ADJUSTMENT OF WAR DEBTS

Evening Post, Volume CXI, Issue 75, 30 March 1931, Page 8

ADJUSTMENT OF WAR DEBTS

(To the Editor.) Sir, —I read with much interest your account of the address delivered by Mr. W. Appleton, IM.A.N.Z., to the Wellington branch of the Society of Accountants on Thursday last. His citation of the views held by a few bankers and one noted economist was of value, as showing the divergence of opinions held as to the cure "for the world-wide slump. I was surprised, however, that Mr. Appleton, in giving the stamp of his own approval to the views expressed by Mr. F. C. Goodenough, chairman of Barclay's Bank, did not quote a much more important pronouncement of Mr., Goodenough, who, it should be further mentioned, is also president of the British Bankers' Association. Speaking on Friday, the 21st November, last, lie declared "the time has arrived when all interested in commerce should bring pressure to bear upon their Governments to deal with war debts. If these are not altogether cancelled, they should be adjusted to a basis varying with the' price levels of commodities." An unbiased view of the situation seems to indicate that all tho other cures prescribed, compared with this one, arc ;t mere trasic trifling with the situation. No economics, short of actual starvation, will ever enable the world.-, wealth-producer* to repay war debtrt on a 20s in thu £ basis, as such debts were incurred at a time when each of Iho pounds boirowod was worth about ten shillings.—l am, etc., ROBERT HEIfSHA \V.