CURRENT TOPICS

Southland Times, Issue 17659, 17 February 1916, Page 4

CURRENT TOPICS

GERMANY AND PEACE. Mr Hilaire Belloc, in T and "Water, comments on the new Germ* effort for peace, and explains why it is made just now, and shows that it seeks to achieve by political means what Germany cannot achieve by arms :—"The enemy, now at the maximum of his actual occupation of territory, at the maximum, therefore, of his extension of front, and also at the end (with the exception of ,his classes 'l6 and ’l7) of his reserves of men, is clearly sounding’ opinion neutral and belligerent for the chance of peace. From this moment onwards that political effort will proceed. The , various stages of that effort will follow each other now at short intervals as the strain of the war increases. So long as there was no question of either party accepting anything near his opponent’s terms, the military problem alone was sufficient for discussion. Henceforward it will not be wholly sufficient, and the increasing effort to conclude the great war upon terms that shall leave Prussia strong, and though only negatively successful, still successful in the eyes of her own subjects and allies, must form as large a part of our appreciation of the war as the movement of troops, the rate of losses, or the progress of Russia s rearming and equipment. We must keep in mind three main points in the whole of this all-important business ; (1) The effort for peace is coming from Prussia. (2) It is coming from Prussia because the Prussian Government knows that it lias passed its military maximum, and that in material and numbers the future in general is full of disaster, even the immediate future full of peril. (3) The terms of peace will be made as favourable as possible for the Allies because Prussia needs only one, thing : time to recuperate—that is, to he left intact and strong. Conversely, such a peace would he. for (be Allies, a defeat—however favourable the terms so long as Prussia was left intact and strong. The

indications that the general effort for peace lias begun are many. It was perfectly clear to anyone who cared to follow the known figures of the enemy's man-power and the known figures of his wastage, that this effort would begin when his efficient reserves were nearing their end. His efficient reserves have now neared their end and the effort has begun. Lot us examine the basis upon which that effort reposes. We know in the first place that it makes no appeal to military opinion. The soldiers know well enough what the position is: (1> Tlie enemy is holding fronts of about 1500 miles. <2. He cannot continue fo bold those fronts much longer, because his efficient man-power in the field is beginning to decline. (3) He has against him superior man-power potentially. With only this element still in his favour, that the Russian numbers are not yet equipped, armed, and munitioned. Regarded as a purely strategical problem to lie . worked out on military grounds alone, the enemy is beaten and knows that he is beaten. But there arc, unfortunately, other elements. There ia the establishing of a false judgment upon the war in the mind of civilians, and particularly of neutrals, which it is hoped may grow into a force too strong for the soldiers. There is the hope upon the enemy’s side of political changes in his favour, both through the action of armies now neutral and through divergence in aim between the various allies. Finally, there is the appeal to what is called - linancial exhaustion.’ When the enemy says, ‘ Let us make peace on the basis of a "draw"' ! I am in occupation of much invaded territory and I can Hold it indefinitely,” he is talking nonsense, dangerous as the nonsense is, for in truth lie has his powers at the utmost stretch, and knows that his time is short. But when he says, ‘Make peace because there are still other factors that may come in against you,’ he is nearer to talking sense.” GERMANY AND BRITAIN.’ The correspondent of the New York Tribune recently obtained an interview with Mr Edwin Montagu, M.P., Financial Secretary to the Treasury, with reference to the statements regarding the British financial position recently made in the Reichstag by Dr Helfferich, the German Imperial Secretary of the Treasury. Mr Montagu said : —“ln the machinery and organisation of war Germany has been living on her accumulated stocks of munitions. We have been building up ours. Our great efforts are only just beginning to bear fruit, and have had as yet but a trifling influence on tlie military situation. M 6 started, compared with Germany, virtually without an army and without arsenals. Dr Helfferich is misguided enougli to venture upon a comparison between the foreign exchange position of England and Germany. I need not remind Americans how the exchange between London and Xeiv York fell for a few days at the end of August to a discount of between 6 and 7 per cent. Since then, with the help of the loan which was floated in America by England and France, and by the use of ordinary economic methods, the exchange has been restored, and kept steady a figure which is roughly equivalent to the gold export point,- allowance being made for the high cost of insurance, freight, etc., at the present time. What is Germany's position in regard to foreign exchange ? On October 1 depreciation of the mark in the terms of dollars was about 12 per cent; now it is 19 to 20 per cent, below par, while Germany's exchange in Amsterdam is more than 26 per cent, below par. We keep a chart in the Treasury showing the statistical position of the various exchanges since the war began, and we have continually to extend the chart in order to prevent the descending line which represents the reichsmark from disappearing below the bottom edge of the chart. Germany, with hardly any payments to make outside Europe, has nevertheless to see her exchange falling away to vanishing point. She has realised all her available assets in the shape of negotiable foreign securities, and ever since the outbreak of war she has suspended specie payments. What is the explanation of this fall in the value of tlie mark ? One only is possible, the manufacture and abuse of paper credit. The mark has lost all relation to the gold standard. Dr Helfferich told how the first German war loan was placed at 9TJ, the second at 98i. and the third at 99. I dare say Dr Helfferich can arrange if he likes that the next German war loan shall ba brought out at 994, leaving room for the fifth at par. But not even in Germany can the raising of 10 billion dollars in war loans positively improve public credit. The explanation of these loans is partly, of course, that there is no sort of freedom about the market for war loans in Germany. The bourses are entirely under Government control, and, in fact, if not in form, there are minimum prices fixed below which no one is allowed (or, indeed, dare attempt) to sell the war-loan, however much he may want to. But there are some other respects in which Dr Helfferich is on stronger ground. Germany has raised great sums from the small X agree that our machinery for reaching the small investor is capable of improvement, and the committee of which I am chairman is at the present moment busy investigating the possibilities of this still untapped source of wealth. FRENCH HOUSEKEEPING. We all know that the everyday French housekeeper is a model of thrift Her economical methods of keeping up a supply of appetising meals have often been the texts of many sermons, m which our own shortcomings in this direction have provided an effective contrast. This is not an introduction to anv extenuation of our faults, for it is true enough that there is a pitiful waste of good food in many Australian homes, even where the strictest economy is practised in other directions. The French woman’s methods are not essentia y those of using poor meat and inferior butter and stale vegetables Those are commodities that she would not look at, and we are told that an Australian or English cook would lift her hands in horror at the way Frenchwomen use butter and despise dripping. Even when it is 3s per pound, as it is in war time, nothing else but butter, except perhaps oil, which is equally expensive, is used in French kitchens. Tie same free hand is exercised with eggs, which are also notoriously dear. And with it all it is asserted that the Frenchwoman is renowned for her thrift, and the reputation is justly earned. Bet us see how it is done. Meat is eaten only once a day. The early breakfast of every class, working men and women as well as those who Rvc leisured lives, is invariably of coffee, rolls, and butter. The midday meal is as good as it can be. and consists of a dish of rice or macaroni, a meat and vegetable course, followed by chee-e and fruit. In the evening a good vegetable soup, a dish of eggs, or vegetables cooked so as to make a dish of themselves or one of Hie many excellent dishes' of macaroni flavoured with an appetising sauce, and finally a compote o? stewed fruit. This is the average menu of an ordinary family, which here would have meat for breakfast, then VI o'clock tea, something moderately substantial for lunch, afternoon tea, a three-course dinner of soup, meat, and pudding, and perhaps a snack before *„oing to bed. The point is that in French households nothing is wasted, every scraping of butter, every leaf of vegetable, and all scraps of cheese and bread go to the making of some dish.