The St. Joseph observer. [volume] (St. Joseph, Mo.) 1906-1932, 1922-01-14
RITTER'S PUNGENTS
imIInImIIInliiuluIlInllnl!IIlIIII
TO the Editor of The Observer:

TO the Editor Of The Observer:
A plan for the rehabilitation Of
Europe through the establishment
there Of a Federal Reserve bank as
part of the system of the United states,
was proposed to the senate by Senator
Robert l.. owen, Democrat, Oklaho-
ma. owen also suggested plan for
the liquidation OF the $1,000, 900, 600
Indebtedness of foreign governments
to the United States, by extending tho
payment for fifty years, putting the
interest rate at three per cent and
postponiug for ten years the collcc-
tion Of any part of the sinking fund"
During this ten year period, Owen
said, the interest could be permitted
TO merge into the principal and no
part Of either interest or principal
should be collected. In my humble
opinion Senator Owcns plan Is bound
to mater!ali2c in way because OF
economic, industrial and financial
| necessity. The United States Of Amer
lea cannot now afford to ISOLATE her.
self from the rest of the world. That
much is already certain. The United
States government could not now or
ut any future time afford 70 go to
war In order to force the collection Of
the $1,000, 100000 Indebtedness OF
foreign governments to the United
States. That much Is also certain. 1t
would not reflect credit and honor
the American people to force pros
perity upon our nation at the expense
Of an impoverished Europe. II won't
work. II can't be did Il is an I'M
possibility for us to prosper under
such n modus opcrandi Of economic
conditions as they now exist, nor
would 1t be polite and advisable to
do SO or 50 to do--eyen If we could.
Senator owen at the same time sub
mitt,d to the Senate bill to aIaend
| the Federal Reserve act SO that es-
tabli5hment ~ the foreign banks
would be possible. fle proposed that
/ the European bank should be owned
/ by the Federal Reserve system of the
: United states. and that from the
! twelve banks here. It should draw .
total of $5OO.O00, 900 in gold as a re-
! serve. This. he claimed. would in no
1 way impair the reserves or resources
Of the American institutions, yet It
would enable the foreign banks to is
sue $2,5OO, 900 in notes, backed up
/ by gold, as well as 100 per cent com .
| modify bills" or course, something
| Will have to be done to help Europe
! economically and financially on her
! feet. and had the United States Joined
/ the League Of Nations ii Is plain to be
seen that Europe as well as the United
! states would now be In a better con-
/ dition and position economically and
| financially, not only to prevent war,
. but TO serve each other on a stable
monetary basis and thereby encourage
I and stabalizc international exchange,
all uations-and which after all. Is
the wiscst and best way to maintain
| "a universal and permanent peace"
/ Why not have the European banks
! chartered by the League OF Nations
in harmony with our American Fed
eral Reserve system and directly con-
trolled and supervised under the juris-
diction of the League OF Nations In
stead Of being owned" by the Federal
system of the United States, That is
the all important practical question
that must first be solved.
The Christians it seems want us tc
get out of the Philippines. but the
pagsns want us to stay.
A physician explains that you
'yawn" when your nerve center ap,
paratus finds 1t is not receiving
enough oxygen. At last we are pene
tratlng the mystery of two yawninl
individuals. 400 feet apart. neither o.
which sees the other. There is 9
scarcity OF oxygen.
As some OF the Republican leader!
in the Senate see It. wo are now two
or three blocs from normalcy.
Tho crook has things much too easy
Senator LaFollette warns that W,
are about to be betrayed and exploit
cd by the railroads. the lumber. stee
and coal interests and the farmers.
The report that Arbuckle is brok,
could probably be confirmed by hi
lawyers.
Look closely and youll see tina
what a marked difference there isn't
between Association and Lsague. Hav
ing signed the treaty with Hungary
tho United States Ia now at peace witt
all the world with tho exception o