Evening star., 1921-12-11

p1oyed, development OF electric power that
would ease the necessity for coal imports,
which would help balance her foreign trade
deficit, and the conversion Of the debt which
she could not possibly now pay US directly
into an obligation that would give us all the
security we now have. plus lien on the
hydro electric plant which would be con-
structed. England could help with the enter
prise, and at the same time make some pay
ment Of interest due US by constructing tur-
bines and dynamos for export to Italy. No
ones domestic industrial situation would be
upset. and a great contribution would be
made toward setting things going again in
dustrially.
Let us look at another project in some de-
tail. The food situation in Europe could be
immensely improved if modern systems of
grain elevators were established in the agri-
cultural districts of eastern Europe. All the
labor necessary could be easily supplied in
each of the countries where the elevators
were constructed. The cost Of that labor
might be met by English payments. but the
payment would not have to be made in foreign ex-
change. The moment that these non n-manu-
featuring nations could obtain any credit in
England they would spend it for English
manufactured goods. England has two mil
lion idle men, and as many more working on
short time. The English payment would be
made. not in cash or foreign exchange, but
in goods that eastern Europe is hungry for.
while English mills are standing idle.
The necessary timber for such construction
might in part. for example. come from Poland.
Poland owes US considerable amount. but
has such an adverse balance of trade that she
cannot pay outside debts in foreign currency
values. She has almost unlimited forest
products and plenty of labor to convert those
into lumber This program would stimulate
her exports. giving her an outlet for some
thing she can produce, instead of leaving her
lumber it is in it's present stagnant posi-
ton. Poland could. easily export lumber to
Rumana, wnereas,s of course. she cannot ex-
port lumber to theaUnted States. Under such
arrangement the debt due us from Poland.
which she cannot pay. would be converted
into debt due from Rumana, for which
there would be added security of the system
OF grain elevators which we would construct
While that arrangement would be beneficial
to us. it would be of enormous benefit both
to Rumania and to all food-consuming Europe.
There are regions in Europe where the
building Of railroads would be followed by
rapid economic development followed the
construction of some of the railroads in
great west generation ago. The food supply
of Europe would be increased and the buy
ing capacity of great masses of eastern Eu
ropean peasants would soon make itself felt
m all the Industrial nations of western Eu-
rope. If undertook the construction Of
well located lines Of this character. the direct
labor would be found locally. The rails. ROLL
ing stock and locomotives could be built in
England and France by men who are now
idle. Such exports from England and France
would not upset our domestic situation. but
would quickly put hope and new vigor into
the European situation and would be fol-
lowed by new demands in England and France
for the products OF factories and mills; there
would be reactions every side that would
be advantageous and would have obtained
for the interest claims that cannot be directly
lquidated In payment to US fresh obligations from
eastern European nations plus liens upon
railroads we constructed.