The Mankato free press., 1921-12-16
That Is View Taken BY
Leading Trade Expert
CHICAGO MAN SPEAKS
James Simpson, Vice President
Marshall Field, On Present
Situation


has furnished The Free Press with a
valuable addition to the instructive
comment that have been made by fin
anciers and heads of large mercantile
establishments on the financial and
business situation abroad.
James Simpson, vice president of
Marshall Field & Co.. returned re-
Gently from a two months trip to
France, England, Germany and Swift
zerland. The conclusions he reached
as result Of his study of European
industrial, commercial and financial
Iroblems may lie of interest to mer-
chants and business men.
In Europe is economic and finan-
cia chaos. Uuless something is
promptly done to avert the disaster
which approaches with constantly in
creasing rapidity, it will spread from
one country to another until we are
all involved in the maelstrom.
THE leading minds of Europe,
while recognizing disaster, are look
irg through fog and know not which
way to turn. They feel that their on
ly hope lies in America assuming
leadership in the restoration of an
orderly state Of affairs as between ma
tions.
You may say what care we? Per
haps we do not and thus far / must
confess it appears we either do not
care or do not appreciate the con-
sequences that will inevitably result
to our own country if we continue our
Indifference to European conditions.
Let there be no mistake. No country
can save Europe but our own.
Business and Disarmament
Economic and financial questions
should be. considered simultaneously
with disarmament discussions. They
are so closely allied they cannot Re
separated. If we stand ready 10 give
Europe voluntarily the immediate fin
ancial relief that later we will be
compelled TO accord, we can obtain
the support of Europe powers for
those PRINCIPLES of disarmament
which we believe to be for the best
interest CT the world.
IF we are prepared to lose every
advantage gained by the war; If we
are prepared to incur the enmity and
hatred Of the world: II we are prepar-
cd to lose the markets of the world
for the sale of rawmaterials-grair
cotton. steel. ETC.: If we are prepared
10 build stone around ourselves and
live within ourselves. we are pursuing
the right course. But If we live at
peace and fellowship with the world
sibIities as 4 nation, we had better
take strict account Of ourselves.
IF we aspire to a place as a leader
Of nations, the obvious question fol-
lows, what can we do? First of all
think Congress. If it has not already
done so. should confer our President
or Secretary Of the Treasury unlimit-
ed power to act with respect to
mcrcys owing us y other countries.
Power TO act is important because
quick action is so vitally necessary.
Conferences are Impe ratIve
There should follow. Immediately,
conferences with our allies. .afterwhich
neutral countries and perhaps Ger
many should join. Out of such con-
fererces Will surely come a plan to
stabilize the exchanges of the world.
without which enduring commercial
Intercourse between nations is not
possible.
at is a mistake impression that
Germany is deliberately creating q
condition of bankruptcy to obtain
modification Of reparation terms. SO
long as present conditions exist she
is helpless and must continue working
her printing presses overtime turning
out money until total financial col
lapse comes. And that will be in the
near future.
$50 far as Germany alone can act.
two courses only are opened one to
continue as at present, in which event
financial collapse is certain. Such
collapse Will probably be followed by
revolution.
May Refuse To Pay
'The other course. the more likely
one of Germany to pursue, is for her
to decline to continue reparation pay
ments. Then occupation would prob
ably Immediately follow. Occupation
means industrial stagnation and prob
ably, finally, repetition of what has
happened in Russia.
Germany must have a breathing
spell to get herself in order 1t may
take from ont to two years, during
which time she could organize herself
to pay reparation of not to exceed g.
100000 900 gold marks per year as
against the 4,500, 100000 at present
demanded. She could raise perhaps
her exports, which at the highest
point before the war reached 10000
100000 gold marks. This $500, ,00O. 600
marks per year should continue far as
many years as necessary to pay the
full amount finally determined upon
az financial reparation. If Germany
enjoys unexpected prosperity and her
exports should exceed 3,000,000.000
gold marks in any one year, she
20 to 25 per cent of such excess on
account of her Indebtedness for rep
aration.
Britain Awake To Danger
Il think the leading minds of Great
Britain have keener appreciation of
the necessities of the situation than
elsewhere. ] think England stands
ready to bear its shsre OF the burden
in extending necessary financial re-
lief to the world. But England is not
in position to take the Leadership
and press France TO recede from some
OF her demands, because Of the many
points of difference existing between
France and Great Britain at the pre-
sent time.
France must be persuaded that 1t
is not to her own best interest longer
to persist in her present impossible
demands: and, much as we sym
pathiZe with the sufferings of France,
she must make concessions IN her
own interest if not on behalf OF civili-
zation.
I'VE must not forget that if France
were to repay our loan today IL would
be necessary for her to give US nearly
three times the mum er of francs she
n n sA-s--