The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1918-11-26
INDEMNITY FROM A BANKRUPT.

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rupt. Long ago it was pointed ou
that the almost incredible extrava
giant imitation of her currency, which
began at the beginning of the wal
and increased at a reckless ratio
put her in grave danger of such 8
result. Indeen, it made that result
practically certain If the war were
considerably protracted and ended in
defeat. The Government was play.
ing a desperate gamblers game, and
counting upon military victory to
save its wild financiering. If it won
in the field, it would exact enormous
indemnities from the conquered ma
tions, bleeding them white to re-
coup its own treasury. 1--WE. all re-
member the threat to make America
pay for the warD II it were de-
feated after the first year or two OF
war. it would still be able to cover
for its habilitlese. But II the war ran
on for four or five years and ended
in German defeat, the end was OBJ
vious from the beginning.
That end now looms big and dark.
The refusal of the people to sub
scribe to the ninth war loan, last
month, and their evident purpose
to hoard what little gold remained
to them, called attention to the SER
ious state of affairs, especially to
the enormous increase Of the imper-
ial banks currency circulation and
the proportionate decrease of the
gold reserve. .ut still more omi-
nous is the comparison between the
gross assets and the gross liabilities
of the empire.
At the beginning OF the war the
total wealth of the empire was es-
timated at about $4,000, O0O, 900,
and the total debts to be reckoned
against it as liabilities were less than
$l3, 000, 100000, or, say, 16 per cent.
That was an enormous portion of
liabilities, judged by the American
standard, yet it of course left the
empire easily solvent. But four
years of war have disastrously al
tered the ratio. There has been an
enormous increase of liabilities, and
at the same time, despite wholesale
and shameless "profiteering, the
productive or available wealth of the
empire has greatly decreased. At
the present time the national wealth
is estimated at not more than $780,
000,0 100000, while the liabilities
have risen to more than $4,000
100000; showing a deficit on the
national balance sheet of more than
$1,000, 600, 900.
1t may be observed, by the way,
as matter of contrast, that the
wealth Of the United State at the
present time is reckoned at more
than 5000, 000, 100000, and the. to-,
tai liabilities at much less than $780,
OO0,000,000; liabilities being thus
less than ten per cent of assets, or
considerably less than Germany's at
the beginning of the war.
II these figures, put forward by
excellent authorities, are approx
mately correct, Germany is finan-
cially bankrupt. The question then
arise, What will the bearing Of that
fact upon the exaction of indemnities
from her as conditions of restored
peace?
To this we answer none at all.
Her bankruptcy is no business of
ours. All we are. concerned in is
her payment of the demands of JUS
tice, her surrender Of the money and
which she has stolen dur
ing her four years of unbridled loot,
and her compensation for the dam
ages which she has wantonly and
inflicted upon others. It
Is not our fault that she has squan-
dered her wealth in vain attempts
to conquer the world. She herself
began the desperate gamblers game,
and having lost she must pay her
losses.
1t does not matter to us how
white she is bled. Her conduct in
looting Belgium and France has de-
prived her of even the slightest title
10 consideration. She levied vast
tributes upon conquered cities, and |
compelled payment Of them by hold
ng citizens as hostages and sending |
hem out to be shot In default OF |
payment. 1t did not matter to- her
low much she impoverished her vic
inns. Neither will 1t matter to us
low much 1t impoverishes her peo-
lie to pay the indemnity which they
Justly owe. We say there is no
,rOund for sympathy for the Ger
nan people in their impoverishment,
wen il their loans to their own Gov
are repudiated and their
,urden OF taxation is increased ten