour, the Hon. S. G. Smith, “It is electioneering.” Mr Ransom; “I have every confidence that this couniry can rise to the occasion and more 'than recover its position within a reasonable period.” He added that recent financial reports showed that the bottom had been recalled as far as prices for our produce were concerned. Some people believed a slight fluctuation in prices indicated that the Dominion was .falling into a morass from which it could not escape, but he deprecated that view.