28 SEPTEMBER 1929, Page 12

Correspondence

A LETTER FROM GERMANY. [To the Editor of the SPECTATOR.] SIR,—To write about the attitude of the general public towards any point in national or international politics is

always a difficult matter. Personal feeling is bound to creep in, however dispassionate one tries to be, but perhaps this in itself is not altogether a fault.

When the German people speak of The Hague Conference they inevitably think first of the liberation of the Rhineland.

But though 1930 seems to many a long way off, and not to reflect too gloriously on the transport system of the French Army, Germany is thankful to have a time-limit fixed and will certainly not forget what it owes to Mr. Henderson in the matter. The majority of Germans have always considered no financial sacrifice too great which would preserve the unity of the country. Only a minority followed the desperado policy of giving up parts of the Rhineland in the hope of winning them back later. From the German point of view, the French policy with regard to Germany may be expressed in the words your money or your land." Up to the invasion of the Ruhr territory France had been trying to place parts of the Rhineland under French jurisdiction. This attempt was unsuccessful, and thenceforth France's aim was to employ the occupied territory for bargaining purposes. To this The Hague Conference has put an end.

The fact that no standing military commission has been established in the Rhineland, as France at first wished, has caused considerable relief here. Now only the Locarno Commission and the Council of the League of Nations are responsible for the demilitarization of the Rhine.

The attitude of England at The Hague Conference attracted much attention here. During the Chamberlain era, Germany had always looked upon England as France's faithful squire. But The Hague has shown that England can go its own ways and intends to do so. England is no longer supporting French nationalism against Germany but seems to be stepping in as a mediator between the two nations.

The financial result of the Conference is less in Germany's favour. Whether Germany will be able to raise the sums allotted to her time alone can show. At present the whole financial future of Germany seems very problematic. The fact that German industry is wholly unable to raise sufficient capital to finance its enterprises within the country is forcing her to seek her capital abroad, and consequently a large number of the important German firms are passing over wholly or in part into the hands of foreign owners, particularly of America. To what degree this fact, so regrettable in itself, will affect the taxation of capital for the purpose of reparations remains to be seen. Another vital financial question for Germany is whether America will increase her customs- barriers and by this means curtail German exports to the United States.

But in Europe, too, customs-barriers must disappear if Europe is to continue. In this connexion the thoughts about the United States of Europe expressed by Briand and Streseman in their speeches at Geneva were received with interest, and in many quarters with a certain amount of enthusiasm. Even though Europe still has fax to go before

she reaches uniform European coinage and a uniform issue of European postage stamps, the whole European question

has been raised to another plane since these ideas were mooted. Of course, so momentous and so intricate a question cannot be dealt with in any precipitate or illusory way. Ideals, beautiful though they are, must take stock of hard political facts. But such proposals show how far Europe has advanced since 1914. What attitude England will adopt to such an eventuality gives rise to much speculation here.

Nor is Germany's position at all clear. In agrarian circles the fear is expressed that Pan-Europe will mean a pan-industrial Germany, and that agriculture will disappear from a country in which it still holds an important place. German Communism, on the other hand, only sees in Pan-Europe a new rampart against Soviet Russia. Mr. Ramsay MacDonald's speech at Geneva, which preceded the two to which we havejust referred, was accorded a warm reception in progressive German circles. That the Prime Minister of a country which on all sides is bound by international obligations should declare his country willing to submit to obligatory arbitration was considered a signal act of courage. No less fearless was his challenge to the members of the League to respect the ancient cultured races and to further their national aims. Particularly impressive was Mr. MacDonald's plea that Articles 12 and 15 of the Constitution of the League, which still countenance war as a means of settling disputes, should be revised. Mr. Mac- Donald's speech has revived in many German hearts fresh confidence in the League—a confidence which had been somewhat shaken by the League's attitude towards the questions of minorities and that of disarmament. Another problem which has aroused keen interest in Germany is the fate of Tanganyika. The opinion is freely expressed here that if Tanganyika is to be linked up with Kenya and Uganda, the fundamental principles of the mandate system should be brought up for discussion first. The question asked is whether a mandatory Power is still res- ponsible to the League of Nations for the independence of its mandate : if so, how can the mandate without further preliminaries be annexed by the Power to whose care it has been consigned ? Opinions are divided as to whether Germany will ever be able to regain her colonies and whether it is advisable for her to have such an aim in view. Many Germans desire no colonies, in order to avoid the conflict between the black, yellow and white races. But that leaves unsolved the question of where Germany is to obtain her raw materials when all the other countries are hedging themselves about with protective tariffs.

But side by side with all these international problems, Germany has much to occupy her within her borders. An attack from the right political wing has stirred public feeling considerably. Within the space of twelve months eleven political attacks have been carried out in North and North- West Germany, with the aid of incendiary bombs or high explosives. The attempt to wreck the Reichstag building has led to a police inquiry, and several arrests have been made. The prisoners are members of the so-called " Landvolk- bewTng'" a party who ;mite the peasants against the Republic. Unfortunately tY e3e agitators have struck good soil in a class which, at the moment, is experiencing much hardship. But now that the heavy burden of occupation is to be removed from Germany, the State will be able to consolidate herself still more, and the agitators, who think they can settle political differences by infernal machines, will be fittingly dealt with.

Then there is the question of the reform of the unemploy- ment insurance system. This purely technical matter has taken on a political character, and it can only be hoped that it will not lead to a cabinet crisis. In spite of its precarious financial situation, the Government has advanced large sums of money for unemployment insurance, and the taxpayer would like to see these sums repaid. The misused unem- ployment benefit has, here as elsewhere, been made by shirkers. Thus there are two camps : the employes, who naturally have the greatest interest in obtaining every advan- tage they can out of the insurance, and the employers, who dislike paying large contributions in order to provide benefits for the idle. No final decision has as yet been made, but in all probability when it is arrived at it will strike the mean between a ruthless reduction of benefits and an unnecessary increase in contributions. it is hoped to achieve a thorough- going reform, and above all to make unemployment insurance independent of the already over-burdened State exchequer. —I am, Sir, &c., YOUR CORRESPONDENT IN GERMANY.