The Washington herald., 1921-12-17
AMERICANDOLLARS
and SWISS FRANCS
GAINNPOPULARITY
German wspapers
Grumble Protests With
out Effect.
MARK is DISDAINED
Retailers Not Inclined to Sell
For Currency of Fa-
therland.
MARK is DISDAINED

GENEVA. Dec 1--we hear from
Germany that quotations in Swiss
francs and American dollars arc
now increasing in number IN the
case Of German firms quoting to
other German firms. II Is true that
me German press Is issuing warn
ings against such delivery contracts
Of German firms TO each other in
gold currency. but obviously their
warnings have no effect. There is
much srumbling at the preference
for such quotations, but, on the
other hand. II may be admitted that
II Is TO a certain extent also a rea-
sonable issue, for II is very dificult
70 use German currency, as sound
basis OF calculation.
The difficulties IN obtaining GER
tain commodities for German marks,
Independent OF price have increased
during the past few weeks There
Is not the least shortage OF goods
In Germany now. but the retailers
withhold their stocks and are not
inclined to sell against marks. fear
Ing that the cost Of replenishment
will be much higher Under such
conditions many towns have recent
" seen shortage Of textile goods
which did not really exist One
could have what one wished by Of
fertng Swiss francs or American
dollars
Adjusting Prices.
Thus the last fall in the German
mark differed in its commercial ef-
fects from the previous ones. Pre-
viously the decline had lasted for
months while the level Of prices
within the republic rose in proper
ton. The last one came more rap
idly and the panic among consumers
facilitated the dealers adoption to
the foreign buying power Of the
German mark. So long as the Ger
man mark deprecated only slowly
At home and very quickly abroad
wages IN German Industry did not
rise in proportion to the deprecia-
tion Of the currency. When this hap
pened quickly. however. the ten
dency towards German dumping
was suppressed II seems as IL the
German manufacturers are con-
WINGED that the chances for DUNN
Ing are about TO come to an end.
Hitherto the leading exporters
have applied their whole political
influence to prevent the German
government railways and the Ger
man postal service from raising
rates according to the sinking value
OF the mark. BY low frieghts Ger
man industry got out OF the pock-
cts OF the government a very con-
siderable export premium. but now
the leaders OF German Industry
have changed their tactics In
their famous conditions for the
~
eminent they ask that the German
railway system shall work on a
commercial basis. That is Just what
they themselves have hitherto pro-
vented
When the German railways trans
port raw material. especially coal.
within the empire at the cost of
the service. all German export
goods will be on an average - per
cent dearer TO the foreign con-
sumner. The leaders Of German IN
dustry would never make such a
proposition II they were not ma
terially interested in stopping the
boom.
There are various versions to ex
plain why Hugo SHINES becomes
Huddenly virtuoUs and wants to
cease making huge profits. The
most plausible Is that the leaders
~ the big concerns are sold out
OF shares They sold their shares
I" the middle class at fancy rates,
nd with the money made invest
Wents in foreign currency. When
the Industrial boom comes suddenly
10 an end these shares will drop.
and the leaders Will repurchase
them for very small part Of the
money they received for them a few
months ago.