Connecticut western news., 1922-10-12
BREAK IN MARKET DUE . a
 TO EUROPEAN SITUATION
Roger w. Babson Says Situa- ' tion More Serious Than
 We Realize
FRANCE NOW DRIVING
England Today Faces & Fighting Europe Practically Alone,
 Says Babson


 stock market, When interviewed in Wellesley regarding the matter, Mir. Babson today said the seriousness of the European situation is greater than most people realize:
 "It is really surprising that the stock market has held up so we'll during the past two weeks. Of course the break was due to the gravity of the Turkish situation which was understood only by the big bankers in New York. The real facts are that France is today in quite a simi- lar position as that held by Germany in 1914. R#4r.'
 "The real seriousness of, the dan ger has somehow been hidden. The change has come swiftly. A few weeks ago England was in the saddle. At conferences she was the dictator. She did the talking and France did the worrying. Today the situation is just the reverse. England is now in 8 hole. France deliberately put her there.
 England alone of all European nations has stood for law and order. She alone has stood for the payment of debts, and the fulfillment of ob- legations. Germany and Austria are bankrupt. Chaos reigns in Russia. Italy is on the verge of bankruptcyy France is compromising. England is the only country who has told us that she will pay her debts with interest. =.
 'England's policy with Germany has been in opposition to that of France. England has wanted to get for France as much out of Germany as possible without killing the goose that laid the golden eggs. France was for killing the goose, but still for demanding the eggs. England was Europe's big brother and upon her the financial world has relied.
 To-day England is faced with fighting Europe because she stands practically alone. The new govern ment of Greece is not with her. Germany alone, in case of war, is her only possible ally. The Germany of today is not on friendly terms with the Turkey of today. Should, however, Germany go in with Eng land, there would have to be an en- tirely new interpretation placed on many European relationships and the problems of those relationships. There is the matter of separations, for instance. All international fin nances would be upset. .S
 "Yes, England stands practically alone. Italy will back Turkey. Rus sia will back Turkey. And, of course, France will back Turkey. Hence it must be kept clear that the real issue is not between Great Bri- tain and Turkey, but between Great Britain and France. France has been backing Turkey. England has been backing Greece, Turkey and Greece, however, have been but pawns on the chessboard. r..
 When the last war was on, Rus sia was promised Constantinople. Russia withdrew. Then, it was de- cided to keep Constantinoplel free, out of the power of either France or England slowly got bit of the upper hand. This hurt the
 
 ed her opportunity. Last month it came. Then France played her cards. In a few hours the entire European situation changed. Today France holds the trumps. :.
 "It is not merely war on paper, Turkey is fortifying herself by putting guns and troops at strategic points. Frankly, Eng land is in a hole and this is what caused the stock market to break and foreign bonds to tumble. Her own people are against war. There is the memory of the recent blood shed. There is still the warning mark of great sorrow. An English man, too, cannot see himself going to Turkey to fight. When Germany , thundered in Europe right at Eng lands door, the English Tommy was on fire to fight. But today it is different. The Englishman remem- bers sadly what happened at Galli- poli He remembers the fearful cost of conquering a few Boers in South Africa. He knows that there are over 20O,000,000 Mohammedans at Turkeys back door.
 "Even the Englishman, who hasn't a son that is already lost or a son to lose, has taxes to pay. England, with her intention of paying her debts, is the only European country that really taxed her people severely. The ordinary English tradesman is ID to his chin in taxes. (England has the highest tax rate in the worldly He is not eager for more, the weight
 (Continued m naOe Al M