The New York herald., 1921-11-22

longer persist In her present impossi-
bic demands, and. much as we sympa-
thize with the sufferings of France.
she must make concessions in her own
interest, II not on behalf of civilization.
1--WE must not forget that IL France
were to repay our loan to-day IL would
be necessary for her to give US nearly
three times the number of francs she
received from us. while Great Britain.
on the other hand. would only have
to pay us 20 per cent moro pounds
change has not deprecated TO the same
extent Thus France. italy, Belgium
and our other debtor nations are penal
lied much more because Of exchange
depreciation than Great Britain, whose
money Is more stable.
"Il have heard 1t suggested, and it
Is worthy OF most serious considera-
tion. that we accept repayment of our
loans at the same rate of exchange
existing at the time the loans were
made. We would thus give the greatest
measure. of relief to those countries
needing it most.
- france must accept some suggestion
that will permit restoration of COM
neree with Germany and effect that
measure of world disarmament we are
all so .desirous OF accomplishing.
We on onr part. must realize the
impossihility OF collecting the ten billion
dollars due us under present conditions.
Europe has not the gold with which
to pay us even interest on this amount.
They have only goods with which they.
might pay Payment of this amount
In goods would certainly mean great
unemployment in America, and rather
than that wes had better forget the en-
tire debt.
, $50 each OF the allied nations must
contribute something for the general
good. and make bold to suggest some
steps that may be taken to accomplish
the desired result.
"First-Allies to agree on substantial
modification of 'reparation terms in order
to bring them within the bounds of
possibility.
"Second-We to agree to Il morato-
rum OF say twenty years for debts due
us. For the first ten years no interest
to be charged. For the second ten years
only small rate of interest, perhaps
2 per cent After twenty years has
passed we to receive our principal in full
with q proper interest on deferred pay
ments from that tire, possibly accepting
from France, Italy and Belgium payment
at the same rate of exchange existing at
the time loan was made.
"rhird-Those nations TO whom this
concession is extended to modify amount
Of reparation from Germany and make
terms thereof with which it is possible
for Germany to comply.
"F'ourth--England to agree to make
similar concessions to nations which are
in her debt.
,"F'ifth-Steps must be taken to insure
that Germany's budget will balance. Her
receipts from taxation, &C., must fully
meet her current expenses plus the
amount Of indemnity obligation finally
settled upon.
This protection is vitality necessary
to insure good faith on the part Of Ger
many, although it would eeem that set-
tlement having been reached, her own
self-interest would be guaranty Of
good faith.
"The big thing now Is TO conceive
some plan which will enable the coun-
tries of Europe to stabilize their money
In order that commerce may flow freely
as between countries and thus avert the
Impending disaster which threatens the
world.
These suggestions are neither philan-
thropic nor idealistic. but simply good
sound business sense. They win create
kindly feeling toward us, that intangible
asset which can be made to pay divi-
dends in time to come. much greater
than the full amount of debt owing u.s."