The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1922-01-29
Only US. Can Save Europe
From Disaster, Says Gibbs
German Rsparations, IntsrnationAl Debts and
Reconstruction Of Russia Three Vital
Questions 10 Be Solved at Genoa.

many big industrisi ane nnsneisI
people ara evadinF Income tax and
smuExfinG their money out OF Ger
many.
wsrxs.s-e. Hlstly n..es.
But ~ 90 also true that the main
body Of the German people. incioo-
ing German working men, are taxed
TO the utmost limit, amounting 20
80 per cent on small incomes II 10
certain. beyond amy doubt, that ~
Germany 10 forced 10 continue
repsration payments according o.
the old rolling Of the supreme coun-
ell and its reparstIon committee. 30
that when every payment became
due she has to buy foreign money
with German marks at a wild rate
OF exchsnge-i.eo oto the English
pound sterling when I was lsst In
Berlin a fsv weeks sgo-the mark
win slump still further until IL
reaches something like 1000 to the
English pound.
Now this means two things. u
means frst OF all that German In
dustry can only exist on starvation
wages-the slave labor OF German
people-and secondly that the prod
nets Of German labor will continue
to underseli American and British
goods in every port OF the world.
weuIe Force New Pe.sltIes.
Il will also mean that 81 Ger
many defaults. az she 10 bound to
do. France will exact new penalties.
which may be just. may be entirely
mercenary, from the French point
OF view. but will keep an open
wound in Europe. and prevent any
healing spirit OF peace. II Is the
United States chiefly which must
make the decision upon this prob
lem. France has already decided.
She will wait until Germany de-
faults and then exact her new pen
slties. securing her hold on the left
bank Of the Rhine.
Great Britain has also decided.
but 10 not In a position 10 enforce
her decision against France She
has decided that IL is better policy
for herself FIRST, and for Europe
generally. to allow Germany some
abatement TO encourage her indus
trial revival TO the point where the
mark will rise In vsIye. and not
undercut all competitors. and 70
wash out hatred and vengeance
even some claims Of justice ITSELF
for the sake Of the peace spirit in
Europe.
Deeisies Rssts viii e. ..
The United States alone in the
world has the power 20 decide, be-
cause into which ever scale Of the
balance she throws the weight Of
her influence that side will prevail
But. as Ter az ] can make out. the
leaders and people Of the United
states are not ready 10 make a de-
cisisn as regards TO international
debts Every financial expert in the
United States and Great Britain
with whom I have talked, and I
have talked with many. Is In favor.
theorettcally. OF a complete wash
out" all round.
This 10 not due 90 sltruisnn or
ideslism on their part. but TO a
| conviction that 81 would restore a
more healthy economic state in the
world, help TO balance budgets. and
lead to a renewal Of world trade
Their only obligation 20 the plan
Is the present impossibility OF per
suadinE politicians and peoples that
IL IL good business and common
sense. am not at all sure that
the peoples are not ahead Of the
politicians in coming 20 this view.
which sooner or later will and must
prevail.
wosld Recognize Soviet
As regards Russia I have already
written my belief that she holds
the key of the world situation. II
by imposing conditions such as the
rehabilitation Of the Red army and
the abolition of revolutionary
propaganda, a combination Of pow
ers agreed 10 give her economic
\ aid there would be a rather rapid
revival-outside the famine area
Of a great market for manufac-
tured goods and Of a great store
house Of raw material which the
rest of the world urgently needs.
The Soviet government must be
recognized and modified. There Is
no other way Of bringing Russia
back into the common veal.
The Genoa conference will be a
CHASTITY failure IL g. refuses to
recognize the plain facts which I
have ventured to state with brutal
simplicity. And 10 the Genoa con
ference fails IL will be the failure
Of Europe to adopt its only remedy