New-York tribune., 1919-03-14

lily agreed upon. and unless these
terms are such as will permit the re-
sumption of something approaching
normal industrial life, there is not
merely chance, there is strong
probability, of Russian Bolshevsm
overrunning Germany. What Bolshe
vism is can never be really pictured by
a normal mind. No description of it
has been overdrawn. One may say that
the temperament and psychology of
Germany is not such as to lead that
country to Bolshevism. Hunger can
lead any country to Bolshevism and
hunger is what Central Europe is
facing.
More Food Needed
"The stories which our soldiers tell
of apparent ample food supplies on
the Rhine should be taken only as
indicating how completely govern
mental power over food control has
are essential are being recklessly con-
sumed. Pictures that | have received
from highest quarters relative to food
conditions in Central Europe, both in
and out of Germany, are sensational.
| They are sensational because the facts
are sensational.
"Whatever is being done in the way
of alieviating conditions of starvation
| is necessary, but that is merely allevia-
ton. 1t does not get at the root of
the thing. That root runs down into
the ground of production. If the sit
uation is to be saved, every effort must
be bent toward solving the problem
and again starting production.
"The first essential step is fixing the
terms of peace. The danger from de-
lay cannot be overestimated. One
might speak of The seriousness of the
financial situation in several Euro
pean countries. 1t is serious beyond
anything we have understood in Amer
lea. Germany is paying daily subven-
tion to a million men. France has is
money, the limit of the latest law hav-
ing been reached. An additional 3,OOO,-
100000 francs will be authorized, but
there is little advantage in discussing
financial conditions in the face of this
greater evil of breakdown of in
dustrial production. There is no eco
nomic legerdemain that can correct the
financial difficulties of Europe. Pro-
duction alone can do that. Produc-
tion in sufficient quantity to permit
the export of goods alone can perma
nently support exchanges.
"There have been dreams of all the
been plans proposed for international
guarantees of exchanges. These are
idle suggestions. There can be no in
ternational guarantee that can sustain
exchanges while printing presses con-
tlnue to make paper money.
"What can America do? There is
certainly one thing it cannot do, and
that is to withdraw itself, to rest in
the belief that this chaos is remote
and that America can avoid playing
her part in international responsibility.
We must think in international terms
as we never thought before. The gigan-
not keep US free from the effects of
events here. There is no time for mar
row or provincial views.
Credit Is Strained
For example, criticisms of the ac
tions of governments here in exclud-
ing our exports show lack of under
standing of the financial position of
these countries. They have sustained
exchanges because they could borrow
from our government. When that abil-
ity to borrow ends, these countries
will be confronted by extreme difficult
ty in regard to their exchanges. They
must avoid every importation that it
is possible for them to prohibit, in
order to keep down the demand of
exchange to pay for importations of
food and raw materials.
"The necessity for machinery is i'm
perative and these governments are
endeavoring to provide that everything
possible shall be made within their
own borders, because they have not
the means to make payments in foreign
markets. They may have made some
mistakes in laying embargoes, but in
general the effort is one with which
we sympathize and do not criticize.
the absolutely fundamental necessity
of this situation is not charity. 1t is
not loans. 1t is the organization of
production and distribution.
Transportation is breaking down
and there will be sections that cannot
be fed even if there were food in plen-
ty in Europe to feed them. The first
essential is to look facts in the face,
and they cannot be looked in the face
until the terms of peace are known
and the available indemnity measured
Any useful indemnity for the time be-
ing must be measured in terms of
goods, and delay in announcing the
terms of peace is rapidly moving into
the future Germanys ability to pro-
duce goods"
(Issued by the Committee on Public Infor-