Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1917-08-28
TIES
LID TIGHTER
ONEXPORTS
Issues Proclamation Putting
a Sweeping Embargo in
F'orce-Foils Enemy.

Washington. ID. C.. Aug. Sweep
ing embargo 10 all the world. de
signed to give the United States alb
soIute control of its exports for the
period of the war, has been pro-
claimed By President Wilson.
The embargo order absolutely pro-
bibits after Aug. 30 the export OF all
articles of commerce to enemy and
neutral countries. It is planned to
look after the needs Of neutrals by IL
ceused expectations insofar as the
United States can do so after caring
for its own needs and those of its
allies at war against the central pow
ers.
a separate list OF commodities in
cIudes additions to the original en-
barge order OF July g. which shall be
withheld from all nations. allied and
friendly countries Included except
under licensed shipments In this
list is included fats of all kinds, other
foods. construction materials and
other articles necessary to the sue
cessful prosecution Of the war by
this government.
Seeks to Conserve Sold.
The problem of conserving the huge
store OF gold accumulated by the
United States since 1914 is believed 10
have been met in part by the addition
Of gold bullion, currency and evil
deuces Of Indebtedness to the list of
commodities requiring licenses fer eE-
port TO European countries,
Regulations for the licensing viii
be promulgated by the secretary. of
the treasury and enforcement prob
ably viii be placed in the hands o. tine
treasury employees.
The effect OF restriction on gold ex-
ports II is believed viii be 10 de-
press still further. temporarily at
least the value of the dollar i'm inter
national exchange. especially ia the
neutral countries of Denmark. Swed-
en-. Norway. Holland Spain and Swift
ersanG. where foreign exchange is
against American money.
Low Value Nystiies.
Reasons for the comparatively low
value IS the dollar in these money
markets have not been explained en-
t5reIy to the satisfaction of officials
here by the ordinary balance of trade.
In the case 6f Spain the balance of
trade is i'm favor of the United States.
yet the exchange rate is heavily in
favor of the Spanish peseta.
While the total gold exported to
Spain has not been great il has been
sufficiently large to cause am inquiry
by officials into the situation and
close scrutiny of all transactions in
volyinE the shipment of gold 10 that
country
British and other allied officials
have been working with treasury and
federal reserve board heads for some
time past to devise method of con
serving the American gold supply.
japan which is Withdrawing gold
from This country in large shipments
from san Francisco. had not been q
party to these conferences in the past.
but with the arrival of the japanese
mission fl is understood steps were
taken to include its representatives in
the informal discussions
The Presidents Explanation.
In a statement accompanying the
drastic order President Wilson makes
ii plain that the embargo is not an
absolute prohibition against exports.
The president says
The purpose and effect of this
proclamation is not export pr0hibi-
ton. but merely export control It
is not the intention TO Interfere un-
necessarily with our foreign trade,
bar our own domestic needs must be
adequately safeguarded and there is
the added duty Of meeting the neces-
sites Of all the nations a war with
the imperial German government.
After these needs are met it is our
wish and intention TO minister to the
needs OF the neutral nations as lar as
our own resources permit This task
viii be discharged without other than
the very proper qualification that the
Of