Daily capital journal. (Salem, Oregon) 1903-1919, 1919-03-24
By Fred 5. Ferguson.

| Omitted Press Staff Corresponuent.)
Paris, March 24,-The world faces an
infinitely more serious situation today
than it did year ago when the German
super-offensive was at its height, nc-
cording to the belief expressed in cer-
tain official quarters. This, despite the
fact the armistice was signed five
months ago and the peace conference
has been in session three months.
Instead Of military defeat, il Is Geo
lIophc, fineneinl and social collapse that
lbs nav threatening Economic experts
agree that es~ry Gay Iosi is signing
peace briggs the gaaeral crosis that
much nearer.
Thcrc was d tsi tehcy today, in fact,
lte rgard iippgary's artior in forming
= spvias repllblic III fl.snce with the
Russian oalshcv.ki as ltessing the crisis
lalready las been itachen. There was
no eismsirim 10 hidr the belief that
lthe mrnace If ltsleyism has been In
crelNel lalalfedsoij W this new situ-
alton III Hungary.
Everyone Was Working.
~ year ago c,il.,tne III the world
was at wnrk'i sid ere tt the leading
economic and financial authorities. s'If
they were not fighting they were pro-
dueing. In addition, patriotic impulse
wass speeding up work The govern
ments had control and everyone had to
do something. But everything is now
headed for stagnation aud disorder, un-
less speedy counter action is taken.
"ln the meantime, the peace confer
enco is in the worst middle since it
opened. The hour Of decisions having
arrived, it can be stated that the situa-
tion is as follows:
There is a constant tenucucy 10
drag in extraneous questions. For in
stance, the Syrian question, which has
no bearing whatever on peace with
Germany.
sThc question Of territorial rights in
Dalmatia is constantly bobbing up, al
though II is purely one for inter-allied
settlement.
The Polish question has been mid
handled. The war council SATURDAY
reached the point whore it started on
this matter and decided to adopt the
program originally proposed
French Still Hoping.
The French still hope for an inter
national pool of war expenditures, in
which the United States would paw tho
majority Of the bills AS an alterna-
tive, they suggest Observation-Disclosures
of exchange. This would bring up tho
economic value of the franc, with con
scduent loss in the present value Of tho
dollar.
"Meanwhile, FrQnce has done nothing
to date to meet the serious financial
situation confronting her, due 90 this
hope Of some international arrange
mcnt. The French people have not been
taxed within fifty per cent as heavily
as the British and Americans for car
rying on the war.
Against the set program Of having
all committee reports submitted by
March 8, only two major committees
have completed their work--the mill
tary and naval bodies Reparation,
boundaries and postwar economic terms
are still in fluid state.
cat the present rate of progress the
discussion must drag on for weeks. But
certain eonferees agreed this cannot be
the case. In view Of the reports from
Hungary and Germany, some drastic
action appears likely to be taken within
few days.
Whether the peace treaty is COM
pleted by next Saturday as planned de-
pends upon whether different program
from the present pickering Is forced
through. y