Evening star. [volume] (Washington, D.C.) 1854-1972, 1933-01-09
URGES IT, TOLEAD
WORLD RELATION
Sir Arthur Salter, in London,
Feels Currency Action
Would Be Remedy.
BY the Associated Press.

BY the Associated Press
NEW YORK, January Sir Ar
thur Salter. British economist. in an
address in London last night, declared
that If a world policy of relation or
some alternative method could be
achieved, every problem with which we
are faced would be lightened"
A back-breaking burden of debt both
public and private, has delayed the
economic recovery of Europe, he said in
his address on THE Coming World
Economic Conference" in which he will
again participate during its forthcoming
| sessions in Geneva. His message was
,, broadcast to the United States under
auspices of the International Radio
Forum.
I'VE enter the new year with a new
| hope" he went on. Anxiety, deep
anxiety, still remains, but there is a
real prospect that this year will see
steady progress in recovery. 1t will not
| be rapid or dramatic. 1t will not be
without setbacks, but it will come If We
help it.
THE world. however, is still poised be-
tween two fates This world depression
| is not merely series of national de-
pressions, so We certainly need con-
certed international action to help us
out of it.
Praises Federal Reserve
This last year has, after all, seen
| three instances of wise policy that have
been for the general interest and not
merely for the interest of particular
country. One of these instances is
American, one English and one Euro
pean. Each offers help and encourage
ment for the task of the economic con-
ference"
These instances he summarized as the
monetary policy of the Federal Reserve
system, the English conversion oper-
alton by which about f2,000,000, 900 of
government debt was put on 81 per
cent basis, and the settlement Of repa-
rations at Lausanne.
Regarding the last point, he asserted:
1.-THE weight of intergovernmental in
debtedness left by the war has certainly
been one of the chief causes of the
whole financial crisis One part OF this
reparations problem it was in the power
of Europe to settle, and Europe has
done So"
Speaking to Americans, Sir Arthur
said:
"You put an end to boarding, of
panic and the withdrawal of foreign
balances by deliberately making money
cheaper and more plentiful. If you had
not done so your financial system might
have been wrecked.
Whatever be the differences or dis
tinctions from legal or moral point
of view between debts and PREPARATIONS,
there can be no doubt that their finan-
cial and economic consequences are
identical
Points to Lausanne.
This makes Lausanne of greater i'm
portance, for when Europe reduced the
reparation payments to mere fraction
Europe was not acting out Of altruism:
Europe was acting out of enlightened
Self-interest.
There is, unhappily, no similar in
stance of broad-visioned commercial
policy-that is. in the sphere OF tariffs
and other impediments to trade. On
the contrary, the game OF erecting
higher walls than ever has been played
with increasing ardor.
I'm regard to commercial policy, I
believe the debt hope lies in America
giving a lead, on the condition that
the lead she gives is the one which
is best for the world as whole, and
is most practical for the world to ac-
cept.
Nov that the panic Is past and her
banking position Is sound, America Is
in the best position to secure none
tary policy, concerted policy OF re-
fiation which will at once increase gold
prices and arrest the disturbances due
to depreciation of currency"