CAUSES OF WORLD CRISIS

Timaru Herald, Volume CXXXVII, Issue 19484, 8 May 1933, Page 9

CAUSES OF WORLD CRISIS

CLEAR OUTLINE BY MR MACDONALD

FRUITFUL RESULTS OF CONVERSATIONS United Press Association—By Electric Telegraph—Copyright (Received May 7, 7.30 p.m.) LONDON, May 6. Mr Ramsay Macdonald, in a broadcast last night, summed up the results of his conversations with President Roosevelt, as follows: — The final decision to open the International Economic Conference on June 12.

Preliminary mutual examinations of the causes of the world crisis, and the means of overcoming them, so that they might cooperate in procuring good results. Personal exchange of information regarding war debts, and an agreement that on their settlement depends the success of the work of the Economic Confer-

“As we are both pledged to leave no stone unturned to make the Conference a success,” said Mr Macdonald, “this agreement means that we are to use every means in our power to find the way to settle these debts. We also reached an understanding in how to co-operate in trying to bring the Disarmament Conference to a successful issue, and an improvement generally of the friendly relations and mutual exteem Between Britain and the United States, so the influences making for the peace, confidence and appeasement in the world have undoubtedly been strengthened. Baffling Problems. Mr Macdonald added that if Britain tried to make herself economically self-supporting, the population must be reduced by migrating millions. Even to maintain the present standard of living this would not be possible for years, the alternative being devastating destitution. The International Conference must agree upon sound tariff principles, the removal of obstructive devices like the restriction of currency movements, keep the exchange value steady, providing work for millions of decent people now idle. Mr Macdonald said that he and Mr Roosevelt candidly discussed the Anglo-American attitude on war debts, which was a hard nut still uncracked. PROBLEM OF WAR DEBTS. EARLY SETTLEMENT IMPERATIVE United Press Association—By Electrlo Telegraph—Copyright (Received May 7, 6.30 p.m.) LONDON, May 6. Mr Ramsay Macdonald, said the World Economic Conference would fail, unless debts were settled as early as possible, certainly before the termination of the Conference. He and President Roosevelt were agreed upon that.

ITALO-AMERICAN PLANS,

STRONG AGREEMENT ON MANY POINTS. United Press Association —By Electrlo Tel egTsoh—Copyright (Received May 7, 7.30 p.m.) WASHINGTON, May 6. Assertion that a truce in the field of tariffs, and other obstacles to international trade, is essential if the World Economic Conference is to begin with any hope of success, was made on Saturday in a joint statement by President Roosevelt and Signor Guido Jung, Italian Finance Minister. The statement added: “We have found ourselves in the closest agreement on many other measures to reestablish the economic life of the world, and we are both determined to approach the problems of the World Economic Conference, with the firmest resolve to bring its leaders to success. We are in agreement that a fixed measure of exchange values must be re-established in the world, and we believe this measure must be gold.”

Illuminating Statement.

The communique is one of the most illuminating issued during the series of conversations between the representatives of foreign powers and President Roosevelt. It said that political tranquillity is essential for economic stability. The suggestion that public works programmes, undertaken for the benefit of the unemployed, should be synchronised, was made. It was recommended that the central banks of the various nations, should take concerted action in an attempt to provide such adequate expansion of credit, as may be necessary, to support constructive work, avoiding, as much as possible, the use of credit for illegitimate speculative purposes. Argentine in Agreement. Previously, a joint statement was issued by President Roosevelt and Senor Tomas Le Breton, Argentina’s envoy to Washington. The conversations expressed a similarity of views between the United States and Argentina. CALL FOR TARIFF TRUCE AMERICA'S WISH TO IMPRESS BRITAIN. United Press Association —By Electrlo Telegraph—Copyright (Received May 7. 6.30 p.m.) LONDON, May 6. Owing to America s belief in the supreme importance of a tariff truce,

and the desire to obtain an assurance that Britain will forthwith apply it, Mr Norman Davis (representative of the United States), has postponed his departure for Geneva, to enable further conversations to be carried out with Mr Macdonald and Mr Runciman. NEED FOR CO-OPERATION. AVOIDING HAGGLING AT CONFERENCE. United Press Association—By Electrlo Telegraph—Copyright WASHINGTON, May 5. Mr Hull (Secretary of Staet), referring to the French and British reservations to the tariff truce, said: “If we haggle with other nations in the preliminary stage, it will lead to a hair pulling contest, which will prevent progress at the World Economic Conference.”

EMPIRE INTERESTS INVOLVED.

CONFERENCES OF REPRESENTATIVES. United Press Association—By Electric Telegraph—Cooyright LONDON, May 5. The British Government and Dominions and Colonial representatives, are periodically conferring prior to the World Conference. They have exchanged views on commercial, economic and agricultural matters, but not on monetary policy.

FRENCH MINISTER RETURNS,

PLEDGES TO SAFEGUARD SECURITY.

United Press Association—By Electric Telegraph—Copyright PARIS, May 6. M. Herriot, on arrival, was greeted by M. Boncour and other Ministers. He said Mr Roosevelt was willing in the event of an act of aggression to renounce neutrality, if the nations agree at Geneva on the question of disarmament. AMERICAN ATTITUDE TO WAR DEBTS. NO PROGRESS TOWARDS SETTLEMENT OF DIFFICULTIES. United Press Association—By Electrlo Telegraon—Cooyright (Received May 7, 11.25 p.m.) WASHINGTON, May 7. It was said in high quarters on Saturday night that President Roosevelt and the spokesmen of the European debtors had been unable to agree on the war debt relief, and the steps the President will recommend to Congress remained problematical. Meanwhile the Democratic House leaders have privately voiced their militant opposition toward any move by the Administration for the cancellation or reduction or even a moratorium during the London Economic Conference. Mr Rainey, Speaker of the House, said: “There will be no postponements or revision. If the debtors don’t want to pay, they can default.’" The Senate Democratics reiterated that the President would not request authority to revise debts. Even temporary postponement would be granted by the Senate only after a fight.