M. Caillaux's visit to Washington to settle the terms of
the French debt has ended in an arrangement which has been variously interpreted but which marks an unquestimable failure to reach the desired end. The feeling between the two countries has not been improved by the discussions. French newspapers speak 'of the American proposals as grasping, and American newspapers speak of M. Caillaux's- proposals as evasive and rather too clever. It is a great pity that French statesmen. cannot apparently understand the American way of thinking. Americans regard sanctity of contract as about the most Important thing in the world ; but when the existence of a promise is frankly acknowledged, instead of being disputed or explained away,thcy are not very difficult to satisfy. When the essential point has been formally honoured they are capable of a kindly sentimentalism. They are then ready to proceed to some act of indulgence. What, however, makes them set their faces like a flint against any kind of yielding is to be told that a debt is not really a debt.
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