The Guardian And Evening Star, with which is incorporated the West Coast Times FRIDAY, JULY 15, 1932. ECONOMIC POSITION.

Hokitika Guardian, 15 July 1932, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times FRIDAY, JULY 15, 1932. ECONOMIC POSITION.

Following the 'relieving of .Germany from th'e'.reparations payments, the next step will.'be. the removal of the economic difficulties of Central and Eastern Europe. Previous failures in this connection:, may be satisfactorily

retrieved as the result of the more favourable conditions created by the ■Lausanne agreement.: The third problem is to enlist the active co-operation of America by inducing her to accept the British thesis that the War debts . repayments are a source cf economic .dislocation, > and an obstacle to recovery. By suspending tlie payments duie to her, Britain is ear. endering .claims to more than 30 millions yearly. The waiving of these claims willj make it still hard .r for Britain, through her taxpayers, to meet her already heavy commitments to America. Shit. has therefore an excellent ease, backed by sound moral principle, to submit .to the American .people for a revision of thkir attitude toward the debt . settlement. Hopes of relieving the situation between the United States and the European debtor nat'ons 'lie in the impending World Economic Conference. America's agreement to participate: in this international gathering is a tacit ackpowledgment of the fact that, her: interests are hound up with thosp. of other oounti-'es-. “Let us be, good neighbours;”, pleaded Prosid'.nt Hoover in a noteworthy speech,, delivered in 1931, in, which he declared that economic recovery depended upon international goodwill. If hie was thjrk- • ing’ that way in 1931, his inclination must have been greatly strengthened by the present disastrous effects within his own country of economic nationalism. . The business of the Economic Conference will be.' to. evolve measures for helping the debtor natiors,, back to solvency. The countries, which Have relied upon their ..export trade to provide fupds to meet -their,, foreign debts have been unable to do so. Currencies have broken ■ down, thus aocentuating the,.depreciation i,of credit and .the difficulties of international trade; These are the dpta:l problems of reconstruction., , involving. the whole questiqpqiof tariff bari;i.etjs,,pnd* ..other. pj^rieftons,. uppp ' trade. Germany has been givqp an ini terval of three yearh in which,, to cleqr heir feet before she faces the task of wiping cjff the amount she has now agreed to pay in final settlement. Britain , has. suspend 'd lie" claim’s against her fore’gn debtors, but unless practical, measures of construction are devised, there will not be much improvement in the actual position. .■'