Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1916-02-15
THIS ECONOMIC ENpt:I,T
TAKES MIDDLE, GROUND

TAKES MIDDLE GROUND
The middle ground, 50 to speak. is
taken b" Dr. schmidt. economic expert
OF ,it" Victoria Insurance Company. on"
"f tn" largest concerns Of its Kind in
Germany. DR. Scnmid, no, only has to
zeal intimately with tho cOmoauy's
thousands OF employees. but with its
scores OF thousands OF poliCy-hoidcrs.
and Is iu a position To know the prob
able effect Of taxation ON the masses.
II" declares that IL PROBABLY has passed
'hr"H&h the minds OF countless. II not
all employers. that increases may IL.
necessary, hut feels that tho avcrau g
"urloN"r is not usual" altrUistic and
mat therefore raises must be forced
hy those VINO need them. THIS in
spite OF the fact that the German cn-
rloEcr ana man Of means tn general
Mas shown himself throughout ;hc war
TO lie self sacrinciug and thouchtfm
OF ihos" dependent on MIN.
Dr Schmidt disputes cnergetically
tho claim Of labor leaders that IN" re-
turning soldiers after tho wa arc go
ing ro1i.prcSs wages. and upholds the
others ;hat Germany needs and viii
need for some time 10 como all the
workers she can get, merely 10 resup-
ply herself DIR. Schmidt adds that the
siz" OF a mans incom" really has less
- do with his expenditures than his
own individuality. What comes in
and how YOU come out bear little re-
latiou 10 each other" is tho way he
puts H. Expanding on this idea. he
declares that whether Increases in sal
arI"S com" or not. Germany viii he
able TO meet amy new taxation by
means Of rctreuchmcuts simply be
cause Germany Is saving by nature.
IL" anticipates bc,h new Imperial
taxes and Indirect assessments Tho
former he prefers because they cost
n In No. l..A1f D,
Viii he necessary. and hopes on the
whole for an increase i'm pas TO meet
them
The bcs; Representative. CT Tie out
;ud-oui believers that Germany is to
see a general and all around rise in
salaries Is the director of one OF Ger
Mays largest banks, who looks ~
the matter from the standpoint OF the
s.;laricd employee rather than that OF
the wage-carnnG workingman.
He is confident that the heavy tan
alton following the war Will ncCcsSi-
tate a ucncr&l advance in hoth salaries
and wages. and that this, ia turn. Will
causc :, slowing-up in tn" creation OF
ncw capital for Investment. The war
however he says. has revealed Ger
( muuy's economic strength in Il new
light, which makes a new scale al
which earlier seemed AN impoSS bile
task now seems much easier
LIItEI.l ~: BE INDEMNITY
COMING TO GEUNIANl
The burden Of the new taxation, he
! declares. viii not be as great as super
ncialiv appears. for there * likely 10
/ tie a good indemnity coming to Ger
many. The empires war outlay. he
estimates at probable 50,000,o00 600
marks tSi:,50O, OO0.O0o).
The new measure for raising ana re-
paying this sum with its interest
charges ne believes will take a variety
OF forms, such as monopolics on ar
,iclcs like tobacco and cigarettes.
Many OF the economic measures
F, bread cards. he predicts will be re-
/ tanned in tn. interest OF necessary
economy.
( The existing restriction upon the
empires tax practicc-rescrving ILL
come and general property taxes to
the Statcs-hc thinks will he swept
away and replaced by imperial taxes
I of this sort.
lie estimates that it will take Ger
MANY some six or seven wears to re-
: cuperatc from the war. The rccupcra =
. ton. however, will be much more
| rapid even than was the startlngly
/ rapid rccuperation of France after the
war OF iSIo-1l.
Rctrcnchmcut is th" watch word Of
. the great majority OF EtN men OF thOSt
who are puzZling in advance over the
aftcr-ihc-war taxation problem. They
hope for booming business conditions,
possible indemniticS and other favor
able turns, but they believe that il.
economy rather than by increases of
wages that hit employer even while
they help employees is Germany going
TO he enabled speedily to pay It's debts.
The general lay view is voiced by
Count Kospoth, a member OF the House
OF Lords of the l'russian Diet, who de-
clarcs that even n doubling Of present
taxes will raise only an amount equal
to Il drop Of water i'm the ocean. and
that the bulk of the debts must he
f! liquidated by strict economy.
Count Kospoth's doctrine is hailed by
every one as sound, but not n few have
/ smiled at It's declarations, for he is a
man OF comparative wealth. His
, recommendations that Germans he con-
tent 10 ride In street ears instead OF
| taXicabs. and 10 do with four hunters
| instead of eight, hardly appeals to the
poorer classes. \
IIo predicts openly that coniiscation