New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-04-02
4 Political Economist and a
Military Expert Discuss the
Practical and ethical AdVis-
ability Of q Defensive ALI
ance with the Country That
Is Fighting Our Battles.

40 4 AS1 ASA Z 40 y
that our participation should be limited to de
livering to the Allies, say. s2OOOOOO,O0O worth
Of shells?"
II should subscribe 10 that. also, and for
number OF good reasons would consider it A
good investment Yes; L it were S500o00O00o
or 1000, 900 worth. In the first place our
prestige-I might say our national honor-is,
as matters stand questioned abroad. The only
way that which we have lost can be recovered
is by taking stand now that will line US up
squarely behind what always have been con-
sidered to be our best traditions 1t is not
yet too late 1t would be worth that amount
OF money TO US to stand before the world Tor
civilization and night. for protection Of our
citizens and for our vndcation o. international
law"
DO you think IT is safe to say that II We
did take this step the war would be shortened
by at least six months"
81 think so. And that brings I'd an i'm
portant economic question which is another
part OF the practical side OF the war. The
Allies, it seems. are spending between $50
100000 and S75oooooo a day. BY shorten
ing the war six months VIC would effect al
economic saving to Europe OF at least So
ooooooooo We would also be saving Europe
the $4,000. ooo. 900 or $1,000, 100000 that we
spent for shells so that the total saving would
be at least $1,000. 600 or SI2,ooo,ooo,ooo.
NEW LIVING STANDARD.
IF the war goes on without US for its full
period the money that Europe will have to
borrow from US for construction VIII tor the
most part remain in Europe. Even II IT is
spent hers. when it IS gone there will be moth
inc eft with which Europe can pay its DIS
% us. ard therefore it will not buy. In any
event il will not need to buy as much as tor
rnerly. for. with all Of Europe without money
and with enormous debts, the people will have
TO adopt new standard OF living, in which
luxuries will have no place. All lite Will De
much simpler.
"If however. we should enter the war we
will save :or this country our initial invest
rncnt OF 900 or $4,000 100000. and OF
~. &c. ooo. ooo. 600 that will be saved to Europe
much will eventually come here IN othel
words. by saving them this enormous sum we
have increased their purchasing power by Just
that much"
AS see it. Dean Johnson, INTERCEPTED
Mr.. Gardiner. III we do not enter the war
we arc in grave danger OF experiencing
tariff determinations on the part Of the Al
lies after the war is over that will very serl-
ouslv affect Our prosperity. Take England
&C an ezau,ple. She has accumulated an enor-
nous war debt and, with the interest She
will have to pay, It IS extremely douo'iul
Il she can continue 10 remain tree trace
country Some sort OF import tax will be al
r,,oet an absolute necessity. What snc VIII
prcbsbly do is to levy such tax with prefer
ennal provisions for her present allies
Moreover. before the war we were e%-
porting very largely to England. where our
IMPORTS. because OF our high tariff were
comparatively small. England paid for her
goods partly by lending US money for our
public and other Improvements and partly by
Transporting ou- manufactures IN English DOT
toms After the war neither England nor any
OF the other nations now at war VIII have any
money 70 lend. Consequently. not having any
thing TO pay US with. the volume OF her put-
chases. or the volume OF our exports 10 her.
which means the same thing, will be very ma
terially reduced.
THAT is true" replied Dean Johnson
And there arc also other important cconon-
c considerations After the war there VIII
he \ great demand in Europe for capital ana
we arc the only people in the world who have
:, and can furnish II. So great will Europes
,.r,esitv be that they will out5id America tor
it. In fact. it would not surprise me at al u
s per cent money IN loans to the various hu-
,opesn states would be common. What then
will happen to our industriasm' The extern
zion OF our railroads and the enlargement OF
our industrial plants arc always making oe-
mands on capital. but they cannot outoid bu-
rope for i, and keep going. They cannot al
ford It.