Evening star., 1933-02-14
The Way to Economic Peace.

President Hoover, in his farewell
address," delivered before the National
Republican Club in New York last
night, laid down sound policy for this
Government In the economic crisis
which still continues to grip the world.
The President insisted that q sound
and stabilized currency is the first es-
sential If progress is to be made on the
road to economic peace. He urged upon
the United States cooperation with
the other nations of the world to work
o way out of the financial morass,
rather than an effort to isolate itself
and become self-sufhcient, which might
lead to disaster. The President strong
ly denounced any proposal to initiate
the currency Of the United States and
abandon the gold standard, declaring
that it would lead to complete destruc-
ton, both at home and abroad.
The President made no claim that
the gold basis of currency has worked
perfectly. He insisted, however, that
this basis still presents to the world the
best method of currency and exchange
and that it must not be abandoned
now. If it be necessary to re-estab-
hsh the value Of gold in order to bring
about stabilization of currency and ex-
change, the President intimated that
such action might be taken. But he
warned the people against the present
proposals for an inflated currency
proposals which have thrown fear into
the hearts of men and women who
possess dollars, many or few. and which
are helping to delay business recovery
TO a greater extent perhaps than any
other factor.
The Chief Executive hit hard at the
propagandists In this country and
abroad who insist that the United
States should cancel the debts owed this
Government by foreign nations. Such
action, the President said, would not
relieve the present situation, would not
bring back prosperous world. He
might have added that it would merely
result in laying heavier burdens on the
American taxpayers. He did point out
that the American people could well
argue that the debtor nations can pay
these debts, that the payments to this
country in accordance with the debt
settlements already entered into are
but a small fraction Of the money ex-
pended each year by the debtor nations
for armaments. 4
Admitting that the payments Of the
debts to the United States may upset
foreign exchanges and make the way
difficult for the debtor nations, Mr..
Hoover said that If any concessions are
to be made in connection with the
debts, the debtor nations must give posi-
tive assurances that they will cooperate
in the re-establishment of currency sta
bility and world prosperity. He warned
the foreign nations that If they do not
give such assurances. even to the extent
Of lessening of the burden Of military
costs, the United States will be driven
In upon itself and its own resources,
with disaster to these debtor nations
and little satisfaction to America.
The way pointed by Mr.. Hoover is
toward sane stability. recurrent conf
dence, and away from the nostrums OF
the infiationist This, he said, would
be the way Of the Republican party. al
though he made it clear that he was
not making political speech. The i'm
pncation was. however, that If the in
coming administration seeks to deviate
from this path of sound currency, his
party will not hesitate to assume the
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