Evening star. [volume] (Washington, D.C.) 1854-1972, 1922-05-17

European economic conditions and
the extent to which the prosperity
of the United States depended on
their early solution were discussed by
speakers at the morning session of
the United States Chamber of Com
merce annual meeting in Convention
Hall, 5th and l. streets northwest.
today. Suggestions for bringing
about their improvement made by
the speakers ranged from a recon-
mendation that the United States be
represented on the Genoa conference
to a wiping out OF the indebtedness
of the European nations to the
United States.
President Harding, IL was announced
by President Defrees of the United
States chamber. Will address the
meeting tomorrow afternoon at 3
O'Clock. and urged that every dele
gate be in his chair Il the time. The
announcement was greeted with APP
plause.
Those who discussed the European
conditions. and laid down suggestions
for bringing about the improvement
which would in consequence benefit
the business and prosperity of the
United states were SilaS H. Strawn,
chairman Of the board. Montgomery
Ward G. Co. Chicago: John Ross Della
field. former chairman Of the board Of
contract adjustment of the War De-
partment. and Dwight W. Morrow of
j. P. Morgan & Co.
Strawn Discusses Preparations.
Close relationship exists between
German reparations and American
business. Silas H. Strawn, chairman
of the board, Montgomery Ward &
dress on Preparations in Relation TO
American Business" Because of the
vital interest in the matter. he said
that the United States should be rep
resented on the Preparations commits
sion. He characterized the demand
of France for the maximum of repara-
tons with the minimum of indue-
trial recovery in Germany as an eco
nomic impossibility. adding that the
great problem is not only how much
can Germany be made to pay. but
how much and how fast can the allies
cult, he went on. to face the fact that
in imposing a just penalty upon the
aggressor We may thereby do the in
jured a greater harm.
France. he said. seems to be still
hoping that in some way she may
compel payment or in default she may
take the Ruhr and dismember Ger
many. Mr.. Strawn said that the point
at which Germany may collapse imam
cially is as difficult to determine as
is the time when she may blow up in
! dustrially, and added that the safest
| insurance against chaos in Germany
is to keep her on production basis.
Scores Isolation Idea.
He pointed out the fallacy of the
| argument that the United States was
so rich and her products SO diversified
| that she could isolate herself and not
need to participate in foreign trade.
and said that for hundred years the
whole economic development of the
| country has been adjusted to meet a
continuously increasing foreign trade.
ITO isolate ourselves" he asserted.
, land cut OF our foreign trade would
| result in such intensive competition
as to precipitate an economic panic
| in this country the like OF which has
| never been seen.
so long as the European nations.
| by reason of their chaotic industrial
and financial conditions are unable
to purchase our raw materials or to
their prosperity, as well as ours, must
| wane.
"While our prosperity demands a
favorable balance of trade, 1t is
equally true that the maintenance
of a large volume of imports by us
is as essential to our progress as
is the maintenance of a large volume
of exports. The European nations
cannot continue TO purchase our
goods unless we purchase theirs.
They cannot purchase our raw ma
| terials unless they have credit. They
cannot establish credit until there
is peace. There can be no peace
until the reparation controversy is
| settled. Until then they will main
tain large armies and until they re-
duce the armies they cannot balance
| their budgets. Until they balance
their exchange.
Preparations vs.. Business.
THE reasons why the reparations
are related to American business may
be summarized as follows:
All the reading commercial and in
| dustrial nations must cooperate in
,he solution of those problems which
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