DEBTS AND TRADE

Hokitika Guardian, 22 April 1933, Page 5

DEBTS AND TRADE

WASHINGTON TALK

WORLD DRAMA STAGE IS SET.

(United Press Aseo iatiou—By Electric Telegraph—Copyright.)

NEW YORK, April 20,

Despite the nationalistic tendencies of the situation, there is a strong conviction that the extreme position which the United States lias apparI ent'ly assumed on the eve of the in- , tornational Conference may produce benefits, rather than evils. It is pointed out that America, perhaps, is now realising better than ever before that isolationism is impossible, .and that the monetary systems of the chief nations of the world are not only in fact interdependent, but that provision must be made for their smooth interdependent function.

There i 6 a growing appreciation of the fact that Britain will probably make a lump sum debt offering, dictated by essential national and international economic considerations; and tliatj if the United States Goverment does not see its way dear to accept the same, the onus of the consequent dislocations will rest upon the United States rather than on the debtor nation.

Finally, there wilt be a readiness on the part of America to offer greater l’eceptivety to foreign goods, America, by encouraging a buying movement of foreign goods, will accelerate a much desired buying movement domestically.

Circles close to the Administration feel that the stage setting should not prove altogether inimical to the world drama.

NEW POWERS FOR ROOSEVELT

INFLATION OF CREDIT,

NEW YORK, April 20

Congressman Black’s Bill represents a compound of many ideas, and it contains the germs of many schemes that have been advanced in and out of Congress; and, by its composite nature, the Bill not only represents all views, but it bespeaks the support of all factions, with the possible exception of a small minority. Its major import, and its sufficient safety value are the fact' that President Roosevelt is made a monetary director, with discretion not only to do such exceptional things, for instance, as to bolster the Federal stocks an open market 'operations, but .also to negotiate a wide range of treaties of a (political and economic nature with foreign Governments. To-day, the United States is off the gold standard; but- tomorrow, the President has the power to resume the same; and, similarly with the other stops with which the measure empowers him.

MORE AUTHORITY FOR PRESIDENT. WASHINGTON, April 20. A drastic Bill to grant President Roosevelt authority to expand both the currency and the amount of credit and also to decrease the gold value of the dollar, was put before the United States Senate- late to-day, on behalf of the Administration, and action by the Senate upon it to-morrow is virtually assured.

SIGNIFICANCE OF U.S. DECISION

LONDON,

April 20.

The “Evening Standard’s” financial writer says: The significance of the American decision, on the eve of Mr MacDonald’s arrival, cannot be exaggerated. Britain, with her depreciated currency and exchange equalisation fund, is regarded by the United States as the villian of the piece.

U.S. WAR DEBT PROPOSAL

(Received April 22 at 9.30 a.m.) WASHINGTAN, April 21

The Speaker (Mr Rainey), informed the Press representatives to-day that the Admnistration’s proposal to accept one hundred million dollars in silver on war debts from foreign nations would result in placing silver on a sixteen to one basis, Mr Roosevelt's controlled inflation programme started through Congress to-day with the endorsement of the Senate banking committee.

MACDONALD NOT DISAPPOINTED

HOPE FOR A SUCCESSFUL ISSUE.

(Received April 22 at 9.30 a.m.)

NEW YORK, April 21

Arriving to help map a campaign for world war against what he called unmerited poverty, Mr Ramsay MacDonald said to-day “The abandonment of the gold standard by the United States effects England not at all, so far a,s I am concerned.”

Asked in a brief interview if he were disappointed In Mr Roosevelt’s action, he replied “Oh, Gracious no!” adding that lie really was without information concerning the development aside from the bare fact that this country had for the time being abandoned the gold standard. “It only brings out in higher relief.’’ he s-id. “the distress of the world, and this is what your President and I are trying to face, and 1 hope to face it successfully.”

AN INTERVIEW

(Receive 1 A’wil 22 at 9.35 a.m.) NEW YORK, April 21. Tn a statement to the press, Mr Mac-