MAY LEAD TO WAR

Poverty Bay Herald, Volume LXI, Issue 18580, 14 December 1934, Page 5

MAY LEAD TO WAR

U.S. RECOVERY PLAN » REACTIONS IN EUROPE jjt . ' : new YORK, Dec. 13. Major Doug/as delivered a sensational address to the Economic Club in New York. He issued a warning that war in Europe might result from the American Government’s recovery programme, which lie sharply attacked, and pointed out that mounting budgetary deficits must result in inflation, with further depreciation of the dollar, which would intensify the depression in gold standard countries, and possibly force them to suspend gold payments. “Serious political disturbances,” he said, “are very apt to ensue, and the Parliamentary system, already partly extinct on the Continent, may make its complete demise. But this is not all. The depreciation of exchange is a devastating weapon in economic warfare. It always lias, and always will, intensify nationalistic feelings. To superimpose this intensification of national prejudice upon the international political prejudices already existing on the Continent of Europe, and the possibilities of another destructive war, made one shudder.”