Norwich bulletin., 1919-12-20
EFFECT OF WAR ON EUROPEAN NEUTRAlS

That the neutral countries of Eu rope, affected in varying degree by the war WI raniilv regain their. former positions in world trade and tlile.lfse, ,sl4u l.elAal prospeilty With out undergoing preliminary period of economic depression, is forecast in the booklet, .yrhe Effect of the War on European Neutrals,' just issued by the Guaranty Trust Company of New York. The booklet treats indi- vidually the outstanding conditions, as brought about by the war in Holland, Norway, Sweden, Denmark, Switzer- land and Spain.
 The effects of the war upon the European countries that took no di rect part in the war were diverse, de- pending upon circumstances peculiar to each nation. Neutrals variously be- cause of their location with reference to the belligerents, because of un- avoidabie trade restrictions. inability l to become in any degree self support ing during the emergency because of military expenditures necessary in the preservation of neutrality, so that it was quite possible for a nation not engaged in the war to be subjected to ! heavier economic losses than those | borne by belligerent comparable in population and industrial strnegth. In part the booklet says:
 HoIIand-"The fruits of the earlier 1 prosperity for Dutch industry and trade have left Holland in a strong position. The Bank of the Neither lands, at the openng of the war, held approximately s68,000 900 in gold; al 1 present it holds four times this amount. Furthermore, it was the only central bank among the European
 neutrals, save that of Spain, whose ratio of holdings of gold and silver tc note and deposit liabilities increa sed
 during the war; the incrase was from 54 per cent. to more than 60 per cent
 The other banks have similarly i'm
 proved their position.
 "The exigencies of war caused cer- tain new industries to come into Hol.
 land notably the making Of chemi- calls; and others, such as the manu- facture Of clothing and foods anC
 other articles Of consumption, grey
 considerably.
 The. virtual doubling of the na tionsl debt since 1914 and consequen
 higher taxation could hardly be un
 duly burdens one to people witi
 wealth, thrift and indus try of tn
 Dutch. The history of this little na
 ton is the history of a peep e read,
 to utilize every opportunity t
 strengthen their disposition in tn
 world of commerce and industry. Tn
 strategic pos on of the Dutch of tn LContinent of Europe and in colonia
 and international trade is such as t promise a full measure of futur
 prosperity to Holland.
 Norway-'Depending largely upc it's fisher'es, forests and ocean-carry mig, Norway was in prosperous con dition at the outbreak of the war. 'On June 30, 1918, the funded debt 9
 the par of exchange was S1S3 000 eC' l Representing an increase of 39 pc
 cent. since 1914. The proportions C internal and external debt i'll 191 were quite different from those ob
 taining in 1914. In 1918 only 6S pc cent, as compared with si per cen
 in 1914, was classed as external deb The per capita funded debt in 1918 wa ,, $52.
 'In addition to the funded debt ther was on June 30, 1918. an unfunded del , amounting to $64 900. AHogethe then tn edebt, funded and untunde'
 was equivalent to $197, ,460,9 900. r "The principal asset of the stat ? which may be regarded as an offset 3 the funded debt consists of the state . owned railways, which, in 1916, reI ; resented a capital investment of $S2 : SIS 07S. This value, combined wit !. l non-material assets of the state, repro