The midland journal. (Rising Sun, Md.) 1885-1947, 1919-06-20
Hoover Discusses ECONOMIC
and Financial Situation
IDLENEss PREVALENT THERE
Chairman OF The Food Commission
Says The United States Will Not
Finance Any More Wars
In Europe.

said Herbert C. Hoover, chairman OF
the Inter.Allied Food Commission, in
discussing the situation in Europe
and the need of financing different ma
tions. Asked for a statement as to
the financial requirements OF Europe
from the United States during the
next year, he said:
ANY statement is promised upon
peace and the return of Europe to
work. do not take it we will finance
any more wars in Europe, directly
or indirectly, nor that we will provide
money to enable the people Of Europe
to live without work, or to work part
time, as at present all over Europe.
This sort of economic delirium ire
mems will end with peace.
"The amount of credits from the
United States to Europe during the
year after peace, revolves around the
inability of the nations to pay fof
(a) raw material, machinery and
tools, (b) food, (c) currency reorgan-
ization and (d) interest on money
borrowed from our government.
1.-THE volume of financial assistance
needed, and the solution therefor,
varies with the situation in each state
Neutral states are fourishing and need
cause no concern.
Rumania, Greater Serbia, Bulgaria,
Arabia, Turkey, except Armenia;
Portugal, Greece and Hungary will
he virtually self-supporting In fact,
some of them should be able to ex-
port food and with other commodities
they can export they can pretty well
provide for all their necessities, ex-
cept perhaps railway reconstruction
material, agricultural implements and
currency reorganization. These states
represent nearly one-third the popu-
lation of Europe.
POLAND and the Baltic States will
produce almost enough bread, grains
and vegetables for their own people,
but will be short of fats II they Sc
cure resources for currency reorgan-
ization and some working capital for
raw material imports, so as to get ex-
ports going, they should, with econ
omy be self-supporting within very
few months. Czecho-Slovakia, Bel
GUM and Finland have larger i'm
port problem for they always request
breadstuffs, meats and fats through
out the year to supplement their own
production. These people are already
moving energetically to get their in
dustries going, even under the ter
rible difficulties presented by the
armistice situation. They must have
working capital to reorganize their
currencies, provide raw material and
meet the food problem for a while.
The economic problems Of most of
these states are simple when COM
pared to the larger European nations
and the world will be astonished with
their recovery if they have peace"
II feel that something like half
billion dollars assistance from the
American Government may be need
ed to join with the other Allies in the
reorganization of the currencies OF
the new states and to take care OF
some particularly acute and other
wise unsolvable situations.
ION the other hand, much larger
credit for raw material and food, and
in order to secure that the private
sums will be required from private
credits to governments and especially
to individuals should be established,
our government would probably need
to consider some further measure OF
encouragement in this direction. The
credit of private individuals and
states of Europe is still worth some
thing, and what is needed is to re-
establish confidence in such credits
In this matter the government could
by different devices lend its assist
ance with comparatively little risk.
In any event some solution must be
found or we will again be faced with
starvation and in some parts OF Eu-
rope, on lesser scale, next spring,
when the forthcoming harvest is ex-
uduSLSu
I'VE may have some further politi-
cal revolutions in Europe because the
social pendulum has not reached the
point of stability in some spots, but
in my view the great danger of the
Red Terror and destruction by Boil
shevism has been greatly mitigated,
and will have actually passed in some
countries on the signing of peace.
"If we undertake to give credits
we should undertake it in definite,
organized manner. We should have
consolidated, organized control Of the
assistance we give in such way that
1T should be used only if economy In
imports is maintained and if the def
mite rehabilitation of industry is un'
derhsken-if the people return to
work, Il orderly government is pre-.
a - l. IT,.