e and powerful German
enterprise in South America known as the _Deutsche Ueberseeische
Elektrizitaetsgesellschaft_ (the D.U.E.G.), and dispose of it to Allied
interests. The clause is unequivocal and all-embracing. It is worth
while to note in passing that it introduces a quite novel principle in
the collection of indemnities. Hitherto, a sum has been fixed, and the
nation mulcted has been left free to devise and select for itself the
means of payment. But in this case the payees can (for a certain
period) not only demand a certain sum but specify the particular kind of
property in which payment is to be effected. Thus the powers of the
Reparation Commission, with which I deal more particularly in the next
chapter, can be employed to destroy Germany's commercial and economic
organization as well as to exact payment.

The cumulative effect of (_a_), (_b_), and (_c_) (as well as of certain
other minor provisions on which I have not thought it necessary to
enlarge) is to deprive Germany (or rather to empower the Allies so to
deprive her at their will--it is not yet accomplished) of everything she
possesses outside her own frontiers as laid down in the Treaty. Not only
are her oversea investments taken and her connections destroyed, but the
same process of extirpation is applied in the territories of her former
allies and of her immediate neighbors by land.

(5) Lest by some oversight the above provisions should overlook any
possible contingencies, certain other Articles appear in the Treaty,
which probably do not add very much in practical effect to those already
described, but which deserve brief mention as showing the spirit of
completeness in which the victorious Powers entered upon the economic
subjection of their defeated enemy.

First of all there is a general clause of barrer and renunciation: "In
territory outside her European frontiers as fixed by the present Treaty,
Germany renounces all rights, titles and privileges whatever in or over
territory which belonged to her or to her allies, and all rights, titles
and privileges whatever their origin which she held as against the
Allied and Associated Powers...."[29]

There follow certain more particular provisions. Germany renounces all
rights and privileges she may have acquired in China.[30] There are
similar provisions for Siam,[31] for Liberia,[32] for Morocco,[33] and
for Egypt.[34] In the case of Egypt not only are special privileges
renounced, but by Articl