The Pleasantville press. (Pleasantville, N.J.) 1912-1929, 1922-07-19

the war. / take 1t that, in the realm
of prices, they mean by primary infla-
ton a general advance of prices in a
time when demand is greater than
supply, the purpose being to check
the demand and therefore make the
supplies go farther.
"a secondary imitation, I take 1t, is
quite a different affair-a tendency to
advance prices at q time when there
Is a surplus of producing capacity but
a deficit in buying and consuming ca
pacity; the theory being that as the
public tends to buy on a rising market,
the one effective way to max 1t buy
is to make the market rise.
Not the Right Procedure Now.
at occurs to me that there are proper
exceptions to all rules n for myself,
l do not believe that n public which
finds itself unable to buy at a lower
level is likely to be better able to buy
at a higher level, unless Its income
goes up at least a little faster than
prices advance. l saw it announced
the other day that, owing to the adj
vancing price of wool, there was like
ly to be Il general, though for the mo
ment moderate, Increase in the price
of wooden clothing; that on account of
the condition of the cotton market we
might anticipate some advance in the
price of cotton fabrics; and, finally,
that some factors in the metal market
were disposed to discourage orders at
this time, hoping thereby to secure
better prices later on.
81 wan to say frankly that I do not
believe that is the procedure by which
to bring about a quick and permanent
restoration of good times. The strike
of buyers, the unwillingness of a
great mass of the people to go into the
markets and make purchases, does not
represent, and must not be set down
as representing, a merely perverse
state of the community mind. 1t rep
resents rather an adverse state of the
! community pocketbook. You can gen.
orally count on your public to buy at
least as freely as it can afford to buy;
md you can pretty safely assume that
when as a whole your public persists
in wearing its old clothes, in putting
a third pair of half-soles on its old
shoes, and in getting along without a
large share of the things we common
ly regard as luxuries, it is taking that
attitude, not because 1t wants to hurt
somebody else's feelings, not because
it is animated by a desire to make it
self d~isagreeable, but because 1t hasn't
the money with which to buy the
things 1t wants"
Ready to Return Alien Property.
The United States is ready to
begin returning the property it took
from German nationals during the
World war. This property is valued
at something over 100000, 900, of
which 500, 600, 900 is in cash and on
deposit in the vaults of the treasury
here. The alien property custodian,
Thomas w. Miller, has a bill ready for
presentation to congress under which
all sums of $4,000 and under will be
returned to their owners at once. I'm
der the law no property vested in a
citizen Of either Germany, Austria or
Hungary can be returned until con-
gress acts.
There are $4,000 trusts valued at
$4,000 and under. If all Of these
should be disposed of under the legis-
lation which the alien property GUS
todian Is about to propose, an aggre-
gate of about $24, 100000 would be re-
turned. There would be left for future
disposition 1902 trusts Of between
$4,000 and $4,000; 49S trusts be-
tween $4,000 and $250,000; 162 trusts
between $500 and 81, 100000, and
so trusts of over 81 100000 each.
The separate peace resolution which
congress passed last year, known as
the Knox-Porter resolution, provides
hat the United States shall not sur
render any of the property which 1t
took from German citizens during the
war until arrangements shall have
been made for handling the American
claims against Germany. The two gov
ernments have Just come to an agree
ment under which these claims will be
handled by q mixed commission, and
this agreement, it is pointed out, opens
the way for return of the property.
There are several classes of claims
against Germany. flrSt lleFe are
those claims of Americans whose cash
was received by the German alien
property custodian. The holders Of
those claims are now offered the re-
turn of their cash at the deprecated
value of the mark, which, If accepted,
would amount to practical confisca-
ton.
There are claims on file with the
State department for the loss of prop
erty and life at sea growing out of the
submarine sinkings previous to April
6, 1917, the date on which the United
States entered the war, amounting to
S415,0 00, 900. OF this amount approx.
imately S190,000,0M are claims for loss
of life. Then there is the American
governments claim of $241 100000 on
account of the maintenance Of troops
of the United States on the Rhine.
1t will not be the policy of the Unit
ed States, it is authoritatively an
nounced, TO use any part Of the $780,
600, 900 of alien property held by this
government to satisfy the American
claims against Germany. President
Harding and Secretary of State
Hughes, who have given a good deal
of thought to the matter, hold that
such use of the trusts held by the
United States would be confiscation of
private property. 1t is not unlikely