THE WORLD CRISIS

Wanganui Chronicle, Volume 76, Issue 105, 6 May 1933, Page 10

THE WORLD CRISIS

ANALYSIS BY EINSTEIN INTERNAL PHENOMENA NEED FOB KNOWLEDGE “Two obstacles stand in the way ol world recovery,” said Dr. Albert Linstcin in an address given in America on the world situation. “The lirst of these is the obstacle of the black dress suit. When men come together on ceremonial occasions attired in their dress clothes, they create about themselves as a matter of routine an atmospnere from which the realities of life with their severity are excluded. There is an atmosphere of well-sounding oratory that likes to attach itself to dress clothes. Away with it! “The second obstacle lies in words anti other symbols which are laden with emotion. Although, indeed, words exist for the most part for the transmission. of ideas, there are some which produce such violent disturbances in our feelings that the role they play in rhe transmission of ideas is lost in the background.

“One has only to think of the word ‘heretic’ at the time of the Inquisition, of the word ‘Communist’ for the present-day American, and of the word ‘bourgcoisc’ in Russia, of the word ‘Jew’ for the reactionary group in Germany, of the words ‘honour, prestige, fatherland,’ in nearly all oi the countries of our present world. “The use of such words is adapted for the driving out of all reason and 'J’e setting up of emotion in its place. This I should like to call the obstacle of the taboo,” Dr. Einstein is reported as saying in the New York Times.

“From Loth of these obstacles wc wish to make ourselves as free as human strength allows, and without scruples, quietly and composedly, place ourselves face to face with the naked rca'.iiv.

“No one can deny that we are passing 10-day, not only through an inter national crisis in economic life, but also through just as severe a crisis in international commerce, and quite generally in international co-operation in all domains. With this crisis are connected emotional tensions between Governments and peoples, which can be alleviated, only by the dispassionate in vest i gat ion of their causes. “In the foicground there stands the problem of the mutual indebtedness of countries, ns a result of the World War. Viewed from a certain distance, it is actually for the most part the indebtedness of Europe to America. “Under the circumstances one hears the expressions of anger, that the wicked Germans will not meet their obligations to the Allies, and that the latter will not meet their obligations to America, in spite of the fact that the obligations to pay are certainly legally unassailable. Payment in Goods “The American finds it indeed bitter that he, who of his own free will, has given his help to others in their need, now in his own hour of need is left by them in the lurch, when indeed it is a matter of fulfilling assumed obligations. He may well regard the cessation of reparation payments by Germany as the first cause of this denial.

“Does bad intention really lie behind this, or has it to do with the necessities accompanying the situation? A nation possesses land, facilities for production, and the ability to labour of its inhabitants, and in addition also some gold, although in an amount which is practically negligible in comparison with the great indebtedness here coming under consideration.

“A nation can thus pay only with goods, that is—in the last resort—only with the products of its labour. Should these goods not be taken in sufficient amount by the creditor nation, then inability to. pay must unqualifiedly set in. This inter-relation becomes somewhat obscured in its simplicity, only therefrom that the interposition of the concept of good hides the fact a little from our sight! “Germany has, to be sure, paid for more than a decade; does not this contradict the foregoing assertion? No! She paid with funds received in the form of loans, whose rapid repayment would certainly shatter the money system.

“In this way most of the countries of Europe have already been themselves forced to subject their foreign payments to a far-reaching curtailment. When we take into considcra tion these ‘frozen credits,’ we can say indeed that the attempt to meet the war debts has failed, even as was in evitable in accordance with simple considerations.

“Why, however, has America not taken the payments in the form of goods or through a<i encouragement ol the importation of goods? Because her own industrial establishments would have been seriously damaged by such importation. One sees thus how this situation necessarily had to arise. Such a quiet understanding is suited for taking from the situation its sharpness and bitterness.

“Cue will have to try to reduce the international obligations to a figure which agrees with the willingness to receive the corresponding amount of goods. “Internal Causes’’ of Slump “I come now to a second point, flic comprehension of which is more important for my German countrymen than for Americans. It has been assumed, namely, that the world depression for the most part had its origin through the war debts; and it cannot be doubted tnat the fear of foreigners on the part of the Germans, which expresses itself in their Internal political life in such an unhappy manner, is activated to a high degree by this assumption. “If this view were correct, it would then be impossible to understand the severe economic crisis in America; the economic connection of this great country with the outside is certainly not dose enough to explain the depres-

sion in America as due iu the main to the economic failure of Europe. “According to my conviction, it can not be doubted that the severe economic depression is to be traced back for the most part to internal economic causes; the improvement in the apparatus of production through technical invention and organisation has decreased the need for human labour, and

thereby caused the elimination of a part of labour from the economic ci l ' cuit, and. thereby caused a progressive decrease in the purchasing power oi the consumer.

“The spreading of this view would be important, since—thereby alone—a dangerous source of the mutual cm bit teimcnt of the nations would be set aside; from this understanding would also grow the spiritual forces which could lead to the overcoming of the crisis. “A third problem must here still be mer.Loned, since it concerns Germany and stands at present in the foreground. of interest, namely, Germany’s demand for military equality. I 11111 allowed as a non-oflicial person, indeed to express my personal opinion. The demand for equality appears to me unqualifiedly justified. Youth and. War “On the other hand, however, it would appear to me from the standpoint of the progress of true human culture as a great and fatal step back wards if universal military service should again be introduced in Germany.

“Universal military service means the training of youth in a warlike spirit; it means thus the impossibility of a moral disarmament of the people. Would it not be in the interests of all, also, if France should decide for her self to introduce a professional, army instead of a drafted army? Then it would, be possible to do away with universal military service—already to-day —through international agreement. “Certainly America, with her great influence, would, advocate this eminently important step forward, if she had not become accustomed to such great aloofness in the field of international politics, although, indeed, it was through American influence aftci the war that the League of Nations was called into being. “This short speech can point out only lines of thought; it fulfils it- 1 - purpose if it stimulates dispassionate reflection. There lies deep wisdom in our speech. The German word for agreement—verstandigung—liter ally means the creation of mutual understanding—verstehens.

“In fact, one can best further agreement, in that one seeks to bring it about, that existing circumstances become fundamentally understood. From such understanding will also grow the will, the readiness, and the ability peacefully to solve such questions which are of incisive importance in the life of the people.”