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: PORT PERRY, ORTANIO, THURSDAY, Augie 24th, 1983 DON'T £ ~ ONLY A SHORT TIME LEFT For the balance of the month, you can save money by : £ _ purchasing our stock, as we do not want to move it, and will dispose of it at very low prices. 'We have for sale-- : "QUEBEC HEATER. hes , __ SIX FOOT SHOW CASE. "TWENTY FOOT AWNING and frame complete, good. : EIGHT FOOT MIRROR vr wi EA QUANTITY QF NO. in 251b and 501b.bags. JAMES McKEE Phone 1862 p-- '4 2 Page Five o------ a DELAY Liberty Bonds. That. concelled part of the back interest. Later, when funding agreements were: made with | the different nations owing money to us, interest was figured at a lower rate still. Great Britain's average in- serest over 62 years is 3.3 per cent, 80 in the case of the British debt the United States cancelled the difference between 6 per cent. and. 3.3 per cent. In the case of France we cancelled the difference between 6 per cent and 1.6 per cent. In the case of Italy, we can- | celled all but four-tenths of one per cent. interest. Q. Why was there ir a differ- ence? 1 STOCK FOOD Port Perry, . . * FRED E. COAL WooD COKE "BLUE COAL" is the best Anthra- - cite mined in America. It is colored 'blue so as to be identified at a glance. We can supply you with -- "BRITISH COAL, HAMILTON COKE, HARD and Soft Wood, Cement, Lime, Lumber, Etc. -- Phones Office 73 W; Res. 73) REESOR BESO VEEN 6 Cotednt DON'T WORRY ABOUT FIRE! 'Have 'your property properly insured at once HAROLD W, EMMERSON COAL ' supply on hand to FAMOUS READING ANTHRACITE--That Better Pennsylvania Hard Coal. SCOT COAL, WELSH COAL, STEAM COAL, CANNEL}! HAMILTON BY-PRODUCT COKE, BODY HARDWOOD, HARD- WOOD SLABS, SOFT SLABS. CEMENT--A fresh carload just arrived. Also Fresh LIME and PARISTONE, TILE! Your orders will receive our usual prompt and careful attention: PORT PERRY 'W.G. W. Phones--94 W and 94J. COKE - CEMENT - LIME - TILE. When in need of any of the above give us a call. We have a full WOOD meet your needs. COAL YARD PYATT "Reliable Service and Better Fuels" oA War Debt Catechism By Irvine Brant, in the New Republic (New York) 2 Q. What are the war debts? i A. Debts owed to the United States government by our, allies in the * World War, for loans made them dur- ing and after the War. Q.'How much were the total loans? A. $10,350 million. Q. How much was loaned before the Armistice? A. $7,000 million. © Q. How was the money gent to Europe ? A. The money was not gent to Eu- rope. It was paid to 'American manu- facturers, farmers and other business men by a committee of the American War, Industries Board, Cy Q. What for? : A. Munitions of warrfood, cotton and other supplies to our Allies; transportation, shipping, interest. Q. How.much was loaned after the Aulslice? $2,600 million, plus $740 million - relief supplies. Q. How was this after-the-Arm- istice money sent to Europe? A. It was not sent to Europe. It Wy . wiih a © RAY practically all spent in the United| States for the purchase of war sup- ~ ples; cereals and cotton sent to our Allies, Q Why were these fonia made to oy FL the allied powers after the Armistice? A. The principal reason given by Secretary of the Treasury was that these loans would enable American business men to complete their war- time contracts with the allied powers. If these contracts were suddenly can- celled, he said, it would have an in- jurious effect upon American busi- ness. Q. How much of the total loan has been repaid? A. Approximately $1,000 million ot the principal and $2,000 million in interest. Q. How much is the total debt now? A. About $11,600 million. Q. How can that be? It was less than that in the first place. A. For several years no interest was paid: Part of the accrued inter- est was added to the debt. Q. Didn't the United States cancel a large part of the war debt some years ago? "A. No, There have been two can- cellations of interest. Q. Why was that done? A. The original rate was b per cent. Congress concluded that was pretty high, so it authorized the Treasury to figure ac¢rued interest at A, "Yes, Al the war/debt were A. It was based upon a supdiad difference in ability to pay. ' Q. Why should England pay 3.3 per cent. while France pays only 1.6 per cent? 'A, Because England was looked up- on as a wealthy, powerful nation, while France was poor and struggling. Q. How much does England owe? A. $4,300. million. Q. How much gold has England? A. $800 million. Q. How much does France owe? A. $3,800 million. Q. How much gold has France? A. $3,400 million. Q. Then is France really a poorer and more struggling halion than England? A. Not poorer, but more tran France struggles much harder to keep her gold. " Q. With all that gold why did France refuse to pay the $19 million instalment of December, 1932? A. Because Germany had stopped paying reparations. : Q. What did that have to do with it? A. The French people had expected to pay the debt with money obtained 'from Germany. Q. Had we agreed to that? . A. No. :.Q. Then why should the French Lave such an expectation? © A. It seems a natural line of rea- soning to them. Germany was to 'pay the cost of the War. The debt to the United States was part of the cost of the War. Therefore Germany should pay the French debt. That was the way they figured it. Q. Had Germany 'been doing so? rench payments on ade with repara- Lag money from Q. Where did G iat A. Germany TA it from the United States. Q. So the United "States loaned money to Germany with which to pay France so that France could use it>to| pay the United States ? : A. Yes. Q. What about England? A. It was the same way there, only more round-about. The United States loaned money to Germany. Germany J paid it to France. France used part of it to pay on her war debt to Eng- land. Rand sent it to the United States. Q. of the entire $3,000 million paid by European nations on their war debts to the United States since the Armistice,, how much "was paid out of American money loaned to Europe? A. All of it. Q. Then the United States really hasn't collected a cent? A. Not a cent. We have merely loaned the money with which we have been repaid. : Q... Why did Germany quit paying reparations ? A. Because the United States quit loaning money to her. Q. Then the war-debt payments have in reality stopped because we have stopped loaning our debtors the money with which to repay us? A. Exactly. Q. How did we ever let them put over a trick like that? A. It wasn't a trick. result of economic law. Q. What economic law? What is the real reason we can't collect our war debts? A. The A ni, reason is that It was the goods, and we insist on being repaid in gold. Q. Why shouldn't the debtors pay in gold? : A. The debts amount to $11, 500 million and there is only $6,000 million in gold in the eritire world outside the United States. We are also trying to collect the interest on $16,000 million of private loans made by Americans in foreign countries, and we want that in gold. We are trying to collect our favorable balance of trade in gold in- stead of taking goods. It can't be done, and the effort to do it has wrecked the money systems of the world and brought international trade nearly to a standstill, Q. Bat is there any evidence that 4% por cent, the same as our own Fl we made the loans jn the form of}. the European countries want to pay send interest, Europe will owe us just these debts? that much more gold every year, A. -No.:. =. . Q. * Then the paying of the debt in Q. Why don't they? American _ securities wouldn't really A. These debts were occasioned by |help? the World War, and nobody likes to] A. pay for a dead horse. Q. Is there any way we can collect Not a.particle, The net indebt- edness would remain the same. Q. Net indebtedness? A. By taking payment in "gods and services, By importing more goods than we export. By accepting an "unfavorable" balance of trade. . Q. Is this generally understood ? A. It has been said a thousand times in the past ten years and still the country won't believe it. in figuring the balance of trade. Q. Well, if that plan' won't work, what about disarmament? Look at the way the European powers waste money on armaments. Take England. England spends $5600 million a year on her army and navy while we spendf~ only--what does the United States Q. In a case like this, where the [spend a year on the army and navy? country refuses to believe an unde-| A. $700 million, niable fact, isn't there some economic| . While we spend only $700 mil- reason for refusing to believe it? _ |lion. Now if England would cut that A. There are two reasons. One is] jown to a reasonable figure, say, cut a simple failure to understand that|i iy half, wouldn't that make $250 gold is merely a token for goods, and| yillion a year that could be paid on can be used only in limited amounts | the war debt? to take care of a minor variation in] A. The answer to that is another imports and exports. This attitude Is} yestion. How would it be paid? typified in Calvin Coolidge's famous| How? Well; how is the cost of remark about the war debt. "They Out of the hired the money, didn't they?" To : which the answer is, "No, they re- ceived $10,000 million worth of Amer- ican goods, and the only way we an} pow would it be paid to the United be repaid is by $10,000 million worth |4iates? of European goods." The other rea-| q Well, how would it? son is economic. It is our unwilling-| A, In gold, which England hasn't ness to receive $10,000 million worth| got In goods, which we won't take. of European goods because to do 80|1n services, which we have no use for. would displace an' equal amount of | In securities, which merely shift the goods produced by American industry.| debt from one form to another. All Q. Is that a sound objection to|the armies and navies in Europe could having the war debts paid in goods? [be abolished tomorrow, and the war- A. The issue is more fundamental. | debt-payment problem would be just It isn't-just a "question of having the| what it is today, a- problem of trans- war debts paid in goods, but of taking | fer--in gold, in goods, or nothing. goods. for the entire $26,000 million of Didn't we issue Liberty Bonds American overseas investments. We|to make these loans? If Europe won't have our choice of taking our pay in|pay, won't we have to tax ourselves goods and services, or writing prac-| to pay off the Liberty bonds ? tically the entire $26,000 milion off as| = A.. We surely will. a loss. If we decide to take the goods,j. Q. Well, doesn't that prove we are it means a huge shift in our industrial | right, morally? system. = Our nation must plan for| A. Morally, we are always right. more leisure, letting Europe do part| Q. France has gold. Why can't of our work. The fact is that we have France pay? paid" $26,000 million for a Baropesh A. France cherishes "the delusion valet, and don't want him to work. that this niovicy® was, a gift to make Q. But how car we let Europe do | the world safe for democracy. part of our work when we have too many to do our own work ? A.- There's the rub. We can't with- out a complete change of policy. Q. Then, when we refuse to accept goods in payment of the debts, aren't we ourselves proposing to cancel it?" A. Exactly. In theory we say, "Pay" But in practice we say, "Cancel." Q. How will it end? o> A. In cancellation. The' economic forces opposing payment are too pow- erful. Q. But Soppose both sides sat down at a table and tried to figure out a way of paying the debts, without tak- ing Europe's gold and without flood- ing us with European goods. Couldn't it be done? A. Something could be done, of course. Q. Well, what? A. Take the case of France. If France wanted to, it would be quite simple to place $50 million a year in French francs in trust with American consuls in France, to be used only in cashing travellers' cheques for tour- ists, the cheques being sent to the United States Treasury for credit on the war debt. That would discharge the debt through "invisible imports?" Q. What are invisible imports? A. Look under the heading, Bal- ance of Trade. : Q. What is the objection? A. The money given to the con- suls would have to be raised by taxa-| tion. Also, it would subtract an equal amount from "the invisible imports now used to balance the French trade account with the United States. Q. Wouldn't the French make up for that by overcharging the tourists ? armaments paid now? British treasury, isn't it? A. Yes. To British citizens, to be spent for British goods, in England. A. Mostly in the French imaging- tion. But several unfortunate re- marks were made in Congress, during the debate on granting the first war loans of 1917. The chairman of - the House Appropriations Committee said he cared. little whether the money was ever repaid, if it preserved American lives by strengthening our Allies. Senator Smoot said that he believed the money would be repaid, "but if it should not be, or if not one penny of it is returned, I wish to say that every penny of it will be expended for the defense of the principles in which we believe and which we entered the War to uphold." It is possible that if any copies of "The Congressional Record reached France, the remarks may have been read by Frenchmen. (Continued on page 4) 1108888880181 8088180088880882E02088828022882888 Here's PROOF that your best tire value is right here in town Look at the sensationally low rices for genuine Goodyear ires, made with Supertwist cords and guaranteed. You get more than tires here. You get complete-tire service. A. Undoubtedly they would try to, but it is hard to see how the present SPEEDWAY job of overcharging could be im- TREAD proved upon. 440-21--8$5.26 . Q. Is any other system of war-debt payment possible? 450-20-- 5.86 A. Yes. Our European debtors could collect American securities 450-2 5.00. owned in. Europe, sell them in the| 476-19-- 6.65 United States and apply the proceeds on the war debts. That was done dur- 500-19-- 7.26 ing the world war, directly or in- 9 months 525-18-- 8.16 directly, to an enormous extent. tee : Q. How was it done indirectly ? guaran sxcie T A. Taxation in Europe became 80 against Fn ax ional defects and road hazards 'héavy as the War went on that people were forced to sell American securl: ties to pay taxes, Q. Would that solve the war-debt problem? A. The war debt could be reduced, but it would only intensify the prob- lem of private foreign debt. The in- terest we send to Europe on these American securities helps to balance our foreign trade, If we no longer, BEARE BROS. PORT PERRY, Phone 130 them? A. Yes. The difference between| A. Yes. what the world owes us and what we Q. How? owe the world. That is' what counts Q. Where did that idea originate? " '| Overhauling - F. W. Brock & Son The RED & WHITE Store School Supplies FOR THE GIRLS ALL WOOL SERGE PLEATED SKIRTS, attached to white cotton top. Sizes 6 to 14 years. Price $1.00. WHITE COTTON MIDDY, with navy flannel collar and cuffs. Sizes T to 14 years. Priced at $1.00. ALL WOOL BOTANY SERGE AT ATTRACTIVE PRICES 36 inch English Botany wool serge. Colors Navy, Cardinal. Priced at 79c. yard. bd inch all wool English Serge. Colors Navy and Blac 5 is splendid value at the price. Per yard $1.50. NEW FALL STYLES IN CHATELAINE PATTERNS. Now in stock. All patterns 15c. each. GIRLS SCHOOL SHOES made of good quality calf skin in the popular 3 eyelet tie. Sizes 8 to 10% for 5. 75 pair, Sizes 11 to 2, for $1.98 pair. \ FOR THE BOYS BOYS WOOL PULLOVERS, with V neck, nd in the new. weave stitch. Black trimmed with Yellow and Blue. Sizes 26 to. 30 Priced at $1.25. Sizes 32 to 34, Priced at $1.35. BOYS' GOLF SOX, cotton ribbed. Juilt to stand hard wear. Colors Brown and Grey mixed. Price 29¢. pair, BOYS CORDED TWEED TROUSERS, made with [I mblems, wide waist band, slant pockets. Sizes 10 to 16 years. Pr iced --_at $1.75 pair. BOYS' SCHOOL OXFORDS. leather soles and rubber heels. 'Sizes 1 to 5, for $1.69 pair. This blucher style black Oxfords, with Sizes 11 to 13, for $1.50 pair. 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