The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1922-10-04
J. H. Puelicher of Milwaukee.
Harding Urges Teaching of
Thrift and Economy in U. S.
M'KENNA OF ENGLAND SPEAKS
He Asks POstpOnement of Pay
ment of Debts to Z. s.
Germany Might Be Able To Pay
Soon, He Says.

New York. Oct. 4-Jobn H. Pue-
licher, president of the Marshal &
Isley bank OF Milwaukee, today was
elected president of the American
bankers association for the ensuing
year.
President Harding Speaks.
In a message to the American
Eankers' association, President Hard
ing today urged that ITS members
must lead in recommitting our people
to sane expenditures, to ways of econ
somy and thrift, to the consideration of
municipal and national problems in
that conscience which builds-the tenn
pie of confidence.
Definite postPonement of any pay
ment OF the debts owed the United
States by European nations, with the
exception of England. until the actual
amount which such nations could ulti-
mately pay has been determined by
conferences between the creditor, and
the debtors, was suggested by the
hight Hon. Reginald McKenna for
mer chancellor of the British ex-
chequer in address before the Ameri-
can Bankers association convention.
Mr.. McKenna also gave as his
opinion that Germany might be able
to pay as reparations in the immediate
future about one billion dollars de-
rived from her foreign balances and
sale of foreign securities. Such pay
ment, he asserted, would only be pos
sible if all other demands are post
poned for a definite period, long
enough to stabilize the mark. Future
demands at the expiration OF that
period. he said. must be limited to the
annual amount of Germany's export
able surplus at that time.
Heads EngIand's Largest Bank.
U.t,, &c oh of
the London joint city and Midland
bank, Limited. said to be the largest
bank in Great Britain, gave his views
on the economic aspects of reparatons
and International debt how they are
payable, the general capacity of a
debtor country to pay. and the effect
of payment.
While he stated that he was not in
pol tics and did not appear in any
representative character, he argued
that England has the capacity to pay
her debt to the United States and, he
continued. Il can unhesitatingly as
sert her determination to honor her
bond in full.
THE remaining international debts"
he said, should be considered as
ones in which the United States and
England are equally concerned and in
which both have the same interest as
creditors.
While it has been suggested that
the German government could meet
it's liabilities if her people were ade-
quately taxed, Mr.. McKenna said he
failed to see how additional taxation
can increase foreign trade and provide
a large exportable surplus. The taxes
would be paid in marks, he said, and
whether the marks are derived from
avowed taxation or from concealed
taxation thru the use of the printing
press, they are in either case a cur
rency which would be accepted in dis
charge of foreign liability.
Touches on French Debt.
Touching on the French debt to the
United States in which Great Britain
is also interested as a creditor, Mr.. Nc
Kenna stated that Frances external
debt is far too great in relation to in
ternationai trade possibilities. View
ing the situation from the viewpoint of
1914 and peace time conditions, he as
serted that it is recognizable that
France has no trade surplus or re-
serves of accumulated and exportable
wealth to enable her to meet her pres
ent external liabilities. The mere en-
deavor of France to extend her for
eign sales to the required degree would
disorganize the trade of the world, he
maintained.