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whereas there was no protection of Great Britain or France or America in this treaty, there was for the mainland of Japan. It was intimated that the treaty might be construed to give to Japan such a guaranty of security against foreign aggression as the American Senate had refused to sanction with regard to France. There was at once conjured up the picture of American boys being sent to fight in any quarrel that Japan might choose to get into with some other Power.

At once a great body of press correspondents started

off the scent.

If Senator Lodge in his speech which accompanied the presentation of the treaty had thought to mention the islands of Japan as he pictured the scattered islands of the Pacific ranging "from Australia, continental in magnitude, to atolls where there are no dwellers but the builders of the coral reefs or lonely rocks marking the peaks of mountains which rise up from the ocean's floor through miles of water be fore they touch the air," possibly this diversion might have been avoided; for in his speech Senator Lodge made perfectly plain that there could be no guaranty to the mainland of Japan, for the simple reason that there was no guaranty in the treaty whatever.

What started many of the press correspondents off to follow the red herring can perhaps be understood after a consideration of the circumstances under which press correspondence is prepared and despatched. Each day the correspondents of the daily newspapers seek for some special news which will command attention and be worthy of display. It is impossible for such a conference as this to reach critical decisions every day. Consequently there are days when the progress of the Conference, though important, is without sensational features. Anything that promises to be picturesque or sensational on such off days is naturally welcome. With the best intent in the world, every daily newspaper correspondent is under pressure to make the most of anything that seems rather out of the ordinary. Watching this Conference, moreover, are men who have been long trained in following the tortuous ways of the traditional kind of diplomacy, and they naturally believe that any course that goes off to one side is likely to be the true trail. There are also newspapers that have partisan ends to serve, and they are not always above misrepresentations which are likely to occasion trouble to the party in power. Unfortunately, too, many of the men representing the so-called liberal thought are bitter, suspicious, and over-fearful of being thought credulous. Some of them are so habituated to revolt against social conditions that they see intrigue and false pretense in everything about them. Some of them, professed pacifists, are suffering apparently from what they like to call a complex, in this case


suppressed pugnacity, and, being determined to do all they can to prevent war, find relief in a war of words against everybody not of their own faction. Naturally, too, in the course of such a Conference as this dealing with complicated questions there is bound to be a certain by-product of bewilderment, and this is particularly to be expected to make its appearance in the minds of those who have been thinking for weeks or months in the terms of international guaranties and then find themselves in a Conference which ignores guaranties altogether and builds its plans upon national self-restraint and international understanding.

Here, then, were two “stories" of a sort that could be put into headlinesthe story of an alleged pledge of armed security for Japan, and the story of alleged concealment and furtiveness. Then came the opportunity for another "story"-disagreement between the President and the Secretary of State. In answer to the inquiry of a correspondent President Harding was reported to have said that he understood that the scope of the treaty did not include the homeland of Japan. Within a few hours of the publication of this report, which was correct, the President issued the following statement:

When the President was responding to press inquiries at the afternoon interview to-day, he expressed the opinion that the homeland of Japan did not come within the words "insular possessions and insular dominions" under the four-party agreement, except as territory proper of any other nation which is a party to the agreement. This expression has been emphasized as a division between the President and the delegates to the Conference in construing the four-party agreement.

The President announced to-night

that the difference in view in nowise will be permitted to embarrass the Conference or the ratification of the agreement. He had assumed all along that the spirit of the Conference contemplates a confidence which pledges respect of territory in every way which tends to promote lasting peace.

He has learned from the United States delegation to the Conference that they have agreed to the construction which includes the homeland of Japan in the term "insular possessions and insular dominions," and has no objection to that construction.

What this proved was not disagreement as to anything vital, but it did show that the American delegates were acting with so free a hand that the President was not even following from day to day the details of their work. At Paris the Commissioners were evidently not kept informed of the decisions which the President was daily making. at the Washington Conference the President is keeping himself so much to one side that he gives an interpretation of the delegates' work which the delegates themselves do not share. It seems to me that Mr. Harding's method in this respect is better than Mr. Wilson's. When he selected the plenipotentiaries to act for the Executive, he first made sure that the men he selected believed in the object he had in view and were competent, and then he left them to act as free agents. If any proof were needed that the Conference was free from Executive dictation, it is supplied in this incident.

As a matter of fact, the point upon which the varied interpretation centers is of no significance. No question can arise which would be materially affected by including or excluding the homeland islands of Japan within the scope of the




treaty. Any question arising in the defense. But this is not a treaty of Pacific, if it is serious enough, will alliance, and such an act as that is not bring these four Powers together for contemplated as an incident requiring common counsel if the treaty is ob- its application. Such an act would be served, and that is all that the treaty an act of war, and when war begins the requires. It is not a question of wait- time is past for conferences and consuling until some military attack is made tation. What this treaty undertakes to and then coming to a common defense. do is to establish such relations that That is the method of an alliance. That such an act on the part of any one of is a method that has been tried many the four Powers would be inconceivable. times. That is so common that some So far as the objection to including people seem to imagine that no nations the homeland islands of Japan has any can come to a common agreement with- effect at all it plays into the hands of out involving themselves in an alliance. the militarists of Japan. It provides That is a method that contemplates war

them with what advertisers call "a talkand provides for a course of action in ing point.” It enables them to say that case of war. This Four Power Treaty Americans are not willing to pledge does nothing of the sort. This does not themselves not to make an aggressive contemplate war. This makes no pro- attack upon Japan. It enables them to vision for military or naval action. argue that, while pretending to promote What this contemplates is the possi- mutual confidence, the Americans are, bility of differences of opinion and pol. after all, suspicious. Indeed, if any icy, and it provides for doing under country has a reason for sentimental such a condition exactly what the nine objection to the inclusion of the islands nations assembled at Washington have of Japan in the scope of the treaty it is been doing for the past six weeks.

Japan itself, for it may be argued that The difference can be shown perhaps it tends to set Japan apart as a country by a supposititious case such as was whose homeland is dependent for safety propounded to me. Let us suppose, said upon the promises of other nations. in substance a press correspondent in Of course all these arguments pro and the course of a discussion on the sub- con have no bearing upon the real purject, that Japan should send a sub- pose of the treaty or its operation in marine across the Pacific into the Pan- practice. This is made clear by the folama Canal and there set off a mine and lowing statement issued from the White block the passage; that would be an House on December 23: attack upon one of the possessions of The President will offer no comthe United States, but it would not be ment on the disputes which attempt an island possession in the Pacific. to magnify the differing construcWould that involve this treaty? Such

tions on the four-party treaty. To an instance is of exactly the sort that

him these are unimportant. The big

things aimed at are understandings is contemplated in a treaty of alliance.

for peace and an agreement to meet If this were a treaty of alliance and

and discuss the preservation of peace such an act came within the scope of it,

whenever it is threatened. No alliour allies woud have to come to our ance or entanglement is thought of,

none will be negotiated. It would be better to rejoice over things accomplished than to dwell on different views which can be of no great consequence.

The President is unwilling that the unjustified charge that the United States delegates are withholding information shall go unchallenged. He has full confidence, else he had not chosen them, and he has full contidence now and is more than gratified over their efforts, because they are working out the greatest contribution to peace and good will which has ever marked the Christmas time in all the Christian era.

It is one thing to talk about the ideals of peace, but the bigger thing is to seek the actuality. This the ('onference is doing, in harmony with an overwhelming American sentiment, and a world sentiment, too, and in full accord with cherished Ameri

can traditions. When this statement was issued, President Harding was asked by a correspondent whether he thought that during 1921 there had been progress in peace and good will, and he answered:

I think I made some such reply to a similar question at the last interview. I do think so. I believe it with all my heart. I do not say that with the thought of arrogating to the United States of America any greater part of the contribution than that which has been made by other nations of like importance and like civilization. But it seems to me that in 1921, as we have come to know more fully the aftermath of the war, as we have come to appraise the unspeakable cost of it all, there is a new conviction in the hearts of men that that sort of appeal—the appeal to arms—to settle the international questions is a futile thing, and that we are unworthy of our position and unworthy of the blessings which fall to a righteous civilization if we do not find some means for a righteous adjustment without appeal to slaughter and waste and all the distresses that attend. I think that conviction has rooted itself throughout the world, and there must come some helpful, progressive expression of it. I think that expression is being given at this Conference. I have no thought to preach on this subject to-day, but make your own applications, please.

When men sit about the Conference table and look each other in the face and look upon the problems deliberately, without passion, they find the way to come to an agreement. And after all there has never been a conflict in the world that has not been settled in the end in that way. You have a war; you destroy thousands or millions of men and measureless treasure, and then you gather about a table and settle it. I have a feeling that mankind has become wise enough to sit down before the war and try to settle it. And that is the object of the four-party treaty. That is why I say the small lack of agreement in construing it is not significant.

Why, if there was a menace of peace in Japan, what objection could there be for the l'nited States to sit down with her friend in the Orient


the world. If this present-day civili-
zation cannot take advantage of this
new realization, of that emphasized
conviction, I would not give much for
the civilization of the future. But
there is a new spirit seeking and im-
pelling peace, and it must add to our
Christmas happiness.

and with the other Great Powers and (liscuss how the matter could be adjusted? If some one had done that when Austria was threatening Serbia, there would have been no European War. The whole purpose of this Conference is to provide some means where just, thoughtful, righteous peoples, who are not seeking to seize something which does not belong to them, can live peaceably together and eliminate causes of conflict. This is in the American heart and it is in the British heart and it is in the Japanese heart, in the French heart, in the Italian heart-it is everywhere in

which involves a mutual guaranty of armed protection. It is simply a plan to consider together any question at issue. It is an experiment that can be undertaken only by friends. Are these four nations good enough friends to undertake it? They have proved themselves good enough friends to try the experiment in Washington, and are apparently trying it successfully. No reason appears, so far as I know, why, whenever occasion demands, they may not keep on trying it.

December 27, 1921.

What President Harding had in mind and what the nations are planning in their Conference is frankly an experiment. It is not a declaration of policy like the Monroe Doctrine, which contains a threat. It is not an alliance



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HERE is a bill now before Con- miles, not to mention irrigation sub- The Kenyon Bill has value as an edu

gress which is the first necessary sidiaries for hundreds of thousands of cational measure with respect to the

step in an important change of acres of land. Again, post offices and public works policy of cities and States, blic policy. It is S.-2749, on long. Federal buildings are needed in hun- the volume of whose public works is 'ge planning of public works, intro- dreds of towns. The Federal Govern- over five times that of the Federal Goved by Senator Kenyon on November ment rents many cramped and inade- ernment. When Washington takes the on the recommendation of the Presi. quate quarters. There is constant press- lead, the cities and States will gradually 's Conference on Unemployment. ure on members of Congress to fill Fed follow. To-day advance planning of he Conference on Unemployment eral needs locally. These buildings will public works by American cities hardly ited out the need for long-range think- be built. The only question is when. exists. City plans over a period of years and long-range planning in public The Kenyon Bill proposes that plans for would enable a city to carry out some of 's. This bill will help to make that these undertakings be ready wherever its major improvements during periods ing and planning an actuality. possible, and the bulk of them executed of depression, when men and materials » Kenyon Bill advocates, as a defi- during bad times rather than during are plentiful. Municipal bonds are often Jolicy, the expansion and contrac- boom times.

in greatest demand when capital is of Federal public works to accord Vast areas are sure to be reclaimed timid about investment in industrial enthe periods of fall and rise in pri- through irrigation and drainage. The terprises. Consequently the cities are industry and employment. Such a territory of the United States will even- able to go ahead during bad times when y is a right-about-face on the part tually be increased, not by wars of con- private industry is checked. Only a e Federal Government. In the past quest, but by the pick, the shovel, the small part of the ordinary necessary s been much more likely to expand dam, and the ditch. These great under public works needs to be deferred each public works in boom times and to takings usually linger in Congress be- year, in order to iron out an appreciable tract them in dull times. What this cause there is no impetus to action. The part of the inequalities of employment. does is to call upon the various pub- Kenyon Bill would assist, not only in In a growing country like the United works agencies of the Federal Gov- having ready the plans for such projects, States the amount of public works of iment to be prepared in advance with but in giving the final impetus at a time Federal, State, and municipal governgineering plans for proposed under- when general industry and employment ments is so great that if this policy were kings, so that when an appropriation are in need of stabilization.

followed and the resulting accumulation, made in a time of depression the work How can Congress know the proper plus the normal, executed in a year of n go forward immediately, rather than time to go ahead? The Kenyon Bill depression like the present, the actual ait months or years until plans have provides that the Department of Com- wages paid in public works would be en prepared and approved. Before the merce shall publish monthly statements equal to a large percentage of the loss enyon legislation there has been no of the rise and fall in cyclical waves of in wages in private industry during the incentive for Federal public works agen- business expansion and depression as a period of depression. But the wages recies to keep ahead of the game. After guide in preparing in advance for the ceived in public works are only a small this legislation it will be a breach of expansion of public works. A few large part of the total stimulus to industry. duty on the part of public works officials corporations have kept such statistics Orders for the necessary materials proif they are not ready to proceed when- and have been able to predict the peaks vide an additional wage payment. The ever called on to do so.

of the waves of expansion. By making wages received by direct workers and Many Government projects contain few purchases of raw materials at such workers in production of materials intricate problems which will require times, by keeping their stores low, they create by their expenditure a demand years to solve. For instance, the Boulder have been able to make profits by re- for commodities and set new groups of Canyon Dam in Arizona would develop fraining from buying at the top and hav. workers to making garments, shoes, and more power than Niagara Falls, would ing the resources to buy and manu- textiles, and so liquefy the frozen credits light southern California, and would run facture as the wave falls. Each corpora- in raw and finished materials. the railways and many factories. But tion which follows this policy takes a A concentrated public works probefore it can be built agreements must little off the top and fills in a little of gramme is like dropping a pebble into a be had from various States not to divert the trough of the wave of depression. pond. The waves extend to the farthest the head-waters into other watersheds; The barometer of business proposed by shores of industry. But before the pebthe Government policy must be deter- this bill would enable more business ble is dropped there must be foremined, involving Federal, State, city, men and corporations, as well as the thought, there must be planning, and and private corporations; and engineer- Government, to obtain this information these the Kenyon Bill is intended to ing work planned over hundreds of and protect themselves accordingly. stimulate.


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ITH the election of Mr. Harding a former Republican Governor-General Filipinos are deeply interested in public

it became obvious that one of of the Philippines, to go to the Philip- education. Their enthusiasm, their the first duties of the incoming pines

keenness to secure education for their Administration would be to take stock

to make there a study of the

children, is beyond praise. in that branch office of American democ- situation and to report thereon, in gressive development of the school sys racy which we know as the Philippines. order that I may have a judgment tem has been phenomenal." That particular branch of our Govern- on which I can base my action and This high praise is modified only by mental

has always been a my recommendations with a concern

con- the following condition: "Indeed, en source of anxiety. It provided Mr.

sciousness that I am dealing justly

thusiasm has at times outrun prudence

with the Filipino people and pursuBryan with one of the best-selling arti

and expansion has taken place so rap

ing a policy which the American peocles in his sample book. It moved Will

ple will sanction and support.

idly that efficiency has not been able to iam Vaughan Moody to passionate

keep pace. However, such mistakes a

In his instruction to General Wood poetry. It has figured in the National

have been made have resulted from er platforms of the major parties ever

Secretary Weeks quoted the original in- thusiasm in a noble cause--the educ: since Admiral Dewey remarked to a structions issued by McKinley for the tion of the youth of the islands." . gentleman by the name of Gridley, “You guidance of the Commissioners sent to

In the field of finance the darke may fire when ready." the Philippines in 1900. President

chapter in the effort to Philippinize With the accession of President Har. McKinley wrote:

Philippine Government is to be fou ding the country voted to give its affairs In all the forms of government and

The Commission states: again into the hands of the same board administrative provisions which they

The story of the Philippine N of directors (or the political heirs of are authorized to prescribe, the com

tional Bank is

of the that board) which' was responsible for mission should bear in mind that the

unfortunate and darkest

pages the original Oriental investment in

government which they are establish

Philippine history. This bank

ing is designed not for our satisfacAmerican Preferred.

started in 1916, and a law was pa tion, or for the expression of our For eight years the management of

compelling all provincial and my

theoretical views, but for the happithis investment had been in the hands

pal governments to deposit all ness, peace, and prosperity of the

funds in it; and at the same of men who because of party pledge and people of the Philippine Islands, and

arrangements were made to tr: personal predilection had fought the the measures adopted should be made

from other banks all gover venture from the start and who were to conform to their customs, their

funds there deposited, except eager to wipe the whole affair off the habits, and even their prejudices, the

funds, which were held on dep books at the earliest possible moment.

fullest extent consistent with the ac

the United States; later the complishment of the indispensable It was in this attitude of mind that

was put into a position to get a

requisites of just and effective govPresident Wilson sent a Message to Con

of these moneys and reserve ernment.

The sum of $41,500,000, held fi gress in December, 1920, in which he

conversion of currency, was said:

Secretary Weeks declared to General

ferred to the Philippine Island Wood that no better guide for judgment Allow me to call your attention to

bank making a large profit i the fact that the people of the Philipof the adequacy of the Philippine Gov.

change in doing so. Much of it pine Islands have succeeded in main- ernment as it now exists could be found

then loaned out to speculative taining a stable government since than this statement of President McKin

cerns under circumstances the last action of the Congress in ley.

have led to grave doubt as to their behalf, and have thus fulfilled

The conclusions reached by General good faith of the transactions. . the condition set by the Congress as Wood and Mr. Forbes have now been

A partner of Messrs. Haskin precedent

consideration of

Sells, certified public accountant; made public in one of the most illumigranting independence to the islands.

New York, after a careful exam I respectfully submit that this condinating governmental reports which we

tion of the bank, makes the follow tion precedent having been fulfilled, have ever read. It is marked through

comment: it is now our liberty and our duty to out by breadth of vision and tolerance "Our examination thus far reve keep our promise to the people of of spirit. It is the fruit of a truly judi- the fact that the bank has been op those islands by granting them the cial attempt to investigate the situation ated during almost the entire per independence which they so honor

in the Philippines with scientific thor- of its existence prior to the appoir ably covet. oughness and to derive from this inves

ment of Mr. Wilson as manager When President Harding came into tigation conclusions of the most con

violation of every principle whic office, he quoted this Message in a letter structive character.

prudence, intelligence, or even hon.

esty, dictate." to Secretary Weeks, pointing out the The report begins with a summary of fact that Congress had not acted upon the task confronting the Commission. The losses of the bank, the Commis this recommendation and saying:

This is followed by an outline history of sion points out, have involved thi Undoubtedly that non-action was the Philippines and of the American oc- Philippine Government to a very gravi

extent: due to the fact that all of the evi- cupation of the islands. The study of dence available to Congress was not the present condition of the islands The currency resources have been of this same tenor. Based, however,

covers the state of the public order, ad- depleted, the silver on deposit to reas it was, on official reports from the ministration of justice, the question of

deem the currency has been pledged highest authority in the Philippine

and used for other purposes. land titles, the conduct of public institu

The Islands, as well as on current reports

fund for the maintenance of the from lesser authorities given the tions, such as prisons, hospitals, and the

parity of gold and silver is involved widest circulation in the United Bureau of Science, the development of

in these losses, with the result that States, as well as in the islands, it the school system, economic conditions,

instead of a metallic and cash basis cannot, with propriety, be ignored, and finances.

for the currency, its principal supnor yet can it, in the face of conflict- It is in the administration of the port now is the pledge of the Philiping evidence from many sources, be

schools that the Commission finds its pine Government and the confidence accepted as the final word on so imbest cause for congratulating the

on the part of the public that they portant a subject. islands. Of their attitude towards edu

United States will not permit these

things to happen again. The curIn the same letter President Harding cation the Commission states:

rency is now practically a fiat cursaid that he had selected Major-General "The whole people have a consuming

rency. Leonard Wood and W. Cameron Forbes, thirst for education" and again: “The In view of good earnings, moderate


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and a discreditable neglect of our National duty were we to withdraw from the islands and terminate our relationship there without giving the Filipinos the best chance possible to have an orderly and permanently stable government.

xpenses, inherent wealth, a small public debt, and backed by the credit of the United States, the problem of ehabilitating the credit of the Philipine Islands should be an easy one. he lesson has been a bitter one for

Filipinos and the. gravity of the stake is generally appreciated. s a result of the whole painstaking stigation General Wood and Mr. bes have reached conclusions which uld be of interest to all students of

Government. These conclusions and ommendations are worth quoting in 1:


GENERAL CONCLUSIONS We find the people happy, peaceful, and in the main prosperous, and keenly appreciative of the benefits of American rule.

We find everywhere among the Christian Filipinos the desire for independence, generally under the protection of the United States. Thę non-Christians and Americans are for continuance of American control.

We find a general failure to appreciate the fact that independence under the protection of another nation is not true independence.

We find that the Government is not reasonably free from those underlying causes which result in the destruction of government.

We find that a reasonable proportion of officials and employees are men of good character and ability, and reasonably faithful to the trust imposed upon them; but that the efficiency of the public services has allen off, and that they are now relaively inefficient, due to lack of inspection and to the too rapid transfer of control to officials who have not iad the necessary time for proper raining.

We find that many Filipinos have shown marked capacity for Govern

ment service and that the young generation is full of promise; that the Civil Service laws have in the main been honestly administered, but there is a marked deterioration due to the injection of politics.

We find there is a disquieting lack of confidence in the administration of justice, to an extent which constitutes a menace to the stability of the Government.

We find that the people are not organized economically nor from the standpoint f national defense to maintain an

independent government.

We find that the legislative chambers are conducted with dignity and decorum and are, composed of representative men.

We feel that the lack of success in certain departments should not be considered as proof of essential incapacity on the part of Filipinos, but rather as indicating lack of experience and opportunity, and especially lack of inspection.

We find that questions in regard to confirmation of appointments might at any time arise which would make a deadlock between the Governor(eneral and the Philippine Senate.

We feel that with all their many excellent qualities, the experience of the past eight years, during which they have had practical autonomy. has not been such as to justify the people of the United States relinquishing supervision of the Government of the Philippine Islands, withdrawing their Army and Navy. and leaving the islands a prey to any powerful nation coveting their rich soil and potential commercial advantages.

In conclusion We are convinced that it would be a betrayal of the Philippine people, a misfortune to the American people. distinct step backward in the path of progress,

1. We recommend that the present general status of the Philippine Islands "continue until the people have had time to absorb and thoroughly master the powers already in their hands.

2. We recommend that the responsible representative of the United States, the Governor-General, have authority commensurate with the responsibilities of his position. In case of failure to secure the necessary corrective action by the Philippine Legislature, we recommend that (ongress declare null and void legislation which has been enacted diminishing, limiting, or dividing the authority granted the Governor-General under Act No. 240 of the Sixty-fourth Congress, known as the Jones Bill.

3. We recommend that in case of a deadlock between the Governor-General and the Philippine Senate in the confirmation of appointments that the President of the United States be authorized to make and render the final decision.

4. We recommend that under no circumstances should the American Government permit to be established in the Philippine Islands a situation which would leave the United States in a position of responsibility without authority.


W. CAMERON FORBES. October 8, 1921

We wish that this report might haie the fullest possible distribution. It is a historie document.


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