The sun. [volume] (New York [N.Y.]) 1833-1916, 1916-02-11
MEXICAN RECONSTRUCTION
Dlaz Did Not Have SO DihtcuH "
Problem 10 Deal with.

10 THE EpjToR or THE SUN-Stf' Jue
article in THE SuN OF February fDy MI.
y. W. Osterheld seems to tie the tuturs
of Mexico too closely to the QuiahNA-
ions of its banking system.
Probably the banking system In force
a, the Mexican Centennial was more
reliable than most systems. as
II provided tina all Government cur
rency was 70 he metallic and All OanR
currency issues were to be protecteo
by substantial bullion reserves. VA
tional Indebtedness was conservative
and national expenses were low. Mex.
lean money was perhaps too easy. ana
foreign sources Of finance were ooi,Vious
of history.
The upbuilding OF the great indus
trial system in existence at that Time
was undoubtedly assisted by this BANK
INK system also by Government. nat
ural water power resources. mining re-
sources. Government assistance In RAN
road development. n a reasonapiy
protective tariff. Important also wal
the belief that Mexico had departed
from historical precedent with eeard 10
factionai political tendencies which have
been commonly termed revolutions. X
was thought that The peso could NOT
vary more than the ordinary f~uctuat'on
due to silver price n trade balances.
The Madero movement, originating IN
a wealthy but not influential source. de.
veloped Immediately the symptoms OF
a real revolution. and then immediately
continued to develop into a conflict be-
tween various personalities.
Every faction in the field since the
Felix Diaz uprising was opposed to
Huerta. All preached tho same policy
Of social upilft and interest In the
laboring classes, drove out Huerta ano
then began fighting among themselves
with continually increasing numbers OF
factions. Notwithstanding that fac,
there has been nobody In the field repre-
senting principles opposed TO those pro
fessed by them.
During this period industry. tho ont
thing which had done so much Tor ths
laborer. and which Ia the biggest factor
in the establishment OF peaceful con
| ditions, was made the victim OF all tn
factions. Internal national rights and
| treaty rights were ignored In the nam'
OF the revolution.
The present period holding the mrs
necessity to establish safety by the elm
nation OF banditlsm In most parts o
the country. which has for one or ~
bases a fairly marked opposition TO I'M
! present faction in power. Will deman
an immense amount OF money.
After that will come the problem
! Az NlA' DplTll can lUuurlIN WIN" nv
the bank loan TO nab the r~eestablish
ment Of industry. with assurance tina
the political condition will remain tran
quii for a reasonable period?
Difficulties confronting the presen
Government are mountains as com
pared with the difficulties of the Por
frio p'az Government. Grating IL gen
eral and attractive. VIII foreign In
dus,ry and finance ever consider as SAT-
a bond representing investment In coun
tries similar 10 Mexico. with condition
In such countries subject 10 the natura
tendencies Of the people, as ILLUSTRATED
h. the history Of the past four year
IN Mexico
Regarding the common tendency 70
comparison with the French revolution
the question is: Wal Mexico be able :
r.estabilSh order TO a point where for
eigu money can be borrowed, and. II 81
Will this money toe efficiently expended
and 'Ae natural tendencies ~ the PEG
pie be developed TO the standard of IN
French or the Americans" The latte
mad "A similar economic condition on thei
hands AZ the end OF the revolt aga!ns
the mother country. PATIENCE.
BosroS. February ..