Evening star., 1936-12-06
NAZIS PACT WITH TOXIC
SPURS S.-SOVIET ACCORD
Conversations on Russian Debt Likely
To Be Observation-Disclosures Effect
On Dictators Given as Reason.

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down because of a difference Of about
$45, ,000, 900 between the amount asked
by the United States and the sum
offered by the Soviets. The Moscow
government did not want to bulge
from its position because Of the "prin-
ciples involved" and because Of the
consequences on the other creditor
nations had 1t yielded to the Ameri-
can demands.
The adamant position adopted by
Washington and Moscow regarding the
number of years over which CONNER
cial credits were to be extended pre-
vented an economic agreement between
the two countries.
The sequel of the squabble which
followed the resumption of diplomatic
relations between the U. s. S. r. and
the United States was that the john
son act was applied against Russia,
placing that country In the category
Of defaulting nations.
Behind these comparatively unim.
portant disagreements was the idea
Of certain of President Roosevelt's
advisers, that he had been somewhat
hasty in his recognition of the Soviets.
They pointed out, in addition, that
despite the pledges signed by Foreign
Affairs Commissar Maxim Litvinoff.
the third international was as active
as ever in spreading propaganda In
the United States.
Recent Relations,
Since 1884 the relations between
the two governments have been merely
polite. Acrimonious notes were ex-
changed between Moscow and WASH
ington. with the result that the Amer
ican diplomatic and consular mis-
sions in Russia were reduced to q bare
minimum. It indeed looked as if Mr..
Roosevelt had made q mistake.
The German and the Japanese gov.
ernments took full advantage of this
impasse-an advantage which ended
in the, Japanese-German pact Of No
vember, 1886.
The Soviet government realizes now
that 1t made a mistake by sticking to
principles" regarding the settlement
of the debt. It realizes also that under
the present circumstances it is a mat
ter Of little consequence whether three,
or five. or seven years are granted to
pay of the purchases 1t contemplates
making in the United States. The
paramount question Is to gain the good
will of this country.
The diplomats in Moscow and in
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two countries can get together, q re-
sumption Of cordial relations might
make strong impression on the
authoritarian states. The answer to
the Japanese German pact. they think.
Is an economic agreement between the
Soviets and the United States. Not
that an agreement of this sort would
materially change the balance of trade
between America and Russia.
But the other countries which are
thinking in political rather than in
business terms will inevitably see in
the settlement Of the outstanding diff
ferences between these two powers an
stances-some other agreements might
be reached. They will see parallelism
of political interests regarding the Pa
cific-even If the Government of the
United States does not see such a
parallelism.
There is no doubt that even If Ger
many and Japan will not take seriously
Russian-American commercial agree
ment, the other governments will ex-
plot it as an indication that the two
powers have decided to stand by each
other in case of an aggression.
Plans Of Roosevelt.
There are signs that this thought
exists in the mind Of President Roose-
welt, who now Is in South America
forging a realistic accord between the
nations of the Western Hemisphere.
Mr.. Roosevelt intends to devote much
time during the next few months to
the promotion of world peace His
ideas repeatedly have been outlined
in this column. i
But it will take time-and time is
precious now-before the planned
limitation of arms and economic dis
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vened. Even If it meets early next
year, inevitable arguments and dis
cussions will occur to delay it. And,
in the meanwhile, the clocklike plans
of the authoritarian states will be
It is not improbable that while the
diplomats and their naval, military
and economic experts are debating
around the conference table, the
armies of Germany and Japan will
march into Russia.
It Is for this reason that the Moscow
and Washington governments are
seriously contemplating, at the pres
ent moment, the resumption Of conver-
sations for the settlement Of the
Russian debt. and Of the other out
standing questions. The psychological
effect on the other nations will be
worth the millions which stand in
the way Of an agreement between the
two countries.
(Copyrfght, 1850