Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1918-12-17
GERMANY'S ABILITY TO PAY
Financial Experts Are Giving Atten'
ton to the Subject
INDEMNITY PROBLEM LOOMS UP Big
Just What Amount Will Be Charged
Has Not Yet Been Decided Upon:
But Il Is Possible That as Much as
Ten Billion Dollars May Be De-
nanded,

manded.
A. p, Nicholson, the London Daily
News lobby correspondent, writes:
The chief ministers Of the govern
ment were asked, just before the gen
eral election was upon US, to consider
and suggest proposals for indemnitie:
which the German empire shall be re-
quired to pay. The time has been toe
short for their views to be co-ordinat'
ed as vet, and this is the reason why ir
their utterances in the country tho
prime minister, Sir Eric Geddes. Mr.
Churchill, and Mr.. Austen Chamber
lain are speaking with somewhat diff
ferent voices.
Lloyd George at Newcastle on Fri
day indicated that our government and
the French government are now set
ting up expert committees to deter
mine the capacity Of Germany to pay
indemnities The question Is naturally
one Of some delicacy among the Allies
and several views have to be brought
into alignment. There is naturally q
strong feeling in France in favor Of re-
quiring large indemnities. France has
herself paid in the past. The view OF
the British government Is understood
to be strongly In favor Of all just in
IDENTITIES, with the corollary that the
immediate demands should not be such
as to cripple Germany's ability tc
make future restorations. The feeling
of the United States. apart from firm
insistence on reparation. shows ten
dency, 1t is said, rather adverse to in.
IDENTITIES.
Cash Payment for Damage.
The proposals which have actually
been considered or are being examined
include the following:
"First-That there should be cash
payments over term Of years fol-
damage inflicted on France and Bel
gium. This is estimated at from G2,-
OOO, 900, 900 TO 2,500.O00,000 Gl0,-
OOO, 900, 900 to s12.5O0. 0.O00,0O0).
"Second-That ruined towns in these
countries should be rebuilt by German
labor, that roads should be rebuilt and
battlefelds dug over and restored. and
scattered metals collected, also by Ger
man labor.
"Third-That there should be a ship.
ping indemnity paid by Germany
whether by a two pool arrangement,
between the Allied and Central Pow
ers. whereby German, ships would
|ssrye Epyids sintsfssts, os BY the .hpildi
ing N German yards OF ships FOR the
British mercantile marine or by Other
means.
"Fourth-That q larger indemnity
payment than the sum required to re-
quisite the damage in France and Bel
GUM should be called for. spread ovel
u term Of years. to make good Other
losses to the Allies.
"Fifth-Th;.t the gold still available
in Germany should be made over tC
the Allies.
"Sixth-That there should be roy
atty on German coal mines, paid to tho
Allies over a term Of years and there
should be an Allied control Of German
potash.
"Seventh-Restoratio in Italy, Ser,
bia and Roumania."
Nicholson adds that a more difficult
question under consideration is that Of
indemnity payment through cash ol
goods He writes:
III u larger indemnity Is to be paiC
over q term Of years. the question i.
whether there Is capacity in the Ger
man capital to meet this. save by pro-
duction of goods which would compete
with the products Of the Allied coun'
tries. The alternatives would appear
to be whether, as a result Of her com
mitments to pay greater indemnities
over q term of years. Germany's com
petition with Allied countries in pro
duction Of world goods should be cur.
|
and production Of world goods Ger
many would not be better able to pay
indemnities and so relieve taxation ir
the Allied countries. But by some II |:
being argued that in the internal stu
alton in Germany there will In any
case be an inevitable stimulus to thu
production Of world goods, and tina
the Allies would therefore be justifie,
in requiring larger indemnities"
Ton.for-Ton Policy Will Fail.
AS regards the question Of shipping
indemnity, Nicholson says:
THE ton-for-ton policy averred ir
some quarters, is destined to fail, be-
cause there are not enough German
ships to make good our losses. Tht
suggestion that two shipping pools
should be formed by the Allied and
Central Powers to regularize the stu
alton, has been under consideration.
"One difficulty which emerges Is thai
in this matter it becomes inevitable
that the United States and ourselves
should regard the proposals from q
different angle. We wish to restore
our mercantile marine. The United
States desires to create a great mer'
camille marine. About eighteen months
ago our government hoped ships fol
us might be built in America, but
United States law was passed that al
ships built on that side must be Amer
lean. Later we sought to buy contro
of the White Star interests The
White Star .hips, though on British
register and sailing under the British
flag, being owned by a company which
was mainly American. sanction was re
fused for this sale. and a counter-pro
posal was made for purchase by thu
United States.
I'm view Of these tendencies, 1t Il
thought In well-informed circles th'
double-pool arrangement might be diff
ficult to work. Another proposal. th'
building of ships in German yards 70
restoration Of our mercantile marine
may be brought forward as a shippinl
indemnity"