Detroit evening times. (Detroit, Mich) 1921-1958, 1944-08-01
Appeasing Soviet
Russia!
By MERRYLE S. RUKEYSER

INTERNATIONAL collaboration as eXemplified
by the recent United Nations monetary and
financial conference at Breton Woods y, h.,
meant putting as the first order of the day APP
peasement of the wishes of the delegates from
Soviet Russia
Through studied technique >Of delay and
Over-emphasis on language difficulties, the Soviet
delegation delayed the tempo of the conference.
1t thus put pressure on the L. 5. representatives
and others to make concessions to their stubborn
viewpoint. ==.--
Thus when the zero hour came for completing
the work of the conference the delegates reluc-
family accepted Russia's figure for her subscrip-
ton to the bank, which was $300,00O0OO less than
the other nations desired her to make.
In the interests of harmony, this unsatisfac-
tory figure was accepted.
But, evidently feeling that the Russians had
overpayed the hand of particularism, the kremlln
befatedly authorized collaboration" to the extent
of making the larger subscription after the books
had been closed.
THUS by dramatic reversal at the eleventh
L hour, Russia accepted the United States pro-
poSal that her participation in the bank should be
the same as in the fund
Russia and some other countries had opposed
this principle for time.
The explanation lies in the fact that big par
ticipation in the fund automatically determines
member countrys access to dollars and other de-
Slfable foreign exchange
There is, however, no such connection be-
tween capital subscription and eligibility to long
term loans in the bank.
PARTICIPATION in the bank, on the other hand,
fixes pro-rata liability on the part Of member
countries when and if the bank suffers losses from
defaults on foreign leans.
DESIRING at the earliest possible moment after
1.-the war to restore her industrial areas which
were devastated by military action and by
'scorched earth" policy during retreats, Soviet
Russia expects to become the chief user OF credlt
facilities offered by the proposed international
monetary fund and the bank for reconstruction
and development.
Russia succeeded in having her participation
in the fund increased and, in addition, she OBJ
tanned priority in access to loans and special lenl-
eney as~to terms for amortization OF sucn loans IN
behalf of herself and other war torn regions.
Likewise, she won provision that Russia ana
other war devastated countries could reduce by
one-fourth their gold subscription to the bank.
The only rebuff to Russia in connection with her
request that similar rs per cent cut on the god con
button by Russia and other war devastated areas 10 e
international monetary fund be made.
However, in order to keep the Russians happy. the
conference gave similar concession which applied ex-
clusvely to the Soviet Union.
Provision was made that in determining her labi-
ties to the fund as measured by her gold reserves Rus
need newly mined gold during the first five
years of the operation Of the fund.
THE portents of Breton Woods will cast their shadows
i over the world for at least generation.
If the tentative plan is approved by Congress Russia
will have immense call on American resources to re
tool her economic plant.
Up to now, the American people have not been told
whether Russia has made any commitments to the
political uses to which she will put the power which she
is developing through American assistance.
Perhaps Congress when called upon to approve the
Breton Woods understandings, will ask for enghten-
ment on this pivotal matter.
Likewise instead of succumbng to political propa-
ganda against changing horses the voters Of the United
States next November might consider the wisdom Of elect
ing Gov Thomas E. Dewey the White House that he
audit and mpartialy examine the secret commit
ments, and determine with fresh mind whether they
reflect the best interests of the American people.