The Press Thursday, April 23, 1925. The Position in France.

Press, Volume LXI, Issue 18364, 23 April 1925, Page 8

The Press Thursday, April 23, 1925. The Position in France.

The new Premier of France has delivered his expected statement, and has weathered the expected storm. There is to be no weakening on the security question, no going back on General Dawes, no expenditure without taxation to cover it, and no more State banking. But the most significant sentence is one announcing the Government's determination to "ask for considerable "sacrifices." No Govornment in France for many years, perhaps none since the Eevolution, has exacted sacrifices as well as asked for them when "sacrifico" has meant direct taxation. For example, the revenue in 1919 was 21 per cent, of the expenditure. In 1920 it was 35 per cent. It was 41 per cent, in 1921, and 45 per cent, in 1922. In 1923 it rose to 57 per cent., and last year, after a fright and a national crisis, it ju3t reached 89 per cent. But even Germany, a cable inessago reveals to-day, has now balanced her budget for the second time—it must be admitted, by doubtful methods—whilo Britaiu has not had a deficit for five years, and for two years has been paying nearly a hundred thousand pounds a day to America. If France submits to M. Caillaux, submits long enough to restore her-finances and re-establish her credit, the explanation .lies in the bitter disillusionment of the last sevon years to which the Premier referred in closing. It is a tremendously important fact internationally if the French people have at last abandoned hopo of Raymond Poincar6's millions.

There arc other hopeful signs also, if we can suppose that the Government will remain in' office. Tho clerical issue, for example, i« solved by dropping it, with' "Vaticanism," and everything else likely to interfere with that •'atmosphere of national concord" essential to national j sacrifice. Tho Government "continues faithful to the "Geneva Pact," but not so fiercely faithful, tho Premier seems to imply, as to create friction with Britain. It gets past' the inter-Allied debts by referring them to an inter-Allied Conference, with tho frank admission that "they weigh heavily upon our policy "and our credit." And as for M. Caillaux, the Premier has neither ignored the denunciations of such an appointment nor made any real attempt to answer them, while M. Caillaux himself can be counted on to put finance before personalities. But the question is, Has he a'ny clear idea of how Trance is to be saved? Everybody knows—we know 'here in Christchnrch —that salvation demands more revenue and less expenditure, but wo do not know what M. Caillaux proposes to do to tighten the nation's belt and lighten its- pocket. It is to be assumed that the call to sacrifice docs not moan a capital levy, since that has been specifically condemned, but M. Caillaux has also denounced a heavy income-tax as a breeder of "financial dofeatism." Tho only fact on whieh wo can rest at present isHhat M. Caillaux has the ball at his feet if he knows how to kick it, He has been hissed, and will be hissed again, but as nobody else has any idea what to do if he is driven out his enemies will probably find it a sufficient proof Of patriotism to insult him.