, Italy is the country which
has made the greatest efforts not to augment the circulation but to
increase the duties; also because she had no illusions of rebuilding
her finance and her national economy on an enemy indemnity.

But the conquered countries have so abused their circulation that
they almost live on the thought of it--as, in fact, not a few of the
conquering countries and those come out from the War do. Germany has
passed eighty-eight milliards, and is rapidly approaching one hundred
milliards. Now, when one thinks that the United States, after so many
loans and after all the expenses of the War, has only a circulation of
4,557,000,000 dollars, one understands what difficulty Germany has to
produce, to live, and to refurnish herself with raw materials.

Only Great Britain of all the countries in Europe which have issued
from the War has had a courageous financial policy. Public opinion,
instead of pushing Parliament to financial dissipation, has insisted
on economy. If the situation created by the War has transformed also
the English circulation into unconvertible paper money, this is merely
a passing fact. If the sterling loses on the dollar--that is, on
gold--given the fact that the United States of America alone now have
a money at par, almost a quarter of its value, this is also merely a
transitory fact.

Great Britain has the good sense to curtail expenses, and the sterling
tends always to improve.

France and Italy are in an intermediate position. Their money can be
saved, but it will require energetic care and great economies,
stern finance, a greater development of production, limitation of
consumption, above all, of what is purchased from abroad. At the date
of which I am writing, expressed on a percentual basis, the French
franc is worth 47 centimes of the sterling and 36 of the dollar--that
is to say, of gold. The Italian lira is worth 28 centimes of the
sterling and 21 of the dollar.

Here are still two countries in which tenacious energy can save and
with many sacrifices they can arrive at good money. France has a good
many more resources than Italy; she has a smaller need of importations
and a greater facility for exportations. But her public debt has
reached 265 milliards, the circulation has well passed thirty-eight
milliards, and they still fear to calculate amongst the extraordinary
income of the budget the fifteen milliards a year which should come
from Germany.

Italy, with great