Evening star., 1932-06-19
British Leadership
Evident at Lausanne
BY A. G.. GARDINER.

LONDON, June l3-Wiu Lausanne
deliver the goods? Opinion here is
that the answer to this question de-
pends mainly on whether Premier Ram
say Macdonald has the mettle for the
task. HIS unanimous election as presi-
dent of the conference is testimony to
his prestige among European statesmen
Gud implicit recognition that conti-
mental opinion turns to Great Britain
for leadership out of the wilderness.
First indications are regarded not un-
favoTably Much significance is at
tached to MacDonald's declaration that
engagements solemnly entered into cam
not be set aside by unilateral repudla-
ton. coupled with the corollary that
engagements proved incapable of fulfill
ment must be revised by agreement.
This reminder of the sanctity of public
undertakings has application not merely
to Germany, and incidentally ireland,
but to debtors generally, including Brit
ain. Reputation skaters the basis OF
international intercourse.
But the corollary. which is equally
applicable. is taken to imply that Brit
am stands for drastic revision, if not
complete abandonment, of reparations,
Oh the grounds of economic necessity.
x :; x ::
French Premier Edouard Herriots
subsequent entire Endorsement to the
press of MacDonald's speech suggests
/ that he has surrendered the Young plan
and even the sanctity of unconditional
annuities and is prepared to accept the
solution imposed by the desperate con-
dition of the world. A rapid change
perceptible in French opinion. Stimu-
lated by the devastating effect of the
crisis on Paris, makes agreement be-
tween Herriot and Chancellor Franz
Won Papen of Germany more possible
than at any time, and the only ques-
ton is whether Herriot will be as ad-
vanced as his own people. On disarma-
ment he notoriously lags behind popular
feeling
The chief criticism of Macdonald
purSues a similar line. 1t is argued
that if he means TO lead the troops to
take the Castle of Despair by storm, and
II his plea for instancy of action is sin
cere. he should have given a more deci-
sive indication of British aims. Why
not declare the British view that the
economic world would be immensely the
gamer by removal of reparationS and
debts from the scene altogether?
Suspicion still persists at Lausanne
that MacDoral contemplates postpone
ment of his decision for six months in
order to see the course of events in the
presidential election in the United States.
This, in view of an impending world
calamity, would be fatal delay, which
is contrary to overwhelming public
opinion in this country The policy of
waiting on the presidential decision is
widely diScountenanced. The cleaner
the slate is wiped at Lausanne. the bet
ter the prospect of ultimate agreemnt
with America.
MacDorald's axiom that engagements
which cannot be fulfilled must be re-
vlsed by agreement applies to all forms
of obligations, including the war depts
payments, which, in gold instead Of
goods, are largely responsible for the
world crisis. If Lausanne acts deci-
sively and instantly, it will have an
immediate effect on the world complex
and in presenting the United States
with fait accompii. greatly simplify
the problem fer America.
x
John Maynard Keynes, the econo-
mist, has formulated a scheme of CO.
ordinating European action with Amer
ican claims. He proposes that Leussnn
should reach agreement in regard to
cancellation OF the whole or a part of
reparations and war debts, make the
agreement contingent on Endorsement
by the United States and approach the
President and party leaders in America
with policy for immediate action.
The assumption behind the proposal
is that the United States will agree to
take the debt question out of the polit-
ical and presidential controversy and
that both parties will go to the country
equally under the stigma of having for
given Europe its war debts.
But, as the London Times remarks
such action is much more likely to en-
courage both political parties to attemp.
to make electoral capital out of a pa
tr.otlc determination not to let Europe
en- with one cent. Responsible opinion
favors aI-around cancellation in Eu-
rope and plain. unilateral declaration
OF Europo's inab -lity to pay on the ex-
isting basis, leaving the question of war
debt revision for post-presidential con.
sideration.
(copyright, les21 .-;-.