Evening star., 1932-11-23
President Hoover's Debt Statement
Discuss Whole Situation, but Opposes
or Reduction.

feld of discussion as above indicated
and 70 report to Congress such recon-
mendations as they deem desirable.
Furthermore, such agency should be so
constituted through complete or partial
identity of membership with the dele
cations to the World Economic Confer
ence and to the General Disarmament
Conference that, under the direction of
the President and with the final de-
cision In the Congress, we may take
the strongest possible co-ordfnated steps
toward the solution of the many under
lying causes OF the present calamity.
Facts for Delay Lacking.
As to the suspension of installments
due December IS, no facts have been
presented by the debtor governments
which would justify such postponement
under the principles heretofore laid
down by this country. At the Lausanne
conference, which has been referred tc
as precedent for the suspension OF
payments during those conferences,
that postponement was the natural re-
suit Of the facts which had been elab-
orately presented during many months
of previous inquiry.
The suggestion that the suspension
Of the December Is payments would
permit the governments TO enter undis-
turbed into discussions now proposed
does not appear to me to carry weight
Contrary to this view. 1t seems to me
that discussion would proceed under
more favorable circumstances II the
terms of these obligations is carried out
rather than suspended prior to discus
sion. BY that do not mean to say
that If extraordinary circumstances
such as depreciation of currencies ano
general fall in world trade, have rem
dered immediate transfers of this nexi
! payment IN dollars impossible to some
nations without losses on both sides
our Government should be unwilling tG
consider proposal that payments o1
this installment be made to our account
In foreign currencies, transfers to b;
effected from time to time as the situa-
ton of the exchanges permits, Of course
with guarantees as to value Of sucf
currencies. II any such circumstance.
exist and are called to the attention O
this Government, shall transmit then
| but I must insist that existing agree
ments be respected until they havl
been mutually modified by duly au
thorized representatives Of the govern
| ments affected.
Larger Aspect 70 question.
There is a larger aspect to this ques
ton of responding to an invitation from
a friendly nation to discuss, through
effectively authorized agents, prob
lem Of deep concern to both. Discus
sion does not involve abandonment ol
our part of what we believe to be sount
and right. On the other hand, q re
| ftlsal TO AFFORD others the opportunit,
to present in conference their view
and TO hear ours upon question II
which we are both concerned, and al
insistence upon dealing with our neigh
bors at arms length, would be the ne
cation of the very principles upor
which rests the hope of rebuilding I;
new and better world from the shat
tered remnants of the old.
If our civilization is TO be perpetuatec
the great causes of world peace, work.
disarmament and world recovery mus
prevail. They cannot prevail until ;
path to their attainment Is built upor
honest friendship, mutual confidence
and proper cooperation among the ma
tions.
These immense objectives upon which
the future and welfare of all mankint
depend must be ever in our thought II
dealing with immediate and dificul
problems. The solution of each one O
these, upon the basis Of an understand
ing reached after frank and fair dis
cussion, in and Of itself strengthens thl
| foundation of the edifice of world prog,
ress we seek to erect; whereas our fail
ure to approach difficulties and differ.
ences among nations in such a spiri
serves but to undermine constructive
effort.
Peace and honest friendship with al
nations have been the cardinal prin
ciples by which we have ever guided
our foreign relations. They are tn,
stars by which the world must toda,
guide its course-a world in which oul
| country must assume its share of lead
efShip and responsibility.