Page:EB1922 - Volume 32.djvu/671

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SWITZERLAND
645


most efficaciously. The private non-State railways were encour- aged to do the same, and subsidies were promised to them for that pur- pose. Although, with certain exceptions, such as the St. Gottnard line and some smaller bits, this permission could not be utilized to the extent required, this is to be explained by the unheard-of prices asked for raw materials. The purchase of electrical machines alone absorbed such huge sums that the necessary capital could not be brought together.

In Oct. 1920 a fall in the price of coal took place, and the supply also gradually became better than heretofore, so that in the winter of 1920-1 the rationing of coal was abolished. The coal supply organization in Basle was wound up. But now another difficulty appeared. In consequence of the augmented supply the " Central Bureau for Coal" had acquired great quantities of coal at prices which were still high. Likewise the supply of peat had increased in amount. But as the coal prices sank the supply could not keep pace with the reduction in prices unless at a great loss. Business men com- plained that they could get coal direct from the pits at lower prices than those payable in Switzerland. The Swiss executive resolved to give financial aid for the distribution of the existing stocks in the coun- try at cheaper prices. But it imposed on each ton of imported coal an extra customs duty, and this measure was to last until this advance was reimbursed.

Treaties. In order to complete the picture of the economic diffi- culties which existed in Switzerland during the war we must here add a short account of the treaties which she was compelled to con- clude with the belligerents.

The " S.S.S." (Sociele suisse de Surveillance economique) , intended to regulate the circulation and employment of wares in the interest of the Entente, was founded on Oct. 1 1 1915. At the same time the " Treuhandstelle " for commerce with the Central Powers came into existence.

On Sept. 2 1916 the so-called Economic Agreement was con- cluded to facilitate the exchange of goods. Germany by this had to release per month 253,000 tons of coal, and the amount of iron and steel required by Switzerland. Switzerland, on the other hand, handed over products of milk, meat, etc. A Swiss export com- mittee looked after the export of war supplies, produced with Ge^- man raw materials (the so-called " Swiss Central Iron Bureau "). It was forbidden to use German iron or German coal for the produc- tion of war supplies destined for the Entente.

On Aug. 20 1917 a new arrangement was made. Germany was to grant permission to export 200,000 tons of coal at 3. 123. a ton, and 19,000 tons of iron and steel, in both cases per month. On its side, Switzerland was to grant Germany a credit per month of 800,000 (foundation of the " Central Bureau for Coal ").

On Sept. 29 1917 this arrangement was followed at once by a similar agreement with France. A group of Swiss banks granted to a group of French banks a credit per month of 500,000, this to last from October to December. In return Switzerland obtained from France certain economic reliefs. After two months this arrange- ment was renewed for 10 months, the credits allowed rising with certain improvements in the import of goods. On March 20 1918 a similar credit was granted to a group of English banks, the monthly maximum amount being fixed at 400,000.

On Aug. 30 1917 an agreement with France and Italy was con- cluded for the export of wood, to be worked up, from Switzerland. On Dec. 5 1917 the United States also made an agreement to supply 240,000 tons of bread-stuffs, till the next harvest. Other kinds of goods were " contingented." The lack of room on ships delayed, how- ever, the delivery of these supplies very much. In place of the agreement with Germany (which had run out) a new treaty, much less favourable, was concluded (May 15 1918). Germany was bound to give leave for the export of 200,000 tons of coal, iron, and steel. The Swiss " Treuhandstelle " had to superintend the exchange of goods according to the S.S.S. system.

The Economic Agreement of May 5 1915 with Italy was still in existence. But on Nov. I 1918 an economic and financial treaty was made with this country, as also with France and England. The credit to be allowed every month was fixed at a maximum of 200,000, but the amount of imports was limited.

In order to execute all these financial obligations of Switzerland the " Swiss Financial Association " was founded in Lucerne on Aug. I 1918. To protect itself against the imminent danger of a maritime blockade, Switzerland agreed with Germany on April 24 1918 that free passage should be given for all cargoes destined for Switzerland.

In a fresh financial agreement with France (July 19 1919) Switz- erland obtained a credit of about 1,250,000. The economic treaty with this country ran from March 25 1919 to the end of 1919. In Oct. and Nov. of that year the contingents of Switzerland for watches and embroideries were somewhat raised. In a fresh agree- ment of March 10 1920 a bargain was made with Switzerland for the delivery of 10,000 tons of coal (brown coal) from the pits on the left bank of the Rhine each month. Switzerland had to supply, among other things, electric power, but the promised amount of manure received by Switzerland was quite insufficient.

At the end of Nov. 1919 a new compensation treaty was made with Italy about the delivery of oil-cake and hay in exchange for cattle, for breeding and use.

The coal agreements came to an end in the beginning of 1919.

On Jan. 22 1919 an economic treaty was made with the United States ; bigger contingents of goods were secured to Switzerland and a tonnage of 70,000 (soon raised to 100,000), England and France guaranteeing these amounts.

On March 25 1919 yet a new agreement was made with France about the supply of goods. France promised to deliver 60,000 tons of coal from Lorraine per month (at 4. l6s. a ton) and also manure and facilities for the transport of goods. On its side Switzerland engaged to deliver cattle for breeding and certain goods (chocolate, watches, embroideries, etc.) tothevalueof about 108,000 per month, and also a new credit not to exceed about 1,500,000 at the most.

The credit arrangement with England of March 20 1919 was not renewed. Later on, England too raised the contingents which could be imported, and sanctioned (March I 1919) again the admit- tance of embroideries and silken goods. On April 28 1919 the " black lists " were abolished, and also the certificates of nationality and the contingents of imports permitted by the S.S.S.

Such were the economic agreements which Switzerland had to sign. Her economic dependence on foreign countries is thus abun- dantly clear, and yet it must be said that all the belligerents had taken much kindly notice of her position in this way or in another. It must be recognized that the Swiss authorities managed to get well through all their difficulties, and did not fail to take precau- tionary measures (sometimes very incisive) to provide the Swiss with all the necessaries of life. But, in consequence of the incredible rise in prices and the excessive prices- of necessaries of life, even of those which are most indispensable, they were unable to bring it about that the distress of the people should not lead to dissatisfac- tion, complaints, and great discontent.

General Strike of Nov. 12 1918. The Swiss Socialists (or Social Democratic party) were never stronger, and to a certain degree more feared, than towards the end of the fourth year of the war. The rise in prices of all commodities, and too the unforeseen and the previously unknown dearth of dwelling houses, were utilized very cleverly and ably for the purposes of propaganda, and brought great reinforcements to the Socialists. Protest meetings against too high prices were organized, and these were sometimes accompanied by political demands which caused serious restless- ness. The revolution that had broken out in Russia in the preceding year and the break-up (Oct. 1918) of Germany, from the military point of view, and in part also from the political point of view, hurled their waves of revolt as far as Switzerland. Here the leaders of the workmen imagined that the moment was come for violent action. The crisis was the summoning of troops to Zurich, the Government of which on occasion of the memorial day (organized by the Socialists) of the Russian Revolution, feared serious riots. The calling of the troops to Zurich was con- sidered by the workmen as a provocation, and the reply was a general strike for 24 hours, which very soon developed into an unrestricted general strike in the whole of Switzerland. The railways ceased to run, and in most Swiss towns the entire body of workmen took a holiday, though not in the rural districts or in western Switzerland where the strike was sometimes only a partial cessation of work, and ended in a speedy breakdown. In order to make this general strike more popular with the workmen the so-called " Olten Committtee of Action " put forth a social and political programme, which was submitted for speedy acceptance to the authorities, and included the following de- mands. The immediate transformation of the Government of the country so as to be in accordance with the will of the people. The new Government was to bind itself to the following pro- gramme at the very least ; new election of the " Conseil National " according to the principles of proportional representation; voting rights of all kinds for women; introduction of the gen- eral obligation to work, and of the 48-hour week in all public offices and private businesses; the reorganization of the army so as to make it the army of the people; the securing of the sup- plies of necessaries of life, this provision to be carried out with the agreement of the rural producers; insurance for old and sick persons; State monopoly of imports and exports; and redemp- tion of all State debts by the rich.

The Swiss executive refused to negotiate with the strikers, and the peasants made a show of cutting off the milk supplies of the towns. Another hope too of the strike leaders failed. They had expected that the soldiers, especially the members of the asso- ciation of the " League of Soldiers " (thought to be imbued with revolutionary ideas and later forbidden by Gen. Wille), would