Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-04-28

various debt settlements and to re-
pudiate the Balfour doctrine on behalf
of his party has excited comment and
justly aroused apprehension in debtor
and creditor nations. 1t may very well
portend startling developments If Labor
by any chance carries the next general
election
Snowden has always maintained two
principles which are little hard to
reconcile He has proclaimed that the
United States was playing the role of
Shylock because it insisted upon pay
ment by the British of war borrow
ings under the terms of the Mellon
Baldwin treaty. But he has with equal
yigor pronounced as scandalous the
British settlement with Italy ana
France which let the Latin allies OIL
with easier terms than Britain got in
Washington.
The solution of the debt problem for
Snowden is to be sought in reducing
British payments to us and by repu-
diation of the existing agreements be-
tween Britain and her allies. These
are to be replaced by new agreements
calling for larger payments. And par
ticularly hateful does the Labor leader
find the famous Balfour doctrine, de-
signed to make Uncle Sam feel ashamed
and pedging Britain to collect from
enough to pay us.
II Snowden is to have his way-and
he has many followers among the La
Dor party and sympathizers in other
parties on this point-one OF the nrSt
steps of victorious Labor party Will
he to approach the United States to
ask better terms, thus liberatlng the
British people from what he has oe-
scribed as two generations OF bondage.
But concomitantly he will try in Europe
to get larger payments, thus increasing
the extent of the bondage of Britains
recent allies.
Is Part Political Bunk.
OF course, in practical terms, as
every sensible person knows, this sort
of talk is pure political bunk, the clap
tran which the professional politician
in every country INDUCES IN on the eve
of an election. Two things are fairy
certain today one that the united
States will not now consent TO any re,
auction in British payments to us, and
tl1e other that Britains former allies
are even less likely to agree to pay
Britain more than Churchill agreed to
accept in his treaties with Rome ana
Paris.
Nor is IL even exact, as Snowden al
ieges, that France and Italy are paving
us a larger proportion of what they
owe us than they are paying to Britain.
1t is fairly hard to arrive at COM
psrison of the British and American
; arrangements with the Latin connfftes
because they are differently adjusted. /
Thus the British have undertaken to
collect at once from the French larger
proportional sums than have We. On
the other hand. French payments to us
rise slowly, but surely, so that in the
end the French will be paying us a
higher rate.
But all this shows astuteness. not
stupidity. on the part Of Churchill, for
very few people believe that the process
of debt payment will continue for two
generations-that is. until the end of
the periods now fixed. And British
policy has taken account Of this prob
ability and sought to get the most pos
sihle while, as our phrase has 1t, the
getting is good Thus, while the
French owe us about 81 900. 900 900
more than they owe the British, until
1894 they will pay Britain more than
the United States. And this settlement
was made with the profound conviction
that by that time the whole debt ques-
ton would be readjusted at our ex-
pense.
Under the Dawes plan. as it is now
in operation, the British are not doing
badly at all. OF the maximum. that is
the normal. German payment Of slight
" more than 5000 600 000 the British
are getting $l500000 900. From the
French they are taking In $4,000. 900
and from the Italians s2l 900 900. while
they are paying lis only 1851 10000
This leaves them a net of S50,000000.
which goes to meet the deficit In past
years. when they paid us more than
they received for debts and reparations.
Next year the French will pay the
British something over $50 900 900 and
the Italians s2i 900 600. while it is not
until 1888 that British payments TO
us reach the approximate maximum Of
S183,000.000. Thus. as long as the
German reparations payments amount
to $4u0 900 900 yearly, the British, who
are entitled TO a quarter. will be get
ting from enemy and ally all that they
need to pay America. Naturally it
would be much pleasanter If the Brit
ish could get more from the French
and the Italians and pay us less, but
that is another proposition.
Reputation of the Baifour note Is.
after all rather poor craftsmanship.
under the circumstances The Balfour
doctrine was cnunciated for the tx
press purpose of setting up a contrast
between British generosity and Amer
lean shylockery. The British an
nounced that, unlike the United States.
they would never think Of collecting
money from their allies. or even their
poverty stricken enemy. simply for
themselves. They would only take
enough to satisfy the exigent creditor
across the ocean
This little gesture made Britain pop
ular and America still more unpopular
In Europe, but TO us 1t seemed a "bit
thick" On the surface the proposal
which the British still keep present.
ing as the height Of craftsmanship
and humanity, was engaging. But what
il actually amounted TO was AN invita-
ton 10 us to hold the bag Britain
had lent money and borrowed money
and while she had lent more than she
had borrowed her chances of recovery
were not Of the best. II she could
come out even, she would do well.
We Owed No One.
But we had borrowed nothing in ihe
way Of money from any one. We Owec
no one. Cancellation for us was one
sided-~we gave up everything. no onG
forgave us any debt Naturally thi;
device appealed 10 the British tn.
French. the Italians. Even the Ger
mans. who saw that II our claims wer'
reduced the claim against them nQs
sink. applauded We had supplied
Europe with Sl2 900, 900 900, represent
ed by goods. by money and by interes
on money loaned. II we were ready a
wipe out this debt. then there woult
be nothing left OF the costs of wal
except what the Germans would stil
pay their European conquerers for re
construction of devastated areas an,
sunken ships
Although the British have no.
reached the point where the continen
is supplying the money TO pay us, the
do not like IL for two reasons: In tn
arst place. no one can be sure this pay
nnent will continue indefinitely and