Evening star., 1937-02-21
TRADE PARLEYS VISIONED
TO END ARMS SPENDING
Secretary Hull Believes Approach to
Limitation Lies i'm Revival of
International Barter.
BY CONSTANTINE BROWN

BY CONSTANTINE BROWN.
"HE dance of billions for re-
armament, with the inevitable
increase. in the taxpayers
Il burdens, Is causing wind Of
optimism to blow over the State De-
partment. People cannot possibly
endure this reckless extravaganza
much longer" say the top-notchers
of our State Department. Sooner
or later they will wake up and find
out that spending money on unpro-
ductive construction-guns, airplanes,
warshipS and fortificatio.s-can lead
them nowhere. And the people them
selves will eventually impose their will
on their respective governments and
force them to put an end to this drunk
en- sailors attitude of the last few
years. When this happens, the world
will be ready to adopt saner attitude
toward international relations"
The White House and the State De-
partment are reviewing the fantastic
figures which every country in the
world Is spending on arms and am
munition.
Since the month Of January France
and Great Britain have informed their
citizens that because of the strained
situation in the world, a sum of no
less than $4,000 100000 will have to
be spent on military equipment in the
course of the next five years. France,
where the cost of living is increasing
by leaps and bounds, has just decided
to add $685., 100000 to its arms ex-
penditure The franc is shaky; an
other devaluation Of the currency
may be forthcoming within the next
few months; the citizens ability and
willingness to pay high taxes is near
ing its limit internal loans are becom-
ing increasingly difficult since the
wealthy classes are buying American
and Canadian securities. Yet, the
Socialist government, with a con-
the money somewhere in order not to
remain behind Germany, where they
are at the present moment.
Britain to Spend.
In Great Britain the government has
Just announced that the military ex-
penditures will be skyrocketing in the
course of the next four years in order
to re-establish Britain's armament
superiority in Europe. Two battle
ships costing about s35, 100000 each
were put on the slips in January. AS
soon as the navy yards launch the
cruisers and destroyers, which are
being built now, heavier units will be
ordered. New airplane factories are
springing up all over the territory Of
the United Kingdom, like mushrooms
after rain. The taxpayers capacity
is greater than that of any other
European country; and because of
this an increase Of 20 per cent in the
lower income tax brackets will be
added in the course of this year. Those
receiving higher incomes will be bled
more Strenuous}y.- OF course, in the
matter of loans the British govern
ment Is in a better position than the
French because of the enormous
wealth which still exists in Britain.
What the Germans and the Italians
are spending is mystery to the other
| governments. The gun-fed German
population is willing to tighten its
belt and go without essentials of life,
but how long this will last nobody
can say. DR.. Schacht has been per-
forming miracles with the scanty
amount of gold dess than 100000
000) which the Reichsbank possesses
and with his barter-trade policies. But
how long can these miracles be con-
tinued? All that is known is that in
1896 the Reich spent $4,000 ,000, 900 in
gold on military preparations.
Spend 215 Per Cent More.
The arms expenditure in 1886,
compared with 1918, when European
powers were getting ready for the
first World War, shows the following
proportions: Great Britain spent in
1896 80 per cent more than in 1913;
France, 56 per cent; Japan, 100 per
cent; Russia. 500 per cent, and the
United States, approximately 2l5 per
cent.
In actual figures the arms expendi-
lures. which were a little under $2,-
600 900, 900 in 1918, increased to more
than $4,000, ,000,0 in 1896 and will
reach some fantastic figure two years
hence. The present budgetary esti-
mates of France and Great Britain
are only tentative and will certainly
be increased unless an agreement for
q reduction or stabilization or arma-
ments Is arrived at within a short
time.
The State Department has had dis
couraging answers during the last few
months when it approached discreet
ly and unofficially various govern
ments regarding a limitation of arms
conference. Nevertheless, Washington
officials believe that there still may
be time to put an end to this folly
of the nations across the two oceans
The administration had vaguely in
tended to begin move for the revival
of the limitation of arms conference
early this year. Those hopes were
dashed when the Spanish situation
took a turn which, in the opinion OF
our diplomats, threatened the world
with an immediate war. But when
Hitler indicated in his speech of Janu-
ary 80 that he was willing to wait
until the British and French had duly
digested his proposals for a colonial
empire, the time again seemed favor
able to look into the question of a
better international understanding.
Approach Not Yet Decided.
The method of approach has not
been agreed upon yet. Some Of the
Presidents advisers on international
| affairs still believe in a direct ap-
proach through a revival Of the lin
itation of arms conference and
! through direct contacts with the re-
sponsible heads of states.
The State Department, and Secretary
of State Cordell Hull in particular,
feels that the approach must be
made by emphasizing the importance
of international trade revival and by
re-establishing among nations a re-