Detroit evening times., 1945-03-16
BEHIND
THE NEWS
By Paul
Mallon

w Mr.. Morgenthau has done a
superior job of propagandizing
Congress on the new world bank
and money fund plan.
Some lobbyists, objective in
this matter, appraise it as the
best ever They say he got the
advertising geniuSeS of the coun-
try, who aided him in the Vic
tory Bond drives, TO counsel him
on the side.
Thus his Breton Woods finan-
cial agreements have virtually
become patriotically blessed and
politically SacroSanct. Any one
who is against them is against
peace. Any one who wants TO
amend them is probably Fas-
cIst or at least a banker.
These are the panaceaS for
which all decent, peace-loVing
people have been yearning and
praying day and night since the
beginning of the world, in short
they are purely of such elements
as the pause that refreshes' .;
they satisfy" and they are
- made de-ef-the-finest-tobaece~ai1 ef
pardon-the finest economic in
gradients.
A S A RESULT, the House is
"A not likely 10 amend the
plan seriously. Or indeed. even
look upon il with too frank an
eye, But the Senate is waiting
with some amendments.
You may recall that interested
senator's asked to be invited 10
the Breton Woods conference
as observers. but were kept out.
They have not forgotten.
Also the bankers are ready
ing some amendments and pre-
pairing some counter-propaganda
which may measure up to the
Morgenthau plane.
1t is likely to be quite a fight
before 1t is over and consider
able amending may finally re-
suit.
The public can hardly be ex-
pected to follow or understand
the matter although it will have
more effect upon the peoples s
future tdepreSsions, trade, the
real value of wages than the
political peace imposed upon
Germany and Japan, which oc-
cupies such great popular at
tention.
Any serious objective analysis
of the plan must show it TO be
a program TO continue the eX-
isting world artifciality in
financial values.
1T is working arrangement
Il to collectivize internationally
the various financial artifices
devised by the nations in the
past two decades. in order 10
stave off or avoid their Credi-
tors and the formerly inevitable
results Of arithmetic.
1t does not propose. or even
think of restoring sound values
TO money or international
credit, but TO make artificality
work a little longer.
1t might do this five years,
10. 1t might do this well or
badly. These are matters up
permost in the debate.
1t proposes TO raise nearly 18
billion (yeS billion) dollars now,
nearly nine billion TO be loaned
to nations or people at practi-
cally no interest for their own
purposes. and the other nine bill
lions TO keep the paper curren-
cieS of nations from falling
down to what they might other
wise be worth.
We contribute more money
and gold than any one, and
what we are supposed 10 get
out of it is the acceptance Of
the dollar and gold as being the
standard (besD money-which
others can acquire largely by
turning in their paper or bonds
together with a little gold
originally into the fund.
TEIE dollar already occupies
Il first position in my opinion,
but | think the real reason why
our treasury wants 10 enter
into such a likely losing propo-
Sitlon is that they feared the
world would turn against gold
(the backing of our currency
after the war and injure our
world position.
Their enthusiasm for their
scheme is based, / believe. on
their belief that they have thus
bought recognition of the dol
lar. But the critics see this
purchase is apt TO be costly at
the expense Of lost loans from
the bank and the accumulation
of d ou b tful foreign paper
money in the StabiliZation fund.
The British want this strenu-
ously. They must have it 10
restore their world trade. We
are in position to make sep
arate arrangements with each
country, but their pound is in
worse shape than our dollar
and they would be at a dlSad-
vantage in bi-lateral arrange
mentS.
That Is why Lord Keynes
the British economist, ct al
are daily screaming in dis
patches from London that the
hope of the world rests in this
matter. 1t does-for them.
But you never hear from
RuSsia-no criticism, no enthu-
SiaSm, no comment. l wonder
4 n .