A MASTERLY EFFORT

Poverty Bay Herald, Volume LIX, Issue 17953, 3 December 1932, Page 7

A MASTERLY EFFORT

BRITISH VIEW OF NOTE PROVOCATION AVOIDED COMMENT BY MR. BALDWIN (Elec. Tel. Copyright—United Press Assn.) LONDON, Dec. 1. Britain’s second war debt note to America is one of the most momentous since tho war, and is regarded as a masterly effort.

The note makes a strong, point that no payments should be asked before the discussions begin.

It is known that Whitehall has taken great pains to avoid anything provocative, though showing the American taxpayer that ho is not asked to bear greater burdens and sacrifices than Britons have already undertaken, likewise dispelling the American delusion that if the slate is wiped clean Britons would come out on an even beam, if not actually in pocket. The answer thereto is the Cold fact that the British nation is £200,000,000 out of pocket now as the, result of her generous policy to debtors.

Strong emphasis is laid on tho destruction gf the Lausanne agreement if the payments arc resumed, with inevitable calls on France, Italy and other European nations to meet' obligations to Britain, while the Dominions, having to pay Britain, will have necessarily to ask for the resumption of reparations due. to them. U.S. PRODUCERS WARNED Tho most striking point in the note is the warning to American primary producers that if payments are resumed it will necessitate Britain taking measures to restrict American imports, particularly farm products, for which Britain is America’s best customer.

Mr. Stanley Baldwin, speaking at Glasgow, made a short reference to the debt question. He urged the British public to recognise that America herself was in a difficult position so far as action regarding this month’s payments was concerned, owing to the. state of deadlock which existed following the American election. He believed that tho American attitude, was most- friendly towards Britain, but it was a difficult moment, politically and constitutionally, for her to act.

Referring to Lausanne, lie said Europe recognised that it was impossible in the present world conditions to continue the payments that were being made across the European exchanges in settlement of debts and reparations contracted during the war. The force of economic circumstances had been such that the people realised that until those fetters had been removed from the necks of the nations of Europe, it would be impossible to revert to that freer circulation of trade and commerce and facilitate the payment for these dungs between the countries concerned. What had been accomplished at Lan : sanne must bear great weight at the World Conference, and at what discussions might take place next year regarding European debts to America. They might feel that the whole of Europe would enter into these discussions with the full sympathy of America that Europe had achieved unity in her conception of how these problems should be met, and the lines along which they must travel before any could see daylight again in the matter of international financial obligations. NEWSPA PER APPROVAL

Newspapers of all shades of political opinion approve the note as an adequate and forcible expression of Britain’s case. The editorials, apart from expressions of commendation, mainly traverse the Government’s faith in its arguments. The Daily Express is the only London paper regretting that Britain ‘is going to pay if America insists. The Times says: “It is hard to believe that this plain and .straightforward statement of the facts will fail to carry conviction.”

The Morning Dost says: “It is a masterpiece of force and clarity.” The Daily Telegraph thinks it will appeal to the intelligence of tho great business community. The note deals not merely with the arguments for 1 lie suspension of the payment, but the broad issue of the revision and re-settle-merit.

There was a further substantial improvement. in the dollar sterling exchange when tho foreign exchange market opened in London to-day. The New York rate opened at 321 cents, and later advanced to 324 cents The Paris rate, after opening at 82 7-16 francs, advanced to 82$ francs.