Evening star., 1934-08-08
HITLER RAT|ON|NG
RAW MATERIALS
Economic Situation Grave,
With Trade Drop and
Exchange Trouble.
~ the Aspsciatsa Press

~ the Associated Press
BERI.IH. August adolf Hitler
put aside the role Of funeral orator
today and turned 70 the task Of guild
ing Germany through grave problems
which enmesh It In one Of rs most
critical mazes since the world War
The chancellor President In al but
nAme-~returned to the capital by air
plane yesterday Immediately after he
had spoken a euloKy at the bier Of
the late President Paul Won Hinden-
burg
Germany's economic situation Is
grave. A sharp decline In foreign
trade and ensuing foreign exchange
difficulties have necessitated pro
gram Of rptioning raw materials which
recalls the wartime measures.
This. economists say, Is bound 10
result In a curtailment Of production
and the problem Of keeping factories
going is imminent.
The financial dilemma was re-
emphasized yesterday by the an
notincement that registered marks
would be barred TO foreigners living
IN Germany.
Difficult Exchange situation.
Hitherto foreign diplomats. jour
nsiists and business men have bought
registered marks sc rates varying
from $50 10 405 marks 10 the dollar.
Nov they viii have 10 buy ordinary
marks, beginning october !, at the
dear rate OF approximately $50 to
the dollar
The Reichsbank said the move was
necessary because of the extremely
difficult foreign exchange situation"
Hitler must move cautiously In for
eien relations, Many foreign powers
eye with suspicion Na1 methods in
Austria, where a threat of interven-
tion looms.
Hopes are pinned on Franz Won
Papen as special envoy to Vienna,
but observers we're doubtful he would
be able to keep the door open" for
Nazi-ism.
What 10 do with some 10000 Aus
trian Legionnaires In camps around
Munich, close to the border, is a
growing problem. They are express
ing discomfort at Hitler's scotching of
their long-expected march into Aus
tria
One of Won Papen's first missions
IS expected TO be the obtaining of
amnesty TO permit these men to re-
turn.
Domestically, Hitler appears strong.
Plebescite Preparations.
The plebescite August 10 on ap-
proval of his merger of the duties
of chancellor and President appar-
emily can have little practical effect
on the domestic political future. Hit
Ter has placed this campaign in the
hands of Paul Joseph Goebbels, min
lister OF propaganda.
der Ftlehrer" is banking more and
more ON the conservative Reichswehr,
or regular army, to the exclusion of
his own Nazi Storm Troops, close OBJ
servers hold. This is considered an
indication of definite break with his
early "radicalism.'
This, however, means abandoning
many doctrines that have become re-
ligion to his followers. The psyche
logical effect on them is uncertain.
Nor can a reconciliation between
conservatives, recently dubbed "re-
dictionaries" and .Nazi radicals be
effected overnight
Prince Alois of Sehoenburg- Harten-
stein, colonel general Of Austria, Aus
trian minister of defense In the second
cabinet of the late Chancellor Dollfuss,
and leader of the Austrian forces on
the Italian front during the World
War, appeared today at the Soldiers
Memorial on Unter- -den-Linden.
He was dressed in the old imperial
Austro Hungarian uniform and he de-
posted a wreath on behalf of the
Austrian Army in memory of their
German comrades-in-arms who fell, in
the World War.