Pine Bluff daily graphic., 1915-03-07
(By Jonathan Winfield)

ed in the United States! BdnKeIs and economists differ on this subject. Some say the American securities held in Europe will be sent back to us in the attempt to reach financial equilibrium; others believe long terms credits will be established in New York; there is another theory that Europe will prefer to send us It's own securities to be taken up in thel money markets on attractive items.
 One thing is certain: Europe will not send us any gold in payment of her depts, no matter how uneven the international exchange rate gets. In the first place, she needs all her gold reserves for future contingencies; the United States has more gold than it requires at the present time, for industry is not, under the present conditions of depression taxing the financial resources of the nation; and in the third place, it is extreme ly dangerous to trusAt gold to ocean shipment at the present time.
 England's Big Debt.
 Should the war continue another six months, Europe will owe to the United States, in round figures, billion and half dollars. This esti- mate is ,rade on the. basis of the January showing, when there was an excess of more than $145,000,000 worth of exports over imports. These figures are made over and beyond the millions owing to Europe through her maturing obligations in the Unitec States and dividends declared on her holdings of our railroad and indus trial stocks.
 Russia has already established a credit of many millions ill the Unitec States, and it is rumOred that Great Britain will, in the near future, establish credit of more than $1O0,- OOO,0O0 in this country Such credit will not only allow the present huge l British exports of American goods to continue without confusion or hesita- tion, but will serve to equalize inter- national exchange, the peculiar antics of which during the past few
 weeks has threatened the financial stability of our dealings with Europe. U. $. Center of World.
 The one major fact in connection with the war situation, financially speaking, is that it will probably make the United States the banking and financial center of the world. London's supremacy hitherto has been undisputed. The war, however, has shifted the scene of great flnan- cal operations to New York, and there is every likelihood that London will not be able to recover all the advantages she has lost. Neither Great Britain or France are now loaning any more to the outside world. The Bank of England six weeks ago placed a bar upon all lending abroad; and since that time it has become clear that Russia will require all the financial aid that France and Great Britain can give to her. The burden, or the opportunity, of financing weaker and smaller na- tions has largely fallen upon the United States, and this means not only that New York is becoming a powerful international financial cen ter, but also that vast amount Of trade that formerly went to Europe is hereafter coming to the United States. It is ayimotic that trade follows, not the flag, but the lend ing power of the nation.
 SGutN AUlttlC0 DnuhuS ASANs
 This lending opportunity" is par ticularly significant in relation to] South America. Argentina has al ready placed a loan of several mil lions in Wall street. and more are to| follow. Brazil, Chili, and otAer na- tions are looking to the United States to supply many manufactured com modities which formerly came from Europe. It is true that this demand for goods is not strong at present, for the simple reason that the cutting off of European financial resources rom the Latin-American nations has crip- pied them severely. and before they can trade with the United States they must get money from New York. If this money is loaned in sufficient quantities, if American financiers rise to their opportunity, South Amerieay will be linked financial and commercially to the United States.
 If any silver lining can be found in the present conflict, from the American point of view, it is in just the financial revolution that is now going forward. The United States is ra nidlv finding "Its nlace in the sun"