DEBT CANCELLATION

Northern Advocate, 16 April 1932, Page 11

DEBT CANCELLATION

MR. A. SMITH’S PLAN. NEWSPAPER COMMENT. (Received f) a.m.) NEW YORK, April 14. The modified debt cancellation scheme proposed by Mr Alfred, Smith, formerly Governor of the New York State, at the Jefferson Day dinner, lias resulted in considerable reaction in the press. The New York "Sun’’ suggests the potential economic importance of the proposal. Tt says the Empire Conference to be held at Ottawa is likely to grant Canada and Australia the rich privilege of selling to Britain most cf the wheat she needs.

As matters stand, says the newspaper, the American grower will be undersold in the markets, but he would be beaten if an export subsidy, such as Mr Smith suggests, lowered the price in Britain 25 per cent, without reducing the American farmer's return, which latter is questionable.

The New York "Times" without accepting the proposal outright, comments that it. may prove to have an ultimate value, but its great immediate? value is the blunt assertion that America has been dealing with the question in a way that is bad for Americans as well as for the rest of the world. The New York "Herald Tribune" characterises .the proposal as exceedingly difficult to defend from any economic angle. However, it commends Mr Smith for his courage in discussing the issue candidly and suggests it might be an ingenious political device to make the cancellation of debts palatable fo American voters.