Evening star., 1927-05-01

pCTialiStIc. We are up 10
our cars in imperialism.
But l am not bit afraid
Of it. In imperialism there
may be a real hope for future world
peace.
Not afraid of American imperial
fsm?" | gasped AT the little man be-
fore men with the large horn-rim
glasses. Was he Joking? | reflected,
furthermore, that here was a man in
the heart of the Wall Street district,
under the very shadow of the world $
most powerful. bank. telling the world
that America is more imperialstic
than Rome ever dared to be and then
Gaping this off with the declaration
that this is road to world peace.
II mean every word of it," smiled
John Moody. Americas noted statis-
tician. as he fathomed my astonish-
ment.
Struck by Great Idea.
Thirty-seven years ago boy
trudged into New York City sick and
tired of the farm He gladly worked
for SIS a week At 80 he was still very
dissatisfied with himself and his prog
ress While poring over statistical
ledgers a great idea came TO him.
Corporations were growing at an
enormous pace. Big business was ris.
ing and stocks and bonds were flood
ing the market A manual was need
ed 10 tell investors about these issues.
The young statistician hardly dared
to breathe lest some one would divine
his plan. He cribbed hours from his
work, far into the night he toiled, and
in a year his manual was ready.
The origin of this manual was the
origin of Moody's Investment Service
s11d the rise to statistical eminence of
John Moody. who now sits behind a
big mahogany desk while about him
hundreds of clerks move busily to
transact the enormous business Of
concern that started with @ dissatis-
fed clerk who had an idea.
First of all let me ask you whether
you think our foreign investments are
sound Investments"
''Of course they are" replied Mr..
Moody.
But Frank A. Eanderlip says that
they may be a tremendous loss. He
says the tariff will prevent Europe
from paying her war debts to us and
the world from paying her private
debts
"But the tariff is coming down"
said Mr.. Moody.
why do you say that the tariff
is coming DOWN." l queried.
E1GOi1Olfl1C pressure DulIL the ld1lil
and economic pressure viii level it.
Today in America millions of in
vestors have their money abroad.
They are beginning to see that the
tariff hinders the payment of interest
or principal on their foreign invest
ment. They are going to exert politi-
cal pressure sooner or later.
Just a minute, Mr.. Moody. For
every dollar the American investor
has invested abroad he has 10 at
home. Will he be willing to take
down the tariff and ruin his domestic
investment" / said.
Our domestic investments depend
70 a great extent or our foreign
trade Most of our big businesses
operate on a very narrow margain of
profit. Ten per cent is usually the
margin. In the case of a concern
like Armour & Co. the margin is
under per cent. That is TO say, If
5 or 10 per cent of the business of
many of our most important concerns
is curtailed, they would land in the
hands of receivers. The foreign trade
of most of our big concerns ranges
from Is to so per cent.
Must Have Market Abroad.
Fifty or Sixty per cent of our cot
con must have foreign markets to be
sold. Normally from 80 to 40 per cent
of our copper must be shipped abroad,
and in a. general way from Is per cent