Great Falls daily tribune. [volume] (Great Falls, Mont.) 1895-1921, 1921-01-04
SIMILAR ACTION
Continued from Page Three

lars worth of domestic merchandise
These have been largely privately IL
nanced. The difficulty in the way OF
still larger exports does not seem to lie
so much in the lack of financial ability
here as in Europe's lack of means to
make payment Her productive energies
and the services which she renders have
not yet reached point where they bal
ance the value of commodities taken
from this nation and her ability to fur
nish for additional exports securities
which business men would feel justified
in taking is restricted. The experts OF
that lone of the chief obstacles to the
granting of credits is the absence in
borrowing countries of sufficient secur-
tiles for ultimate repayment.
Exports are Gratifying.
Until this obstacle is removed, it is
difficult to see how materially larger
exports to Europe, are to be made even
if exporters. aided or unaided by gov
eminent finance, stand ready TO do their
part. 1t is remarkable that Europe is
able to make an effective demand for as
large a volume of our goods as she is
making. 1t is gratifying evidence OF her
recovery and progress toward full pro-
duction and sounder financial conditions.
Under the law, if the activities of the
were resumed, no direct adj
vances could be made to producers and.
if they could be, they would not ac-
complsh the objects in view. They
would not create demand for our pro-
ducts. They could be made only to ex-
porters or to banks engaged in financ-
ing exports and if they did in some mea-
sure stimulate exports they would prob
ably not have the effect apparently most
desired of substantially increasing those
of agricultural commodities.
World Trade Resumed.
Already with the larger volume OF
exports which Europe is taking from us.
she is exercising her option such as
meats, presumably because she herself
has become more largely self sufficient
or is again providing herself with sup
plies from distant countries which with
the opening up of shipping since the
armistice. have once more found their
place in the markets of the world.
1T is highly probable that the most
conspicuous effect of the resumption OF
the corporations activities would be an
effort on the part of exporters to shift
the financing of their operations from
ordinary commercial channels to the
government This would be unfortunate.
It would continue the government as an
active factor in ordinary business OPP
erations.
Boost Tax Burden
If activities of any considerable magni-
tude resulted it naturally would necessl-
tie the imposition of additional taxes
or further borrowing either through the
war finance corporation or by the treas
ury In either case the new burdens
would be laid upon all the people. Fur
Their borrowing would in all likelihood
tap the very sources which might other
wise be available for private operations
or which the treasury is now compelled
to reach to meet current obligations of
the government" There is no question
that the borrowing of the government
should be limited to the minimum re-
auircment and that the government
should not be called upon further to fl
nance private business at public ex-
pense To the extent that Europe is
able to furnish additional securities,
private financial institutions will I'M
doubtedfy find means of giving the neces-
sery accommodation.
Private Enterprise Aided
The way has bees opened for add
tional legislative efforts to promote tor.
e;gn trade. Financial agencies IN mid Of
exports. privately financed. have already
b en- planned to operate under the ACT.
approved December "A, 1919, authofiz-
ing the organization of banking corpora
tions to foreign banking business. One
corporation has been organized in the
south and a second of larger scope is
IN course of development. These agen-
cies may be expected to act as promptly
ana as literally and helpfully as sound
business conditions VIII permit. Through
reliance of such enterprises. rather than
through government Intervention, may
we expect to secure return TO stable
business action. For many months there
has. been demand that war agencies
should be abolished and that there should
be less government interference with
business. I have sympathized with this
view. and believe that it is applicable
to a general trade as we'll as to domestic
business. am of the opinion that now.
more than two years after the arms
tice. the nation should resume its usual
business methods and return to It's re-
lance on the initiative, intelligence aud
ability of its business leaders and flnan-
cial Institutions
Wars Economic Legacy
satisfactory adjustment of domestic and
international trade relations. The bur-
dcns of war are not lifted when the
fighting ceases. One sad thing about
war IS that It leaves behind it a legacy
Of economic illness and of suffering from
which there is no escape
Conditions. however. are improving
both here and abroad, The difficulties
with which we ire now confronted are
of small consequence iii COMPARISON with
those which we have met and overcome.
Fuller restoration awaits the adoption
Of constructive measures OF large conse-
auence The secure establishment of a
Just peace in the world; the cessation
of fighting everywhere: the more conf
pIete resumption in Europe of the nor
NAL courses of industry, the retura of
her people to soaGder financial banking
policies. and the breaking down within