The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1898-01-26
GERMANY'S DEVELOPMENT.
From an Inconsiderabie European
Nation in 1870 Ii Has Advanced TO
One of the First Magnitude.

Out lTst
From the Philadelphia North American.
Nothing Is more remarkable in the
history of Europe during the last quar-
ter of a century than the financial,
commercial and industrial develop
ment of Germany. In 1870, when the
war with France broke out, Germany
was a relatively poor country, whose
population of some forty million per-
sons was chiefly engaged in agricul-
tural pursuits, and of whose inconsid-
cradle expectations foodstuffs formed
by far the largest proportion. The
fruits of its enormous triumph over
France gave it the impetus which
started 1t upon the path of progress
and prosperity, which it has since fol-
lowed with such an astonishing meas
ure of success When, in May, 1871, the
treaty of peace between France and
Germany was consummated at Ver-
sailles, France became bound to pay
to the Berlin government war in
demnity of $1,OOO.0OO,OO0 in gold.
Prince Bismarck's supposition had
been that France would not be able
for long time to raise so large q sum,
and that in doing so her financial re-
sources would be so thoroughly ex-
hausted as to reduce her to condition
of national impotence. His intention,
as expressed in his own language, had
been to bleed the conquered country to
the white, and he thought he was do
ing it. But he had underestimated the
capacity of the peasant stocking. The
indemnity was paid with an ease and
promptitude which amazed the world,
and with the treasure thus acquired
Germany started upon the new career
which since then has carried her so
far. With the French miliards in it's
treasury the government was able to
carry out it's cherished purpose
for the reformation of the currency.
The silver thaler as the unit of value
was abandoned the gold standard was
established, and the first step toward
a period of prosperous growth which
scarcely has a parallel in the history
of nations had been taken.
Only our own experience during the
decade of 1SS0-1S90 can be compared to
the experience of Germany since the
close of the war with France. Within
that time the German population has
increased from 100000 900 to 1000, 900,
an astonishing growth when it is re-
membered that it has taken place in
spite of an enormous emigration which
the authorities have vainly sought to
check; while the expansion of indus
trial and commercial activity is shown
in the circumstance that whereas in
1882 AZ per cent. of the German popu-
lation lived by farming, the percent
age now is only q little over 36. Sc
complete is the revolution that, from
being a cereal exporting country, Ger
many now imports foodstuffs to the
amount of about $400, 100000 every year
in excess of it's expectations.
The immense industrial expansion
thus indicated has been accompanied
and largely stimulated by a like ex.
pansion of finance. The Deutsch banl
of Berlin, founded in 1870 with a capi.
tai of $3,500, 900, has steadily enlarged
the scope of it's operations until, will
more than / 300 employees and a capi.
tai of more than $4,000 900 and an an
| nual business of considerably over 81,
| 000, 900, 900, it has become one of the
| great banking institutions of tn,
world. 1t is the most conspicuous ex
ample of German financial progress
but it is not the only one. There ha!
| been parallel advance all along tn,
| line, and the accumulation of savings
! which is going on is reflected in tn,
| immense development of life insurance
as indicated by the growth in the as
sets of the life insurance companies
which now aggregate $1,600,000, 900.
For some time Germany has beer
Z England's most dangerous competito
in the markets of the world, but France
and England have heretofore held wei
| to the front in finance. 1t seems tha
| there also Germany is already press
| ing them hard.