The estimates of private wealth, about which the economists make experiments, and on which I myself have written much in the past, have a relative value.  It may be argued that before the War the total of all private patrimony in Germany surpassed but by little three hundred milliards of marks; and this is a valuation made upon generous criteria.

But when it is said that the annual capitalization of Germany was ten milliards, that is not to say that ten milliards of capital is deposited in the banks ready to be transferred at will.  Capitalization means the creation of instruments of production.  The national capital increases in proportion as these are increased.  Therefore the best way of examining the annual capitalization of a country is to see how many new industries have arisen, to what extent the old ones have been improved, what improvements have been introduced into agriculture, what new investments have been made, etc.

If the capitalization of Germany before the War was scarcely ten milliards of marks, it was too small for an Empire of some 67,000,000 persons.  I believe that in reality it was larger.  But even if it came to fifteen milliards, it represented a very small figure.

The population in the progressive countries augments every year.  In Germany, before the War, in the period 1908-1913, the population increased on an average by 843,000 persons a year, the difference between the people born alive and the dead.  In other words, the annual increase of the population per annum was at the rate of 13.0 per thousand.

As in certain districts of Italy the peasants plant a row of trees on the birth of every son, so among nations it is necessary to increase the national wealth at least in proportion to the newly arrived.  Supposing that the private wealth of the German citizens was from 300 to 350 milliards of marks (an exaggeration, doubtless), it would mean that the wealth increased each year by a thirteenth part or rather more.  The difference between the increase in population and the increase in wealth constituted the effective increase in wealth, but always in a form not capable of being immediately handled.  To plant trees, build workshops, utilize water-power:  all this stands for the output of so much force.  One may undertake such works or not, but in any case the result cannot immediately be given to the enemy.

This is so obvious as to be banal.

To seek to propagate the idea that Germany can give that which constitutes her annual capitalization either wholly or in great part is an example of extreme ignorance of economic facts.

It is positively painful to listen to certain types of argument.

A French Minister has said that the success of the war loans for 151 milliards in Germany, and the increase of bank deposits for a sum of 28 milliards, coinciding with an increase of capital of 45 milliards in limited companies, demonstrate that Germany has saved at least 180 milliards in four years.  Leaving aside the exactness of these figures, it is really sad to observe reasoning of this type.  How can the public have an idea of the reality?