The Washington times., 1919-10-05
BANKERS VIEW OF
EUROPE'S Future
Plan Combine to Finance Busi-
ness Revival IN Stricken
Lands.

tcNW YORK. Oct THAT Europe's
eilapidated finances should be Dol
Elered up as q business proposition,
Eood for the American people, rather
than as an act Of charity. is the con-
eonEus OF opinion among lead ing
bauking houses Of Wall street
- ascertain the attitude Of hnan-
u-al men towards Europe's situation,
aEttmber Of financial men were asked
1of their opinions regarding European
tease. The opinions were unanimous
1at goods should be sent TO Europe
one longtime credit, until enough
goods are produced on the other side.
81 TIE Atlantic 20 even up trade bal
uaceE
financial men deny that an en-
b4FEo- on goods going 70 Europe would
reduce prices in the United States,
though they agree that American
pftcss are soaring because OF the
coGt Of living IN Europe. They oon-
teud that prices viii not drop here
uUtI they have come down IN the
most important European countries,
reEErdless Of the surplus supplies
Uhich would pile up here IL an en-
GaTgo were placed.
As proof Of their assertions, the
Wan Street economists point to the
eIoarEo Ia certain goods, such as
sugar, for example, enormous GUAM
ohcs Of which are ready to be ship
ped Some goods are already in
Ghipes which cannot be sailed. Ex-
pqrters who have bought these goods
fer shipment are simply holding onto
them-
WouId Lever CostE.
On the other hand. e is pointed
u1t that conditions CannotA become
permanently Etable Ga one part Of the
Werld until Europe Is settled Ship
Uents OF food and materials to Eu-.
Te1e which win enable that continent
. rs-establish normal living condi-
tons. ordinarily less expensive than
these Of America win result ia an
ana1r Of goods TO America At reduced
Igel This would bring American
-cpsts down permanently.
anlzerG also point cut the advant-
EEe Of buying credit in Europe at
this time when America would receive
enQrmous prices for goods. The
: cfealt would remain credit. since Eu-
Eore has no gold TO pay, until ft is
paid back 10 goods Manufactured in
Europe. These goods would be sold
20 Americans at much reduced prices,
~ European conditions become normal
ana stabilized. and American capital
Ercald benefit BY the drop.
So confident are Eome bankers Of
ee advantage Of putting Europe on
So feet that they propose an enor-
Nous combination, 70 be made up Of
ali the larger financial institutions
81 america This organization could 1
finance all countries according to (
thelr needs, and could see that the I
smaller nations get on their feet
COmDetitlTe Plan.
The leaders OF this plan say that /
uuder q competitive system, credit for
the larger and stronger countries
pould be furnished by the stronger
lLg in America ct normal rates /
cL-dnteresE Weaker countries, being /
let secure Investments, would Be 4
forced TO pay high rates which they /
cguuot afford. IN addition they would 4
probably have TO 90 TO weaker banks. i
4nt8 arrangement would be bad for 4
beth debtors and creditors, it IS held 1
and might cause an unstable condi- y
tion Of the money market for some /
time
hat wan Street and other New
York financial interests are not
doubtful Of Europe's ability to @come 4
back" is shown By the way bankers I
are preparing 70 lend credit Many 4
are. gpeculatiug in foreign exchange II
while the dollar buys SO many French II
francs or German marks, placing the \
money on deposit ia. Paris or Berlin
at interest. and waiting until Eu-
Eope'g money climbs nearer normal, II
Wrken prospects are considered good II
~ many for doubling on the specU-
iatiun-