The Birmingham age-herald., 1922-06-25
By BILL sIKEs

i, letters of acceptance and other doe uments relating to export trade from Birmingham was handled through New York or New Orleans Mir. Paul Angel of the First National bank delivered an interesting discourse at the meeting of the Spanish club last Thursday evening.
 Prefacing his remarks with 8 brief statement as to the use of money, ha outlined the various standards of value that obtained in countries with which we do an export business. While the gold standard Is more or less universal he pointed out that there are countries whore the silver applies, and in such countries the constant change in rate of exchange is a thing that needs to be closely watched. As an illustration--silver went way above normal value during the war and in countries like China all papers and documents had to be made on gold basis, and the ex- change arranged for on date of con- summation of sale.
 Mir. Angel gave a list of American banks in various foreign countries which have been recently established largely through the energy of the National City Bank of New York, which now has around 50 branches in various countries, practically cover ing the whole world. This bank has recently had a representative in this territory who has been conferring with banks and bankers in this sec- tion. It appears that the First Ma tional Is keenly alive to what may be accomplished. Mr. .Angsil Is expected to speak again soon further on the subject of finance and It's application. to the development of export trads The Port of Mobile crowd could have learned something at the meet 1 ing when Miss Abbott of the Bir- ! min gham Rail and Locomotive works presented a letter from a bank in ] Savannah requesting that they use l the port of Savannah for their export business. Undoubtedly the people of that section do not propose to sit idly ! by and see any available tonnage moving from any port save their own if they can help It.
 An outline of business conditions In | China was given by A. Loehr, who l proved to be the most interesting ] speaker the club. has had for many a day. He is an accomplished linguist, and also wide Awake man who mas carefully studied trade and it's de- velopment. He gave most amusing i account of how rate of exchange va ries in the various provinces. 1t seems that any bank in China may issue the equivalent of currency provided they have sufficient amount of taels In reserve. He had some of the I l.t elk st. stamp of the maker, These tae!s are merely silver somewhat in the form
 of a slipper of a certain fineness I They do not bear a government i'm
 print. but their dollars and other
 coins are minted similar to ours. Al the close of business they have form
 of cdearing and each bank sends over it's part of the taels covering a days transactions. Sometimes. he states you can see 8 cartload of them going | through the streets with proper ,l guard. Tn the province of Canton { dollar of Chinese money may be wortf the equivalent of ours, depending or
 the price of silver during the day
 Each exporting agent who makes z
 sale of any commodity immediatel,
 goes on the exchange and convert.
 his letter of acceptance Into gold a the current rate on day of sale, there
 by protecting himself and firm
 against any fluctuations.
 In the counting houses of China thu
 abacus Is used, which corresponds tt
 our adding machines. The Chimes,
 have used these for so long that the,
 appear incapable of adding up figurel
 in their heads as we do in this coun
 try. and marvel at the American wh,
 can add two columns at once.
 thought of former postmaster il
 Alabama who at the age of S5 couls
 and even now adds three columns a
 once and has it right. I reckon tina
 Mir. Riddle might become mandarii
 if he should enter China.
 | The sanctity of contracts was mad,
 clear when MT. Loehr stated that h.
 knew of instances after the wa
 when Chinese merchants could 10 meet their obligations where the, l committed suicide. It seems that ovel 1 there a Chinaman's family assisr. him to meet his obligations, then hi,
 clan. and If after all this he cannot pay he kills himself rather than dis grace his name and ancestors. There is no such thing as a bankrupt cour,
 in China, stated MT. Loehr.
 The exportation of tea and .si.. duQS to lAc W ttitu pl &fllna ana pro vides the means for China to pay u for our goods. It opened my eyes .t learn that carload of fine sill
 would run above $200.000. Now tha
 is one thing that tariff might D,
 put on too high and limit the con | sumption. Business men in Chsns
 have culture and refinement. tax, pride in their goods and make thing
 hum In the fashion of the east. The.
 do not try to make it all in da.,
 however.
 Chinamen are said to be so def with their fingers that in some in
 stances machines have been s. aside for hand made goods. This wa true with the case of an electric lign
 company that had certain filamenti in bulbs supplied by hand
 The boycott is the only weapo,
 tho Chinese have to use in politi cal or business way-it is said to b,