The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-04-09
ECONOMIC AID
T0GERMANYI IS
URGED BY BODY
Dawes, in 'Covering Letter"
on Report of Experts, Says
New Policy Necessary
HOW THEY VIEW MATTER
Approached Problem Not
From Standpoint of Penal
ties, But Results, They Say

Paris, April 9.-Brigadicr 8. General
Charles G. Dawes, the unofficial
American representative on the first
committee which examined into the
economic and financial situation in
Germany, in covering letter to the
report of his committee tells the rep
arations commission that the commit
tees recommendations must be con-
Sidcrcd not as inflicting penalties
but as suggesting means for assist
ing the economic recovery of all
European peoples and the entry upon
new period of. happiness and pros
perity nnmenaccd by war;.
The covering of Gen. Dawes let
ter follows:
TO the president of the reparation
commission:
Sir:
Your committee has unanimously
adopted report upon the means for
balancing the German budget and
the measures to be taken to stabil-
lze its currency which | now have the
honor to submit.
Deeply impressed by sense of
It's responsibility to your commits
sion and to the universal conscience,
the committee bases its plan upon
those principles of justice, fairness
and mutual interest in the supreme
cy of which not only the creditors
of Germany itself but the world also
have vital and insuring concern.
With these principles fixed and
accepted in that common good faith
which is the foundation of all bust
ness and the best safeguard for uni
versal peace, the committee recon-
mendatlons must be considered not
as inflicting penalties but as sug-
gesting means or assisting the eco
nomic recovery of all European peo-
pie and the entry upon Il new period
of happiness and prosperity unmen-
aced by war.
Since as a result of the war, the
creditors of Germany are paying
taxes to the limit Of their capacity.
so also must Germany be encouraged
to pay taxes from year to year to the
limit of her capacity. This is in ac-
cord with the just and underlying
principle Of the Treaty of Versailles,
re-affirmed by Germany in it's note
of May 29, 1919, that the German
scheme of taxation must be fully as
heavy proportiOnately as that of any
OF the powers represented on the
commission. More than this limit
could not be expected and less than
this would relieve Germany from
the common hardship and give to
her an unfair advantage in the in
dustrial competition Of the future.
The plan of the committee cmbodics
this principle.
THE plan has been made to in
clude flexible adjustments which
from the very beginning tend to pro-
duce maximum of contributions
consistent, with the continued and
increasing productivity Of Germany;
the conservative estimates of pay
ments. to be made in the near future
are dictated by business prudence i'm
outlining the basis of loan and
should not destroy the perspective
as to the effects to be registered in
the aggregate Of eventual payments
which will annually increase.
With the normal economic condi-
tions and with productivity restored
in Germany, the most hopeful est-
mates of the amounts received are
justified without such restoration.
such payments as may be obtained
will be of little value in meeting ur-
gent needs of creditor nations.
ITO insure the permanencc of the
new economic peace between the AL
lied governments and Germany,
which involves the economic adjust
ments presented by the plan, there
are provided the counterparts of
those usual economic precautions
against decentralization which are rec
ognizcd as essential in all business
relations involving express obliga-
tions.
THE existence Of safeguards in
no way hampers or embarasses the
case of ordinary business contracts.
The thorough effectiveness of these
safeguards should not embarass the
normal economic functioning of Ger
many and is of fundamental impor-
tance to Germany and her creditors.
Great care has been taken in fix
ing the conditions of the supervision
over Germany's internal organization
SO as to impose a minimum of inter
ference consistent with proper pro-
lection. The plan submitted is fair
and reasonable in its nature and if
accepted is likely to lead to ultimate
and lasting peace. The rejection Of
these proposals by the German gov
ernment means the deliberate choice
of a continuance Of economic de-
moralization, eventually involving her
people in hopeless misery.
In the preparation of this report.
the committee has carefully covered
broad field of investigation. 1t
has had the constant cooperation of
able staffs of experts in gathering
Continued on page g.