The Dawson news. (Dawson, Ga.) 1889-current, 1921-06-07
N. Y. BANKERS BACK
HARDING FINANCE PLAN
WHITE HOUSE CONFEREES
AGREE CURRENCY DELLA
TON IS LOW ENOUGH.
CREDIT EXTENSION TO FARMS
President Insists That Any Loans to
Foreign Countries Must Also Bene-
fit the American Tillers. Outlet for
Crops Must Be Found.

Crops Must Be Found.
WASHINGTON, D. C.-The New
York group of international bankers
has agreed to throw its support to the
Export Finance Corporation, organic
ed under the Edge act to finance ex-
ports of American commodities. This
is the most concrete result of the con-
ference OF the New York bankers
with President Harding and Secretary
of Commerce Hoover at the white
house.
1t was also broadly agreed that the
drive to debate the currency-which
has been one of the tendencies work
ing toward lower prices-and also,
incidentally, which is the cause of the
interest of the administration, hard
times-had gone about far enough.
Both bankers and the president, it
was discovered, favored some checking
of the process and all agreed that
something should be done to permit
further extension to credit by the re-
serve banks, particularly in the grain
and cotton-raising sections.
Discuss Foreign Bond Sales.
The objections of the administration
to the sale of foreign bonds in the
United States, including not only Ger
man reparation bonds but all kinds of
foreign issues, unless the proceeds of
the bonds should be expended in the
United States and thus encourage ex-
ports, were also the subject of vigor-
Gus discussion at this conference of
the president with the bankers, it was
learned at the white house today.
An administration spokesman said
that the bankers attempted to show
that all extensions of credit to foreign
countries resulted eventually in the
purchase of American goods for ex-
port. The bankers cited an instance
of European power borrowing mon
ey in the United States and then using
the money for the purchase of wheat
in the Argentine. The bankers assert
ed, however, that Immediately Argen-
tina used this money, received from
the sale OF her wheat, for the purchase
of manufactured goods in the United
States.
But while this was admittedly de-
sirable, the administration spokesman
pointed out, and while the argument
had merit, nevertheless the whole
transaction did very little to help the
American farmer who was holding his
wheat and who would like to sell il
abroad and buy machinery right here
at home.
The administrator apparently put up
strong defense against the arguments
OF the international bankers for per.
mission to sell European bonds at
will to American investors.
Banks Interest in Commissions.
Frankly the bankers, which is
ested in the liberal commissions which
they would make in selling the bonds,
said one administration spokesman.
The main concern of the admins
tration is to use every ounce OF credit
which America can spare for foreign
loans for the stimulation of Ameri-
can exports. Every dollar loaned
abroad, if the administration has its
way, must be spent iii the United
States. In that way American com.
modities and products will be sold
abroad, and the wheels of industry
will be speeded up. The banks in the
agricultural districts will be paid by
the farmers who have been holding
their mortgaged 1920 crops for high
er prices, the farmers will begin buying
manufactured products and the facto-
ries will begin reopening.
Thus, the administration believes
and thus only, can prosperity be re-
stored