CAN EUROPE AFFORD HER ARMIES?

Otago Witness, Issue 2086, 15 February 1894, Page 21

CAN EUROPE AFFORD HER ARMIES ?

'Sir Charles W. Dilke in the "North American Review.") A distinguished British financier and politician lately stated that the great nations of the Continent will shortly have to choose between bankruptcy and reduction of military expenditure. As regards the chief military countries, I am sceptical about the truth of the s:a f einent. Ifc is, indeed, possible that Italy may reduce her expenditure upon an array, the necessity of which to her existence is far from plain to her friends, although by her policy the has made ie lees unnecessary than it would otherwise have been. Austria-Hungary has already begun somewhat to draw in her horns ; but she cannot afford to diearm in face of Russia. Russia was said to be hopelessly bankrupt a quarter of a century ago. fc^ince that time, however, she has enormously increased her military and naval foroes, aud appears now, by equally general sdmission, to be less nearer bankruptcy than she was then. The armaments of Europe d°pecd mainly upon the armaments of Franco, and these upon the effect produced npon French pride by the defeats of 1870, and their results in the tearing from France of unwilling provinces. Franca spetd^ more upon her army than does any other Power, except the British Kmpire, and she is rapidly coming to rival the British expenditure upon navies, Such, however, is the wealth of Franc 3 that there 5s no immediate prospect of her ceasing to pay her way. France wastes her money recklessly upon colonial enterprises, upon bounties of various descriptions, upon ill-comidertd tar fr charges, aud she is a long way from being forced by any absolute necessity to reduce her war expenses. Germany keeps pace with her aB far as the increase of tho army is concerned, but has ceased the rapid construction of a powerful navy, which is to her a loss pressing need.

The sums spent upon the Continental armies and navies are not always easy to asceitain — partly on accouut of the separation of many budgets into " ordinary " and "extraordinary," acid partly oa account of the sonfusion of moneys from taxation with money 3 from loan. In almost every case the expenditures greatly exceed the sums which are set down in the books of re F erence. The British Empire spends as a rale upon defence f rom LfiO.OOO.OOO to L5G.000,000a year, of whiih the miliuiy expenditure of India forms the largest it«m. Thi-i expenditure, sKbough vast, is a fleutuo as empared (in its ill tft'ect upon the wealth of the nation) wiih the roilitaiy expenditure of Italy, or, in a less degree, \>ith that of the other Continental powers. 'Lho French u.j^ndilme on defence, is on the average, about L 10,000,000, for which the (J jveriinici.L provides :in army of srnmer.fe ni'mbfrf. unu u£ i«*r£" *". rfuiinr'st, f<»r wai, aud a navy i-ecoinl only to om own, j'bu infinitely betoretbat of any other po vtr. France aperies upon A'geria, on Anarn, Tonquin, and Cochin China vast sums of IBODey, such as Great Biitam has never at any timo f pent on any of her flourishing colonies ; and the military necessities of these countries must be looked upon as constituting a considerable military weakness to France. The interest of the debt of Frarce now amounts to considerably over 250,000,000d0l in the jear, and it is, of course, constantly increasing, as France never makes both ends meet But the increase in debt at the present moment is very much less than it has been in recent yeare, and the French Government may be able to put an end to the creation of debt in tiuiea of peace, and to pay its way. On the whole, French finatca is improving instead of running down toward bankruptcy, of which there is rot at present the smallest Bign. Toe annual cost of the German army and navy is misstated in all books of reference, and also in such official publications of the British Embassy report on the Budget of the German Empire, where it is taken at 167,500,000d01. My estimate is that the total German military and n*J.val expenditure is nearer 190,000,000dc1. It is borne with comparative case. When we come to the military and naval expenditure of Russia, the brst es jmate which I can make is about 1 70,000,000 56\. Russia is now nearer to paying her way, in spite of famine and pe3tiJ^ce, than for many years past. Her weak point is the flowness of her mobilisation, while her strong point is her enormous " pscce army," double that of Geimany or of France. Coming to Austria-Hungary, we fiDd a recent year which produced a surplus, after heavy deficits in previous years. In the case of Austria- Hungary, as in that of Russia, there is no reason whatever to apprehend bankruptcy. Italy is the Power whose war expenditure is the least easily borne, and whose finances stand the worst — chiefly, however, on account of her enormous debt, rather than on accouut of the direct pressure of her present milita T y and naval expenditure. Oa th 6 other hand, it is Italy which can the most easily decrease her military, if not her navsl, expenditure. She is, as a fact, decreasing her expenditure ; but she has still a steady deficit. With the doubtful exception of Italy, none of the Continental Powers appear to bs marching towards a bankruptcy well in view.