The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1914-08-28
EUROPEAN WAR and
The UNITED STATES

confiagratiOn of war in Europe, anC
there is yet reason to believe that the
danger of 1T will be averted. 1t is GER
tain that the governments Of 1.-The
great powers realize the tremendous
cost it would entail and the porten-
tous consequences which would fol
low, and are anxious to avoid It. This
was shown by the prompt action OF
Sir Edward Grey, the British foreign
minister, in asking Germany. France
and Italy to confer with Great Britain
through their ambassadors in London,
with a view to arranging the Difficult
ties between Austria and Russia, and
in calling uI'on Austria and Servia to
suspend military operations in the
meantime. There was a ready re-
spouse, and tina. Of France and Italy
was favorable. Germany's refusal 70
take part in any mediation unless re-
quested by Austria, and Austria's
prompt declaration Of wal against
SerVia is ominous, the more so that
Russia Is actively mobilizing troops
and Austrian troops are already over
the Sarvian border. There is still hope
that the powers may take some action
to limit or end the conflict before it
gets beyond control. If not, the whole
commercial world will have to share
the consequences.
" III Itlb pSOplc vi lIllB COulLIy
may still cherish a hope that a general
wal will be avoided, we may as we'll
consider seriously what the effect
would be upon the interests of the
United States, immediate and remote.
1t is already a common subject Of dis
cussion and various opinions are quot
ed as to economic and financial re-
suits. For some there would be profit
for a time,but it could only be at the
expense Of others, and in the end the
penalty for the enormous waste and
loss would be shared here. One Of the
first effects, which is already felt to
some extent from the mere a]pprehen-
sion Of war, Is the selling Of American
securities held abroad and the trans
fer OF investment to new foreign is
sues. This must depress the price Of
those securities to the loss of some
and to the gain of others in whose
hands they will gradually recover
value. 1t is far from an advantage
to have securities sent back at low
prices, though 1t will diminish our in
d~ebtedness abroad, for it must absorb
funds here at a time when they are
needed for other and more important
uses. Another effect would be TO Gre
ate more than a normal demand for
American products abroad, not only on
account Of the supplies required for
armies, but on account of the restric-
ton upon production and trade in the
countries engaged in the struggle.
This would be profitable to our trade
for the time being and stimulating TO
our industries. 1t would enlarge the
market for the surplus from the crops
of this year., which promise to be more
abundant than usual; but there are two
sides to that account. It would not only
tend to keep up prices, but to increase
them. That would be to the profit Of
the producers and the sellers, but it
would be to the cost Of domestic con
who are far more numerous.
The effect upon manufacturing indus
tries might be in a n timely, stimu-
lating their activity by an exceptional
demand abroad for their products on
account of the interference with pro-
duction there, and maintaining prices
on a profitable level. If this kept up
long it would hasten returning pros
perity and induce an increase Of facili-
ties in various lines. This expansion
would new investment Of capital
and new increment in the amount
available, but the tendency would be
to carry 1t beyond the normal limit.
Modern warfare is terribly destructive
Inc costly, but that very fact makes
1t Of short duration, and it would not
be long before the stimulus was with
drawn. At the same time there would
be a renewal OF the customary activi-
ties in foreign countries and danger of
a reaction here, which would more
than wipe out the temporary gains.
activity as the result of
has an unwholesome after
effect and is not profitable.
Some are disposed to deplore the lack
of ar American merchant marine on
account of the opportunity that would
be afforded by the disturbance of for
eign commerce and the risks to the
shipping of the ~belligerent nations. I:
Is not at all certain that we would be
at a disadvantage on that account.
Much that would be going to foreign
war between the coutries to which
they belong. and the risks would beset
all ocean shipping. The demand for
the merchandise would not be lessened
and the risks would affect the sellers
than the carriers. The particular
war apprehended as possible would be
little, if at all, On the sea, and mer-
chant vessels would not be employed
in 1t. There would be plenty Of ship
ping for the trade and it would go
and come in spite Of the disturbance
land. The incidental risks and
would befall the people who
own the vessels rather than those who
supply the cargoes.
The fact is that there can be nothing
but economic waste and loss in modern
warfare, which it will take many years
to repair, and it cannot be confined to
those engaged in the struggle. 1t must
affect the whole commercial, industrial
and financial world. There are thosa
who will profit for the time being
chief among whom are those engaged
In the financial operation of gathering
capital out Of peaceful pursuits 10 be
destroyed in wasteful and bloody cor
flict. There will be stimulated industry
and trade for a time, to feed the fires
of conflagration, but when it is over
the tremendous cost will have to be
counted up and atoned for. Nobody
can escape the burden of the debt in
CURED, to be slowly worked off or
permanently borne. or the prices en-
HANGED by the destruction OF supplies,
or the toll necessary to repair dam
age. The effects cannot be confined
to the combatant nations, but will
spread to all who take part in the
worlds work.
His Unpleasant Exceptions.
Cleveland Plain Dealer: Nobody will