OCR Text |
Show ilTTI FORESEES ICE ECONOMIC UPHEAVAL Present Economic ' Condition Last Much Longer Italy Has Set Example ROME. Fch. 5. (By Tho Associated Press) Premier Nitti, In a lengthy statement to The Associated Press on the economic situation said: "I agree with many points in the letter of Secretary of the Treasury Glass, addressed to the American chamher of commerce. Europe must he animated by the spirit of peace The present satc of mind cannot continue con-tinue long. But above all, it is impossible impos-sible lo prolong much further the present pres-ent economic situation. Italy has set an example, understanding this nec essity. Italy Raising Taxes s"We, first, among all the nations of Europe, havo adopted the heaviest taxation. tax-ation. We are raising taxes sufficient t6 pay the interest on our debts and -also our expenses. For each ncv.' debt 1 wo have advised new taxation. "We are , approaching equilibrium of Iho nation-1 al budget, and if we could count on j favorable circumstances wo should lfc i the first nation on the European con-, tinent to balance our income and ex-; pendilure. ; "We count only on our own strength j not on indemnities from the vanquish-' ed countries. If these indemnities eventually are paid, it will be just compensation for all our sacrifices. But wo must depend exclusively on our own resources. Great Lean Launched j "We have just launched a great loan in order lo withdraw treasury notes 1 1 from circulation and reduce the paper currency. Subscriptions lo this loan already amout to fourteen billion lire, enabling us to withdraw from J 0,000,-000,000 0,000,-000,000 to 32.000.000,000.000 in treasury treas-ury notes and decrease the paper currency. cur-rency. We have never cast any doubt as to our duly to pay debts contracted in England and America. We have only asked for a reasonable postponement. postpone-ment. It is not for a country whicn has made sacrifices like ours to have immediate payments demanded. I "It would not be unreasonable or unjust, but for all that we do not forget for-get our duty. We are descendants of those ancient Romans, who said that i to owe money was io be a slave. We won't be slaves even to our best friends. We desire to return as soon as possible what we borrow. America Must Understand "America, however, must understand ! (the sltuatioii clearly. An egotisiical j spirit now animates the nations, the war not having brought that solidarity which should have resulted from trials endured together. "The rise in exchange represents a grave danger, giving to all a feeling that It Is a threat to economic life and social peace. "The rise in exchange brings about a rapid and continuous augmentation of expenses causing unrest un-rest and strikes, which in their turn, t diminish production, making the rela-i tions between the classes increasingly I difficult and dangerous. "Furthermore, (he situation gives the character of alarming instability to the7 whole economic life of the country, coun-try, rendering possible abnormal occurrences oc-currences and gravely, disturbing home production and foreign commerce. com-merce. "Italy has adopted all measures at , home which will contribute to the de-! fense of her financial and economic or-Ij ganization but her efforts must bei limited, while a problem so vast and!' complex must have an international ! solution. Exchange Question Dangerous "It is in the interest of America her self that the exchange question should not become worse, but should imniedi ately be solved by international agreement. agree-ment. We must all act together for the safety of all, and in my opinion the problem must be attacked immediately immed-iately and energetically. "It might at first sight appear that the United States has no immediate interest, but this question of exchange will end by being most injurious to j the United Statces. If steps are not taken in time there will be one of the most colossal crises the world has ever seen, and America will be drawn into it. It is imperative that a condition condi-tion of equilibrium be re-established immediately. Distrust in United States "1 can quito well understand that In the United Stales a feeling of distrust dis-trust prevails and that there is a disinclination disin-clination to give credit at a time when it might appear that Europe still meditates med-itates war, and that it is this which helps lo maintain the present disorganized disor-ganized financial condition. But nothing noth-ing could do greater harm to countries honestly striving toward peace, both internal and external, than the present pres-ent uncertainty. "Wo need to be able to buv on the American market what it is indispensable indispens-able to the life of our cuntry under condtions of comparative stability and for this reason It is necessary for us that the governments or the principal countries should put their heads together to-gether and at once takr strinc in nri tho present intolerable position. World Crisis Feared "If tho present disorder Is not substituted sub-stituted by some form of enlightened and honest co-operation it Is not an European crisis only which will follow, but a crisis all over the world. And that Is a prospect too awful to behold. "The United States government can render services of the highest value to humanity and to America itself, which would suffer from a worldwide crisis. "Italy needs above all things raw materials and foodstuffs. Italy has an immense reserve of man power. In a few years time I urn never tired of repeating it Italy will be one of the richest countries in tho world, because she will use to the fullest extent the immense water power she possess, besides be-sides her great man power. Help of America Needed "But we must overcomo the present difficulties and take the first step, and in doing this we count upon the friendly friend-ly and loyal help of the American people. "With regard to the Adriatic question, ques-tion, as in all other political questions, Italy has always wanted, and still wants, to be reckoned as a power in favor of peace and democracy. America, Amer-ica, or at least a considerable portion of American public opinion, has no j conception of the efforts and sacrifices I made by Italy during the v.ar. Italy is a country which entered the war ani-j ani-j mated by sentiments of the purest ! idealism. She suffered the most se-1 se-1 vere losses. She joined in the war spontaneously and received the leapt I compensation for the havoc the war wrought. Adriatic Problem Sentimental "The discussion over the Adriatic I problem has been bitter because it is ! largely a mailer of sentiment. In j fact, tho territorial dispute has no .economic reason. In the agreements 'made in Paris and London, Italy show-jed show-jed theomost forbearing and friendly spirit. We looked upon the Jugo-SIavs as friends. We are disposed to collaborate collab-orate with them in the future. They are our neighbors; wc desire that our relations with them may grow ever closer. "As I have had occasion to declare before, what we have accepted as the basis of discussion in London and in Paris represents the irreducible minimum mini-mum of Italian aspirations. Nobody can expect that Italy should resign herself to be refused a solution which she claims as her right, namely, the pact of London, as well as a solution she Invokes in the name of justice. 1 "We entered the war depending on the guarantees of the pact of London, but we prefer a just solution, nnd for this reason we are In favor of the compromise. com-promise. To obtain this we have made all concessions in our power." nn |