The Washington times., 1913-03-19
WILSON FROWNS ON
! DOLLAR DIPLOMACY
Statement From White House
Shows U. S. Will Not Protect
Loans Made in Other Lands.

Loans made by American interests in
foreign countries will hereafter be
made at the risk of the loaner and
without the protection of the United
States army and navy. This policy was
laid down last night in statement is
sued at the White House, in which the
refusal of this Government TO partici-
pate in the six-power S125, 600, 900 loan to
China was made plain.
The statement points to other paths
than dollar diplomacy." The famous
Taft-knox doctrine OF commercial eN-
pansion backed with gun has been
struck body blow. The statement re-
ferred only to the Chinese loan, but the
general statements are interpreted to
mean that there will be speedy develop
ments in Santo Domingo and Central
America, where the United States has
used its armed forces to collect the
debts of American money loaners.
The refusal of the Government TO un-
dertake the protection of American
money in China does not mean that the
doors have been closed against Ameri-
can banking enterprise. Any group of
bankers who wish to lend the money
may do SO. Our interests, says the
statement issued by President Wilson,
are those of the open door-a door of
friendship and mutual advantage. This
Strike Deep.
The conditions of the lean seem to
US to touch very nearly the administra-
tive Independence of China ITSELF" says
the statement, explaining its refusal to
ask American bankers to participate in
the loan, land this Administration does
not feel that ii ought, even by implica-
ton, TO be a party 10 these conditions
The responsibility on its part which
would be implied in requesting the
bankers to undertake the loan might
conceivably go the length, in some un-
happy contingency, of forcible interfer-
ence in the financial and even the DO
Htfcal affairs of that great Oriental
state, just now awakening to a con-
sciousness of its power and of its obli-
cation to its peoples"
Specifically, objection is found because
the loan, under the conditions now i'm
posed, means the pledging of ''particu-
lar taxes, some of them antiquated and
burdensome," and 'also the administra-
ton Of those taxes by foreign agents -
Inc statement goes further than the
United States has ever gone before to-
ward the recognition OF the new regime
In China The word recognition does
not occur in the whole statement nor is
the question of the responsibility of
the provisional government However,
sprfnkled throughout the document, are
words Of encouragement to the new
regime, and the whole fabric of argu-
ment is struck through with a keen
appreciation of China's efforts to insti-
tute republican forms of government.
Want to Assist.
''The Government of the United States
is not only willing, but earnestly desir-
Gus. of aiding the great Chinese people
in every way that is consistent with
their untrammeled development and its
own immemorial principles. The awake
ening of the people of China to a con-
sciousness of their possibilities under
free government is the most significant
II not the most momentouS event of our
generation.
with this movement and aspiration
the American people are in profound
sympathy. They Certainly wish to par
ticipate, and participate very generous
ly. in opening to the Chinese and to the
use of the world the almost untouched
and perhaps unrivaled resources of
China.
1.-THE Government Of the United States
is earnestly desirous of promoting the
most extended and intimate trade rela-
tions between this country and the
Chinese republic. The present Admin
fstration will urge and support the
legislative measures necessary to give
American merchants, manufacturers,
contractors, and engineers the banking
and other financial facilities which they
now lack, and without which they are
at q serious disadvantage as compared
with their industrial and commercial
rivals.
This is its duty. This is the main
material interest of its citizens in the
development of China. Our interests
are those of the open door-a door of
friendship and mutual advantage. This
II the only door We care to enter"