The Daily Alaska empire., 1933-01-04
RECONSIDERATION OF WAR DEBTS.

That President Hoover believes there must be reconsideration of the debts has been apparent for sometime. Most of the metropolitan American newspapers as well as European papers, seem to agree that it must be Many American states men, Democrats and Republicans, have said as much among them Alfred E. Smith and Bernard M Baruch.
 It is generally understood that there is nothing sacred about the figures agreed to the amounts European States owe America. Those figures did not represent the amounts the debtor Nations borrowed from the United States. Englands agree ment was only 82 per cent of the amount she borrowed. Frances only 75 per cent. Others agreed to pay even lower percentages The com missoners accepted as the basis for the payments to be made the ability of the debtors to pay. II ability to pay was proper basis then 1t ought to be so now There world depression when the agreements were made. There is now, and what a country could pay then may be more than 1t IS able to pay Of course the United States borrowed the money she loaned and must pay 100 per cent for it. and collect that from American taxpayers.
 However American people will agree that the statement made by Secretary of State Stimson the other day that this country will not negotiate with representatives of France until that country pays the nearly S20000000 she defaulted December l5 sound and right. France was better able to pay than England, and England paid $950oo0oo Trance ought pay then the reconsideration might be with all countries exactly an even basis. The United States cannot in fairness to herself enter into conference with country that does not show a disposition to live up to agreements duly signed sealed and delivered.
 The New York World-Telegram takes hopeful view of the situation. and was at least fair, if not generous. to France, when it said:
 One France teunorari1v has defauted
 the debt. That was the excited Cham
 Der of Deputies. The other France is de-
 termined to make fair settlement with the
 United States The other France is led
 by Premier Herriot, who went down gall
 lantly to defeat for his ideals and who
 gives the United States through the United
 Press Associations pledge that France
 will yet pay
 If any American finds it difficult to
 understand how there can be two Frances
 at the same time, irresponsible and
 the other responsible, let him contrast the
 attitudes on this same debt problem of
 Congressional extremists the hand
 with that of most American business men
 and newspapers on the other hand.
 While the two legislative bodies are mak-
 ing demagogic faces at each others, re-
 sponsible bodies of public opinion in both
 countries are moving toward sane settle
 ment
 The remarkable and hopeful aspect of the
 situation is that despite hostile pressure Of
 various kinds from their respective legisla-
 tive bodies the governments of France
 Great Britain and the United States are
 agreed on the necessity and fairness of re-
 vising the debt terms to meet conditions
 growing out of the worst depression in
 history.
 In the interest of arriving at such settlement it is important that the general public recognize two facts. The foreign
 public should understand as the British and French governments now apparently understand that outright cancellation is