". . . but it will win the next election."

Mr. Lake's 1965 Budget reminds me of the behaviour of a small boy in bed who thinks he has seen a bogyman. The boy hides his head under the blankets and hopes fervently that the bogyman will vanish.

So with Mr. Lake and the economic situation. He looks at it, shudders, and hopes the problems Will vanish if he does nothing.

Basically Mr. Lake was faced with an economic situation that has become all too frequent in New Zealand. Spending has been rising rapidly for some time. Labour shortages are growing. Import demand continues to rise and price inflation is becoming quite rapid.