THURSDAY, A1T0ltNEY RENENAL

continued from page a

3!, was 815,838,500 while at the lame time our current revenues are nearly 37,000,000.

Financial Position

”ln 1935, the last year the Con- servatives were in power. the debt was approximately 58,000,000 and revenues roughly 52,000,000.

"It is quite obvious that today we are actually in a much better financial position with the public debt only slightly more than double the revenues than when the debt was four times as large. The main consideration in public finance is that the debt. should

not be disproportionate to our revenues and rcsotiz-cos. The last Bond lSSl:('. a 3 pcr cent is your

one, sold last October alniost at par. the equal of any Piorince in Canada.

"Aga.n may I repeat what I said in irv hiidcet speech that bond hoiisos and the investing piihlic mu.-t .x'.i.'. hv confident that iuir finaiii-.;il INHIIIIIII is sound and that afiii" ai: IS "vie best test that ntir iuta! vidrilitcdncss is within our ahiltv to pay. I would suggest in ion. tiiidcr the circum- stances. that ai;irin:.x-t statenienu hy Tory speakers do little credit either in themselves or to the Province

"In Zmidzctiii: for cicpcnditurcs of S6.Sl00,000 to ;ici'fot'tn the func- tions of Gtii'U:'ll..'lTPll'. for l"rince Fidwsird Island. are iralizc that it is a ictv largo .-Li-ii of money. npposit-on criics t-ntiriomn the total hit? fail 1n f'lr'!'l' way to in. citrate uliai srz'v.ce- in particular thev tvottlrl clinunate or ctirtal an orricr to rcdtirr me amounts proposed in be spent: in agricul- ttirc. nntic: puihl.c works and liighu'ays. none; JUSLICB or treas- iitjv, nonc: general government. none.

tin P'.lrbIlC Hieaitli and Welfare, the Opposition leader .- could cut 530.000 3300.000 expenditure at Fa'con-mood hv htiv-,n: wholpgalc, The l'.wr-'1 zvern, as xidtcatcd by the Al in the Hnusc, that all purcnascs are now being bought on a '.iltoIcs:.ile basis with the ex- ception of a few items whose to- tal mould be less than 530,000.

"Most of three did not lend themselves to unoiesalc purchas- ing but as iin.ng t'nr-iv did a 10 per cent (I1.-Tflllnl llll'.',l'll. produce 31.000.

Beach Grove Expenditures

Th? Uni)" other suggestion was a saving o.' 53,000 at Beach Grove for a .-'int:.ar tea.-or, The facts revealed that onir 52.300 worth of goods xtcro p';rc'a.-erl at retail for that inst.ttit:ori. How in the world or could he cxpccled to save 53.000 rin l)'.l"(' a.-res of 52.300 is a (1:19 tinn we .xniId like these ftnaticia. rr.:.c,: to ati.-ucr.

'Sn llir'P wit Ii.ixr '.'nc stint in- ta'. of critic . a ntobicniatical Sal'h'l of Sfl.-.0 n:it or a total ex- pcndititic o.' .V;(-i.9t'itl.0i'i0.

''I think you it agree that a iviaizin of ciror ii" tan 1-20th of one prr cnt rt-vi-.i hnw Carp.

IHII) I"-HIP PNiwii'l,t;ii'rs are uairncrl and that riiarccs of uastp and rx1i'ar.-iiz:in(-c arr incm Fmipll iiord: iixthoiit foizndaiinn reprirhs of Tory

innyrih at-o cri::ccf. it ap- WW: Ilia! the Made: of the Op- pH.'.'iFNl artri Em iirivly sclcctcd candidates avn ,n'l.'il:.' pt'0Cla1n1in;z as a fat" that inc I.il1m'al Coir. P'"'i'V-"i t”Iir'l to izrtmse a 3 pr: cor. r”lRl -are tax ire-clccicd. As a Vli'i'I'lf ii' tho Govern. mom and l' nv c-a' Ti-casurcr I

most omiiliatir. .. drnv that such 1! aim has rvcr ht-vii contemplated

or cvrin rlwriis.-' and with as- s-iircd P-ui.ncia rcvcniies ample to mu-i ll lfI2Plv"fl reqiimcnienis, 1', s tint and will not. be necessary 'iviriFt' Fl”l4'lF'll li"ir-.al adminis- 1-atiori I think ;: rmlv (air to lid?" '0" D'i"i'ic. -. that if i-in r.i",i- . ,.nU,t. Catwl in gig p by 1.1.- INWF" 0' We (i;i;m5..inn oxrr br.

i'a'r.:- :: 2 .

znar .1 .1 ll"' mi IPPPI t if" rlclithis 'n'.t.

inulrl take mote t sairs tax to

twat it (V'.ll(l fol-

'1 as Proposal ftlariflerl 'lI"0.-.- "121 'tt:i"or of sales tax sI1rni.rl lm tl;ii..'irrI. ()iigmal- It the Prni'ir.rrz TKCIC. iindcr the (Tariadimi (Vnix:.l.il:nn. zzvcn trig rvvwer tn tia..-Ii moticv hv direct laxatmii and III? sn;ii'cc tiigcliigii '-riln Fcrlcral siiusirlics was in- trtiderl in be :'ll.'lICiCrltv to rarrv on t'nr- Provincial public services. Fhe Federal Government was rivcn the flcld of indircct taxa. iion arxl an nvrrridlnvg poiicr to l':iiSl-1 iiiinioy by uyy mode of

taxation.

"rho original intention was that each should keep to its own sphere. but with the largely in- creased Federal expenditures for wartime purposes in the first and second World Wars the Dominion imposed Income. Corporation and Succession Duty taxes. all direct taxes. and by doing so. sharply affected .the Provincial results from those spheres. The dual taxation became a source of con- siderable resentment and dissatis- faction. especially with two con- flicting collection agencies and the double burden of administra- tive costs.

"This led to the tax rental agreements mentioned before: but it also left Provincial Govern- merris more and more dependent on the Federal Government for the main source of their income.

"When the Federal Govcrnimcnt sought constitutional al'l'l(tlldifllPfllS to enable the introduction of the contributory Old Age Pension sis- iem, the Provinces sought to re- gain in some measure their pro- per independence of action by in- sisting that as the Dmitiiiiun had invaded their lcgiiltnatc tax spheres and so limited the im-

eauu they could couoet train them. then the Provinces should be able to enter the Federal in- direct taxation sphere and by so doing limit the amount the Fed- eral authorities could collect from sales taxes. Actually. what is being denounced by the Tory party spokesmen is probably the greatest Constitutional victory the Provinces have achieved since Confederation.

"The power to tax does not mean that it must be exercised; and while other Provinces already do so. that will only leave this Pro- vlnce in a. preferred position and as long as we remain in power we will see that it does maintain that position. -

”ln closing may I say that the

Liberal Government has in all things acted in your interests; that US policies are dictated by

consideration for your welfare and if rc-elected on April 36 next will continue to perform the functions of Government, as a public trust for the benefit of all.

"On behalf of the Liberal party I

we solicit your support for the local candidates so as to ensure

a continuation of Liberal and pro- '1

gt-ossivc policies."

THE GUARDIAN; TOWN

Thumbs Down On Price Control

OTTAWA. April 11 - (CF) - Finance Minister Aibbott turned thumb: down in his Commons budget speech yesterday on sug- gestions that the Government im- mediately reimpose price con- trols.

He dealt extensively with the high cost of living. tenmed it I world-wide problem not peculiar alone to Canada and reiterated the government's view that this is not the time to embark on I program of wide controls.

He said:

"If we rcach a point where we

believe a much wider range of direct controls would be in the national interest we shall use

them, but we are not. prepared to embark upon a premature pro- -gram which under present con- ditions would. in our judgment.

icrcate more confusion than sta- . bility."

I Mr. Abbott reviewed the steps 'the government already had lak- Ien to fight infll.tion-cuirtiailing-

.to see evidence

expenditures. following a pay-an you-go fiscal policy and curbing the expansion of credit. It would continue to develop and apply those policies. It asked individ- uals. business and municipal and provincial governments to reduce their expenditures.

He said price increases in Can- ada during the last year have been "more moderate" than in other comparable countries.

While 1050 wholesale prices went up 15 per cent in Canada. they advanced 19 per cent in the United States. 22 per cent in Australia. 23 per cent in the Un- ited Kingdom and 20 to 25 per cent in most of the western European countrics.

Mr. Abbott promised that the lighter credit" policies. striking at the root causes of inflation and

coupled with similar action in the United States, will have "a growing importance in holding prices down."

"They take some months to show their effects on excessive

purchasing and the rise of prices." he said. "but already one begins of their influ- cnce."

He noted that Trade Minister Howe already is applying direct

KING IIIIIE

TEA

Iltiuiriril 4IIl1lI'l'lltlUIlS

controls on the allocation and use of steel and certain other ma- terials. Mr. Howe had powers to extend those controls when that appeared to be "necessary and desirable."

Greater production would help to conquer inflation, but it was not a matter of people working iiardcr and longer. Productivity also was a reflection of efficient busines management and it cal- led for mutual confidence and good working relationships be- tween managoment and labor.

Individuals and business should try to save more, both to cover the increase in capital invest- ment expected in the country and

to restrain the rising trend in consumer spending.

APRIL 12. M 13;;

TNIIRS. FRI. & SAT. SPECIALS!

In spite of the rising costs your new GREENDAL Store insists on giving you these special offers.

All-Wool English GABARDINE SUITS- newest shades. Regular 359.50-NOW ............ 849.50 Special group of COATS and SI-IORTIES ........ 019.50 Repeat offer deep lace trimmed SLIPS-

Regular'S1.95-NOW ....................... ...... 81.49 New Cotton House DRESSES, reg. S135-NOW S149

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150 Great George Street

-.-i.g,':.: -'-.: m.

lit-Efafgflfxlfaafe,

IIIIIIIIII

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The fine smart covcringts are rlew

Just Arrived! Big Carloacl Shipment of New I95l Famous

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NOW SHOWING AT'

iOLMANlS

BOTH

Summerside and Charlottetown

Brand new Kroeliler Suites and they're perfectly beautiful, theres a whole carload between Thcsc Kroehlcr Suites are in new styles but they are built with the same careful Kroeh- famous Kroehlcr ”Cushionizerl Construction" is one of their outstanding features. and different. Come in and see the new Kroehler Chesterfield Suite to-

day-they're wonderful!

4 Only Suites

0n Sale At Summerside REGULAR 220.00 to 390.00

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l75'ooto 29530.

Clearing! l2 Floor Samples Suites

AT BIG SAVINGS THURSDAY -- FRIDAY -- SATURDAY -

STORES

is

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0nIy Suites

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lu5.00 -to 2 5.00

I

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