Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-05-17
CURE FOR EUROPE'S ILLS
SEEN in 2O-YEAR PEACE
Political Events SubOrdinated to Eco
nomic and Social Questions,
Carnegie Document Says.

was created in Europe and. at the very
moment when the Improvement Of
means of communication rendered eX-
listing frontiers too narrow, there were
created thousands of kilometers OF new
| frontiers while great historic units were
destroyed for the benefit of little ma
tional states.
"Since from the nature of the case
these frontiers cannot be perfect, since
these states which are called national
cannot be homogeneous, the d1Scon-
tented nationalities in Europe have been
multiplied in number instead of being
reduced. The right Of peoples to dis
pose of themselves is, moreover, theory
not easily applied. Carried to its logical
extreme it would exact q general pleb-
iScite over the face Of the earth and
among peoples who are in no way equip
ped to make proper use Of such right
THE origin of the difficulties of the
agricultural nations is relatively simple
to understand. The end of the war was
marked for them by double phenome-
non-the rise in the standard of living
Of the peasants and the agricultural
reform; =. these two phenomena are,
moreover, closely connected with each
other.
THE existence Of Bolshevisln, which
in Russia appealed to the peasants by
promising to give them the land,
aroused in the neighboring countries,
where the regime of great estates ex-
listed, the fear lest Bolshevtsm shoulo
be implanted among them.
For all these reasons, sometimes con-
comitant, the dividing up Of estates was
extended over the greater part OF East
ern Europe Now the system OF small
land holdings produces less grain for
export than the system OF great estates.
In part, this Is due to the fact that the
peasants, less experienced and weaker
financially, are not in position to pro-
duce as much as the great proprietors
raise different products and particularly
more for their own consumption.
Many Foreign Markets Lost.
Like England, Germany is a super
industrialized country which dependa
essentially on her foreign markets.
Many of these have been totally lost or
their capacity of absorption has been
greatly diminished. Just as with Eng
lions of high cost because Of the de-
velopment of social legislation and OF
the relatively high standard OF living
of the working people.
ION the other hand, and this has
distinguished German industry from
English industry, Immediately after the
war. the former, far from being reac-
tionary, abruptly adopted principles OF
naturalization and the American meth
DDS Of production. Unfortunately what
would have been a good thing IN an
| epoch Of prosperity has become a detr1-
ment, since German industry has not
at its disposition the power to increase
consumption either in the internal mar
ket or in foreign markets. A new bur
den on industry and cause OF add
tional unemployment have thus been
added to the others.
THE situation Of italy, lacking in
raw materials; that Of France, in better
economic equilibrium, and the situation
of the small nations which only in the
development of quality can find a
means Of disposing Of their products on
foreign markets which are indispensable
to them and which are all protected, are
different. But In all these countries
one notes certain common features
which apply to Europe as whole. The
lack of economic equilibrium in Europe
has certainly been aggravated by the
war, by the loss of capital and by the
| enormous increases of taxation which
| have been its direct consequences.
"But its deeper causes are to be
| looked for farther back. They are to
be sought particularly in the formidable
| development of mechanical technique
| in the course of the last half century.
In spite Of very remarkable progress
world consumption has not been able
to keep up with world production and
during the last decade consumption has
had very clear tendency toward dim
| mutton. The impoverishment Of the
masses Of certain countries of Europe,
the industrial development Of the other
continents and the political troubles In
| Russia, China and India have con-
tracted the markets for European in
dustry at the very moment when its
productivity was making marvellous
progress.
Concerted Action Awaited.
Protection has increased the cost of
living and diminished ordinary con-
sumption at the very moment when 1t
was provoking in foreign countries re-
actions and repriSalS and was compro-
missing foreign markets.
| All the statesmen worthy Of that
name understand perfectly the rene
dies which might bring back prosperity
to Europe, the unification Of the world
market or at least a much freer circula-
| ton of merchandise. But they feel
/ themselves powerless to apply this rem
edy; individually, because the resistance
| of private interests is tnsurmountable
! in each country; collectively, because
| the League Of Nations cannot have a
determination different from that Of its
| members.
Europe can solve its problems, how
ever difficult they may be; but to dc
this 20 years Of peace are necessary
Without these 20 years Of peace wal
will lead Europe to revolution or revolu-
! ton will lead Europe to war. In the
last analysis, then, internal political
problems, like economic and social
| problems, are international problems
Is a capitalistic regime still capable OF
organizing peace on solid foundations?
| II the answer is Yes it will have time
! to reform its institutions and to assure
! its future: If the answer is No 1t Is
condemned to speedy overthrow"