Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1915-04-26
DUAL MONARCHY IS ABLE
TO STAND MONEY DRAIN
Economic System OF Austria Hun
gary Equal to Great Task
Imposed by War.
DEPOSIT ACCOUNTS INTACT
Decrease I'm Bank Accounts Follow
ing Recent War Loan Amounted
Only to 8 Per Ccnt-NOwhcrc Is
There Trace of Crisis.

VIENNA. April 25.-The official
Fremdenblatt publishes an article by
the director of the Allceme!ne Yer
kcnhshank on tho financial defensive
power of Austria Hungary, in which he
asserts that the economic system OF the
dual monarchy has proven and will
prove equal to the great tasks imposed
upon it by tho war.
TO tho most intensive exploitation
OF the available working forces, to the
willing submission of the people to
national regulation of nourishment,
and to the sound basis of the indus
trial and economic life. he said is due
to the fact that nowhere a trace of
4 crisis shows Itself"
Pointing to the success Of the Aus
Hungarian war loan, he notes that
the decrease in bank deposits az a re-
suit of this loan amounted to only
per cent. or 100000, 600 crowns tsl5o.-
ooo. o0O), which, In view Of total de-
posits of 10000, o0u0 crowns. justi-
fles the assertion that tho war loan
for the greater part was paid from out
Of our economic reserves so that the
deposit accounts in rian
banks remain intact.
AS matter of fact" he continues
the deposits in the larger Vienese pri-
rate banks. not considering the Postal
Savings Bank. increased during the
first two months of 1915 by 10. 600, 600
crowns. L. C.. IL per cent This ratio
was undoubtedly higher in the prov
inces.
"A further war loan is at tho moment
not n matter of actual occurrence but
I 4 IN hn
people should BIO necessary, the next
war loan would be hoated on terms
even more favorable than the first
For the present, ample provision has
been made for immediate needs nv the
issuance of $4,000 900
I'm case longer duration Of the war
has to be rcckoncd with and If the
costs are estimated at Il, 900 900 crowns
the country would have to raise addi-
tional taxes of about 7o0,0O0.0Oo
NATIONAL DEBT CONSISTS
OF PRODUCTIVE EXPENDITURES
The Austro Hungarian debt at the
end Of 1913 amounts to $4,000 600 OOO
crowns, of which 10000, 900 600 com
prise railroad investments, so that
more than half of the national debt
consists OF productive expenditures
me budget receipts of tho two coun-
tries since 1900 increased nearly
100000 900. In Austria tho annual
tinated last was nearly 1000 600, 600
the wealth of the people of Austria Is
estimated at 100, 000, 600, 600 crowns. The
normal value of the agricultural pro-
duction has risen to nearly 5000 600 600
yearly. The elasticity of the state b,,d.
get for both monarchies therefore per-
mits the covering of the interest re-
qu'rements of the war costs without
any Inquiry whatever to the economic
life OF the country"
me article controverts the assertion
that Austria Hungary Is meeting its
money requirements in connection with
mo war by drawing on the Austro-
hungarian Bank, and points out that
the financial department had received
money neither from that bank nor
from tho Postal Savings Bank, but that
In issuing the war loan IT had relicd
upon an Austrian bank syndicate
which. together with Hungarian syn
dictate of equal rank. was available
TOT tho credit requirements of the en-
tire country, and would show itself
equal to any further tasks
The injuries done to the economic
lie OF Austria Hungary by this terrible
war;" he says. ARE infnitesimal COM
pared with those wrought in other
countries, because the economic life of
this country is based chiefly on its own
nome resources, and because our part
In tho affected international traffic ia
only modest"
The article concludes as follows:
Ihat the monarchy heretofore had to
ADAPT herself to conditions. and build
up It's economic system from its own
resources proves of great advantage
now. she can draw the powerful
means for the conduct of the war from
her own national resources, and will
also be strong enough to meet the
great tasks of the ensuing peace"
MnphiS-MickIc.