The New York herald., 1922-08-30

Washington, ID. G., Aug. 70. }
When the time comes the United
States Government win formally and
fully participate in plans for the So
luton Of the European economic and
financial tangle. Oficil announce
ment to this effect was made to-day
on behalf OF the Administration, which
at the same time lot II be known there
was no intention of sending Herbert
Hoover 10 sit with the Reparations
Commission in Paris.
While President Harding, however,
realizes that the United States will
eventually go in on plans for rehabili-
tation, he is represented as Of the be-
lief that the time for full and formal
action has not yet arrived, but is WILL
ing that 1t should be known that this
country is keeping a close tab on de-
velopments in Europe. not only as
these affect American interests but
as they affect the general situation.
For the moment this Government Is
unwilling to commit itself to any spe-
cific proposal looking to a solution Of
the tangle which is proving SO en-
barrassing TO European statesmen. 1t
is indicated that the point has not yet
been reached when this country can
give its approval to financial con-
ference for the consideration of the
whole question Of interallied debts.
Waiting for Ferment TO End.
One OF the reasons why this country
feels that II Ia better to mark time In
that it would be unwise for TIE United
States to make any formal Or even In
II rmal suggestions while Great Britain
and France are at dagger points on the
large questions of policy as regards
German reparations. The time for
American participation will not have
>come until the political fermcnt grow
ing out Of British French differences has
settled itself and some degree OF accord
been reached on general policies Is in
dicated.
Administration spokesmen in stating
that America would go in more and
more formally when the right time
comes refused to discuss what would
signalize the proper time. This Is a
point. II was said, which II would not
be advantageous to discuss at the pres
ent For the moment all that this Gov
ernment intends to do Is to keep fully,
although informally. in touch with the
European financial and economic situa-
tion, storing in the meantime large
amount OF valuable information which
has a bearing on future policies.
President Harding. 1t was stated ON
cially on his behalf. is not considering
suggestions that Secretary OF Commerce
Hoover be sent to Europe In the role OF
an umpire on repnrat'ons. This state
inert was made in answer to queries in
tended to bring out the White House at
titude toward suggestions made by for
mer Governor James NJ. Cox of Ohio
that Mr.. Hoover's presence would have
a beneficial effect on discussions looking
to an agreement as between the powers.
Informed by Hoover.
President Harding has been kept fully
informed of the situation through Secre-
tary Hoover. who Is keeping in close
touch with IT. 1t is believed probable
that the time for action to which refer
ence was made to-day will not come
until after the American government has
reached an understanding with Great
Britain on the funding OF the British
debt.
Just as this Government used the
presence here of the French funding
representatives to secure a better idea
OF the entire background of the finan-
cial fabric OF the French republic the
presence of the British mission wall be
taken advantage Of TO discuss the en-
tire European situation.
Whatever differences may exist be-
tween Great Britain and the United
States on the debt question, there is a
very close accord on the general Euro
pean financial question. Like Great
Britain. this country feels that nothing
can come OF proposals based on the pay
ment of the German indemnity as fixed
In the Versailles treaty. Its radical
scaling down Is regarded by the Admin
istration as the prerequisite OF an In
telligent solution.
This scaling down, together with the
diminution of military expenditures. the
restoration of the gold standard and
the balancing of budgets are the essen
tial beginnings of recovery as viewed
both by Great Britain and the United
States
Its applies to France particularly be-
cause France. as much as Germany.
In the pivot of the wnofe situation. IL
is indicated that Great Britain is very
anxious that the United States should
formally join In placing this view be-
fore Europe and representations OF q
formal character may be made by Great
Britain when the funding commission
arrives.