The Waterbury Democrat., 1933-02-14
Invites International Cooperation for Economic Re-. vival-War Payments Seen as Fund to Aid Banks in Holding Currencies on Gold Basis

"rhe time has now como when nations must accept, In solf inter- est no less than in altruism, the obligations 10 cooperate in nohiov. Ing world stability 10 mankind may again resume the march of progress.
 "Ever sinco tho storm began in Europe tho United States has hold staunchly to the gold standard.
 "We arc ourselves now confront cd with an unnatural movement of goods from she lowered costs and standards Of countries of depro. eIatod currencies, which daily In. crease our unemployment and our difficulties. We are eonfrontea with diaeriminatory actions and basgesrs stihinR our agricultural and other forced to defensive action to pro- K stopped. Wo must not Do tho major victim of it all.
 "Tf the world IA to secure econ. omlc peace, if It iB to turn in the tide of degeneration, if 1t is to TO. storo tho functi0ning of the pro. duGtion and distribution HyBtoms of tho world, it must start somewhere to break these vicious fiscal and financial circles. l nm convinced that tho first point of attack is to secure assured greater stability in tho currcncles of the important comm ereiai nations.
 "Wlthout such stability tho con. tlnued results Of uncertainty, tho destruction of confidence by cur. rency Fluctuations, exchange con. trols, and artificial import restric. uons cannot be overcome but will continue to increase. With effective stability of currencios these dan. Kers can Do at 0nee delayed, I am Not unaware that currency insta bil. ity iS both a cause and on effect in tho vicious cyele-but we must start somewhere.
 "This brings mo to q phase which bAs gradually developed during the past months, and that is the reae. tons and rotation of gold Itself upon this situation. For, independ. ont Of other causes of degeneration, ! am convinced that tho cireum. stances which surround this com. tnodity are contributing to drive nations to these interferenees with free comm and to other dc. structive artiheialitieB.
 "In all tho welter Of discussion over theso problems we find some who are maintaining that tho world has outgroWn the use of gold as Q basis Of currency and OK. change. The time may come when tho world can safely abandon It's use altogether for these purposes but it has not yet reached that point. ft may Dc that by theoreti. caliy managed curreneies some form Of stability may Do found q score or two years hoBee, but we hav0 no time to walt.
 "rhe huge gold reserves of the world can Do made to function in relation to eurreneies, standards Of value, and exchange. And say with emphasis that l am not pro. posing tkls as n favor Go the United States. It is tho need Of the whole world. The United States Is so gitu- hted that it can protect Itself bet. tor than almost any country on
 "Nor is it necessary from an in. ttrnational point of view that those nations who have been forced off the gold standard shall Dc again restored to former g0id values. It will suffice if it only is hE0d. If some sort Of international financial action Is necessary to enable eefis tral banks to cooperate for the purpose of stabtiisiDg eurTeneles, nations should have no hesitation in joInink in such an operation ufs der proper safeguards. # some part Of the debt payments to us could Dc set aside for temporary use for this purpose, we should not hesitate to do, 70, At the same lime the world should endeav0r to find q place for silver, at least in enlarged subsidiary coinage,
 "1'he Amerieai1 people will soon be at the fOrk of three roads. Thv first is tho Highway 0f cooperation among nations, thereby Co remove tte obstructi0ns to world e0fisump. ton Rnd rising prices. This road leads to real stability, to expanding etandnrds of living, to q fesumps tion of the march of progress by ali peoples. ft tg today the. Ininle. diafe road to relief Of agriculture and unemployment, not eiene For sIs but the entire world, sl
 '.The second road Is to rely upon our high degree Of national seifs pOntalnfneDt, Go increase OUT tars iAs, Co create austAg and dlsorif1s i9ntl0Hs, and t0 engage % definite methods Of euglaiIment Of produes tion ef agricultural ana 0thss DFe.