The Washington herald., 1915-12-19

faith of their friends. but their ability to
pay 1t Is difficult to obtain expressjops
of opinion on this subject from public
men for publication. but Joseph King, q
member Of Parliament. who has vainIy
attempted to get some details about these
advances from the government, said:
The people and the Parliament are
left In the dark. viii the allies b
able to pay Britain? Or will Britain
be left to bear the burden? What con-
ditions or terms have been agreed upon
In making these loans and in accepting
them? Are there conditions involving
definite things II the allies win, transfers
Of territory. imposition of indemnites.
future taxation. regular rates of interest
and repayment within a given timey
These questions are obviously most i'm
portant and fraught with future fears.
1t Is clear that whatever moral in
debtedness to Britain for her loans ex-
lists. yet repayment to her must depend,
In great measure. on the circumstances
at the end Of the war Assuming the
victory CT the allies. will rich territories
IKE Lorraine, Alsace. Prussian Poland
be taken from Germany? Will similar
losses OF territory be inflicted on Austria
and Turkey? II so, then those countries
Iwii1 hardly be able to recover sufficiently
! to pay any large indemnities II periodic
Payments OF large sums over a serie.
iof years are imposed on Britains en-
emies. these will. obviously. be given In
the first place to restore ravaged France
Poland. Serbia and Belgium: then what
will be left over to cover repayment OF
! British loans? Again, IL the allies decide
after the war to have no trade dealings
with Germany. and to refuse to supply
from their colonies and possessions the
raw materials of her manufactures.
while they at the same time refuse &c
restore her old captured colonies. Ger
many will be kept in such an impoverish-
ed. hopeless condition that she may be
unable TO pay the demanded indemnities.
! IF after the war the allies are both
anxious and able TO repay her generous
loans. how can this be done? II might
be done by allocating to Britain the pro-
ceeds of certain taxes. dues or service
such as customs. monopoliss. dues on har-
bors. or receipts from railways. or h.
grants of colonies. or hy taking up in
London loan which would be foreign
government obligation. There are obvious
difficulties in all these courses. More
over. trade will be bad. commerce disor-
ganized. capital scarce. the rate Of inter
est very high. taxation enormous, the
whole world exhausted and altered.
Depend. Upon Result of War.
I
will depend. in the long run. on her and
her allies coming out OF the war success
ful. with harmony unbroken. each with
clear objects and aims which do not
conflict and not too exhausted and
stricken to be unable to repair in few
years of peace and progress the ravaG.s
I Of war. These are large conditions but
I in spite of all the disCouraCing features
| of the hour. they are not unattainable. II
I
Britain is left to find S25h.C..0l0 interest
every year. the cost Of the loans to hcr
allies
! This is Mr.. Kings answer to the G;!"s
tion why Britain is forced 10 turn over
billions to her partners in the war:
! Russia is economically backward. rn-
developed. cut OF from her western
friends. vet needing munitions from
Japan. America and from England
| Italy is economically poor. but rich in
natural resources. and not vet recOv-
cred from the strain of the TripolI war
France. though very rich in accumulated
! wealth. has sent every available man
| into the field. has stripped herself Of
workers in her industries. and, when the
war started. she was not free of financial
embarrassments and scandals. Belgium
has an outcast government. without
! means to collect her taxes. Serbia is
IN periIous and piteous state. All
J Britain's allies. save Japan, need, and
| have received. British help.
In discussing the financial situation !
| have asked every man with whom I have
talked whether. in his opinion. Britain
/ can Put l.s0.0Ht more men In the field.
continue financing her allies on the pres
! ent scale. and remain solvent for two
Years more. Not one nf them replied with
a confident affirmative All laid stress
on how much better IS EnGland's POSITION
than Germany's That ! believe is true
and quite possibly the determination of
/ the British government 70 20 full speed
! ahead regardless Of fnancial psriIS that
must he met is due To a confident belief
! that economic distress will compel the
central empires To give up regardless Of
events on the hattleticlds bcfor- the
chancellor Of the eNchequer Is forced to
rise in the house Of commons md say.
/ We cannot 20 on with the war