Grand Forks herald., 1922-06-12

Eject TN America Out-
lined By Grand Forks
Representative AT Con-
\ vention In Washington.
= A comprehensive business survey Is
contained in the following report of
the recent annual meeting of the
U. S. Chamber of Commerce at Wash
ington. The report was read by r. E.
Wenzel of the Associated Industries
Of North Dakota at the annual meet
ing of the Grand Forks Commercial
club Wednesday night. Mr.. Wenzel
represented the club at the Washing
ton meeting.
Following is the report:
THE general subject which re-
ceived the attention of the tenth an
nual convention of the Chambers of
Commerce of the United States was:
European conditions and their ef-
feet on American business
Under that general heading or
program there were discussed such
matters as: To what extent are
American industries producing raw
material dependent for their pros
perity on European markets; Com
parative Transportation conditions;
Living conditions of wage earners in
Europe; Preparations in relation to
American business; Effect of pay
ment Of principal or interest Of AL
lied debts to the United States; 'Ex-
ports and the home market; The
trend Of the business world; etc.
I'm reviewing the work of the con-
vention I shall address myself to
three main propositions. First. What
is tho general situation in Europe?
Second-What is the immediate
business outlook in the United States?
and Third-What interest has Amer
lea in the speedy settlement Of Euro
pean difficulties?
The European Situation.
Following the signing of the arm
istice on the l1th of November, 1918,
the various countries undertook the
task Of readjustment, with the view,
as generally understood, of establish
ing peace. such peace as might
reasonably be expected to last for
some considerable time.
Less than four years have passed
since then, so that the horrible de-
tails of the great world struggle are
still vivid recollections of those liv-
ing, and yet we find. Europe almost
hopelessly enmeshed-a treaty of
peace signed. but no peace as vet
in sight. As one OF the speakers
put it, TT lis a peace that passeth
UNDERSTANDING
"It seems quite evident that there
10 still much of, the old distrust in
Europe. Everybody, seemingly, is in
Aoo - exyy,, With YnnveYO eNt
to establish lasting peace. but each
group is also everlastingly busy re-
sorting to veritable black-hand meth
DDS to gain some advantage, while
the movement to crystalline that SYM
pathy into some semblance of affirm
ative action is going on.
From every quarter represented
at the convention came the sugges-
ton that European budgets must be
balanced, that reparatioYrs must be
settled on some kind of. unreasonable
basis that will bring assurance that
the payments can and Will be met
without too great reductions in stand l.
ards of living. and that the exchange
situation must be stabilized: but from
no quarter did there come any; ex-
preston of assurance, or even OF
hope, that Europe might be expected
to work out her salvation along those
AN>AoS
mediate future.
"Stabilixation of exchange. it was
felt. would remain but vain hope
until Europe could get back on a real
production basis which would bring
her exports within sight, at least. OF
her imports; and production could
not get to a sound and normal basis
until Europe recognized that exces-
siye taxes and inflated currencles
could not bring about stable balanc-
ing of budgets. Taxes -are almost
confiscatory, and still rising. 1gnor-
ing Russia entirely, the currencies
Of Europe total over 100 billions OF
dollars or more than II times all
the gold in the world.
Critical Situation.
German debasement of currency
a policy deliberately and consistently
followed has brought her to the very
verge of chaos and ruin. The situa
tion. as Mr.. Vanderlip cabled, is, in
deed. critical. Royalist plots and in
creaxng prices promise great socia
hardships, which may result, at an!
time. in revolutionary outbreaks
Mot once but quite number O.
times, listened to such expression
as this: The point at which Ger
many may collapse financially is a.
difficult to determine as is the tim'
when she may blow up industrially.
Austria, also, is in the same un
enviable position. One of her grea
scientists is today receiving salar!
of $1.00 per month, based on the cur
rent rate of exchange.
THE faith and integrity Of the in
dividual nations and the productiv'
activity Of their respective peoples of
fer the best solution of the exchang
situation, which means that it will
take time to regulate and right it.
x'.They were careful and conserva
tive observers, believe, who in
formed the convention that the onl.
reason the workers of Germany ant
Austria haI not become Bolshevik
the fact that Bolshevism had prove'
such complete failure in Russia.
MOT only these countries. but Italy
France and England are literall
swarming with these radical propa
gandists, who still maintain that Rus
sia has found the nnillenial substitut
for the capitalist system, and deliber
ately conceal the fact that there ar
15,000.000 starving people within he
borders, that her ira nsportation facil
files are SO completely demoralize
as likely to increase that number t
+ $4,000, 900 before fall. and that he
ravisherr are even now Offering 369
4 interest, over and above all othe
charges. in order not to induce bu
to seduce capital into their hands.
II Praise Arms Conference.
'.European budgets must be mad
to balance, but only by reason Of tn
sffictest economy in governments
expenditures. particularly throug
ta,e cutting Of military and naval ar
8 preparations to the very quick,
flere ii 10 result the free engage