The New York herald., 1922-10-27
realization Of which is extremely doubt

realization OF which IL extremely doubt
ful.
England is in n unique position IN
that she still possesses large volume of
foreign securities. Could she liquidate
those i'm our markets she might settle
-fler debt 10 us without much delay. but
that would involve willingness on the
part of our Government or our people to
buy the securities.
How the Doctors Disagree.
assuming our unwillingness to buy
these foreign securities. we have been
told that England can settle her debt to
us only through goods or services. We
are told by experts, and the proposition
was indorsed at the recent meeting OF
the American Bankers Association at
New York. that the possibility OF our
having 10 receive abnormal shipments
of goods for the settlement Of these
interallied debts might involve serious
shock TO our own industrial system. In
Guiding a disastrous blow TO our export
trade.
That IL one expert view. Quite
different one is that OF a prominent
member of the Cabinet who makes the
statement without hesitation or reserve
that Europe can and will pay us all that
she owes, and that 1t will be accom-
plished without serious disturbance TO
our foreign trade and without unneces-
sary hardship or suffering on the part
of the nations who shall liquidate our
balances against them. When the doc
tors disagree II is small wonder that
the patient Is worried. --
"Dinerences Are Serious"
Business and credit. and particularly
International business. are predicated
on confidence We had seen before this
Turkish crisis that there were differ
ences OF opinion among tho European
Allies, but we had supposed they were
not fundamental. The affair at Chanak
has shown US that the disagreement
was serious. We in America feel that
jealousies should be forgotten and a
common policy decided on.
'The conditions referred 20 have made
US feel that both Lord Curzon. the
British Foreign Minister. and NJ. Frank
lin-Bouillon. the French emissary to the
Turks. contributed a very real share
In averting what might have been an
other world catastrophe. In the pres
ence of Sir George PaIsh should like
to express a feeling which I am sure
is shared not only by Americans but
Englishmen throughout the world. and
that is one OF profound admiration for
the courage. the GOODNESS and tact ex-
ercised under such critical conditions
by Gen. Harrington of the British army.
I'VE tell the nations of Europe that
as n precedent to our cooperating with
them they must cut down their stand
ing armies and balance their budgets.
They reply that they cannot reduce
their military forces so long as these
great problems of reparations and inter-
allied Indebtedness remain. and while
they cannot dispense with huge armies.
their unemployment doles due TO dis
turbed trade and their abnormal eX-
pense growing out of the war and the
peace treaty, 1t is impossible to con-
tract national expenditures and thus
balance their budgets.
And again the United States says 1t
regards tho Indebtedness toward 1t of
each OF the European countries as an
individual indebtedness unrelated TO
other obligations. At the same time
those countries OF Europe say they can.
not settle their obligations to us except
as they realize the payment Of repara-
tons and obligations due to them.
"Thus the vicious circle goes whirling
round. Thus initiation In many coun-
tries. thus the foreign exchanges con-
tinue to be uncertain and demoralized.
thus the maintenance OF foreign trade
continues TO be difficult and in some
cases impossible"