WAR DEBTS AND ECONOMICS

Greymouth Evening Star, 27 January 1933, Page 7

WAR DEBTS AND ECONOMICS

U.S.A SENATE HOSTILE TO ANY CONCESSIONS [BY CABLE —PBESS ASSN. —COPYBIGHT.] WASHINGTON, January 25. Great Britain, to-day, accepted Mr. Roosevelt’s terms for the discussion of the war debts, but she made a reservation against deciding what questions should be considered by the World Economic Conference until a general meeting of all the nations to be represented there. The British reply was delivered at the State Department, while a furious debate was in progress in the Senate, which indicated that if there has been any yielding in the Congressional position, it is still of small proportions. The feature of the British note that is likely to cause the greatest controversy is a clause for virtually excluding any discussion on important world economic problems during the debt negotiations. However, it is pointed out that if the British Note is vague concerning the important feature, the Hoover—Roosevelt communique is equally vague thereon. The Note has-tended to substantiate the opinion held by many that Britain wishes to divorce the debt conversations from such problems as gold, trade, etc. Late to-day it was revealed that Mr. Roosevelt is attempting to form a Congressional Committee to keep touch between himself and Congress regarding opinion on the debts or other matters. It is believed this would, at least, in a measure, serve the same purpose as having Congressmen on the Committee to negotiate on the debts, which Mr. Hoover favoured, and which Mr. Roosevelt rejected. Official circles agreed to-night that the next move must come from Mr. Roosevelt, Mr Stimson telephoned a text of the acceptance note to Mr Roosevelt at Warm Springs, but the President-elect’s reaction was not undisclosed. Some officials expressed the view that a reply might not be made, and that the situation might be allowed to remain in status quo until the next administration starts negotiation with Britain.

MR CHAMBERLAIN CRITICISED. WASHINGTON, January 26. The war debts debate again broke out in the Senate. It was started by a Republican member, he violently objecting to a rumour that a Roosevelt emissary was now in Europe negotiating with various Governments. The Democrats vigorously denied the rumour, which Mr Roosevelt himself later denied' officially from Warm Springs. . Senator Johnson denounced the British position, and he read a despatch quoting Mr Neville Chamberlain’s Leeds speech. He said: “The American declaration on debts and reparations is not liked. It has absolutely no effect upon Britain!” American Press opinion is generally cool towards Mr Chamberlain’s speech. The New York “Times” says that Mr Chamberlain developed no new arguments, but merely repeated old ones in solemn, official manner. The “Herald'-Tribune,” in a leading article, headed, “A Time of Silence,” said: Mi* Chamberlain was not really speaking to the Leeds Chamber of Commerce. He was speaking to the American people! Most thoughtful Americans already agree with a great deal of Mr Chamberlain’s argument, while those who dp not are unlikely to be converted by ‘ having the British Chancellor of the Exchequer explain to them how stupid they are!” The opinion is further expressed that the discussion has gone beyond the point where statesmen could hope to .influence the public opinion of other countries. Opinion could better be converted through the ordinary diplomatic channels. TARIFFS ADVOCATED. WASHINGTON, January 25. Unanimous advocacy of immediate legislation to restore normal tariff protection against the foreign countries with depreciated currencies was voted on Wednesday night by the House of Representatives. The Republicans acted in a closed conference,’only a few hours after it was learned that President Hoover felt that tariff increases might be the only recourse if currency stabilisation were not obtained abroad. WHAT TRADE IS. LONDON, January 26. “The Times” says: It will not be easy, between now and March to bring the American public to realise that all trade is only a barter of goods and services, and that money, even in the form of gold, is merely a counter to facilitate their exchange. Until this is realised, there is little hope of settlement. If it is realised in time, the discussions at Washington may be a useful prelude to the World Conference. DATE OF MEETING. GENEVA, January 26. The World Economic Preparatory Committee found it impossible to fix a date for the meeting earlier than the end of May, owing to the time necessary to post the documents to be studied by the more remote members such as New Zealand and Australia. GOLD STANDARD. RUGBY, January 26. Referring to the gold standard at the annual meeting of the National Provincial Bank, the Chairman (Sir Harry Goschen) emphasised that although sooner or later the pound must be anchored to a solid foundation one thing certain was 1 that no move in the direction of stabilisation should be attempted until such safeguards were devised as would', humanly speaking, prevent a recurrence of the events of 1931. He gave figures indicating that the decline in the British export trade had been small, compared with that of other countries. The British decline was 6.9 per cent., American 35.7 per cent., German 41 per cent., and French 31 per cent.