| Show WALL W STREET VIEWS VIEWS' Observer By y James s McMullin cu Financial NEW YORK YORK This This column re recently recently re- re reported that the Munich pact is expected by financial in insIders insiders insiders in- in siders to l lead ad to a European Industrial in industrial industrial in- in renaissance provided an agreement can be reached on arms limitation Hitler has proved that he could build the most powerful military machine in history It is predicted that he ho will soon turn his energies to restoring Germanys Germany's war pre-war In Industrial Industrial Industrial In- In efficiency with efficiency with help of about skilled German mechanics mechanics mechanics me me- to be recalled from Czechoslovakia Before the World war war Britain fought Germany on the economic front by subsidizing competing factories in Belgium After the war France developed Czechoslovakian Czechoslovakian Czechoslovakian industry to hold German industry in check This competition tion has now either been eliminated eliminated eliminated or absorbed into the reich's industrial machine Informed New Yorkers get word that British capital French capital French too to some extent extent is is prepared to make substantial investments in German enterprise on terms that would assure handsome profits Capital is all that Germany Germany Germany Ger Ger- many lacks This assistance would set the stage for a tremendous tremendous tremendous dous G German e r m man a a manufacturing drive especially drive especially in the field of consumers' consumers goods How Hew would this economic comeback comeback comeback come come- back in Europe spear headed spear headed by Germany under power four-power auspices aus aus- affect affect the United Sates Keen New York analysts anticipate anticipate anticipate antici antici- pate possible reactions on our se securities securities securities se- se markets and our exports If as and when it becomes apparent apparent apparent ent that the profit lure for capital capital capital capi capi- tal is greater in Europe than here gradual liquidation of huge European European European Euro Euro- holdings of American securities securities ties is in the cards This could have a depressing effect on our stock market but it would probably probably probably ably be only temporary V Offhand it would seem that a great increase in German m nu- nu would be a serious competitive competitive com corn menace to our exporters But informed New York bankers doubt that it will work out that way Hitler has stated that Germany Germany Ger Gem many will not export more than she needs to balance necessary imports This makes sense The latent demand from Germanys Germany's own population for clothing furniture furniture furniture fur- fur and other goods they have not been able to buy for years years- plus a similar demand from the smaller nations of central Europe should absorb the production of German factories for a long timeto timeto time timeto to come Germany will have havo no large surplus of manufactures to sell to South America for ex ex- ex- ex ample Moreover t this his h i s development should logically increase Europe's purchasing power thus enabling Europeans to buy more foreign goods if they wish This would benefit our exports in the long longrun run run especially especially if artificial trade barriers can be reduced or John L. L Lewis' Lewis offer to retire as head of the C I r 0 O if William Green would simultaneously resign resign re re- sign as president of the A F L La was wasa a shrewd diplomatic maneuver Lewis knew perfectly well that Green wouldn't quit but he wanted to put his rival on the spot and to make malte it plain that he ho personally personally personally per per- per per- was peace As a matter of fact nearly all C I 0 O chiefs are in a mood to accept a compromise that would reunite organized labor provided the principle of industrial unionism is protected and they are not re required required re- re to grovel in the dust The belligerence is now all on the federation side Sources in a position to know say frankly that Green is personally personally personally per per- an insignificant t factor in w the picture d despite t e hi his S position They call him a mo mouthpiece mouth th piece for such end bitter-end A F PJ I leaders as Frey and aM Hutche Hutchi son Comment runs that the la later ter are the ones who must mus l lwon won von over aver or squelched b for peace is poss possible New Yorkers get word trot fro midwestern political sharps th tha Governor ex-Governor Frank D. D Fitzgera Fitzgeral iI of Michigan has better than even chance of recapturing h former office from Frank Murph next month That would final crusher on the rather fe bJ remnants of Mr Murphys Murphy's p pres aspirations Murphys Murphy's alleged partiality 1 labor during the 1937 epidemic 0 sit-down sit strikes is hurting hit now Sentiment is running str ly Iy against him among farmer farmei and small business men and th the thu i families The C CIO I 0 will him of course The A F Ls L's att aU tude is uncertain but the chance chaI V Vare are that its vote will be divId divide The Tho governor is rated likely carry Detroit and other larg larj cities but tho the rural expected to give Fitzgerald a de decisive majority aide Several incipient strikes I i Michigan factories have bee postponed until after I Governors Governor's Murphys Murphy's urgent t prIvate private vate request He told union le lead leaders d. d ers that serious labor trouble athis t this juncture would put hin T the spot and probably be fatal fatale t this his chances of reelection The agreed to hold their fire to to h hel li him out I Rudolph Hecht chairman of th Hibernia National bank in fn inNe Nei Ne' Orleans and former the American Bankers' Bankers asso l tion has been sponsoring a ato pl pla plato J to consolidate the six stations in New Orleans fou fourc which are very antiquated into single union station to of the city's rail traffic fh Th h plan has progressed to the pom where announcement a public i ibe be expected shortly J New York rail leaders ar pleased with this developmental an impressive sive and move to promote economy Jan ane an efficiency through consolidation n Informed analysts insist th tha adoption of this policy on cn a afna scale offers the only rea el hope in the long run of savin railroads under private owner ship Ji Such economies can of cours be e effected only at labors labor's pense and the rail unions are aro to resist the trend to th limit I Private utility interests ha hay have been quietly trying to stir up C coa miners to protest against Uh h new deals deal's program of public-owned public water power ties The Tho miners have been toll tole again and again that this PiP pro program program gram jeopardizes their by cutting down the use of stean plants to generate electricity electricity- which in turn reduces coal con consumption The great majority of coa cpa miners belong to John Lewis Lews United Mine Workers It ya wa figured that their protests would carry more weight in Washington Washing ton than objections from Lan another other quarter Until rec recently nUy however attempts to rouse them their have been unsuccessful Mr Le Lewis T would not permit his union to toem embarrass embarrass em- em barrass the administration But lately the miners have been e more responsive to the educational educational educational campaign and its promoters pro promoters motelS motel'S are arc now hopeful that ey can soon be persuaded to speak s eak out in public If they do doh the coal operators will ivill have some thing to say along the same V.- V. Copyright 1938 1933 for The Telegram |
