Factors Continuing to Operate In_a note on international trade the National Bank of Commerce in New York says in Commerce Monthly"
The inability of Europe to buy will continue to be a major factor for an indefinite period. This is {directly reflected in the raw material-markets of every country which is dependent on the European market to any important degree and indirectly in the export markets for manufactured products of every class.
It is important in connexion wi the European situation that the effect of the establishment of an export business on a_ long-time jeredit basis should not be mis-\understood. In the face of the present shortage of capital the sale of raw materials on any other itenns than cash or an exchange of {eommodities does not alter the immediate situation. The sole result is the substitution of one kind of obligation for another. In other words, it will require years to make.up not only the actual capital de-, Struction which resulted from the war, bue also the loss in capital accumulation and the disorganization jof productive activity which resulted from it.
American business should frankly recognize this condition. A reas-enable export business can be done with due regard to established credit standards, and business on any other basis is undesirable. There is neither formula nor leger-domain by which poor credits become good, nor means whereby large business can be done with those whose credit does not permit or warrant such transactions. instance of the activity and enterprise of local Japanese is seen in their proposal to found a hospital of their own in Shanghai, The Japanese Residents' Corporation recently. purchased a piece of land off Scott Road near the Rifle Range, and it is upon this that they intend to build. At present there is no hospital especially for the treatment of Japanese, and in view of the large number now living in Shanghai the pro-pesa] is one to be commended.
Text read from the printed page and cleaned; old type leaves the occasional error.