The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1921-09-02
UNEMPLOYMENT
OF CONGRESS is
VITAL PROBLEM
Purpose of Confer
ence Is To Spur Re-
pub Majority.
BY DAVID LAWRENCE.
Especial to The Argus.)

Especial to The ArguS.)
Washington, Sept. 2.-The under
lying purpose of the unemploy-
ment conference called by President
Harding is to get congress employ
ed. The administration realizes
that unless the Republican majority
gets busy and passes the legisla-
ton which is needed to stimulate
business throughout the country
the number of jobless folk will in
crease instead of diminish this win
ter and the congressional elections
next fall may develop considerable
danger for the party in power.
Psychology Plays Part.
Congress is taking a vacation at
present and the administration re-
luctantly consented to the recess.
But when both houses reconvene
the drive will begin TO clear the
calendar of the vital measures
which most everybody believes will
mean better industrial and business
conditions. Few officials can be
found who think the mere calling
of an unemployment conference can
produce jobs for the idle or food
for the hungry. The most that can
be accomplished is the collecting
of data as to the true conditions
of unemployment and the laying of
that data conspicuously on the
doorstep of the capitol as sort
of mute warning to the Republicans
that theirs is the responsibility
for action on pending bills. 1t is
for the psychological effect that the
conference is being called.
President Harding wants con-
gress to do several things which in
his opinion will speed the return to
normally.
Wants Treaty Ratified.
First, the president wants the
pending treaty with Germany and
Austria ratified so that Americas
foreign relations will be clarified
and trade resumed with central
Europe.
Second. Mr.. Harding wants auth
ority given at once to Secretary
Mellon to arrange with the allies
for the payment of interest ana
principal on the ten billions of dol
lars owed us. Thus it is hoped
that by definitely fixing the time
of payments the allies will be able
to calculate upon the amounts they
must set aside every year toward
the payment of the debt and When
the allied governments begin TO
finance themselves on definite
basis the value of their currency
will increase and international ex-
change which is the basis of all
trade will tend to become equal
iyed. With exchange improved, the
purchasing power of Europe viii
gradually return. Once the purchas-
ing power of Europe is restored,
American surplus goods can be ex-
ported and the firms which have
closed down their factories Will
want to reopen them so as to sup
ply Europe. Indeed, the interna-
tional bankers who have favored
the League of Nations and Amerl-
can cooperation with Europe IN
matters of finance have argued thaI
American factories would never
have closed down if two years ago
the United States had ratified the
Versailles treaty and entered lnto
closer financial relationship win
Europe. However that may be, the
fact is the same argument is being
made now in behalf of the Hughes
Knox treaty, namely, that ratlnca-
ton will stabilize economic con-
ditions" in Europe and thus heIp
America to sell her goods.
Vacation Gets First Call.
Third, congress has been ValnlS
urged to authorize the war finance
corporation to use its funds to pay
the railroads certain sums owen
them. This, it has been contendeo,
would mean the placing of a nan
billion dollars of money into pur,
chases for equipment and woulG
mean that the steel business dnu
other trades affected by railroad de-
yeIopnent would have to take Dack