Albuquerque morning journal., 1908-03-16
Government Considering Prop
osition of European Syndi-
cate Which May Relieve 1t of
Heavy Self Imposed Task
COST OF ARMY AND NAVY
KEEPS NATION BROKE
FinancierS of Western World
Make Reduction of War
Budget Condition of Lending
Financial Assistance.
Lnx LiornIng Jonrnal speelaI Leased Wlre.l

JBy Liorning Joarnal Special Leased Wire ]
Toxic, March 15.--The government
of Japan, finding that the self-imposed
burden of nationalized railroads Is
likely to prove too heavy, is now en-
gagged in consideration of tentative
projects for relieving itself and al
the same time serving the dobu'" our
pose Of building up the inGu"Dtes of
the country, providing ADM Jnal eN-
ports for Is subsidized steamship lines,
and increasing its own income by the
revenue deriVable from increased
production. To the layman nothing
presents so difficult a problem at the
present time as that of high finance
in Japan.
The tremendous outlay on army
and navy has been and still contin-
ues to be the point on which states
men, politicians and ffnanciers arc
quarreling. With sixty per cent of its
appropriations given to the three d.
visions, finance, army and navy nee
essarily but little is left for the so
much needed Improvement Of the
railroads and the present condition Of
the country, the four hundred millions
that must be paid to the Old railroad
companies will strain the ingenuity OF
the financiers who have undertaken
the reorganization. Meanwhile but
little can be done to extend the track
age throughout those sections Oh ia
pan where IL Is much heeueu LOT ue-
velopment, ana to improve ana equip
the present lines IN sueh manner as
to enahle them TO letch ana carry III
an adequate degree. II is quite real
ized by commefclal men VINO oppossu
the nauohall1auoh ol tue failroaoS
at the time the questlon came up alC
by those VINO Favored the movement
but nave since changed their views
that without network OF fallroaus IN
the island II would pe lnpoSslpIe 10
develop resources ana consequently
impossible Tor the government TO ao-
Just its finances so that IN future years
IT'S income may meet ltS necessary ana
legitimate expenses.
1t IS IN TINS connection thal IMAM
clers, engineers ana ral'road men from
foreign countries nave peel III Coh-
ference Ior the last mohth ana more
with certain leadlng men IN japan
II Is understood that tne propoSlllo!,h
now hhdlns iaVof IS Jhal the ran
roads oil Japan shouIa pe leaSeu LOT
perloS OF years 10 private companies
or syndlcates, Whlch VIII take from
the shoulders Oh the Japanese govern
nent the llhahclal puIueh ana IeSpoh-
slplllty II mas undertaken IN tnls CON
nectioni which VIII pay 70 the gov
ernment a certain percentage OF l'of,
IT'S ana undertake improvements ana
extensions under given scheduIp'
The plans IN thus connection are az
present entirely tentative, put II may
be stated that they nave assumed Il
somewhat concrete form ana thaI IN
DER certain conditions european n
ndnclers nave expressed thelf Wlillhg-
less to undertake the work, 1t Is
pointed out that When the government
OF ltaly nationalzed the fallroaaS
many years ago II discovered, IKE
Japan, that the Undertaking was likely
10 hamper the normal movement OF
the country's finances and that a pan
somewhat similar to that now under
consideration here was adopted with
great success. 1t is doubtful, how
ever, If anything more definite along
these lines Will at least be made pub
nc until after the coming elections.
The influence that has undoubtedly
prompted Japan to at least take into
consideration this question Of the fut-
ure conduct of the railroacS Is stated
to be the fact that. in view Of the q
hancial necessities of the coming
lWeNe months, fndnclefS prlleNeu
mat a foreign loan was inevitable,
and that the foreign markets were
sound. II then developed that Europe
and America regarded the naval and
military policies Of Japan, which It
was thought indicated an expectation
of trouble as fatal to Japan's credit
as a borrower to large amounts in the
foreign field In other words, Japan