FEDERAL GOVERNMENT KEEPS SCREWS ON STATES

Mounting public opinion has forced the Federal Government to make a few financial concessions to the States. But it would be an extremely superficial view to claim that the Loan Council meeting in Canberra last week did anything to remove the basic cause of the growing Federal - State friction. The Advertiser correctly explained the situation with the observation that Canberra has temporarily released the screws on the States, without removing them.

The Federal Government's attitude was made quite clear: The States would be kindly permitted access to a little more of the money which comes our of the pockets of the taxpayers, either directly or indirectly, but they must understand that they must approach the Federal Government as mendicants and be grateful for any morsels which the Federal Treasury may feel disposed to grant them. They are expected to be subservient to the Federal Government.

There were some optimists who thought that Prime Minister Gorton might use the opportunity of the Loan Council meeting to produce some formula to set the States on the road back towards some real autonomy. But, backed by the centralists in the Federal Treasury, the Prime Minister clearly revealed that his concept of a non static Federalism, as mentioned at the recent Federal Pary Conference in Canberra, is one with increasing power for the Federal. Government. His slightly better temporary deal for the States, with the exception of South Australia, merely emphasised how completely dependent the States are on Canberra's handouts. The NSW Premier, Mr. Askin, has observed that continuation of the present tax reimbursement formula must "knock Federation into a cocked hat." Victoria's Premier, Sir Henry Bolte, put it bluntly: "We are completely at your mercy.

The Liberal Government led by Prime Minister Gorton will go on paying lip-service to the principles of Federalism. But at the same time the policies of the Gorton Government will continue to erode the few remaining sovereignties of the States. It is ironic that the one man who strongly enticised Prime Minister Gorton last weeek, Labor Premier Dunstan of South Australia, is one of the most able exponents of the Fabian Socialist objective of ultimately replacing the States with a system of provincial governments acting as little more than administrative instruments of the central Government. Prime Minister Gorton's policies axe preparing the way for the ultimate Socialist objective. This fact is becoming more widely recognised by Australian electors, with the result that many have come to the conclusion that it does not really matter if they vote for Mr. Whitlam's Party.

The Australian Federation, and effective self government, can be revived. But it requires that the rank and file members of the Liberal and Country parties return to their foundation principles. The next Senate Elections provide an excellent opportunity for electors to make it clear to Prime Minister Gorton that his road to the centrally planned Socialist State is not acceptable.

SOVIET SEEK TO EXPLOIT CROWN

The Queen has already been forced by British politicians to receive criminal gangsters from the Soviet Union. But surely the new British Conservative Government will not sink so low as to permit the criminal gangsters in Moscow to exploit still further what should be the custodian of the soul of the British world. A Soviet visit by the Royal family would be a major blow to the hopes of many victims of the Communist tyranny, who still cherish hopes that the West will eventually enable them to gain freedom. A Soviet visit by the Queen would enable the Communist conspirators everywhere to project a more favourable image, and to smear anti-Communists as "reactionaries" opposed to "peaceful co-existence."

The Soviet proposal for a Royal visit is no doubt only one of "kite flying" at this stage, to test reactions in the United Kingdom. Australian patriots can help to ensure that these reactions are strongly unfavourable to the proposal.

STATEMENT ON FUND POSTPONED

SUBSIDY TO GOLD INDUSTRY EXTENDED

"The Gold Mining Industry Assistance Act is to be extended for a further three years. The act was introduced in 1954 against a background of a fixed official price for gold and rising costs of production. About $38 million has been paid to gold producers since the inception of the act." - The Australian, 24th January.

The gold mining industry is caught in the same "cost price squeeze" undermining other industries much more valuable than the gold mining industry. It would be instructive to learn from the Government and its "advisers" why it is sound to apply a subsidy to help the gold mining industry meet the "cost price squeeze", but not sound to apply this principle to, for example, Australia's most valuable rural industry, the wool industry. And wool is much more useful than gold.

MR. HEATH PRESSES ON TOWARDS THE COMMON MARKET

The big business and banking interests responsible for pushing Britain towards the Common Market are increasing their pressure on Mr. Heath and it can be expected a major drive will be made to over come all opposition to entry. In the face of every measurement of public opinion showing the British people opposed to entry by a huge margin this constitutes blatant autocracy and conspiracy by a ruthless minority interest.

Further information indicates what is involved. The Australian of 29th May published a report which quoted Market representatives in Brussels who said that Britain must commit itself to joining the E.E.C. in a full economic and monetary union - including a common European currency - before it can be admitted to the Common Market.

This is just another indication that the purpose of forcing Britain into such a union is to destroy her national identity. Mr. Heath is a pliable tool in the hands of forces working against the freedom of the British people. With a total vote of 67 per cent in the recent elections there is no doubt that many who are opposed to Britain's entry into Europe were effectively disenfranchised. Were they able to join with all those similarly opposed their voice would be overwhelming against Mr. Heath's traitorous intentions.

SIR WILLIAM GUNN CRITICISED

In criticising Sir William Gunn, Mr. Hitchins pointed out that since 1958 wool growers had financed the Wool Board under Sir William's direction to a sum of $300 million and yet today wool has been degraded in importance as a commodity and a world medium.

Mr. Hitchins was critical of Sir William Gunn for contradictory statements to overseas buyers at an international meeting at Monaco. It appears from Mr. Hitchins remarks that international buyers were suspicious of any plan to sell wool under acquisition, and while Sir William has been one of the main promoters of such a scheme at home in Australia he has been assuring the international buyers that the free auction system will remain.

Sir William also according to the report containing Mr. Hitchins remarks assured the Monaco conference that "increased efficiency was the essential requirement for the survival of the industry." It might be instructive if Sir William would explain to Australia's wool producers why he himself deserted wool production for beef production while continually exhorting his fellow growers to become more efficient. We would suggest the real answer is that Sir William knew tbe problem facing wool growers was not that of increasing their efficiency, but that they were facing 'economic policies that the governments have decided to follow', to quote from his address to the Institute of Directors of NSW in
1958.

Sir William made it clear that he believed these policies would bring about the destruction of many wool growers and the amalgamation of properties. It is interesting to note therefore that The Age in an editorial the following day after Mr. Hitchins statement supported a similar policy for wool growers to that proposed for the dairying industry - in short amalgamation through economic pressure. Mr. Doug Anthony in an address to the Queensland Young Country Party conference has now extended the whole field of amalgamation. He advocates it be applied to the wheat, canned fruit, dried fruit, and apple growing industries, and some parts of the wool industry.

It would be just as possible for the "economic policies which governments have decided to follow to reverse the process of amalgamation and ensure the future of more men on the land, not less. The outcome depends upon sufficient understanding by sufficient electors to reverse present trades.
We do not subscribe to the inevitability theories promoted by the monopolists such as Sir William Gunn and Mr. Anthony.

STUDENTS BACK LANGER

With choice duplicity, typical of Marxist-Leninist oriented revolutionaries, the Executive went on to claim that Langer's exclusions were transparently political. If this means that the governing bodies at these universities wish to avoid revolutionary disturbances at their universities, then their decision is the correct one of course; and one which the great majority of decent, intelligent, young Australian students would endorse. The agitation for Langer's re-entry into these Universities is itself "transparently political", with a vengeance. The Executive further called for the "Strongest possible protest" by all students, and "strong action" by students at Monash and Melbourne Universities, in particular. And this, before even the re-entry of the revolutionary pest had been considered by the relevant authoritites.

We were very pleased to note that the Vice Chancellor of Sydney University Professor B. Williams expelled two students for misconduct in the first half of May, this year, thus setting a salutary precedent for his professorial colleagues of other universities follow . We earnestly hope that Melbourne and Monash Universities will stand fast on their decision, and not allow themselves to be intimidated by a bunch of scatter brained adolescents, who are hopelessly infected with the viruses of Marxism and anarchy.