J.
EMBARGOED: Not for publicationr.
before 2 pm Perth time
24th July 1976.
NATIONAL COUNTRY PARTY OF AUSTRALIA
1976 ANNUAL CONFERENCE
Address by the Acting Prime Minister, Minister for National
Resources, Minister for Overseas Trade and Leader of the.
National Country Party, the Rt. Hon. J. D. Anthony, M. P.
SHERATON HOTEL
PERTH
Saturday, 24th July, 1976
a visit to Romania and the Soviet Union. I've already made
some comments about my disucssions in those two countries, both
of which will', I believe, assume increasing importance for us
as trading partners.
As I said on my return, it is very hard in a centrallyp].
anned economy to know what they are thinking; to know to
what extent trade and politics become intermingled. Ho-.: ever,
I think it is extremely important that we build up close contacts
with the people in these countries who make . the decisions on
trade. Without that contact, the job of trading is made so much
harder. People in countries like Romania and the Soviet Union
find it difficult to fully grasp our free enterprise system where
the Government is involved to a minimum extent, while we find it
strange dealing with countries whose governments virtually own and
control everything. The more personal contact we can have with
them, the greater the opportunities for bridging this. gap, and for
promoting trade.
It has to be understood, of course, that when a minister
visits another country for discussions, he does not go there as
a travelling salesman, with a bag of samples and an order. book.
lie goes there to try to establish the relationship and environment
that will encourage and facilitate trade. We negotiate trade
agreements for that purpose. We set up joint ministerial commissions
for that purpose. We talk with ministers and officials to assure
them of our desire to trade, and to be a stable, dependable trading
partner. We establish the framework. But -then it is up to the
private sector, or to the trading authorities with our active
encouragement and support to do the business.
For example, while I was in Moscow I naturally raised
the question of our desire to make further sales of beef.. We
already sell a number of primary products to the Soviet Union, and
we have made good sales of beef in the past. At present, of
course, there is a very large stockpile of beef in Europe which
overhangs the world market and makes trade very difficult.
Nevertheless, the Soviet authorities assured me that Australia
would continue-to be considered as a source of meat. There is a
shortage of meat in the Soviet Union due to last year's widespread
drought but, as I said, there are large stocks of meat in Europe
which have a bearing on our chances of selling meat to the Soviet
Union at present.
Nevertheless, the chairman of the Meat Board, who was in
Moscow with me, and who stayed on for further discussions, will
be pursuing this matter and I hope we will see some worthwhile
results before too long. A buying mission fro. . Romania will be in
Australia shortly to look at the possibilities of buying meat,
dairy products and sugar from us.
A very important point about trade, of course, is that
countries must be able to sell things before they can buy things.
They have to earn the foreign exchange to pay for their imoorts.
That's why it's important that we give countries like Romania
and the Soviet Union opportunities to sell to. us, and a large part
of my discussions was devoted to this aspect of the matter. S../ 2
As soon as the Prime M inister returns to Australia on
6th August, I will be holding discussions with another country
Iran in a part of the world which also will becorme, I believe,
very significant to Australia. I : will then be making brief
visits to Britain and Germany to discuss matters related to my
responsibilities in both trade and national resources.
S Coalition difficulties in Western Australia
You have been through a year which, to say the least, has
not been without interest as far as your experience of coalition
has been concerned. You have been reminded that successful coalitior
which can bring very great benefits to a State and a nation, demands
constant work and attention if it is to remain successful. There
must be a continuing effort by each side to understand each other's
point of view. There must be no tendency for one side to try to
dominate-the other, otherwise strains and stresses will be created.
In arriving at decisions, the views of each party, and the
responsibilities of each party, must be taken into account. The
experience of-the Liberal and National Country Parties in
Canberra over sonething like 27 years proves that successful coalitic
can be achieved and maintained provided there is a basic, underlying
unity of purpose, and a continuous, conscious determination
by the leaders and others to make coalition succeed.
I'm delighted that, after the difficulties you have
experienced in the last year or so, the coalition in this State
has been restored. But I am very concerned about developments
which seem to me to raise a real threat to the future successful
existence of the coalition here. I do not believe a coalition can
survive if ministers in the Government are opposed by candidates
endorsed by the other partner. For many years there have been
pressures for this sort of thing to happen in the federal coalition,
but the party leaders have strenuously and successfully resisted
these moves. We have resisted them often despite very strong
feeling within our own party ranks because we know that th. iis
kind of situation would make proper functioning of a coalition
cabinet almost impossible. I think it must be clear to anyone
that a minister trying to serve his Government well, and trying
conscientiously to be loyal and responsible to his colleagues,
must find himself in a very difficult situation if those colleagues
are allowing him to be censured, in effect, by being subjected to
an electoral contest with his coalition partners.
I don't think it is good enough simply to say that no
understanding or arrangement about these matters exists. That
might well be true. But surely ifit is foolish zL do a thing,
then it shouldn't be done. If both partners believe coalition is
important and worthwhile, and if they believe coalition is good
for the State, and if they really want it to work, then perhaps
it's time an arrangement was worked out.
I don't think it's good enough to si.: ply say this is a matter
for the party organisations. Strictly speaking, no doubt, it is
a matter for the organisations. But that does not mrean that party
leaders are absolved from giving guidance and wise counsel, even
though such advice might not always be well received by the party
organisation. It is the party leaders, and the parliamentary
members, who carry the major part of the burden of Cc. oaakliintgi on
./ 3
1~ 1
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work and of providing good government. If their party organisations
contemplate action which seems likely to jeopardise those objectives,
then leaders must do w.-hat they can to see that a wiser course is
followed. All I can say about your situation here is that I hope wiser
Scounsel will prevail, and that people will see the dangers that
lie in the path to which I hope only for the moment they
have committed themselves.
S I hope both parties here will work to establish an agreement
as to the basis of coalition. And I hope both parties will accent
the need for very careful consideration of the way they act towards
each other; that members of both parties will keep very much in
mind the requirements for harmonious working relationships. If
these things can be achieved, then this State can look forward
-with confidence to. a continuation of good government.
Party's role and purpose
And in our own minds, there should be no doubt about our
own importance on the political scene, about our role and our
purpose. I say that because there are people who suggest today
that with the Liberal Party in such a strong position in the
Federal Parliament, the National Country Party is superfluous.
A few moments' thought about the Senate situation and the
. realities likely to exist after future House of Representatives
elections should quickly dispel that kind of thinking.
But there are much more fundamental reasons why this nation
needs a strong, vigorous, effective party like ours. Surely
the three years' of Labor Government demonstrated beyond all
doubt what can happen when a party with the great bulk of its
support concentrated in the metropolitan areas is elected to
office. Those three years saw the most serious neglect of and
vindictiveness against the non-metropolitan areas of Australia.
Policies we had fought for over the years, as a Party, were
abandoned, and the whole economy so damaged by Labor's reckless
spending in other directions that the new Government is very
much inhibited, for the present, in what it can do to once again
assist and encourage the great export industries and the people
in many cases country people associated with those industries.
There is a need, a -very real need, for a party such as
ours which is dedicated to looking after these industries, and
people, who are so important to the nation. LaTely we've been
seeing a spate of articles and editorials saying as they have
been for as long as I can remember that this Party is on the way
out; that it's losing its supporters. I wo:. er if the people who
write these things ever look at the results of elections? Or at
our membership? Or at our 23 members and eight senators the
most we have ever had? I wonder if they ever lock at the way
our strength grows not the kind of spectac'lar grow. th that's
likely to just as quickly evaporate, but real, solid, lasting
growth, and a stability that's the envy of other parties?
As far as I'm concerned and my Federal and State
colleagues will back me this Party knows where its strength
comes from, where its real. support lies, and where its future
will be, and we will not lose sight of any of these zhings. I!
Labor rejected by the people
Mr. C'hairman, on December 13 last year Australia to
borrow a phrase from Churchill gave a heave of its shoulders
and shook off the burden of the solialism which the Whitlam
years, as brief as they were, had begun to load on them.
Some people still do not understand what happened in that
election. They still confuse two separate happenings: first,
the-action by which the Governor-General resolved a Parliamentary
deadlock which threatened the most dire consequences for the
nation, and second, the action by which the people themselves
decided who they wanted to govern their country.
That deadlock saw a Prime Minister defying the Parliamentary
system and betraying his own principles to cling to power a
point which Mr Whitlam now carefully refrains from mentioning.
The Whitlam Government wasn't destroyed by the Governor-
General. It was destroyed by the Australian people, because
they'd had enough of it. The people, in response to Mr. Whitlam's
impassioned and repeated invitations, did express their judgement
on the Governor-General's actions, to the extent that the
Australian people not Sir John Kerr turned a Labor majority of
five into a Liberal-National Country Party majority of
Big majority not a licence
Mr. Chairman, some people might say that this big majority
gives us the power to do what we like: to run wild: to ignore
the needs of minorities: to let our overwhelming strength weaken
our judgement and our responsibilities. To me, the opposite is
true. Our big majority is not a licence to do what we like. It
is an instruction, a direction, a command to. do the job the
people gave us to do and to do it with resolution.
What is that job? It is to bring the national economy under
control; to clean up the mess; to rebuild. As I report to you
on the results of our work, on the progress we have made in our
first six months, I ask you to remember this: when you have a
train running downhill at top speed on the wrong line, it's
not a simple matter to pull it up, to reverse it back up the hill,
and then to get it heading in the right direction. That's the
kind of problem we face in getting the economic train under
control, and back on the right track.
What did we find when we woke up on the morning of December
14 last year? It certainly was no surprise to us to find this:
Sinflation running at 14%
Sthe worst unemployment for more than 4L years
San enormous budget deficit, and the prospect of
an even bigger one
Government spending getting to the point of being
completely out of control.
These were the elements of the problem we faced and
S'which we had been instructed by the Australianrpeople to get our
teeth into the night before. w, ee'llv, e taken the first bites.
We've got our teeth into the problem. And we're not going to
be easily persuaded to let go.
I think it's fair to say that, by the firm econo-ic measures
S it has already taken, the Government has let it be kno..: n that it
means business. We have moved to regain control of the national
S economy; to reassert control over fiscal policy. The loss of
S control which we now seek to redress should never have occurred.
The fact that it did occur explains why, as a nation, we are
in such a difficult situation. The economic measures we have
introduced are designed to begin, in a very substantial way, the
process of bringing inflation under control
Both before I left for overseas and since my return I.
have been engaged in discussions on the Budget which the Treasurer
will bring down on 17 August.
The task facing us was to draw up a Budget that would
continue to take account of the need for restraint in government
spending, but at the same time stimulate the restoration of
confidence which is . so urgently needed throughout the cormmunity,
and especially in the business and industry sectors. I believe
the Budget next month will show that we have been able to achieve
these two objectives in a very responsible way. But inflation
remains the fundamental probrem.
We simply cannot hope to permanently correct our very
serious unemployment problem, or the basic problems of our
export industries, until we bring inflation under control. Inflation
is the root cause of unemployment, and this needs to be fully
understood. So to fight the inflation menace, Mr. Chairman, we have
embarked on a program to reduce the budget deficit, to halt
the massive increase in government spending, and to persuade the
community of the need for moderation in , wage demands and price
rises. At the same time, we have shown ourselves committed to
looking after the less fortunate members of society. Indexation
of taxes and the new system of family allowances represent two of
the most far-sighted steps ever taken by a Government in this country.
Not only will they be of great assistance to individuals and families
but, even more significantly, they will do much -o increase our
chances of success in the battle against infla-icn and all its
evils. Inflation threat to exports
Historically, Mr. Chairman, the party to which we all
belong has placed great emphasis on the importa: nce of the export
industries. We have said that exDorts ar-e he lifeblood of
the nation; that they are the found atio on wic our rising
living standards are built because they earn the _ freign exchange
we need to pay for the things we import. Exports are vital to
the progressive development of our industry our primary industry,
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both agricultural and .? inng and our secondary industry. Without
*:. the capacity to export to the world, our industries are denied
the benefits of large-scale production, and the economies it
can bring. All this is well known to you. What you also : not
although the full seriousness of it has not yet bee. understood
by many people is that the whole basis of our expor: industries
is gravely threatened. This is the major point I want to make
to you today.
For many years I, and-others, have been issuing warnings
on the consequences of allowing our export industries to become
uncompetitive. If we allow that to happen, i is bad not just
for industries themselves it is bad for the whole nation.
Yet it is happening.
The cost structure of Australian industry, at all levels,
is getting so far out of line with -the cost structures of industry
in ' other countries that our own people simply cannot hope to compete.
Every day I'm hearing of export sales lost because our prices
are too dear. Our wage' levels are the highest in the world.
Wages in this country have risen faster and hi. her than in any
other country in recent times. This has put very great strains
on the competitiveness of our. industry
The situation is so serious that the viability of many of
Australia's farms, mines and factories is under real threat.
You all know what rising costs have done to the rural industries.
When you turn to the mining and manufacturing industries,
again there is cause for real concern. Not only is inflation
hurting these sectors in the same way it is hurting primary
producers: it is also frightening away the investment we need to
establish new projects, and to keep existing developments
profitable and competitive.
Unless inflation can be controlled, the international
competitive position of the minerals industry already in many
cases on a knife's edge will certainly be very seriously
damaged. One of our most efficient sectors, and probably the
one which has the greatest growth potential, could be severely
harmed. If it is, Australia will be the loser.
Getting mining moving again
Mr. Chairman, could I say something, in this great mining
State, about the Government's policies on minerals and energy
matters, for which I have some responsibility.
There seems to have been some unrealistic ex: ectation
that, almost overnight, the frustration and of three
years of Labor administration could be cleared away. . ot one
major mineral project got underw-ay during t-. cse th-ree years. IF
anything, during that period, several promising proje-Ts had
impediments put intheir way. / 7
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I think one of -the : most powerful forces inhibiting
development then and now is the fact that, during those same
S three years, the economy, of this Vaas managed in such a
reckless . and profligate way that the c.. r. ercial viabii y of
many proposed and even: existing projects has been placed in
question by excessive inflation.
:: Our approach in the first-few months of-office has been
. to. remove the. impediments and roadblocks to clear. The way for
future growth. We have been seeking to re-esT -i sh the
foundations for business . confidence. . But aft--he ravages
rought over the three years of the former
administration, this cannot be accomplished o. rnight.
Even so, progress has been made. As you know, there are
a number of necessary steps before the constr'ction phase of a
project is reached. Quite apart from the planning of the project
-and the organisation of the construction, there are feasibility
.:-.-studies to be carried out, contracts. to be negotiated and funds....
to be. marshalled. Even the projects that have been marking time
for the past few years need to be re-examined and re-assessed.
Since we have come to office, companies have set about the work'of.
bringing their projects to the stage where they can get underway.
In-a few moments I'll give you a very quick list of the
things I've been doing in an effort to get the mining industry
back on the road to recovery.
But first let's look at one or two specific . areas,
Foreign investment for example. Our foreign investment guidelines
make it clear that we want to see foreign investment here. The
guidelines recognise Australia's need for foreign investment.
If foreign investors remain unconvinced on this point,. it is not
for want of assurances o; n my part or on the part of my
ministerial colleagues. I wish I could say the same for all
within the community. Every time some public figure, in this
State or elsewhere, attacks the guidelines he is simply compounding
the likelihood that investment will be scared off.
What the Commonwealth wants is this: First we want to see
our mineral resources once again being developed. Second, we
want to see Australians given the opportunity To participate
in that development to invest in it. Third, . we want to encourage
the foreign investor to join in the develop. ent of our resources
for several reasons: because we simply haven't got enough capital
of our ownbecause we need the skills and The market outlets
that come with foreign capital; because we desperately need the
new jobs that foreign capital can provide, and the new development
it can bring.
Our guidelines are designed to. achiev. e -th-se objectives,
and to achieve them without placing any hinr-.: ne in the
way of development. We have set up an inrep.:. e.--t board of
review which includes men with the experi._-e T_ know and
appreciate the problems of business to advise us on foreign
investment proposals. / 8
The inability of Australians to take the opportunity
to invest in new projects w.; ill not, in itself, mean that those
projects will not go ahead. But the Government believes
Australians. should have the chance. We've said we wi l,
as a general rule, only approve new projects if they have at least
percent Australian equity. But if foreign companies genuinely try
to raise half their equity capital in Australi a c't, then
the projects will not be prevented from going ahead wizh more
than 50 percent foreign ownership.
With uranium, the situation is different. Uranium is a
unique, highly-sensitive material in every way. It would be
quite unrealistic to believe that the great rajority of the Australi;
people would accept substantial ownership or cc-rol of this very
important and strategic resource by foreign cc-. anies or foreign
governments. So in the case of uranium, we have laid down a firm
rule that there must be at least 75 percent Australian ownership.
And I'm quite certain there will be no trouble at all in finding
Australian capital to meet that rule.
When I'm in Europe and Britain shortly, one of my most
important tasks will be to reassure investors there that we need
their capital, we want it, and that it will be welcome here under
our investment guidelines. In so doing, I shall be lending emphasi
to the message already conveyed by the Treasurer in his visit a
month or so ago. In this way I hope I can repair some of the
damage that is being done by people who have put the grinding of
their own axes before the interests of the nation.
Now let's look at another area that seems to preoccupy the
thoughts of some people: the Government's export control powers.
Export controls are now being administered in a completely differer
way from the way they were applied under the Labor Government. Und
Labor, export controls were almost a weapon to be used against
our own producers. For my part, these controls constitute a reserv
power to be used only where there is an over-riding need to protect
Australian producers, and to protect Australia's interests.
Let me illustrate. I have only once used the export control
powers to intervene in the activities of companies. That was in
the case of salt. Salt producers here in Western Australia had
argued for many months with the Japanese over the need to obtain a
reasonable price for their product. On the weight of evidence
relating to their own costs and to the prices being paid elsewhere,
they had a reasonable case. In the end, have failed to reach a
settlement, some of the companies asked me to intervene. What's
more, the West Australian Government asked re to intervene, and
gave me full backing when eventually, and reluctantly, I did so.
Let's look at iron ore. I've had extensive discussions with
all the iron ore companies to make sure there are no Commonwealth
obstacles in the way of new development. I've = t1d the Premier of
Western Australia that the Commonwealth will ee setting
priorities for new development projects. W: e elieve this to be a
matter for commercial negotiation. This ha the Australian
companies and the overseas consumers know they c-n confidently
proceed with their negotiations. This is something the previous
Government would never contemplate.
Naturally, the Government will wish to ensure that development
proposals to increase Australia's iron ore cap city recognise the
need to keep a reasonable balance between supply and demand, and do
ressuut in : 7J~ L e'
tie-of t1-he inclu~ trysa ol.
Again, the Australia, iron ore producers and the JaTpanesc
steel mills recently cmLte Dr ice n egoti a tions-on a c--oTm erCi al
basis. without any CommTon,.:-ath intervention.' Of course, i T a coMW:, ofl-
-Sense -and. a co-opera ' ve way the co;-npan-es and the GovernTment i: l. sei
* the* issues before the negotiations -took place arid -referred the_ ; fi-na-l
out come -to me with the recouenation -that it be a 1-o
. Coal Drice negotiations conduc-Led in t" he same way.
Under Labor, iron ore producers foun-th he se c b eingC
ordered. -back to. To'kyo to get better. corices, andrcoolfound
the Federal Miniser-in Tokyo niegotiati-iesh~ sel
If; orueral eotais produce, as exeLa ccm-? ercial
rult. -taisoerlted to w.. orld market cs-this clearly
-woulId meet -the Government-' s' policy -objective, v'e-nientL intervoention
w~ ould then be inappropriate_,_.
low lt me . say something about the UoTC es Shelf.
* Current indications are that it will be a project ofc major-
. proportions w,, hich could involve expedtr oLoe 2blin
Thus it could be the greatest single project ever undertaken in
. our history. -It -has already. been. indicated that. our policy is to
allow export of reasonable quantities of LIG -to assist cash flow
particularly in -the early stages and to help the project become agoiihg
concern as quickly as possible. At the same time, successful
launching of the project will, I believe, provide m,. uch--nee2ded
encourageMent for-our offshore petroleum explora-tioninsty d
provide a significant stimulus -to the economy, particularly in
Western Australia. In all mny discussions with the companies which are
members of-the Woodside-Burmah Consortium, and also with prospectiv
overseas buyers'of -the LNG, especially in Japan, I1 have ehaSS e 0
that the Comirmonwealth Governmient is doinga all in its power -to
-expedite the. necessary decisions -on -the Cosot inrs development
proposals. The development proposals, of course, also involve
important issues for the S-tate This is recognised fully -by the
Commonw. Jealth, but I might point out that if Labor w-ere still in
power in Canberra all the mnajor decisions would have been made
there and the . State's role would have been minim-al..
* Since the receipt of the Consortium', s Dproposais in
Canberra on 9 April -the Commonw-, ealth has been at_ Pains to Tpress
on with the consideration of -them as expeditiously as Possible.
Top priority has been given to them and a meeting was held with
State representatives in late April, and another, after somea delay
by the State, was held with.-both State and compan'y representatives
al the end of May. Since then -the State has been in consultation
with the companies, and the Commonwealth is still aw0. aiting the
outcomTe of those consultations. I mention thi4s te hav
been suggestions in some quar-ters that -the de.-a: inComing to
decisions has been caused by the Coi-imionealtnh. 3y D can see,
this is not the case.
Mr Chairman, there arce people who ;-ttaw'lile each
of u-s is a citizen of one of t SCa tes or tz esthat make
up -this country, we--are all ciiesof a n: r. eais F.
National Governmenrt. The National % Govern-ent -Ts res-D-nsibili ties
to the nation,. and to the internat:= onal count. -re i-s simply
no way in which it can accept the sim-plis ; c it keep
righit out of mining and energy and ates sooner that
is understood and accepted, the sooncer , e cn a! geTC with the
job of ; iwork-ing togethor to revive and expanffh ra idsre
r.
> 7, I said earlier that I would run through a quick list
f w ahaht as been done in this area since. we -ere.. elected about
seven months ago. Here it is:
We have mIoved to divest ourselves cf the r. e'. 3us
Government's involive'ent in areas th rightly
belong to private enterprise.
An initial investment allowance has be ~ rduced.
The coal export levy and the questisn-' cf : aion
treatment for the mining and petrole. -ir. i-sries are
under study iT the correct context ch. a the Budget
Three major new projects in coal have been approved.
. Those in iron ore have been assisted through
discussions in Japan to help restore confidence in
Australia as an assured and stable long-term source
of supply.
The Commonwealth has said it will not set priorities for
i1on ore projects in Western Australia, regarding this
as -an area for commercial negotiation provided that fair
and reasonable market prices are obtained.
The way in which export controls are used has been changed
so as to respect, rather than usurp, the role of private
enterprise.
The Commonwealth, in contrast to previous government
policy, has not found it necessary to intervene in coal
and iron ore price negotiations.
S Sensible guidelines on foreign investment have been laid
down guidelines which will give Australians full
opportunity to participate in resource development, but
which will not hinder development.
The limited export of natural gas from the North-West
Shelf has been approved in principle.
The question of oil pricing has been referred to the IAC.
We are working with the State Governments in the revived
Minerals and Energy Council and with the West Australian
Government on the development of the . corth-West Shelf.
Visits to Japan by myself and the Pri.-. e "-Mnister have
reassured the Japanese of Australia's iesi-e to be a
secure, reliable source of supply, a.-c 7c offer a stable
market.
Communication between the Government -: ining industry
has been again opened up, and the of National
Resources is keeping in close touch indcstry. / 11
ihave had discussions in both Rominania ari th Soit
Union on ma-ters re-lated to trade in raw matE'rial1s.
Sotly I i4ll be having fu~~ disc issions in E~~
-on matters. re lated to. t r ade 4ny-1 r~ ts ri h
development-of encr-:.' rsrc.
An* maollsst-e oruiotu sa t-ptarockb lehma s baen launched" on.-L Ire L . nlit~ nrh; e n ustril'
To* have done less t-h; 71m these thing inLD : s: svnmnh
would have-been -to ' let dow., n those who elce s -T nneth
disastrous coair se on w.. hih Australia-had Too ra. abttftt: Ee. mt ' to do
* nor'e in this perniod, and in the economic c-~-.:-3ortoday, could.-
. only have been achieved at the expense of e= c. 0: O '-esonsib. i tycr
bignoring the due processes of good governme-c.--
-Mr Chairman, in -this address I ' have emhsslthe Government' s
efforts to deal with inflation. I have donei~ s: o tw~ o reasons:
to'alert you.' and the community Lis a w-. hole, to xe extremely serious
-Situat ion we face; . and t'Lo he I the co?. munatvj zuncrs ta nd w,. hy the
Governiment is making the fi-ght against infla-io~-. itsfispioty
In doing th11i S, We are making it extrem.-ely hard or o-urselves todo
many of Thre things we -would--like to do, and which need to be done.
-We must exercise the most stringent controls ov. er Covernment s p cnd ing,
and this does nothing to maintain or increase cur po-pularity. D t
t-here are timas and this is one of them w-hen governmentLs must
* put responsibility before popularity.-
My appeal -to you today is ' to stand with us in -this difficult timen,
and in these difficult tasks. I ckyou to* rerr~ eimol-er that when w-, e s
hard and ungenerous, We are sim-, ply responding to the urgent nieeds of.:
this nation in the way most appropriate ' to those needs at this tim~'
What has to be understood is that inflation is at the very heart
of-our problems. Those problems and I have mentioned especially
unemployment. and the damage being done to our export base w-ill not
be solved until inflation i~ s brought under control. So we are
applying ourselves with as much resolution as we can to the job the
peopl] e have given us. to do. I hope this Party, to which we are call
so proud to bel. ong, will stand squarely behind its members in the
Government as they put their shoulders to a pretty heavy wheel.
Throughout its history, this par-ty has faced many challeng ' es.
Today we face what is perhaps the hardest challengre of: al. hard
because it' s a challenge which all our ins-L ine s, and our dceo) concern
for the plight of so rrany of our ow.-n people, tel s we should run
away from. It's the challenge to restraint-, to =-o-Ieration, to denial,
to self-con-trol, to discipline in our 6emands. And it' s a challeng7e
not just to us, but to the com", munity and thenai.
If the crippling inflation bosetting this nat--on is to be bro'ken.
and beaten, this challenge jmrust be faced and c:: td I wan! this
r-ty to so conduct itself in response to thils : ie that e wJll
: n;: to the people of this nation such Pih of-responsib-1_ LYt
adsuch concern before all else for the go~ ecountry we all
, th~ at our reputation w-ill bDe enhanced t ienever before
anieved. I w-: ant this party -to be seen -s weilling to
thri iisto carry the c: m nin; t thetotedhe
paTh of me
Ii