The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-11-20
HIGHER STOCKS SEEN
BY ROGER W. BABSON
National Debt Reorganiza tIon
Abroad to Help Here, Seys
Noted Statistician.
SOUTH AMERICAN TROr 8Ir

Roger W. Bsbson. ~. vel kew,
statistician. believes that the st-Ah Of
financing the great war will prove ,so
much for the resources OF some al iess s, O.
the nations involved and that 2 repuda
ton or a reorganization o. On. .aa'
debts o. the weaker countr IS nas o..
| low We sees IN this situation a-s,.
promise Of strong narAe. Tor AMER
can securities Discussing th.s sl-4s.or
yesterday he said:
IF this war continues az Lori
Kitchener has suggested. Tor Two OF ta:s.
years. / believe there is bound Be- DE- s...s
Reputation Of debts. I would no. te e.,
lp-ised IL a general reorgAnizator c. -,v
eminent indebtedness. similar 10 r., 20.
organ zation Of our American ta..-34o.
twenty years ago. followed.
Il feel alr1cs. sure thar Austria a.
default on its national der He--A-,
defaul. Is too strong Il word - ng.-
be better to say there Is sure 90 -s sos
compromise, some readiustme-.. z. % g..
case will II Srnoun' to full rep4sia.oa 80
IN the case OF some OF the So..---1 s;t.
after the fall OF the Conteders-y.
Although the French cred. .-s bee.
very high, yet he French deo, per cLar
is now the highes' OF any o.! re .4...
nations. Hence, although 20 IS 4.a.H
heresy to suggest such a -hIs ! .s.
that France may os oo.gs1 - :....t
Austria.
"one naturally thinks thar German
would be The likely one to dets4.' a., 2
feel very sure that Germany w.. no, b,
the Arst, and that 1t has . o-.;=r ,tAa.t
Of pulling through than some o. .a- o.as-8
especially II the result .: re wa : --7
thing in the line OF deato-s O. c:n.
promise.
From reports which nave .s-.y..
from my agents IN Europe - "o--t ~
pear that there Is nothing thar g.. -.
vent Belgium from detault.ns sE-ag, .
tremendous indemnity, Wh.ca a. he oss'
she would not receive t0- s-l,.-. Yeast
Moreover, such an .ndema.t. mast -n.
out OF some other natoc and .--
simply result In robo.ns F-.-- "a.
Paul so far as the worlds ...se.s ere
concerned. Just as s-cr - =. rs 60
fau!.s It will be very easy ..r roe -'.-
countries. SUCH as Italy ..-l, ans p.
Holland TO follow SUIT
National pride IS the basic reason r....-
keeps nations from de.au,ns e. ~
present time. No nation cares .- -a a'
figst. because OF the -esu.tAg 5as p
national prestige. As E-el- L-r-Its-
banker once said 10 me In F4rs
The security behind your A-at' q.
railroad bonds consists u yea. sst--,
steel rails, bridges and equipment. l--
assets behind European ecye.0m,at ..
corsls. OF r2.or4. TC.te t
which is beyond statistical ,omplt...-a.
This IL a.. very wei Pc ..-- - p
vestor .s not compelled O. .o-s-.ise. b.
In case OF default 30 seems % NE .aa'
based or the bankers ow- V7r-s o.
holder o, Cover men. h-rts -1s ..'
10 faN back uoo- - Ions as r7 -
defau..s a.4 nations v-. s--.ve d-.e-
10 p.Jte't then credits but when
breaks he .le u Wall be a vec g..
matter for the other - follow r
Zee! that since some one nation e --
10 default his Nigh, easily Lead 70 ~-f
erA stampede toward readjus r1ert
Mr.. Babson vas asked n rega.t q
likelihood or England as<ins ''-
adjustment Of her deot He re0
he had not as yet sut1cierr a-.- -.
swer that question. He wa. r-.--
willing 70 say that coln,r,es
those engaged In the war, or -.-
bors, are likely to be involved --. ..-.
hat this Is especially tr-s
South American colrcrles
SAID BraI' IL the best eNa
Mr.. RAbson vii have r.c:- ne s4r
Of financial conditions IN $3.50 AuA-
as he is soon 20 leave - SPECIAL
sion FOR THE sen 20 .nves,.E'rs --r
n the republics - e.. f-- .
c Ding back 70 MS d's.H,. .- - --f-
c!al conditions ab-1at 80 ga
IN vlsw Of The ta--. So.
20 ne that American s'.t- .---
corporation securities are e..
cepuona!y eoc4 a-t ws -h ~
tlonal demand "c s.e |
tant factor Tor !- a5.c.s s-c-
connection v..h Il. a.s...s e. t-.
Exchange 70 9ea ~ss r. s-e-
Instead t7evA -r -.--