AMERICA'S TROUBLES

Evening Post, Volume CXIII, Issue 32, 8 February 1932, Page 10

AMERICA'S TROUBLES

STAGNANT INDUS 3TEY

ATTITUDE ON WAR DEBTS

The opinion that Amei ica would make a quick recovery frou 1 the economic depression was ( exprea sod by Mr. M. W. Horton, who has represented the Union Steam Ship Compemy in New York for the past seven years, and who returned to New Zealand :bo-day by the Monowai.

Mr. Horton said that daj'.ring his stay in America it had been life aim not only to promote passenger ta1 affic to Now Zealand and Australia, lout to advertise theso countries generally, and as the result of a wide distribution of literature Now Zealand had been well advertised iv tho eastu m States of America. Ho had also 00-opcrated with Mr. J. W; Collins, New Zealand Trade Commissioner in Canada, in placing the attractions of the Dominion before the American people.

"The economic conditions in the United States are extra mely bad at the present time," said I.Jjr. Horton. "Exports have dropped s*) per cent., and the people themselves Jire realising that this fall has been It rough t about by their own tariff burriti-rs and tho tariffs of other nations. TSierc is no doubt that America is suffc* ing severely from tho effects of the Ivorld depression Though the United IStates is a country of almost unlimited resources, and hur private wealth is enormous; she has 7,000,000 or 8,00 0,000 unemployed. Tho farmers throughout . the country aro in a bad way, 3.nd industries such as tho cotton industry are suffering severely. Many iiWlustrics havo curtailed their outpuij.^ and as a result thousands of workers have been thrown on the unemployment market. The Government is fac«:d with a deficit of 2000 million dollars.

"I ferrieve the w^hecls of industry will so&fl revolve agi-ein in the United States," said Mr.. Horton, "and that the country will sioon regain its prosperity. Thepres-fsnt conditions cannot continue much longer, and the American business niavL cannot sit still for very long. Ho wdM either do something or burst."

"What is the general attitude on the tariff question?'? Mr. Horton was asked.

He replied tJiat the Democratic party, which wswi the more powerful in tho Lower Housfre, had always been inclined to reduce, tariffs, and the genera] impression was that the Smoot-Hawlcy tariff measure had been a disastrous one for the n a tion. The measure had been a political 0110 in the first place, and the business men had been heartily sorry for it ever since.

Mr. Horton said that America was now taking a. keen interest in world affairs. While the average senator would lead 011..0 to believe that America was content 1«i stand aloof from international aft'aairs, tho business people and the economists wore, generally speaking, in iavour of a reduction in war debts, ;but they contended that there would first havo to bo a big reduction in annulments. While nations .were complabiing that they could not meet interest, charges, they were spending five or mix times the amount of their interest); bill in armaments, and the Americans pertinently asked why if they couj d afford to'expend huge sums on armaments, they could not meet the clu.irgcs made on the money that had be«'ii lent to them.

-'Mr. Hortan said that ho had nothing but admirati on for the American people They wero extremely hospitable, and did everythj ng possible for visitors to their counti y.