The Washington herald. [volume], April 03, 1921, Page Page 12, Image 42

About The Washington herald. [volume] (Washington, D.C.) 1906-1939

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(Digest oi
Germany Shamming Dead.
THE fact has been very well established that there
it a wide difference between what appears to
be Germany's financial situation and what is her
actual economic condition. According to the official
figures of the German government, the finances of the
Bfich border on bankruptcy, while, on the other hand,
there are many evidences that German industries are
in a very healthy condition. According to one theory
this paradoxical situation if due to the fact that the
best brains and energy of the country are to be found
in industry, while the government is at the present
time left in the hands of inexperienced and incapable
men who have neither ideas* of their own nor the
capacity to carry oat the ideas of others. Another
theory is that the apparently hopeless condition of
German finances is l part of a well thought out plan
to make Germany appear in the worst light before
the world in order to seenre a reduction of the indemnhies
and to leave the chief burden of paying for the
war on the shoulders of the allies.
This second theory is held by a special investigator
of the London Daily Mail, who has made a tour
of Germany and has visited practically all the main
manufacturing and industrial centers from Dresden to
Frankfurt and from Nuremberg to Solingin. According
to this investigator, all Germany is hard at work
and low wages and kmg hours are the rule. While
the eight-hour day exiats officially, the average German
workmen by overtime or other special arrangements
works -for far longer hours. The German
manufacturer who competes with -British firms pays
his labor about IJ cents for every so cents or 60 cents
that his British rival has to pay his men. "Private
industry in Germany is competent and strong enough,"
says this investigator, "to survive labor troubles, the
depreciation of the mark, and all its other difficulties.
Production on the whole is very satisfactory and the
employers are optimistic. With a few exceptions,
business has been good and promises to recover
completely sooner than anybody could have possibly
anticipated."
It appears that conditions in the territories occupied
by the allies and in the cities which are frequently
visited by investigators differ very markedly from
conditions in districts which are off the beaten track.
The farther one gets from the occupied territory, the
better conditions are; food regulations are less strict;
trains are more comfortable; prices are lower; and
the attitude of the population is more cheerful and
optimistic. In certain regions like Bavara, where prices
fi?l wages have gone up together, life is almost normal,
in fact more normal than in most Entente
countries.
The Productive Capacity of
British and American Industries
PRODUCTION per worker in 1907-1909 measured
by wholesale prices was times as great in
the United States as in England, or, in other
words, two, American workers turn out ai large
quantity of goods as five English workers. A writer
in the London Economist, who has examined the
production census of England in 1907 and that of
America in 1909, declares that while production per
worker has increased in both countries since that time,
it is doubtless a fact that American workers are now
producing three times as much as British workers. In
some industries, according to this writer, such as the
cotton industry, America's superiority of output is not
large, but in iron and steel and engineering industries
the output per worker in the United States is very
great, partly because of the superiority of machinery*
and partly because there is no labor policy in the
United States which limits the output.
That railway ^workers produce more in America
'ban m England is shown by the fact that the average
Aotrkas train load ia four times as heavy as the average
British load. The declaration that the coal miner
of the United States produces two to three times as
much coal as the British miner is an understatement
when based o? yearly production, since the American
miners are scarcely ever employed the whole year
round. Comparing the output by the day in the bitominous
mines the production per worker in the
Uditad States is five times as great as that in England.
This fact is particularly striking, as the American
miner is, as a rule, an unskilled immigrant Telephone
workers ia the United States apparently have at
least twice as large * productive capacity as the British
workers. British bricklayers are reported as laying
no more than 350 Wicks per day, while the American
bricklayer at the same time lay aoo bricks per
hour. Under the Taylor-Gilbreth system they hare
laid as many, as 350 per hour,
It i* the contention of this writer that British industry
is suffering seriously from under-production,
which is due in a large measura to the belief of the
. Uy, Ihcy can benefit Aeaswhre. ^
" the Fore
tains that this tuperiority of output in America enables
our industries to produce many article* much
more cheaply than British industries, and at the same
time provides higher wage* lor American workers.
He believe* that the falling off in production of English
induttrie* will involve them in ruin, since England
i* relatively poor in natural resource*.
He concludes: "America has more than half of
the world's coal, more than half of the world's developed
water-power, and produces more than twothird's
of the world's oil. It produces two-thirds of
the world's raw cotton, and has a well-nigh inexhaustible
supply of all the raw materials of industry. England
can successfully compete with the United States
only if its poverty in raw materials is compensated
for by the greatest efficiency in production. It is no
doubt possible to double output per worker with the
existing machinery and treble and quadruple output
per worker by introducing improved machines. Unless
British production is rapidly increased, the country
may decline and decay."
ItaIo-\Jugo-Slav Relations.
MEASURES for putting into effect the clauses
of the Treaty of Rapallo have been taken by
both the Italian and Yugo-Slav governments
and negotiations regarding the economic treaty are
being discussed. The Italian evacuation of territories,
which have been awarded by the treaty to Yugoslavia
i* taking place without the disorders which
occurred at Spalato where there were conflicts between
the peasants and the Italian troops. Certain sections
of the Yugo-Slav press appear to wish to start a Slav
irridentist movement, but the obvious advantages of
peaceful relations are likely to overbalance arguments
of such a nature.
The Samouprava, an organ of the Serbian Radical
party, declare* that the city of Pec*, which was
awarded to Hungary by the peace treaty but which is
stilt occupied by Serbians, has become a cgnter of
Bolshevism. This town contains almost 10,000 workers
who had subscribed to the principles of the III
Internationale even before Jhe Bolshevik regime in
Hungary. Since the downfall of the Hungarian Bolsheviks.
Pecs has become a haven for Hungarian
Reds, and there are now over 2,000 refugees among
whom are many dangerous criminals. These elements
are busily developing Communist propaganda among
the workers, and, according to the Samouprava, constitute
a menace to the state which should receive the
attention of the Serbian government.
Political Alliances in Hungary.
P>LITICAL stability in Hungary has been very
seriously affected by the number of political
parties which exist and by the confusion of issues
which has resulted from the agitation of the
monarchist*, who have considered the problem of the
election of a king more important than any other
problem facing the country. A coalition of the United
Christian National Farmer Party, the .Christian National
Party and the "Dissidents" has been supporting
the government. The Dissidents are members of Parliament
who do not belong to any particular party,
but who, under the leadership of Count Teleki the
prime ^ninister, hope to reconstruct a majority party
powerful enough to support the' government. Since
the expulsion of the Bolsheyiks, there has been no
social democratic party in Parliament, but recently a
new party called the League of Citizens and Workmen
has been formed for the purpose of uniting the liberal
and socialist elements. The platform of this party embraces
universal suffrage, the right of public assembly,
freedom of the press, freedom from restrictions and
persecutions on account of race and religion, political
amnesty, the ceeonstructioo of Hungarian political
life on the basis of western liberalism, friendly relations
with other countries, independence and individuality
of the state, and revision of the Treaty of
the Trianon, which is to be accomplished through the
League of Nations.
The Anti-Bolshevik Bloc.
It is reported in the Polish press that the French
government haa expressed it* hope that Poland will
enter into an alliance with Caccho-Slovakia, Rumania,
and the Baltic States as a defensive 'measure against
Bolshevik aggression. Hungarian papers also refer to
this proposed alliance and intimate that if Hungary
were to become a member she would receive terri
torial concessions. There *<f rumors in Riga that the
formation of a political federation composed- of
Latvia, Esthonia and Finland is already under way.
European Tariffs.
Discussing tile, efforts of many Enropean state*
to improve their, financial condition by high tariffs
and import prohibitions, the Zurich -Courrier condemn*
*?Mk policies as being only palliative*
ign Press]
British Comment on the New
Administration.
INTEREST in President Harding's adiuiuistration
centers particularly on its probable foreign policy.
The selections for the Cabinet are regarded in
the light of their probable effect on America's foreign
relations. The correspondent of the London Times
points out that the new President has been urged by
the Senate to call a conference of Great Britain, Japan
and the United States on the question of a naval
holiday and that he has already promised to call a
conference of powers to consider world peace. The
passage of a resolution declaring the state of war with
Germany and Austria at an end Is considered likely.
Mr. Harding, it is pointed out, has personal knowledge
of European conditions gained on three visits to
Europe. He also has in Mr. Hoover an adviser who
is better acquainted with European conditions today
than any other American. The Times believes that
various discontented elements in America will endeavor
to influence the new administration to separate
peace with Germany and that perhaps a third party
will be formed. The appointment of Mr. Hoover will
arouse the bitter opposition of Senator Johnson and
Mr. Hearst and others who will endeavor "to muddy
the waters of international relationship" wherever
possible.
The Church Family Newspaper believes that the
appointment of Mr. Hughes and Mr. Hoover is an
augury that a policy of good wilt and cordial understanding
will be adopted towards Great Britain.
The correspondent of the Manchester Guardian
takes the position that the claims of the irreconcilables
that President Harding's inaugural address means a
policy of isolation are not borne out by the appointment
of Mr. Hughes and Mr. Hoover.
The Daily Telegraph finds the appointment of Mr.
Hughes and Mr. Hoover significant of the probable
foreign policy of the new administration. According
to this paper, the statements of both these men in
1919 is in direct opposition to the idea that the league
will be scrapped.
Crfmmon Sense says: "Mr. Hoover's work since
1914 has been the practical embodiment of this spirit
of magnanimity and mercy. His indomitable spirit,
his versatile energy, his wonderful power of organization
have given him an international reputation as
the reliever of famine, the chief engineer of reconstruction,
the healer of all wounds. It is the spirit of
the Red Cross. In this spirit, harnessed with justice,
civilization may once more begin to move forward."
The 50 Per Cent Tax on German
Exports.
DEBATES in the British Parliament and in the
French Chamber of Deputies have shown that
while there is a general approval of the principle
involved, there exists a good deal of doubt as to
how the 50 per cent tariff scheme will work out in
practice. If the allied importer pays 50 per cent of the
price of the Germsm goods he purchases to his government
and the German government refunds' the 50
per cent to the German exporter and all four parties
concerned willingly co-operate^ the scheme may serve
the purpose for which it was made, but. as the Manchester
Guardian points out, it is unlikely that all
four will co-operate. Considering the financial condition
of the German government, the German exporter
will undoubtedly prefer to sell his goods in
some country where the 50 P" cent tax is not collected
rather than take the chance of having his own
government fail to refund that amount. Furthermore,
there is the fundamental difficulty which crops up in
every reparation scheme. If German goods are imported
freely they WH1 mean a serious invasion of
allied industrial markets, and if they do not come in
freely no reparation will be collected. Allied industries
have already shown uneasiness over the possible
influx of German goods. It is a significant thing, according
to the Guardian, that Belgian coal owners
have actually petitioned their government to waive
all claims to reparation coal from Germany.
Polish Trade With Russia.
There has been steadily growing in Poland the
realization of the importance, of trade with Russia,
both from the standpoint of Polish economic recovery
and for the purpose of insuring peace. Since the
cessation of hostilities there has been considerable un>
official trade, which has consisted principally of Polish
textiles against grain, sugar and foodstuffs from the
Ukraine. The vojume of foodstuffs which has bfeen
secured from this source has not, however, been sufficient
to relieve the shortage in Poland, but it is generally
believed that now that the peace has been
signed, the volume of this trade will materially in..
crease. . JrJA.r--: Zill