New-York tribune., 1922-10-06
lime Is Declared to Have
Arrived When America
Should Take Broader
Part i'm World Affairs
Ten Years Holiday
On Debt Suggested
Taxation of Public Se-
crlrities and Lower Rail
Rates and Wages Urged


Two conclusions, unrelated except
in so far as both have an important
bearing upon the future economic and
financial prosperity of the United
States, stood out last night upon the
termination of the formal delibera-
tions of the American Bankers Asso-
citation. The first, Of interest as vital
to the world as to this country, was
that the time had come when America,
through official representation on the
Reparation Commission, through mod
crate Interpretation and application Of
the new tariff schedules, and, finally,
through specific formulation Of princi-
pies upon which policy Of co-opera-
tion with Europe could be based,
should abandon her aloofness and as
sumo more active part in the settle
ment of international problems.
The second, more strictly of domes-
tic import, was that, without impairing
the right of workers to leave their en-
ployment whenever they desire, some
means should be devised to adjust dis
putes between capital and labor with
out recourse to industrial warfare.
Other Reforms Advocated
These conclusions, embodied in the
resolutions adopted at the closing of the
general session of the convention, were
supplemented by resolutions and by
committee reports urging, among other
things, a constitutional amendment
permitting taxation of securities is
sued by Federal, state and municipal
governments and by other political
sub divisions; the necessity for fur
ther downward readjustment Of rail-
road wages and rates in the promotion
of prosperity, and legislation making
optional the par collection Of checks.
A depression from the fixed program
of the convention occurred at the
meeting of the trust companies divi-
sion in the afternoon, at which Henry
Morgenthau, former Ambassador to
Turkey, gave Great Britain credit for
saving civilization by halting the war
crazed Turks, and appealed to the bank
ers to realize their responsibility to
support the effort which, single-hand-
ed, she was undertaking.
Further development Of the theme
of the handling Of international debts
was cHicHy oisCefHip!e ia an lH1eI VAC"
granted by the Right Hon. Reg
don City and Midland Bank, Ltd, and
in an address delivered by Alvin w.
Krech, president Of the Equitable
Trust Company, before the trust COM
panies division. Mr.. McKenna ex-
planned that the interest received by
British citizens on their foreign in
vestments, the principal of which he
placed at between two and three bill
lion pounds sterling, would more than
provide for interest and sinking fund
services on the British debt to Amer
lea, and contended that the United
States, as Great Britain had, would
find a policy Of splendid isolation"
Ten-Year Debt Holiday Suggested
Mr.. Krech urged holiday Of ten
years for the European Continental
which their obligations would be re-
was brought forward on the ground
that it would create an atmosphere of
"judicious aloofness" in which to ap-
proach the subject and not as "veiled
He said the American
commission appointed under act of
Congress was so limited in powers as
to preclude it's refunding Of
the war debts, characterizing it's crea-
tion as an invitation to talk things
over rather than as categorical sum-
mons to the Allies to pay. He ques-
toned whether even payment of the
British debt could be accomplished
with advantage to us under the terms
of the funding bill and whether for
giveness Of the French and Italian
debt would aid the Allies in collecting
from Germany.
"Since France and italy are perfectly
safe in leaving out of their calcula-
lions, for the moment at least, the
they owe to America" Mr..
Krech asked, "what immediate good
could cancellation Of the debt bring
abeut?"
Saner Europe Observed
Mr.. Krech argued that refusal Of the
United States officially to participate
in European councils had not lowered
an asbestos curtain, financially and
economically speaking, between Europe
and America and that America would
not withhold her cooperation from q
Europe which showed some sense Of
Continued on page four)
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