Decrying the American isolation theory and advising the United States to seek larger international cooperation, Mr. Paul M. Warburg took an optimistic view of the present economic situation, predicting a financial recovery, in the course of his annual address as Chairman of the Manhattan Company which controls many powerful banking and financial institutions.
Our tariff policy and our attitude towards inter-Allied and reparation payments, Mr. Warburg said, should be guided by the considerations that our prosperity and our undisturbed peace and security depend upon the peace and prosperity of other countries. The world’s balance sheet became lop-sided on account of the economic and financial superiority which the post-war years gave us. We should do everything in our power to prevent this condition from becoming further accentuated. Courageous action in this regard might help the world to overcome the dead point in the state of stagnation from which it is struggling to emerge.
In emphasising the causes of the present economic crisis, Mr. Warburg said that when new markets failed to open up, while important old markets became impaired, when in addition the hydraulic pressure of reparations payments forced Germany to increase her exportable output at all costs, then the critical moment came when production overwhelmed manipulation.
Help ensure Jewish news remains accessible to all. Your donation to the Jewish Telegraphic Agency powers the trusted journalism that has connected Jewish communities worldwide for more than 100 years. With your help, JTA can continue to deliver vital news and insights. Donate today.
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
