Evening star., 1933-01-11
ParIey at Geneva to Weigh
Gold Standard, Prices
and Trade Barriers.
ORDER OF PROCEDURE
DEVELOPS DIFFERENCES
Suggestions on What to Do First
Reveal Wide Variation of Views
on Best Methods.
BY PAUL SCOTT MoWRER.


By Gable to The Star
PARIS, France, January 11.-Discus-
sions of the Geneva experts to prepare
the World Economic Conference are
centering, it is revealed here, around
three main headings. These are:
l. A return to the gold standard.
2. Methods of raising wholesale
prices.
3. Lowering of tariffs and removal
of quotas and prohibitions.
Opinions differ regarding which Of
these three subjects should be discussed
or effected first. But the fact appears
to be that ultimately they will be re-
garded as simultaneous and interde-
pendent measures.
The discussions, indeed, have tended
to indicate that sterilization of cur
rencies depends upon higher prices and
lower trade barriers, but that higher
prices depend on freer trade and sta
bilized currencies, while lowering Of
trade barriers and removal Of artificial
restrictions require stabilized cu-rencies
and higher prices.
Requires Four Steps.
l. A return to the gold standard, in
the opinion OF experts, seems to imply
these steps:
First, final and complete settlement
of intergovernmental debts.
Second, readjustment and stabilizing
of private international short-term and
long-term 6ebts.
Third. an international credit pool to
assist stabilization.
Fourth, restoration of political con-
fidence, lack of which has been q
leading factor in the depression.
/. There is apparently no agreement
as yet on how to raise prices. The
British seem to propose an interna-
tional relation" agreement.
Sir Arthur Salter. noted British
economist, recommends world policy
of controlled imitation"
Leaders Disagree.
Prof. A. C. Pigou, Of the political
economy staff Of Cambridge University,
writing in the London Times, urges a
general step-for-step movement to-
Hdlo tA4OAiCOoLy ACLdbAOAl-
John Maynard Keynes, British econo-
mist, wants the Bank for International
Settlements at Basel to issue $5,000,-
000.0 in certificates, which would be
accepted internationally as gold and
distributed in accordance with the
economic importance Of the various
countries.
The United States seems to want to
discuss the possible remonetizing of
silver.
There is also a trend toward dis
cussing producers agreements, for ex-
ample. in the cases of wheat, coal and
timber, and toward a discussion of an
international agreement to dispose Of
surplus stocks of commodities now
clogging the worlds markets.
Want Commercial Peace.
3. On lowering of trade barriers
there are apparently no great differ
ences. 1t is generally felt that quotas
and prohibitions should be abolished,
tariffs lowered in some equitable man.
ner and commercial peace declared
among the nations on the basis, with
certain necessary exceptions, Of the
INSTRUMENTATION clause.
However, carrying out of these steps
is recognized to be impractical unless
currencies are stabilized and prices
raised, which brings the discussion back
to where it began-namely. at what
particular point should beginning be
made.
First, stabilize currencies, says the
United States.
First, lower tariffs, raise prices and
settle the war debts, says Great Britain.
First, settle the war debts and sta
bilize currencies, says France.
And underneath, once more, are
heard murmurings from the European
side Of better go slow now, on March
President Hoover goes out and Presi-
dent-elect Roosevelt comes in. Every
thing may change then"
(Copyrirht 1Q3al