New-York tribune., 1921-06-29
Need Financial
Stability for
Trade, Il View
Recovery in Foreign Busi-
ness Depends Upon Set
clement of Exchange
Problem, Group Is Told

LONDON, June % (By The Asso-
ciated Press. )-~High finance was the
subject of discussion at to-day's scs-
sion of the second congress of the
International Chamber of Commerce.
which opened hero yesterday. The
financial section was presided over by
Dr.. Walter Leaf, prominent London
banker and president OF the Institute
Of Bankers.
DR.. Leaf described tho financial sec
tion as the pivot of the whole congress,
for, he declared, on finance everything
in Europe at the present moment
turned, because the financial machine
bad ceased to operate in large part
of Europe
fabrication was not so much needed
as creative effort, DR.. Leaf asserted.
T. O. Watts, of st. Louis, Mo, said
that as far as America was concerned
she was determined to partake in the
great movement of reconstruction now
passing over the world.
Would Abandon imitation
Professor Cassel of Holland, pleaded
for an all around restoration of the pur-
chasing power of money and the sta
bilization of exchange rates. He ad-
vocated the abandonment Of imitation
as detrimental to production and trade.
George E. Roberts, vice president of
the National City Bank of New York,
said the cause Of imitation had been the
excessive issue of paper currency, and
that the people of the United States
were willing to do their utmost TO re-
lievc the present situation.
Sir Felix Schuster, a prominent Lon
don banker, urged that the process of
dchation must be gradual. The aim
must be, however, he declared, to re-
turn at the soonest possible moment to
the pre-war gold standard.
Budgeting Urged
Sir Felix added that the first step
inflated countries should take should
be to put their internal budgets right
and to avoid issues of currencies for
balancing the budgets. He thought the
policy OF international credits now be-
ing considered would materially con-
tribute to restoring them somewhere
near their previous prosperity.
Mr.. Watts said the Americans
heartily agreed with Sir Felix.
The delegates adopted resolution
declaring that the various governments
should pursue a strict policy with re-
gard to taxation and departmental
economy; that they should make dis
armament effective so as to reduce
their budgets; that private enter
prises with government support should
undertake national and international
organizations for export credits; that
countries with deprecated exchange
rates should avoid, so far as possible,
new external debts, and that the
greatest liberty possible should be
granted all commercial and financial
transactions.
Another clause adopted urged that
imitation of paper currency be topped
and progre ssively decreased and fur
ther, that plan of action should be
drawn up regarding solution of the
problems connected with the inter
Allied debts. Mr. Watts, in behalf of
the American delegates, urged that no
action should be taken along this line
on the ground that the time WAS in
opportune for sucn declaration.
Oldfashioned principles of law and
order, thrift and hard work, as the only
means of producing a new era of COM
mercial prosperity, were advocated by
A. c. Bedford, vice-president of the
International Chamber of Commerce,
speaking for the American delegates at
the banquet of that body. Mr. Bed
ford called Americans the optmists of
the commercial world He said they
came with a large delegation from the