Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-08-21

American comment on the signing Of
the German moratorium links that
event with the Reich election and the
efforts to restore stability in the eco
nomic affairs Of the world. The con-
junction of the completion Of the agree
administration by the voters is consid-
cred significant, and it Is predicted that
the breathing SPELL viii give an OPP
portunity for other measures intended
to improve general conditions In many
countries.
"a greater understanding and closer
cooperation for the common good In
the future" is predicted by the Port
land oregon Journal, with the further
statement: "The purpose OF the mora
forum was to avoid financial disaster
and to stimulate production, consump-
ton and world trade. But the mora
forum alone is only part Of the needed
aid. Buying power In silver standard
nations is still to be created. There
are still problems of world debts and
reparations to be settled. There are
still the tariff barriers to trade TO
be overcome. And still the costs of
ornaments are to be reduced before the
job of improving world economic con-
tiitions is completed There Is consid-
cradle hope ahead, however. The ma
tions are all struggling with depres-
sions. That Is q Stimulant to action.
They have passed serious crisis which
warned them against another. They
came together in concert to avoid dis
aster, and they avoided it."
X y y
1.-THE moratorium has restored world
stability" in the opinion Of the Chat
tanooga News, land this fall, We be-
lieve, the general effect on world buSi-
ness conditions may be felt" The
News also comments on the direct eff
feet as revealed in German develop
ments: 1.-THE moratorium was obScured
for a time in public attention by the
additional crisis which arose when Ger
man banks we're forced to close. That
crisis necessitated further relief steps,
which were taken. We imagine that
the moratorium itself has been the
principal reason for the restoration Of
financial stability in Germany, although
the credits from the World Bank and
the strength of the Bruening govern
ment also contributed to the happy re-
suit. This week the Reichbank low
cred its discount rate from Is per cent
to the pre-crisis level of 10 per cent.
The acute situation which arose late in
June apparently has been brought
under complete control, since further
reduction of the discount rate is prom
ised."
Though the other nations, down to
some of the smallest, must make sac
riflces," says the Cleveland News. 1.-The
chief burden of the debt holiday falls
on the United States. For that reason
it is a particular happy circumstance
that Americas advice has dominated.
AS in the war, this country stands to
gain less from the arrangements than
any other--especi those nearest Ger
many. 1t shoulders its burden willing
ly. confident that approval of the
Hoover recommendations means the be-
ginning, at least, of a period of eco
noEnic REIMBURSEMENT throughout the
world"
Importance is attached by the
Worcester Evening Gazette to the fact
that "the bankers committee at Basel
is now at work ON the reparations prob
lem," and that paper holds that when
these bankers report We shall know
whether the moratorium is considered in
itself suficient measure of relief or
is looked upon merely as permitting q
breathing space In which the entire rep
arations problem can be Teconsidered."
French eventually must base their pol |
Icy upon the established economic facts. |
And what the world is now awaiting |
from this Basel committee Is q report |
which viii cut through the pretensions |
Of Germany and France alike and win |
show us exactly what the situation Is |
with which the creditor countries have
&&&
The situation BAtnterpreted by the /
Fort worth Star-Tele gram as providing |
should asl see 81 the recsnsl motion q much s |
az the worlds sadly IN klVed economies i