Evening star., 1933-06-14

by the liberalization OF the CONNER
cial policies of other countries and
this is only possible by the simultane-
GUS action of all governments stabiliz-
ing exchange and currencies and reduc-
ing to a reasonable extent trade bar
riers and other impediments to COM
merce between nations.
This converence must formulate plans
to deal effectively with these difficulties.
Satisfactory conditions of peace and
prosperity and human progress itself
require the maintenance of growing
international commerce The conference
must make clear whether civilized
countries can ignore this economic fact
and shirk the duties which such fact
imposes.
Let me here reassert the principle
that trade between nations does not
mean the displacement of established
home production and trade of one coun--
try by that of another. International
trade is chiefly barter of a mutually
profitable exchange of surpluses by diff
ferent countries either directly or in
triangular manner. 1t specially con-
templates too that an enterprising ma
ton goes out into the world and locates
and develops new markets for the goods
1t effectively produces. The gradual
and careful readjuStment of the excesses
of tariff and other trade barriers to
moderate level would not contemplate
either unreasonable or excessive COM
petitive imports against ehcient do
mestic industry operated under normal
conditions on the one hand nor monopo-
listic price advantages at home on the
other. This policy, If practiced gen.
orally among the nations, would insure
healthier and more prosperous condi-
finf1c in all jpdl1ctripS of oil eff7riprt jr,
every country. This broad program
while disclaiming extreme economic in
ternationaliSm on the one hand would
challenge extreme economic nationalism
on the other and launch every nation
upon a sane practical middle course. 1t
would reciprocally supplement efficient
home markets with capaciouS foreign
markets. In no others half so feasible
can the present thirty millions of un-
employed wage earners be returned to
work nor bankrupt agriculture be re-
stored to solvency nor famished indus
try be brought back to normal.
Key to Business Recovery.
The world cannot longer go on as it is
going at present. A successful meeting
of this conference in my judgment is
the key to widespread business recovery.
While it is true that at the present time
there does not exist a sufficiently in
formed public opinion in support of
necessary programp of international
economic cooperation, it is my firm
conviction that the losses and suffer-
ings Of peoples in every country have
been so great that they can soon be
aroused into aggressive support of such
a program.
The first and greatest task at the
ic hn ont
here in this hall of a will and a de-
termination on the part of nations Wig
orously to advocate this course. There
after plans and methods will readily
take form. My firm prayer. therefore,
Is Tor spirit OF cooperation necessary
to create unified leadership and pro-
gram in this conference that will carry
hope to the unnumbered millions in
distress throughout the world. A pre-
llminary step indicative of sincere pur-
pose would be the immediate general
adherence by all the participating gov
ernments to the tariff truce already
agreed to by at least dozen countries
to continue to the end of this con-
ference. The full program should
comprise succession of methods and
plans OF international cooperation.
All excesses in the structure of trade
barriers should be removed, all unfair
trade methods and practices should be
abandoned, the nations should attack
these conditions and problems stimuli
taneously and by as many effective
methods as we can devise. In the none
tary field suitable measures must be
taken to provide for an immediate
policy which will give the greatest pos
slble measure OF stability for the period
curing which the groundwork will be
Ia id fnr oy,drIrirr
ously all the nations must stimulate
the natural sources of employment, re-
start the wheels of industry and COM
merce and so build up consumer power
that rise OF the price level will Of
necessity follow.
Permanent Money Standard.
Then the Conference must face the
vexing problem of a permanent inter-
national monetary standard and lay
down the proper function of the
metals, gold and silver, in the operation
OF such a standard in the future.
Coincident with the immediate and
ultimate monetary problems there is the
necessity of taking measures for the
removal of restrictions upon foreign
exchange dealings. This may involve
balance sheet reorganization of certain
countries. The American delegation is
prepared to offer concrete suggestions in
regard to all these questions.
The nations which sent us here are
interested above all else in peace and
prosperity and the prerequisites of
either is wise readjustment of eco
nomic policies. Economic conflicts, with
some exceptions, are the most serious
and the most permanent of all the dan
gers which are likely to threaten the
peace OF the world Let this great con-
ference, therefore, proceed to the her.