Evening Star Newspaper, January 16, 1927, Page 57

EDITORIAL PAGE NATIONAL PROBLEMS Part 2--16 Pages SPECIAL FEATURES i U.S. AND ENGLAND UNITED ON WORLD’S FINANCES Arrival of Bank 70% WEngland Governor Taken to Foreshadow Stabi- lization Plan. BY FREDERIC WILLIAM WILE. RRIVAL in this country Montagu €. Norman, governor | of the Bank of England, re- vives interest in the purpose of American and British finance, government and private, to co-operate in the stabilization of Europe. Mr. Norman, through his | annual visits to the United States and | through his periodical contact with | the leaders of American finance, like | Secretary Mellon and Gov. Strong of the Federal Reserve Bank of New, York, when these officials are abroad, maintains practically unbroken re tions with Uncle Sam's great money machine. The kevnote of the move ment in progress was recently struck by Secretary Mellon. In advocating the prompt rechartering of the Fed- eral Reserve Banks, Mr. Mellon sald “In the plans for the stabilization of the rest of Europe, the participa tion of the Federal Reserve Banks is aqually necessary.” The Secretary of the Treasury added that the plans which are now taking shape through out the world “look far ahead. For this reason, it is important that no element of uncertainty should be in- Jected into the situation, such as would come from a delay in extending the charters of the Federal Reserve Banks.' Bedrock of Structure. The Federal Reserve Banks, with the Bank of England, are to be the bedrock of the new financial struc- ture, even though the credits they extend for stabilizing purposes may never be actually used. Great Britain itself has never used the $200.000,000 gold credit granted it by the New York Federal Reserve Bank in April, 1925, nor the $100,000,000 credit which the bank established with J. P. Morgan & Co., about the same time. Though not directly responsible for John Bull's striking achievement in restoring the pound sterling to old- time parity with the dollar within seven vears after the armistice, the American gold credits were an unde- niably sirong factor in normalizing the British gold standard. Similar ar- rangements for stabilizing the French franc (now worth less than 4 cents in American money) and the Italian lira (quoted at about 415 cents) have been in intermittent progress for many months. Gov. Strong of the New York Federal Reserve Bank, Undersecretary Winston of the United States Treasury and Gov. Norman of the Bank of England were in protract- ed: conference on the subject in Eu- rope last year. America's readiness to join Great Britain in establishing a gold credit for France, for stabilization purposes, will depend very largely on whether the French Parliament ratifies the Mellon-Berenger - debt.settlement -of 1926. This contingency is one of the strong arguments now being used at Paris by those who urge ratification at the earliest possible moment. New Plan Seen. The coincidence of the visits to the United States of the Bank of Eng- the young American agent-general for tions at Berlip, suggests the ility that some new plan for an-British financial assistance to Germany may he in process of evolvement. There were reports that Dr. Hjalmar Schact, president of the Reichsbank, was headed for New York and Washington at this time, but neither German nor American au. thorities are aware that the German finance chieftain plans a visit here. The sum and substance of all this is that the United States and Great Britain, the only two really impor tant money powers in the world with normalized currencies and ample re sources of their own, are marching shoulder to shoulder more closely than ever for the purpose of put- ting the international fianancial house In_order Gov. Norman's recurring sojourns this country invariably result in renewal of rumors that the Bank of England is seeking to engineer a re. vision of the British debt settlement with the American Treasury. Gov. Norman himself, along with Stanley Baldwin, now premier of Britain, was a leading factor in the settlement which was effected at Washington four years ago this month. The British regard the debt business with America a burdensome, but a closed, incident. Their responsible spokesmen insist, in and out of sea- son, that John Bull will never ask Uncle Sam for revision, reduction, ean- cellation or anything else. That doesn’t mean that if the United States some magnanimous day should come along and volunteer a revision in one guise or another, Britain would turn a deaf ear. Would Pay in Full. But she proclaims that it's a far cry between any asking for that sort of thing and her natural readiness to exhibit “‘receptivity” if what she never would ask for comes along in the shape of an American proffer. Sentiment in Great Britain, despite periodical can- cellation ~eruptions in the United States, is pretty unanimous that the United States expects to be paid in ull. The British treasury is now paying the United States about $160,000,000 a year. Semi-annually the British account to us for interest payments of $67.000,000, making a total of $134,- 000,000 a year in interest charges alone. The last half-yearly install- ment was paid at Washington on December. 15, together with the an- nual installment on prineipal, amount- ing to $25,000,000. These heavy exactions, every Briton acknowledges, are difficult to meet. They are responsible in large degree for ‘the high income tax the British peoplé must pay. But these anxieties long since faded out of the calcula- tions of the British government. The latter's energies, as far as America is conecerned, are wholly directed toward joining hands with this country in improving Europe's war-shattered financial system. That is why the governor of the Bank of England is again in the United States and stretch. Ing his legs under the same mahogany with Mr. Mellon and the other moguls of American finance. land executive and S. Parker Gilbert, (Cobyright. 1927.) WORLD REVOLUT ION IS CALLED GREATEST AIM OF COMMUNISM Soviet- Diplomacy Bids for Friendly Relationship With Other Nations Despite Plans for Upheaval, Forme BY BORIS A. BAKHMETEFF, Last Russian Ambassador to the United States. What is the meaning and the es- sence of Soviet diplomacy? 1In an- swering this question one has to bear in mind the fundamental feature un- derlying all and every phase of Soviet activity. The whole Russian situa- tion 18 a struggle between abstract theory and life; between the dictates of the fanatical dogma and the exi- gencies of economics; the demand for & practical order of things. In theory Communism aspires to revolution, to a forcible upheaval of government and social order. World revolution, as proclaimed by Lenin, remains the great purpose. The Com- munist Internationale continues to he the instrument, with only slight de- partures in methods of procedure. But the world stands unchanged and the Soviets have to face this prac tieal situation. They are forced to bear responsibility of government and to deal with the masses of Russian people who care nothing about Com munism and ardently wish to return to the usual procedures of life, Man- ufacturing and trade mean money, industrial organization, co-operation with the outside world. Therefore, the endeavor of Communist diplomacy to establish relations with capitalistic nations, to gain recognition, to ob. tain credits and loans. Hence decla. rations of peaceful intentions, assur- ances of good faith. All this in the same breath with supporting the strikers in England, with encouraging Asiatic revolt, assisting every sub versive movement throughout the world. Seemingly, there is a fundamental inconsistency between an endeavor to establish friendly relations with an established order which one avows openly to destrov. This contradiction however, reflects an existing reality- the co-existence in the present world of the two self-excluding principles— on one side popular government with individualistic economies; on the other | side Communism, the mortal foe of democracy. So both lines of Soviet activity, the revolutionary and the practical, continue to unfold side by side. It is like Dr. Jekyll and Mr. Hyde personified in a government torn between irreconciliable aims. A Europe pacified and reconciled is the greatest obstacle to world revolu tion. Therefore, the bitter attitude r Diplomat Says. France and Germany, is a death blow to the endeavor of keeping Europe di- vided. Germany has turned westward. So now the Soviet publicists try to interpret European unity as a con- spiracy against Communistic Russia, nngmnng by world capitalism. Of course, this s pure nonsense. The European nations have too many prob- lems of their own to entertain thought of offensive. But in one respect So- viet diplomacy is right, in that co. operation and international good will frustrate every specter of world revo- lution. There is no special significance to be attached to the movement of the Soviet officials, for the reason that there is no foundation at the moment for important events. There might be minor developments in the line of eco. nomic treaties, but all this is of sec ondary importance. The great aim of Communism seems to have lost ground. Europe is decidedly headed for peace and not for upheaval. (Covyright. 1926.) Sees Japan and China Near Friendly Stage There is an absence of the distrust of Japanese policies that existed among Chinese and foreigners in China. a decade or more ago, accord- ing to Dr. T. Harada, professor of Ori ental history at the University of Hawaii, who spoke in Shanghai at a meeting of the Pan-Pacific Association, | According 1o the speaker, the time is close at hand when China and Japan will discuss ther problems as friend to friend, when the prejudice of China and other nations for Japan as a military power primarily will be done away with. He said: “The old civilization, in which the military | class was predominent and which was | utterly feudalistic and medieval, has all but disappeared. Now Japan is striving for something higher spiritu. ally and ideally.” The granting of universal suffrage in Japan the speaker saw as one of the most far- reaching changes in recent Japanese political spheres. The ambition young Japan is to have their country bhe more than a military power, stated Dr. Harada. | | of the Soviet toward the League, the fight against Locarno and any other atep leading to a settlement. Revolu tion is best helped by keeping Europe Qivided. Therein the meaning of the to-called Rapallo treaty between the Soviet and Germany. On 'hP‘ .\n\'ll\‘v pallo was an attempt to cap! vq.‘\‘lllo?,eR:‘rlermam s humiliation and de spair, to associate her destinies with ihose of Communist Russia. On the German side there was expectation of easy mccess to the riches of Russia— expectations. by the way, which did not materialize and led to disillusion- ment, fust as other nations have real- ined the futility of any hope of get ting immediate practical results from rapprochement with Moscow. Locarno, the new spirit. between they elongate the figure. |“Lying Mirrors” Fool Americans on Clothes | American women who have heen | wondering_why that “creation” they | bought in Paris fails to give them the | svelte silhouette they regarded in the |looking glass on the Rue de la Paix, | will_be interested to learn that they nave been the victims of a hoax. | The French used “lying” mirrors. | No longer can it be said that the mir- ror tells the truth! A glass factory |exists in the north of England whose of | EDITORIAL SECTION Th WASHINGTON, BY BEN McKELWA' ADDITION to swimming English Channel, knocking the heavyweight champion of the world through the ropes or re- fraining from becoming involved in the latest base ball scandals, there are a few other ways to create imme- diate and prolonged applause in this country. One is to advocate relief for the farmer. Another is to demand with some heat that the American flag be kept flying on the Seven Seas. It is not at all necessary to Know or to say what the farmer should be relieved from or how to relieve him. Nor must one be able to name the Seven Seas. The chief requirement is an ability to blat and to blaw until the resulting blah is accepted by the unthinking multitude as sound stuff. By the time the thinking few have labeled it unsound and uneconomic obfuscation the campaign is over and the votes have been counted and somebody has been fooled again. ek % One may Imagine, therefore, the far-flung constituency which will rally in support of a plan which has among its many aims not only relief for the farmer and the- strengthening of the merchant marine, but whieh is found- ed on economic facts and arrived at through economic necessity. Such a plan is that advocated by the United States St. Lawrence Commission, which, through its chairman, Herbert Hoover, within the last two weeks has placed its report in the hands of the President. The report favors the de- velopment of a shipway from the Great Lakes tp the sea by utilization of the St. Lawrence River through a co-operative agreement with Canada. It is the outcome of many years of discussion, Investigation and engi- neering research. And it provides the administration with another ace card which lies “back to back” with the ace in the hole recently supplied by the versatile Mr. Hoover through his ad- vocacy of a national program for pro- gressive development of the inland waterways of this country. For many years now the country has been warming to the proposal that the Great Lakes and their vast extent of pros rous inland territory he opened to the ships of the sea that carry the commerce of the world. RBut it is only In the last few years— since the World War, in fact—that the country has been brought face to face with the necessity for such a step, The World War dislocated many things, and one of them which is still out of joint is the Midwest. The dis- tortion right now is evidenced chiefly by the loud and incessant cries of an- guish from the farmers. They have heen crying for relief so steadily that the children of the present generation probably will grow to early manhood under the impression that the word “farmer” is a synonvm for Armenian, and will always picture him as starv. N the D. C, SUNDAY _GANALS - SHOWN THuS MORNING, JANUARY omerda L Three routes have been proposed gable to ocean-going ships. would require ¢ for construction of a deep water pas- sageway from the Great Lakes to the sea. The St. Lawrence route, favored by the United States St. Lawrence Com- mission, would cost from $123,000,000 to $198,000,000, and this cost, shared be- tween the United Stgtes and Canada, would be materiall; power development atcompanying the work of making the St. Lawrence navi- educed by water The Lake Ontario-Hudson route would follow the course of that part of the New York Barge Canal running from ( 506,000,000, while the “All:American’ route would follow the same course, but nstruction of a canal on American soil around Niagara Fall duplicating the new Welland Canal now being built by Canada, in which the United States possesses treaty rights for equal use. wego to Albany and would cost ing. A large part of the farmers' worries is a raise in freight rates which requires them to p in- crease of from 6 to 12 cents a bushel to send grain to the world market: The foreign farmers, however, pro. | duce close to ocean ports and pay but little more than they did before the war to send their grain to market. Shipping rates by water are substan: tially at prewar levels. The price the farmer recelves in the foreign markets "for his grain is a e factor in deter- mining the return upon his whole crop, ¢ an b At the same time the Panama | porta "the seaboar Canal and the tremendous increase in its traffic, has been another blow at the Midwest. Cheap water trans- tion has brought the FE: West coasts relatively close gether, while higher freight have moved the coasts farther from the interior, leaving it high and dry except for the farmers’ ‘tears. Both conditions operate not only to raise the cost of out-bound prod- uets, but add to the cost of in-bound goods. The results have been far- reaching. Mr. Hoover's Department of Commerce has found that various classes of in try have moved to agriculture has be- Fast and | ¢ Swundy St 16, 19217. come mentally and physically de- pressed and the separation of agri- culture and Industry has reacted un- favorably upon both. A present-day evil has heen ntuated in the con- centration of industry and popula- tion in the rural communities. And here is where the develop- ment of the St. Lawrence, or some other Lakes-to-the-sea route, at- tains its importance. The Panama Canal cannot be closed. Ratlroad rates cannot be reduced—at least not without a terrific uproar and pos- sibly accompanying economic ills. But the opening of a deepsea waterway from the Great Lakes to the ocean offers substantial rate reductions and advantages, enabling the Mid- west again to compete successfully in the markets the world. To visualize the reduction in terms of cents, a waterway to the sea through fhe St. Lawrence River would per- mit the farmer to send his grain from Duluth or Chicago to Liverpool from & to 11.2 cents per bushel, as compared with the present cheapest combination of rates of 17.6 cents per bushel. The saving effected would be from 36.4 to 54.5 per cent of the Jowest possible combination of rates by rail and water. S There is nothing particularly new in setting forth the fact that tremendous advantages would result from making the Great Lakes available to the“com merce-carrying ships of the world. That has been apparent for many vears, But for the first time the ad vantages and the disadvantages of the various routes proposed between the Great Lakes and the sea have become available through the work of the United States St. Lawrence Commis- sion. An even more lengthy and far | reaching discussion is contained in a | report soon to be made public by the Department of Commerce. Briefly, three routes have been pro- posed. The first provides for a reconstruc- tion of the existing canal connecting Lake Ontario with the Hudson River at Albany—part of the New York Barge Canal—and utilizing the new Welland Canal, now being built by the Canadian government, connecting Lake Ontario and Lake Erie. The second is an “All American” canal. which would include the Lake Ontario-Hudson River project, but which contemplates, in addition, an- other canal on American soil dupli cating the Welland Canal. The third is the utilization of the St. Lawrence in conjunction with Canada. * % ok % The second, or all-American canal proposal, may be disposed of with the statement that its only advantage is the creation of an emotion, sometimes (Contintied on Thirteenth Page.) Public Urged to Put Its Wants Records BY FREDERICK R. NEELY. If the American people want the preponderance of world aircraft reé- ords, which now are in Europe, on this side of the Atlantic, they must express their desire “in writing” and the honors once more will come back to_the United States. This is the response and promise of Army and Navy airmen on duty here to the general expressions of dis- satisfaction now being registered throughout the country over the per- formance of United States military aireraft from .the standpoint of estab- lishing records. It is true that both and Navy hold a very small per- centage of the aircraft records now possible of acquisition, which in turn is still a very small percentage of what they used to hold. Alrcraft redords have been at- tacked and defended, but the trend of belief here, where virtually every movement of the thousands of mili- tary aircraft throughout the United States is controlled and directed, is that they are not only valuable but are absolutely necessary for the proper development of the aircraft. Situation Has Changed. When a few years ago the United States held virtually all the im portant and unimportant world air- craft records, the average American could swell out his chest, pat himself on the back and shout: “We know more about aviation than any other country. We lead the world!"" Today, with only about a dozen records in possession of this country out of three score in existence and 168 possible to establish, his argument must be, if he is true to his con- science: “We know less about avia- tion than any other country and we are last on the list!” But that last statement is not true, the airmen vehemently declare. They have every reason to belleve that this country leads the world in commercial aviation and is at least abreast of other nations in the technical develop- ment of aircraft. The nation with the largest number of aircraft records js able to exert, and quite fairly, too, the psychological effect on its people that it is far in advance of competitors. The records also indicate initiative on the part of the air people, an offensive cam paign. a desire to progress and suc- ceed amd quite naturally the reward is_better equipment. Had the United States ignored air- plane racing in the last 10 years, it is doubtful if its standard pursuit and fighting planes, now in actual serv- ice, would be equal to if not superior to other standard equipment abroad. The Army and Navy spent huge sums of money on racing planes, little, dangerous, high speed, sensitive craft that _only the best of pilots could handle. They ran the speed record for long distances up to 250 miles an hour and for a short distance up tq 266 miles an hour. Fighting Ships Follow. But from those racers fast fighting ships were born. Of course, they are not, or at present cannot be, as fast as the racers simply because they must carry armament, fuel for long cruising and combine safety in land- ing at low speeds. To take care of all these factors, weight must be added and resistance must be in- creased, with the result that the pursuit ship is slower. But it is uni- versally agreed the Curtiss and Boeing pursuit craft, standard equipment of the Army, Navy and Marine Corps, would not be faithfully performing today at around 165 and 170 miles an hour but for the racers. the Army | speciality i mirrors for fashion isalons. They are slightly convex and A And so it goes with other types of craft. To construct them and experi- ment with them for record-breaking AIRCRAFT HONORS FOR NATION REST WITH AMERICAN PEOPLE Desires in Writing if It in Sky Brought Back From Abroad. purposes, however, much money must be spent, © Neither the Army nor Navy can allocate any of its funds for this type of work without specific authorization, The Navy cannot pull out of its present appropriations a sum sufficient to build three new rac- ing planes and three new engines to g0 over to Italy and bring ‘back the Schneider Cup without congressional permission. For to do so would mean the loss of fighting, observation, scouting and bombing craft. The same applies to the Army. The Army, former holders of the long distance and duration records and quite naturally interested in re- covering these ‘honors, is unable to develop planes to surpass the mighty U. S. INLAND TRANSPORT BY WATER BECOMES MAGNIFICENT REALITY Development of Lakes-to-Gulf Project Progresses as America and Canada BY HERBERT MYRICK. Editor New England Homestead. The completion of the deeper water- way for almost the entire length of the Ohio River, which may be finished ! =; in 1927 after years of continuous w by the Federal Government, mej: that inland transport by water is a magnificent reality. Developme:: of the deep waterway from the Lakes to the Gulf iy further along than most people realize. After seven years of surveys and agitation, the ~ United States Canada are practically agreed the St. Lawrence projec ocean ships drawing up to 25 feet may navigate into and out of the Great upon whereby “(Continued on Fourteenth Page.) EVERAL years ago, when | had just been promoted to my first real job, | called on a bus friend of He is a wise and experi- enced handler of men; | asked him what suggestions he could make about executive responsi- bility. “You are about to make fl,- great discovery,” he said. “Within a week or two you will know why it is that executi X gray and die before their time. You will have learned the bitter truth that there are no efficient people in the world.” I am still very far from ad- mitting that he was right, but | know well enough what he meant. Every man knows who has ever been responsible for a piece of work, or had to meet a pay roll. Recently mine b to build it repre period of savi himself and his wife overtime work and self-denial and extra effort in behalf of a long-cherished dream. One day when the work was well along, he visited it, and saw a workman climbing a ladder to the roof with a little bunch of shingles in his hands. “Look here,” the foreman cried, “can’t you carry a whole bunch of shingles?” The workman sullenly. suppose | could,” he an- swered, “if | wanted to bull the job.” By “bull the job” he m “do an honest day's Work At 10 o'clock one morning | met still another man in his office in New York. He was munching a sandwich and gulp- ing a cup of coffee which his secretary had brought in to him. “| had to work late last night,” he said, “and meet a very early appointment this morning. My wife asked our maid to have breakfast a half-hour early, so that | might have a bite and still be here in tim ‘When | came down to break- , the maid was still in bed.” mine. another friend of a house. The money nted a difficuit regarded him nt Lakes. Formalities between the two “And He Goeth” BY BRUCE BARTON She lives in his home and eats and is clothed by means of money which his brain provid but she has no interest in his success, no carg whatever except to do the minimum of work. “The real trouble with the world today is a moral trouble,” d a thoughtful man recently. “A large proportion of its peo- ple have lost all conception of what it means to render an ade- quate service in return for the wages they are paid.” He is a generous man. On al- most any sort of question his sympathies are likely to be with labor, and so are mine. | am glad that men work shorter hours than they used to, and in certain insta I think the hours should be even shorter. | am glad they are paid higher and hope they may earn still more. But there are times when my out to those in behalf no voice is ever raised—to the executives of the world, whose hours are limited only by the limit of their phys cal and mental endurance, who carry not merely the load of their own work, but the heart- breaking load of carelessne: and stolid indifference in so many of the folks whom they employ. Perhaps the most successful executive in history was that centurion of the Bible: “For | am a man under au- thority, ~having soldiers under me,” he said. “And | say to the man ‘go, and ‘he goeth, and to another, come, and he cometh and to my servant, do this, and he doeth Marvelous man! The modern executive -also’ says “Ge and too often the: man who should have gone will appear a day or two later and explain,, “I didn't understand what - you meant” He says “Come,” and at the appointed time telephone rings and a voice speaks saying: “I over- slept and will be there in three-quarters of an hour. (Copyright. 1997.) and | Virtually Agree Upon St. Lawrence Route. nations may soon be completed, which will enable actual work to begin on navigation and power development of the St. Lawrence, | it is probable, too, that before *h 4 Congress will authorize a + upon theé Colorado River project, « it is primarily for power and watlon ‘rather than for navigation. s.ong with these major projects, a network of connecting waterways is gradually being developed. The river and harbor bill. now pending in Con- gress, apparent| aims to further this cause by well engineered and econom constructed. Thus, as each year's job goes forward It be- comes an integral part of the plan, as was the case with several dams in the Ohio which go to make the com- pleted whole. New Types Being Perfected. The new type of carriers for water- borne traffic now in use on the Mis- sissippi are successful in moving heavy commodities at a nominal charge per unit, yet with reasonable profit to carriers. New types of craft for canals and shallow rivers are being perfected, which may make it feasible to use for transportation waterways hitherto unavailable. Present disastrous floods in the val- leys of our Southeastern States add to the anxiety concerning possible wide- spread damage from floods in the Mississippi Valley which alw before the advent of Spring. y serious floods in the “Father of Waters” may cause damage in ex- cess of $100,000,000 in a few week beside great loss of life of humans and animals, not to mention other losses to agriculture and to soil which are beyond computation. Such floods in- terfere with navigation and make its problems more complex. That problem is what it is because the Mississippi ctically ~ drains much of the vast area between the Alleghenys on the east and the Rockies on the west. The neck of the bottle is near Cairo, southern Illinois, where the waters of the northern Mis- sissippi and of the Missouri systems are joined by the floods of the Ohio, Cumberland and Tennessee River sys. tems. As there is a fall of only about one-third of a foot per mile from Cairo to the Gulf, it is easy to sense what may happen when the on.rush of floods break through the levees of the lower Mississippi. Project Pays for Ttself, It is curious that only after 20 years of disinterested agitation do the people of the Mississippi Valley now begin to appreciate the spillway plan which may forever carry off the Mis- sissippi floods harmlessly to the Gulf, drain wet areas, irrigate dry areas, in- sure the public health by abolishing malaria, and by utilizing the millions of available horsepower transform the valley for a width of 300 miles on either side of the river into the health- lest and most prosperous industrial agricultural region on the face of the earth. The pringiples of the spillway have been actually applied to. the similar problem in the valley of the Sacra- mento River within a few years. Con- structed by Nation and State, the Sacramento spillway now carries off harmlessly to the ocean the floods which throughout previous time have anpually menaced a vast area. The precipitation and floods in the Sacramerito County are ,much more serious per square mile of area than therefore, the Mississippl spillway is a si project, though on a vastly r Scale. 1t would be the greatest of .man on the globe, but pos- P U BY FRANK H. SIMONDS. HE continuation of the quarrel between Congress and the Pres. ident over the question of a large, increase of the American Navy has served to accentuate the demand in many directions for an other conference such as took place in Washington six years ago. Not a few | public statements urging that any | building program, which might have the appearance of new competition in naval armaments, be postponed against | such an event. But is such a conference possible or even feasible? There are very grave reasons to doubt it. These reasons, too, lie very deeply in the Furopean consciousness. It may fairly be doubted, for example, if any pressure which the United States Government could bring -in Paris, or even ence upon either capital at the present hour. Nor is there any real r for_expecting more from London. The truth is that the reasons for the ‘European attendance upon the Wi of the Atlantic have been litle weighed In the United States. Europe did not come readily and willingly to the 1921 Mmeeting because it was primarily in- terested in the immediate question at issue. It came for a very much more considerable purpose. Wanted U. S. Assistance. That purpose was to persuade the United States to return to Europe. In 1921 there was still no general accept ance in° Europe of the-idea that the decision of the American people, as disclosed by the rejection of the treaties by the Senate and the later results of the presidential election, was more than a passing circum- stance having its explanatiori in do- mestic political matters. The British were obviously eager to | reach any agreement which would | obviate the ultimate supremacy of the American battle fleet. But the fleet | was not a menace to them. They were, too, well aware of the growing protest in Congress and in the coun- try against the enormous expense incident to completing the naval program made during the excitement of the war period. In the same fashion, the British were equally eager to get rid of the Japanese alliance, which had served its turn and was no longer needed, since the destruction of the German fleet had relieved them of the menace in the North Sea and of necessity to concentrate all their battle Meet in the north. " This eagerness was due in its turn to the protest which the Dominions, notably Australia and New Zealand, were making against such a combination. But the British were as usual sat- isfied that time was working for them, and the intimations which reached London'in the early Summer that the Harding administration would like a conference enlisted attention and won approval for the very much more impressive reason that Lloyd George and most of his countrymen believed that there was a chance to bring America back to Europe. Big Preparations Made. It was to this end that the many distinguished British journalists ail set out on their famous journey to discover America. It was for this purpose that Lord Balfour, as the ablest and most skillful of British statesmen - diplomats, was, much against his will, conscripted for this arduous task. It was to this end that, from the British side, the whole con: ference was conducted. To appreciate this point sential to recognize iwhat the ituation at the moment in Europe. The British and French had cqme to an open quarrel over reparations. The French, angry at the loss of their security, a consequence of the Ameri- can rejection of the treaty, feeling that the Germans had begun a cam. paign to escape from the conse. auences of defeat, were beginning to use force to coerce the recent enemy. All British interest now, however, was concentrated In hastening a re- turn to normal conditions in Burope. This interest rested upon the solid basis that only by such restoration could Britain exist. The war had fin- flicted terrible losses upon all British economic and commercial life. There was vast and growing unemployment, and the single remedy was the res toration of the purchasing power of the world. If the French proceeded to use force against Germany, then It was quite plain that chaos would continue in Europe. There was nothing, how- ever, which the British could do to prevent the French. They had de- mobilized their army. France was supreme. on the continent and she was supported by all the succession states. Poland, Czechoslovakia, Ru mania and Jugoslavia were ail de. pendent upon the French army for existence. Belgium was in the same case. Italy was negligible at that moment. Need of American Aid. Unless the United States could be persuaded to return to Europe, the British would have in the end to give France a guarantee of security. But this guarantee was both unpopular in Britain and in the dominions. The people of the British Isles were now face to face with the appalling conse- Quences of the war, and were resolved not to be dragged into another conti- nental mess. The dominions, after their enormous sacrifices during the war, were equally opposed to any new dangers. . N Moreover, it must be recognized that from the armistice onward all British policy had centered about co-opera- tion with America and'in Euorpe. It had been the unanimous view in Lon- don that if America were in Europe, American and British interests would be identical and co-operation would be inevitable. American aid to solve the reparations problem was only one of many departments in which we were needed. In reality the defeat and disarma- ment of Germany had put France in a position in Europe she had not occu- pled since the time of Napoleon. Un- less American ald were forthcoming) French supremacy in Europe could not be challenged. Ultimately French financial weakness might, as it did, put a limit to this power, but mean- time Europe might be wrecked and British - prosperity poned, indefi- ‘The French on their side were pe aware of the fact that she Washington conference was to be a trial of strength between themselves S A it is es. Americans of prominence have made | g in | Rome, would have the smallest influ- | ason | ington conference and the new | view of its results held on the other side | NEW NAVAL PARLEY HERE IS HELD HIGHLY UNLIKELY Europe Has Nothing to Expect in Ex- change for Further Cut, Says Analyst of Situation. wrongly that Washington would be a battle between the Americans and the British and that they would acquire American sympathy and support by taking the American side. View Taken by Hughes. the other Furopean countries delegations here perfectly pre. to the inevitable Anglo- ch duel. Mr. Hughes, on the con- viewed the whole affair as merely a disarmament conference. He paid little attention to the European phase. The result was that before he was aware of what was happening he had been placed in the situation of a British ally Before the conference was a month old the French had decided that the battle of Washington was lost; that | the British had been successful in an support. Byt the pnsequence of this French feel- s that power still remained in ench handg to wreck the con- ference If they chose. Since it had be- come an Anglo-American love Teast, moreover, the less permanent success which it would have the better for them. As a consequence the French did wreck all but the battleship agree- | ment. In doing this they were satis- | fied they were making only a_legiti- mate counter offensive to the British They regarded Mr. Hughes as the dupe of Lord Balfour. They resented the part the Republican party had | played in defeating the treaty, and they were enormously resentful of the loss of prestige which they had suffered as a result of the cleverer British _diplomacy. When, however, Al sent the French: had blocked all progress beyond the ques- tion of battleships, then there came from London the gentle but pointed hint that the United States should come to economic conference at Genoa. This was the real milk in the cocoanut. But Congi was by this time becoming unea: The 7,000.000 majority against European entanglements of the previous elec- tions was still remembered. The Sen- ate was hostile to Mr. Hughes, and the American Navy was now in arms against the sacrifices that had been imposed upon it with no similar sur- renders on the part of the British, Refused to Go to Genoa. The Harding administration there- fore refused to go to Genoa. This was the ruin of the whole British purpose at Washington. As ‘a result Lloyd George had to go to Cannes a few weeks later and offer the French a straight guarantee for their security. But it was too late. Briand had been S0 compromised by the failure of the Washington conference and _the French nation had become so_thor- oughly aroused against Lloyd George that while Briand and George were negotiating at Cannes there was & political upheaval in Paris. Briand fell, and following this up- heaval Poincare came to power. The Genoa confererice was a fizzle. French and Italian support of the Turk led to Chanak and after Chanak Lloyd George was turned out of of- fice. Finally Poincare took the French into the Ruhr and two years more of anarchy and trouble followed in Europe. In .no small degree the British economic troubles of the pres- ent hour are a consequence of this delay in restoring peace in Europe. When one turns to the question of a new Washington conference it is clear that no Eurepean country can now expect that it could lead to any American return to Europe. There is not even any present chance that it might lead to a modification of our debt policy. What possible advan- tage, then, could it have to offset the positive disadvantages? | The British have a very consider- | able cruiser superiority. They feel that they need the number of cruis- ers which they possess. They are ready to agree to a ratio based upon present comparative strength. But, of course, the American Navy and Government would not accept as per- manent any such inferiority. The British are also willing that tge United States should bufld up to the British strength if it chooses. At that point they would doubtless agres to stabilization. League of Nations Factor. But there is no political or naval advantage for them in a conference. Moreover, they are assoclated with the League of Nations in its pending discussion of the armament question. If they should leave that conference for an American meeting, their p: tion in Europe might ba adversely af- fected. For the League powers are by no means friendly to any Ameri- can attempt to interfere with issues which are regarded as properly be- longing to the Geneva Assembly. The French are opposed to any such conference. Their opposition rests, first, upon their experience in Washington six years ago. They re- gard that as the demonstration of an Anglo-Saxon willingness to co-operate against them. They will not reduce their marine strength, and they are likely in the future to expand their cruiser strength, since this is less ex- pensive than battleship construction. Moreover, the Italians are at pres. ent engaged in building up thetr navy. and a good deal more or less quiet matching of strength is going on between the two Latin states. But British cruiser strength is in part at least conditioned upon Franco-Italian naval power. Therefore, nothing which happened at Washington could affect their determination to keep a 5-2 ratio with respect of both Italy and France. In any Geneva meeting the French are assured of the support of hailf a dozen continental states. If they were persuaded to come to Washing- ton they might find themselves alone, unless, which is open to question, the Italians made a common cause with them. . Nothing which happened at Washington could benefit them, un- less promising them a better debt set. tlement were made the basis of their attendance, which is impossible. U. S. Domestic Question. The fact that the United States must either accept a very great in- feriority in cruisers or else embark upon a large program of naval ex- pansion is a domestic problem which does not interest any European na- tion. The fact that a successful con- ference would advantage the Coolidge administration is a reason why every. Eurepean nation would, other things being equal, stay away from it, in view of the debt policy of the present administration. Europe is not interested in our Navy. Europe is no longer expectant or desirous that we return to Europe. ‘The possibility that we might have to spend millions in new ships leay Europe cold because the ships do not