Arizona republican., 1919-07-26
For the Relief of Europe

Indications point to early appeal to the Amer people for the relief of Europe which is not only heavily in debt to the American government and American individuals, but is getting deeper in the hole every day. The trade balance is rapidly ping up against the European countries and such has be- come the state of exchange that the credit of the strongest nations of Europe has all but vanished
 France, Great Britain, Belgium and nearly every other country is in need not only of materials for building, and in still urgent need of materials to enable them to take their former places in trade that they themselves in shape to their debts. But they have money to pay for these materials and there is only place in the world where they get it-America.
 Financeers on both sides of the water have for months been engaged on plans for the relief of the bankrupt old world It is such task as had never confronted masters of finance. It presents two su preme difficulties One is the bringing together such securities the old world may yet have left to offer and the other is the securing of the money to be loaned on these securities.
 It is the latter part of the task which involves the forthcoming proposition to the American people The American government do nothing. Congress would not to another loan which would mean if not increase of the present taxes continuation of them Beside it is entirely unlikely that the people would respond to such loan if it offered them It could not have that patriotic appeal which made the Liberty loans and the Victory loan successful. There could not be behind it that organization without which even the Liberty loans would have failed
 The great bankers can loan no more money from the countrys accumulated capital. They had already invested heavily in the of the allies before entered the war, ard they faced by urgent demands than ever from American enterprise They have had relief during the last year and nine months during the governments experimentation with the railroads But that the roads to be returned to their owners, practically wrecked the bankers will be called upon for huge for their rehabilitation.
 From what we can gather from the later htera- ture issued from financial believe the bankers are about to investigate to whether the American people have really learned anything from the thrift lessons the taught. We think they shortly to appeal to them to mobilize their savings for the relief of Europe accumulated capital free to meet this countrys demands upon it. The plan when developed will probably take the form of an offering of a popular loan in which the combined financial powers of America will volunteer a relation as nearly possible similar to that pied by the government with respect othe loans Such plan would involve bonds of varying demoni- nation be sold the nstalment plan, but bearing somewhat higher rate of interest than the bonds bear.
 It is very doubtful whether such plan would carry strong appeal The bonds in the first place popular mind the reliability of the bonds place the Liberty loan offering did not find a nation of bond buyers and did not de- velop nation buyers in successive campaigns. Comparatively few people bought the bonds because they wanted them. Some bought of of duty to their government, and other because they were
 
 amounts attracted by the taxation feature. All these incentives, think would be lacking, in popular loan offering for the relief of Europe.