The Washington herald., 1921-02-03
Learning is ever in the freshness of its
youth, even for the old-Aeschylus
Economic Progress of Czecho-SIovakia.

ECOnOnllC rIOgreSS OF IZecno-SIOVaKld.
II THE face OF the reports OF economic stagna-
ton in the states OF Central Europe, it is in
tcresting and encouraging to learn that Czccho-
Slovakla is making considerable progress toward
the resumption OF normal economic activities. While
the CzcchO-Sloyakia republic contains great re-
sources and is advantaccously situated geographic
cally, internal conditions and relations with neigh
boring states do favor rapid rcCupcration.
Within the borders OF this State arc several
nauonalities which exhibit considerable incompati-
biIty Of temperament and whose relations with
each other, therefore, not the most cordial
Under the Austro-Hungarian monarchy the Ger
mans OF Bohemia in much more favorable
position than the Czechs. Since the country has
broken away from the domination OF German
Austria, the bitterness and rivalry OF these nation
ahdes has in way decreased, but under the pres
ent regime it Is the Czcchs who have the upper
hand
Although the Sloyaks are not as antagonistic
TO the CzeChs as are the Germans OF Bohemia
some bitterness was engcndcrcd in the carly days
OF the republic BY Czech policies. For instance
some friction caused by the Czech military
occupation and the commcndablc but frequently
tactess efforts OF the Czech, establish their cdu
cational system in Sovaka.
In the main these small irictiOns are not I'M
portant and only temporary, but they are seized
upon for purposes OF propaganda by nci4hboring
states whose territory has been ,akeu to form the
Czecho-Slovakia republic
The loss OF the coronation city OF Prc,,burg
and the rich territory OF Slovakia is bitterly re-
sented by the Hungarians. \, rc4ards Austria.
great sympathy is iclt for the German population
of Bohemia and the commercial rivalry between
Prague and Vienna is another cause OF irritation
between these countries. The Poles and Czech>
have been at odds for d long time because OF their
conflicting claims in Lower Silc,iu.
In spite OF the experience, OF the Czccho-
Slovak forces in Russia during the revolution. the
relations between the two countries are not a,
strained as might be expected. President Masaryk
and his associates have had some difficulty in COM
batting the BolsheyiN propaganda their country,
Out in spite OF this the President among European
statesmen, perhaps the first advocate Oi the
resumption OF commercial relations with Russia and
!he recognition OF the Soviet the de- tacto gov
:rnment
The best evidence OF the economic progress oi
Czecho- Slovaka the 1921 budget which indicates
the estimates are made good, that ordinary rcve-
1ues considerably exceed ordinary expenditures
In spite OF the TACT that nearly all the items OF the
iebit balance OF the budget Tor this year show a
increase over last year, there some interesting
Exceptions
The national debt service lor example, shows
| saving OF over 100000 crowns. due to partial
unding OF the floating debt, increasing the sums
Tue for interest on the permanent debt but greatly
educing capital payments on short term paper.
The ministry OF public works show, a saving OF
over 100000 kroncn, due to the increase in re-
eipts from the state coal office and the state
owned mines
The ministry OF social welfare likewise shows
decrease in expenditure, and the debit balancck 8
2i the department OF railways and post and tele-
graph arc converted into credit balances, making d
otal saving ior these two departments OF 100000
700 crowns
The only thing about this budget d. reported
which is not rcas,uring i, the enormously increased
expenditure for the ministry OF national defense
Z is claimed however, that this i, not due to an
Increase in the size OF the army, which has been
gradually reduced to about onc-third or onc-half
IS size a year ago, but to reorganization and in
rease in salaries, pay and cost OF maintenance.
1t is reported that the minister of finance
,ans an outlay Of some 3OOO,o 900 kroncn for
ncome producing investments. The funds for this
re to be provided by an internal bond issue and
ne expenditure IS TO be limited to the amounts
eceived from this issue. 1t is estimated by the
Minister that these investments will produce ample
ncome to care for the service OF the bonds issued
o provide the necessary funds
Unlike Austria and Hungary, the Czecho-
Sovak state contains within its borders resources
# fuel and raw materials so that is not dependent
m other states for these necessary supplies. I'm
uestionably the future of this new state is very
right The extent of its prosperity, however, is
dependent upon its ability to establish and maintain
lose and friendly relations, both economic and
olitical, with neighborng states.
Sometimes it is easier to pare appropria-
tio1s than In readiuSt the DarinCS