Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1922-02-17

CANuEVERPAY
DEBT TO j. 5.
Deputy Loucheur Asserts u.
S. VIII Not Accept
French Currency
HOPES FOR FUTURE
Demands That Germany Make Plaln
Statement as to Her Financial Con-
dition.

Paris. Feb 17.--Louis Loucheur,
Minister OF Devastated Regions in the
BRAND Cabinet and now member OF
the Chamber Of Deputies. fatty and
emphatically declared that France not
only cannot, now or in the near tu-
ture, pay her debt to America, but can
never pay it. Further, he asserted that
the reduction Of her army Will not
alter in the least her inability to pay.
Loucheur is the man who negotiated
the famous Wiesbaden agreement with
DR.. Rathenau. and is conceded to be
the clearcst headed and most profound
thinker on finance in France today.
He is not member of the Polncare
Cabinet. but frequently is called into
consultation. and had conference
with the French Premier today.
"What is your feeling about the
European economic situation as II no"
stands?" he was asked.
1t is not an easy thing to see day
light in this situation was ms reply;
But on the whole, ! am hopeful, and
there are some reasons to be so. III
France we have good social sltua-
ton. but very bad financial one,
which requires the most careful and
delicate handling. Yet it can he work
ed out.
''Thc great danger here in France
and. TO a certain extent, in England
and America. too--is deiation. l am
against dehation in countries that
are inherently sound. There is grave
danger in the attempt. | do not, now
ever, want to be put down because
! of nv conviction op this subject as an
advocate Of innation.
.In Germany, for instance, the es-
| sential thing is that she should put
her house in order, and, because OIL
the wild initiation there, she will nave
70 incur some dangers in getting back
to a sound foundation.
"When she does this she must then
put her cards on the table. II she has
no money and cannot pay. then we
have no right 10 ask nor to expect
ncr to pay. But we have the right 10
! see for ourselves and to know for our
selves.
In the long run a policy of COM
plete frankncss will pay Germany,
and nothing else will. At present we
are quite certain that she can pay.
What are the chief dangers in the
way of economic reconstruction over
here"
Well" said II. Loucheur. the
chief thing of which am afraid is
that there may be misunderstanding
Of the elemental facts in Europe by
America. You ask Us to pay our war
debts We cannot pay. We cannot pay
now and we cannot pay ever. No clear
headed man. with a real knowledge Of
financial facts, has the rcmoteSt idea
( that we can ever pay.
"'Thc only possible way in which we
ever could pay IS in our goods, and
YOU will not take OF" goods. We cannot
pay in our currency. You won't take
that. You demand gold. and YOU have
all the gold in the world in your own
vaults. And now you prepare to erect
a tariff wall around your country that
will still more completely bar out our
goods How utterly illogical and in
consistent is the american attitude!
The argument that, if France re-
duced her army, she could save enough
money TO pay her debts is neither
sound nor sensible. ! am not a mill
:arst. am a firm believer in the
reduction of the French army. That
reduction will take place. Already in
Parliament the first steps in this di-
rection have bcnn taken, but | think
that if Senator Mccormick and others
who think with him were Freachmen
they would change their opinion