The Washington herald., 1921-08-21

nation In the matter Oh tue NEduc
Of the latter nation. and can be
and is pushed too far, we all know
there Is a certain amount Of truth
in the theory. 1t is. of course. all
a question of degree and, to ex-
press the, truth simply IL colo
ouiaily, it is an extension Of the
same principle which we might ap-
ply to individuals as well as to ma
tons. "a" owes "B" certain
amount of money and given that
the amount owed Is easily withir
the capacity of "a" to meet the
claim without seriously injuring
him, then, It Is obviously to the
advantage of "B" to obtain from
"a" as quickly as possible the full
amount, because "B" by thus add
ing to his capital resources may
be able to use them to great ad-
vantage and produce more wealth.
II. however. the amount owed ny
"a" should be such as to seriously
cripple him. then 1t would be TO
the interests Of "B" Gt he wishes
to continue business relations with
"A') to arrange such terms OF set
Element as shall enable him. so to
sneak, TO get the maximum tnme-
date benefit OF partial repay
ment from a." with the Likelihood
Of a continuation of further bene-
| fits in the shape of profits on trad
ing with "a" plus the ultimate and
final payment of the entire debt
| itself.
| A business settlement Wanted.
II is these principles which Will
no doubt, very largely determine
| the basis of settlement of the dept
between the United States and
Great Britain. and because America
has the whip hand in this matter
she will, no doubt. be justified In
viewing the whole situation mainly
from the standpoint Of her own In
terests. That Is business and does
not in any way reflect either on
the generosity or sentiment OF the
Emitted States. Business is one
thing, sentiment and generosity an
other. and It is quite possible for
| two business men to settle bust
ness deal on business lines and then
later for the one to perform to the
other some generous act outside the
business deal itself.
| II on the present occasion the
United States should drive too hard
a bargain, It Is the United States
which will ultimately suffer, just as
| is always the case in business
transaction between individuals.
But I do not think that in the pres
ent instance 1t will be case OF a
lizard bargain, and for the follow
! ing reason: The deal will be con-
summated between men of expert
ence and big views, while such is
the underlying esteem which each
has for the other that I do not hest
tate for a moment to affirm that
| the desire that the matter shall be
concluded on lines leaving those
conditions of mutual esteem more
firmly established than eyer will
animate with equal intensity those
who represent the United states and
those who represent Great Britain.
The sooner the negotiations are ac-
lively conducted and the palmer the
speaking, the better it will be. The
only danger is to be found in those
misunderstanding which sometimes
result from an over-nice diplomacy
and an undue attention being given
to interventions by third parties.
and from idle rumors such as those
to which J. have referred at the be-
ginning Of this letter.
Britain Wishes to Fay.
If the matter should resolve itself
into Great Britain having to face a
yet heavier loan in order to make
the annual payments for interest on
an amortization of her debt to the
United States, that will no doubt
involve US in good deal of. in
convenience and a certain amount
of self-sacrifice, while it will also
emphasize, for some time, at all
events. your control of the foreign
exchanges. Ultimately however. the
prosperity of the various nations is
going to be determined in the flu
ture as it has been in the past by
the character, industry, and re-
sourcefulness' of their members. The
due performance of our financial
obligations, with the consequent
hardships involved. offers. moreover,
the best possible guarantee of
Great Britain holding her own in
all that pertains to the creation of
fresh wealth after the war. The
only thing that could hold US back
would be failure to recognize in
the fullest degree the sanctity of
our external obligations. and such
a failure need never be feared.
Copyright, 1891. by New York EVENING
POST, Inc.)
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