Evening star., 1923-01-27

Great Britain would have to pay
f31 100000 yearly. which might be
relieved to certain extent by an
improved position Of the sovereign
in exchange.
"All the best opinion in New York"
he said. believes that the pound and
the dollar will go to parity pretty
soon. The way in which the pound
has been going up is very remarkable
but there are good judges who think
II Is not SO much the appreciation OF
the pound as the depreciation Of the
dollar
Five Per Cent Too Muck.
Mr. Baldwin expressed the belief
that the strain Of paying s per cent
interest on the whole debt would be.
greater than this country could car
fry. THIS was. "ghastly thought"
he added. but there was no doubt
about II.
| II should like to point out the
chancellor continued, that what
America has offered represents an
immense advance in American opin-
ion In very short time. 1t was not
thought possible that Congress would
be willing to eat it's own legislation
and give terms subsequently reduc-
ing the percentage to be paid to ~
per cent over series of years. The
original terms of Congress. with the
about per cent"
Mr.. Baldwin thought there could be
no more opportune time than the
present to offer terms in order to
change opinion in Britain's favor.
The debt has got on the nerves of
cancellation makes them shy all
along the Iipe." he added.
The chancellor hfnted that any re-
duction in the British budget would
depend entirely upon whether q set
tlement with America was effected,
orally. Too much could not be said
about the cordial reception of the
mission in. America. he concluded.
! The kindness there had been extraor-
binary, an atmosphere of good will
prevailed throughout, and every. one
assured them the visit would do an
immense amount of good in further
ing the relations between the two
countries.
Views on Interest Rate.
The return of Mr.. Baldwin is the
signal for number of newspaper ar
ticles on the funding Of the British
debt. Generally. they argue that the
be on the basis OF the value of money
in England, not in the United States
Had Mr.. Baldwin accepted the
American terms, declares the Weekly
Outlook, 1t is possible the govern
ment would have had to repudiate
him or leave office. The paper con-
| siders there Is no hurry and that as
there Is good will on both sides, it
| is better to wait for time when
| the American public is better able to
dificulties. It contends that Great
Britain is SO overtaxed she cannot
AFFORD to pay more than 2 per cent,
that being the rate at which the
British treasury Is able to borrow
The Times prints an article con-
tributed by "a colonial correspond
ent" 1t. takes lines similar. though
less extreme. to those of the Out
look.
The article argues that II, as re-
ported, the Baldwin mission agreed
to fund at per cent. the British
government was taking q responsi-
bility, the extent of which could
| cause It would moan additional tax
alton for every man, woman and child
| in the kingdom. This would not fall
short OF q, pound sterling per head
annually for B. period of two genera
tions. Moreover, the obli CATION would
is able to foresee the future rate Of
The article points out that the
present Is the very worst time to
ments in the Ruhr, making it ex-
ceedingly uncertain whether any
thing whatever can be obtained from
Germany. Therefore, it argues, the
British government il not entitled to
undertake such obligation and ought
to refuse to fund until conditions
change. s'-
It suggests that tho government
should simply pay the interest yearly.
The writer says he cannot believe
that any American government
would demand that tho rate should
be higher than that at which they
themselves can borrow" and con-
cludes:
."The American people are as fair
minded and ungrasping as any people
| in the world, and when they once
i understand the position, they would
refuse to make such demands as
they are making now"