La Grande evening observer., August 12, 1922, Image 7

mtwt
LA GRANDE, OREGON, SATURDAY; AUGUST 12, 1922
VOLUME XXV
SECTION TWO
ME.MI1KH OK ASSOCIATED I'KESS
NUMBER 266
WHAT SHALL
BE DONE FOR
Germany Admits Insolven
cy and the Kest of the
World is Pondering.
REORGANIZATION
OR BANKRUPTCY
Kogef Babsou Tells His
views on Gernianv's Con
dition and How It Affects
; the Remainder of the
; World.
(Special to Th Observer)
WELL,n,iL I HILLS, Mass., Aug
12 The German question was dis
cussed today by Roger W. Habson,
statistician, who has been untangling
the international and financial sit
uation. "Germany has failed to meet her
obligation on the indemnity pay
ments," says Mr. Bab3on, "and liku
any other concern is judged bankrupt
We face the same situation that we
find when a business can not Pay its
debt. We either have a re-organization
and try to et it back on to its
feet or we call in the rcfiree and judge
it bankrupt and sell its assets anJ
put it out of business.
"The world is now having a cred
itors' meeting to decide what is to be
done with Germany. Un to the present
time Prance, the largest creditor, has
been taking the pound of flesh. II
' is only within the past few days that
she has offered any other proposition.
Now, however, France sees that if she
will ict Germany off that England will
let France off. It is -understood thnl
a French Ambassador is dealing with
the United States Government at this
time, in the hope that the republic
may be released from some of the
debts Bhe owes to us. These later de
velopments" arc favorable indeed, and
strongly suggest that a 'friendly re-or-ganizatioji
of German finance is pos
sible. Panic Could Be Caused.
"If Franco, on the other hand, were
to march an armv to. Berlin, and to
collect the pound of flesh by force, it
is quite possible that this might align
Russia, Italy and even possibly Eng
land with Germany and biing about
another war- This, of course, would
be an undesirable situation from every
point of view. Such action would un
doubtedly cause a panic in our stock
market, and Would seriously embar
rass our big banks. It would upset
business generally- We would not
even experience the business boom
that wo had at the beginning of the
last European war. The new gases
and chemical weapons of warfare de
veloped since 1018 can be made Just
as well in Europe as over here.
"If .however, Germany has a friend
ly re-organization of her finance it
would mean much and boom Americ yi
business- Such a reorganization would
clear the air and overcome the fear of
repudiation which keeps all our for
eign tKHisactions in a muddle. , It
would do away with the uncertainly of
, i it .ni.ni! tn
mStual satisfaction of all parties con-!
corned it would give the whole world
the confidence it needs at mis im uv
ular time- It would strengthen busi
ness everywhere. The greatest part
of the benefit would be felt in America-
I certainly hope that this will
be the outcome.
"In the meantime.1' concluded Mr.
Kcnn must remember one thing
more, there is a distinct difference
between Germany s governmental nu
ances and the finances of German
firms and corporations. The credit
.. riormunv'a L-ovcniiiicnt is almost
nil because of the tons of paper mrk
which it "is obligated to redeem. The
r' ' i ir, o minor uncertain
nosilion because their cash nssets are ing them in unmeasured language .
of a very uncertain value. The private) Mr: Ford may feel that his opponent!
firms of Germnny, however, hold real h-e done him a real service by weak
en oncrtv factories, machinery, land ening their case by hysterica rhetor-'
eou nment and merchandise. Most ofji(..- With millions tied up in the woik.
them aic in a sound condition because and no benefits resulting, the Ithaca
these things are of actual and Per- journal News suggests that either,
' ..ln Tho re-orirnnization of. Muscle Shoals should be leased to
Germany's finance would upset thj
Ccrman government's financial b'i-
. mu,hi pntl for considerable
readjustment in (iermany s hanking,
firclc. It need have little affect on
the real credit of private firms.
General business is maintaining it
recent improvement in snite of unfav
orable sentiment created by coa and
rail strikes. The index ol mo unosun
rhnrt shows that buJiocss is
but !)
per cent below normal,
since last week.
No change
AW Alt D HKIIMiE CONTKACT-
SALF.M. Au-. 12. The state high-
A..mm;K4irn has announced that It
had awarded the contract for the con
struction of a concrete arch brnig
acro-- the North Umpoua river on the
Pacific highwav near v. incntsm,
D-uglas county, to 11. E. Deenng oi
1-u.. v,ri,l,-a mill consist of seven
'. j r.iti -,v,n.-,lnlv be 1000
prcnis anu xh.'rn.,ll.eil will be!,., v..rA 1H l trrltimo vac of the
m feet wide end the height of thc
i .k .,..r. water is 70.
fe?l The structure will cost 1 122.-1 and that is the plant woulobe a grow- at a S'a'o ". for tie y must know
noo' The rounly. state and govcrn-!jn? concern and if the governme jf evjit now. vAi must liguro In peu
,v,rJ in ti e rot of theLr r.pdpH it. it wculd be ready " Sim-1 nles and Plav the came that way
1! Id'
Won by
?,1 . V V
. , The photographer was almost under the thundering hoofs of the
hones as Parader (right) beat Jqhn Tul Jones by a scant head at Sara
toga race track. The hordes were traveling at the rate of a mile In. one
minute and 37 second when th cnmirn elirknrt
MUSCLE SHOALS PLANT
SHOULD BE OPERATED
Nation's Press Quite (Icnowilly-. Opposes Government
Operation of This Industry. ;
The attack bv tho sonato committee
on the offer made by Henry Ford for
the purchase of the Muscle Shoals nit
rogen and power plant has revived in
terest in that pre.'U project.- It seems
to be the general opinion of the ed
itorial writers of the country that in
the light of the preaent condition of
the national treasury it would be un
wise to attempt any government oper
ation. Many of the papers hold that,
even conceding Ford would be ffctthifr
a hnrgain, the offer made by him
should be accepted to insure operation
of a project now decaying because of
lack of operation- In case of war the
Plant will be needed, editors argue.
and this being the case it should be op-,
erated and kepfc up to date and, a
the government now is not able to do
this, private interests should be giv
en their chance.
Government Can't Operate.
The proposal for government opera
tion is the least "Attractive of any sug
gested, the Newark News believe.,
because "it is not to be expected that
such A proposal will find much grace
in an administration committed to the
principle of less government in busi
ness. It would be foredoomed to fail
through the injection of politics into
such big busness and the trail of fav-,
oritism that would mark its adminis
tration. The government would be
setting a rare example as a competi
tor for business against private nter
prise subject to Federal taxation. It
should be possible to dismiss this sug-
irestion as chimerical. Certainly it is
contrary to the American genius nnd
tradition " There is a lack of plain
language in the senate committee re
port, the Milwaukee Sentinel holds,
which is regrettable, the "report be
ing adorned with rhetorical flowers of
the kind that usually grow onlv in the
hothouse ntmosnhe''- of nolitical cam
paign speeches. What is there about
Henry Fold that people go delirious,
for or against him, as soon as his name
is injected uito any controversy i
Ford s Muscle Shoals plan may or may
not be as bad as is painted, but why
throw doubt on the findings bv dress-
some one of the several proponents, or
ihe government should develop the
plant for the purpose 01 leasing pow
er, or the work -"uld i- abandoned
nl scrapped. Why positive actioi
should be ilelaverl niontn after month
r a rnti of millions to the country, is
one of the unexplained curiosities of
government.
IlUge nun invc.uru
nnamtp the senate renort me rori'... ... ,.r u.nKii" i.ai,i
Huron Times-Herald thinks the publi
should be given all of the facts, he-
cause, "even nuerai y oiscounung u
,-catnine .r'nri- r.ZZr
tee, and giving to Mr lord PP"'-"I
eis tne ocneni oi, .'"
too much involved to pcrmi'. of haslc
is still a big question mark in the
m:"ri of the American people.
Pointing out that the governmen
has 100.14)0,000 invested, the Water
T:i...A .rrrtlna "it Wflllld llP A (Ic-
plorahlP thinir if this nlant, valua!
for inlusl!Oil purposes, shculd br al -
lownrf to stand and rot. I hnuirh Hnn
nlant chcap: though he may lie driv -
hm barcain. Si thing is sure,
I iuz sentiments r entr'aind by theif you g;t ah?al much, an-l r's
a Nod
. 'ISlnV -A
W .M Of . 'L iT- .
Sioux City Tribune, which suggests
that "tho Nebraska senator seems to
bo riding at more windmills. Just be
cause ho can't get his own i plan
through, will he stand by and see trrc
properties, built by taxpayers' money,
and valued at more than $100,000,001),
decay? Nor must it be forgotten that
there are big potash interests in Sen
ator Norris' home stnte that would be
greatly pleased if they are protected
from eoainctition with Henry Ford
The senator's opinions therefore, are
to be heavily discounted." However,
tho "injection of partisanship is la
mentable," the Ashville" Times com
plains, because "if. Ford's - offer is
sound, it should be accepted in spite of
the fnct that he has been flirtim? with
the Ijomocralic part- If it is unsound,
it should be rejected by a vote that
ignores party lines and that "ives
thought only to the best interests of
the country. This is one of the few
questions into which partisanship can
not enter without doing violence to
tested business tenets." I
Hotter Offer Wanted.
The Charleston Mail is convinced
that "whoever gets the Muscle Shoals
property if ever an individual or a
corporation gets it must make a far
better offer than the one proposed by
Henry Ford, or by any others, for
that matter, who have bid upon it."
!ut the Grand Kapids Press feels
that the "choice was between Ford
and ruin. The South will tingle with
anticipation as to whether a Republi
can administration really intends to
turn tho scarce treasury funds to Fed
eral completion of a dam which will
build southern industry and multiply
southern prjwer. And farmers the
country over, 'demanding cheap fer
tilizer, will want an answer before the
next election." To this the New York
Heiald replies that "there is no ob
jection to Mr. Ford getting the Muscle
Shoals project on a basis that is busi
nesslike for the government nnd fair
for tho national taxpayers. There is
every objection to his getting Muscle
Shoals on a basis that would compel
the government and the taxpayers to
sink $.10,000,000 more in the project
for the benefit of Mr. Ford's own
business venture-''
FULL! GOES
FAIHIIANKS. Alaska. Ails. 12
The First National Hank of Fair
banks, the last bank in the VniK-d
lf snm (.ia,10 wnt on ekl
d)ip nn j, 3 as a .
. ..., ,.r ,,, r:llroa,
which protiKbt transportation
IIlcrc(, Pd finance alike I
fer
tile necessity of. usiin smaller cli.ngc
' ;,.,,,,,
pl "01.
ttiii'- will ha(c P"ttini:
U8'n to thin Hinall rliaiiRf flr.iinu,
1)1? tho Fairtonks News Mio'T. U
rliftciissiiiK the innovatloi "bill
wlif n you rrin to think annul H
U J" lJ bcst or everyhorly v
0,ily for youths who will bo i
tho
Imshifss men of thr; ramp in o yar
or two. It is not bllslms t.-oficure
:no lower than a iwo-hlt piece, and
. ;Oyonc .who thinks jn realize this
bt.'
TWO-BIT CHANGE
MM LITTLE
' , . RED SCHOOL
Modern Science Pronounces
' ."Little JJed SchoolUouse"!
- a Danger to Our National
- Progress.
tl?y Associated rrea.)
NEW YORK, Aug. 12. Add to the
list of idols smashed to smithereens
bv the efficiency of modern science
that quaint institution of American
rural life the "little red schuolhous"
now denounced by educational ex
perts of Columbia University as "a
danger to national progress."
Experiments conducted for tho past
year in a tiny school in Warren coun
ty, N. J., have proved to Dr. Fannie
Dunn, of Teachers College, Columbia,
that the problems attending the evils
of the "cult of the little red school
house," as Dr. Dunn calls it, can be
solved by the same methods that have
brought progress in teaching the
young of the cities "how to shoot."
Forty-four pui" nttended the typ
ical schoolhouso in Warren county,
which was seven miles from a trunk
line railroad, two miles from a post-
office, and out in the open country. A
single teacher was forced to instruct
eight grades. There are still 2001,000
similar schools in the United States,
just 100,000 too many, Columbia ed
ucators say. They hfpe to cut tho
number to 40,000. ChHigcs Hint seem
anna lintlv revolutionary to Amen
cans who remember the rigid, plaster
enst demeanor that was exacted of CV
ery country schoolboy who was forced
to attend the little rod schoolhouse of
years ago, are recommended for thoso
ine-tcachcr institutions that win re
nain. Unrestricted movement about
he room, the installation of pupil
helpers for the teacher, a more "club
by" spirit among the youngsters, and
he application ol the "automat nica
n teachinir the children to gain n large
oart of the education themselves from
ihe schorl library, are part of tho new
plan evolved from the Warren County
tests.
Dcsuite Whitticra legend of the
famous schoolboy of the "li'l red build
ing," whose "feet or tan DctoKcncu
splendid health, Professor 'Woman w
Wood of the Kvo Sight Conservation
Council of America, who is interested
in the experiments, says that 87 per
cent of the pupils in rural schools In
New York atate have neaitn delects.
am onnosed to 72 ner Cent of unhealthy
children. - In the whole United States,
Dr. Wood says, 16,000,000 of the iM,
000,0000 school children have bodily
defects.
So oppressing arc the faults of the
coumry schools, the experts sny, that
much of the congestion of the cities
results from the inability of the
schools to make country life attractive
Efforts arc now being made through
meetings at Columbia of such educa
tors as Miss Charles C. Williams, lu
cent president of the National Educa
tion Association; Mrs. Katherinc Cook,
of the Federal Hurenu of Education,
and Dr. Kcnyon E. Iluttcrf ield, presi
dent of Massachusetts Agricultural
College, to bring about the changus
in rural education that will end the
plaint of Mho modern schoolboy:
"I'm getting oh so sick,
Of readin' and arithmetic '
Thai's why we gave the teacher the
sack.
And. we'ro never gonnn come back',
If she doesn't like it she can sit on
a tack,
We've got the schoolhouse blues."
(By Asoclattd VrcBt)
SA N 1'ItA NCISCO, Auf. L A
pawnbiokcr is suppos(;illy the last
man in the world to whom a fjold brick
could bu hold- This actually has
happened here, however, tor Morns
Kiskin, above whose door hanfr three
jjohlen balls, naid $1,000 . and threw
in a fro Id watch to ffet hold of twenty
:oumls of biasa besides makintr th'
"capper" in the deal a present of An
other K''d watch for. what. Kiskin
thoutTJt were "services." Had the
brick actually been tfold, Kiskin would
have been licher by about $r 0)M.
Anth'mv I'el Sol, whom the police
arrested as the "capper," interesteJ
Rikin in a wizened aed iMexicnn
who was represented as nn uncouih
miner who had ben -diKjririK for Kdd
all his life in the -mountains of the
state of Sonora. the prodad of his
lifetime of industry beintf twenty
pounds of jrold ilu?.t.
I ne .;exifan n'ii Hunpi'-vii '
have ny rtpportunity to learn Kfuflixb.
nor to have any reil knowledge of
the market value of the (fold. l)el S-d
acroniinK to th" pnlif-e, dil all the
talking. A few hours later Kiskin
appeared at the detective bureau wi'b
twenty pounds of bras filings with
the marks of K'.veral ae'd tets u'n
th"Pl. Alth'iUKh the poliet' found Iel
Sol tliev w-" unahl" to lovatc thf
aed "miner
yx OI'KN KM MA MINK.
'HIJTTK, M.nt.. Aue. 12 !N-.tn-irf
th- Kmma min. on of tht y.iif.
silv?r and !rd producing nron'i tio 'f
tho vAiiHcomla (Vinncr Minirg cmii'
( panv. whs nmiounffd todnv. It i rx-
occtcd to lie h'tirttincr ore by Monday
Olbn.P ,,. will k nn.nl.t...l
the proncrty. This will make the 11th
mino of the company to resume opera
tion, having hepn shut don gincft
PAWN BROKER IS
SOLD GOLD BRICK
January, 191. fc 1'
And Now Look!
v
. v -
LlilniilllyWgn
1 .y
'"Wis ' "
Harry Fox. sttigo comedian, car
ried Beatrice Curtis to tho corner
Grocery when she was two ycara
old. Bho has been with him in!
vaudevillo two years and now thoy
announce they wero man led a
Akron, 0 a month uk,
(By A.Hsoclated Press.)
LONDON, Aug. IEParlor, or the
exchange of goods, as against the
transfer of actual cash has figured in
recent International loans, nccordinq
to the Geneva correspondent of the
Observer. In this way tho difficulties
of exchange havo been overcome.
Rumania wanted a loan of 45,000,
000 gold francs from Switzerland. The
Swiss said it was impossible unless
they knew how tho money was to be
spent. Kumaniu replied: "Wo need to
replenish ruilrond rolling stock, par
ticularly engines.
"Fine,'' said the Swiss bankers, "we
havo these for sale.. Take them, and
pay for them in cereals and noLroleunV.
both of which you produce and we
need." Thus were the urranKi-incnl
concluded.
Similar borrowing nnd Paying by
barter has taken place with Czecho
slovakia. Here n.:'iill, Czechoslovakia
is receiving Swiss manufactured good.-;
and is to pay for them with truckluuds
of sugar. Therefore the question of
exchange and tho comparative value'
of the Czechoslovukian krone, aiui th
Swiss franc does not arise.
For every window
in your home
For the dining room, for the nur-
tiery,' for the bedroom, Hrriiliir
makes lite window tlude tlut it
really ccnnomical.
f)rdinary witulmv flinHe m.itrrnl
rrarlci .ind break. Hut firculiti will
stand twice as much hard wxjrj
lasts twic e as lon.
Comr in and Ict us show you thtie
khailc.
W. H.Bohnenkamp Co.
& 'I
.tVV-v ,7i
NATIONS REVERT
TO BARTERING
nrenlin
Quality and
Value
News of the Northwest Country
General Development of the Inland Empire Recorded.
ASTORIA, Ore. A total of ap
proximately 70,000,000 foot of lum
ber was shipped from tho Columbia
river by water to tho various mar
kets of the world during the month
of July and tho quantity from the
Astoria distrb-t u-hh nunrlv itmihln
tlfnt from the up-river section,
I According to tttntistlcs compiled
by Deputy Collector; . of Customs
Knrluen, 4 7 vessels wero loaded at
tho lower river mills and their com
bined cargoes totaled 45, 1175, 557
feet of lumber. Tlilrty-flvo of those
vessels laden with 36,109,800 feet,
went to California; seven vessels,
carrying 6,6C589J feet, nro en
route to foreign markets, wbilo five
vessels laden with ;i. 002, 310 fett.
Icloarol for the Aliunde ctlast.
In Ihe same period 34 vessels
i loader 23.447.378 foet of lumber at
the up-river mills. Of tho latter 14
vessels, currying 6,570,000 feet,
,'went to California; 13 vessels, laden
I with 16.023.232 feet, clearod fur
'foreign ports, wlillo auven vessels
carrying 1.848,14a feet cleared for
the Atlantic seaboard.
This makes a grand total of C!l
184,936 feet of lumber which loft
tho Columbia river In cargoes dur
ing tho 31 days in July.
I.l MlllCIt IXDI STltV CHOWS
WASUINOTON Substantial Im
provement In tho lumber Industry
In Iho northwest Is Indicate!! by
tho report of (production of the
West Coast Lumbermen's associa
tion and tho Western pine Manu
facturers' association, given out
hero today by tjio National Lum
bermen's association.
Tho West Coast Lumbermen's
association, operating west of the
Cascades In Oregon and Washing
ton, produeud 2,413,359,276 reel ill
30 weeks of 1922, as compared with
1,443,221,618 foet in the saiuo po
rted of last year, and in tho week
nded buly 2!) this year producod
83.611,834 feet as against 54,395,
464 feet lit tho corresponding weclt
of 1921.
Tho Western l'lno Manuraetur
ors' association, oporntlng east or
tho Cascades In Oregon, Washington
and Idaho, produced (113,083,000
feet In 30 weeks of this year, lis
compared with 408.939,082 foot In
tho aaniu period of last year, and
nir tno week ended July 29 this
year 'produced 32.139,000 as against
23,903,000 foot In tho samo week
of 1921.
17ITCHEN
MOMFORT
IrlAY BE OBTAINED THESE HOT SUMMER
DAYS BY THE EMPLOYMENT OF '
Electric Cooking Devices
Ym'i would be surprised to know the size of a
meal Unit may Ik; )i-e)ared with a few simple
devices. The cost of operation is trivial in com
imrison wilh the eonvenienee and' comfort ob
tained. Call and See Our Line of
TOASTERS, PERCOLATORS, HOT PLATES,
GRILLS
Eastern Oregon Light and
Power Company
-4itM.l
arc tin' l in l-'adors whicli pi to maUe salisl'iel ciisloinei-.s.
Our aim is In please you anil we curry Ihe latest designs
in new jcwcliy at correct prices, iialil y considered.
We solicit your consideration ami deem it, a pleasure to
show you our stock of! modern jewelry, watches and sil
verware. J. Si. PIrARE & SON
Jewelers and Optometrists.
AXOTIIIClt CAT CIIKI'IKGI'SIIEIC
LEAVISTON, Mont. With a pro
duction that It is estimated will
Drove to bo tho lurgest of tho field,
the sixth gusher from the second,
sands of Cat creek was brought in
by tho M!d-N'orthe?rii-Hom3gtake
company July 30. Tho well la dis
charging Its low through a two
Inch pipe and as a cunsetiue.nce tho
production Ib confined to. 1400 bar'
rels a day, but Superintendent Guy
Craig made tho statement that when
this handicap is removed the flow
will probably exceed any of tho
other five gushers.
The well is located in Befctlon 10-
15-20 eust, and was completed at &
ilupth of 1350 feet.
The new well is about throe
quarters of a mile enat of tho dis
covery v eil In tho second sands. It
1b considered to havo proved a
triangle of ground about one milo
on each side. The lipase is owned
by the Homestuko company.
:w,ooo im;i;i:i,s oiii l.v moxtu
LKWISTOWN, Mont. Joo Mont
gomery, receiver of the hnlted
States land office, Btates that tho
oil production from the well re
cently brought in on tho placer
claim in section 11 at Cat creek
wiib 32,000 barrels for the. month
of June. Tho total governmont
royalties Tecolved on . oil produced
on government lund during tho
month of Juno was $34,807.25.
Tho Wilderschiiltz properties
still lead with a total production of
7 2,000 'barrels, while tho Oreon
tract alsu shows a good production.
Undoubtedly tho mouth of, July will
far exceed all provious monthB In
tho production of vll In tho Cat
crook field.. .
I,(.(!-UIXI, HUUil.VU D1KK '
KKI.SO, Wash. Tho first unit of
tho dike which the Loug-llell Lum
ber comipany la rebuilding near ltB
mill slto Is nearlng completion. It
hna beun built un top of the former
ill lie by II. G. Mngruder'B rlredgo, .
which has been oiigaged In the work
for tbreo inoiitlis. ThlB unit, on
which exact cost records wero kept,
Is 1500 foot In length. The dlko
Is seven foot higher thun the old
tliltri, which places" it three feet
higher than Ihu '!)4 water, which
was tho highest wutor over kuown
on tho Columbia. It is 20 feet In
width on top.
i a
mmAW