Evening star., 1933-06-26
COuzens' Text
Senator Urges Easing of
Individual Debt Load
At London Farley.
BY the Associated Press.

BY the Associated Press.
LONDON, June 26.-Following Is the
text of Senator James Couzens' speech
before the World Economic Conference
today:
For the last few days I have list
ened with much interest to the debate
on problems of price level, credit poll
cies and external debt structures. To
my mind these problems are 50 inter-
woven that they can only be treated
as whole, even though each of them
presents in itself q series Of COM
plexities.
Last week I introduced a resolution
which the United States delegation was
instructed to present, setting forth the
American Governments view on the
above subjects and, in addition thereto
recommendations for a synchronized
program of governmental expenditures
by the different countries along parallel
lines, designed to stimulate the natural
sources Of employment, to restart the
wheels Of industry and commerce, and
to restore the willingness Of the in
dividual again to assume he normal
risks Of trade.
Bring Together Views.
IT believe the debate now has reached
a point where it should be possible for
the drafting subcommittee to bring to-
gether the various points of view ex-
pressed and to suggest to the committee
a series Of resolutions for adoption.
There are, however. few points
wish to make in amplification Of my
Governments attitude in respect tc
these matters
First, do not believe prices can be
raised by monetary means alone. Rails
ing the price level is only part Of the
problem Of restoring economic equi-
librium. There Is necessity Of adjust.
ment Of the debt structure. I agree
with much Mr. Neville Chamberlain
British chancellor Of the exchequer)
ing prices from their abnormally low
level, but ! do not belive prices could OF
should be raised sufficiently to bring
about that equilibrium with the structure
of Indebtedness now existing.
Prices must be raised, but at the
same time the burden of debt must bt
lightened. We must attack both prob
lens simultaneously to achieve success
mol Invitation 70 Default.
This Is in no sense to be construed
as an invitation to debtors able to pay
to scale down their obligations; GER
tainly it is not an invitation to default
1T emphasizes the necessity for or
ganizing creditors throughout the
world, Of establishing some form OF
permanent body to act in an advisory
capacity between organized creditors
and organized debtors to study by what
means the necessary adjustments may
be brought about with the minimum OF
delay and injustice.
ITO shirk from this task means
further postponement of the problem
and further delay in world recovery
My government has exhibited cour-
ageous willingness to face the facts in
that 1t has set up agencies within our
OF debts between debtors and creditors
Increasing Buying Power.
"The second point that I desire to
make Is in support of my statement
that prices cannot be raised by none
tary means alone. My country is act
ing in that conviction by adopting
measures to increase purchasing power
This was ably pointed out the other
day by the German delegate who said:
"Given an increase in the worlds
purchasing power by providing work for
the unemployed, the price problem
would right itself naturally
I'VE are in period when too much
has been said about confidence and too
little has been done Enterprise will
not recover its courage until it receives
q lead from government. We believe
we are in a for a period during which
government will have to take the lead
to see If private enterprises cannot
again take over the functions 1t previ-
ouSly performed.
u. s. Setting Example.
"My Government by example is prov
ing its convictions by undertaking the
largest program Of public works ever
undertaken in the history OF the world.
This undertaking will energize produc-
ton and consumption everywhere.
Adoption by other countries Of such
policy, moving in concert with the
United States, would exert a steadying
influence upon foreign exchanges. My
undertaking so large public
works program and other measures to
energize industry seems to have led to
q misconception of my Governments
policy.
MY Government believes the funda-
mental objective is to bring about an
increase in production and consump-
ton. Higher price levels will follow
and are collateral to an increase in
production and consumption.
I'VE believe that no considerable re-
duction in unemployment can take
place except through an increase in
the output Of goods and services for
home consumption in every country
In my country it will mean increased
imports of raw and other materials of
which in excess Of two-thirds comes
into my country without tariff duties.
I'VE believe this will be an energizing
force throughout the world, and GER
tainly it is our opinion that world re-
covery must in the main be through
an analogous increase Of demand in
the principal industrial countries.
"An increased demand for raw ma
terials induced by the American pro-
gram offers, in my opinion, far more
hope Of world recovery than can pos
sibly be expected merely from the re-
duction Of tariff duties on number of
articS which are highly