War Economy
Contents
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CHAPTER 1 — Pre-war Economy p. 4
- Men Not Wanted p. 4
- Employment Promotion
- State Housing p. 9
- Towards the Welfare State p. 10
- Changes in Farming p. 13
- Dependent or Independent Economy?
- Diversification of the Economy p. 19
- Financial Difficulties p. 20
- Rising Retail Prices p. 22
- Living Standards Rise and Fall
- Pre-war Economic Crisis? p. 25
- CHAPTER 2 — Preparation for War
- The Need to Prepare p. 27
- Failure to Prepare p. 29
- Facilities for Pre-war Planning p. 31
- Pre-war Manpower Planning p. 32
- Proposals for a National Register p. 33
- Reserved Occupations and Essential Industries p. 34
- The Manpower Committee's Achievements p. 35
- Supply Uncertainties p. 36
- Stocks at the Outbreak of War 1 p. 38
- The Need for New Industries p. 40
- Perishable Exports
- Cool Storage Inadequate p. 43
- Power Development Neglected p. 46
- Earthmoving Equipment p. 47
- Assessment of Pre-war Economic Planning p. 49
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CHAPTER 3 — From Peace to War p. 54
- The First Few Days of War p. 54
- Controls over Production p. 55
- Manpower p. 56
- The Need for Co-ordination p. 57
- Powers to Control Individuals p. 58
- Import Controls p. 61
- Influences on the Direction of Industrial Development p. 62
- Rationing of Consumption Goods p. 64
- Marketing p. 65
- Financial Controls—Stabilisation p. 67
- Geared for War Production p. 68
- CHAPTER 4 — The Demands of War p. 70
- CHAPTER 5 — Increasing Pressure on Manpower
- Manpower for the Armed Forces1 p. 81
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Reserved Occupations p. 83
- [section] p. 83
- Reserved Occupations p. 84
- Civilian Labour Reserves Melt Away p. 86
- Women Replace Men in Industry1 p. 90
- Women's Organisations for War Work
- Labour Losses on Farms p. 93
- The Manpower Problem Extends to Secondary Industries p. 95
- Other Industries p. 96
- The Coming of Employment Controls p. 97
- Manpower Registers p. 99
- Direction of Labour p. 101
- Manpower Fully Extended p. 103
- CHAPTER 6 — Problems of Supply
- Early Supply Difficulties p. 105
- Terms of Trade p. 106
- The Need for Reserve Stocks p. 108
- Pre-war Clash of Supply and Overseas Exchange Policies p. 109
- Immediate Reserve Requirements specified in March 1939
- Pacific Defence Conference also deals with Reserve Supplies p. 110
- Most Reserves Inadequate at Outbreak of War p. 111
- The National Supply Committee's Contribution p. 117
- The First Rationed Item – Motor Spirits
- A Windfall – The Port Bowen p. 119
- Supplies from the United Kingdom fall Away p. 120
- Supplies from Australia
- The Critical Supply Years, 1941 and 1942 p. 121
- Increasing Pressure on Local Industries p. 122
- Pricing for New Zealand Production p. 123
- Forward Estimates of Supply Requirements p. 124
- Lend-Lease p. 125
- Relief in 1943 p. 127
- Effects of Import Selection p. 128
- Munitions and War Stores increase to Nearly Half of all Arrivals p. 129
- Eking out Available Supplies — The Powers of the Controllers
- Iron and Steel p. 131
- Non-Ferrous Metals p. 133
- Munitions p. 134
- Medical Supplies4 p. 137
- Rubber and Tyres p. 139
- Wheat and Flour p. 142
- Canadian Mutual Aid p. 144
- Reclamation of Waste
- The Vital Story of Supply p. 145
- CHAPTER 7 — Manufacturing under War Conditions
- Employment in Manufacturing p. 147
- New Demands for Manufactured Goods p. 149
- Difficulties in Non-Essential Industries p. 152
- Use of Substitute Materials p. 154
- Labour Shortages p. 155
- Munitions Making p. 159
- Military Clothing and Footwear p. 160
- The Radio Industry fully Engaged on War Work p. 167
- Shipbuilding and Repair p. 168
- Tobacco and Cigarette Making p. 173
- New Industries p. 175
- Production Achievements p. 177
- CHAPTER 8 — Wartime Farming
- New Zealand as a Food Producer p. 181
- Needs of the United Kingdom p. 183
- Wartime Controls p. 184
- Shipping and Storage Difficulties
- Mechanisation of Farming p. 187
- Falling Farm Labour Requirements p. 188
- Hand Stripping on the Way Out p. 190
- Armed Forces Recruitments have their Effect p. 191
- Special Manpower Assistance to Farmers p. 192
- Fertiliser Shortages p. 195
- Declining Dairy Cow Numbers
- Cheese Instead of Butter p. 199
- A Bad Season in 1943–44 and the Introduction of Rationing
- Meat Production at High Levels p. 204
- Wool Production exceeds Requirements p. 209
- Fruit Growing Declines p. 216
- A Special Wartime Undertaking – Linen Flax
- Other Wartime Changes p. 218
- Achievements
- CHAPTER 9 — Defence Construction
- Pre-war Activities p. 220
- Materials and Equipment Pre-war p. 221
- Pre-war Defence Construction
- War and Accelerated Construction of Defence Buildings p. 224
- Early Wartime Controls p. 225
- The Commissioner of Defence Construction p. 227
- The Fifty-four Hour Week p. 229
- Defence Construction Expenditure
- Details of Public Works Expenditure
- Defence Works by the Housing Construction Department p. 238
- Construction Work in the Pacific
- Special Measures in 1942–43 p. 240
- Housing Construction Resources Switched to War Work p. 242
- Manpower
- Timber: The Sawmilling Industry Under Pressure
- Other Materials in Short Supply p. 248
- The Crisis Passes p. 249
- Review of Defence Construction Work p. 250
- CHAPTER 10 — The Financial Cost of War
- Up to Two-fifths of all Output Diverted to War Purposes p. 251
- War Expenses Account p. 252
- International Comparisons of War Costs p. 258
- Finding the Money p. 259
- Taxation p. 261
- Borrowing in New Zealand
- Sources of Internal Borrowing1 p. 268
- The Memorandum of Security p. 270
- Overseas Costs of War p. 272
- War Expenses Account Compared with other Revenue and Expenditure Items p. 273
- Diversion of Resources p. 275
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CHAPTER 11 — The Quest for Financial Stability p. 278
- Pre-war Price Control p. 278
- Initial Wartime Steps to Stabilise Prices p. 279
- The First General Wage Order, August 1940 p. 280
- The Economic Stabilisation Conference, September 1940 p. 281
- Government Action in August and September 1941 p. 283
- The Economic Stabilisation Committee, September 1941
- The Second General Wage Order, April 1942 p. 285
- A Comprehensive Stabilisation Scheme—December 1942
- Stabilised Wages p. 288
- The Wartime Prices Index p. 289
- Assessment of the Early Attempts at Stabilisation p. 290
- CHAPTER 12 — Economic Stabilisation
- The Economic Stabilisation Commission p. 298
- Holding Prices and Costs p. 301
- The Price Tribunal p. 302
- Stabilisation Subsidies p. 305
- The Role of Subsidies1 p. 306
- The Wartime Prices Index p. 309
- The Index Remains Stable p. 312
- Problems for the Statistician
- Other Price Changes p. 314
- Wage Stabilisation
- Dissatisfaction in 1944 p. 317
- Wages Break Away in 1945 p. 319
- Stabilised Prices and Wages p. 323
- Stabilising Farm Incomes p. 324
- The Dairy Industry p. 325
- Long-term Contracts and Lump Sum Payments p. 326
- The Meat Pool Account p. 328
- The Meat Stabilisation Account p. 329
- Evaluation of Farm Stabilisation Policy p. 331
- The Wartime Prices Index as a Measure of Price Change p. 332
- The Role of Fiscal Policy p. 334
- Stabilisation Achievements p. 337
- CHAPTER 13 — War Contracts
- Urgency Leads to New Types of Contract p. 341
- Cost-plus Contracts for Defence Construction p. 342
- Special Contracts for Shipbuilding and Repair p. 344
- Departmental Staff Difficulties p. 345
- The Controller and Auditor-General Expects an Improvement
- Increasing Urgency and Looser Contracts p. 346
- The Auditor is More Critical p. 347
- The Master Schedule p. 348
- More Criticism of Wartime Contracts p. 350
- Target Prices for Shipbuilding p. 352
- Weaknesses in Other Contracts p. 353
- Pressure of Work in the Radio Industry p. 354
- Tighter Arrangements for Ship Repair Work p. 355
- Attempts to Review War Contracts
- High Profits p. 358
- Incentives to Inefficiency p. 361
- Slackening of Pressure Gives More Time to Check Contracts p. 362
- What is to be Learned from Experience? p. 363
- CHAPTER 14 — Trade and the Balance of Payments
- Difficulties Before the War p. 366
- Bulk Purchases of Farm Products p. 368
- The Enemy Trading Emergency Regulations p. 369
- Export Volumes
- Restraint on Imports p. 371
- Imports of Defence Materials
- Shipping
- Volume of Trade p. 375
- Better Use of Shipping Space p. 376
- Quicker Turn-round of Ships
- Supplies to the United States Forces p. 377
- Pricing Problems p. 378
- Lump Sum Payments p. 382
- Overseas Assets rise by £53 million in 1944 and 1945 p. 384
- Overseas Exchange Transactions p. 387
- Receipts
- Payments p. 388
- Improved External Reserves p. 389
- CHAPTER 15 — Transport Difficulties
- Co-ordination Attempts Before the War p. 391
- Waterfront Work p. 392
- Pressure for Co-operative Stevedoring p. 393
- The Waterfront Transport Control Board
- Early Wartime Troubles on the Waterfront
- The Waterfront Control Commission p. 395
- A New Waterfront Award p. 396
- Co-operative Contracting
- ‘Spelling’ p. 398
- Extended Hours of Work p. 399
- United States Supplies p. 400
- Limited Success of Co-operative Contracting p. 401
- Coastal Shipping p. 403
- Shortages of Fish p. 404
- New Zealand Railways
- Railway Staff Shortages p. 405
- Coal for Locomotives p. 407
- Coal Mining
- Shortages of Hard Coal p. 410
- Transport of West Coast Coal p. 411
- State Ownership of Mines p. 412
- Open-cast Mining
- Railways Reactions p. 415
- Air Services
- Road Transport p. 416
- Petrol Rationing
- Zoning and Rationalisation of Road Transport p. 419
- Wartime Transport Arrangements p. 421
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CHAPTER 16 — Fuel, Power, and Services for Production p. 423
- New Sources of Power p. 423
- Coal for Industry p. 425
- Domestic Cooking and Heating
- Coal Supplies
- Electricity on the Upsurge p. 427
- Faulty Pre-war Power Estimates p. 428
- Early Restraints on the Use of Power p. 430
- Power Difficulties for Manufacturers
- Belated Hydro-Electric Development p. 434
- Government Administrative and Other Services p. 435
- Women in the Public Service p. 437
- Communications
- Local Authority Services
- Levels of Production
- CHAPTER 17 — Living and Working in a War Economy
- Population Changes p. 443
- Wartime Influences on Population Growth p. 444
- Education p. 446
- The Worker p. 447
- Attitudes to Conscription
- Conscription for Industry 2 p. 450
- The Maori War Effort p. 452
- Accommodation for Directed Workers p. 454
- Hours of Work p. 455
- Paid Annual Holidays p. 457
- Minimum Wages p. 458
- Worker Effort
- The Consumer p. 459
- Marketing of Food p. 460
- Egg Marketing p. 461
- Shortages of Vegetables p. 462
- Criticism of the Internal Marketing Division p. 463
- Rationing p. 465
- Tea and Sugar p. 466
- Difficulties with Clothing p. 467
- Rationing of New Zealand-Grown Foods p. 469
- Rationing in the United Kingdom p. 471
- Consumer Subsidies and Price Control
- The Motorist p. 472
- The Black Market p. 473
- Racing p. 474
- The Impact of American Forces in New Zealand p. 475
- The People at War p. 479
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CHAPTER 18 — Easing the Strain p. 481
- Peak Mobilisation p. 481
- Tension Reduces in the Pacific p. 483
- The Strain on Civilian Manpower Worsens p. 484
- The Manpower Dilemma p. 486
- A Change in Manpower Priorities p. 489
- Food Crisis in Britain p. 490
- Pacific Division Becomes a Token Force p. 491
- Manpower Needs for Industry p. 492
- Farm Manpower Needs Overestimated p. 493
- Public Criticism of the Size of the Home Forces
- The End of the Pacific Division p. 496
- Labour Shortages in the Last Year of War p. 497
- CHAPTER 19 — From War to Peace
- General Demobilisation p. 502
- Gratuities
- Employment Opportunities p. 504
- Reinstatement of Employees p. 505
- Manpower Controls Revoked 2 p. 506
- The Rehabilitation Board p. 509
- Trade Training p. 512
- University Education for Ex-servicemen p. 513
- Settlement on the Land
- Setting up in Business p. 516
- Assistance with Housing p. 517
- Successful Rehabilitation p. 518
- Termination of Reciprocal Aid p. 519
- Disposal of War Assets p. 521
- Bulk Purchases of Food Continue p. 524
- Disposal of Wool Stocks p. 525
- Gifts to Britain p. 526
- Economic Planning—Organisation for National Development p. 527
- CHAPTER 20 — Recovery and Development
- Economic Recovery p. 532
- Suppressed Inflation p. 533
- Rapid Currency Depreciation p. 536
- More Stable Prices from 1955
- Full Employment p. 538
- Depletion of the Labour Force p. 540
- Underworked Facilities for Employment Promotion p. 542
- New and Increased Social Security Benefits p. 544
- Bank Advance Controls p. 546
- Increased Imports p. 548
- An Attempt to Remove import Controls p. 549
- The 1958 Budget p. 550
- Import Controls Continue p. 551
- The Rising Cost of Invisibles1
- Subsidised Agriculture and Dumped Surpluses p. 554
- The European Economic Community p. 555
- Direction of Trade p. 557
- New Zealand Farming Developments p. 558
- Farm Industry Reserves
- Backlogs of Construction Work p. 562
- Electricity Shortages Worsen p. 565
- Transport Developments p. 566
- Economic Policy Co-ordination p. 568
- Economic Development p. 569
- Noteworthy Events Since The War p. 574
- List of Tables and Charts p. 577
- Appendix I — STATISTICAL TABLES p. 581
- Appendix II — ITEMS IN THE WARTIME PRICES INDEX p. 639
- Bibliography p. 644
- Index p. 651
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CHAPTER 1 — Pre-war Economy p. 4
- Editorial Advisory Panel p. 661