THE. OREGON DAILY, JOURNAL. P ORTLAND. FRIDAY, MAY ; SO, 1919. Economic Expert Gives Wahiing of Vital Necessity of Stabilizing , Exchange Rates EXCHANGE RATES MUST BE FIXED, VIEW OF EXPERT Swedish . Authority on Financial Matters Points Out Necessity for Joint International Action. .UNCERTAINTY BREEDS CHAOS He Sees Business Paralyzed, Pro . duction Reduced and Increased Unemployment if Not Remedied Br Bassstt Dig-by Special Calrla to The Jonrnal and The CMcaso . . Daily Nam... ; (Copyrlrbt. 119, by Chteaco DmDj Tfws Co.) Stockholm, Sweden, May J 9. Scan dtnavla'a formoat economic- expert, the Swedish professor of political economy and finance, Gustav Cassel, consider! that an International conference to stab Ills exchange rates la vitally necessary to the world's recovery from the shock of war. ; He has drawn up a scheme aufffestlngr possibilities of such stabiliza tion and world wide redaction In the In flated prices which the. American mln- t later, Ira Nelson- Morris, has sent to the j Americas peace commission in ;, Paris. ; I am herewith to give the outlines of ' the scheme. 4 . "Great uncertainty prevails at present In all countries as to the future pur- i chasing- power of mdney. Prices were - run up during; the war to an unprece dented level. Through It la generally ,' expected that they will now move down . .again nobody knows whether such a movement will really occur or how far it will go. In some countries measures ; have been . planned in order to brine; t about a certain reduction of prices but ; the aim to be attained seems nowhere .very clear. In a market with falling I pricea buyers necessarily hold back ex I pectins- the fall to be general and to f extend Itself, over a long, Indefinite s period. . , ' : v :. . i DA2TGEB.8 OF SITtTATIOIT f "Business activity will be paralysed. s production will be reduced to the minl- mum and .workers will be threatened iby increasing; unemployment. That is Just what la now occurring-. There Is ; a great demand for all sorts of com- moditles and there la urgent need of house accommodation and means of : transportation. . "There ought to be plenty of orders ? for producers in all lines. There are also big atocks of food, raw materials and manufactured groods besides unused re- NEVER TOO OLD TO FLY : I if i n in ii in i id in i n i H i hih i i in hi iii mtmmammlttMrtmnimmitrnni -n-iti i t a f ftff' -Vfc''Jf;Ltl"' 1 TBsjiiuaaj -4-' : jJ .T : j s . If- - " . -r ft il., n - - T ,-', V Although born 86 years ago, Mrs. Mortimer Armltage of London Is a most enthusiastic flying fan. Accompanied by her son. Dr. -Armltage, who Is orer 50 years of age, she had her first aero joy ride, starting 'from Hounslow flying field. The photo shows Mrs. Armltage anQ her son about to start on a flight. - - ; : serves. Production and capacity ''rep resent together buying- power of quite sufficient strength,, but commodities can be traded in society as at present con stituted only through the medium of exchange. When confidence in this medium la shaken the fact cannot but have a disturbing- effect. There we have no doubt la the essential reason for the general - depression from which the world's trade la now suffering". "While the future of every monetary standard of the world Is Uncertain the uncertainty of the International exchange must be still greater. These exchanges are governed essentially by what I used to call the purchasing power parity, namely, by the quotient between the purchasing- power of one country and that of another, i Clearly this quotient must have a double degree of uncer tainty. Furthermore international ex changes are influenced by every one Bided, hampering- trade between the countries. Of this recent years have provided many instances. FIXED EXCHANGE XECESSABY "The restoring of anything- like fixed exchangee la clearly a necessary con dition for the regeneration of the world's trade for which, we are longing. But the first step to this end is to establish stable monetary standards with each country and, second, to abolish com pletely the present arbitrary regulation of international trade. . Of course each country must determine its monetary policy for itself, but international dis cussion of the problem would be ex tremely useful and may indeed become vitally necessary. First we should have examined the question, which form of the old gold etanrard should be main tained and if it is thought desirable that international trade should return to a gold basis. How this should be made possible is a question that depends clothes ie name in your A good name is the custom er's guide post. The Mathis Label in your clothes puts you at ease when it's a ques tion of correct style. It assures you the most in good faithful service that your f money can buy. Years of faithful endeavor have brought our name to a place where it means a great deal to the good dress er. It goes hand in hand with Quality and Service. ! . . I. i . " s i , 4 Spring Suits $25 tb-$65 i . Ghenev ( Silk" jjV Gravats New patterns in ffsSf ' faincy figures and j r i ' dotted effects. pj ( The best tie made P i that sells for A Ti f . ; Dollar V . MEN'S WEAR Corbett Bldg. 'A Fifth and Morrison very much en the future value of gold. This again will depend essentially upon the monetary demand for gold. "Now the actual circulation of gold is almost everywhere abolished and greatly restricted and so tar the demand for gold baa diminished, i On the other hand the European note banks and the federal reserve banks In the UnHed States feel themselves obliged to keep gold reserves which, though not proportionate to the bigger paper circulation, still will be greater than it used to be before the war. The balance of the monetary de mand for cold will -doubtless Jl&ve been relatively reduced namely, in proportion to the volume of circulation.- , GOID TALCE BEDtCED tfZf means that the value of geld expressed' in money will have fallen. The result presents itself already in the United States where the dollar may be taken to represent gold at the present moment more truly than perhaps any other monetary unit. But the price level of the dollar is about 200 as against 100 before the war, Thus gold has now only half its value relative to commodities. This ratio must probably be fixed. Then if the European countries, which now have the higher price level, should re store the old parity of their money .with the dollar this will Involve the reduction of their price level which will make it very much more difficult if America la going to duce hers at the same time. "Therefore the United States should abandon every attempt at a reduction of the price , level which it has now reached- and concentrate Itself upon stabilization. This Is the easiest and most agreeable end which the country can : establish for its monetary policy. The European countries would have to lower their' price levels until they came down to the index of 200 as compared with 100 before the war. Thn they will have reached parity with America. This will be difficult enough for them, at any rate, for the Scandinavian countries. . HABS MUST BE BEDUCEB "Some of the belligerent countries such aa Germany could not even attain this end. If they ahould be able to reduce gold payments they would have to choose a new gold standard. Thus the German mark must probably be reduced to some thing better than a third or a fourth of Its former gold value. In Eastern Europe quite new monetary systems are to be created. In some colonial countries where the rise has been much less than in America further Inflation Is desirable and can easily be attained If these countries will give the rest of the world sufficient credits. . The essential point is that the world should apeedly come to an understanding- as to the course to be pursued In order to ' restore the stability of the monetary standards of the various countries and the rates of exchange be tween them. Which standard and which rates are of minor Importance, The chief object is to create fixed and stable conditions in monetary matters and thus lay the foundation on which a new com mercial development can take place. It would be Indefensible net to act res olutely In a matter of vital Importance. The world's social and political condi tions are not such that we can risk a period of prolonged industrial depression ana unemployment without the most serious risks. Only an international con ference can clear up the matter. Such a conference ought to have in the first instance at any rate only an advisory capacity but if it were composed of the most prominent representatives of bank ing, finance and economic science it would certainly be expected to lead to good results." ITALIAN NEWSPAPERS . HUSH THEIR CLAMOR . GOVERNMENT ORDER Soft Pedal on Nation's 'Wrongs' and Iniquity of Men and Deeds in Paris. pounu WRITER BELIEVES T BE GIVEN SILESIA 4 '' '- V:eBBSsaaaaeeBaBseaMBaaBseBaB People ' Unanimously German in Sentiment; Future ' Trouble Predicted If Severance Forced. SECTION INDUSTRIAL BEEHIVE Workers Showing Just Sort of Spirit Needed if Indemnities Demanded Are Collected. By Gordon Stiles Special Cable to Tb Journal and The CUoaco Dally Newi. (Oopyritnt; 1910. by Chicaco Datt Newt Co.) Ixmdon, England, May 14. Advices from' Silesia regarding- the attitude taken by the population toward annexa tion by . Poland is calling- forth much comment in London. It must . be mad clear, however, that the. German, army rsferred to in the dtspatcres is not a new feature of the situation. This army has been mobilised for more than two months and has been distributed alopg the Polish and Czecho-Stava frontiers where constant disputes have taken place accompanied by, a number of skirmishes, It 's composed entirely of volunteers and is commanded by Field Marshal von Hlndenburg-. In one of my dispatches X referred to the Quality it these troops, having been in upper Silesia six weeks ago when Hlndenburg; was making a tour of in spection there. As I pointed out. the cession to the Poles of this region is about the sorest point with the Ger mans. Recent dispatches confirm my statement that practically the whole population of 2,000,000 or more is decid edly opposed to incorporation, in the Polish republic. . v ' George Ren wick writes In the Chron- j lele: : "Nobody X could find really grants to fight, but an feel that they must. Bres- lau, KoenJgBbera; and t the . east have saved Germany before. , Perhaps they can do a little In that direction again is the frequently express! consolation. Among the working- classes the-feeling la particularly bitter - Harr Xtchten stein, the independent socialist leader, hates this tlaxneup of national feeling. But. he - adds. who . can blame the workers? Here In Germany they have an eight hour day and waxes are rlatng There are sick insurance benefits aid our unions are recognised. If upper Slleala is handed ever to the Poles they feel that they will toee all these. In addition they fear boIb7ism. . . "Indeed, all political parties have dropped their antagonism and stand to gether to face this totally unexpected turn of events. I also talked, to many workers of Polish extraction but not one could I find who wished the region to be turned over to Poland.. X hare dealt tvith this because X believe that the up per Silesuuf question contains for all of Europe potentalitles of serious trouble snd that the ease from this side ousht. late as the hour is, tc be stated im partially, as I have rted to do, with a view to the avoidance of at least one menace which threatens Europe's tran quility' . . SliESIAIfS BACK AT WOttK X remember when I entered Silesia in March that X was struck immediately by the contrast with other parts of -Germany. ; Everywhere the people - were hard at work tilling the soil and putting factories in shape to resume business. I while mining was in full blast despite me sinus irouDiea. ingrv was nooi vi the political unrest or uprisings which obtained in other sections of the coun try.. And here I will call attention to the fact that the first sign of Bolshe vist activities in Silesia came upon the heels of the announcement of the possi bllity of the cession of upper Slleala to Poland, which previously had not been dreamed of by - the populace. X covered the region pretty .well, vlaitlng Brealau. Oppeln, Meisse,, Kattowltz, . Beuthen, Lamsdorf and other centers, and found the sentiment overwhelmingly German. It is a rich country one of the rich est in Germany and the inhabitants were working with Just the sort of spirit needed to pay the indemnities demanded by the entente. From what I saw. I cannot help feeling that the cession of Silesia to Poland will not only work harm to Germany but to our own cause. ARMENIAN PRESIDED WANTS AMERICA AS NATION S MANDATORY Belief Expressed People of the United States -Interested and Would Prevent Exploitation, .. By Loala Edgar Browne Special Cable to Th J on real and The Cbieaca , uaur fteva, (Copyright. lilOby Chlcage Uefly Neva Co,) Constantinople, Turkey, May 29. "Should the peace conference-make the United States the mandatory of Ar menia we Armenians would be over joyed, because we realize that America is warmly Interested in Armenia and also that there would be no expioita tlon of our country for the benefit of a few groups of foreign capltaliats. - Ar menia must be independent and have its own government, but the Armenian peo ple lack education and experience in self-government. We sincerely hope that the United States will come and ShOW US hOW." ' This Is the Conclusion of an inter view I had a few days ago with Preai deni Katlssan of the new Armenian re public In Its temporary capital, Erivan, where X attended the first plenary sea sion of the cabinet. M. Katlssan is 60, years of age and as a mayor of Tlflla has had considerable experience in the tempestuous politics of the Caucasus. "We desire," he continued, "to thank President Wilson and the congress of the' -United States for .making it possi ble to furnish us with the flour and other food supplies which are now com ing- to our country. The whole-hearted generosity -of the American people. which supports the tremendous relief work here is directly responsible for saving-; hundreds of lives weekly. Our government is merely temporary. We are attempting- to better the situation until the peace conference decides the fate of Armenia and the limitation of the frontiers, after which there prob ably will bo a constituent assembly at which all Armenians Turkish and Rus sian and also those llvur in : Englano and America will decide upon a consti tution and the future form of the gov ernment," ' v Kolchack's Setback Is Blamed Partly on Ukrainian Defection By Paml A. Wright Ufa, Russia, May 17. via PeWln. China, May 28. The Russian forces under" Ad miral Kolchack on this front have suf fered a temporary setback jfue primarily to me oetection or tne Ukrainian troops and to the fact that the Gallltaln had advanced so far that It was not properly supported oy reserves, as a result there has been a shake-up In the enmroao I here that ahould make for greater unity. The new draft of educated men is euro to Improve the general morale. Those new troops give an excellent lmpresilon. The ruah of soldiers and cannon.ro th's front continues. - , i Reggie X haven't aw been, quite myself lately, don't you know. Miss Keen Indeed 1 I haven't noticed any Improvement; Boston Transcript. No Need To Be Thin, Scrawny or Sallow If you are thin and want to be plump r, If you have wainkles In your face thuC you are not proud of ; If the skin Is sal low or subject to pimples or blackhead a, take Mi-o-na stomach tablets for two weeks and notice the change. The majority of the thin people are thin because the stomach does not per form Its duties properly. It is not secret. Inr sufficient of the natural digestive Juices and in consequence does not ex tract from the food enough nutritive matter to nourish every part of the body. Ml-o-na stomach tablets are Intended to build up the stomach so that it will act properly and extract from the food the elements necessary to form flesh. If you are thin try two weeks treat ment of Ml-o-na stomach tablets they are small, easily swallowed and are sold on the guarantee of money back If they do not overcome chronic indigestion, acute or chronic, stop stomach disturb ance, belching, heartburn, sour stomach and any after dinner distress. For sale by the Owl Drug Co. and all leading; druggists. Adv. , T By Edgar Ansel Mowrer Special Wireless to The Journal and The Chicago Dally news. (Copj-richt, 1S19, by Chicaeo Daily New Co.) Rome, Italy, May 25. (Delayed) A government order ' has gone forth to hush the clamor against the peace con ference Immediately, and those newspa pers In Italy which respect the wishes of the government and they are in the majority have soft pedalled In their vo ciferations with regard to Italy's wrongs and the Iniquity of the men and deeds in Paris. Testerday Gabriele D'AnnunzIo ex pected to speak in commemoration of Italy's entrance into the war. but he is still an officer, and in the morning was summoned to the ministry of war and forbidden to make public declarations. This renewed the outbreak of the na tionalists, who had planned a parade. This was forbidden and soldiers guarded a few streets and several of the public squares. Nevertheless, the parade wasJ formed and after a long- march and sev eral affrays with the police and mili tary, several of whose cordons were broken, it succeeded in reaching- the bote) where the poet was lodged. But he remained silent and the crowd dispersed. Baron Sonnino's organ, the Glornale d'ltalla, now claims that the conditions about , to be accorded to Italy are a great triumph, while the democratic Se cola states that the conditions which eventually will be consummated will be less than the democracy desired and that the crisis when Bissolatl resigned has shown the latter to be right. Tho truth is that the conservatives, who real ly control, and the democratics are mobilizing- their forces for the coming- min isterial and electoral struggle. The terms imposed on Germany "have new and detailed critics in the socialist leaders, 'Treves, Turati and - Labriola. The last' named declares that the treaty is worse than the acts ot the kaiser t-t 1915. These leaders unite in urging the workers of ' the world to combine in forcing- a revision of the entire docu ment. ;;' . i. ' T f. . . - Britain Is Stealing U . S. Secrets, Charge Washington, May 20. Charging: that the British government is continuing to censor mail to the United States for the purpose of stealing business secrets and Information, Senator Sherman," Illi nois, today introduced a resolution ask ing; Great Britain to discontinue the censorship. Tf...- a VBOiesanxe-. deansH-. ii GJiUelr CtlresMii ui eesllifl 2 MUtt-raxxrin0 for taew r ffHri itM. Soreness. GramilaJ . eif . tion. Itching and Bamfcj; h9 f! Cvm ft Evriids: "2 Dross" Aft lha Ilovies, Motoring of Golf .will win yogy ooadence, fa xouj unas-as tarn sanrma K-hea on CyeS Need Care. . m-jx kl-ariavCws- ZlmvaMdjr CO- ssucasa - -4 V : New Lawn Mowers Portland Is Learning to Shop at Simon's, Where Rents Are Lower and Profits Are Smaller I T New Garden Hose 50 feet H -inch RubW Hose .. $5.25 50 feet U-inch Cotton Hose .. $6.75 , 50 fee H -inch Moulded Hose. $8.75 Lawn Sprinklers 60c 65c 95c $1.25 and $1.95 PAYS! ' ' -J" First- Second and Alder Streets 11 Self-adjustuif. . Ban-bearing. 14-Inch, 14-inch, 16-incb, 8 U -Inch wheels... $ 8.75 10 H -inch wheels... $10.35 10 1 -inch wheeU... $11.50 Grass Shears . . ........ . .40c. 60o Grais Hooks . . . .50c 70c r.r,i;'M'?' ' hop at tfiae Big r DowMtowffii Store! Every Department Contributes Tomorrow a Wealth of Merchandise at Prices Unmatched in Portland SATURDAY'S GROCERIES Klickitat Flour Sack $2.65 Barrel $10.50 Olympic Flour Sack $2.90 Barrel $11.50 Paints for Less! r Base-Huetef Bungalow Horn Paint, 5-gaL cans, gal. $2.55 Gallon cans .$2.65 - Bass-Hueter Floor Paint; gallon for . $2.65 - Quart ..70c Hat White, gallon ...... $2.85 White Enamel, gallon . . '. $3.85 Decoret Varnish Stain, ' gallon for . .... ...... $3.50 . Quart ............. .$1.00 . Pw t ... i, . 55c ' . Bass-Hueter Floor and Linoleum Varnish, gallon .....,$4.50 Kalsomine. Ib. ... . . . . .8c. 9c Carter's White Lead, Ib..l3Hc Turpentine, gallom ....$1.10 Whit Glue, lb., .........60c $2.25 Values the Garment Cane Sugar 11 Lbs. for $1 Sack $9,70 Coffee! Coffee! M. J. Brandons tein's and Edward's Steel-cut 30c lb. SPICES ell leading brands; 1 ' lb. cane ........ . . . .45c CATSUP Del Monte, Fret's, - Sunkiat; pint bottles . . . 20c Booth's Sardines, doz $2.35 Can ............... .20c Gold Dust, large package. 20c Calumet Baking Powder, 10-Ib. tin $1.45; S-Ib. tin... 75c Cream Cheese, lb, ...... 36c Shredded Wheat. Cora Flakes, Puffed Rice, Puffed Wheat, Post Toaaties, 2 for. . . . .25c Karo, dark, No. 10 can...85c Olympic Pancake Flour, No. 10 sack . . ..... ,73c Farina, 9-lb. sack, ....... 75c Creamed Rolled Oats, J 9-lb. aack ...70c BROOMS Good quality. 73c Overalls and Jumpers $1.89 Heavy-weight? Union-made. MEN'S COVERALLS $4.48 Values $3.89 Union-made, Boss of the Road, Lee's Unionalls, Can't-Bust-'Em and other makes in khaki and blue A real saving, . men! $3.75 COVERALLS $2.48 Made of khaki; Just the thing for auto repairing; or for berry picking. $1.50 SHIRTS Only 98c Heavy drill la black end white; splendid values. $2 KHAKI SHIRTS $1.39 Heavy drill khaki work shirts at a bargain. - . . Bovs Two-Knicker Suits ipuitv; v )iii(uv . Nobby waistline styles in attractive fabrics and patterns! detach able beltst lined knickers with taped seams. The values are very unusual at pur pricea. See them tomorrow I CANDY SPECIALS Vogan's Assorted Chocolate Creams, lb. . . .... .40c Hard Mixed Candies, per lb. w....25c After-Dinaer Mints, per lb. 30c Boys', Youths' , and j Little GenU'" SH0ES$1.69 THE PAIR - 7 Different Styles- 7 Bluchcr or Button We put on sale tomorrow over a - thousand pairs of these shoes, -the surplus stock of one of the . largest shoe jobbers. - These v. are lines that cannot bo replaced every pair is in perfect condi- - , tion. Wo bought the lot at a fraction of its worth. Wo offer each pair . to you on tho same ', basis. "-2"- 1 f Boys'Sizes from 2i2 to 5a Youths' Sizes from 1 to 2 "Little GenU' " Sizes from ' . 9 to 13ia -Worth $2.50 to $3 the pair Our Price $1.69 , Black and Fancy COMBS Only 25c jtmaslag ;vales seeered tkroeeh forts sate parehase. Bay to- morrow set more tkaa three to a- ess toner. . Peaa's Tsietr 8-spaee...T5 Spearhead Tbleka .. -5 Oraager Twlatf S fer...25e SHOKIHC TOBACCO Uslea LcAdcr . r li-es. Iseek SOX e ttil"85l .Telveti ls-es. Jar 1.4 O XT. 8. Maiinei; ls-oa.....Tr Pixie Qaaeai 14-os......t5e Plug Tobacco CIGARS -IaB.Tweea , It la; a . next - speelal ...45et .'Waabiartaa's Cablaetf t la a hex S1.25 Investor; a coed nslld crneae; Ms tor ......fl.60 White Owlf box ef S3.40 ' Jlaek 7 Owl i lot la hex fer....S6.QO BBXXB, PIFZaWA very llae ateertnteBt of eased and aa. eaaad .briars at specially- re. daeed prices for Satarday bayera. WOMEN'S SILK LISLE HOSE Tales to f ae ; Only 25c the Pair Breliea llaes la blaek asd white, doable solest hlrh spliced beat. All sixes la the lot. fte the pair BBtll sold. Women's Silk Hose $1.39 Is black, white, brease, rray, ete. Xoable soles, bleb aplleed beela, elsatle tarter tops. The bote will fire satisfactory service. , Misses' Fine Ribbed . Hose 35c, 39c, 49c Complete Has la black asd whltei doable heels aad toesf elaatie rib. Really attealshtaa- raises at ear prices! Boys' Heavy Ribbed Hose 35c, 39c, 49c, 59c Xxeelleat eaallty at the resnaa . tlve priees. Doable . heels aad - toes. Bay a sapply for year boys teaerrow at ear tpeelaf prices. J:& Ccats' Kcrccrizcd Crochet Cctfca, All Sizes, Colors, 2 for 25c Clark's and Ccats'- Sewcg Ccttca, AH Sizes, Ccbrs, 5: