Evening star., 1940-02-17
u. 5. Dollars Hoarded
Abroad as Hedge
AGAINST Initiation
Around $25o, Dot, 900
Reported Hidden in
European Homes
BY PAUL d. GESNER,
AsSoctst taS press Rusiness Writer

.
NEW YORK, Feb. IT, Europe's
"little people" have regained faith
in the integrity Of the American doll
lar bill.
Latest figures indicate around
$3.50 ,OOO, 900 of our currency lies
boarded under Swiss. Dutch and
Belgian mattresses, in cupboard
sugar bowls, picture frames and
other conventional European hiding
places.
Europeans tuck American money
away in rainy day socks as a hedge
against their own currencies. They
figure their own monies some day
might 60 haywire in an imitation
spiral If armament spending con-
tinues, so every American dollar bill
they can put hands on is regarded
by the ''little people" Of the conti-
nent as fine thing to hold and
cherish, just in case
Indication the trend of boarding
of our dollars in Europe is still up
ward is revealed in latest Govern
ment figures showing another S.
100000 OF United States currency
was shipped abroad last month.
Lost Faith ~ Years Ago.
It was % years ago that the little
people" of Europe by a curious twist
Of events lost faith in the American
dollar-a faith which took almost
a score Of years to regain.
Any American doughboy who was
overseas with the A. E. F. in the
World War could tell you about 1t.
Those we're bizarre as well as grim
and crucial days back in 1917. The
French Belgians and British had
been holding stubborn German
army in check for nearly three
years. The entrance of the United
States into the war psychologically
was the turning point" In Amer
ican aid, the allies saw the money,
munitions and added men needed to
tip the balance of power in their
favor.
When the first American soldiers
arrived in France, they were well
coined with open arms. Nothing
was too good for them-except small
merchant credit. The A. E. F., in
dividually speaking, found it Diff
cult to get merchandise ION tick"
Shopkeepers demanded money. They
preferred francs, but then, however,
they would take American money"
Storekeepers Shocked.
A small minority of fast-fingered
Americans in the A. e. F. discovered
that most French and Belgian pro-
prletors OF taverns, restaurants and
small shops had never seen Ameri-
can money and for six months goods
moved In sharply expanded volume
across French and Belgian counters.
Cash ti1ls were stuffed high with
American money"
But when the merchants finally
went to the banks to convert their
American money" into francs, they
got severe shock-and no francs.
Instead Of United States dollar
bills, they had vast, heterogeneous
collections of American cigar cou-
pons, dog licenses, tax collectors
receipts, Confederate bills, street
car tokens, telephone slugs, steel
washers or anything that looked
official or took the shape Of legal
tender.
BY armistice time American money
had sunk to an al-time low on the
French and Belgian countryside, and
real dollar bill presented at
French country tavern, restaurant
or variety goods shop was about as
negotiable as stage money.
Suspicion Fades.
| But now many years have passed
since the signing of the World War
armistice and the little peoples"
suspicion of money from America
has mellowed.
Most wealthy people in England
and France saw the present war
with Germany coming and shipped
part of their capital to Switzerland,
the Netherlands or Belgium. Later
they began transferring wealth from
these neutral nations to the United
States.
Now about the countryside in the
smaller nations the word has been
passed around that the "big people"
have put part of their money in
America.
The little people," the merchants
and tradesmen don't have the wealth
or knowledge of international I'm
ance to do that. But they do know
the American dollar bill, or five
dollar bill, represents hard white
silver overseas or the promise of the
American Government to nav dol