A BACKGROUND TO THE NEWS

Dominion, Volume 30, Issue 255, 24 July 1937, Page 9

A BACKGROUND TO THE NEWS

China and U.S.A. Mr. Gorden Hull, Secretary of State in the United States, without mentioning any country, but obviously directed to China and Japan, said that war in ■the Far East was impossible without encroaching on American and other interests. > Through the Japanese Open Door, such as it is, pass twice as many American imports as pass through the Open Door of China. Japan’s 70,000,000— and not China’s 480,000,000 —inhabitants are America’s greatest customers across the Pacific. Japan stands second only to the British Empire as the greatest buyer of goods of the United States. China comes sixth. “Sacrificing the Japanese market for American products through a quarrel with Tokio over the market of China is giving up a good certainty for a poor uncertainty,” says an authority. “And the United States is still the best customer of Japan.” The traditional policy of the United States toward China is that the Chinese should be left alone to evolve an effective Government. With no purposes of its own to pursue in China, America contends that the Open Door and treaty rights to uphold it are the only guarantees that outside nations should demand of China, and that therefore Japan should stand aside for the very same reason. China is the primary object of the attention of Japan, since its vast supply of raw materials and its markets are indispensable not only to the domestic prosperity of Japan but also to its continued position as a World Power.

Japan is convinced that there is no reasonable hope that China will establish a stable Government, effective for the maintenance of law and order, for long to come. Therefore, whether the Central Government of China at Nanking approves or not, and whether or not the United States and perhaps one or two Western Powers approve, Japan regards its intervention as necessary from time to time to render secure its commercial interests and treaty rights in China.

China in turmoil saps the prosperity of Japan, according to a high official of the Japanese Foreign Office, who claims that Japan cannot live without Chinese trade. China’s chaotic condition, it is claimed, has been costly to Japan in loss of trade, in the Japanese military preparations it has caused, and the actions that it has compelled to be taken by Japan. Bank of France

M. Labeyrie has resigned the governorship of the Bank of France, and M. Pierre Fournier replaces him. The Bank of France was founded in February, 1800, by Napoleon Bonaparte, then First Consul of France. The capital of the bank was at first 30,000,000 francs in 30,000 shares of 1000 francs each to which the Treasury subscribed 5,000,000 francs. Among the bank’s original subscribers Napoleon’s name was first on the list for 30 shares. The bank’s capital has been increased at various periods, and at present amounts to 182,500,000 francs, with reserves of over 300,000,000 francs. It was the purpose of the founder to make the bank national in its operations, as well as in name, and its history has shown that it has amply fulfilled his intentions.

The governor and two deputy-gover-nors of the bank are appointed by the President of the Republic on the recommendation of the Finance Minister. There is no specified term fixed for their continuance in office.

There is a general council, representative of the shareholders, which, with the governor and deputy-gover-nors, meets weekly. This general coun eil is responsible for the administra tion of the bank and the conduct of its business, and has control over its note issues, as well as its loans and discounts aud the fixing of rates. Th< governor of the bank presides over all meetings of the general council, and every important decision come to mus‘ have his approval. From its beginning the Bank ot France has had elose connection with the State. It has been continuously the banker of the State, and becausf of the relations subsisting, the lattei has claimed a share in its government and a right of intervention in the administration of its affairs.

In the capacity of banker to the French Government, the bank’s princi pal function consists in keeping the Treasury balances. It has the exclusive privilege of note issue in Franc Mt. Etna

The first descent of the central crater of Mount Etna was successfully carried out by three undergraduates and the custodian of the observatory there, wearing gas-masks. Mount Etna is an isolated volcanic mountain close to the east coast of Sicily, with a base 90 miles in circumference, and a height of 10,758 feet. It slopes gently up to a single cone, containing the crater, a chasm 1000 feet in depth and from two to three miles in circumference. The regularity of the slope is, however, broken on the east by an immense gully, the Vai del Bove, four or five miles in diameter, and 2000 to 4000 feet deep. Many secondary cones are dotted all over the flanks of the mountain, the principal being Monti Rossi, 450 feet high, twin peaks which were cast up in 1669. The slopes are divided into three sharply defined zones, the cultivated, the woody, and the desert region. This last, extending from about 6300 feet upward, is a dreary waste of black lava, scorac, ashes and sand, covered during the greater part of the year with snow. The wooden region, which stretches down to the line of 2000 feet, is planted with forests of chestnuts, beeches, birches, pines, maples and oaks. Below this lies the cultivated zone, mainly olives and grapes, a thickly peopled region of great fertility.

Tho ascent is usually made from Catania, a town on the coast to the south. In 1169 Catania was destroyed ; iu 1329 a new crater opened near the Vai del Bove; in 1444 the cone ell into the crater; iu 1537 two villages perished ; from 1603 to 1620 Etna was almost continually in activity; and in 1666 three new craters were formed. In 1669 a chasm 12 miles long opened in the flank of the mountain; in 1755 a large flood of water was poured down from the eastern gully; in 1852-53 there was a violent nine months’ eruption, when a torrent of lava, six miles long by two broad, and some 12 feet in depth was ejected. There were great eruptions in 1879, 1886, 1892 and 1910. In 1880 an observatory was built on the south side of the mountain, 9075 feet above sea-level.