Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-12-04
German Finances.
, the Editor. of The Star:


German Finances.
To the Editor of The Star:
Will you allow to a German colleague
some remarks to your editorial about
German Finances" in The Evening Star
Of November %? Gladly approaching
the interest and the worry you are show
ing about the present financial and po-
litfcal conditions of Germany, I feel
obliged to direct your attention to some
points fitted to give somewhat brighter
aspect to the facts you quoting. Your
editorial points out the large deficits our
German budget is showing this year, and
concludes that Germany has been spend
ng so much money on military organ
cation during recent years that the de-
telopment of the normal sources of rev.
enue has not kept pace" You are doubt
ing the declaration of the secretary of the
treasury that there is still no lack o.
necessary sources of revenue" and you
are asking If further raising of taxation
will be complacently endured by the
people"
that in 1906 Germany's total military and
naval budgets reached the figure of
about one billion marks" But it sounds
less so If you find out that these budgets
constituted the precise sum of S213, 900 600
while in the same year the corresponding
expenses of the United States amounted
to S231, 100000 What is more important
for nation living in the midst of Europe
is the fact that France as we'll as Great
Britain is spending for the same purposes
still more money than either the German
or the American people. On the othe!
side the deficit of the German treasury
sounds less high, considering that our
debts are still much lower than the debts
of other great nations are. Distributing
the public debts per capita of the popu-
lation, you will find for each citizen Of
France. $14390; Great Britain, $SSS3
Russia, s2S.64: Germany, s1421; the
While certainly public debts are to be
Judged in a much more favorable sense
than those of a private citizen, you
might still find some consolation for your
nation as we'll as for ours in the figures
quoted above. Likewise. the taxes Ger
man citizens have to pay are not by far
so high as English or French taxation.
Above all, let me state that daficit
in the German budget does not mean the
same that d deficit in other treasures
might mean. The finances of the Ger
man empire originally were founded
chiefly not taxes nor on internal or
customs revenue, but on yearly contribu-
tions of the single states. To be sure,
there grew up rather soon the tendency
to give to the empire its own Independent
revenues. Since then Germany has been
building up system OF internal and Gus
toms revenues. But great parts OF tha
for all indirect taxes, the construction of
our financial system never was entirely
finished. Therefore. the statement that
the German empire needs more regular
revenues is neither particularly pleasant
nor particularly grieving, but it is the
most natural fact of the world. Like
wise. the statement that there are still
sources OF revenue to be opened is no
matter of serious discussion between the
different German parties. The radicals
as well as the socia lists themselves are
fighting, not so much against the in
crease of taxes at all as against the in
crease of indirect taxes and for the Gre
alton of direct ones. Just three weeks
ago Mr.. Haussmann. member of tn
reichstag, one of the most radical lead
ers of the German democracy, in most
demonstrative convention of his party
admi' ted that the nations prosperity has
grown SO strong that the very radical
parties might become a little less cautious
in appropriations. Said he: ''Whle
still are obliged to practice d financial
policy of soidity, there exists no longer
the former fear that general impoverish-
ment could result out of large public ex-
penditures.
On tn same line, I dare to doubt that
"the anti-militarism party in the reich
stag is already larg7 and growing" If
you put the word ''anti-militar sm'' for
the policy of Mr.. Herve and his social
istic adherents in France, then we hav
in Germany no anti-militarlsm at all. Our
German socialists want to abolish our
present military system; they do not want
| to abolish the army itself. They are
| proposing, with many minor changes, a
shorter time OF service for the younp
man, but, on the other hand, the yare
| asking for an increase of recruiting.
| There are today 10000 or 5000 yoLns
| men each year who are legally obliged to
serve, but who, after drawing lots, are
| discharged because neither thu admins
| tration nor the reichstag, cons ders a fur
|
| That there is no tendency in G rman So
| cialism to create any difficulties in times
| of war was clearly shown to the whole
| world on the recent international con-
| gress in Stuttgart. If you, new rtheless.
want to call these socialists anti-miltar-
| istic you hardly can state that they are
| growing in numbers in the rechstag
| While they counted 70 members in the
last reichstag, they are counting TO-DAY
not more than Al Moreover the other
radicals, who hitherto used to vote against
most increases of military, naval and CO.
| lonial expenditures, have since December
last changed their position out of different
motives. and their elections in January
| last have shown that the nation heartily
approved this change.
| May I state, last but not least, that the
intention of Germany Ito raise the fleet
to- the same high level as the fl cts of
| other nations" does not mean direct
rivalry with Great Britain Neither the
| government nor any sensible man in
Germany has ever wanted to build up
| fleet as large as the English fleet To
| be sure, to a certain extent the shouting
! of our jingoes caused other nations to
| believe the Germans capable of such a
| folly. The true meaning of the words
quoted above appears by reading tnem in
| the connection they were spoken in.
| These words referred to a proposed
| amendment to our naval law intending to
! increase not the quantity but the quail
ity of the German navy in reducing the
| term of active rvice for battleships
from twenty-five to twenty years. Since
! the other great naval powers have estab-
| lished the same term of service before
| the secretary could well call this new
amendment raising of the fleet to the
same high level as the fleets OF "other
| nations" WILHELM COHNSTAEDT.