Evening star., 1932-07-10
ACCORD ON PREPARATIONS
IS CREDITED TO L. S. STAND
DIR. Julius Curtius Praises President Hoo
ver's Disarmament Proposals
and Debt Moratorium.


abroad. about our distress.
Germany has been nearer shipwreck
than she is today; our entire social
structure has been nearer collapse and
our economic organism more drained Of
its life blood. In 1918 TO 1920, and in
1922 and 1923, the world was prophecy
ing the end of Germany. But German
tenacity, fortified bv faith in the future.
and German discipline. sustained by our
feeling Of responsibility, always have
triumphed.
That is what is happening now.
Those buttresses of our national unity.
Hindenburg and the army, our national
economy and its organizations, the CEN
tralizing political parties and the Reich
idea are unaSsailable. In such matters
as the establishment of order within
our frontiers the tranquilization of our
people and the building up again Of our
economic life and our credit, we shall
do everything within our power.
Promises to Keep Peace.
The outside world may rest assured
that Germany, today as conscious OF
her responsibilities as ever. will main
tain peace within and without and will
do her part to bring about reorganiza-
tion of Europe.
The outside world however, should
realize its own responsibility for the
internal situation of Germany. The
Versailles treaty has been an act of
political oppression and has deprived
nations of their elementary rights. and
it Is these facts, coupled with the devas-
tating effects of the world economic
crisis, that supply the real cause Of
German distress
They can be mitigated and must be
mitigated and overcome by the victo-
rious powers and by the solidarity Of
financial and economic forces.
In view of Germany's precarious posi-
tion, foreign political advance toward
disarmament would in itself have a pro-
nounced lberating effect. The conclu-
sion Of a disarmament convention in
line with the plan of the American
message would bring German foreign
policy just that decisive, initial step
nearer to an objective it has been pur-
suing in vain for 13 years
As a result of such a step. the Ger
man government would win a following
in the national movement and have
trump cards to plav out against radi-
calism and particularism. Everything
depends on whether the American mes
sage is taken in the magnanimous spirit
Of its originator and raised to a dis
armament agreement without delay. 1t
must not suffer the fate that overlook
the initiative Of the previous year, when
hedging and haggling cheated 1t of its
saving effect and allowed it to be torn
to pieces between hegemony and for
malism. Boldly determined, quick action
is urgent at Geneva.
Insists Nation Is Sincere.
No one has a right to doubt Ger
many's sincerity or to question its de-
termination to contribute its share to-
ward building up European solidarity,
both in Germany's interest and the in
terest of Europe.
Germany demanded cancellation OF
reparations as an integral part of this
program. Nobody imagined Germany
adopting any other standpoint in view
of the unequivocal attitude of German
public opinion. At bottom, the Ger
man demand was merely the recognition
of de facto condition.
No German statesman expected his
nation to continue to pay reparations
even in a yelled form. 1t was the YER
dict of the experts that Germany had
exhausted her last reserves and was in
capable Of further payments. Her bud
getary position is desperate. . Further
cuts in expenditure would not bring in
anything. Increase in revenue is out
of the question, because taxation is al
ready excessive. Unemployment has
reached its peak and social distress its
EXTREMIST limit. The precariousness of
the situation does not allow further
political Indebtedness.
The recovery Of European economics
and the reorganization of Europe must
be effected without visible or invisible
payments Of tribute. With these as
sumptions fulfilled, Germany will do her
utmost and make every sacrifice to
establish a new reign of peace
Considering what every nation will
have to contribute, it is necessary that
certain tendencies and misconceptions
be swept aside.
1t is not true that with the tribute
payments ceasing the German state
debt win be less than that Of the
French or English. In the first place,
1t is impossible to throw domestic debts
and foreign debts in1o the same pot.
Taxation revenue for internal indebt-
ednesS flows back into the economic
life of the nation; taxation revenue ex-
tracted to pay unproductive foreign
Indebtedness is lost to the economic
life Of the nation.
Table Shows Indebtedness.
The following table shows Germany's
foreign Indebtedness Tin marks after
cancellation Of tribute payments:
Commercialized state debts as OF
Political
Dawes loan....... ss4. { million
p * mill