The Washington herald., 1921-04-17

NHE events OF the world during the past two
years would seem to prove with sufficient
conclusiveness that the nations of this earth
must hang together or they will be hanged sep
arately. The truth Of this finds its culmnation in
President Harding's message which recognized that
whether we would wish or not this government
cannot remain isolated without doing the hanging
act for itself 80 e.l,' ..
The Herald's economist on Thursday pointed
out that the $Iooooo.ooo Foreign Trade Financing
CORPORATION had decided to fold its hands until the
machinery Of the league of nations is perfected"
As everyone knows it cannot be perfected" until
the United States is member. Until then il will
go along steady by jerks 1t cannot stop nor disin-
tegrae, because, far as Europe is concerned, it
provides the administrative and executive agencies
of the treaty of Versailles. ~ f." ~ .~>
The United States may be able to unscrambIe
it from the treaty-we believe this can be done-and
ratfy the remainder. This government is interested
directly only in the reparations adjustments, as.
these are affected by the league. But Europe must
preserve the league not for a few months but for
very many years. before it safely let go of this
anchorage. BY that time it will have permanency
be simply the tail of the treaty to give it mo-
mentum and direction. - -. ~ -
In the meanwhile there viii be time to deter
mine under what form and conditions this govern
ment viii join other nations that they may hang to-
gether ratherthan face the alternative. Because we
nave been kept outside, quarreling among ourselves
the allies have been able to make our ratification of
the treaty itself more complicated. They have
shown the character ef associates" as that of
narrow selfish imperialism. -.
But so long as we have to trade, do business
and live with them, it is necessary to be where we
can watch them, to act from the inside and not be
merely goose to be plucked The Finance Cor
poration's position illustrates this. Its capital is to
be used for long-term credits and investments. 10
rotate the capital these must be capable of transfer
and absorption E--a ..
As The Herald's ecouomst puts it; 'H the
government finds It advisable to avoid entangling
alliances politically, shall the individual become en-
tangled financially with Europer In other words
inyestpent win wait until the government tof the
United States is there to protectit Yet, as fact
individual americans, American corporations and
companies must be entangleed in Europe financially.
They now. to the extent of some $Sooo,ooo.ooo.
and It Is only as to other billions they hesitate.
Moreover, every citizen has an interest in the $o.-
oooooo,ooo advanced by the government to those
other governments now in the league -
It may be wise to first merely declare peace for
its mere psychological effect II have no other
! II may under the conditions which have come since
the armstjce be wise to withhold treaty ratification
to compel the allies to disentangle Of the
. tanglements with which they have webbed Us in
while we are scrapping among ourselves. That they
were able to do this sufficiently points the- final
moral which adorns all the tale of the past two
years. 1t sufficiently shows that we cannot ade-
quately protect ourselves unless on the ground We
cannot boss the game from the bieeehers, ,,..t 3'
As generally interpreted President HaTding's
message treats with condition. not theory. His
49, A. l. GSaN