The Washington times., 1931-05-05
PRESIDENTS
WARNINGS
UNHEEDED
Business Conference Dele
gates Open Controversial Is
sue Despite Hoover Remarks
(Continued From Page -

ferences on the Russian question
and the silver issue, each calcu-
lated to stir up fresh controversy
The business men Of America,
France, and England undoubtedly
will Join in condemning Russian
dumping" practices, but rumOrS
were rife the German and Italian
delegations would defend Russian
methods, due to the negotiation
Of recent contracts with the So
Wet republic.
Silver Argument Sought
The Chinese delegation mean
while will ask the congress to
recommend or even arrange a
world conference to negotiate an
agreement for stabilizing the sill.
yer market. The Chinese pointed
out that decline in silver prices
had ruined the Chinese, Indian,
and other markets where silver
standards are maintained.
Pirelli Warns U. S.
The address of Pirelli was the
highlight of the morning session.
Looked upon as the spokesman
for Mussolini, he began with lib
eral praise for American business
men. He marveled at the prog
ress made by American industry
in the last century, but warned
that in the last three years the
decline in Americas industrial
output was far more rapid than
in European nations. He de-
clared:
'Tn 1880, foreign trade values
declined for all countries. But
the Shrinkage was less marked
in the leading European coun-
tries than in the United States"
This led him to his appeal for
revision of war debts and to a
condemnation of American tariff
barriers. He said:
"I do not know what I'M
pOrtance should be attached to
the argument that interallied
debts represent only a small
percentage of the value of am
erican production, or of the
trade balance, of the American
balance or payments, and that
their effect on the American
economic situation therefore is
incOnSiderate. However, this
may be, they undoubtedly exer-
else a very notable influence on
the economic situation of
Europe, and more especially of
certain European countries.
Problem Is of Concern
"On this account, if on no
other, the problem is one of
concern to the United States.
For if our studies have shown
the importance of the European
market to American economy,
then the question if and when
the whole matter debt settle
ments) should be recOnsidered
either in the light of the re-
valuation of gold, or of the
present world crisis, or other
wise, is one of concern not
only for the debtor but also for
the creditor-that is, for the
American farmer, the American
wage Garner, the American buSi-
neSsman, and the American in
VeStOr.
Turning to the tariff. he said:
"The United States are more
important to Europe as
source of supplies than as an
export market. On the other
hand, Europe is more import
ant to America as an export
market than as source or
supplies. Under these cOndl-
tiOns, is the present level Of
protection still so essential to
American industry? Would
not the present outflow of man
ufactures be increased if a
corresponding inflow of i'm
ports were to raise foreign pur-
chasing power?
"When we remember that
the percentage of finished manu-
.factures exported from the
United States to Europe has
risen from 1871 per cent of
total exports to Europe in 1910
to 1914, to 33.5 per cent in
1929, the importance of the
European market to the United
States is readily appreciated"
Demands Cooperation
In conclusion he demanded
world cooperation in fighting
depression.
Anderson. the British financier,
spoke much along the same line.
He linked the tariff and war
debt problems in this fashion:
Regardless of the fact that
we have great factories under
employed and millions of men
unemployed, those countries of
low wage pertinaciOuSly insist
that to produce does not help
them in their distress, because
they must sell and we must
buy. Moreover, they have in
CURED international debts, and
they insist, that, if they are
able to pay interest or princi-
pal, we must buy their goods,
and if we want them to buy
our goods, we must buy enough
to balance the service of our
loans.
''WOuld it perhaps be better
60 cancel international debts
of political origin? Great
Britain as the largest war
creditor cancelled a great sur p
plus of debts owing to her and
the debtor nations would vote
for an extension Of this policy,