ANOTHER ELECTORAL WARNING FOR THE GORTON GOVERNMENT

"There is a particular lesson for the Prime Minister (Mr. Gorton) in the result of the NSW poll. The Labor Opposition in NSW fought the election almost entirely on the issue of rising prices. The fact that the well-entrenched Askin Government suffered a setback is clear evidence that the voters are concerned with the question of inflation. Many people believe that the issue of rising prices was an unspoken factor that affected the Government's vote in the Senate elections last November. Although one cannot make direct comparisons between State and Federal elections, the result in NSW will encourage Mr. Gorton in his current campaign against inflation. " - The Age's chief political correspondent in The Age, (Melbourne), February 15.

The NSW State elections leave no doubt that the Gorton Government is now living on borrowed time. The electoral swing away from the Country Party was even greater than the swing away from the Liberals, confirming the view of many objective political observers that unless something constructive is done before long to ease the growing financial pressure on the rural communities, the Federal Country Party will be the major Achilles heel of the Liberal-Country Party Coalition at the 1972 Federal Elections.

Nothing, which Prime Minister Gorton has yet proposed, will do anything to improve the finance-economic position. His "tough" measures can only result in disastrous economic consequences. These "tough" measures have now been used at the behest of the Government's top bureaucrats for twenty years, and the overall result has been progressive inflation. Interest rates have been progressively increased from 41/2 per cent in 1949 to 81/4 percent, today. Governments are taking an increasing proportion of the individual's income, with the result that today the individual surrenders approximately 40 percent of his total income to Government.

The famous Marxist theoretician Professor Harold Laski said that from the Socialist viewpoint the best Government was that which taxes heaviest and spends the most. If the taxation increases of the past twenty years are maintained, it will not be long before the so-called free Australian will be surrendering half of his income to Government, which will allow him some of it back - but under conditions dictated by the growing army of non-elected officials.

Australia is on the Liberal-Country Party Socialist road to serfdom. Should the Labor-Socialists come to power in 1972, as well they may on present indications, Australia will continue on the same Socialist road now being travelled - but at a much faster rate.

If a grass-roots electoral upsurge could force the Federal Coalition back to its founding principles, the Labor-Socialist challenge could be defeated. It is clear that days of deepening crisis are ahead.

ARE YOU READY TO FIGHT THE COMING DEPRESSION?

SELLING AUSTRALIA

"Sydney - Prospects of much bigger Japanese investments in Australia strengthened yesterday in statements by a special finance and investment mission. Members and associate members of the mission comprise Japanese banking and finance house officials, economists and the president of the Tokyo Stock Exchange, (Mr. Teichino Morinaga), who heads the team. At a press conference they described Japanese investment in Australia as being 'at a very initial stage.'" - The Age (Melbourne), February 9.

This news item is an ominous indication of the shape of things to come. One of the most dangerous myths of our day is that nation's become wealthier as a result of exporting more than they import. This is known as a "favourable balance of trade". The truth is, as Queensland economist H. Herbert has recently pointed out, that for some years Australia's so called favourable balance has only been achieved by a flow of foreign capital. Most of this "capital" is nothing more than a transfer of figures in bank ledgers. This then permits Australians to work upon their own mineral and other wealth, feeding clothing and housing themselves.

As Mr. Herbert has suggested, it would be much more sensible for Australians to write their own financial credit in their own bank ledgers and retain control of their own resources. But if the continuing sell-out continues, Australia will become a type of offshore island quarry to feed the Japanese economy. The logical final result of increasing Japanese investment will be a collapse of Australia's immigration policy in order that Japanese may live in Australia. We wonder what the survivors of the frightful New Guinea campaign think of this naked betrayal.

TO MARKET, TO MARKET

"Labor M.P.'s who oppose British Common Market entry are claiming that a week-end speech by the Opposition Leader, Mr. Wilson, indicates he will ultimately join them" - The Australian, February 16th, 1971.

We have always been of the opinion that Mr. Wilson would jettison his pro-Market stand if it were obvious to him that in would lead on to Political extinction. There has always been a strong anti-Market element in the British Labor Party, stemming from the days when Mr. Hugh Gaitskell was the Leader of that Party, and when the official policy of British Labor was anti-Market. That policy was reversed under Harold Wilson.

Mr. Heath has always been a fervent pro-Marketeer, and in the MacMillan Government was the chief negotiator, seeking Market entry for Britain. (Many League supporters will remember Mr. MacMillan's "offshore islands of Europe" speech in London a few years back). Mr. Wilson is obviously waiting and seeing.

Anti-Marketeers now claim a majority in the Parliamentary Labor Party. British public opinion is decidedly anti-Market which just goes to show what a meaningless word 'democracy' can be, and confirms our long-held view that most powerful forces of an international nature are operating silently in the background to bring pressure on that 'tricky mechanism', parliament, to jockey Britain into this political trap called the Common Market.
The valuable anti-Market educational work of League associates and allies in Britain is continuing apace.

BASIC FUND'S BIG ADVANCE

AUSTRALIA'S CHINA POLICY SHIFTING?

"The Australian Government has not yet hinted at any changes in its China policy, although we know that a major review of it is under way in the Foreign Affairs Department". - The Australian Editorial. February 16th 1971.

It is quite obvious to experienced political observers that Australian public opinion is being 'prepared' for Australian recognition of Peking. In the United Nations the annual vote for Peking's entry has been growing closer and closer. Canada has only recently given recognition, and been rewarded with a fat wheat deal. Mr. Anthony the new Federal Parliamentary Country Party Leader, is no doubt licking his lips in anticipation, expecting than such Australian recognition will relieve him and his colleagues, now sorely pressed electorally, of the wheat-surplus 'hot potato'. (Could we again remind the readers that trade to the Communists is a weapon of war!)

Mr. Santamaria, President of the National Civic Council, is reported to have said that recognition of foreign governments should depend not on moral judgments, but on who effectively controls the territory; which is a big shift in policy for Mr. Santamaria, if he is accurately reported. Perhaps the Country Party and the D.L.P. sense that the U.S.A. is only a short time away from recognition of Peking, which appears right enough and don't wish to be caught out on a limb.

Whatever their beliefs concerning the short-term advantages of recognition of Peking, the long-term implications will be quite disastrous for the West. Without having to go into details, Peking's psychological victory would shake the remainder of South-East Asia not yet under Communist control, into a 'softer' line towards Communism, and there would be a flood of Red Chinese 'diplomats' into Australia and the U.S.A. to step up enormously their propaganda and espionage.
But our 'astute' politicians don't choose to see that far ahead.

THE DOCTORS' DILEMNA

"The Australian Medical Association is expected to hold a poll of its 14,500 members on the fee rise dispute." The Age February 16th, 1971.

It is our opinion that the writing is on the wall as regards the nationalisation of the medical profession. The automatic inflationary factor in the present finance-economic system will, (and is) forcing doctors, along with all other business and professional men, into a financial corner. The smaller businesses will be squeezed out first. The rural community has been hardest hit thus far because it has much more difficulty in passing on costs; as the prices of primary products are set by and large by overseas conditions over which the rural community has little control. Smaller businesses are about to be assailed by the cost-price squeeze, which will intensify as the inflationary spiral swings ever upwards.

Anticipated 'anti-inflationary' measures to be imposed by the Federal Government are now imminent and these, probably of the nature of higher interest rates, and a crackdown on hire purchase, will come if announced methods are not successful and will make conditions even more difficult.

Doctors are no different from any other sector of the community with respect to their accounting procedures. Their costs are increasing along with all other sectors of the community. Their cars cost more to run; their accounts cost more to post; their receptionists cost more to employ, and so on and on. Realistically, it is quite unfair to single them out, as the Prime Minister has singled them out, for unjustifiably increasing their fees. The 'sin', which the doctors have committed here, is that they may well upset the Government's National Health Scheme.

Mr. Gorton has threatened doctors with a 'participatory' plan if they won't toe the Government's line, or at least submit to independent arbitration. Whatever the choice, the result will be that doctors will have forfeited their right to determine their own fees, and will be one great step nearer to nationalisation. The cynicism and hypocrisy of the politicians is highlighted by the fact that they themselves are acutely conscious of inflationary factors inasmuch as they hand themselves most liberal salary increases from time to time. The doctors don't really have very much time left to organize themselves to resist the onslaught of socialisation of their profession.
The Australian League of Rights is prepared to assist doctors to do just this.

AUSTRALIAN LEAGUE OF RIGHTS ANNUAL SEMINAR