COLLAPSE OF GERMANY

Pahiatua Herald, Volume XLXII, Issue 15239, 4 January 1943, Page 4

COLLAPSE OF GERMANY

ANOTHER PREDICTION ADVANCED. CHICAGO, October 7. Dr. Melchior Palvi, international economist, said today that September marked the turning point of the war in favour of the Allies, and that the Allied victory would be achieved in “about a year.” Germany’s war effort would collapse, Dr Palyi predicted, if 25 per cent of its production could be halted by repeated bombings of its industrial sections while it is attempting to conduct major activities on several fronts. In an address prepared for delivery to a wartime emergency conference of the National Restaurant Association, Dr. Palyi declared that “when Germany’s expansion was stopped during the last month, the turning point came. “Germany was halted in Egypt, and the outcome of the Battle of Stalingrad matters little in the final analysis, because Germany's advance into Russia will be stopped effectively by the winter weather,” said Dr. Palyi, former economic adviser to the Reiehsbank and* the Deutsche Bank in Berlin. He came hero in 1933 as visiting professor and research economist at the University of Chicago.

He told the conference that a “second front’’ already exists, and although inactive, “it serves a valuable purpose in aiding Russia. “The second front is in Western I Europe where Germany is keeping j upwards of a million men in fear of «n .invasion. There will lx* third, fourth, and fifth fronts, with continued bombings preventing Germany from supplying war materials to these far-flung activities. Once soldiers begin to run out of ammunition surrender is inevitable.” As to the war in the Pacific, Or Palyi said that once Germany “was out of th© way,” the war with Japan could be regarded as a “major colonial expedition.” He likened it to the Boer War. Then, he pointed out,, it took the English two and a half years to win, although there was never any doubt as to the eventual outcome. “That, however, was before the j day of airplane warfare,” Dr Palyi j said, “and an airborne .assault may j result in a comparatively quick Al- j lied victory.”