Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-03-30
BANKERS EXPECTED
TO DISCUSS SILVER
Norman and Harrison May
Lay Plans for Wo&d
Metal Conference.
BY JOHN F. SINCLAIR.
special pispatch to The star.

BY JOHN F. SINCLAIR.
Special Dispatch to The Star
NEW YORK, March 30.-Montagu
c. Norman, governor of the Bank of
England, who was met at the dock
by George L. Harrison, governor of
the Federal Reserve Bank of New York,
has maintained his reputation for ST.
lence, and said not a word about the
purpose of his present visit to America.
When DR.. o. M. w. Sprague, his
American advisor, compared this visit
of Governor Norman with that of
bankers making trips to New York
to discuss business with their city cor
respondents, students of finance de-
cided that certain outstanding finan-
cial problems will be discussed by the
two governors.
One of the first problems that will
be discussed, in all probability, will be
what can be done tn Offset the
falling price of silver? 1t is believed
that if India and China will cease
throwing their surplus silver on the
market, silver prices will not continue
to fall any further. The directors of
the Bank of England may not have
much to say about the general fnan-
cial situation now, but they have lot
to say about the Indian situation. The
possibility of an international silver
conference probably will be one subject
the two governors will discuss.
International Bank.
When Governor Norman left Eng
land, it was announced that matters
of mutual interest would be discussed
in New York"
Two weeks ago, the governor was one
of the signers of statement issued
by the board of directors of the Bank
of International Settlements at Basic,
Switzerland, that "one of the funda-
mental perquisites to the ameliora-
ton of general economic conditions is
the reopening of investment markets
with a view to facilitating the CONVEX
sion of short term capital into long
term capital, and with view to NOV
ing capital from where it is not en-
ployed to markets where it Is required
for desirable economic ends"
This would indicate that resump-
ton Of buying Of foreign securities
within the United States may be ex-
pected.
Recently, Governor Norman has been
interested in the creation of an inter-
national bank, built on lines similar
to the Bank of International Settle
mentS, but designed to help trade by
means of financing new markets with
long term credits. In this connection,
the growing Russian market has been
mentioned.
Doubtless, this will also be discussed
by the two governors.
Governor Norman expects to be in
New York for about two weeks.
Unemployment Problem.
1.-THE twin problems of unemploy-
ment and imperfect distribution strike
at the foundations of our political and
economic system" said Daniel Willard,
president of the Baltimore & Ohio
Railroad, in an address recently in
Philadelphia
President Willard is frankly critical
Of situation where 100000 men and
women, able to work, anxious to work,
cannot find a thing to do. He insists
that it is part of the capitalistic sys-
tenn to solve this problem, and that
If it does not solve it, the capitalistic
system is sure to collapse.
But in spite of the defects of this
system, which are so evident on every
side today, President Willard feels that
1t affords better and more thorough
basis on which TO build an economic
structure than any system so far devised
and testsd by man"
Nevertheless, his speech before the
Wharton School of Finance was frankly
critical of all the efforts that have been
made up to date to solve the problems of
and imperfect distribu |
ton.
Baker and Rockefeller.
Both George F. Baker and John D. |
Rockefeller, ST., are 81 years old. Neither |
had college education. Both came !
from middle-class homes.
John D. Rockefeller went into oil
early and retired with the greatest for
tune in all history. estimated in the
of $1,000, 100000. For
the first part Of his life he was secretive,
kept his own counsel, resented public
announcement of his plans and pro-
grams. Thirty years ago he was the
most unpopular business man in Amer |
lea. Since that time, however, under |
skillful and well ordered publicity he |
has become almost popular hero.
George F. Baker has never taken the |
public into his confidence. He has given |
but one interview in his life, and that |
was short and sweet. He sought his |
career in the field of banking and rail- |
roads. While his fortune does not loom |
as large as that of Mr.. Rockefeller. still |
II Is one Of the largest in America. pos
sioly reaching close to $500, 900, 900.
Mr.. Rockefeller retired actively from
business Is years ago, and has not beer
IN his Office since Mr.. Baker has
never thought of retiring, and expects
TO return from his vacation in the
South next week, ready for another IL
months work
Default in Interest.
Peru Is the latest country to make an
announcement that the interest due
April l on its S24,000,000 national loan,
second series. will not be paid. No
money In the treasury, says M. A.
Vinelh, the Peruvian minister of finance,
10 J. g. w Seligman, co-hscal agents
for the loan with the National City
Bank
This does not, however, mean that
the interest on its z per cent bonds due
In 1859, known as the tobacco loan, or
the ~ per cent sterling bonds. ma
turing in 1948, known as the guano
loan, viii be defaulted. The interest on
both Of these external loans is to be
paid when due.
Prof E. w. Kemmerer, American
money doctor, is now studying the stu
alton in Peru, and is expected to make
his report shortly. Pending that re-
port, the default on this S24,000,o00
issue will continue.
The external debt of Peru now
amounts to about 100000 900. of which
ss8, 460. 900 was foated in the United
States in those prosperous years between
1926 and 1928.
(Copyright. 1881. BY North American News
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