WHAT A WAR WOULD COST.

Lake Wakatip Mail, Issue 2928, 25 July 1911, Page 7

WHAT A WAR WOULD COST.

SOME INTERESTING FIGURES.

Mr. Edgar Crammond, in the "Quarterly Review," has the first place for an interesting article entitled "International Finance in

Time of War." It is full of the most interesting figures, but it is not quite so definite and lucid as it might be when it comes to deal with the estimated cost of a great European war in which we wera in\olved. He mentions that the Austrian Minister for National Finance stated in the Reichstag on the 22nd of April last that in any future campaign a war would cost AustriaHungary 10s. per man per day, without counting anything for pensions, indemnities, or tho provision of war-like material. A war lasting for six months, in which two millions of men were called up, would, he estimated, cost £180,000,C00

APPALLING FACTS AND FIGURES

Mr. Crammond gives th? following figures as to the cost of recent

wars The total losses nf France in kilhd, wounded, and prisoners were 21,500 officers, and 702,000 men. The cost of the war to France was £544,000,009. Germany's losses were 6247 officers and 123,400 men ; and her military expenses amounted to The South African War lasted about thirty-one months. Our losses in killed and wounded amounted to approximately 44,700; and the direct cost of the war to the Imperial Exchequer was £211,000,000. The Boer losses were 4000 fighting men. The Russo-Japanese War lasted for a year and a half. The Japanese 1 losses amounted to 135,000 men ; I and the direct cost of the war to I the Japanese Government was £203,- | 000,000. The Russian losses in killed, wounded, and prisoners were api proximately 350,000 ; and the direct ! cost to the Russian Government I was about £300,000,000. He quotes from Dr. Reisser's estimate that in the first six weeks after the declaration of war Germany would have to provide £122,500,000. ! Mr. Crammond calculates that in any future war the expenditure for the first three months could not be kept below £100,000,000, and that if : it lasted for nine months, and we : were entirely successful, the cost ' would not be less than £300,000,000. In addition to which the rebuilding of the fleet would probably require i £100,000,000 more. He does not cal- ' culate how much would be spent in restoring the materials for war, and providing pensions for wounded and widows.

THE PROBABLE PRICE OF SUCCESS.

j Mr. Crammond then enters into a calculation as to the indirect effect even of a successful war. He thinks ( that in the first twelve months all car foreign trade would shrink to , the extent of from £150,000,000 to i £250,000,000. There would be a minimum depreciation of ten per cent, on the £8,00(5,000,000 nominal value of ; the fixed capital issues held in ■ The total depreciation : therefore, would be £800,000,000. If iwe were at war with Germany, the greater part of our trade, amounting to £100,000,000, would disappear. A successful war, therefore, if it lasted a year would cost us at the least computation about £500,000,000 in cash out of pocket and a depreciation of £800,000,000 in a decline of the value of our investments. Mr. Crammond sQems to thin'; that if we continue to try to lay our v.ay as we did during the South African War an income tax of 2s. fid. or os. fid. in the pound appears to be not even improbable in the next great war. This, let it be noted, is the estimated cost of a successful war. What the cost of an unsuccessful war would be Mr. Crammond does not venture to estimate. Rut he reminds us that in 1871 Germany accepted £200,000,000 from France, but the sum originally demanded was £soo,ofto,ofli>.

A COMMITTEE OK IMPERIAL

DEFENCE

Mr. Crarnmond finishes liis article by suggesting that the Presidents of the Institute of Bankers. Jthe Associated Chambers of Commerce, and the Chamber of Shipping should be invited to form part of a Committee of Imperial Defence.—" Review of Reviews."