NAZIS’ NEW ECONOMIC ORDER

Wanganui Chronicle, Volume 84, Issue 178, 31 July 1940, Page 6

NAZIS’ NEW ECONOMIC ORDER

SERVITUDE FOR EUROPE PERMANENTLY REDUCED STANDARDS OF LIVING [ British Official Wireless. ] RUGBY, July 29. i Remarks addressed to foreign pressmen in Berlin by the Nazi Minister of Economic Affairs, Herr W. Funk, on the “new economic order” to be imposed upon Europe were read in economic circles in England with some interest. Outside countries are encouraged to rope for excellent trading opportunities in post-war Germany and its subjugate European “colonies.” The methods to be employed are those which have already brought most satisfactory trade results to Germany before and during the war. Their aim was autocracy. Countries brought within the Reich’s economic' order have been exploited by clever' manipulation of the bargaining power of a great economic entity concentrated in the hands of the State. Power to close the German market to a country’s products or switch German purchases elsewhere was used to force delivery of exports Germany wanted in the quantities she desired, without regard to the effect of the balance of the other country’s own economy or the rest o[ its export trade. By one device or another, the terms of trade were turned to the disfavour of the countries exporting to Germany and in the end they would often he. confronted with no alternative but to take payment for their export in goods which they did I not want—accidental surpluses of this or that branch of German industry—or watch anxiously the growth of a credit in their clearing arrangements with the Reich, which worked to put them more and more under the necessity of economic subservience to their debtor. Debt to Mexko A Press report has been received according to which Italy and Germany owe Mexico 4,000,000 dollars for deliveries of petrol before the outbreak of war. Herr Funk made it clear that any State, in the New World as in the Old, which ventured to uphold economic ideals other than Nazi or pursued another economic policy would incur disfavour with those controlling the European economicmachine from Berlin. He hinted that the United States would be expected to attune its policy to Nazi theory. German economic hegemony is to be established at the cost of sacrifices in other parts of Europe which will disrupt economic life. The Nazis’ schemes spell permanently reduced standards of living in Europe. This reduction will bear immediately and sorely on all classes in the States of northern and western Europe. In the more backward States in the south-east it will be felt first

among the professional classes and traders.

Behind Herr Funk's phrases such as “currency problems will be solved automatically through the redistribution of labour," “it is not intended to restore free foreign exchange or create a currency union which is a customs union,” and “it is not intended to put greater Germany on an entirely self-sufficient basis; Germany will continue to export manufactured goods"—behind such phrases lie plans for the exploitation of all other I peoples for Germany's benefit. < old Reception Her) Funk's exposition has not had very favourable Press comment :n countries where comment is still free, according to summaries reaching London. The Swiss newspaper Democrat says: "Many economists consider that driving Britain from Europe and building of a separate European bloc would precipitate the haemorrhage of a dying continent.” A Norwegian journal says: “Swedish and Danish papers write regarding this that their countries' culture is inseparably bound up with the old democratic tradition and the same can be said of Norway. We Norwegians have been accustomed for generations to think and talk freely and ourselves choose who shall administer our affairs. If we lose these democratic rights we lose our culture's kernel. Perhaps we have not paid heed to the value of free word, and free criticism as we ought. We regarded them ss a matter of course, but if we were one day to lose them a storm of indignation would burst forth.