BANKER OF THE WORLD.
Whether the United Slates is to become the banker of the world in place of England was recently discussed by All' D. 11. (I. Penny, the vice-president of (be National Bank of Commerce in Now York. lie said (bat whether or not the United States displaced England in the short-term money market in financing the actual shipment of goods from country to country it bad displaced Iter and all the prewar creditor countries in supplying real capital or long-time money for the financing of industry and transportation. To accumulate longtime capital (be United Stales must produce more in a year than it consumes in a vein*.
“After (lie war,” lie said, “wo must take many a loaf from London’s book. Our commodity markets must be made more liquid. Our slock market must bo prepared to lake foreign securities and must deal in a larger list of securities. The recent break in sterling exchange gives America a great opportunity both to aid London and to extend the dollar exchange through the world. London’s embarrassment is temporary. Groat Britain is still doubtless a creditor nation.”
Bor a year or more, Mr Penny said, Ngav York might well be the cheapest market for financing international trade. After that, England and the United States would compete fairly on their merits. “It is legitimate and proper that we should compete with England byfair methods in any held that we choose to enter, but let us not forget that brave old England, has borne the heat and burden of the day, “Let us remember, 100, on (ho financial side, the dark days of 1893, when the gold standard was imperilled, and when that courageous statesman, Grover Cleveland, with only 20,000,000 dollars (£4,000,000) in the Treasury, continued to pay out gold on demand, relying upon relief which the London market attorded in checking the international drains upon mir gold, England has been generous to us in the past, and England deserves well of u.s to-dav.”
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Manawatu Herald, Volume XLI, Issue 2002, 12 July 1919, Page 4
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332BANKER OF THE WORLD. Manawatu Herald, Volume XLI, Issue 2002, 12 July 1919, Page 4
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