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ESSAYS IN PERSUASION

PART

nature will, we can be sure, come to the rescueof human wrong-headedness.

This is not to say that there are not other waysin which we can help ourselves. I am not con-cerned here with the possible advantages—forexample—of a Tariff or of Devaluation or of aNational Treaty for the reduction of all moneyincomes. I am simply analysing the results tobe expected from the recommendations of theEconomy Committee adopted as a means of re-ducing the uncovered deficit of the Budget.And I should add, to prevent misunderstanding,that I should prefer some of their recommenda-tions—for they have done their work in detailwith ability and fair-mindedness—to most kindsof additional taxation other than a tariff.

My own policy for the Budget, so long as theslump lasts, would be to suspend the SinkingFund, to continue to borrow for the Unemploy-ment Fund, and to impose a Revenue Tariff.To get us out of the slump we must look to quiteother expedients. When the slump is over,when the demands of private enterprise for newcapital have recovered to normal and employ-ment is good and the yield of taxation is increas-ing, then is the time to restore the Sinking Fundand to look critically at the less productiveState enterprises.

(iii) The Economy Bill (Sept. 19, 1931)

The Budget and the Economy Bill are repletewith folly and injustice. It is a tragedy that the