The Washington herald., 1921-11-20

attempting to gain for themselves
the same hold on the German nation
that was formerly exercised by the
military and junker classes. These
industrfalists are believed TO favor
a monarchy in preference to the
present republican form Of govern
ment in which the Socialists have
SO much power. but they are first OF
all looking out for their own inter
ests. To that end they have been
opposing the payment OF repara-
tions, openly and tacitly. and the
present financial situation OF the
German government is regarded by
many as being the effect Of the tao
tics employed by these industrialists.
who hope TO have the government
bankrupt and thus avoid the max
ing of reparations payments OF
which they would be obliged to bear
a large part The Socialist part,.
which is made up largely Of trad.
untonists. who are republican Iu
their sympathies. is. Of course. well
aware OF what has been going On
Because OF their political strength
they have been able 70 prevent IN.
reactionaries from overturning tbo
Wtrth ministry. but they have mo-,
been able to work out a solution .
OF Germany's financial dificuIt.c-
Chancellor Wirth, meanwhile. b..
oeen endeavorins TO steer a niddI-
course, but the time has arrived
when such a course seems no lonrs-
possible. The industrialists contr.l
the capital. while the Socialists CON
troll labor. and since the chanceIl,r
mas been unable TO make these tu-,,
| partles cooperate. he is now in dan
ger OF losing the support Of both.
The present situation was pr.-
cipitated by the proposals sd-
Nanced by the German Industrial
Union SHINES and his associates.
whereby the industrislists would Y
! advance cash TO the German gov
] ernment with which TO meet ia
! ieparatIon obligations in return for
] me surrender Of the government
] railroads 10 private control Other
/ features Of the industrialists' pro-
/ posal were; For the government 10
remove part OF the Industrial popu-
lation OF the towns TO the countr,-.
| Tor the government To renoun.a
loan negotiations with foreign cor-
porations: TO recognize the right ~
industrislists and other buslness
men TO discuss with the govern
ment the extent TO which they ar
TO be taxed. The German WORKER.
realize. OF course. what the 20.
ernment's acceptance OF these pr
posals would mean 70 them. AM
they have therefore. prepared goo
submit 70 the cabinet an altcrna-
i've program representing their
minimum demands
Wcrkingmen Counter.
This program would merely pu-
the shoe on the other foot. SO that
II would be the industrialists rath,.
than the workmen who are pinch,.tT.
The program involves: Cd the par-
ticipation by the state in an rho
so-called gold values. Thi. wouIi
require corporations to transfer a
percentage OF their capital TO the
state. and other enterprises ans
agriculture would bear similar bur
dens In the shape OF new ta<eS:
] (2) the socialization Of coal mines.
(S) the reorganization OF state
railroads In order that they might
be operated at a profit instead of
a deficit; () the seizure Of foreign
exchange received in payment for
exports; go the Limitation OF i'm
ports TO the minimum necessities.
ts) the Increase Of export prem
tums paid 20 the state 10 such an
/ extent that the rate OF exchange
| prohts on export will 90 IN full
to the state: (7D enforcement ~
the collection OF capital conhsca-
ton tax; (s) immediate collection
OF existing taxes: Cs) drastic taxa
ton of profits made in stock trad
ing and foreign exchange. and GoN
the control OF private monopolrrs.
Which OF these opposing pro-
grams is adopted will depend some
what upon the attitude of the en-
tente when the next instalment %
reparations is due. The German
proposal that moratorium be es-
tablished has met with little favor.
but the fact remains that under
present conditions there Is little
hope that Germany can make the
payment due on January Is. II the
entente adopts an Uncompromising
attitude TO force Germany 70 pav.
II will apparently be playing into
the hands Of the reactionarv and
monarchist group. which has tho
money. On the other hand a more
lenient attitude. which would give
the liberal elements an opportunity
to try out their plan. would he
strongly opposed by French oni0-
ion, and at the same time would
not offer any real solution Of the
, whole difficulty.
Irish Situation Static.
There was little progress IN Tire
Irish negotiations during the week.
The members OF the Ulster cabinet
who had been in conference with
Mr.. Lloyd George returned to Bel
fast and announced that Ulster had
been betrayed by the coalition gov
p eminent of England. Further con-
ferences will doubtless be held in
spite Of the Ulster attitude. but the
situation is not promising. Mr.
Lloyd George has held conferences
with Lord Middleton and other
Unionists OF Southern ireland whi,h
may have an important effect on the
situation. 1t is surmised that an
attempt will now be made 20 get
Ulster into a three-sided agreement
with Great Britain and Sim Fein.
Further postponement OF the Pre-
mier's visit to America is certain.
At the request OF II. A L. Fisher.
OF Great Britain, the council Of the
league OF nations will hold a public
session for the discussion Of tho
Jugoslav-Albs dispute. which
was brought to the attention Of the
council by Premier Lloyd George.
A public session on a question Of
this Importance is something OF an
innovation for the council, but IL
is one which will be generally sp-