New-York tribune., 1922-05-17
Proposal of Inquiry by
Experts Into Russian
Conditions Is Held to
Leave the Door Open
Trade Impossible
With Idle Nations
Contention That Produc-
tivity Is Key 10 Situa-
ton To BE Insisted On
By Carter Field

WASHINGTON, May 16.-Con-
ditions may easily work out so that
the United States will participate
in an international consideration Of
the Russian situation, it was made
clear at the White House to-day. In
reply to question as to whether the
note dispatched yesterday to the
Genoa conference left the door open
for the United States to participate
in the Russian discussions if there
should be notifications in the pro-
posals, the answer was emphatically
that it did.
No one On earth can tell at this
moment what will be the next step
with regard to Russia by this coun-
try one Cabinet member keenly in
terested declared on leaving the
White House after the Cabinet meet
ing
1--WE are not going to keep our
eyes and ears closed" said another
Cabinet member. eve will listen
attentively and give careful consid.
Grafton to any proposals which may
be made"
This statement was made just
after receipt Of cablegrams to the
effect that Lloyd George was very
hopeful that the United States would
consent later to come into an inter-
natio al consideration of Russia.
State Department Silent
AT the State Department all COM
ment was refused it being asserted
that the note itself was as clear as It
could be made. There was evident.
also, keen desire to avoid any state
ment, however informal, which might
be variously interpreted, and have the
effect of modifying the meaning of the
newspapers interpretations of Admin
stration policies on such important
questions are invariably
cabled abroad
1t was made clear in Administration
circles to-day, however. that the coun-
ter proposal made by the United States
in yesterdays notes is regarded as
extremely important and that. as
matter of fact, considerable hope Is
being cherished by the President and
opments along this line. The para
graph of the nese thus emphasized
reads az follows:
while this government has be-
lieved that these conditions are rea-
sonably clear, it has always been
ready to join with the governments
extending the present invitation in
arranging FOR an inquiry by experts
into the economic situation in Rus
sia and the necessary remedies. Such
an inquiry would appropriated deal
with the economic prerequisites nf
that restoration of production in
Russia without which there would
appear to be lacking any sound basis
for credits
This paragraph followed Immediately
after the statement that "thc in
escapable and ultimate question would
appear to be the restoration of pro-
ductivity in Russia, the essential con-
ditions of which are still to be Sc
cured and must in the nature of things
be provided within Russia herself.
Effect in Russia Considered
This section of the note just quoted
in particular and the whole note
Throughout for that matter. was writ
ten with much more careful thought az
to the effect on the Russians them
selves than for it's effect on the other
European powers.
The view of the Administration, as
frequently stated. is that Russia
;ol, &c. ityuR
things which may be exported is ex~
actly of no value at all so far as
trade is concerned. To the sugge stion
frequently made that Russia cannot
start producing until credits are ex-
tended to her--that products cannot be-
moved without freight cars and loco
motives, and that oil cannot be de-
veloped without special machinery
the answer of the Administration -
that the Russian government itself
must be willing to give some sort OF
assurances that such credits or loans
would not be confiscated, and that the
best earnest of such an attitude IN
the future would be the recognition Of
legitimate debts already incurred.
at is impossible" Secretary Hoover
declared in speech which beyond any
doubt not only expressed the Admins
istration viewpoint but was carefully
studied by the President and his ad-
visers before the advance copies were
given to the press. "to conceive COM
merce between nations that is not
founded upon the right of property
and the sanctity of contract. 1.
Property rights are not fetish; they
are an instrument of industry and com.
merce and are as indispensable as
ships"
Applies to Mexico Also
This statement by the Secretary oi
Commerce was frequently alluded to
by Administration officials to-day as
packing into sentence the sunda.
mental thought of this government
with regard to both the Russian anG
Mexican problems. The idea WIS dis.
cussed at length iii Cabinet meeting
| two weeks ago, in which the Russian
and the Mexican problems were corn.
| pared, the chief difficulty Of both being
| that there is no assurance to investor
who ,.,irnA dovninm fha raAA enrins aNS