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[Instead of presenting his paper, as printed, Mr. Rice gave a brief illustrated lecture on the subject, the illustrations being largely maps of the coal fields in several parts of Europe, and graphic diagrams illustrating the production and consumption of coal throughout the world.

Jan 4, 1918

WITH the economic situation of the world what it is, we may expect important events in every month of 1922, and January showed us some-what of the nature of things that will happen. The Germans announced their inability to meet in full the reparation payments that were due Jan. 15. The Su-preme Council arranged a plan for them to pay some thing on account every 10 days, and called a conference at Cannes to talk things over. While this conference was in progress Premier Briand resigned and was suc-ceeded by Poincaré. This emphasized the growing differences between British and French policies and interests. The French want to exact the utmost from the Germans; so do the British. The latter think, however, that the French aims will so cripple the Germans that they can not work properly and hence can not trade. Great Britain, with a huge unemploy-ment problem, must have trade. The French thought that Briand was unduly deferring to the British and withdrew their support of him. The other important political developments of the month in Europe were the establishment of the Irish Free State, relieving the British of the vexatious Irish question; and the growing tendency to recognize the Soviet government of Russia and admit its representa-tives into international conferences. In the United States the great political event was the establishment of the dominance of the agricultural bloc in the Senate, which implies the passage of agrarian legislation that will probably be unwise. Economically, there was no progress in the United States. If anything there was probably some reces-sion in the physical volume of business. There were some further reductions of wages, but these were irregular, geographically, and moderate in amount. The great unionized trades maintained the jam. Events of great importance were the formal demand of the anthracite coal miners for increased wages on April 1 and the declaration of the bituminous coal miners that they would resist a reduction at that time. The attitude of these groups is believed to presage labor troubles in the spring. In the metal markets affairs were dull during Janu-ary, but prices were generally firm, save for a little further weakening in iron and steel. In the matter of production, however, there was some quickening of activity, especially in copper, zinc and iron.

Jan 2, 1922

AT THE beginning of October, the outstanding feature in the world's affairs was the Turkish question. The Turks, victorious over the Greeks, repudiated the treaty of Sévres with the Allies and demanded their reestablishment at Con-stantinople and in Thrace. The British resisted, but deserted by the French and Italians, at a military conference at Mudania the Turks obtained about everything that they wanted. Great Britain suffered a loss of prestige that may bear evil fruit in the future. The possession of the Dardanelles by the Turks pro-duced the ruin of Russia and Rumania in the great war, prolonged it two years and made it necessary for America to go in. Disruption of the entente puts the Turks back where they were. In America a strong and spontaneous reaction developed against this, not for any diplomatic reasons, but purely out of the sentiment that the atrocious Turks should be confined to Anatolia. Some strong leadership would have aligned the United States with Great Britain in this matter. As it is, the French have had their way but have alienated much of their American friendship. The temporary composition of Turkish affairs at the Mudania conference had momentous consequences. The Greeks, having expelled King Constantine, in their distress and despair reverted to the guidance of Venizelos. Evacuation of the Grecian military forces and the entire Grecian population from Eastern Thrace began, the people not venturing to remain there. From all accounts their withdrawal, attended by great hardships, was reminiscent of folk movements in the Middle Ages. The vanguard of the Angora Govern-ment set foot in Constantinople, marking the return of the Turks to Europe, while the Allied forces remain-ing there temporarily stood in chagrin. In Great Britain an important element of the Con-servatives withdrew their support from the Coalition Government, thus leading to the resignation of Lloyd George, the installation of Andrew Bonar Law as premier and a general election with a tri-party contest among the Conservatives, Liberals and Labor, called for Nov. 15. Civil war continued in Ireland, but attention was diverted from it by the more important events in the Near East.

Jan 11, 1922

MAY began with a general strike of the bituminous and anthracite coal miners in the United States in progress, while in Great Britain about three quarters of a million workers became idle by a lockout, caused by a dispute respecting the question of the rights of management in their shops. The employers opened their shops on May 3 to men wishing to resume work, but few availed themselves of the opportunity. Up to this time the statistics had been showing a little increase in the rate of employment in Great Britain and business conditions were considered to be improving. From Russia came reports that the results of the famine had not been so bad as had been prophesied, which is not to say that they were not grievous. In prognostications such things are habitually overesti-mated. Seeding for the new crop has now begun in Russia, with hopes for better results than last year. However, the general economic situation in Russia steadily becomes worse. We had advices during May to the effect that the Soviet Government had decided to abolish the gold ruble even as a theoretical calculating unit and substitute a "goods index." This idea would be somewhat on the lines of Professor Fisher for stablizing the dollar, and there may be a chance to see how it will work in practice. There was a contradictory report from Russia, however, that it had been decided to revert to the gold basis. This is the more plausible report, for if there be anything to be deduced from economic theory and history the present paper rubles will completely collapse and return to gold basis will ensue simply because the people will refuse to sell their goods on anything else. The civil war in China came to a head during the first week in May when General Wu-Pei-fu crushed the forces of General Chang Tso-lin around Pekin. The victor declared his intention to be to reunite the North and the South and in course of time to arrange for a constitutional convention. We probably do not under-stand the conditions in China, but recent events do not appear to have solved the grave difficulties there, though they may be a step toward it. However, the immediate outlook does not appear good, General Chang having retired to the north and declared the secession of Manchuria and Mongolia.

Jan 6, 1922

EUROPE continued to be unsettled, financially, commercially and socially. October opened with Germany in a state of turmoil following the Government's cessation of passive resistance to the French and Belgians. In many places there were riots with much bloodshed. In Bavaria a military dictator-ship was set up in order to keep peace. In the meanwhile France continued in an uncom-promising position.. Great Britain, having been diplo-matically discredited, disappeared from any prominence in the international picture. Under the constraint of circumstances the policy of deflation in Great. Britain was temporarily abandoned. Perhaps no other course was open, for with declining trade and heavily reduced revenue, and no chance for cutting expenses propor-tionately, a check to deflation comes of its own accord. The effects of this should become manifest in the course of a few months and should appear in the form of an improved margin between the prices for commodities and the wage costs in producing them. About Oct. 20 an effort was made to set up the Rheinland as a separate republic. On Oct. 26 were published communications from Lord Curzon to Secre-tary Hughes and the latter's reply. In these Lord Curzon drew attention to the gravity of the situation in Europe and expressed the hope that France might listen to renewed suggestions for a general inquiry. Secretary Hughes promised American cooperation, in this, with the reservation that the question of inter-national debts should not enter into the situation. In the latter part of October there were military mutinies and disorders in Greece, which resulted in the reestablishment of martial law by order of Col. Plas-tiras, who is virtually the dictator of Greece. The incipient revolt was promptly crushed.

Jan 10, 1923

AT THE beginning of September, the French eased their pressure against Germany and allowed the latter to, be granted an arrangement for its reparation payments in kind according to the Lubersac-Stinnes agreement. The whole arrangement as to the German reparations is, however, but temporary. The Greeks suffered a disastrous defeat at the hands of the Turks in Anatolia, which rapidly resulted in the expulsion of the Greeks from Asia Minor, the Turks occupying Smyrna about Sept. 10. A few days after entering Smyrna the Turks sacked the city and finally set it afire, creating one of the most terrible destructions in history. At the same time their advance on Constantinople, together with their demands on the Allies, brought them directly in, con-flict with the latter and Great. Britain prepared for a new war, with doubt as to the support of France, whose political interests in the Near East are as different as their economic interests with respect to ;Germany. The Turkish situation became thus a threat against the peace of Europe. A revolution in Greece, followed by the abdication of King Constantine and the return of Venizelos to a function in the Government was one of the conse-quences of the defeat in Asia Minor. Civil war continued in Ireland, with more or less -bloodshed. Economically there has been no change for the better in Europe. In Great Britain there, are no signs of an -important trade revival. In Germany and Austria things are worse. French, Italian and Spanish affairs continue in a bad way. In the United States business is represented as "booming," but many people are inquiring where is the boom? About the middle of September Congress passed the tariff and the soldier bonus bills. The President signed the former and vetoed the latter, with a strong message that won praise among people who understand condi-tions. Congress tried to pass the bill over the veto, but failed. The President signed the tariff bill, which became effective Sept. 21. A severe handicap was thus imposed on American economics.

Jan 10, 1922

ON July 2 the Krupp plant in Essen was occupied by the French. The City of Frankfurt, on the edge of the Mayence Bridgehead was surrounded by the French. French infantry and cavalry occupied some more towns in the Ruhr. These moves were apparently in the way of reprisals. The Bank of England on July 5 raised its discount rate from three per cent. to four, per, cent., the lower rate having previously prevailed for almost exactly a year.. The advance appears to have been inspired by the reserve ratio, but especially owing to the fact that the low rate in the London market had led to the out-flow of funds from there to other markets. Philip Snowden brought up again in the British .Parliament his motion in favor of the condemnation of the capitalistic system and the substitution of socialism. The motion was put to vote and was defeated by large majority, only the members of the Labor party voting for it. The Allies and the Turks finally came to an agree-ment at Lausanne, the Turks getting about all for which they asked. It would be tiresome to record the details. The main fact is that the Turks, after having been ejected from Europe in 1918, are now going to return. Russia agreed to the settlement respecting the Straits. The Soviet Government of Russia formulated and adopted, subject to ratification, a constitution for the United States of Russia, which appears to be patterned after the constitution of the United States of America and the unwritten constitution of Great Britain. The important thing about this seems to be that it definitely reunites the constituent parts of the old Empire, the semi-independence of the Ukraine being surrendered.

Jan 7, 1923

EARLY in November attention was focused on the interchange of views between Paris and Wash- ington with respect to the proposed examination of Germany's capacity to pay. It appeared finally that the limits imposed by the French were too narrow and consequently the conversations were discontinued. In Germany there were stirring events. Hitler, with Ludendorf in the open, attempted a coup d'etat in Bavaria, but failed quickly and ignominiously. The former crown prince re-entered Germany, with the sanction of the republic, and took up his abode at his castle in Silesia. On Nov. 13 Chancellor Stresemann informed repre-sentatives of the Rhineland and the Ruhr that those territories thenceforth must shift for themselves politically, economically and financially, the federal treasury being no longer capable of caring for unem-ployment in the occupied territory. This was equiva-lent to putting the burden of supporting the people of that region upon. France and Belgium. There have been negotiations toward the creation of a Rhenish-Westphalian state, independent of Prussia, but under the sovereignty of the Reich. Failing to receive a vote of confidence at the end of this month, the Stresemann Ministry resigned. President Ebert considers it may be necessary to create a government independent of Parliamentary authority. The Ruhr Industrialists have signed an agreement with France until April 15, 1924 by which they have agreed to pay back coal taxes for the first ten months of this year, and deliver 18 per cent. of their production as reparations until the expiration of the agreement. The British government found itself in a precarious position with respect to support and a dissolution of Parliament was announced, with a general election to occur early in December.

Jan 11, 1923

AT THE beginning of May the German government offered to the French and Belgians the payment of 30 billion .gold marks as indemnity, accom-panied by rather involved terms, among which was the ability of the Germans to finance the foreign loan. This offer was promptly and summarily refused by the French and Belgians. Since then there have been more palavers between the two parties, while the occupation of the Ruhr continued without especial incident, except some socialist riots and workmen's strikes. The renewed conference between the Allies and the Turks at Lausanne continued, without apparently getting anywhere. The Turks demanded an indemnity from the Greeks, which the latter refused to pay, threatening a resumption of hostilities rather than to do so. A. Bonar Law, the British premier, resigned his office soon after the middle of May, owing to poor health. The King appointed Stanley Baldwin as his successor. This. Attainment to the premiership of Great Britain by a business man is a noteworthy event. It is, moreover, to be remarked that Mr. Baldwin is personally acquainted with America and is well known to be a friend to Americans. The Irish rebellion came to an end. Economically there was some improvement in the situation in Great Britain during May, which was reflected in diminution in the number of unemployed. Nevertheless the aggregate of the unemployed in Great Britain continues at a very high figure. In Germany there has been an increase in the number of unemployed ever since the French occupation of the Ruhr, which naturally has been choking German industry. Previous to this the percentage of unemploy-ment among German workers had been low ever since the Armistice. A noteworthy domestic event was the non-stop flight of an airplane, May 2-3, bearing two aviators from New York to San Diego, California, in about 27 hours.

Jan 5, 1923

WHAT was certainly the greatest event of January, and perhaps it will prove to be the greatest of 1923, or even of the next decade, was the meeting of the premiers of the principal Euro-pean powers in Paris on Jan. 2, to consider what should be done with respect to German reparations. The French and British were unable to come to any agree-ment, and the conference broke up on Jan. 4. The French and British parted friends, but each with the determination henceforth to pursue its own economic and political way. This event was profound in its significance and perhaps will be calamitous) in its consequences. Following the disruption of the Conference at Paris, the French immediately began preparations to occupy the Ruhr district on the ground that Germany was in default on coal deliveries, without waiting. for Jan. 15, the next due date for reparation payment. This action by the French led to orders being issued by President Harding on Jan. 10 for the withdrawal of the remainder of the American troops on the Rhine. Thus ended the physical participation in. European affairs by the American army, whose vanguard landed in France in June, 1917. The French occupation of the Ruhr Valley, i.e., the great industrial region of western Westphalia, was made with a large military force. The Germans offered no physical resistance, and passed under French control with sullen resentment. The coal miners to a con-siderable extent refused to work and there was more or less disorganization of railway service. Before the end of the month the opinion was expressed that the French occupation was an economic failure and there were reports of French blast furnaces being blown out for lack of coke.

Jan 2, 1923

DURING the month of March there was some lifting of the veil, revealing somewhat of the maelstrom in the economics and politics of the world. Great Britain was in throes of political controversy, with threats of resignation by Lloyd George and a general election to ensue. Ireland was uneasy with internecine squabbles. The leaders of the opposing sides have been summoned to London for a conference which Parlia-ment believes offers the only hope of a solution of the present difficulties. France, awakening more and more to grim realities, learned of a budget for 1922 calling for more than 50 billion francs, or nearly one-third of the estimated national production, with the prospect that after this deduction is made there will be nothing left over what is required for the immediate support of the, people, and that on a reduced scale. Germany, although hard at work, found itself coming closer and closer to financial collapse and repeated its intimations that it would be unable to keep up with the provisional payments of 31 million gold marks to the Reparations Commission every 10 days as arranged at Cannes. Russia suffered more acutely from the famine and there were evidences of political insubordination among the Ukrainians. Egypt was in trouble arising from determination to win independence. About the middle of March the complete independence of Egypt was established and that country passed into somewhat the same relation-ship toward Great Britain that Panama has to the United States. At the head of the Adriatic, Fiume came into notice again with disorders threatening to produce conflict between Italy and Jugoslavia. In the Near East there were forebodings of trouble through resumption this spring. of the war between Greece and Turkey.

Jan 4, 1922

AT THE beginning of December, the Lausanne Con-ference was in session. The representatives of the United States declared the American position. The representatives of Russia were received and were heard. The Turks appeared at this conference in the attitude of victors, dictating terms. The British refused to surrender Mosul, and December thus ended with this question unsettled. Early in the month the premiers of the principal powers met in London for the discussion of the German reparations question, the temporary agreement expiring on. Jan. 15, 1923. On Dec. 11 the Conference adjourned without getting anywhere, and at the end of December prospects looked more hopeless than ever. The premiers are to meet again on Jan. 2, 1923. The interruption of the London conference was followed by the intimation of early participation of the United States in European affairs in the practical way of a large loan to Germany. These intimations, ema-nating from Washington, appear to have been in the nature of trial balloons. They showed that the wind was unfavorable, the bankers not considering conditions suitable for the flotation of such a loan. British statisticians are puzzled by the fact that the trade returns of Great Britain show a greater turnover in the volume of goods during the first 11 months of 1922 than in 1920, although the rate of labor employ-ment in 1920 was nearly 100 per cent. and in 1922 only about 86 per cent., with an economic situation admit-tedly so bad as to be alarming. The British Parliament was convened under the premiership of Bonar Law. One of its first acts was confirmation of the constitution of the Irish Free State. Civil war in Ireland continued. Poland, like most of the other countries of Europe, is torn between socialism and conservatism, with the former party at present predominant. Early in December, Gabriel Narutowicz, an engineer but a radical, was elected president. On Dec: 14 he entered office and-on Dec. 16 he was assassinated.

Jan 1, 1923

JULY was a month of great turmoil, both economic and political, in many parts of the world. Instead of conditions improving, they seem to have been getting worse. In Ireland, civil war is still in progress. Germany was in the throes of a political upheaval. The meaning of the assassination of Rathenau became clear. It evinced the development of a class struggle between the bourgeois and socialistic parties which may rock the country to its foundation and will increase the difficulties of arranging things with the French and solving the reparations problem. In Poland, a similar contest is developing. Austria is already so completely contaminated by the socialist element that it is unable to get outside assistance and is thus falling into a state of despair but little short of what prevails in Russia. The conference at the Hague came to an abortive end for the reason that it was impossible to discuss affairs with the Russians in any reasonable way. The Germans declared their inability to meet the reparation payment that fell clue on July 15 and the Commissioners for the Allies granted them an abate-ment of a portion thereof and are listening attentively to the supplication of the Germans for a moratorium of one or two years. In the United States, July was a month of widespread labor troubles, accompanied by a great deal of disorder and violence, which led to detachments of the National Guard being called out in several states. The railway shopmen, about 400,000 in number, struck on July 1. The road maintenance men decided not to strike, but many thousands of them quit work without the sanc-tion of their union. There were more strikes in the textile industry in New England and in similar industries all over the country. Early in July, it was estimated that about 1,250,000 men were out on strike. The coal strike continued. Early in the month the President summoned operators and miners to Washing-ton and submitted a plan for the compromising of disputes. After a week's consideration the miners re-fused flatly to agree to anything. The majority of the operators consented to accept the proposed arbitration, but a minority refused. Following this abortive at-tempt the President dismissed the conference with the injunction "to return to your mine properties and resume operation." Production has not increased.

Jan 8, 1922

THE FRENCH occupation of the Ruhr valley and other districts on the eastern side of the Rhine continued during March to be the pre-dominating feature in European affairs. There were sporadic troubles and disorders, but on the whole the Germans were passive while the French were consider-ate. However, it became more and more evident that France is not in this way going to succeed in collecting the reparations, to which of course she is entitled. It appears to be a case of Germany being unwilling to pay what is claimed from her and France being unable to make her do it. However, as the month drew on it became reason-ably clear that both the French and the Germans were becoming more and more disposed to get out of an impossible and dangerous situation. It was suggested that the basic principles upon which Germany now is ready to resume reparations payment are as follows: (I) appointment of a commission to establish Germany's ability to pay and to fix limits to the reparations; (2) a series of international loans; (3) the amount to be paid cannot exceed approximately 30,000,000,000 gold marks. From Russia came numerous reports reflecting economic and political changes there. One of these told of a Cossack insurrection in the southeast of European Russia. Another reported that the expatri-ated Russians recognized the solidity of the Bolshevik government and would contest it no longer, and would reunite with other Russians if they would recognize the rights of private property and validity of former debts. This is the same position that is taken by most of the foreign governments, and especially Great Britain and the United States, with respect to recognition of the present government of Russia. Secretary Hoover announced that it is no longer necessary to give famine relief to the Russians, their present need being for credit, not food. Lenine was reported seriously ill and probably incapacitated for further activity. Administration of the government, in succession to him, by a triumvirate was suggested.

Jan 4, 1923

THE great subject of interest in American affairs during February was the consideration of the proposed soldier bonus. This proposal was based upon the idea that, because most of the workers of the United States had enjoyed high wages during war, the soldiers were entitled to "adjusted compensa-tion" in order to equalize things. It overlooked the fact that the soldiers, themselves, had the opportunity to enjoy high wages in 1919 and 1920, when rates were highest. Apart from this, the whole project was founded on fallacies and involved what would be nothing less than economic crime. Although it looked as if the measure were destined to be railroaded through Congress, so great a storm of protest was pelted upon Congress that the present outlook is that the whole project will be abandoned. There was probably some increase in the physical volume of business during February. A rise in prices for agricultural products assisted the farmers mate-rially. These developments, however, are not to be construed as presaging any general upward movement. On the contrary, the current year is to be contem-plated as one of serious labor troubles, following inevit-able reductions of wages. These began in February in the form of an extensive strike in the cotton textile industry of New England, accompanied by some rioting in Rhode Island. The coal miners have had numerous conferences, without coming to any encouraging results, and the stage appears to be fully set for a general strike beginning Apr. 1. About the only question now is whether this will comprise both the bituminous and anthracite miners. If the latter refuse to go out, no serious shortage of coal is anticipated, the belief being that the existing stocks together with the output of the non-union mines will supply the demand, which is sub-normal even now. In the metal industries, lead and zinc were dull but stable. The weakening tendency in iron and steel that was manifest during January appeared to be checked, at least temporarily. Copper was charac-terized by a distinct weakness and a considerable decline in the market. This downward movement was inspired by the news during January that several of the important mining companies were taking steps to resume production. During February the demand for copper, both foreign and domestic, was poor.

Jan 3, 1922

THE strike of the coal miners began on April 1, as had been expected, the entire force of unionized miners-both anthracite and bituminous-going out and making this the most widespread strike of record. Up to the present writing there has been no serious inconvenience to industry in general, the accu-mulated stocks of coal being large and the non-union mines having continued to make a substantial production. However, the union labor leaders, having concentrated their efforts toward inducing the non-union miners to go out also, met with some measure of success in certain fields and created a shortage of coking coal, which caused iron makers to bank a few furnaces. The strike of textile workers in New England spread further. Here and there, throughout the country there were sporadic troubles with the builders. Rail-way labor was the subject of continued palavers, which did not get anywhere. On the whole the events of April were in line with the forecast that this would be a year of labor troubles. In domestic politics, the soldier bonus bill, having been passed by the House, went to committee consider-ation in the Senate. Public opposition to it manifestly waxed. On the floor of the Senate the tariff bill was under consideration and is drawing nigh to passage, without there being much consideration of its probable economic consequences. It is going to be a very high tariff and there is much in it that is equivalent to subsidizing small and normally unprofitable industries at the expense of the people as a whole. Abroad affairs were more quiet, superficially at least; than they were in March. In Egypt, India and South Africa things calmed, down, so far as we know, but in Ireland there was continued turmoil. The Irish, having won their freedom to the same degree as the Canadians, have entered upon violent quarrels among themselves, more over phrases than anything .else, so far as we can see. Lloyd George obtained a spectacular vote of confidence from Parliament and thus postponed, the exigency of a general election.

Jan 5, 1922

ON JUNE 7 the German Government handed to the French and Belgians a new proposal for reparations, which offered 1,200,000,000 gold marks annually, to be guaranteed as to 500,000,000 by a mortgage on the national railways, as to another 500,000,000 by a mortgage on industry, commerce, land and factories, and as to 200,000,000 by a luxury tax. The number of years for which this payment should run to be left to settlement by an international conference. This offer was taken under consideration by the French and Belgians, who instituted conversa-tions with the British in the hope of arriving, at some joint action with respect to the Germans. Up to the end of June nothing had been determined. In the meanwhile, the continued French and Belgian occupation of the Ruhr seemed to develop a condition of guerilla warfare, considerable bloodshed occurring throughout the region. The second Lausanne Conference dragged on, the Allies being apparently unable to take any firm, joint stand, while the Turks increased their importunities and managed to get concession after concession. Early in June a revolution occurred in Bulgaria, the previous Government under Premier Stambulisky, based on the agrarian party, being forcibly thrown out by a bourgeois and military combination. This pro-duced considerable disorder in Bulgaria, outside of which country the nature and purpose of the revolution does not appear to be well understood. Stambulisky's partisans offered feeble, isolated resistance to the revolu-tion; in connection with which there was some blood-shed and Stambulisky himself was reported killed, although this was later contradicted. Professor Zan-kof, the new Premier, issued a statement, that the change of the Government was the result of discontent, that the foreign policy of the new Government would be peaceful, and that Bulgaria would continue to fulfill her international obligations, particularly the treaty of Neuilly. It was the opinion of London that the immu-nity from taxation enjoyed by the farmers under the agrarian regime is likely to he superseded by more equi-table taxation, and in general that the bourgeoisie will be better administrators of the public affairs In domestic affairs industrial activity continued at a high rate, but there was distinct relaxation in the demand for raw materials, and also in some manufac-tured goods. During June there were reductions of prices by many of the automobile tire manufacturers. There seemed to be also further contraction in the demand for automobiles.

Jan 6, 1923

AUGUST began with a reminder that warfare was still in progress in the world, in that the Greeks, still at war with Turkey, threatened Constantinople in spite of the small British and French forces of occupation and opened a vista of international dangers. There was in this, moreover, a recollection that religious questions in India had prevented the British from permitting a real settlement of the Turkish question, wherein the absence of Russia as a great power is missed. Civil warfare also continued in Ireland and China. Even in the military way the world is far from being at peace. Bloody fighting between the Fascisti (anti-communists) and the com-munists in Italy led to several provinces being put under martial law, but after a while these disturbances were quelled. In the latter part of the month the assassination of Michael Collins in Ireland produced a great shock. From China, however, there came rather favorable news, indicating the early reintegration of that country, which sooner or later ought to play an important part in world affairs. Economically, instead of there being any improve-ment, there grew a clearer perception of how bad things really are. Italian politics were in chaos through inability to find anyone to accept the premiership and assume the all but hopeless task of averting national bankruptcy. The French, too, began to see their own position in true colors, and especially to see how in reconstruction they had incurred debts on the strength of what they hoped to collect from Germany, with at last the understanding that the Germans could not pay and that France herself was thereby put in a desper-ate economic position. As for the Germans, them-selves their Reichsbank defaulted on ordinary bills early in August. As the month wore on the value of marks fell more and more and at the end it appeared that Germany was on the verge of economic collapse. On Aug. 7, another international conference (with America again absent) was assembled in London, this being the thirteenth since the war, and there was a general feeling that it would be the last. The prime question was what is to be done about the German reparations, but underlying was the whole subject of the entente. The conference opened like a meeting of importunate creditors, doubtful whether the debtor had any tangible assets. On Aug. 14 this conference broke up without coming to any useful conclusion. Indeed, the acrimony among the premiers was so sharp that even the entente between Great Britain and France was endangered. The international situation was saved only by the Reparations Commission excusing the Germans from the payment of 50,000,000 gold marks that come due on Aug. 15 But although the entente was nominally preserved there is no longer any illusion about the interests of Great Britain and France being different and that henceforth they will play their own hands. The London conference was really an effort to maintain the partnership, and it failed.

Jan 9, 1922

IN international affairs, the great event of June was the meeting of representative bankers at Paris -for consideration of the arrangement of a large loan to Germany. The conference dissolved in futility. Following this abortive conference, the delegates to the parley at the Hague assembled there on June 15. America is not represented at the Hague, any more than at Genoa. The British view the conference seriously and have Leslie Urquhart, the highest authority on Russia, attending in an official capacity. The Irish had their election and voted by strong majority in favor of the treaty with Great Britain, which was happy, but the general situation in Ireland is miserable. In China there were spectacular military and political events. Economically, Japan was in trouble. Conditions are becoming better in India, although no yet settled. Egypt has troubles still. Australia has a better chance for welfare, following the overthrow of its labor govern-ment early in April last. In Europe it is hard to discern any improvement except in Great Britain. Business in Great Britain has been slowly widening. The future of Great Britain, which is chiefly an in-dustrial country, depends on finding employment for its, 1,750,000 idle men. Personalities figured largely in June. Lenin's health was represented as having failed so that the govern-ment of Russia has had to be-turned over to a trium-virate. All of this has been denied. It is clear that some. mighty events are transpiring there. The assassination of Doctor Rathenau in Germany is probably also an occurrence of portent. The murder of Field Marshal Wilson, in London, tended to in-crease anger in England against the Irish. In the United. States the attention of Congress was concentrated on the soldier bonus, the tariff bill and the subsidy for shipping. All of these projects are economically bad and are of the same nature, viz., the allotment of a bounty to some classes of people, without consideration to the general national interest and welfare.

Jan 7, 1922

APRIL BEGAN with increased disorder in the Ruhr and some blood-shed. The war cloud in the East disappeared, however, with the signifi- cance by the Turks of their intention to return to Lausanne to negotiate a treaty of peace with the Allies. The French occupation of the Ruhr continued during April without there being any spectacular develop-ments. Of course there was surliness on the part of the Germans. In the meanwhile the statesmen on both sides were intimating what they might give and what they might take, sounding the sentiment of their respective populaces. The British Government found that its revenue for the last fiscal year has been greatly in excess of expenses. The surplus was applied to reduction of the debt. A consequence of this development has been a reduction in British taxes for the ensuing year, which has naturally created a much better feeling in Great Britain. On the other hand the unemployment situation in Great Britain caused increasing alarm. At the begin-ning of April about 1,500,000 men were out of work and the thought was developing that this might be not merely a temporary emergency, but a long continuing condition. The uneasiness of the workers themselves began to be exhibited in increasing strikes and threats of strikes. There were important domestic events during April. The six miners who were on trial in Illinois for the Herrin massacre were acquitted, following which the State dropped further prosecutions on the ground that Williamson County is so thoroughly under labor domina-tion that justice could not be had there. The Supreme Court of the United States on Apr. 10 handed down a decision that an act of Congress fixing minimum wages for women in the District of Columbia was unconstitu-tional, being interference with the freedom of contract included within the guarantees of the fifth amendment. Advances of wages became more general during April. The leading event under this head was the action of the United Steel Corporation putting into effect an.11 per cent. increase in the wages of common labor on Apr. 16, by virtue of which the rate per hour was raised from 36 c. to 40 c. This was dictated by competitive conditions, the labor difficulties of the steel industry being due less to a scarcity of men than their disinclination to take jobs in that industry while the building and other industries were paying as high as 60 c. per hour for similar work.

Jan 5, 1923