WesWorld

[SIZE=3]The United German Workers’ Free Press[/SIZE]
May 1921 edition
A Communique from the Kommunistische Partei Deutschlands

We see that inflation is continuing to get even worse. Reviewing the capitalist media rags recently, observed that the mark is now worth less than two American cents. Two American cents! It was worth twenty-five American cents before the ruinous events of the Great War.

As you have no doubt noticed, this is making it harder and harder for the Workers to put bread on the table each day. The cost of that bread continues to increase as the agriculturists ensure that they continue to profit from the Working Men and Women, yet the salaries paid to the Working Men and Women remains fixed. How are we to survive this?

It is highly ironic, we think, that while the Workers suffer from inflation, the Industrialists are actually benefiting from it! Comrades, you may not realize it, but the capitalists are still buying and buying more and more - factories, farms, anything that could bring them profit. If they paid for these things straight from their wallets, it would cost them dearly. Instead, they take out loans, pay for their new toys with the loan, and take months or years to pay back the loans. Since those loans are fixed, their value - just like your wages - get smaller and smaller. They end up acquiring their new assets for a fraction of their value , thanks to inflation.

Obviously, if inflation benefits the Industrialists, you know that the Republic will accept it. The Republicans clearly have no grasp on reality - even in these trying times, they insist at building new vessels of war! Emden , they call it, much to the disgrace of the hard-working people of that city. Another cruiser to clutter the Baltic - surely eight is enough! The world is at Peace !

So what are you hard-earned but ever more worthless marks paying for? 5,300 tons of metal, intended to travel at 29 nautical miles per hour, carrying four hundred men whose sole task is to spread destruction with eight fifteen centimeter cannons.

Even more appalling is the Republic’s insistence on repairing the battleship Markgraf , which the Nordmarkers regrettably failed to sink some time ago. The repairs alone are costing as much as two or three unnecessary cruisers, and only lets the Republic return an obsolete behemoth to the seas. Think of how many loaves of bread could be bought with those marks!

Comrades, we of the KPD are laboring to make right these wrongs. You demonstrated last year that you support the cause by sending a few of our fellows to the Reichstag; let us continue our efforts and bring about the revolution!

Nicely put, Doc. :o)

Keep it coming,

HoOmAn

Very interesting read.

Such are consequences of not facing facts and failing to terminate disasterous war in good time.

I frequently wonder about fate of Russia and myself if I had not made peace in March 1917... but I can never bear thinking about that for long...

Nevertheless, German workers did not cause prolongation of disasterous war for too long, and situation in Germany require immediate attention. It is clear that inflation in Germany is due to reparations issue. Government of Germany, with reparations denominated in Marks, seeks to inflate reparations away, regardless of impact on German workers and economy.

Government of France and Great Britain, pursued by American creditors, seek to squeeze from Germany what they can.

Meanwhile, American loans pour into Germany, and go to finance investment activities of German industrialists, which do not develop new productive capacity which might contribute to paying reparations, but which merely causes present facilities to change hands.

Structure of international finance built on such foundation will last no longer, and will share fate, of skyscraper built on sand.

After long thought, I advocate following:

1) That German reparations to former Allies be done away.

(Intelligence services the world over note the immediate, sharp increase in diplomatic cable traffic between Paris and Petrograd. And if they could read them...)

2) That corresponding Allied war debts to United States and to one another be done away.

I do not underestimate short-term financial upheaval my proposal will cause. Nevertheless, international economy will be immediately placed on firmer long-term foundations. American investors will lose the principal of their extensive wartime loans. But are US loans to clearly insolvent Germany better prospects? No. And by this action, the prospects for productive US finance activities in Europe will greatly improve.

I recall Lord Lansdowne's appeal for peace in 1917. We face now conditions he foresaw. Many former enemies are now too weak to grasp fruits of peace, due to senselessly prolonged war. I have proposed what I can see as only remedy.

Darn it all anyway...tapping into Franco-Russian cable traffic was on my to-do list for next quarter.

J