Show I BUSINESS BUSINESSMEN MEN OF FRANCE IN PREDICAMENT ENT Soaring Franc Is Is Driving Is-Driving Driving French Commerce Out of Markets l 1 1 I By GERVILLE Ono One of the Foremost Journalists of France Special radio despatch to Examiner The The- Standard Examiner Copyright 1326 1920 1 26 Consolidated Press Pres Association PARTS Dec Americans ll 11 Americans liv- liv livIng livIng liv living ing in Paris Parts do not comprehend the tho French policy but ut this is not sur- sur surprising sur surprising because fe few Parisians understand un- un un understand it themselves Explaining the Poincare enig enig- enigma enigma enig- enig enigma ma after that strange procession ot of predecessors Is not easy unless one goes back to the very begin begin- beginning beginning ning The course of oC the Union National ministry was an absolute necessity In July to combat the tho unjustified panic But no now by too extreme measures it ll Is creating a panic In the reverse direction Why POINCARE nE ANALYZED Premier Is one of oC those nineteenth century republicans with an upright patriotic juridical and parliamentary spirit capable ot of committing the J gravest mistakes with the utmost firmness and as assurance His Ruhr occupation il- il illustrates Il Illustrates this Ha vine passed most of his life In war pre-war France M Poincare Is Incapable of o compre compre- comprehending comprehending hending war post-war economic and monetary facts It Is quite certain now that he will not proceed to legal stabilization of oC the franc Ho He will wUl leave to others the task ot of performing that act which herc gards gards as n-a fraudulent It Is Improbable that M DL Poincare will resort to for foreign for for- foreign eign bank credits to maintain the francs franc's level leyel As for the Mellon Mellon-Berenger Mellon agreement after formulating two essential reservations the premier leaves parliament free to deal with the question as It pleases BUDGET ARRANGE rENTS The Tho French budget Is so constituted constituted that all the Dawes plan re receipts re- re receipts are set aside for tor payment ot of foreign debts Part of ot are devoted to commercial debts but the larger part remains outside the budget In such a manner that M could say Whatever parliament we can meet all 1111 for for- foreign for foreign eign obligations for tor the coming year However Howe M Dh own res res- res r declare that France can pey her ber political debts only so farna far farM farns ns M transfer possibilities permit Therefore It Is practically certain that It if the Mellon Mellon Mollon Berenger agree agree- agreement agreement agreement ment Is ratified It will carry a transfer reservation But nut what M rr Poincare Is prin principally J prin- prin principally blamed for here Is tin permit permit permit- permitting ting a serious economic crisis to develop on the advice ot of Ignorant or interested d parties although such sucha a crisis is absolutely unessential to the realization of his plans Commercial and Industrial losses are arc becoming enormous France FranceIs Is rapidly disappearing from world markets Selling nothing she can I buy nothing Imports as well as exports will soon show a tremendous tremendous ous ou drop Perhaps the balance will remain favorable for some time while August and September or- or orders orders or orders ders are being tilled filled but It Is absolutely certain that It if the franc continues to rise or even remains at the present level the balance eventually will become unfavorable and even Frances France's normally norm all huge hugo tourist receipts will suffer Buffer a a severe severo setback k In such circumstances how can France pay her debts by transferor transfer or goods especially when President Coolidge disavows the tho tariff reduction reduction reduction tion program and closes ranee's rances principal foreign market Indeed can the present French budget be maintained when hen the llio volume of business declines The principal are ure based on over commercial turnover turn and profits but with consumption declining will not the treasury soon face a large deficit The fact Is that the tha treasury al- al already already al already ready is so pinched that It probably will have to repay tho the Bank ot of Franco loans on Jan 1 with foreign for for- foreign for foreign eign credits recently purchased Involuntarily and ignorantly t DI Poincare Is preparing a 0 more difficult cult situation for tor his successors ors tb that t he ho left for Edouard Harriet In With unemployment France lorance a II new wave of ot com corn communism to the present p policy and consequences as yet arc arcon the arcon-the on the way Wa |