The Washington herald., 1921-01-21
AUSTRIA'S FALL
FORESEEN LONG
AGO BY EXPERTS
March of Ruinous Events
Predicted Appeal to
Allied Board.
By Special Correspondent TO
The Washington Herald.

yIENNA. Jan. 2O.-Austria's sur
sender to the international repara-
tions commission and the placing OF
her internal affairs in the hands OF
this commission, had as its motive
what is generally interpreted here
to be a sincere desire by those in
power to save the country from
utter ruin.
Not upon sudden whim or a dis
couraging outlook on the dark fu-
ture did her powers take this move.
Conditions in Austria have grown
steadily worse since the armistice
and only Intervention of the human
itarian powers could avert a COL
lapse.
FamIlI ar With Conditions.
The reparation commission has
been meeting in Vienna since July
Ostensibly for the purpose of study
ing AUstria's resources with a view
TO securing indemnities for the al
lies under the treaty but in reality
for the purpose of devising ways
and means for securing the contin-
ued existence of Austria as an in
dependent state. During this time,
as the world knows, conditions in
Austria have become steadily worse,
and on December 3 the chancellor,
Dr. Mayr, with the ministers of fin-
ance and food. met with allied rep
resentatives TO lay before them in
formation regarding the present
very critical situation. Briefly that
situation is this:
Credits are exhausted: the stocks
- I L.
until January; supplies which come
from JUgo-Slavia and Ruumania are
too small to relieve the situation;
additionaI supplies from abroad can
be obtained only at prOhibitive
prices. Sixty thousand tons \Of
wheat on credit is absolutely neCes-
sary. In July bread, which was
sold by the government for . krOn
en-, cost n krOnen to produce. Today
bread is sthl sold for kroncn, but
the cost of production to the gov
ernment has Increased 10 47.5O krOn-
en-. The government is thus obliged
to spend 100000 krOnen daily to
cover the difference between the aC-
tuaI cost of bread and flour and the
sale price.
The members of the reparation
commission, of course, realize how
desperate the situation is, and the
plan advocated by Sir William
GoOde was generally believed likely
tC be carried out by the govern
ments concerned.
Germans stand Pat.
on December was held a joint
meeting Of the Bundesrat and the
Nationalrat for the election of the
president Of the republic. A num-
Ter Of ballots were taken and con-
terences were held throughout the
night before a candidate could be
found who would receive the sup
port of more than one of the three
rriucipul parties. The Pan Ger
mans refused to desert their canGI-
date, Dr.. DinghOfer. and the Social
Ists cast their votes regularly for
Dr. Seitz, eX-president of the con-
stituent assembly. The Catholics,
who have the largest number Of
votes in both houses. proposed va
TiOUS members Of their party in the
hope that someone might he found
to whom the Pan-Cicrmans would
agree. ~" Catholics and Pan-Ger-
mans Iln-Irs greed on an outsider.
Dr- Nirh., IIainisch d man quite
rukuowu Tn. irally. Although he
has never taken an active part in
political life. his name is we'll
known, as his mother was one OF
the leaders Of the Austrian suffrage
movement. DR.. HainisCh is d stu
dent of economic and political prob
lens. has written several books ON
these subjects. and in his youth was
nne OF the founders Of the Austrian
Fabian Society. Although hC is a
scholar rather than a politician, it
is generally believed that he pos
sesses a great deal of administrative
ability and his election is favorabIy
regarded.
."- Socialists Baked.
Attempts Of the Socialists to en-
barrass tho government have not
been as successful as was antici-
pated. This is due in a measure to
conflicts within the ranks of this
party which have resulted in the
formation Of a Radical Laborer.s
party under the leadership of DR..
Frey and Eothe. This new party
'"ndS somewhere between the So
cialists on one side and the Com
munists on the other. and it is
doubtful whether It will be able to
maintain itself as an Independent
paBty for long. 1t is likely that
sooner or later IFS members will be-
come Identified with the Communists
who will be glad enough to receive
them.
The bread strikes failed. but there
$ still danger amun% the meta.
workers who demand wage Of
from 1000 t. 200 kronen a week
I'ONornmcut oTplDy"s are also on =
strike. but it is quite we'll known
that the government will be unable
to meet their demands because its
financial resources are exhausted
The strike is likely TO fail because.
some departments have not Joined
and nearly all the departments are
very much OyerstGffed.
Think Treaty Severe.
The AuStrians believe that they
have done everything humahIy pos
ysiblc to restore normal conditions in
their country, but they feel tha,