The news scimitar. (Memphis, Tenn.) 1907-1926, 1919-09-30

Europe win be saved from disaster. the
money win be expended here and we
win enjoy the unique pleasure and sat
lsiacti0n Of giving our bread and eat
ing Il at the same time
II do not mean that trade and COM
merce should be put under the dOmi-
nation Of this or any other govern
ment. What In needed is to get back
TO normal economic life, 10 a resump-
ton Of free intercourse between all peo-
pies everywhere. While these credits
must, in measure, be guaranteed by
governments. the proceeds should be
utilized to resuscitate European manu-
facturers and merchants under guar
antics which they and their banks viii
give, aided by the pledges Of their gov
ernments.
The intricacies and difficulties will
IN large measure disappear under the
law OF supply and demand when that
law gets to working normally and nat
urally again. But IL Is too apparent
for argument that IL can not get to
working normally and naturally Until
production on a great scale Is resumed.
1t. rs essential that approved Euro
pean securities be bought by American
investors. Unless this is done, lending
money 20 Europe for short periods will
only defer and immensely exaggerale
those difficulties OF international debit
and credit and barter and sale which
We term the acute exchange problem
because when the loans mature she
viii have TO convert her currencies into
dollars, not only to pay us for the ex-
cess OF our exports over what she
sends to us. but also pay Off the ma
turing loans.
Europeans Are Idle.
The first and Immediate extension
OF credits must therefore necessarily
serve as amere measure OF financing.
looking ultimately to balancing the
counting table Of the world by our pur-
chase Of long time European bonds.
such Investment, by the public Of our
county IN foreign securities, will make
OF this nation a creditor nation and
more important than the Interest which
we VIII receive will be the habits OF
thrift induced among our people which
VIII prove one OF the greatest correc-
lives Of the evils Of initiation. credit
or nation Is perforce a saving nation.
There need be no fear about the
soundness and safety Of these Euro
pean securities when wisely selected A
way must be devised by our great
bankers at ONCE to classify and an
prove those which are to be available
for our people. While II Is true that
hurope's man power Is reduced, II is
equally true that nature makes provi-
sion for this and we can safely count
on the coming generations steadily re-
pairing the ravages Of war. The coun-
tries OF Europe are ready to move for
ward and to recreate themselves as
soon as they get the capital with which
to work and the materials on which to
work
'Multitudes of skilled mechanics and
farmers are standing in idleness wait
ing for machinery and implements with
which to work. II they stand much
longer In idleness, the disposition to
hang about the market places and be
fed by public provision for the unem-
ployed viii lay permanent hold on
them
Millions of women were, during the
war, brought into productive industry
and can be continuously added to the
supply of skilled workers. The use OF
machinery has been vastly increased
and modern cooperative industrial
methods have been learned by the
stricken countries more completely In
the last five years than in any SO In
their previous history. Our banking and
commercial community must see to II
that the credits which this country ex-
tends are used only where essential.
That these credits are converted into
permanent mortgage securities only In
sofar as exports from Europe are In
sufficient to provide their payment,
That adequate assurances are provided
by foreign governments with respect
to the freedom OF these long time se
curlties from local taxation,