75-A

may be expected. On the facts before

me I am prepared to agree that that

assumption is reasonably well-founded,

but if there is a doubt as to the

revenue assumptions on which the

Treasurer's proposals are based, there

is obviously an equal degree of doubt as

to the desirability, at the present

time, of embarking upon a programme

of heavy expenditure on capital account.

3.

As regards the technique

of the borrowing programme put forward

by the Treasurer, the practice of financing

permanent works, on a large scale and for

considerable periods, from temporary

money, is objectionable on general

principle.

I note that the Treasurer

considers that the proposal to finance

the loan programme on the basis of

overdrafts

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