ply and which depends largely, to pay for these necessities, upon exports of embroideries, watches, cheese and chocolate. Does anyone believe that the Czechoslovakia crown will long remain under 10% of its nominal dollar value while Swiss francs are selling for about 75% of par?
That the impression of what Czechoslovakia should be able to accomplish in the way of foreign trade is alredy being confirmed by results is evidenced by the United States Department of Commerce reports. For the nine months ended September 30th, 1920, only three countries in Europe had a favorable balance of trade with this country. Czechoslovakia being one of the three. For the month of August Czechoslovakia sold us six times the value of her purchases from us and for September this ratio was nearly nine to one.
It must not be thought from this that all difficulties resulting from the war have been overcome and that the future is all plain sailing. Although the government budget already indicates an approximate balance between receipts and expenditures, further economies and continued high taxes will be necessary to accomplish the deflation of currency that is desirable. The political situation in Slovakia is one that will require the most careful handling. In Bohemia and Moravia, the relations between the Czech majority and the German minority will call for the greatest tact and mutual consideration. External politics must be the subject of painstaking diplomacy. Fortunately, for the most part, all these questions seem to be receiving the attention of the best brains of the nation. There is, of course, no question of the capacity of the people for self government and the popular interest in politics is astonishing to a foreigner. At one entertainment, which I attended, about three quarters of the program was given over to satirical monologues of a political nature.
Let us hope that the development of Czechoslovakia will continue to be guided through the channels of sound economics and peaceful foreign relations. This granted, her position as one of the commercial powers of a new Europe will be assured.
Month in Czechoslovakia
Minister of Finance, Dr. Karel Engliš, resigned his portfolio in the Černy Cabinet. This was brought about by a defeat of a government bill which provided for certain additions to State employees to help them to meet the housing situation and living costs. This bill provided that it was to take effect November 1st and the amount carried was 300,000,000 Crowns. The bill which was passed by the House of Deputies carried an amount far in excess of the government’s provisions and as a result Dr. Engliš resigned, giving as his reason, that it is impossible to secure the amounts necessary to meet the sum appropriated in the opposition bill.
The Senate, the upper house of the Czechoslovak National Assembly, refused to sanction the bill passed by the House of Deputies which increased, above government estimates, allowances to state employees. It is assumed that the bill is dead. The resignation of Dr. Engliš has not yet been accepted and it is reasonable to assume that he will continue in his present office.
Dr. Eduard Beneš, Minister of Foreign Affairs, is the Czechoslovak delegate to the initial meeting of the League of Nations now in session at Geneva. He was elected one of the six vice-presidents of the organization. This automatically places him on the executive committee.
Twenty-three former members of the Social Democratic Party, who adhere to the so-called “Left Wing’, have organized the “Social Democratic Labor Party”. The representation of the parent party is thus reduced and a new factor enters the legislative arena. One of its members was responsible for the resignation of Dr. Engliš through fathering the bill increasing the allowances of State employees.
