Imperial Valley press., 1945-06-11
THE BRETON WOODS
MONETARY AGREEMENTS


congress is the international monetary
program known as the Breton Woods
agreements. The lower house, by an
overwhelming majority, has approved the
plan. Not so certain is action of the
senate.
At Breton Woods, New Jersey, months
ago representatives of A nations met.
The financial and economic master minds
of the world conceived and wrote the
agreements. Upon their conception of
the tremendous task of keeping the
worlds fiscal affairs on an even keel
after the war, and their judgement we
should depend.
Like setting up the peace enforcement
machinery at the San Francisco meeting,
the job of anticipating monetary chaos
and preventing it is too big for any one
person or for any one nations financial
wizards. 1t may be asking too much to
expect a perfectly working fiscal plan.
But it will be far better to accept the
Breton Woods set-up, even if admittedly
not wholly perfect than to undertake
blindly and separately as nations, the
task of preventing a financial and
trade catastrophe such as the world
wide depression that followed the first
world war after the unhealthy and un-
natural boom years"
Under the Breton Woods plan there
would be set up world bank in which
the United States would participate to
the amount of S6,000,000, 900 in a pro-
posed $4,000, 100000 money stabilization
fund and the $9,100,000,000 international
bank of reconstruction and development.
These are huge sums. But not so large
considering world financial institution.
Opposition to the plan in the house
came on the stabilzation fund and not on
the bank objective. To certain extent
the StabiliZatiOn phase would entail risk
of loss. On vote the opposition mus
tered only 20 members.
1t is plain that whatever plan the United
States enters, we should maintain con-
troll. Today we are the strongest and
most fluid of all the so members of the
United Nations. We control the gold
supply of the world. We must use this
power wisely and we'll. Wisely, so that
the whole world may recover speedily
and evenly after the war and we'll, SO that
we do not play the part of giver only
1t would be disastrous, for instance, if
Great Britain is not able or permitted to
recover n0f economic SJrongCn on an even "A
basis with the United States and other
major nations.
This country would be spiting itself if
it set up a financial program with the OBJ
ject Of dominating every form of indus
trial life or to dominate world shipping.
But this does not mean that we shall
stand aside and permit other nations to
accumulate the business of the world.
Neither does it mean that we may not
or shall not compete with other nations
Under the Breton Woods plan it is
conceivable our merchant marine could
prosper; the world markets would be
open to us because we would be helping
produce those world markets in which we
must share if we are to become and stay
prosperous.
World trade must begin to flow nor
mally and certainly as soon as possible.
The Breton Woods plan aims at that
goal. 1t should have opportunity to op-
crate without restraint. At least unil
something better can be conceived and
put into action.
With all its arrogance and its open
contempt for diplomatic procedure, Rus
sia is carrying through an anti-fascist
policy :. The fact is, Russia's own
national iy1+orocfc Jar,a,,J +ho