The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-21
"MexiCO's Dilemma"

to investigate the German activities there.
In MericO,s Dilemma he has recorded the
situation as he found it, not only with
regard to German intrigue, but also in
relation to the possibilities of establish
ing a stable Government in the near fu-
ture.
MIR. Alderman finds hat there are
three horns TO Mexico's dilemma:
Il. Financial ruin IF Mexico and in.
ternal disorders unless a loan is obtained.
-. The possibility of subjugation to
German influence, with all of its liability
TO external strife.
=. Cooperation with the United
States, England, France and South
America"
Regarding he financial situation Mr..
Ackerman says: Mexico has reached
the crossroads in the path of revolution.
Today most of the fighting is at an end.
There are bandits in some sections of tho
republic, but their raids are becomino
fewer every month. Mexico city itself
IS as busy and active as New York but
there is financial crisis which. although
not evident upon the surface of things. is
destined to mark the climax of the reyolu-
ton"
Although operating on a cash basis
the Carranza Government is spendinp
more than it is making. and the deficit
does not include the foreign obligations.
American experts who have been con-
suited believe that the deficit "can be cut
down so that it will not be dangerous,
and new bonds can be issued to replace
bonds held in foreign Countries
The predominant view among the Mex-
teams Is "that the present Government
cannot continue without the aid of for
eign capital This would seem to be the
belief of President Carranza. who has
asked for authority to raise $3.50, OOO, 900
IN Mexico or outside.
" Aoih DdhkeTS Will not lend
money to Mexico under present condi-
lions. 1.-The only alternative hone for
Mexico is that the United States TGoy-
ernmentl will loan money. But what
money the United States has to loa, can
only-by the terms OF the recent act-be
loaned to the Allies; a special act would
hardly be considered" So Mr.. Acker-
man believes "the easiest way for Mex
leo would be to break off diplomatic re-
lations with Germany"
Mr.. Alderman has great faith in the
present Government of Mexico: he be-
heves that should Carranza fall reign
Of terror would ensue and "the only solu-
ton would be American intervention II
oils and minerals for which the Allies are
dependent upon Mexico are to be safe
guarded in mining and transit.
AS to the possibility of Mexico sue
eumbing to German influence, Mr.. Acker-
man finds that in Mexico as elsewhere the
Hun has overshot his mark To-day Ger
many would be well satisfied to have Mex
leo remain-neutral. Germany is working
in her usual underground way, largely
through the German paid I. W. W., which
is continuously plotting strikes at the
mines and the docks. The leaders of this
movement, who have nearly all come from
the United States since the war, publish
one daily and one weekly paper, ostensibly
In the interest of labor but actually to
promote the German propaganda.
"The allied and American secret ser
vice offensive against the lines of com
munication between enemy spies and their
Berlin headquarters has been so success
full that one may for the first time speak
of the checkmating of the enemy's intel
igence service" German press propa-
ganda in Mexico has fallen fiat despite
the fact that many of the leading Mex
lean dailies are controlled by Germans
Germany succeeded in getting forty ac-
tive German officers into the Mexican