The Guardian (And Evening star,with which is in-Corporate the west coast Times.) WEDNESDAY, AUGUST 22th. 1923 AMERICA AND GERMANY.

Hokitika Guardian, 22 August 1923, Page 2

The Guardian (And Evening star,with which is inCorporate the west coast Times.) WEDNESDAY, AUGUST 22th. 1923 AMERICA AND GERMANY.

Is a recent American financial journal there is an interesting side-light on the trading relations between the hinted States and Germany. Whether '•he tacts disclosed have any relation to the aloofness of America from the European liituatipp. is left for the rggd.er

U> speculate upon. It is recorded, however, that trading relations between America and Germany are on a large scale, and it is an increasing redo at that. The paper states: “In April Inst. United States exports to ueruiany amounted io 82d,28!),000 and >.no Imports from Germany to $13,641,000. In the ten months ending with April the exports to Germany aggregated $251,181.000 against $108,031,(•00 imports from that country. For these 10 months Germany's purchases of cotton from America were second only to those of Great Britain. Germany is buying and paying somonow, notwithstanding the situation in the Ruhr, which unquestionably reduces tlio trade. On the whole, past <xlerieneo inspires a good deal of confidence that trade with Germany veil find a way to go on, and that the American trade with the world will increase rather than diniinidi.’’ Tliere is thus a very comfortable feeling in financial circles in America that the

trading situation despite all the untoward circumstances of the Ruhr and the European upset, trade with Germany is on n. good remunerative basis, and that somehow Germany is able to i nil along. On the general question affecting Gorman trade with the United Stales, tile financial paper reviews tile position hoiH'fully- wo say Mi-cawbcr-like. Germany finding a

way to go oil, and despite a currency which defies all economic laws, is aide to pay for her trade with America. Tho paper comments: “The prospect for an early settlement of the Ruhr situation docs not seem encouraging, and conditions in Germany appear to he more desperate with every passing <hiy. But. financial and industrial collapse have been predicted so long without coming that a. degree of eo.ntidence lias been generated in the ability of a country to get along in some way without any standard of values, it is pour going, hut. it seems to lie possible. So long us people work and produce they hud some way of exchanging services, and even of buying abroad. Up io this time the United Stales lias suffered more from the uncertainty in regard to Europe's probable purchases than from loss of trade ns compared with pre-war years. Europe's importations of wheat from America have actually increased, but putetniscs are made cautiously as needed, and the speculative dealers who buy ...<: wheat- crop at harvest for distribution throughout the year are timid I about carrying wheat for the European market." America is enjoying a- track' of opportunism, and is satisfied. 'Hint seems to ho tho substance of tho foregoing. The stability of tho trade is in doubt, but while the going is good America is not greatly concerned, llioiigli alive to tlio fact that the economic. position of Germany, as indeed of Europe is on a rotten foundation. The fact is there is a prosperous |eriod pervading the States, and the : dverso possibilities arc* only hidden ost ric h-1 iko. They ignore the economic factors which are operating though they realise tho possibilities. The public fmd profit in things as they are, and are content- to leave the impending future to take care of itself. This state of mind indicates flow prone we ore all to he opportunists, to wait for something to turn up opportunely. It is a comfortable and lects anxious method to adopt, hut there is not any wisdom nor forethought about it. and those so unprepared are as likely to he overtaken by catastrophe a.s success. Jt is taking a chance, and that is not statesmanlike, nor in the national interests ultimately. Still, it is often tile most eoinloi table method to follow tho lino of least resistance, and after all human nature is very much alike all tho world over. But with. Europe as it- is. and Germany’s economic situation so ill-founded, disaster is inevitable'sooner <>r later unless America is prepared to eonsoit with Britain ii some smo plan to save what must inevitably come to pass, if not seriously grappled with.