New Zealand - A group of men posing for a photograph while another has his haircut. - 1901 - F. A. Hargreaves Photographer - Original Clipping, Published in Auckland Weekly News Christmas Number 1901 #331894 New Zealand History 1890–1914 - The pre-war era saw the advent of party politics, with the establishment of the Liberal Government. The landed gentry and aristocracy ruled Britain at this time. New Zealand never had an aristocracy but it did have wealthy landowners who largely controlled politics before 1891. The Liberal Party set out to change that by a policy it called "populism." Richard Seddon had proclaimed the goal as early as 1884: "It is the rich and the poor; it is the wealthy and the landowners against the middle and labouring classes. That, Sir, shows the real political position of New Zealand." The Liberal strategy was to create a large class of small land-owning farmers who supported Liberal ideals - To obtain land for farmers the Liberal government from 1891 to 1911 purchased 3.1 million acres of Māori land. The government also purchased 1.3 million acres from large estate holders for subdivision and closer settlement by small farmers. The Advances to Settlers Act of 1894 provided low-interest mortgages, while the Agriculture Department disseminated information on the best farming methods. - The 1909 Native Land Act allowed the Māori to sell land to private buyers. Māori still owned five million acres by 1920; they leased three million acres and used one million acres for themselves. The Liberals proclaimed success in forging an egalitarian, anti-monopoly land policy. The policy built up support for the Liberal party in rural North Island electorates. By 1903 the Liberals were so dominant that there was no longer an organised opposition in Parliament. - The Liberal government laid the foundations of the later comprehensive welfare state: introducing old age pensions; maximum hour regulations; pioneering minimum wage laws; and developing a system for settling industrial disputes, which was accepted by both employers and trade unions. In 1893 it extended voting rights to women, making New Zealand the first country in the world to enact universal female suffrage. - New Zealand gained international attention for its reforms, especially how the state regulated labour relations.[96] The impact was especially strong on the reform movement in the United States. - Coleman argues that the Liberals in 1891 lacked a clear-cut ideology to guide them. Instead they approached the nation's problems pragmatically, keeping in mind the constraints imposed by democratic public opinion. To deal with the issue of land distribution, they worked out innovative solutions to access, tenure, and a graduated tax on unimproved values. - In the 1870s Julius Vogel's grand go-ahead policy of borrowing overseas had increased the public debt from £7.8 million in 1870 to £18.6 million in 1876, but had constructed many miles of railways, roads and telegraph lines and attracted many new migrants. - In the 1880s, New Zealand's economy grew from one based on wool and local trade to the export of wool, cheese, butter and frozen beef and mutton to Britain. The change was enabled by the invention of refrigerated steamships in 1882 and a result of the large market demands overseas. In order to increase production, alongside a more intensive use of factor inputs a transformation of production techniques was necessary. The required capital came mainly from outside of New Zealand. Refrigerated shipping remained the basis of New Zealand's economy until the 1970s. New Zealand's highly productive agriculture gave it probably the world's highest standard of living, with fewer at the rich and poor ends of the scale. - During this era (c. 1880 – c. 1914) the banking system was weak and there was little foreign investment, so businessmen had to build up their own capital. Historians have debated whether the "long depression" of the late 19th century stifled investment, but the New Zealanders found a way around adverse conditions. Hunter has studied the experiences of 133 entrepreneurs who started commercial enterprises between 1880 and 1910. The successful strategy was to deploy capital economising techniques, and reinvesting profits rather than borrowing. The result was slow but stable growth that avoided bubbles and led to long-lived family owned firms. (https://en.wikipedia.org/wiki/History_of_New_Zealand)