China Better Able to Stand Protracted War London, Feb. 13.
"Japan's highly industrialized structure is more vulnerable to a. protracted, war than China's agricultural system," declares Dr. H. H. Kung, [President of the Execullve Yuan of /China, in a, statement published today in the "Observer."
"Japan," Dr. Kang says, "started the war amidst fnanciat and economic dimeulties. 'The situation has. become worse for Japan because the doors Jot borrowing are not likely to be opened to' her."
On the other hand, the Chinese Premier continues, "with her emergency exchange requirements largely [provided for, China's foreign payments are likely to return to an ap-[proximate balance.
"China, despite her military exigencles,"'he concludes, "has lived up and intends to live wp to her ob+ gations by fully and promptly meet. ing the service of her external and internal obligations."—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.