Evening star., 1932-11-23

already proved the case-on December
10, 1884, I sent Recommendation TO
the Congress that the commission
should be Reconstructed TO consider such
emergency cases The Congress refused
to take such action, and adopted a
joint resolution which read IN part as
follows:
declared to be against the policy Of
Congress that any Indebtedness Of
foreign countries to the United
States should be in any way cancel
led or reduced, and nothing in this
joint resolution should be construed
as indicating contrary policy or as
indicating that favorable considera-
ton viii be given for change In the
policy hereby declared
1T must be obvious, therefore, from
a practical point of view, that no prog
ress is possible without active co-opera-
ton Of the Congress.
States Own Views.
."6. The necessity Of this authority
does not. however, relieve me Of the
responsibilities of this ofiice, and
therefore shall state my own views.
1.-The Worldwide crisis has at least
temporarily increased the weight Of all
debts throughout the world. Ire
mendous disparity. in price levels, con-
traction in markets, depreciation in
currency, stagnation of trade and in
dustry, are all part of this worldwide
depression, which Is not only increasing
the weight Of these debts and has made
their payment mere difficult to some
nations, but have thrust them as well
into the problem Of world recovery and
its effect upon our own farmers, workers
and business. These are realities. We
cannot blind ourselves to their exist
ence. They are vital factors in the
problem new before US for consideration.
AT the same time, 1t must be en-
phatically recalled that the aftermath
of the Great War and these incidents
of the depression have also fallen with
great weight on the American people,
and the effect upon them directly as
taxpayers, of any modification with re-
spect to the debts due this country,
must not be disregarded. Other nations
have their budgetary problems. SO
have we. Other people are heavily
burdened with taxes. So are our
people.
"I have stated on many occasions my
opposition to cancellation. Further
more, I do not feel that the American
people should be called upon to make
further sacrifices. have held, how
ever, that advantages to us could be
found by other forms of tangible COM
pensation than cash, such as expansion
of markets for products Of American
agriculture and labor. There are other
possible compensations in economic re-
lations which might be developed on
study which would contribute to recov-
cry Of prices and trade. Such compen-
sations could be made mutually advan-
tageous. These things might serve to
overcome difficulties of exchange IN
some countries and to meet the ques-
ton of inability of some Of them other
wise to pay.
Linked with Arms.
"The World Economic Conference
will convene In a few months to deal
with matters of the deepest import to
economic recovery of the world and Of
ourselves as well. A world disarmament
conference Is now in progress. And I
must reiterate that the problem Of for
eign debts has in the American mind
very definite relationship to the prob
lem of disarmamentS and the continu-
ing burden which competitive arma-
ments impose upon us and the rest OF
the world. There are, therefore, i'm
portant avenues of mutual advantage
which should be genuinely explored.
"It is unthinkable that within the
comfy of nations and the maintenance
of international good will that our
people should refuse to consider the re-
quest of a friendly people to discuss an
important question in which they and
we both have vital interest, ire
spective OF what conclusions might arise
from such discussion. This is particu-
larly true in a world greatly afflicted,
where cooperation and good will are
essential to the welfare Of all.
In view of the requests made by these
governments, should authorize the crea-
ton OF an agency to exchange views
with those governments, enlarging the