New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-08-17
All Efforts to Bolster
Mark Fail After End of
London Farley; Anti
French Feeling Bitter
Banks See Widest
Days Since War
Forced Collection TO Fail,
Reichsbank Head Tells
Tribune Correspondent
BY Joseph Shaplen
By wireless 10 1fhe Tribnne

BERLIN, Aug, 16.--Not since the
e9liapse Of the German battlefront and
tie country's anxious plea for an
ssmistice has such panic swept the
seantry as has occurred since the news
OF the failure of the London conference
which dashed ell hope of moratorium.
In the last three days the Boerse,
banks and financial houses generally
have gone through some OF the widest
hours in the history of Germany.
All efforts to halt the catastrophe
decline of the mark have failed.
Premier Poincare's declaration with
regard to Germany at the close of the
conference destroyed the optimism of
even those Germans who had insisted
ali along that the country already had
touched bottom. From government
circles and from the press come only
wild cries of despair, predictions of
swift collapse and sure reduction to
the state of Russia, Austria and
Poland.
Press Bitter Against France
Expressions against France are
particularly bitter, the press holding
The old enemy responsible for the
crisis. In government circles 1t was
declared that France apparently was
trying to force the occupation of the
Ruhr, the left bank of the Rhine and
the general dismemberment OF Ger
many. Hatred against France per-
rneates all classes to an extent equalied
only by the bitterness felt against
England when she entered the war
sgainst Germany.
In an interview with the Tribune
correspondent to-day Herr Won Glase-
aspp, president of the Reichsbank, de-
sarsd that any effort by France TO
exact from Germany by force what she
esnaet voluntarily pay is doomed to
fztlare. Germany's reparattof2 debts,
he said, must be brought to- reason
sble and bearahle basis "Other cour 4
ties, he said, "are suffering through
the failure of the Entente to adjust the
leparation problem and the interna.
tlonal debt question:
Discussing the proposal to curtail
The issue of paper money, Herr Won
etasenapp said: "Our opponents pro-
ssea ss from the wrong premise when
they believe that the decline of Ger
Ct the governments disposal by the
9eichsbank. Even totally autono omous
heichsbank could not suddenly curtail
iss credits to the government without
throwing the country's entire economic
structure into catastrophe. Moreover,
you cannot deprive the government of
ai control over the Reichsbank. We
realize the necessity of holding down
credits to the lowest possible limits,
but the Reparation Commission itself
said in note of June Ia that the
amount OF currency in circulation is
contingent upon the balancing of re-
ceipts and expenditures and that no
eurtallment of the issue of paper
money is possible until this is achieved
ana the nations finances set in order.
Taxes Increase Circulation
Likewise does the imposition of
trxes have its limits, which to GER
s.,n pcinf tend to increase rather than
~ gsefease the total paper circulf lion.
sne proposal for an internal loan has
es iittie chance of success as the re-
.Gs Iegotlations in Paris, so that in
'ne absence of other means the gov
sn'nment must continually return to the
Aeshsbank to obtain cash for it's needs,
specially reparation payments. The
sooner that France learns these things
the better"
Germany's fulfillment policy has now
reached it's limit and she cannot 90
Beyond the point she has reached in
an effort to reach the demands of the
aiiies for separations, declared DR..
sWiedfeldt, German Ambassador to the
United States to-day, on the eve of his
4 ceparture for America.
& Inc Ambassador said DIR. Rathenau
shorty before his assassination assert
60 that Germany could not make July
layments. The Ambassador added that
.s decline of the mark presented new
ulrh.ulties in maintaining trade with
smericas and that the country was
nov in the most critical condition since
sae end OF the war. He predicted seri-
ves troubles between capital and labor
= throughout the country this winter, hut
ssld the most serious situation would
probably develop next May and June,
~aen Germany would be in no position
@ iced her people.
Wiedfeldt Lauds Treatment Here
Pr, Wiedfeldt said he was glad to
.ssarn TO America to continue the work
had Just begun. He spoke in the
nafmest terms of the treatment &C.
sssaed TO him by the United States
gvernnent, and dwelt with especial
shpnasis upon the kindness of Presi-
". stA45f oCS4StdIy lIuShSSe 1ilQ
g. Hoover. He hoped the next few
rsaths would see the signing of COM
sasfeial treaty between the United
asases and Germany which would be
Z advantaga to both countries. He
s.a such treaty was now being
-laWn up by Secretary Hughes.
- characteristic expression of the
Msssailing German opinion may be
us;.s sy,sd from the "yossische zeitung.
lermany's hopes are shattered. The
s,sappiiiity Of the Entente to solve the |
sss.l ssoasn Of reparations implies great
astrophe for the whole Of Europe.
,ismany is now about to follow Rus
n. n. Teiand and Austria into the abyss. |
~. s French President indicates an
Naal lack of understanding or de- |
ss.ste sssas refusal to understand when he
asss isss.s faat Germany can pay if she
y wlii, Germany must exercise all
sissn. I'll \. and nerve power to dam the |
herb ai's tide Of destruction rushing upon