Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1919-08-28
Financier in Berlin Says All
But Beggary is in Store for
Germans Who Remain in
the FatherIand 10 Assist.
BLOCKS OF RESIDENCES
WILL BE TENANTLESS
Owners Cannot Afford to Live
in Them and Nobody Could
or Would BuyfThem; Little
Hope From America,
by Cyrill Brown. o..
(Slatf Correspondent Of the Albuquer-
que Morning Journal and New York
World.D
Especial Gable Despatch.)

Especial Gable Despatch)
Berlin. Aug. 27,--''The rich man
will be reduced to relative beggary,
and Berlin will become another Nen-
| ice--nut beautiful like Venice, but
with its handsome houses, block afte:
! block, standing empty, untenanted
This flash of prophetic pessimlsm
! came from one of Germany's ranking
captains Of industry Director Felix
Deutsch, active head of the so-called
"Aeg," the Allcgemelen Elektrizitets
Gesenschaft, which is Germany'A
General Electric company. Director
Deutsch was also a member of Ger
many's economic peace delegation at
Versailles. He is brother-in-law Of
Otto II. Kahn.
1t was after a sober, Unconditional
analysis of conditions in Germany
that his keen business brain slipped
a cog, typical of Germany's troubled
state of mind today, and suddenly let
his lively imagination sketch a vivid
picture of Berlin and Germany when
the capital confiscation and income
tax screws are applied to the inescap-
able limit
Gives Illustration.
Take a man who Is worth 20,000,-
900 marks today" he said You
NURih ifiil Allfii IL IAHil uAttllt It's Ai"
come, estimated at per cent, is L.
100000 marks per annum. He will ba
subject to a 60 per cent capital cor
fscation. This will correspond ngy
cut his annual income 20 100000
n9rks He must further pay a 'div!-
dends from capital tax amounting to
2 per cent. out of his 5 per cent ir.
terest This leaves him per cent Oa
his unconfiscated capital
After paying this tax his original
income of 100000 marks has shrunk
to 100000 marks. On top of th9t
comes the income tax. In this mans
case 1t will be about 39 1-3 per cen1
He will have an annual income left
10000 marks as against 100000
formerly. He'll be beggar,'
This well-informed capitalist be.
lieves the EN- nigration fl Om Germany
to Latin America will b. greater than
has been officially estimated, and that
it will hardly be limited except by
shipping facilities to carry people
away from confiscatory taxes.
Director Deutsch si;tled whlms-
c?lly. With a few strokes he stmu-
lated, your fancy to speculate what
viii happen when the inescapable 1t-
triton of taxes and supertaxes AMI
ccnfiscation annihilates Germanys
plutocracy, and wealth in general de-
Gays.
This man." he continued, prob
ably bought several pictures in th1
course of the year, several works OF
sculpture. He was a patron of tho
arts. He contributed heavily to tho
fostering Of music and the drama,
He contributed generously to all man
ner of philanthroples. Wherever and
whenever money was needed for any
such purpose, people came to him and
his kind,
Cannot Help Others.
This multimilionaire, with his in
come cut from 100000 to 10000
marks. won't be buying pictures .:
sculptures in future. He won't ba
able to patronizze the arts, nor in
dulge in luXuries (giving employment
to others), as heretofore. His large
contributions to philanthropies Will
automatically cease.
"He won't even be able to keep up
his establishment He probably owns
and lives in large house now. He'll
be looking for a small flat or apart
ment somewhere. Whole blocks OF
palatial residences, Of private houses
will stand untenanted because their
owners cannot afford to keep them
up and nobody else will be able {"
afford to buy them or i've III Ileit'
In this respect Berlin may become
second Venice
Director Deutsch's analysis of Ger
many today is neither optimistic nor
pessimstiC.
germany is sick" he said. lie
believes that the prolonged food prl-
vations, the long uncontinued feeding.
is the principal cause of the social,
labor and mass unrest, and converse
". he believes that food and raw
materials are the cure for Bolshevism
and SpartaciSm
The Strike Menace.
Strikes keep breaking out epidem-
ically. and most of the time the men
don't know why they're striking, they
just feel like striking and they strike.
The labor unrest is aggravated by
coal and raw material shortage be-
cause even where men want to work,
it isn't possible always to give them
continuous employment. Every now
and then some necessary raw mater
ial runs out, and work has to be shut
down. One day we find we have no
more copper, the next day we've run
out of shellac, and another day We're
short of something else.
"One of our plants near Berlin,
though it had enough raw material
has to shut down because the electric
power plant on which it was depend
ent had run out of coal. Again, we
haven't been able to get some of the
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