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FINE GAEL POLICY

196:5

'Towards a Just Society'

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J'L.'tNNING I?OR A JUST SOC JETY Page 3

COM f'LETE HEAD~ CF FINE GAEL POLJCY Page 19

C lNTHODUCTlON

1. Tl,Ne i, an ohligal ion on evC'ry political party wlio seeks n!f:C'C' !•o lell the' LJCoplc l1ow it will use the> power enlrustccl to ill,

j Jn tl1is publicati<>n we :nc no~ only ~!al.ing our policy but we ~ire also givin~ t lie r<'asous w11y Fine Gael seeks the responsi­

'* \..., h ilitit~s of government. the objectives toward'> which om policies :ire 1lirecl cd arnl tlw type of soeicly they are intended to shape./

t.s, In puhli.shing in detail our policies we rccD$nis~ lhat for mos~ people economics is an miexeithig subject\ If, however, the objec tives of economi.c policy arc lrnown as well as the social

3~ ,conditions of our peopk- we believe lhat enthusiasm can be stirred and direction aml pnrpose given to the idealism of our

$ pcopiej Po]iticill ac tivity would be seen for what jt shonid be -a means for serving lhe c:o:nmon good\

~S l 2, Fi11<> G:wl is i11 a rndque poSition to know and appreciate Crk'- tlie real needs of om people, being a truly na-lional party. This

Fc..i-:.. Knowkt1gc permits ns tc point lo the very wide areas ih our . , L.~socicty ,vJ1ere great poverty exists, poverty wllich is clep;mding "'"-: "il. and capable of remedy, to appalling social conditions.' \Ve are

.:;· c.i'T i d.:ft not living in a just society~ .This fact must be understood nnd C(Hnplacc•ncy must 1,c dispelled and entlrnsiasm created to

1....,. reme<ly the socia1 fojnstices in our midst. I ;3. Fundamentally \.VC are concerned with making a reality

t~ of two concc1)ts, freedom and cqualityj The economic conditions in which many people Jive would require an heroic effort of

, c;,_, i J t;; virtue (\vhich sodcty slionld not demand of them) to enable them r , =1 "11.t...' to develop their foll hrnn:rn personality.\ Agafo, e(]uality of op­

P,liiv:.:!iJJ{J; portunity is, fo contemporary Ireland. no11-existent.1 \Ve seek e ~~~;17 office to work towards a society in which freedom arid equality

'-'I are not concepls from an academic textbook I but arc expressed 1-.,. i n r~al and tallgible conditions which all our people can enjoy. I

G y lt. ( 4. W? propose Ja l!old .ind vigorous 1)rogramme of econom'ic ·-i ancl soc:1rtl reform 1hc needs of our people are many; the

~

r~ency for rdorm is great; the work sl1onld not be further delayed. Those who oppose reform usually do so from ignorance,

"l r b ecm1se they have a vested interest in tbe status quo. t ~, Y- 5 / 5. It is politicai chicanery to talk about improving the living }' , ( cond itions when the measures necessary to bring them about

.> ~ -"°lf are not taken. 11m reforms we propose will not occur spontan-- cously and we ~1ccept tlie necessity for more <'fiective government

/\1~; /:~· net ion in jndustry, agriculture, education, health and all our <ic ._. , social services. To condemn ilction by the State as 'intervention'

withont examining its purpose or tlie means to be adopted is often an emotional reaction rather than an intelligent one.

v~-r,1 7ro, ' Government action on the lines we suggest', far from curtailing . ,vr.··t"'hl' , personal freedom, will help to extend it and make it meaningful ! for all our people. In the past, too little attention has been given

to the necessity for efficient public administration. We accept the

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• ·.·· '. ;.., ~;[ .·<;\HrL:..; th ... t th...-~ n~:H.:1U1 t~_~ry <t!f g~}vcr11:n~:nt is J. ;::1i< ,.t ·: .">.,1'--·t~:n:.: !-u}~}~c •. .fCciC-!l~_]y , .. 1~(.t L!!r]y.

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• >. "f!, .. : ?') ..:i,:1 f~!1r1 ,_:,,:. . .ceorn>,:-; thrn:.::,ht oi t't1c; p··i;c (~ncl P~1rt~>1 J -~s I e, :n"'"u,:·;,:t1 frnc! 1:~o:dc\1 ~i tr the :.oci~:d cl,H~trha-!S con{·aincd >: !lH 1:,.1;:d .E,:('ydic,,,k \iosr p enph~ in rmblic l!fe will state :),(_-;,- . ,·.·q,t:,:,c:c, ,,f the k:1cliin:~~ conbint:d in the l'apr:l

f ~I..~ t n~;,-cte:1t1. q,1l r-.. \ ... 0 da.i,tr,ers e.-~Ist.11·ir.sl1y> ~;ucn i!CCtll_)tnncc lnay "f.) r~·:n()Llf't. rrJere~v t:: ,~ l!p set,~ise nnd, ~c·conrl ly-, these :prir1cjplcs rnay

~-~.:--' ll.:.:.t;:1 ~±.s ::irl e.\t·n:-;;:; fn1· inrit;!i~h~. \/Vi.:! aeCC!pt t'ht; p 1.·inx::·!p10 ·of .,ui·,·:, li-~rv ll.il!(:tior, :rnd i·:1 oar ;:Iun for rdorn:, \V(i v,ill be g:nided at ~.J; r:in~f;S h,. l.hfs pr!ncipic. It i~ <.n1r re~~ponsihi.Hty as 1~:tyxn<:~n in r ~ i;n{'s to I t arn .a:~d atJfJ:(·Cfilte thes.:~ principles; to r (;vievv t11c ~.Lt 1.~~~(1r1 t:'i it ::.xi.-:;ts 1n 1:-z!!ancl; to fvrrn n jud~'ltne.nt on !'hat ~i:uniion anJ ii1 tne Hrht d t1,est'. ,):-incipks to dc:-cicfo how they

\;_h,,nld he m1/0iY't·ntcd. i'f! thi~ <:(n1ntry at· tlie pr<"sent time. \'Ve t'C.;t·:· · ... (: .. J.r(· 1:d'.,.e dr,n~ Clils !n ~1{3.s J)td)licaUon.

'! I:vc:tf soci~:1•r i.'> ·.i t;. <'OH~t:.u:1t conrst; o.: •ch:1.nge . fi .. p~litical vir~,. Li!~ i.1 irR re,pons:llilitics :f it igri1,,es this fact and fails t,:, n·! ·{;r th(:; <:!·:n.nt~n.:1/; nf ·c;h::tnging tirnr.s .. ~/Ve 1):tVC alf·cr:ipted to do -;~). \'/e .1rn :'l,,:t;-c 1)f the li,,,ihltions of noliti<:a1 powet in :1

,_:c,n:'.;,J1·v -· lim\Utiun', which 1.vc ac:ecpt and wekon,e. But '1r,.'\~!:d i;; ,t !dn~:.:1 . J:trt4:..·~y h<Jn: ot.;ennus <.;OU1lt:"y. /\ .. J)rofitable dt.:·.\·;i;!L'(' i,etr/=:;eH U!"e pCOi)i<: ar!<l r:ic g"t~vt:r-rtn1cn(~ ~;hrlnid he n~:.:f:il>lO if OH: .. !nstitrd 1ons are prOf.,(~dy /efor rncfl. rfhe fac-t th ttt 12,.L, ·.<: i°' ~·· 1:1ix•:li c:c<:iH,rr;y need not inv(/lve ~ny conflict i::ictwce.~1 :he: p:..blic :u.a ririvnte se<.;;:or:;, f,w h:ith cm1 slirrnulate :1,1d ,lie! !'I., i~~hcr. Civon ,propt>r ·planning of ou:- (-:conoro.ic tiffafrs ".'"~ c·r·:i nrnxi:~liS;'> fr•e b('i~efits of fav<l'nrahle, and minimise the l:ffc-:·b of 1.,n:;;vouro..hle. ce:0:1omi.c factors a•brnnd which a rc \. , ... , , 1 , - '(' c·r· ,..,.,1 "')L<..~1 .. ..... 0 : 1. .. , ,. ( '\.I .....

EC0:,0\.111C PLA:\NING i(Summ:11-y)

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,YSlS OF THl:! flRS'I' PROGRAMME :

l '.U ~; fa,:t Fi.:,mm.nic I'r·,grani!ne p11l:fo;hcrl by l!1c Government :,1 ~\- ·Ne ;,,:ji · H:S5: '\\'a;.; :1 50-na:.~c document cont.1inmg ;::;cneral :,.~a', !l~\');Jt.:; n r' ~.:'(J\/Cn1Tnl·:·1t pon""~'; ttnd giving ~,n incliyation of the aid : . nrntl1";tion \Vh!ch the J.£ovcr;1n·1ent proposed) In, cs.\e1:cc> >·ht• L! :.t J\·t,i.;r.l,T,n~t- \V[t,; ,rr,,::rcly a statement ol econorrne f,(;hcy,l pin, ,. i,.c .. y·-ter./.1tI·, c forec:31: of the g0verrm.1<:ml's capil'a1 pro­i,::·[ .. ::·Hr. ,wei· 1-hc ..:onin,:; five yc,,us.\){o :rndysis of sectord ~mtput ·.v,,:, 1n.~ k,\ ,,,c; c:"lL,1 .. ttc !)£ t1re dlffer "1:t -contrib1ticps ol; each ,,t·cL:r nf tbe ,·cono ny to c.::om, T1ic growth ,vas g_ivent no targets H.·t:"~~ n:~;c(~ a1::'-1 Hie t1(?ti1·oxin}rit~1 iorcuusts of the f!;t>vernrnent capit t: cxrie1·,1it .. :r:· were stated ;to b~ only an indication 0f the (;:·,·!ers of ·J'1l,.~~11itu(~C invc,!veJ. t.f}1e fon~lamtnt'.tl point Of policy iri J1Je • lllc11rnent '\Vf\S t!Jc> vi<'W Uiat S,"Ci::t l {;[tpltal iuveslmcnt {)f

1he p:1Sl y0;1fS h:1.u qivcm '.:.H i1;frn-strncturc of housing. hospitn.Js, {:orwnur,ieations, ei.c. \vhidi is equal (in some respects perhaps

l St!Jleriarr- I H1al ,r·,·m1p;1rahk: ('(Hllllr(<'.<;'. , Jt \Vas S{';itcd that soeial n~i-?,s wo,dcl- ., 1011 lw ovc•rc·,Hne 11 1 must of t11c co11nlry :rnd that nrnd11ct iv<' enpi l :il cxpcmlil 11rc nrnst secure a greater

h" priority t}~,rn at 1m;s,:11t. It was 'on tl,!s fundamental principl~ rhnt Ilic prescur pro:;rn-mmo oE cco1wnHc cl<'velopmcnt is based .

2. THE F ORECASTS Of THE FIRST PROGRAMME :

6b The fo recasts {'Ontailled in the d ocument proved to be hrghly inaccurntc1 tw d t he oxpcritmce of tJu~ First Programme indicated

6b how unc:E)tnfo. and inaccurate the estim ates of public expendi­ture in fact tnrnccl out to be\ and underline the necessity .for

, t p roper administrative rnad1inery I so that it should be possib le for the government to J)repnre targets wifo some degree ?f

/ i ccrtrlin ty of cxpendi,ture in the public sector by public nnthoril iesi

3. AN ANALYSIS OF THE SECON D PROGRAMME :

6i The firs t part of t he Second Pmg1t:arnmc for Economic Expan-sion wns p11blishecl in Augnst 1963 /nnd the second part in July

, 6 HJG4. OCt is st·atc:~(1 that thc.~c t,vo parts were complementary and 6~ th a t tl1ey _shou 1c1 ~Jf' re.id as a wl;olc.{ Th? govenr~nc~1t. ddiber-6.~ atdy avo,df d 11

1s1ng !'lie w

1 ords

1oco 1om1cf plannm~, rn these

, pu~>l icnlioi~~i !111< consi~tcll~ y m~c e1

use o the term. ~conoinic 0 p roe;ra1111:n:1g .to tk scnhc: 1t.s. pol1cy\ _A prnp;ran~rnf", 1t 1~ stntcd,

6r outli:;_cs oh1cct1vcs ;tncl pnor.1bcs lJ~1t 1t ,c}oes not Ill c:1ery .mstancc ~ specify how they are to be attamed. } T rngrarnrning 111volved 6t m akin~ e stima tes ,,f the increases att.iinabl0 in total production

on cer tain assnrnp tiom.1 The Se(:mul I1rogramme is., in essence, (6 a ,\'latcnwnt of policy and an, 1s·~i111ate of fu~ur~ capitr~l expe11tli­

t11re, plus economic fm·ecrtsls.1 1 he econorn1c !orecastrng 11nder­t:1kcn in this document am01ints to a very rough estimate of what may happen in tl1e c<i)l)omy over a period of 7 years given a n urn11cr of ass111nptions. The prinC'i pal nssnmption that the govel'n-

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N' ment m:1.d c was tlwt 1/ JCrc w ould h,~ nn annual 4% i:;rowt11 rate. , These fo recasts were termed 'targets . Althollgh warning is given

~(. that tl1ese 'targets· .ire illdica tions o the pr()gress foat the econ­omy c:1n make -nnc.1 a re 'aims not promises' it is misleading to use

6 the word 'tan;cts'/ T.he ~.!!,llres given in the Programme are aspira­o lio ns ra.thcr tha11 comm1hnenls.\A target should he n flgurc wluch

1 it is p ropo~ed to ad1ieve as a resnlt of actJon wh.ich is cont~m-1. phtcd J not a sta te ment of what may result 1f certam assumptions

Ii :no r o:ilisedl .As :m economist xeccntJy wri!'ing on the Second Progr~Hrirne sa.i<l : 'T his is not a programrne which seeks to

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clevc,lop the economy alon~ certain p redetermined lines; esse n• . ~ tiallv jt is a forecast of how it is likely l'-0 e volve in response to

the ·application of internal an d external market for<::esf

4. ECONOMIC PLANNING : \ Eco nomic .planning, on the other hand, involves the conscious management,}to the extent consistent with political freedom and

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f~· c.:!: ;_ .. \· . .._. u.t:~ti,s df 5.i,,1 :,: Un.; '.~n.;1.~>:'> to plan fo( d1cru.se: JVcs.

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rfl \ ··t:; .~ nct~d fnr fu !J ~calc ~c;.1r;orr.ic pl ttnning in t~)iS C\)H:.

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~l (.:,)rrr1 1·~r;_~;rp L-; rur1;1in~ !tt ;l ndc r~f over :20,f:O() Ff:r arnn11n \ "· ·H1 ,, :)l-\\ :rh.,;t~lnlPrtg \l!1 inc:·t\.a~f) in i11dtr.; 1 r:~1J en1pJovrnent

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(d) \.:r\.! h~t~·c, hc·cn fo;·tun.llc fn rcceut vc\ars in that l'he econ .. C:it <)"• : ,. " :11;•,l--~ \ ·,•· , .. , .. ,,. ' " ']'O··I.;: !• '' 1, ,,.,[·1 f.1• ', )''tl" l j,i ,\ 'J ' '1J•S l"" " ' \;) , • • J .. , .....,.~ , ... .... l. . .t • . ~ v ,'l._ .1 . . .-., ,. ,~., •. .J,,\. • .. , v, '· ... ~ ./J. \., ; . • ,. .. . ~,.

:.: · #:, 11.. r.n t Ldt.!:irrne iL Lh0' l!.itur:~.\ 'r~·,e upc1:. n~1lurc oi the l rh,h ,]co,:crn..r' ·is- ~,n .l ,',(!iunf't it for, rather ~11Zt12 ~1n. argurnc11t·

1 ,\.. .1g:'.l !,,~, i:i·,;•1,>JY.ic p1.ui,: 11!g. \ ! ·o rC:ign cond iLions in:ty con-'(1Lt 1e Li~/t,i ·r~tb1.e in the ve:,.i-s aht:ad - in \Vh!clt Ci.lSC thi5

l'- ,_,r,1ir .~ r_y ~vii] 1J:~11c-nq "2cono~11(-c p~:ui n ln~ vvi11 ht:lp to 1n~xi ... 1:1, m,,,. rn,,·.:1: hcnc·Gc,,\ On d:c orhcr Ti:t!i.:.1, tb: forei s; 1 i clirn.lt~ ""\., Til_ty (:;J :1:1,'=·~ Ln t L)\!nn!H~ \Vil l l,:.;lp :o fCdt1ce tlie advers~

I, "itce~s oLt dr·•p rn fo1,·ign dcm:md; \ (.:) ~.:.:«ii,, pl;,:.,ni,l'.-'. w, ,nkl G'~lii'<: not 01dy that tL~ bvc1 of

,V\, t ::i:-1~"} r pd:::[ \'lvc.s'.nu,iL w,,Lld .. he. maint,:ined} but tli;:t C:.'L n~sc1:h·t :-; \•.· .)lf let bj ;)ror,cTl, tlistr;hukd! :rnd ccc11on-uc

pl.u,rti,1s: wu1.Lid have.: nvoicLd th.:· clr;-1~:tic drop fo social 11. C:!pi:rd in,cst·mcnt v;r!·,ich lias c:cuurrcd. m1der the govern­

·~·1\-1L;:>:- ec.-r,, .1\iUtic p:·ngr<hfHne::;.\

FHOf'OS,\LS FOP .ECO~O;\flC PL'\-~NE-.[G

F,;.;;;11nru.; ?l:!?11.in;; iIJ th1-, cuuntry shmrld be baSl'Ll on the f:,~JO\Vj ,g prilJ .;lpi~:; : --

<t O ! l. E,:·.1uc,r,·;ic ptrnning mu~t bc-=-tJ.e-moCT·atie') That is to say, (!tdsi,,:,s n-.J:;t be lakeu only aftt•r detailed discus~ions with all

6

tr (nltr1·s:~r>1w1·n;c·J}-1Tk· Dai l .ai1t1 Sr11al0. rnu,;t he rq~ulady ,.. .uilo:·1111•\ 11:d c<:llA, ~·d, 1::11~1 11H·rn !nust 1,~ regular supervision

l>y nw,tns of a C omm,U1·c oJ tl1e Dail aml Senate of the Govern­~· !ncn.r's invc\s(ment prograrnnH\ inclucling ,that of Stnto Sponsored

dod1cs .

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2. A con~idcrahle expansion in the number of trained Economists, Scientists, Engineers and Teclmolorrists will ibe required in order to g<'t proper planning under way.

3. A proper }>Janning Bo:ircl should 1lie cstahlishct1. This will 111{;:m the hroacleni11g of tlic N:i~ional Industrial Econornie Conn­cil ,to include r<'prcsc11tativcs ()( all sectors of the economy, jn­t(:]nding agric1:lturd so tliut it may be eqnip:pcd to carrv out its fnnctions of advising the government on general cconom(c policy. }

4. Vertical Commiltees Qf the Planning noanl should be

1 ~ cst-.'.ll1)isl1cd to d<d with :;cct·ors such as ir:id11slry, a~ricultnre, services, social planning, cduc:.l'ion elc./The task ·of such V crtical Committees would lie a <lonble ori; - to review the resomccs anc1 ne<'ds and the ful'ure developiuent of the particnlar sector v;i!h which they are concen1ecl,I and to .,et tai-gets for future grnwt1i; ~ ~n<l :,ec':mcHy to r~)\'iew the implementation of these

d, targets) l he 'Vcrt1eal Cmmnil!ees should co-operate and keep in close fon c:li with \Vorking Gronps jn particular snbscctors e.g. the· Adaptation Cornidls fo industry. I ~

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IL 15

5., _A new l~cp;1rl'111cnt of Ecouomic AILdrs, incorporati11g the plnnmng fm:ct1ons at ,prc;;cnt scattered around the Civil Service shonlcl be cstablislicd l t·o lie res-ponsihlc for cconomif p1anning'. { It should conc:en: itself "vith demoµ;rnphic forecasting with man­power policy\nnd rc~ional .planning. !It should wort closely with tl:c Planning Board .ind the Vertical Committees.

6. .~franingfnl targets for agricnltnre and ind11. try and each br:1.nch nf inctust ry must he cstablishccl.! As has a1ready been pointed nnt prnjccli,)ns of thl' economy J;J)asccl on an assumeu growth rate ,(for ox:1111pTc a '1'.fi growth rate) ,arc a w;efol frame­work .in which_ cconoinic pln11'.1iu.!'.: can he nnclcrt~l<en.\ But tl!e longer tLe prnod of these pro1cdrnns the greater 1s tl1c margin of err.or:) Targets nrnst not., therefore, he merely aspirnt_ion~ <~f what 1t 1s hopccl may lake placej 1'}1ey must be figures which 1t is proposed to acliieve as a result of action tl1at is contemplated. , Sucli targets can only be arrived at after very cletailc<l discussion 1

with 1:acl1 :branch of industry and representatives of agricultural prod11cers. I

7. The -government must undertake to ensnre that the targets sot arc realised. \To clo this it must be prepared to give assistance in the form of grants. tax reliefs, which rnny he necessary\ The danger th:it the required growth targets 1!jUY he used to obtain unjustified State assislan•ce must be facedJ and the government must be prepared itself to 1mdertake directly the necessary economic activity 1 if req uire<.l in the national interest. /

7

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., ... I I ,t!. ! ... ·~; •. ::.l: I r,j·. ' r .. , ' r:•,; ,··. {!,. , • .,·,,i lJy .. !•" .~ .. ·.cli "',o :d .);n1iL1dy :1,t; g:::1/<!rn.r!(·:1c Jnit:;t };c; l\;.--.:pDn~i":;!0 r, ·:- ._··n·· .. .-~ .... ~ .. li1:\.: ti:~ .:.la,1 i--.: ~:ffei..:tivcly opr---r:1ted !n 1Jf1L1-, the

11. · ,l1l,, · 1 ·' J}' ·,. "', ·" rJr·J'l I ·• t· -l<· C'c en ,,1· 11'1· 1'·i·i t t'i'' 1·-1\"'•t / :c ••• - · ,, :<i , ; , ,etc.'. .,, \, , . o,c. ,h, ·. _..-,, ( l, L.: ,-, • <., J . ,: .• , -

., .. ~- ~· ~:,::·~ .. : ·,d·( •. 'if:3 Hf ln\.~ 1J ;11Lutn1~1.d·s ol ;.;u;'<-rnrn(·nt> ih(• L{}c;1l ,,. . r; r,r·,. \,' ,. (•I' ; • ~ :.::r .lf ~ ;L .,1'-··s l...., r- 11 s ..... ,.: .. 1,,. t4 l 1 •1 t 4:1"' ~y·· •irr .. fm••

~ -.II ' ' ' ·l:: · ··/'·t ,_IJ<:,.. .~.~ 4L ;. .... !\.St .. ' :" .... ~~·""''-' .. ;. t . ~,~· .. :~· u ..._, ,.

). I -, • . I,, 1• .,•: L 0) \•)' '"[) .•"y' .. (r ,' d, \\''"•I· "\f j·l1« 'i•crf•ir, ,> I ()'7lH\Jft;~~s .C... l ll . Jt.. a,,, L , ,;,. , .,,.,. \ ... t.",~ I ~-, ~ - .t\ · <..)~ ,\. \,L -~ v , ._,\..: \.•t ,..- 1 .... ._ ..,, ,.

,. 1 1l· :, : .• 1• • ,,., Jir · · ·1 )·""' ,'·' "P" r·'·,,, 111·\i· H i e 111 ·>1 is im-... ~ ......... d ... 'i_. .. _r .~---··t~., .- ,l<-t,1 .. >. H,n .... ,t. .... . t 11 • .:-"> ·~ : • ~ · _ J:~ _ . . p:c:n t'rco. shc;,1!,~ be u1.uc,rtr:kf~n by lhc J\:lrn1stCT l,lr Ec:onomtc :,Ia-t1!j.·;. l

9. Vi·:y ~,:1:0,~dt:: ttiJk: rq~i<Jnal diff0r,mcl~s ex:~t thr(H1p;lwut Jo' Lc::,ri;.1\ la -'·i•:t~ cf lhc U1 1tlcr-clC'velopl~cl Areas Acts and the

~-r(\.d JCHl of JL:,inn !'!2. (.,.:H:1L.rcld·:L in 1se{\. i nC-C111'"if'~ per he:.1<l in 3 > r.-'i ~,. .,,..r (-',l,-+ .. )tn'-1-,,11'··r-J.··J,.... \·1, ,•r , lf'O/ ()~,.:./ ,..,!•(1970/ fi"S "'C" 0 - 'j I!-""-~' -'· .. .. n. J.U.1 . l .. ;J ,. d. ,L ~-" '.) _,J \.•l, ;. . .... , /0 ) ~.J..J. /O \A.. ... ... /() ' J 1" .. ~ -

l:, ·(·:] y h\, Tr1-..v ·.: ~n!J :.: \1t J .. ~.-ns[{~1·. 'fh(: crc~aUcn -c f I~e,½i.CJ11 ~t~ l)lan11ing 33 h;an'..,; to ;.:.;~i .t tlic, <lt!vdundcnt lJf th (~ uuder-devc}o pcd areas

,vri11: d. m.1: c•rfall'! assist j n c;vercor.1 i ng thcs!: d 1scrcpaneied S11ch ~O 1~D:,rJ~ v.:c;u]r1 b·.: rcnrL:s,·:nta·':ivn of L;.ic:al /\.1ill,orities, local' trade

aPrl Lt1t,·,nicr.c::·tI a,wciation<;, Trade Onions and dovelopmcllt ~tssr;ci~tions

~.S .;_ Tl ,>1dy ;1t r pl wliich tlic .,~overnrncnt hns mack to y in!hwr1C,\ r1 1e level , ti. prices li:1s been a11 atk111j>t to inlluence

< the level of wages.! This all<'mpt failed. Consi< cration shnHld ') have bef:n g ivtm (c> Ilic clcsirnhility ~if i11'A11c11cing all kinds of

incomC'1 '.\fndern di:;<-;11ssion l1as centred on th~ nccci for .influence rm the levd of [)ro-iits aml other non-wage rncnrnes a~ well as wage incomes\ Policies i11 t·his connection arc generally known tt:: 'lncnnw-; Policies' hncl have 'bc<)n advocat·ed for Ireland by Fine Gael for a consi<~erahle lime. I

YJ YJ

vo 19 YO

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f'i. An cs~cntial prnreqn isilc for the form11lal'ion of an Incomes l>cilic:y mllst he an nccuratc estimate of future economic trends.

/ The ~~overnmcnt mnst estahli:sh madiinNy providing for con-

~ snlt.ttion hcfwN~n Traclc Unions, Employers groups ancl the ~ovcrnmcnt itself so that the governmc11t's views can be con­sidered and so that the nonns for increases in wages and non­wage incomes can be agreed. The government shonld not act

p·F- merely in the rnle of mediator. It 1.nust play a positive part in ..• ,1 • hclf)ing t? bring about an orderly a1Tcl su,stainecl growth in wages

<<..,., • ,,t-.,.A,:~nt s:ilancs. w.t.t;;1.:-~\~

· . r 6. As the largest employer in the State the Government 1P-1 -

1 should not merely await the development of patterns of salnries ?Hl.(;ES A\'.':) Il-JCO:dES {Surnrnnry) l · l J J: J Jd k · 'b -::,·r: r./o'fu)\ anc wages m ot 1cr einp oy1;1cnts Jut s 1011 ma c its contn · u-

.,. L is ;;e,l<:,·.::Uy ~1 1_· .:;C'ptccl -th1t -price st:1.bility should be one \ tion to the clevelopmeut of these patterns by dealing ex,pedi-0f .i L,, -,rir11:,p:,l (}bi,·ds of )!t.lv!.·n~mc•nr econordc p,>licv1

1 Ri~iw~ ,i:...s~ , tionsly with the daims of its own employees.

· l · 1 · , ' 1 • ·1 · , . · • · ·- '°1 c r ; -P' ,,,. ~ r.::.111 prnc nee rn,( e.•w;:ii;,c ml at10Hary ummt1011s; m :m 7. A \Vagcs Policy must be supplemented and comple-•Jr;i,n t'con,ar:v :Le:)' ,;..;.11 bri1:1! :,bottt :!3a1GHCC of P:1ymcnl's cHffi- .r. , .I.. l f h l , .: , 1, ;,., . . i,, ·re··:.,,,,1 ,w,,-. ,, n~,1 ii': in in-c·n';"l'-i'S i•i rh f' cos~ ni irnvern- · 1 'Vi rni,, ·, mcnteJ by a po icy or non-wage incomes. T is means t mt an

4

··- ~"~- ·, ··- -- •• 1 ... ,. -. ·· ·- -'" · ··· " • .. • · · · 0 - • • ,t','.Lt(...,t(1 active Prices Policy n1ust be \Vorkcd ot1t.

:-,:~ nt c :,.:_),.n,l'.t;J:·r: which ar•.: frtqucIJ!·ly not matd1ed by Revenue ,. -i:1;oyr,.ncv, r(:s~1:ting; :n bud.'.;clary difficu1Lics. Aparl from these 1;,-.,J lj 8. \Ve do 11ot acee[)t tl1e Ffanna Fail government attitude of ccw,,·,:r1 ic g··m,1ds, t11ere nre very strong social reasons for avoid-

1 ur,~r:.'L..-~=-v allowing a 'free for all' in the matter of prices. Neither do we

;n,~ 1,rlrtc! ;!,(J,: .. see.. Uvfr,g·e:ost~ c;:;n t·asily oulpt,ce soeiaJ vvclfore 1 ,,v·· . .,,.!. believe that prices can 1hc rigidly <.'Ontrollecl :by legislation or r,,yrih,n:·.s ,i~rl many 6!'0 n_ps in socie1·y never catch up on c~. ·~l-1 government action.] \Ve believe tl1at a third course is possible. ,,1cr,::1,,_c; m'i:cs. ~ TJ1;s can he achievNl ,in the following way ~

:A. ()r!t3 of t!,tJ jnaior faHur~~: of the JJtesent g<.rvernrnen,t has bu:tt ii,, irn;·,W:.-y tn ccntrv1 t1ie h:vel of prices. O n social and I. J Guide posts for price hcl,aviour can be cstalJ!ishecl.1 Having ;-,c;,,:cT,,,; :~:·ournls a policy 011 prices ailCl j1t-:::omcs is urgently ·, determined the proper bchavionr of ·prices it would be neces.rnry

for tlio~e seeking to iucrcase prices to notify the Government f :··t;• ,~·i"uy. f1 ,rncl, if required, to justify the increases sought hy r (tference to

:3. •L,:on,,n,ie t1 tfCtry i~ciLtes four canses for rising prices : the G11id0 r>osls wldch l1ad been IJreviously establishe<~. A system ,,. '"· ,.:.,, ,j,., .. ,. -,,i c· .. ,. - ..:-\•n r·•n·1li ·1L -.,] ~\"fl.<re ; -~ere· ...... ·~·~ -s ""\ ~·· l1 '"·'"'". · •,.i .. ,1.,,, x,,t.~,·,'.' ·'-·:-:,l,., .''. '•_t:,· · : ·.· ·"" ' · ~, .. J:, - CJ'.. /.'I of prior notification of JJrice increases sucl1 as we suggest has 1:1,(·~.: nkTC .. ,:-,'S and f)ro:i!s. I,1 1.'\a1,11T1rn~.' the lnsh ·c>.1wnence ,m J l 1 , , l II ll 1 f 11 J

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-· >een oper~1tcc in . , orway :me. o anc1 success u ,y 1 :·r·bti·,)U to prices oyer t1H: 11;1~t r~w ye~u·s it is nec:e;,sa ry to warn

:1g:;insl dH· d.ui,:,:e,.s of ovcr-siin:p1iflcation in c1ia~1Josing the I 9. Tlic Govc'rr1mc11t's approach has, as we ltave indicated, I c-a,,,_., . .E::.v:.:rt upinion c:.n poi Ill le, l~iff,,rcnt factors opcrnting at ./? ~ een an approach dealing w.ith wage income's a1one, ao<l it has l•

.li:foreut t:rncs. AL time-; price increa~cs were ·rn~iin!y clue to !r; hown no intention of dealing with non-wage incomes or rising sretfal factor.s, for example tlie cut in food :mbsidics or the 1 )rices. In irnplcmeiiting an Incomes Policy and in considering irDr1csitiou of the- Tur:·1ov-er Tax. At other times impoit prices /7 )routs ancl dividencls the Government must take into account l1:1v~ ;1clv1~rocly nHcclcrl tlumestic prfr:t::s; and at other times // he need for growth and CXJ?ansion of .production, employment,

s' .l- wages a nt1 profit$ L:n-e been ,c;ontribu~ory factors. I/ ffi.cicncy, modcrni.sation and the need for exports. If, ,however, f_

J .t /'I ....--, S 9 f. ~~ r

·~' ~~-~----~----'-___________ !_

.. ,.,. r' .:. .• !"> I I " l: n • • • · , • l , , : • : • • • • , • :!l t • ,\ • • , ~. . • ; : . • , ! J : .1 , + j 1 . i :.<,t ·r ,u

C. , ~. ·. , '·'-• 'J :· ... t., ., .. ,. 1 ,ti,; ":..\ l i'',:!,...,'L info r:·l.i-

. .. d' ' .. { ',l \ \~ ~,\,_ I:!~ ~,t ·"~~·.,..,., ~. l\,h{ ,.d·ti\,1t1 , \':'iU~ tL\~; ··; · · ·; ,1, pr• ·p•"L. ,1·. i11clit"c:!ni i11 'tJi ,.:- Scni:111 dc:aii!lg \.Vi!l1

.... .,_ lj ... x ·, li-~..:. i H .. :·t:' .. ~~i ~:,itt) of L1t'ZCt1u{.·i11g ~i \)lvidc11d ,1 :l. r .. J • · - ~t, r, r. ·;·: .. :.

J ' J L·J i.1t·, 1·1 \t. i:c-ri· Lrcf\ {\Ji .. 1pr dLoL does ,~ol c\P;t l11c (;:Jv-lJ -~, ·, :-.r ... !)~- , ... •:.: 1 e • ... ! :,: ;i( C<~\:lnt .... ~~ l .. ·; not t'-! 1:c-:t of thi.'\

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:1 j 'l{.; I C "t•I Ih: nsLd ~>y nrr~lrtf.;l- l I :·11t ~)\ 1{V,/CCJ)

·' :c:, ,,,, 1·~ < ~,i :.,, .·i·~ and v:l,,1k<.:d1\;.; or rctaikrs t11() F:iir 'r : ' (~, ,~,?!1;'t .... h l l:11:;d;J :"' t.\'1_; fiO\V,:or l<> i?!V(!.,t;g._il(' SUC:il prices

l l a· 1 t ::· ..:erl;1E1 whnl:( r the 1<:.vci:; li~,·d :\re bi~· and n';t•,0:1:xhle.1 \I 1[ t,~y :· .., 1,r.,, t:1.; J.'' i,;,_j !i.\c~l ,:w,11d h(,; p:-oLi!.Jib·<l.

f\:x-i.,

!~l,>J1._:;-.;1 ;. :\ND !v!ONJo:-tA.lW I'0l . ..1CY (Sm:-mwry) 1. Cv-•)TH:1,''·\'!';:0 .. , OF r~c0::'\(;:,1'iC: A:\:: V.0N!'='f.ARY l>OL1CY:

.\\',, 111:b.:\t: 1L,tt ,t is l'il.t!/y ,wce:;:::try t() !Jrin.~ nbont ~n 1.fJ°1;t;t;1·.:;; .:.,•·o~din;1!;01i 11,:L\'-;':ir.:1 ((;<,i ornic: and monc!ary po!ic;y· lb ... ~t 1 lt:.~r:.,"4c, !~; i t;l ; 'll"!' . ..--Cl.l £~-.":r""h .. ' \\"(,r!= •()£ i)Ur fl~Juking systcro Ii-(· ". · , ,,.n • ,_.,, t • tf I ' t •• ! l _,., · • •;,. , j i"' 1'·, 0 , I . . 1 \ · 11'(1 ·, ,J.. ..._' •, ;> t .. ._. 1.,.,, .·,.:1 ;,, !,tt. .I d .~ 1,1()J. ... . cs; \\l.t(.11 \\·(. ,•11,-,,-:,<St ,ll(, no );, .. ~'lj~t ~~ \ ... ,1;.·.)1 • .i\. !; .. 'O\\~h. t~.~J \e i::11)t:Jcd; U1at H they are,

CC\~'1,. lit· ~:r \1, LL \'/!n l.1c- t';,t_~:ic.;~tcd.

·•. 'fl'!, ·h.:f'::;: :,..T L]\"!!:.. 'Bi,!'WEl::N THE 'BALANCE Of' PAY.\1l:NTS

T.'r,d•0

t' ,·,1 ,: prl' ;c!;~ :;y.st:::m tLe Com11_11:rcial lhnb; require to ni ~:.i, l~in .i.',.r,·ig;,,. n .. s.:n·. ·s (i.L·. <;lt:rliJJg) for two purposes : firstly. t..; nl,, ;Sr i ·i~:2 r:,,i~s 1 :1_ ~ 1e C~t:nt·r,t: Ld1!k, .! tH1 ~"t:corH.lly·, fo~ 1,, •k1 ,•!, v·.ti.:rn: l payn1,:,1t,; <J\1 thdr <:L:~,Qrnen;' behalf. Prior to l'/i.3 !; .. _~ · +·,,.-,::g1, r: .:,·:·i'u., wr:r,: so bYgc h rC'fa:·k,n to the \;;, ,{):,it., in ir~h:,(1 ',hat ih::-n: ·w,is Ot, nt;u:ssitv tr; h:we a 11xed ,-,i(,, L~·h·:c.c·:1 ::xtcrn.d H':.C'n:es a ;Jtl Joposit~.' .. ntl the !;i:t.e of ::11 :. l'<J,::,, .. Cd 11wi· iJt :wy l\·:!Y dctcn•,'·,e thtJ ir.tt·r·nl credit 1;,

7'.~ i1:s r{ I:,· 1..·c.,rmwn.ial l,,mL. In ~lie o!Tk:i::d C:1\!l:rnrnent

~;~ 1 ,t~_1:-:! ., ,, :~\ C>:,1l;1T: ~:; Dertdu~)lt.i<'!11r) ]in\\ ... C\'l;r.. !t \Vas st:1tcd t1.,:: c-:;,Je ·C' e:.._, :, ,d e. oe:~ cp.1, · H: co:11in11e,1 tL1t· ii: rd ,tion l,; d,·r, >:1:, will,iu 1n:bJJd ;.1 net c:-,tern;1l n:;sets nttio of 80% ?l.~· ~-, . .. 1 .. · ') t. t1 a1.>re tha~1 ~t ·1:?t~in"1::!1 ~ te level for ~hD co·rn .. !'l.~ ;,-,.:.!l 1!,:, !,., ,1-: ,! whole. r,nd it \v ;t..: , , ·)inte(l ont that if the r .. i,, frll \;, k,w !10% a li'.:]),lc,,i:1g of Rank cn•cllt ,1111 1st be ex­peckd :,!ld ,1".(<!),cd as a c:-•,·,·ctin: ~o J\t: Bal[ ii<'c o' P:1y.nc;,ts.

·n,c C:r1i":-.l J5:c1.k rioiro:rl out tit:· implicrttiom of chi;; policy r,··:,I '1,1h tl 1::,,( d1c.: co;m,-.._ti,,n bd\•;pen wovcnwnt, of the banks' },c'J1ws of t-:~tc1.1..l n~se~~ .1~,d t:10 a::nou11t of crcd:I th•y ern , :x·,:: ,:11 1 ,•:,ts ,hrc1.:t a1w incvit:l'lilc. Since l!,1::n the 30~~. r,1tio hr,s Lc:n i.,Ji:11,c'.,:vd :;ml iwthing )1:!S htcn p:t in il.5 pbcc. ~- 1'H£ t°'iJ'b!) ~Q~ A nt·:no:-iAL DFTE!U,!E~!:I'(ON 01:: CREDIT

P01ICY:

,·~·c lie::~\ e it h c1esirnb1c to insnlnte the Crcd1t Policy of the

l(l

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c..omn1c·:·, ,:.l ii,,;,L .,g.1i11,t 01H·l1i:ilio11~ i11 lhc JlalancC' of P.1v-111,,11Ls a~; 11:is hl't~n 1\on(~ in n\ht'l" t:m11,tdcs. \Ve :i.cc:c11t. (1( crnu_.~c, tlut a' n.ti:wc:<' of l 'aymc11ts deficit rcs11lli11g i11 :1 l_oss of (nrt·1i.:n :-c~N\ '('S lliay iic a r c:1~;011 Jor ennt rading_ c\omc~hc crcd1t-l~11t il should uot a11lonwtic:dly t.11-t· pl:H·<·. It 1s possible l'o concc1,·o cir,·,ur:s/ :mcl'S wl1C·r.:.· ii wo111d he [roper to acc<•pt a temporary losii of forei~n reserves l)eeansc o ll1c pro.~pecl of f1)ture econ­omic c::p:u1,io11, r;1tl1cr tkrn endangl"r t~1.it expansion hy rc­~:lridilli!, domestic credit. ~either tlir GO\:crnmc1_1t nor. the CC'n­lral H:111k !,av<' any c:011110] over domc.~l1c c:rc5~1t 1>ol1cy al the p 1 l'S{'11t \ iml' . This silu:1tion mHc;t be altered. llie Governin?nt l1:1s a duty lo provide ll s11 it,u_blc framework. by means of wl11ch tl,c l('vcl o[ l·n·,1it {:;n: _hl, xollona1ly del~~m1n~d ·by tl10 res~ons-iblc rr:u11dary autl10nt1C"S, not by the cx1ge11cics of !'he Babnce ot l'ay111ents. 4. ME'fl IODS OF CONTROL :

,?\.1elhoc!s of conlr11I of Cn·clit l \ilrcy hy Central Banks in other <·1)m1tri\:s taki.o d iff,,rcnt fonns. Certain d tlic•sc techniques, for c·xamplc. wh:-it is known as opcu markC't opNalious and the :tltcralio11 uf lhnk Hate, are i11,,pplic;\b1c in the circn~stauces of the Irish r,conorny. Informal clisc11ssions ~nd c:onsultatwn or~, of cnmse, most j111port:1nt but they an~ olwmusly not enon~h ~£ the in~til11linnal framework in whid1 the lbnks operate male it

' fc,..., ... -(3. clirr.cull for them ro ·have rc"arcl both 1·0 lhe 1>11blic interest and Fe/'.. the interest of d<'posilors a,~1 sh:-ircholdcrs :~ml it is anomalous

({;,'i~W tl1at th~ Ccn!rn.l 13:ink should have power lo rnll11encc an expan­;,:t,/;) sion of domestic crcclit (a power whic-!1 it ltas under th~ Central

, .. Hn,;~r Bank Act ~D-12) lmt !~as _n~ C'Xprcss st~tuto~y. power to influence ~,. "\. conb· ·~H.:t1on of crcd\t 1£ 1t d<.\cmc,.l tt des1r,,hJe. h·''' " I, ,

t.: - 5.

I 4c •'T ) lu some conn tries the Central Bn11k is empt)wNcd hy hw . . l. to 1.lx minimuin reserve 1·cquircmc11ls. The lnsh Ccnlrnl Dank

' }d~;:-.<yn has 110 such power, and we propose to amend the Ce111ral 1~ar!k .. f-r".1>.~VI!{ Act to g;ivc it this 1)owcr. The system will be operated w1tlim

~ ., I the present banking c:011vrntio11s . of this country :~n~l the Ccn1~·al nl'J.. Jhnk would, snhjl'c:t to tl,c agreement of l·hc :-itrn_1stcr for 1•:n·

,Fo/.~-<<;,vl ante, be empowered to fix minimnm rcsctT~: rcq1nremc11_ts. 1 he 1 r.. ... -~ -1~.;~- r~1tio to he dctcnni1wd CO\lhl he chosen a[ter consultal1011 be­tween tl 1c govcrnmc11t nnd !lie commencial hanks. If .the net

\ cxtc.rnal assets ratio wns agrcr·l\ to bo t1_1e mo:;t appropnate one then tl1e Central lhnk coul<l fix the ratio at tl~c figur?. that _was tlioHght c1esira1Jlc. Jf thf' n<'t cxtNnal a!-~cts of Lie l~anks declined tl1e :iuthoriliL'S conhl irnh1cc a contract10n of crcdJ~ ~t hom~ by

~

ain.taining the ratio. ~\ ltcrn:~li~·eJy., ._ if tl1e. authorities decided ~:.1inst a policy of crf'dil re~tnction, ,he rat 10 could be reduced.

6 FORI;IGN RESERVES OF BANKING SYSTEM :

'One of foe unnsnnl fcatmcs of our ban.kin& system is the fact that the foreign r<;>ceipts of our commercial banks ate tetaincd by tl1em instead of being passed to the Central Bank. In other

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~,.1 !:! ·: .f....lr .. :, :it! t he ,-:vi::·nt C;[ ~-L dt:ph·tio.1 of its e:dt~rn~1l n: .. : . ..;crv·c:-:, -.,i-,,·11 t.•rc1. :: sltn 1dd b0 rcstric:ted. \Ve idicv;: !hat it is dcsirnble f·1 .• dt .. p[ ~}1!'-: ay~t.:-1n (n Irela:u .. t f() lhac e\,'CHtllaliy t·hc co!1:·itr)/s ~·.\··,:::1·!~=•. 1 re~:t~f'-.'C>; \',.,.;U /)(· centrc{J jrJ t:1e Ccutr'"d Itt:-tk. Its ordr~r r,--, ct1!c\.'C .. ·:H;-.; ... ';/t-~ l TGflU'-"r: .; r: opcrn re Section .'5J(2:) nf tllc Ce11-'Lf :.t~ .L~;lk .;\ct 19 .. ;2 \VhkJ, })rvv!dc~s for the 1r.. ;~king vf regulation'\ ~.::-p .. :-;,.g ti:,' c-nr:rn1crc .,ll h;1r1h to lodg(· \Vi•th the Centr;ll Bank ~c;,- ( ! c .ll'.l.. 1c:0 aii ch::;i ucs, bills :md othl~r ne:!.otiahle instrnments I,'\ •• 1)],·., ("\f)"!,1."; t])t' -~:;;,,,.,;,,-,. ,_,,

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7 . ..;i::!· rs{)(• r.JJG .... \L T~~J!)Jjl{ ~OTE FUND:

\ \' (: uc.Jit::n: thnt (;011 .. ilte,·al iG!'! :;houlcl bo ~{\ CH at tlW Uj)prO­pr.i:,te I i;nc: t(} i11crcasi.JJg tl,e forctgli s1:curH:ics ( o lher than stcr­li;:_~i a:; t~ Leg::! Tender :\Fote fund so that o ther suitable c11r;·cr•cics t_·,Jlld be added ~ud tb(• a~sets strncture of tk~ Legal '!. .. ci.,1~.:i· :\~,J~t:: },:!:td ( ·£1.1 l:,:; c1iversiHz~d .

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;\ ew fi! .,.1wi.tl 1,,,[il"nl~o, .. , ur,· dcvl'.!oping in t} ,is t:nunlry some of w}ic-11 .. ,chcrti:i t: ,,x:terr,ivcly. Their development w ill he Ci,re­foU1· Wcttd!:~d ::,iJ if [r~~ishtive rnea.:a1res l'o s :1fq:5ll;trd the. public ,:re 11·ecess;,:-_y (•;u.::L a.,: (:..:-.ist at preseat in reLltiou to commercial h;1nki.1g) they ,viJl he i!1troduccd.

TAXA'ftO:'>: l'OLICY (Snmrn:1:-y)

l. !'-JEff) ;.:·on. RErC,F~~··! :

Our prc:,::.•nt t?.x,tti•m Las grown up pie('en°1·:tl over a lc,n~ I l. p 0.1 io,l of yc'.,l s :lnd i:, iu m:tny n.:S!ie:.:ts irrabonal.j It is desirable t\:l t:!J·~ i1l:.:· ; v3t21-. l\(• ·rnviev .. 'c:J \Vith ~:. vjc-."/ to 1r! iJJj·1 u isinr{ disinccn-1..1. ttv,: cffc,.·t'1 :i;;J 1,:;i\in:i il mm:c eq.iitabi,:;\ Arrong tit(: 1,wrncip;i.l

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(f .. '.lv : .... Le ca:.,e o[ the srnall L,nnf·sJ the effect ot exemntin:1 IJ ~ ~fn;,ii '.:1:-,::tl 1<,n on speculative pro.6tsl and tlie effect of exc11\sion

d :1011 income !,u p:lycrs from ccrt:1in beHelits open to those ¼ r,:,yrn; iu:,.rr1c· !.'.l:cl .\mpng tlic pdnci1?al Ee'lturcs w11ilh may ~ !tt.ve ct di:".i1,e;(:'J.ltive ,_;{fret c.,lt e1,trrpri~e arc the iiuc!equacy of

,!"prr, -i-· 1 i,.,,, rrrivi:;i,·,ri..,J+l1,~ ,;ic· ~·ix ,y;tcrn whose m1rginal L1ti:-,

~ he :,r mo,·c hc;:vily on banrnd i11come in the upper m::rnagcriai i.'v·.::·,1 t-lve r,nd proiession:ll grnup'J ·

2.

T}1,:- we,tknBs.scs of: our hx system ur;_; rcnwdiable wjthor:t signific:.- :1t uttt Toss of revenue throngh the reform of the tax struc:tli~c.

1'.3

3. C Vim ,cl n:co, ,cs tlaat the social reforms it is proposing at

~ this timc, \,ts w,•11 us fol:l1rc jmproverncu(s i11 the social sccmity 1-..:> sys~c;n which arc 11r~cntly _rcc1uirc,d~ will i1.1volvC' some. increase

tx in the level of taxation. Fianna lail admit that any lmprove-u m ents in Social \.Vclfam and hcallh services will involve nn

increase in taxation.I Wlwre Fine Gael differs from Fianna Fail is tha t : '

i. Fille Gael J,as prqx1rn<.l concrete proposals for social re­<,!:"' form after detailed st u<ly of rna ny of the outstancliug problems

in this field\ e.g. a comprehensive health scheme based on insur-1s ancc; new l!on1ieiliary welfare services, etc. )lly contrast, Fianna '-S Fail has neithr.r exarniuc<l the problemsl prepared policies ,por

'1S ~~ even directed the dvil servants m1der its control to do. so\ . ~S ii. Fine Gael docs not accept the general allocat10n of rn-

crcasecl resources as between social se~urity payrnen'ts, subsidies l~ and genera~ government -expenditure, proposed in t·he Seco.nd

I>nwrmmne. Fine Gael believes tJiat from the revenue wluch will

0be ava1 ahle in the coming years a far greater measure of

I)( l~ social justice ca1i be achieved tl,:m l1as been p1oposecl by Fianna Fail.

_ , 1,~ iii. Fillc Gad believes tl,at future increases in taxation should /\ , 01' "l(, 1>e directed towards 1:eal social improveme~1ts 1in contras~ to the

,~ ,.?.,,.<.· 1 Fian11a Fail poJicy of raising ~he level of incl~rc_ct t~ixa~1or~~~y 7/'-,.,'("c,-_ S.'..20 nm . in the current .fina~1crnl year-thus h1t1·1nS ~nd1scmn_m·

_ •. 1,-, atcly even the poorest sections of om people, w,1ile effecltng ) l i; ,u 1.£.. only min.imal .increases in the level c.f social wel~are payrne1'.ts 1 ,-.1.'>,fl.t / rand mnking no effort w]1atevcr to reform the antiquated social

'iJ security system.

4. RATES EXEMPTION :

1, \Ve propose to f'xempt completely from rates all farmers whose , /,~c rt 7 lands ancl agricultural buildings l1ave a total value of £25 or {/\·f~f;{· ,e,;, less. I Another i1!1portant feature .of Ot)r agr\cultm~l policv

1. is the _ -~)q.. proposal that future focreases in milk prices will be c irected

{: \-,~· primarily towards the small producer.

5. PROBATE FEES : /0 It is proposed thal Prnhate foes on estates not Jiaihle for estate

duty should be abolisl1ed.

6. PROFITS OF SPECULATION : At the prC'sent time _profits of speculation arc exempt from

M c12..,.r 11 taxation~ the burden of whioh foHs exclusively on incomes earned -·,n . .--E;,II from wfak or from the .in~s~ment of ,~ealt~! This . discrimina-1 ' · ~ tion in fovour of specul:.lt 1011 1s clearly anti-social and ~s unaccept-

c.1,, 11 able in many countries\ including -the United States where such /'f!c;:.1 -o;1 profits are subject to taxation~ Fine Gael in government will . ,. ~ r _ undertake a careful study with a view to devising methods of

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1 ··1j ensuring that pro.flts of speculation no longer completely escape i, 1.1\·n;;.,..; the tax net. )

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Jf) :,; ~.\ :,.'.i.(i;, .1a c.,:·1;c:d ii1ec:ncs :!.t these; lcvcl,:.f ' f111s slwuld >o { r.:.~r,~i;·:..,~~i.l i! .e :id.! Ci \V ·.Jf rnach :n,~e(!e<.l n1:1iJ.rtg(,{ial nnd tech-45 ~1~1~,., .... )i..: .. J ; : .. J]\;( 'fJ ,e: Ct1:-:t tG the 1:~.x,c·11L·qner \.Vill be iln1..11I.

' ... ·'.1. p, c,:cr!t provb,·H,S fo: 1 h:\ c:JLui!ii 1g- of J,~rn-c~c:ia!ion for ltr:J t .L-; : ::t~·iit)3(, ls .ir1.<){1ni~<t;1 ,lcJ lL \;nf;Od r d.;;cs .. .. firrns t() pr,uv hl(~ de-

t . I ' ' l , .. J I I . . "k . • 1r·r·c,:, w1. en ;m .,istor;c,1 o::.l. iu.,1.1 ;rnz.t o.ler.s :1 pos1t1v,1 cilsrn-to • t · t' J • •• 1 ;- · · , r- f t' C,.':.i1·;t~ •) ne n1:, -iug O! ;l{ cquaLC ,;:J!'O\/ISJOll DY lll"H"IS or l)(;

10 ni:,L(,,:,n,.'1.1t c,I ilxcd ,s.,0:s.) Finr,:; ~lw11lll be p1,rmitlGd to add ,;:u~h ~··~=r, · to d1e s~j~Ti ca.Jc !l'1 l~~d on ~111 h istorical cos:c bi.lSis .. t l~l;!"~ t ;.1 L .. lt/~ tu ho ll(~l..:.~ri11L :{\d by the i ncrtasc i n r~1)lac:cn1ent i tJ .. :~ f A! tL 1~·: ~,iln(·: ti·nJ t~1e pcti·)d trvcr \.V<l:i-cll the a."i~ets C<ln be d\~;Jt·:·!:i.;icu ~i~.ti:J 1d be ::;r:idunlfy ~horltnt;<l in ueeordanee \Vith rc-cu;,11•eJid,,: iou SD. 1-!:2 of tli0 Tncor:1e Tax Connni:-sion's Re-

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lo :"Jorr./ TL,!S,; s ieps shnuld encourage a very rapicl modernisation

IO of e,J. ~.! ~ l lfi J i"~l.it.

-:; 1::~.:·t·r; \':~,!fi\~ -Jf.; .:;,LLC~\~?ANCJ.:s :

1-.S I.I •·i_i .. .r c·,1 1• "1 a:: I ... <':.\\/ tbO'.:',J 1iahic f::;r In,:onJe '"rn~, bcn~nt fro n1 V'.'ri:;::s ,:1),),pnec,: fo;· nxa:n1,1!c <lcpcnd:1.nt diild allo\V:inccs.1 H wuult.l ,!.''" ,1,:sirnbk th:1t :1s :far ·1s possible '.>l!Ch hencfos should

-is e.:: c:-:.rcr,,:kd to tiwqo w}w arc .not wen {:not1gn off to pay jn.come i:JX,,01 :ll',(:' ])H,Yir [.; unly tim: Jl :ttTIOU!Jt~ jn tax:. I 1 {). rn ... L>E ~., ·r .Y .i)t.?ltPL9 :

~ E..:.:slin.'.'~ I J.:r alln,.,·;11,:c fo.: ckkrly people vvho :~re retired or Jivir ,;.; u,1 i.1cnr:,c~ from savings o : from pensions are jn:i.dcquale. f " ··, , , 1 · , .. T , · So t '.:t1u c,_~:,ei pJ<;V;,;S 1tse;t i:o e'.cct sui1s\ nnti:u jmprovc-1::onts in tl.e,:,) t;:i,_ allo1,v"ttt:cs foI· people eve:· 65 ye::rs of :1g,o.

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1 1. 'f.tiX !?51..Ll:F t :ur{ SCllL~:iLS (.)},' C{) .. 1,>,/,.J{'l"t~E nsHrPs : J.1'1, ·, :_;;1e1 '.1die1.,cs t!1;,r sc,rri::: i,1cc,11!ive slwuU be ,.~ivc,n !,(; Hrm~

tc- c12co· !/~l.~C: tl!ern Lo Gff·er sh:1r{;;,':~ lo thcjr ernpJove~;s on L1vour­:-:,)}:~ \cEn:;f Propo2.~,L to i:'li:It}ttu(:C ·provisions 1.nl.i':i thb Tax Code v•:ill he desii.1!,cd t0 encourage such I.:-rovcs by lrisl1 fams. / J.'.!, lt~CC·MES l'OLICY :

tO i'n)~.r,'s::, ·t0varcb im I.nc,)mcs J?vl?Cy will require rnc:isnres of 'I !"·<'.',lr,:iJll ·' ·c1·ui:·.~; non-wa.2:e income us wdl as wa•.res and

:"1.):11;d,J\Yt., arn s:.rc:p,1red to cousjdcr ,1 propo.s:.i.\ whid1 r:.:.S b¢Cn r1 ;Et·,r,,,.::1ted by (he: ·_,,: __ ·,;nomisf :ZS/9/H)G,S which w :1~ tcrme,1 a

I?i\.'JLJ.C!lll r:L;d_{lljsni·ion Ta·cfr.i5 tax \>\/Ou ]J be designed to keep 141 tn_e, gr_;J\\ ~n f.-1 .t.be. a• •• ~rnr:c twcame~l [wo~nc: after tax in line

w1~t1 uw p·ovvlJ, or ,vag'-1s ~u:d salriYres a!1d. thus would cnsw ·c that the 1p:E:Hcruion of an Incomes poli 'Y to w:1ges and salaries

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Le, \viHiLlrl give ~ ·to incq1iily as ')wtwern wage' and salary ·n <; ,, ·; :;h , ·:u·11\·:-:i ., : ,d t!1us~ _, vi1:g whol!y or partly <)n u11carnc<l jncornei

_,r:; Jke:1use snch a 1.t~ \voulc1 foll on pcrsoual incomes n11d not on . .., ... ' <:01~1·1,,:1iw 11rnfils it w(1 .. lcl h:we no adverse ceonomic effects such

L, ' • ,. "''' • ,.. r I f , · as Jl,,w fmm mc;1snrcs to eo1ifrol pro11ts or t 1c amount o profits .. ,v distributed in clividcnds.J Should it transpire that such a tax

V:N;,, ,·/,,~ri] \VOlllcl nffo, nn :tp]_)l'Opriat'C SO}UtiOJl tO ,t]JC problem Of <levisin,g ;N,(,,~,--1 ,rn :wcept:-dJle Incomes Policy / Fine Gael will be prepared to

corn;idcr the fcasibiJily of incorporating it into our taxation , syslen,I

13. .EXPEKSES ACCOUNTS :

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The present Expense Allowance system is a subject of abuse/ Steps will be ta.ken to tighten up the practice of 'Ex.eense UC<.:OUllt' cntertaiuing hy TC(zliring firms to justify Specifically all cxpcndilnre on entertaining. nus would be cle,uly distiuguishec1 from expenditure incurred 1 )Y members of the staff of a firm

11 oa Llicfr own acoonnt when trave)iling or away from their basc. 1

14. TAX EVASION: I/ I The recommendations of the Income Tax: Commission on tax:

evn.s.ion will he folly implemented:

SOCIAL CAJ.>ITAL INVESTMENT '(Summary)

\ 1. The fumhmcnta1 principle on which the government's First Programme of Economic Expnnsion wa~ based can he summarised in the followjng three propositions :L

{a) \ The govcrnnwnt nnticipated that a db.cline in social 'capital frlv<~'Stinent would occur 'ma.inly because social needs, such n:~ houses and hospttals, will soon be over­LLken in most of tJ1c country'. I

1(b) \It decided th:1t tllis dt1clinc would not 1be rcverscd.J

{c) It proposed that tliere would be a switch of resources to 'productive' purposes. \

2.\ The proposed rn<luction in social capital investment in fact took pb,c. The number of houses, for example, built by Local Att!hontics declined from a figur,e of 4,784 in 1957 to 1,828 in 19(:i3.\ There has been a sharp decline in the share of government dtpit:1l cxpcncl,turc directed to the social services.

' 3. ) iWe make the following critjcisms of govcrnmen·t policy in . relation to capital investment:

(a) The underlying assumption of the government that there would be a decline in capital programme of the _public authorities 'mainly because social needs, such as houses

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, . Ui\ion,; ~('cmii1g a snL'ial <·apitnl im·<'.~t111cnt :nc 1:Hgf'ly liapl1azanl, ;tll(\ tltt.' ncc,l for a co-ordi1iat<'<1 :rnd planned pmgr.nnme of social investment i~ apparent. ,ve propose to ('Sl:11>1:~t. :1~ p<trt or 11,c ll'l.\thiiiei-y of pb1111i1,g, \\ So'd,tl Com­mission rcpres<'nlati\,,• of the government, local authorities, vol­\ttilary Uw.rilablc organisations, educMional and health au'thor-11ies whose func:tions will IJe to :1ssess the social investment needs for the whole country1 an<l to draw up and integrate plans to meet 111cm. These plans would be integrated in tl)e over-all economic plan .

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0 I [E!\r cw FINE G.\EL I'OLICY l!)G5

I. FlNM,CE AND TAXATION:

<..~ Fine Cael l:cli('V<.'s t hnt it is \vrong to tax the necessaries of

l'.fl . ~ S1rd1 rnon,es ns nn: _nccess:ny to carry on government \~ter

<f 3 elirni,,at-ing wasteful {:xpeiidHmc~ nml to pay Social \iVclfm·e 1..\ Jk11 clits in full ) will be obtained wit,hout pl1ll'ing ta,.,cs on -z~ os,cuti:-11 foo(l, 11101 nnd dorl,ing.\

lFirw G:1d will provide tlutt tl1c p /~nsions of State pcusioners ~""'I will he incre~is-cd s.o as to take into a-ccount the incre:1scs

obtained in their former ,~mployments since they retired[ ~ .i.. \r. inc Gael will exempt cnmp)ddy from Rates all farmers

r w1:o k t\'•e a total P.L.V. of £25 nr 1css. r(: I Fine G:tc!l wjJl abolish Probate fees on 1estatcs not liable to

Estate Duty.1 I Fine Gael \vill undertake a -;careful stu. dv with .i view to , ,, I J

devising methods of ensuri11j that profits from speculation l\O lonµ;{;r ei,capc the ta~ ne1 1, \Fi11e G:id will encour:1ge the return from abroad of Irish

I nationals w.it~i m:wagc~rial expericncei by moderating the · inc]dence of uixatioll on earned incomes at certain levels. ,

Fii,c Gad will alter th<i present system of charging deprccia-1C' ti.on for tnx. pnrpo.<;cs,i so that adequate provision cat1 1be lo rn:1.dc for the replacemen t bf fixed assets pnd thereby assist IC i'Jlcrcascd producUon) 5

0 \rh~ Tns. Allownnccs for cldcr1y people who are retired will · be miproved.

1 J Fine Gael will consider lhe feasibility, after consultation with Tr;1clc U11ion and Employers' Groups of incorporating a

fl Divideucl Equalisation T,tx as f)art of an agreed focomes poHcy so tJ,at tl1e aveJ·agc ~rowt 1 on unen.rn.ed income after fox will lJe in line with U10 growth of wages and salaries.,

11 I The abuses in the present expense allowance system will be stopped.)

1, \ T)ic recommcndntions of tlie Income Tax Commission on tnx evasiou will be implemented./

2. HCONOMIC PLANNING :

Fi;i.e Cad propo~.-s 1

1 ). (a) a'o cstnbJjsh a new Department of Economic Affairs. (b) To cxp:10d consi<lcr,1 biy the number of trained Econ-

! ._ omists, Sci<',ntists, En%ineers an<l 'l'echnologists for the purpose of assisting adequate economic plauning.

1 L (c) \ To establish a proper Planning Board, This will mean broadening the Natlonal Industrial and Economic

) L Council to include representatives of all sections of the . economy,

19

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Pk1Cc.:: .:.N!) [NC.Ot,.n2s F(J:rc·t :

~1, J7' :rH ( ;- ~~el f;!'(1pos·c t,., introduce a ,propci· incornes 11olicy ~o :·:.-; t.i t·11~i\: ,: ,.i co1:L"1ud ;w,1 ,.,rclerly growth in all incomes \\']ll· ;1 i i;:c ( 'COti(i~Tl:/.

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r_r} ,; .. ,;;:;(a1_.:i~hr1~".._,Tit of ])J'O})('ll' ~nachinery r°Or COJ.1~U}t,1tion

' t'-'\ ';L.l T,:,de D1iion «nd Employers' Groups \so tl1:,t the {10;-,i:s r,,r i1,crea~es i ii ws1ges and non-w:igc incomes ("Ir, !-.p •)\'1fi,H_..J) .... .. . ... ~ ' ·c· .... ... .

Thr-t u Vv'ases PolL:y w ill be supplemented and com­ph:i;1:0nted by a pdicy for non-wage incon1cs. 'l le cs,;1hJi:-;·!!ifl!' iiC nf Cuidc P·J:-:b to indicate the W ~tv •)l i i;.,:; ,:.re:: } il,cl,: io Lelwve, br,d tlre introdt}Ction of a :,y.-t..:'11) 'Jf p·iu/no.i.licnt 1011 of proposed price fr1 cr~as-cs. I '!'J1c 11wt,stir<.:ttio1J bv the fi':m Trade Commission of pricys in m-,-_,:s wl i(·;:e ['r"ices ea,1 he ilxed by arrnnge­.-~·1··.:1ds L~t\\-<::·1.:!n \vhvlt ~~ders and retailers.

Li t!w t·.v<', ,i: (,f Trc:J.rn<l joilling the C ormnon Market, Fine I 3 <.,.,d wi:!:r:ai~t-~ lO sufo·e11:u·d :-.nd t)rolcct tlJe i n terc;:;ts of

! d;,~tna: ,,:orkers .mtl ,;r those • . .vl10 ha ve illvested their ,., . .. J!: ··/ in Jr.!Sit 1nd,istry.

~ l r,<: Gael will dlC0t1t';1gc, l'rivate Enterpri°'e by tax and fiscal :i,iUci'-·s unprrJpnatc co mo<.k~rn conditions.

J, FJ1. c· C:id v.tiJl intensify ·efforts to cstablisJ-i h ome industries­..} ,,, j'c-:L.i;y tho~e b:1scd on Iris1t raw rnateri:1.ls-J--w11ich already

1.:,ve w·ces~ to t'X port mar\cts . .Exi~ting grnntB, lo:.:n facilities ,::id tax concc~5ions will be co11tiim\':·d.

::o

/J F ;(' C ,a ·l, b, .. ving in tl1c 1iglit of Iri~h men ,rncl w,>mcn to earn their livciihoocl i11 lrcb11d, , will strive to provide employment fnr all1 nnd ind11.strial dcvclop1nc1,t will he dircctccl :uw:trds this encl. Fine Gael will make nrr,rngemc11ts ~or !he g,-:rnti11g of loans I a t a ~pc-cinlly low rate of interest for a pproved projects which will prnvide permanent em­ployment· at good wages for our people~ with special refer-

/(\ encc to indn.stries to provide for rural workers. 6.

lo

7.

IJ

INDUSTRIAL RELATIONS :

1. Fine Gael accept ::is basic that good industrial relations arc ess<:>1)ti:-:l to economi~ progress;!.th~tt such relations. are b-e~t. achwved throug,h dired 11egoL1at10n~ (conducted rn a spirit of mutnnl conl!dence) between the frade Unions and employers. A Fine Gat>l government will encourage and foster the <le­vclopmcn! and maint·enance of good industrial relation~ and will in!Tod11_ce :rny legislation ·1'11at may be necessary to1give stat1ttory eHect to proposals agreed behveen employers and employees.} 2. Fine Gael will provide a scheme of Arbitration for Sub­Postmaste rs. 3. Fine Gael will increase the pensions of C.I.E. pensioners . AGRICULTURE:

(1) A Fine C,tcl government will negotiate with the British Government to protect and ex,pand the market for Irish agricultn ral protlnce in Brilain~ Negotiations will also be concluetcd to eusurc that Irish farmers will he able t~ sell their produce .proilta,bly in all other available marketsJ (2) Marketing Hoards will lie cstniblishcd to sell all the increased output of the lanJ at prices profit,1bk to the farmer. (~) l '.'inc Gael will cs!~b!ish a ~ntioi~al 1\gricu_Jt11ral Advisory Service for fonriers. ) l his A.dv1sory Service will be based on Parish 1\gent·s, and the present Advisory Services of the County Comrniltees of Agricultme, in co-operation with the .~gricultural Jnslllul<'.\ Fine Gael believe that the income of farmers can be douh!ccl t·hrough the foll and proper use of such an Advi.sory S?rvice \ iu~luclin~ . specialist advisers in modern tcchmc_111cs oJ procl11ct1on anti marketing,) Fine Gael rejects the F.ianna Fail view that by 1970 a further 66,000 people •':'iH ]'.ave left the ~and. i .f~ine Gael. believes that hy me.ms of their comp~chens1ve advisory service every former, large and small, will be kept abreast of modem [ru.·111in~ methods\a_nd ~o be enab~e_d to s?ll their produds in mcreasmg quanthies m competit1011 with the rest of the workl. ) (4) Interes~ free loans to ~.u-mers of sums rano'ing up to .£ 1,000 will be made available for schemes of increased

21

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.: 1 r, ~~i ,.i,...;i <\·,1 r·:·•.gran~ 1r:<\ for ~l,:~ri·~·uii.nr~d. e~::p~1ui.;ip11.

\. '1- i ':. , ~ ;_J \.. ~.; ,,, 1_! '.,\·jJI p: \'SS f,'Jr·.1.,:~:r<l '.Vith ·ernr.eny :-_[\:;sting in tJt-J(·.!· ·:i i :rr~pto·. c .1iJ e]:·~-~-;;c:s iJf 1iv'c.stoc1c

0

,,1.:) T.K wt, ,lt Pi,osph:,tu. Lir;·;·c• and Poh\s11 on land, rrr:1ss 1 ... ··1 • 1 1 ,., ,d.: liJ1~i.£!.: 1.;_d Dt .. cxp~l:H r·~·· At tht~ \:.nr1e lhnc ao. ndequ:1lc

.. :JJ:} :"ta n .. y of t1t~ J~,lJ'd \i.,iJl ~)l~ g(;t 1111<ler \Vay.

~ 1' (7} P .• r fi. c< tb::: r,~ii~d J>roiecl', closed down hy tho Fianna .fi':1n ( 1

-', '. cn.t:lOJ~t \Vid he revived. J'.J ~, ,1;-:1.r, wr:J h: prov:ocd with (hvdlin;:,-lJOnscs bv the ;.,i:.d ( :,;)!1J1:b.siC\1: . f11e co,:;t of proviclir:gr \lwcllin"-h.ouses

, '] l · ' r 1 l C ' · c, •.v; :,_ .. w. :,,t:•.e,_ tc tb, L.u,(, Anmuly a:; wa.s d1.::,n.c under the r .:md f'r:)1cd. (D) ..:-llw G:,d wil1 jucrc·1:,;c to J::.50,000 1·he (\iluu:ll grant lo U·c {._-, ,1. i _•\_grjcu!tural t..J~·~tnis~tion Societv to help thern in ,·:r, ,:?,'(_n,;; !fl( ·,:·~, cffc~l~vcly co-qwratiou In prod1.1ction and t~-i. trcr·t!ng. (J.0) Cu.I!! 3.,;,: Loan foci1iLic;; of the s:1mo ,)rder as those ;,·.: .iLbk i'ur ir,du~:tri.tl p:·,;j~cts \1.iil be providc<l for schemes ,>1 r:1 r;-, ; In:-,J:m<l Je::;iguu.i to l)roccss or rn:irket ngrie:u1tmal ,;t ,d ., e!~. (1 · Fin,: Ga,;l w1I'i c.st ,ddd1 l°L Fa11n-B1.ildirws A,..-:cncv.l • r , . .. ·: ... .. , v:,. ,c·11. , ~i-,:;u~;;1 ontrn,!Tv tc,wer amo11g locd Contractors, will p1\>,·idc on Ltnns, t;1nn lrn_ildings such as cow houses, c·,Ll1 11,_·.usc.;., rnw and h0;.ham Jionscs, pi;,;-Lltten ing houses i.1 ac-c:,n·od11c.:0 with the: ,sp-ecific:1tions evolved as a result 0£ ih t: o p<?;-:n,:,:i ts carried t}Ut by tbe Ag1·icultural lnstitu tc.

;,1 :, ,Fi, ,c, C,,1,1 l~clicves di :.1.t t}icfn:scnt methf'.as of reviving !n~:i, Jn1,· (: 1,n!. l>n'n such:;,sh:l anu. thal, in the interest:, of the Ir;sJ1 Lrignqrc, ,1 change n .mt .J,e: rn;H!c./ Fine Gitd will \,.:ok to rt:\·iv.:,: hi.Ji on the basi~ of induccn,e1it rnt1wr than '." 'l l'' t,,;, 'l't) ... .. ••• l.J •

.:2..J ~;"lhir,· (,J~ . ..i vv·dj end th0 tc::icidn~ o.f !;h~l<lr.:;n i11 infant , . , i ., . ,...J.. r - . " •

C!,1:;,,r·., lnrrn,'.,;,1 !l'I !~-,,\'.J.Cr.C Jnsh lS unt tue bngl.la)!,L' Sp,1ken h th,: < Likb,n\ hornes·J lri:,lt will, of ccur:;t:, ·be uiug;lit to :,ll chilc:re:.... ii1 ~ r.!ti,Jn,,l, Sccu,H.Lry aJJcl \nc:ttiomtl Schools, ::1 lhc sr:mc w.1y as a!1y o:hc1 ·cs~ential subject. ) (,:>) .'\.ppn•ntrner1ts 10 professional aml tcd,nicd positions m ihc 1!uh1.c S(:.i·v\cc will nv lm·,ge~ be <leptmderil on "\i\ lri:;h 'l't·st. · H) 'P1e test in IrisJ, required by st;1t11lc for <:ert,1.in pro­foss;o,1:11 qu:11ific:1tions \vill be dropped. (~) B:,ys and gids sitting for Le .. wing Cer tificc,le will get Certificate'., for t11e subjects in which tl1cy pass;fthey ,vill no

22

j lo1( ~-be de[ ,('d ()f Cerlifrcn!cs because of failure to pass in Iri ~11. (G) Fine Gael will inli:o<lucc a syslf'm to enable every child

l t c:1.pc:blc of liendi(tinµ: from further education to proceed rrom llw_ Nal'i\)llal Sc,hool _right, tl1rough to the Uuivcrs}tr,,I ~~ rrrespectJ"'.c of th:~ f111n:1cwl cm;u1!1stances ~f the child's

parents,) Scholarsln1)s will be specially provided for pro­J~ fic:iency in Irisl1 as part of the progrmn111e of inducement

to rcvLvc Irish .

l (7) Fine Gae] will press ahead with n sd1001 buikling pro-1 gr:1mrne for National Schools lo eliminate over-crowding in

chsses. Sufficient teachers to stalf tl1e schools in the new l+ cor1<1itions will be provided.

1. -~ (8) Fine Gael will provide generous grants to enruble second­ary schools to expand and develop and to provide tho equip­ment necessary to cope with the demands of the future and

1. t to keep abreast of modern et1lucatioual IJ1ethods and tech­niques.

9. HEALTH! l. Ji'ine Gael will , any out a complete re-organisation of the ITc~llh _Services,l and_ inlrocluce ~ new comp1:chensi~e Health Service bnsed on rnsnrancc, with the followrng m:un fo~ tmcs :-

(a) Tlie present vexatious Means Test and the Blue Card syslern will be abolished.

{b) The c0st 0f tl1c new Scheme will be .met on the ac­cepted social wdf:irc hasis o.f a contrjJ:ution from the

(i) Stale of one third, leaving lhc other two thirds to be financed by conlributions from employers, employees and self-e.111pll)yed persons. Those tmabJt, to pr.ovide for themselves, for exarnple,

§II {!.l<l Age l)cnsioncrs,\ persons receiving \Vidow's pen-~Oq s~om1' Unemployn1e1.1\ Bene.fit or Unc~nploymeut As- F(lf._t:_ '+~ s1stancc,r Homc Ass1stnnce,\ farmers w1th a P.L. V, of N J..t..S 5t> JU . .5 nnll under,! will be provided with till services, l!)~pnedic;:iJ, surgical and hospital, drugs and medicines f 014

"1.S' free of charge and without contribution. A-LL {c) A free medical service based on tltc family doctor wHl

1.5 .be exteucled to all persons within the scheme which will <'mbrace 85% of the population. A free choice of

<.~ d~)ctOr, free of charge, will, where possible, be pro-vided.

tfl) Free hospital an<l specialist services will be provided for all patients within the sclrnme.

LS(e) Drngs and medicines, at substantially reduced prices, will ,be provided for those who do not get them free.

23

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1..S- ·,,,,.,.;,;._. fr,•! d d1 :t•,(~_;, tli:: :w~l: mc,.lic"tl tre;,twcnt, <lrnp;s :~ .~i c·. i.·t\

. l>' ;•.:, :£>n,: -.,.j~ c\t,tbli-d1 . i1ild Wl;lf trc dini ,.:s thro11~!iout 1-5 t' (' -y, I 1• ·, ,,, "l(('!' f,,,. c11•LJ,-, ... l frorn \,i r !l1 c(> i 1J(\ 'H'c of lo <.~ ·.t'i;~ .... r;,·.\~S~:i~t ··;·.~r:~,oi lft(~;-H(;·~tiJ:-:;.:l·tniH~;tilJ;; vv i.i l i);· ~~·b~'iisl1ed. •

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25

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~- (·.c..1i.tH .1.. i_~y '\vc!L1rc+· e:cntTc-1~ \\ i ] t l;e- c:·J~d-,ljshclI. In

,:-c,111.,,·v ;· r1·-.:•. ir:r;hi:c un its '.Vdi ht• altccd1..:u wlicH:: 1,ecessary. j>l'h~~ \\.~c-lf:-:re '"·l1r:fc$ \\ill COtliain th(~ Di~rrict :'\'ur~e\ office, lh: l ',,,i:.,1;/ '><;c:ui W, -.rkcr\ Offic,~, :he \Vdfarc Clinic for l ldher.· ,liJCJ B;1l; ie8. pr(:'-~c1100J :,nd sd11>ol eh·ihlrcu mental h.:s.ilL.i1 uul1_,,:tie,1ts diJJic,,; ,:ud t:te home help centre.

'1}1(; ,;,._.;,·1.t st:Nicc'.~ (nr tlit rncnt:ill;i handicapped arc c:or!or ~·ibl~· £nade,L.1.u. .. 1te. l''ine (; acl 1Jropcse : \ tJ Tu t::-:paud c<l!1!:1der~di]y lh<:; diagt1oslic scrvic<;s which ,1.,·c Jj,,:,;1-·r.xi~,i(:nC iH L~rge :.1rc~ts of lbc country. (2.l To ,,~c;d,ii:;h w!H:l'C necc,ssctcy Day CcHtrns, Fivc-chy ,-,, ·', !· · l ,,.,,. t ·· • · , if,,·· "'· .. ; ·.,, ·c· f · · •1 e ~"')' l'"' " ')~ s.,-:: .. :.ii;,,.i: ... ,L/ 1-..1. '-.,.en 1CS:- .. -11 1<.~ t:-J/,.., , .. s::n:'-)L1. .. tt: . . <.>t ... 1 t.., ..... ,1 t.l .1~.lt.Jn l 4.-

~l·e ,;,., 1~L;ng 1\:sidenli,tl ce11lres, for tho -;-;1cnt:11ly handi­c~,.n l)~~c.t

v:,; T,) prn\.ide sh,lter0Ll ,n:rkshops. j :rnd s:iitable hostd aciSH:·:nnd :!'.":n for the nwntaliy h:mclicapped.

; !) 'f,J 0,,/::b1 ish ,, .siu~:k st,ttuLory autlior:ty (:harge<l with ~!:(' ,-C.,i•nt:.~ihility of provic1 in;.; Lhe . n!;:xs:~:1ry set-vices\ This ::11 t ! ,0111; ,vein IJ. he I tnder the rcsp(nlsiLiEty of tlie ;\.[ir,i:,tcr i ! •r Hc: .lUi( Lt •,,rn. id :.i,..,i;:;t ex is Ung i1,slit,i!ions in C,\'.panding tlH.ir ~:c,rv1cc:; :1.nd urt~·1nis,ttio1Js, and provide new services · ... v!lcrc tliey ;u·L: neeU.::<i. f

11. l ,;:.:0.'iICL-.:A'RY \'i/i:'!:.FA!U.: SERVICE: -:·i;c g,~;::.t gJp in m1:- cx;stin~ sucial services is die lack of

a d(~,t~h_·: 1.I .. L~Y ~"'(~rvit'(;, i C. a ·0ervic.:e \1/hich \:vculcl 1,e av:1q~1)~e t,~ i:uc1Jj(~~., 1:!.,t i~1 ~:n Instib.di<;n h 11t in l}ie!r o\vn L{)n:.es \ Vvc ;.,·r,r,o.,;-:: t,; t1°kc ~;~cps irnmedi~ttely to introduce and exp:1nd imd1 a :,ervicef

\v'c: r,i·Jvos~: ( 1) Til c·sl:1l,lish com:nunity w..Jfarc centres which will be ;1,~r,nr-cl bv lr:,in~<l Sodat-Yfcnkc;rs who would work in co­:,;}1:x:.1 ic 11 ~.d~h ihe local dcrgy, iocal Jc.clors, rnu-s~s, Horne ;\:,si,;t"i··,cc ,ifiicers :,:-,d voluntary charitn.ble organisations.

:J.:f,

(2)- To app<~t f1,lly tn,incd soda\ W<:lfarc of'Hctrs \.vho will :t:\ , ll1c; Li\ / in ne,:d in their own 11omcs l>y means of c-:qwri. cnunsc1 a11d ndvicc. (3) 'I<> develop :; lhinic Help Scrvkn for old p~rsons living :n their own hnrnes, so as to save them from tl1c County . j Ionic, whid,, cx,·elleut il1<11ig11 sorne n{ them may be, is no

Gf substitn:c for tlie indc_pe1Jdcncc of being on one's own floor. (·1) To provide proper help, by means of lhe domicilia:ry w<·lfnr<' scrvicc, to deal wilh the problem of c11ihlrcn-in-~arc. Ifornc help will he orgauised to prevent children bcinp; sent to Instilulions 1Liccnnse of short-term emergencies, and for long-tcnn care the Social Worl,N will emkawmr to fu1d foster-parents.

'11

(G) ~fhe amount paid to foster parents will he increase<l. (6) ;\ proper after-care service for patients from men·tal hospilals will he esta-blishccl. At the present time there are only two psychiatric social workers with Psychiatric Social \Velfarc q11c1lincation.s emp,!oyetl hy the pu!,lic ·Mental Hospitals in this country. (7) A suitable system will be introduced to eusnre that the social worker is made aware o[ the social problems in her aclminis!ralivc area. The Home Assistance Arca will be the unit of administration for the Domiciliary Service we propose lo es't.1blish.

12. NATIONAL PROGRAMME FOR YOUTH : 1

~ C. \J n the field of general youth welfare \.vc propose t (l) To expand co11sidcrahly the number of trained pro­

So (, fessional youth leaders. ) (2) To incrt'asc cor1sidernhlr the out-of-school facilities, such

~-~ as pby-grnond.s, youth clnlis and the provision of comnmnity centres wl1erc recoguiscd Clubs c:1n meet.

~ (3) To establish a system of vocational gni<lance at Prim::tr}' School levC'l. (4) To esta•hlislt a National Youth Council representative of all the vol1lll!ary {)r~:rnisalions in the country,\ to disseminate idonnalion ancl aovise on yo11lh problems,{ ancl represent the country at international meetings, To deal with the special problem of juvenile delinquency ::rnd the yonng offcnder,\vve propose: (5) To i11crease the nlimLer of Probation Officers. (6) To provide a proper centre of detention with adeqnnte fadiitics and a fully trained staff and a small Probation Hostel. (7) To improve considerably the facilities in Indus trial Schools and Ueformatm:ies, including the provision of adequate psychiatric care.

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15, !,(iw C,OV !:i1~ ll 'NT:

J. '- I.'.<.: C:\/ rnpi. ,scs tu rc·-nq~,uli~n th0. r ,oeal Cov1.·xn ­l ~ rilL'n(· Sc·n i,·c·s ily g i\'inµ; lo Cnunl y C o1111t·i1<;, C \lrporali-on~ . .J, e!{'. ,llH' l h l WCl' t<1 ,kc.: id<' n11 ecr!;lin l11c·,d ,projC'Ce5 and

s,:h,·incs w i t l1011t n·fcre11 te l-ri tlic Dcparlrn C' 11t of Local CovN1mw ;1r. T11 f'1t ;t1l>le Lol'al Aut\1ori\ics ro as~rnne th is

J power :111d c•x(:H'isc it eITecl ivC'ly, , they will be J.Z ive11 block graif ~ which tlwy will lie e,dit!ccl to expend ;~s they thiuk hes q Unckr t l1i~ :-.ysl em the County nnd Ci!y ;\fonagers will licco rn " !lw Ad vi.<: crs a11d serva11ls of Local Authoritie~ and be ;UlSivf:(«li le p rimariiy to tlie Local Authoritics jaml not to the D c'pnrl1:nen t of Lo..;a] Government. 2. fine Gael's llCw Health Scl1crne will 1·csu1t in removing

/1., a large part of 1·hc present hcallh dw.rges from the Ha lc;s when pnt into opcration,l ancl by givi11g to Connty Councils

.$) and Corporations a w.idd: discretion to use the Road Grants in the way they think best) a further reduction in the Hates

10 burden will he :rchicved. ~

~ 3. Fi ne Gael will restore lwnsc building hy Local Anthor­ities t.o llie Jewel it attained .i11 1937. 4. Gran!s will he pnAidcrl for the repair of all roads

1f not nt prcsr.11t ,the rC'sponsi1l>ility of a County Councill Such >c rn:uh, w\1e11 prnpcdy rq)aited, wiH becorn<1 the responsi­., b ili ty of tl 1e County Council .for the future,\ whose dllty it J ¥ will l>e to keep I licrn in a prO[ler stato of rC'pair.l

·5. Fi11e Gnd will introduce lcgislntion to provide exemp­tion frorn Jt1lcs for seven years in respecl of tltc i11cn~ase

1 O in the rnte:1lifo val1 t,tbon co11SC(_llH' nt 11 pon irnprovemeut of J1o us<·s a11d business premises. 6. Fine C,wl will inl·rod11ce a sd1f'n1C to ena1>1c tlie owners

10 of vested C()1111ciJ houses to get. i·n addition to grants at

10 ,present availa ble, a loan from the Co1wcil lo improve or rcnov::-.tc 11:eir J1ouses. Thc~c: lo.111.~ will be chargN1 on tho

IO lio1ises and will be repayable over a long period . 7. Fine Gad will ,provide in 11cw legislation that there will

IQ !he no increase iu the v-aln:i.tion of a farm cousequc11t u.pon irnpron·rnc·n!·s 1n a dwelling iiOnsc or ont ofTices, or in the val.: :1tion o f any building where there is an improve­

lo rnc nt carried out which cloes not increase the cubic capacity of the .hnilclin~.

16. LAND COMMI SSION :

c. 1 I'inc: Cad will repeal Section 27 of the Land Bill nn<l restore "1 :fixity of ternJre to the farmer. · \ .S The effectiveness and functiyning of the Land Commission

will be completely revicwccL\ The policy of the Land Com­' m ission wH be rc-e.~t\minechn the light of the needs of the , .J present time., Apart from any changes that may be made

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Cf-3 ,.!! ·; i'r''' ~, \V ,;f d;c· L;.1 ~;(1 t:~nn1'" }: s.• · i; ·:.::; 1b~ carried :, ;r S• J·~,: { :ac1 v.in 111;d:c Ute !1>1JO\V11 .½... :1gc::, .i·n) li<ltcJv:

½--:r. l,i '! '. ,,· u,:l•ilflt::r. Si/.1' o f 11dchll'.~,\ t<} lie alfo'lc<, hy the 1,,Ei , j t '11d!~~j,.;:,io1: \\rjj}. ht.: htt:TC;lS,·tl.

I t.. •J

\ :.:..J FLL.: ( ·<tL! ·;,1 :·Hl .~t;u't ~1 scLt:nl{' tu rro\dd.f~ farn1s ft~L~ yonn~ JC, r:.:·,;,er; v·}1i(·1, (·;m lie lense,i for a period of years ::tt an

~'.m1,d reut.l fo tl:is way young farmers .... , iH Le ;tble to (0 1w· tl1eir ...:t,Jlit:\l ,1:1d ~:redit in 1,roviding stock,

(:}) r:,11(~ (;;1.t'l ~ .. ,. ~ill l.:ct~p ~he purc11i1Se. of agrictdtural lun<.l bv f orci:_,rwrs u;<lt;r review, and \.Vil! take nooropriate ~tCl)~ ,i'i :·,c«} \.V!C!l tl1G problem stou)d the nece~Sity arise.

('[) Ti:c L!i ·-,rl C•Jrnmis.,ion ,vill he ~iven the task o( prov.i<l-;ng dwelling homes for farmers: -

17. FOREIGN POLICY: 1..q l The fo!··eign nolicv of :.1 Fine G·.tcI Covon1m<?llt will he

b·· .. ,,,J upt,;1! 11w. ~!lde;1ce of frec<lom nt home) and aihroad 3> :1,½,tinst t]ie iil.rrpcridi~t ngrcssion of iltbeistic international

(:olll Tt1 l? ni5 .ff1 .

~ 2. Vine Gael snppurts frc C"nited Xatioush w a wiH work + f<lr th , esb1;}i.,hrncu~ of ::iu i:1ternati0nal neaC'e keepiug + FGrcefin wliidt :!ll n:."tions ,,vi]J share the burc1ens of pe:tee-

frl~!t·pi ng. t, t :3. Our E i,::,as:,it·S nbrnr,d wi.H he rn--0rgallisecl to serve ll1e rJ nE•ecJc of OU! 0Xl)iJ1'\S, indn.strial i,U) d agricultur;:1.

J8. l'ARTrTION,

._,;, .Fi:,c Gad. believes +lrnt a 1mitcd Ircb.ml can, a nd will, ,.~ .iltirrw;ciy be adiievetl) cm the basis uf full respect fo r the

ri!.di!•:- ,,f nU sc(.'f°inns of the c-o:nm1mi2y, !irrespective of their U:r.eiigwn or polifa:al i>dicLi Fiiw Gad bb1icves that the wel­

" r"• ,...:: t1J"' -,,,., ,._ ,J,,, (>£ ·c1.,.J 11·'1 c1ntl·"'''1,,· ()l' thr• f1·' ''1Ju1l)·· C(l-1.fl J_:.J. t ,.:"": . .._. ~lJ~·vJ-1 C, . .l .. l , .. _. i! ') ,1,11,, , '-•.:.! ... . ,. , •. , , .. S\.. ,

01 :er~~trnn ot North ~111f1 s~1i1th and that co-01; c~rat1on c~ln a.nd 'l..Q shucdd b~ ,•0nti w1,,1ly fostcrclt .

.l"i1 1C' G,,e: will t~stahlish fa the Taoiscach's Departm ent n. 1.IQ Spcd.d ~~·e ,·!hll tlev:1t<:t1 to l::v;i r ,ti1,g the ,cn<l of 1\ n-tition.

:\.du11,at,· G1~m1Cl:S wiii be prnvitled to e:1courage develop­\.~ ! r', ' '11t,; which wcm 1<l remove or r-t:::1uc.:: p.r-0scnt b:i.rriers to t,q co ~1pc·ral.!01JJ c1imin.t~c n;i~m;d~r;;tanding }.nd foster friendly

:rntl b,ll'mm1wus rdatlonrnips w1lh cur sep:u-atC'd countrymen ~ in th,, ::\'nr'tli.

1,. DLFF:NCE ; J. .Fi ic G:1cl will un<krtake a rnview of the present acl­

~J mini~lr:,! ;011 of th,~ Dd'c·nt:c~ .Fnn:'"sJ and will make nny 'f J di:.w:_;(;S (h,!t n-icw :};e cc'.nsicJerC'~l necessary and d?sin::)l_eJ

and tlwrdw <'llsnrr. c01 .. :h<l<:nce rn anu contentmenr w1rlnn ~> tbe Dth:nce Fo.rces. 23

<J..J '.2. n~ t::w( ii ~·sl '.l'i>lhli a code ~)f rcgulalfous to govern p romotion rn ci,mm,sswm'd an<l N.C .O. r,1nk.s. 3. Th e operation of the :\'l il itary Service Pensions Acts of

Y... )92,J, rn34 and HH9 will he revie wed, and amcuded where uecessary. 4. The Army Pensions Acts will he reviewed, co-ordinated

~ 0~ nnd amcnd{!d in favour of the widows and dependent chil­drer, of Ofnccrs, N:C.O.s aud men . A review will also be

ts mu<le of present pensions and nllowances in r~spect of wounds and disease contracted on service.

~- 5. The Means Tesl' for Special Allowances will be re­examined.

20. TOURlSM: 1. Fine Gael will intensify the development and <;xpansion

1() of th e tourist in<lustry by grantsJ interest-free loans', and the 10 provision of adequate credit fltcilities.

1 Special attention. will

to be given to the needs of the smaller hotel and Guest Houses.\ IQ

2. Fine Caci will expand and develop the activities of the l.l In1aud Fishe1iies Trust in the improvement of Trout and

coarse fishingl 1-t 3. Fjnc Gael will keep the Canals open find will encourage

the d evelopment of the country's inland waterways as a ~... tourist amei1ity.\

21. FISHERIES : , • ':l. 1. Fi11e Gael wm expand and develon tlie nshing industry 'tr hased on the boat-owning fishermen ot om sea coast.

2. All necessary credit facilities for boats and gear will be lo made available for the further ex.pansi9n and development

of the industry. 3. Fine Gael will press forward with research into the

q-:, marketing and processing of fish in eonsultation with foher.rnen.

(f 4. Fine Gael will provjde np-to-clate and safe anchorage nuc1 landing facilities for fisl1ermen.

/ D 5. To meet the needs of a progressive fishing industry Fine p Gael will expand the boat building fodusb·y.

22. FORESTRY : I "7- / 1. Fine Gael will press ahead with the expanded Forestry

programme begnn hy the Inter Party Government. I

1 -:i. 2. Fine c~1el will establish an organisation to market ·, dfici,cntly the products of Irish forests.

l,;,i_ J. ·A Game Board, similar to the highly successful Inland 'r'° Fisheries Trust esta<blishe<l by the Inter Party Government,

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i.1.,i!l ';t· ~ .:ii u::, .. u,,d. "i'hc Bo4:rd \Viii :j'- ·: i th\ r .Jf :)rt:-"l.-i,, ~<" ':. ;i .' 11h • ~ 1 1·t idi11•r c,·;·/i·i·' i.:h, ,·v:") of '''\lt't'_ ··1, .... zi -l·""'vt!\:i11

~1iµ:. t).'ii 11,. 111.';1] ,Cr,:,Cl l<1ti; f<;/'ti't~ J;~J11;{i(;;f ·h:j:Ji ~t;·f;;.tSJ'.ll<,;T~ 'L 1.. ~-nt_! ~~:; :.i td:J ri:•:t ;.~Jtr;u:.:t;on.

, r ·L Firn, G:1d will provitle a I'ei1~ioH Scheme for Forestry ' \{:'Oi hc·rs ..

l'O

25.

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DRJ\I"!.·-.GS :

] . Ti:c" 11rain,1gc of rnaiu rivers will he intensi.Ged. :2. Tiic Local Anthonlies (\Vorks) itc!" UHS>, under which 1,r1iallcr r::?.c t·s:,ary sdiernes of <lr::iin:1ge can he carried out by Cnt:nly Coundls and City Cwporations will be hrougrit into nper:ttjon :\gain.

ChOl.JJ':l) RENTS :

Fin,, Cad will iiitrn<luc~ legislation to cmlhle all persons n:ivin~ Crouncl Hents to bnv o;.;t their ground rents on terms bi~· to tLom and to the Crcmnd Landlords.

L,\ \V R:]FOf,M :

Fint: Cad 1vill pre:,;:.; aheacl wHi-1 Law Reform initiated by tL0 fot1:r Pn,ty Cocvennn(mt wilh a view to bringillg the hw ,w!r~ into line with pr-cs<mt day requirements iu Irehn<l, ,mJ fo <.:0-<,pcr,1tion with tile Jndidary to reduce the cost of litigatwn iu onr C1mrts by the elimination of unnecessary ai,d costly pr0c:ecfores.

Su:::h follies as Fianna Fail's Succession }'3iH will find no phce ;n such a p,Dg;c:~mme, but the rights of widows and dq1<'ndcnl d1i1drcn will be fuJly protected as :1<lvoeatcd by Fine Gael in D:d Eireann.

25. SEANAD- SIRf:.A;-.lN ,

Firn:, Gad believes that- the Seuatc c~m 1nak:e a more valu,~hle and eJfc<:live c·ontrilmtion toward:,, framing the laws o! thi~ State than .il' is hein~ :Jlovtcd to make. With this end .in ·:iew }'jnc Gael will imp1crner;t lhe majorily rccommcnda­t1011;; of th(~ Sc:wte ETectoral Commission whose principal rs:co,nmct1dation vvas that greater representation in the Sen:11 <: slioul<l be given to the members of voeational groups ir.. die State.

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