The Chickasha daily express. (Chickasha, Indian Territory [Okla.]) 1899-current, 1920-02-07
American Financier In Interview
With United Press Points Out
How Exchange Rates and Eco
nomic Problems Solved.
SAYS AMERICANS SHOULD
FURNISH RAW MATERIALS
Declared Exchange Rate Decline viii
Curtail Exports to Certain Extent
and May Result in Jar That
VIII Pile Up Cotton.
BY United Press.

BY United Press.
New York, Feb. Frank A. Van
derlip, who first called attention tt
Europe's serious economic decline
nine morshs ago declared in a state
ment to the United Press today that
the foreign exchange situation can
be righted and Europe can be put on
her feet only if the Europeans will
so back to work.
But Europe can only do uais, he
said, if America will supply her with
food and raw materials. The former
head Of the famous National City
bank of New York added that Amer
ica can easily undertake the work
Of rehabilitation. The first step, he
said was the most important, though
il need not be large one.
"a billion dollars will go very
long way Mr.. Vanderlip stated, lin
starting Europe ON tie way to pro.
ducticn But It must be a billion
dollars spent for food and raw ma
ter.als. 1t must not be bolton dol
lars spt,t or any financial rehabil-
itation.
This is the first move necessary
. help the exchange rates recover.
The present decline in exchange
tends to halt cur exports. It is con
ceivable the halt may occur very
sharply To a considerable extent
ships are now going to Europe with
cut full cargoes. Last year we ex-
ported eight billion dollars worth of
goods, and the trade balance in our
favor was four billion dollars In
pre-war days a trade balance of
$G00000,00 for us was about the
top figure These figures indicate
that if the falling of our exports
goes far enough, it will result in
jar that will pile up cotton, agricul-
tural products and to some extent
manufactured goods. do not be-
lieve that such situation would re
suit in any serious unemployment
for us.
There might be some thrown Out
of work while q process of readjust-
ment went on, but very little hard
ship would follow Our consuming
capacity is greatly in excess of our
present consumption.
ut is rather psychologically that
we should feel continuation Of the
present decline in exchange. The
situation now facing us means the
people on the other side are unable
TO pay for what they vitally need
and that their economic life has be-
come disorganized. Economy dis
organization in Europe must hd . an
unfavorable influence to our own af-
fairs. If over there political disor
ders occurred, they would affect our
Thoughts hofe. Just as we have
considerable public opinion for sym
patAetic Russia, so might there be
body sympathetic to any political
disorders in Europe. An increase in
radical Thought in America would be
engendered by radical political move
ments in Europe. The present stu
alton is creating idleness and hun
ger among the Europeans and those
are the two principal factors in de-
veloping political unrest.
There is no cure you can take
out of patent medicine bottle. The
cure is for Europe to produce more
SO that Europe can pay for what it
must import But it is hardly to hhe
point to insist that Europe go to
work and stop at that. Certainly
Europe must work, but it must have
something to work ON and raw ma
terials to work with, and in the
meantime, il must have food to sup
port the people. Just now the peo-
pie of Austria and other central Eu-
ropean countries are exhausted and
dying of starvation.
Il doubt the wisdom of our gov
enment granting more credit to Eu-
rope. AT the same time the credits
that are needed must not run for
too long a time to make it feasible
Continued ON page 81