The Washington herald., 1915-03-23

| tucked away in all sorts of caches
! throughout the land.
These savings have been greatly aug
mented during the last year or two,
thanks to the growth of saner ideas
| about the value of economy and the
evils of extravaganza and thriftlessness
| No greater national service could be
| performed than the bringing of this
money from it's hiding places.
Trade follows the flag" used to be a
famous British slogan.
1t is more true to say that trade follows
loans.
/ II Americas strongest international and
| national bankers would address them
J selves to the task of financing undevel-
| oped countries Of untold commercial po-
tentialities rather than to supplying funds
| to our foreign rivals in Europe. the ulti-
/ mate results would be vastly more bene-
| fetal to this country.
The two greatest investing nations in
the world have been France and Britain.
with little Holland a worthy third.
Now. what fields did these astute ma
tons find most profitable?
Did they contine themselves to fully
developed countries and TO old-estab-
lished enterprises?
No. They invaded foreign lands where
returns were large and where growth
was certain.
II. instead Of coaXing England to bor-
row scores of millions here or profferinS
loans to other European powers. Ameri-
can financiers would turn their attention
in earnest to Argentina. to Brazil. to
other South American countries. to Can
ada. to China, to Russia and minor lands
where the opportunities for cultivatinS
extremely profitable trade relations were
never So attractive as they are at this
moment, the resultant benefits would be
both immediate and lasting.
Let us pay for the continual offerings
of European-held American securities.
drain upon our capital that is likely to
rersist and probably become heavier as
the war progresses.
But. in return. let European purchasers
of American products and merchandise
settle their bills.
Our balance OF exports over imports
should take care of the oversee Nquida-
ton of American securities.
And no harm would result should Eng
land be Obliged to return to us the ST.
$4,000 gold she forced us to forward to
Ottawa last fall.
Ry following the course here outlined.
American capital. instead OF being lent
to European belligerents for destructive
purposes. would be available for the cul-
tivatiOn of better trade and financial con-
ditiuns not only at home. but in the
undeVelOped countries diI'duS hhii'u-
We can buy back our securities from
Europe Just now at bargain prices. ana
in due time despite the abnormal gov
crnmental borrowing that will be ncccs-
sary abroad. European investors Will
turn again to gilt-edged American invest
ments: for the war has taught the lesson
learned long ago by far-seeinE European
Capitalis.s that the United States Is
good land in which to invest money.
thanks to its distance from the political
volcanoes in the Old World.
As for the attitude small investors here
should ADOPT. the fact may be emphasized
that the very best bonds and the most
seasoned dividendpayinG stocks are
availa bic on more generous income-pro-
ducinE terms than at any previous time
in our history save at the height Of tenn
porary pariCs.-B. {. Forbes in New York
American.