AN UNHOLY ALLIANCE

There is an old saying that one should not look a gift horse in the mouth. This is how we felt when we read that ACTU President R. Hawke had put forward a proposal that if the Government would reduce indirect taxation, thus reducing the price of many basic items in the economy, then it could be possible to persuade wage earners to agree to a halt in wage increases.

A number of business leaders agreed that the Hawke approach to inflation had merit. But Prime Minister Fraser made it clear that he could not accept the Hawke proposals. Much as he would like to reduce taxation, which he admits is far too high, he was concerned about the Government's deficit. The Prime Minister's obsession about the deficit prevents him from seeing that unless he can reduce financial costs, he has no hope of averting even worse disasters than those of the past twelve months. And the Government's failure is the Marxists' delight.

The most significant reaction to the Hawke proposals came from the Marxists, who lost no time in organising in the Trade Unions to oppose the proposals. There was a type of unholy alliance between Prime Minister Fraser and Communists like Mr. John Halfpenny in rejecting the Hawke anti-inflation policy. The Marxists reject any policy which will start to move Australia off the disaster course on which it is now moving.

When the Queensland Premier, Mr. J. Bjelke-Petersen, first outlined in 1974 what later came to be known as the "Petersen Plan", the Marxists immediately sensed danger and used their influence either to have the "Petersen Plan" denigrated or given the silent treatment. They have been assisted, unconsciously, by the stupidity of many Government supporters. And by the stiff necked attitude of those who lack the humility to admit that they might have learned something from the Queensland Premier.
The mounting national campaign of smearing the Queensland Premier is designed to reduce the influence of the one non-Labor leader who has come forward with some constructive ideas for reversing inflation.

Irrespective of what he does under present financial policies, Mr. Fraser is doomed to preside over increasing economic and social disintegration while he adheres to those policies. But he doggedly keeps on insisting that his policies are succeeding, although recent appeals to the nation indicate a feeling of desperation.

In an address heavily laced with rhetoric, Mr. Fraser issued a type of SOS in Parliament on Tuesday of last week, December 9th. Australians were urged to pull together without any specific advice on how this was to be done. Although insisting once again that the Government's measures "have been the right ones" Mr. Fraser then said "the Government cannot do it alone. In the battle against inflation any Government needs the support of all Australians. We need to find a national will and determination to overcome inflation."

All the will and hard work in the world will not, of themselves reverse inflation. Continuing inflation is a mathematical certainty under financial policies, which generate increasing debt and crushing taxation.

NO PROGRESS AT GENEVA

After a brief return to the Geneva talks on Rhodesia, Rhodesian Prime Minister Ian Smith went back to Rhodesia after observing that no progress had been made. Upon his return to Geneva Mr. Smith had warned that the Geneva Conference would have to be adjourned if it rejected an agreement he had made with Dr. Henry Kissinger.

Before leaving Geneva Mr. Smith said that "We have to get away from the rarified atmosphere here where the black nationalist delegation leaders are using the conference as a public gallery."

From London comes the report that Dr. Kissinger was taking an active interest in the Rhodesian question and had received Mr. Mark Chona representing President Kaunda of Zambia. Rhodesia is a major factor in the Soviet's strategy for Southern Africa. 150 delegates from 60 countries, including the Soviet Union, met in Ethiopia late in October for a two-day conference in support of the struggle in Southern Africa. The Soviet delegate at the conference, Fifryat Tabeyev, a member of the Supreme Soviet Preasidium, told the conference that the destruction of South Africa would be a major contribution towards international "peace".

Rhodesia obviously must go first. Every form of international pressure is being applied to this little country, with the terrorists now playing a major role. Mr. Robert Mugabe, self-proclaimed Marxist and leading figure at the Geneva talks, is now a major international revolutionary figure. When he visited Dublin in May of this year he was warmly welcomed by leaders of the Provisional I.R.A. He was then taken to Belfast to meet I.R.A. terrorists. He now figures prominently in I.R.A. revolutionary literature circulated by the Provisional I.R.A.

According to a contributor to the British "On Target" of December 4th, "a 15 strong training unit of the I.R.A. is at present in Mozambique giving fraternal weapons training and instruction on how to turn an African bush war into the kind of guerrilla struggle that will be required, if the sophisticated and industrialised white dominated nations of Southern Africa are to be brought to their knees."

In the meantime the Rhodesians are holding on, their troops, both black and white hitting the terrorists hard. The cold-blooded killing of Roman Catholic clergy has shaken a number of starry-eyed Christians. The major question now is whether the non-Communist world can come to an understanding of the reality of the Rhodesian issue and take action while there is time. The information in this item might well be sent to Federal Members of Parliament.

THE PLUMS OF POLITICAL OFFICE

BRIEF COMMENTS

Those who have read the Crown Commonwealth League of Rights report to the 1976 World Anti-Communist League Conference, "A Programme for Halting the Financing of Economic Blood Transfusions to the Communists" ($1 posted) are familiar with the building of the Kama River truck factory by Western industrial organisations, the credit being provided by the American Export-Import Bank and David Rockefeller's Chase Manhattan Bank. Truck production is now under way with all trucks going to the Red Army. The official daily publication of the Red Army, "Red Star", has published a number of photographs of the trucks loaded with cannons and other military equipment.
Western technology is now to be used to build a huge truck plant in Communist Poland, this for manufacturing light trucks. General Motors is building the plant, with the American Export-Import Bank providing the credits at a low interest rate.
The American Federation of Labor has protested to the Export-Import Bank President, Mr. Stephen M. DuBrul, not to grant the credits to Poland, fearing that trucks built by Poland could then be dumped on the American market. Surely it is commonsense to suggest that if Western credits can be made available to subsidise the Communist enemy, credits can be made available to enable consumers in non-Communist nations to gain full access to their own production.

The recently signed agreement between Thailand and Malaysia, to combine to clean out Communist insurgents along the 363 mile Thai-Malaysia border, has been warmly received throughout South-East Asia. Contrary to the assurances given to Prime Minister Fraser in China earlier this year, Communist terrorists throughout South-East Asia are supported by Peking. They have stepped up their activities since the fall of South Vietnam. The dense jungle along the Thai-Malaysia border has long provided cover for the Communist terrorists. The joint anti-Communist action by Thailand and Malaysia stems primarily from the change of Government in Thailand.

"Border talks" between Peking and Moscow, indicate possible changes in their relationships. Hua Kuo-feng still criticises Soviet "revisionism" but it is clear that he is seeking Moscow's support for his position, which is far from completely secure internally. Hua has openly indicated that he favours an increased flow of American technology, which he hopes would lead to early American diplomatic recognition.
The improvement in relationships between Moscow and Peking should remind wishful thinkers that the basic difference between the Soviet and Chinese Communists is only one concerning the best tactics for conquering the whole world for Communism.