The Washington herald., 1922-01-01

and, having failed TO come to any
of Germany at their recent meeting.
have decided to call a meeting Of
the Supreme Council at Cannes
early in January. Matters clearly
are converging to a revision Of rep
srations terms fixed last spring.
The visits of Herr SHINES and DR..
Rathenau to London accomplished
nothing definite but certainly had
some effect of a preparatory ma
ture. The recent conference In
London which NJ. Loucher attended,
doubtless laid the ground for fu-
ture action. 1t is known that NJ.
Loucher and DR.. Rathensu occu-
pied almost adjoining apartments
in a London hotel at the time OF
that conference and Il Is reason
able to assume that direct CONVEX
Stations took place between these
two men. 1t Is said that French
| opinion as TO q moratorium is less
hostile than Il was. Germany's re-
cent action in adopting measures
intended to check her growing
deficit Is likely TO produce a more
favorable attitude in the minds OF
her creditors. Altogether, the ten
dency toward a Encouragement OF
Germany's obligation more ana
more takes on the aspect OF newt
ability.
Times Wants Postponement.
The Financial Times. London, in
recent issue, although opposing
reduction of Germany's liability,
puts forward an argument in favor
of postponement of the payments,
saying that IL any substantial real
ization of payments from Germany
| is to eyentuate. Germany must be
kept in a good condi lion. The Times
says that Germany has not balanced
her budget, has inflated her cur
rency. has refrained from imposing
heavy taxation on Industry and,
therefore, has no moral claim to
consideration by her creditors. But
this paper believes that the inter
ests of the creditors themselves
now injured by Germany's cheap
labor. would be benefited by a NOR
atorium.
A writer in the Financial News
of London says that Mr.. Lloyd
Georges conferences with German
delegates are a result Of previous
conferences with British experts.
This writer thinks that the mora
!
meant to enable Germany to ball
ance her budget and as a step to-
ward sterilization OF the exchange
OF Western Europe. The British
experts, he says. advised the pre-
mier that. to avoid the ruin OF
British industries. some new repa-
ration arrangement must be made.
This writer has in mind. particu-
larly, the restoration of Germany
as a market for British goods, be-
| lfeving that Russia Will not pro-
vide a very satisfactory market for
long time. He advocates a COM
bined economic effort on the part
OF Britain. France and Germany.
Truth, OF London. speaks OF "a Eu-
ropean triple entente" to rehabili-
tate Europe. this entente TO consist
of England, France and Germany.
Truth gives Mr.. winston Churchill
credit for sticking TO his Views
that the reconstruction OF Europe
depends on the friendly co-opera-
ton Of these three nations. This
magazine says that except in
France, II Is now generally recoC-
nized that modification OF the
terms imposed upon Germany will
sooner or later become unavoid-
able" II also mentions that NJ.
John Maynerd Reyes, author Of
The Economic Consequences Of
the Peace" is urging that the allies
require the German government 20
pay on January Is. only one-half
the amount OF reparations pledged
that lie, to pay 100000 pounds
instead OF $4,000 $50 pounds-and
that he is also urging that the nav
ment OF the February and April in
stallments be temporarily suspend
ed.
In the proposal OF a moratorium.
II Is stated that Great Britain has
the support Of italy. while France.
opposing such action. has the sup
port OF Belgium. As America takes
no part in the decision, for the
present deadlock exists. II 4. ex-
pected that this moratorium que.-
ton will be more thoroughly
threshed out at the conference az
Cannes. At that time the status OF
separations In kind will also be con-
sidered. Under the wiesbaden
agreement, France will receive paw
ments in kind over a period of
fourteen years, and one question n.
whether other nations entitled 70
reparation will receive the same in
proportion to their fixed percent
ages. should a moratorium be put
in effect. while France is being paid
in actual work and materials under
the Wiesbaden agreement
Psish Draw. Parallel
The Westminster Gazette, in re-
cent issue, publishes an interest nC
interview with Sir George PaIsh,
the distinguished British fnancier.
Sir George declares the European
situation Is similar to that which
would be created in q large district
by the burning OF an important
manufacturing town, the important
town being analogous TO the war
ravished areas OF Europe. He says
the inability OF the Inhabitants OF
the destroyed town 20 purchase
goods from neighboring towns
would soon mean unemployment in
those neighboring towns. II. In ad-
dition, the destroyed town owed It's
neighbor largs sums OF money, the
situation would be made worse by
these other towns demanding pay
ment Of the debt. Sir George
thinks that the destroyed town Cthe
war-ravished areas OF Europe)
would have to be rebuilt with help
from the neighboring towns before