The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-22

Copyright, 1890, By THE New YORK HERALD.
New York Herald Bureau,
Paris. Nov. 81.
Contradicting the optimism Of French
officials who insist that reports of unem-
ployment throughout, France are exag-
gerated by labor unions for political pur-
poses, AaD Econtes gives figures regard
ing idleness in France which are re-
garded by many persons as foreshadow-
ing dire results unless something is done
Immediately TO relieve the situation.
Statements made recently by Yves lie
Trocquer, Minister of Public Works, in
dicated that the number of unemployed
in France did not exceed 1000. but now
it is shown that the metallurgical works
alone have reduced their humber of
workers by 10000, while the textile fac
tories have $4,000 and the leather indus
tries $4,000 workers less than they had
at the beginning of this year.
1t Is either the eve of a great disaster
or the great salvation" Aug Ecoutes de-
clares. However. II stresses the former,
since production Is falling off at ire
mendous rate.
For instance, in the Roubaix and Lille
cloth factories the output has been re-
duced more than one-half. In Lyons and
st. Etienne production is only 60 per
various port works, rather than face q
total loss of employment, have organized
shifts which enable workers TO earn at
least one-third time
To the casual observer the weekly re-
ports OF The Bank OF Franco show no
sign of this interior Industrial agita-
ton, but smaller banking firms which
are sustained by individual capital
rather than by direct Government sup
port admit that France is facing a great
crisis.
Ranks Glad to Renew Loans.
The Bank OF France was reported TO
have advised the Minister of Finance
that the percentage of unpaid pledges,
which normally is less than one in n
thousand, now has risen to the sensa-
uonal point of II per cent. This has
resulted in continuation OF the mora
forum idea by the banks. which are
only too glad to renew loans to clients
to the extent of 80 per cent. of their OBJ
legations.
On the other hand, this situation has
been complicated by the decision of the
Bank of France no longer to advance
cash on merchandise security, and
smaller institutions now are compelled
to liquidate stocks at loss, while man
ufacturers who have overstocked with
raw materials no longer are able to find
buyers at any price.
One OF the leading financial writer's
here describes the position OF French
finances rs similar to a ship lying off
the coast and half turned turtle only
needing one heavy wave to break her
up. According to the same writer IN
less the Bank of France Is able to ma in
tain exceptional credits to small banks
the whole economic regime will sud-
denly collapse, even If allied financial
solidarity against Germany has the eff
feet OF restoring Europe's prosperity.
1t Is worth noting, however, that
while the pessimists are screaming this
argument, the average French citizen is
fairly well satisfied, for there is n
marked reduction in the price OF food
and clothing and the constant protests
by the people bid fair even to reduce
the high rents, which have been made
possible by the failure Of Parliament to
prevent landlords reaping huge profits
through the period OF financial strin-
gcncy. Last week the price of sugar
dropped nearly rs per cent. Flour is
down 10 per cent Merchants selling
clothing-except the high class tailors
have responded to the American de-
mand for so per cent. reduction I'm price
before spring by an initial cut of fifty
francs n suit.
Leather Prices Lowered.
Leather merchants have just published
an official statement showing that the
wholesale prices of skins have dropped
since last June to such an extent that
footwear should sell this winter at less
than half of what It sold for last year.
This situation in the leather market has
undoubtedly been influenced by the
strict application of the law forcing
French shoe manufacturers to buy
French feathers rather than American
so long as the abnormal exchange rate
persists.
The whole attitude OF the people as a
whole. therefore, is contrary to that of
pessimistic manufacturers. The dreams
OF the latter are disturbed by fear of n
commercial collapse. while the people
watch the movement and the workers,
drawing larger salaries than ever before,
wait for collapse or anything else
which will bring prices down to within
measurable distance of Frances pre-
war figures.
PARIS, Nov. 21.--The imports Of coal