The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1922-05-04
EUROPEAN FINANCING TAKES ON A
BUSINESS ASPECT.

BUSINESS AOFECl.
LEADERS of economic movements for the re-
storation of Europe to normal conditions of in
dustry and trade are pursuing wise course
when they invite American financiers and AM
erican commercial organizations to confer with
them with regard to methods by which Am
erican capital can be interested in the great
work to be done on the other side of the At
lantic," declares the Republican Publicity as
ISOLATION, through its president, Hon. Jona-
than Bourne, Jr. THAT is taking the subject
up in proper manner. That plan places the
movement entirely on business and economic
basis, whereas the previous proposal to have
the United States government send represen-
tatiVe to the Genoa conference was placing it
on political basis which could not possibly
bring satisfactory results.
"The problems to be solved are economic and
they must be solved, if at all, by men who are
skilled in business rather than politics. The
men who solve the problems must speak for
Industrial and financial institutions rather
than for the public institutions organized by
government. Apparently many Europeans had
been led to believe that because the United
States during the war opened it's treasury
with spirit OF generosity and liberality never
before known in the history Of the world that
policy would be continued after the emergency
OF war had passed. Instead, therefore, of
graphing with every problem in manner
suited to the character of the problem Eu-
ropean leaders and apokesmen of European
governments were inclined to assume that upon
request the United States would continue to fl
nance the needs Of Europe. The plan evident
ly was to have the United States extend it's fl
nancial assistance not on the basis of sound
credit and security but in accordance with the
customs of charity and generosity
"Phe new movement, which finds it's most re-
cent expression in an invitation to prominent
American. financiers to go over to Europe and
confer with financiers there, places the whole
matter on strictly business basis, as it should
According to recent financial reports the
savings of citizens of he United States are be-
ing invested in European securities at the rate
Of some $80,C00,000 ger month. These invest
ments do not represent large capital alone but
to great extent the savings of small investors
who fine in foreign securities what they be-
lieve to be greater opportunity for gain than
in securities issued in the United States. Am
erican financiers who 90 to Europe to talk
over the needs of European industry and the
security it can offer for loans and investments
will Judge the merits Of the proposals solely
from business standpoint When they re-
port to their clients and prospective customers
in this country they will recommend or disap-
prove the proposed investments on strictly
business basis. Government financing of for
eign loans would not be conducted strictly in
accordance with business principles but would
he influenced largely by international friend
ships and political considerations
The wisdom Of President Harding in declin-
ing to send representatives to Genoa is attested
by the immediate formulation Of plan under
which is is altogether probable American fl
nancial interests, large and small, will be in
duced, with reasonable assurance of safety, to
render the assistance which Europe needs"