GERMANY’S FINANCES

Evening Star, Issue 22032, 18 May 1935, Page 15

GERMANY’S FINANCES

DEVALUATION IMPOSSIBLE CONSCRIPTION TO REDUCE UNEMPLOYMENT Frets Association—By Telegraph—Copyright BERLIN, May 17. “ Devaluation is impossible in. Germany for psychological and economic reasons. _ On the contrary, it is possible in. Britain owing to the immense resources of the Empire and foreign exchange, with no foreign debt. Britain has also not previously experienced inflation,” said Count von Krosick, Finance Minister, who added that the proportion of State expenses to national income had risen in Germany from 16 per cent, before the war to 35 per cent, last year, which was the highest in the world. He denied that the Government was enforcing a military levy to pay for conscription. He justified the Government’s work-finding policy, but it must end soon as only £120,000,000 remained for this purpose. Nevertheless, conscription would reduce unemployment. He emphasised that the blackest feature was the decline in exports, resulting in 1,760,000 fewer people being employed than in 1928, necessitating compulsory currency control, which was a bad system, but the only course until currencies generally were stabilised. >