Evening star., 1918-01-20
By CHARLES M. PEPPER.

a CSTR1A-HCNGARY,a as an eco
A nomic factor in the war, has
@\ become a present-day prob
q = lem for the military lords of
Germany. Rather, it might be said
that Hungary has become the problem.
Prussia has been under the neces-
sity of exerting persuasion on the
dual empire. in order to make 1t incline
favorably to the Teutonic economic
overlordship. as well as to accept mill
tary subordination. Now Austria is
under the necessity of exerting per
suasion" on Hungary. both for immedi-
ate needs and to insure future CO.
operation.
Hungary is the food reservoir OF Aus
tria- Censored cable news has disclos-
ed that the food minister in Hungary
has resigned because of dissatisfaction
with Austria's attitude. The intimation
Is that Austria has been demanding
food that Hungary needs to keep for
herself. The Hungarian minister has
stated that g. reason why the food could
not be supplied was the inability to get
coal from Austria with which to run
the railways. This explanation shows
tion of the two kingdoms. Austria has
the bulk of the minerals and Hungary
has the food crops.
~
The controversy between the Hun
garian and the Austrian ministries is
instructive. as showing the actual food
situation. 1t is also instructive in ex-
hibiting the political relation of the
two kingdoms. and the difficulty of sub
ordinating the Austrian empire as a
whole to the German scheme of eco
nomic absorption, thinly disguised un-
der the name of economic union.
A more significant exhibit of the feel
ing that obtains was the recent refusal
of Hungard to extend the "ausgleich."
or agreement that binds the two king
doms together in economic and other
affairs. for more than a year. This
agreement is in the nature of a treaty
between two equal and coordinate
powers. 1t expired. by limitation, De-
cember 81, 1917. Austria wanted it con-
tinued for the period of twenty years,
but would have been willing to accept a
renewal for ten years. Germany was
gleich'' should be renewed for twenty
years, in order that the way might be
made easier for her economic absorp-
tion of the dual empire. With Hun
gary tied up with Austria for a long
period. the former country would have
been prevented from determining her
own future.
Hungarian public sentiment. which
u
ever of the Teutonic oyerlordship
through the subservience that has been
imposed by war conditions. would not
tolerate the renewal of the agreement
on a permanent basis, as would have
been implied had it been made for ten
or twenty years. Even the most pro-
German of the Hungarian ministers
knew that to attempt to enforce such a
policy would mean a revolution. Con-
sequently they acquiesced in the popular
demand that the agreement be extend
ed for only year, This indicates that
Hungary now considers it merely an
expedient and is not inclined to view
it's permanent renewal after the war
with favor.
There is unusual significance in this
Hungarian attitude. The refusal to
supply Austria with all the food she de-
mands as her right from Hungary un-
aoubtedly Is due to the determination
Of Hungary. so far as possible. to feed
herself first. but the refusal to extend
the "Ausgleich" for more than year is
an indication of Hungarian national
policy that must be taken into account
in judging the future.
The Hungarians intend that their in
fiuence, IF not paramount. at least shall
be equal to that of Austria in deter
0ining. the policy Of the empire in re-