The New York herald., 1922-02-02

ana those only VINO are entitls-d 10 the
claims. estimate with some conf
dence that this sum of 36 milliards is
divsible between the Allies about In the
proportions shown in the table below:
Marks.
BritisK Empire. rc................ II 900. COO 600
France -.................... IL. 900. 000. 600
Belgium ...................... 5000. 000. 900
Italy .......-... l,UO.UW'VU
United States. es.....-............ 1000. 00u 200
Others ............ .i........... l,WV,uOWp
Total ...................: :;6, 900, GOO 0O0
THE payment by Germany of 5 per
cent. interest and 1 per cent. sinking
fund on this total sum Is not. in my
Judgment. theoretically impossible But
ii could only be done by stimulating
her export industries in manner in
furious and irritating to Great Britain.
and by imposing on her treasury fnan-
cial problem of such difficulty that 1t
would tend to unsound finance and to
weak unstable governments# Even
though this payment is theoretically pos
sible, I do not th.n!, tha. /. Is practi-
cally obtainable over period of thirty
years.
Asks for waiver.
* recommend therefore that as sep
arate arrangement from the revision of
the treaty as above the British Empire
should 1aive the whole Of their claims
with the exception of l mIliard gold
marks reserved for a special purpose ex-
planned below, and should undertake to
square the claims of Italy and the
minor claimants by cancellation of debt
owing from them thus leaving Ger
many to pay 18 milliards to France and
3 miiliards to Belgium Con the assump-
ho INT 4afo u1c rA,r1A
forego the trifie due to ler). This sum
should be discharged by an annual pay
ment of per cent. of the sum due (being
5 per cent interest and ! per cent sink
ing fund.- over period of thirty years.
With the assistance of minor measures
to ease the opening period. 1t Is rea-
sonable to suppose that this amount
could be paid without serious injury to
any one.
To facilitate reconstruction and make
feasible the plan for reducing the
reparations, Prof. Keynes advocates
cancellation of all interallied debts. in
Guiding those owed to the United States
with the sole exception of the British
debt to the United States Treasury.
lie says:
'The United States would forego on
paper capital sum Of about $500 mill
ion dollars. which, at per cent, repre-
sents an annual charge OF $500, 900 900
(f7S,OO0.000 gold). But in my opinion,
the chance of her being actually paid
any considerable amount of this, II she
tries to exact it. is decidedly remote.
Nevertheless, since time presses, we
cannot rely on American assistance, and
we must do without it IL necessary If
America does not feel ready to partic-
pate in a conference of revision and
reconstruction, Great Britain should be
prepared to do her part in the cancella-
ton of paper claims, irrespective of
similar action by the United States.
Sunma rfzes His Plan.
'"The simplicity Of my plan NAV be
emphasized by summarizing it, Q) Great
Britain. and If possible America too, to
cancel all the debts owing them from
the governments of Europe and to waive
their claims to any share of German
rcparation; (~ Germany to pay 1850
million gold marks 1888 000 900 gold) per
annum for thirty years and to hold
available lump sum OF 1000 million
sold marks for assistance to Poland and
Austria; 90 this annual payment to be
assigned in the shares 1880 million gold
marks to France and 1S0 million to Bel
GUM.
This would be just. sensible and
permanent settlement. If France were
to refuse it, she would indeed be sacri-
ticing .he substance to the shadow.
In spite Of superficial appearances to
the contrary, it is also in the self-inter-
est of Great Britain"