Evening star., 1928-03-04

i ERblN.-JuSL dIJer Lne Dawes
- Plan was put into operation and
long before Locarno, made my
IL first postwar visit to Germany
1t is by the measuring rod Of
my experience then that shall try to
describe the economic condition Of Ger
many at the present hour. Calculated
by that standard, German recovery is
little short of a miracle and German
prosperity today unmistakably on the
boom.
Three years ago, even on the Unter
den Linden, the electric lights were just
beginning to shine again after long
period Of darkness. The stray auto
mobile which passed drew attention
Seven years after the war Berlin was
still darkencd and half deserted as a
consequence Of the proximity Of the
conflict.
But the physical circumstances were
not as striking and depressing as the
psychological. Defeat, revolution, infla-
tion had marked the successive steps
in the humiliation and detection of a
great people The occupation Of the
Ruhr still continued If masses OF
people were no longer actually hungry.
the memory Of hunger was still recent.
On their faces. In their clothes, in every
| circumstance of daily life the people Of
Eerlin Of February. 1925. showed the
consequences Of suffering and dis
closed the mental effects Of this suf-
+ fcring
Receivers Self Confidence.
| Today the German has recovered his
| self confidence. He believes in him
| self. in his country. In the future. He
| no longer thinks that his former enc
| mics can or will prevent his recovery
| He Is conscious of the enormous dis
| tance already traversed and sees the
certainty OF the return Of Germany to
prosperity and to power.
| Beyond all else, I place the psvcho-
| logical refrigeration. 1t Is essential tc
! perceive that this rebound is not in any
sense accompanied by political reaction
Monarchy Is as dead in Germany as in
France. On the contrary. the Germans
more than any people which I have
seen In Europe since the war. have ad-
dressed themselves to business as thc
battlefield Of the future.
| Having thus addressed himself. tbs
German has begun to obtain astonish-
ing results. Already the bulk of the
people are adequately fed. properly
clothed. fully employed and enjoy a de-
gree OF well-being which has no parable,
since the early days OF the World War
Between the atmosphere of London
where the consequences of long period
| or depression are still continuing ant
that Il Berlin. where the boom still
cnoureS. the contrast is between Cd.
t:nisn and pessimism, between conf.
dence and anxiety.
: Economic Recovery.
! What France had done in the vas
devastated region. where cities anc
/ towns were oblitcrated, GERMANY ha.
done in the domain of economic. so.
cial and political life, where the de.
Struction vas hardly less complete
Economically. Germany has reorganizec
! ner great industries, rationalized then,
IN part on American lines Socially. sh,
| has passed through a revolution, exer.
cised the danger of bolsheviSm. which
was for moment real. Politically, shs
has stabilized under republican form o!
! government. With these stupendou:
achievements she has found tranquility
| Today the German seems mentally The
calmest of Europeans.
| The more one analyzes the funda.
mental economic conditions of Germany
| today. the more one Is bound TO sea
that while the actual achievement ha.
been we'll nigh incredible, the worlds
| estimate OF the existing facts Is bot.
inexact and characterized with exag.
| seration.
II Is the economical estimate OF the
German situation that seems noSl
exaggerated. Germany has recovered
her balance. psychologically. politically
economically. but she is very Ions
way from having recovered her bal
ance OF trade. What she has so far
| done she has largely done on borrowed
money. which must be repaid. This
present boom. which exeites envy
abroad, Is boom limited 10 the do
meStic market. In part, ii is unSound.
II has been accompanied by what.
Judging by postwar experiences. We
should have called imitation. It is the
common agreement Of all qualified OBJ
servers that the boom must be
checked: that there mus. be meas
urahle liquidation, II Germany Is 10
accomplish In the world markets those
things which are already confidently
forecast by Germany's rivals.
Can Borrow Cheaply.
What are the causes Of the BOOM
Primarily. Germany has been able 10
borrow abroad largely and cheaply
II was inevitable The liquid capital q!