The Birmingham age-herald., 1915-07-16

pelled to buy. Moreover. we had the gold and should have a constantly ln- creasing supply of 1t. In addition. He lad the credits. and 1t would be demon l strated that while the money of other nations would in relation to gold be considerably depreeiated the American dollar would continue to be at par with gold.
 Nevertheless the whole finance of the world is bound Up In the question of whether the line of the allies can hold whether we are dominated in tariff, finance and international politics by Germany; whether the civilization of France and Great Britain Is to go by the board. and whether Germany Is to get her place in the sun. for if she does we are ultimate tely to be under her thumb Many of the statements then made by MT. Barron to Sir George Faish have been shown by events to have been accurate.
 There were many other exciting and some confused statements made at that time to which the attention of the semi official representative of the British was called. As for instance, he heard from Mir. Barron that there was a diversity of opinion about the stock exchanges of the world, for some bank CTS were persuaded that they would be closed for six months. others were con- hdent that they would not be open un- til three years had passed. Yet Sir George was informed-and he doubtless took the information back to London that AS the United States has the gold md would get more, is in possession of great and excellent credits, we can cer- tainly "go it. alone in a very shor. time and without any assistance from the rest of the world. What was pre- dicted in the fall of last year is now found to have been an accurate pre- dietlon, and now the time has come when MT Barron can feel that conf dential communications between him and Sir George Paish could be made public.
 Mr. Barron went to Europe on the same vessel upon which Sir George re- turned to London, there to make his report of his conferences in the United States and of conditions as he found them. In London, MT. Barron learned So he told the street railway men that two years ago Russia did actually begin to make preparations for war. The reason why Russia felt 1t vital to her interest that she prepare for war lay in the fact that Germany insisted upon renewing the commercial treaties with Russia, treaties which had place d Russia practically under the industrial dominance of Germany.
 There was no need to make preparations so far as men were concerned Russia could, If necessary. call 100000 men to the colors. But it would take a long time, at least two years, fully to equip these men. That undoubtedly is one of the. reasons why Germany thought it the better part to begin the war immediately. This statement made by MT. Barron to the street railway men Is in accord with an idea which has been held in the finan- cial district since some time In December. In one sense, therefore. Germany was cor rect in saying that she began the war because she knew that Russia was mo- bilizing.
 Germany's Financial Situation
 Two years ago MT. Barron went to Ger many with intent to study the financial situation there. He saw and heard some strange things which led him to make rather pertinent inquiry, as, for instance. he asked the executive of the oldest bank in Berlin why Germany was curtailng her expansion over the seas and was holding back her investments. In reply, the banker said that he could not asnwer the question; only the Kaiser could an- swer it. It was for him to obey orders and ask no questions. In Hamburg he was told that for the first time in hun dred years the leading bank in Hamburg did not owe dollar outside of Germany. It's portfolio held nothing but German bills or bills for short terms. The Ham burg banker could not ask questions; he