Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-04-26
Is Years War Planning
Worth rs Years TO Pay

To the Editor of The Star:
The meeting Of financial experts in
Paris has failed 10 bring about an agree
ment between Germany and her cred.
itors. Manif.stly. Germany does not
intend to pay. 1t is equally certain that
II Germany does not pay, the European
nations will not pay us. We nave lost
the friendship of our associates in the
Great War by our policy OF refusing 10
recognize their difficulties and insisting
upon payment of their debts.
The time Is coming when, In our own
interests and for the sake OF the world,
we should take active steps to settle the
question OF the allied debts and the
German reparationS. Why not call
meeting OF the doctor and creditor ma
TONS Including Germany? Recognize
that Germany cannot pay her debts in
cash: remind her that for As years she
Withdrew a million OF her young men
from production and supported them
from taxes levied by the state and
taught them how to destroy other peo-
Piles property. They learned their les
son, they destroyed the property, and
now they are called upon to pay for 1t.
Germany cannot say that she cannot
support 1.000, 900 of her young men from
her taxes. IT, then, she occupy their
time not In learning to destroy but in
teaching them to produce, their product
for As years will pay the German obli-
cations
Let us then agree that claims on Ger
many shall be legal tender In payment
of allied indebtedness. II this plan be
accepted and carried out the European
nations will be out of debt. We will
hold probably so per cent of the claims
on Germany, France and England the
balance. Then agree with Germany as
to what goods shall be delivered to rep
resent the product of the million men;
goods to be delivered fob. at German
port or on the cars at frontier station.
Turn the goods OF different kinds over
to committees representing the pro-
ducers of similar products and pay them
a good commission for selling the goods.
If you do this you will find but little
objection to the plan on the part OF the
producers. Agree with the nations
whose debts are paid that such German
goods Gs their nationals buy shall be
bought from the creditors representa-
tives.
Germany was As years in preparing
for the war. Let her be As years in
paying for the war. She can. and prob
ably will. carry out this plan, because 1t
will tend to keep her people employed
and her machinery running. Remember
that German goods will be sold whether
We carry out this plan or not.
Under the Dawes plan" gold Is COL
lected and deposited in a German bank
and check given for 1t to the repara-
tions committee, but the gold cannot be
sent out Of Germany. All the commit
tee can do with it Is to sell exchange to
buyers throughout the world who want
to buy or who have bought German
goods. 1t Is roundabout way Of TAX
ing goods In payment and thus COL
lecting a large proportion Of German
currency in the bank while awaiting
distribution, which upsets German bust
ness, and no doubt this has become
unbearable. II the goods be taken di-
rectly in payment 1t will not be neces-
sary to withdraw currency from circula-
ton. Consider that we have been
obliged to extend the payment of income
taxes over the year. because If the en-
tire sum were collected In the bank once
a year in order to meet the payment
business would become impossible. II
We consider this we can form some idea
OF how Germany must have suffered.
II we carry out this plan. or some
modification Of 1t, Europe will be re-
lieyed from the blight of the enormous
debts that now hang over her. For us
1t will mean that we shall probably re-
ceive payment Of the debts due us from
Europe. and we will at least regain the
friendship Of our neighbors which we
have lost, or nearly lost. In any event,
we will have contributed a great con-
structive act toward settling the dis
turbed finance OF the world.
ROBERT M. THOMPSON.