Evening star. [volume] (Washington, D.C.) 1854-1972, 1924-02-17
ny FREDERIC WILLIAM VILE.
of the s150.00O.00O Japanese
loan In the Arnaricnn nnnna,.

RESPECTIVE prompt success
r. of the s150.000.000 Japanese
loan In the American money
market draws attention to the
vast volume of trade between the
United States and Japan. To both
countries it is q factor of vital i'm
portance. Forty-five per cent of Nip
pon's exports go to the United States,
making us by far her best customer.
America for several years has been
Japan's principal source of supply. In
1922, the last full year for which to-
tails have been assembled, the United
states sold to the japanese 81 per
cent of everything they purchased
abroad. Our exports to the island
empire amounted to twice as much in
value as those sent there from any
other country. Japan's sales to US in
1929 represented al aggregate of
$36S.000,000. Our sales to her totaled
s2ss.O00.O 900. .-
The big japanese loan transaction
which Wall street is now Negotiating
has: several aspects worthy Of serious
consideration. apart from its purely
financial character. In the first place.
IL indicates the confidence Of the mo-
gus of American high finance that
Japan. is economically sound - that
her credit is Al. 1t reveals a convfc-
ton on the part of these shrewd au-
rhorities that SCaremongerS' talk of
an inevitable war; with Japan Is ex-
tremtly premature. to say the least.
FINALLY, substantial American aid Of
the dimensions of a $150.000.000 loan
certain super-enthusiastic ''interna-
tionalists" that the United States is
not doing its duty in world co-opera-
ton. Money talks-abroad as we'll
as at home.
In 1922 private American capital to
the extent of 100000, 900 or $500. OO0,-
600 was advanced to foreign govern
ments or individuals for DEVELOPMENT
purposes. In 1923 more than $780,
100000 was loaned. In 1924. with the
is probable that American dollars to
the extent of billion will be sent to
work throughout the world on peace
time. constructive enterprises.
Much VIII BE spent Here.
"A special feature of the Japanese loan
lis that the bulk Of It's proceeds Is to be
spent on the purchase of American ma :.
the physical damage done by the Sep
TENDER earthquake and fire. What is
not invested here for that purpose will
go toward refunding OF previous Japa-
shadow that a start has now been made
by Japan In the direction of looking
upon the United States as its principal
financial market. That position for sew
eral decades has been held by Great
Britain. l.
1t is virtually the first time on record
that Japanese government securities Of
fered for subscription in the United
States have been made payable in dol
lars and not in sterling. Nippon has
taken substantial action toward estab-
fishing Uncle Sam as the supreme arbl-
ter of international finance.
Frank r. Eldridge, chief Of Secretary
Hoover's far eastern division at the De-
partmcnt OF Commerce, has just COM
piled some instructive facts about the
Importance Of American Japanese trade.
While only per cent Of our national
wealth is engaged in foreign trade, Z
per cent of Japan's fortune Is SO occu-
pied. Five commodities exported by
Japan account for sc per cent Of her
fetal sxports-raw silk ranking away