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 FRANCE 
 
 THE RECONSTRUCTION 
 1919 
 
 i 
 
 BROWN BROTHERS & CO. 
 
 59 WALL STREET 
 PHILADELPHIA NEW YORK 
 
 -a(K<; 
 
 K; 
 
 BOSTON
 
 
 UNIVERSITY OF CALIFORNIA 
 AT LOS ANGELES 
 
 Gift of Capt. and Mrs. 
 Paul Mc Bride Perigord
 
 
 
 
 
 ^ ''i -',* .-^ ," . 
 
 FRANCE 
 
 THE RECONSTRUCTION 
 
 1919 
 
 P ' 
 
 UmVEKSITY of CALIPOKlNiii 
 
 AT 
 
 LOS AN^^LES 
 
 UBRA^y 
 
 BROWN BROTHERS & CO. 
 
 59 WALL STREET 
 PHILADELPHIA NEW YORK 
 
 BOSTON 
 
 i d.^'^'R^fy
 
 DIRECTION GENERALE 
 
 DES SERVICES FRANCAIS 
 
 AUX ETATS UNIS' 
 
 Republique Francaise 
 
 c t 
 
 
 New York. November 21st 1919. 
 
 Messrs. Brown Brothers & Co., 
 59 Wall Street, 
 New York City. 
 
 Dear Sirs: 
 
 1 have read with much interest your study on 
 the physical and economic reconstruction of France. 
 1 believe that this indicates accurately the progress 
 which has been made in these directions since the 
 signing of the armistice and faithfully portrays the 
 situation in France at the present time. It gives me 
 great pleasure to give it my unqualified approval. 
 Yours very truly, 
 
 At-i-^x^i 
 
 ^. 
 
 C^t^ <i^ C^il..^<L^L'<^^Z.yi^^ 
 
 Director General of the French 
 Mission in the United States.
 
 tH 
 
 n3 
 
 FOREWORD 
 
 THE progress of the reconstruction in France 
 during the past year is a matter which America 
 regards with great interest. The return of the 
 manhood of the French Nation to peaceful occupa- 
 tions after more than four years of war, the rebuild- 
 ing of the devastated areas and the general read- 
 
 P justment to peace conditions have not been unat- 
 
 ^ tended by difficulty. However, the characteristic 
 
 vitality of the people is well illustrated in the solu- 
 li™J tion which is being found for each of these prob- 
 
 (bg lems. The international friendship of France and 
 
 -<-5 America, strengthened by the association in the late 
 
 ^ war, has linked even more closely than before the 
 
 interest and welfare of the two countries. The ex- 
 tent, therefore, to which France has recovered from 
 the world conflict is of unusual importance to 
 America. The follow^ing study has been prepared 
 by our Statistical Department. 
 
 BROWN BROTHERS & CO. 
 
 November, 1919
 
 Copyright, 1919 
 
 by 
 
 Brown Bro-thers &■ Co., New York
 
 FRANCE 
 
 THE RECONSTRUCTION 
 
 1919 
 
 MORE than a year has passed since the signing of 
 the armistice and the liberation of the invaded 
 areas of Northern France. The problems of 
 reconstruction which faced the French Nation at the 
 close of hostilities were far greater than those which 
 confronted England and the United States. France 
 had to solve not merely the questions of economic 
 and industrial readjustment to peace conditions. In 
 addition, she had the problem of rebuilding the in- 
 vaded areas which had been devastated and, in gen- 
 eral, of repairing the physical damage brought about 
 by more than four years of warfare. 
 
 Rapid strides have been made in reconstruction 
 since the conclusion of military operations. The 
 work has been pressed forward with the energy 
 which is characteristic of the French people. Much 
 remains to be done, yet the progress thus far may 
 be considered indicative of the future and the prob- 
 lems which face France at the present time appear 
 largely of temporary character. The recuperative 
 power of the nation which was strikingly illustrated 
 after the war with Germany in 1870 is shown in the 
 speed with which the people have already progressed 
 in the w^ork of reconstruction and of national read- 
 justment to peace conditions. 
 
 The transfer of the man power of the country 
 from military service to industry and agriculture has 
 
 7
 
 been made with comparatively little difficulty. In 
 spite of the fact that many industries in Northern 
 France were destroyed the country has no special 
 unemployment problem. The magnitude of this 
 accomplishment may be reaHzed from the fact that 
 an army of nearly 2,500,000 men has been disbanded 
 since the signing of the armistice. The industries, 
 moreover, returned rapidly to a peace basis. As 
 •early as February 1919 an official examination of 
 
 Barges on the Meuse Canal Near Rheims — 1919. 
 
 a number of government and private plants showed 
 that in the preceding four months 1,300,000 em- 
 ployes out of a total of 1,700,000 had been trans- 
 ferred from war to peace pursuits. 
 
 Reconstruction of Transportation 
 
 One of the first needs of the invaded areas was 
 the restoration of the means of transportation. On 
 November 11th 1918 the destruction of railway prop- 
 crtv amounted to 945 miles of double track and 463
 
 ; 
 
 ^ 
 
 KebuildiiiL; Kuadb in the Invaded Districts. 
 
 miles of single track railroad not including 143 miles 
 of road serving" the mining districts. By September 1st 
 1919, however, 90% of the double track road and 
 93% of the single track road had been permanently 
 restored. On the Northern Railv^ays System only 
 four miles of road had not been rebuilt up to that 
 time and operation had been resumed on almost 
 all the lines. Through trains are again being oper- 
 ated between Paris and Brussels. The following table 
 indicates in detail the extent of the rehabilitation 
 that has taken place: 
 
 Destroyed 
 Nov. llth 1918 
 
 Northern Railways — Double track 364 miles 
 
 Single track 336 miles 
 
 Eastern Railways- — Double track 581 miles 
 
 Single track 127 miles 
 
 TOTAL Double Track 945 miles 
 
 TOTAL SinHe Track .'. 463 miles 
 
 Repaired to 
 Sept. 1st 1919 
 
 360 miles 
 
 336 miles 
 
 493 miles 
 
 95 miles 
 
 853 miles 
 
 431 miles 
 
 In addition, of the railways serving the mining 
 districts 114 miles out of 143 miles have been re- 
 built. Moreover, of 1,160 railway bridges and tun- 
 
 9
 
 Repairing Road in a Marne Village. 
 
 nels destroyed 588 have been reconstructed. The 
 work on the waterways, which in France are an im- 
 portant means of transportation, has been nearly 
 completed. The operation of boats and barges from 
 the Paris Valley to Belgium and to Eastern France 
 is proceeding under practically normal conditions. 
 Equipment for electric hauling is being installed on 
 the Marne Canal to the Rhine and on the canal con- 
 necting with the coal fields of the Saar. The col- 
 lieries of the districts of the North and of the East 
 can now l)e reached by navigable waterways. As 
 far as highways are concerned a large part of the 
 damage has alread}' been repaired. There are about 
 30,000 civilian and military workers engaged in re- 
 pairing the roads at the ])resent time. 
 
 Housing and Agriculture 
 
 The total number of houses partially or wholly 
 destroyed was approximately 550,000. It should be 
 
 10
 
 remembered that French houses are Iniilt chiefly of 
 stone. This has made tlie proljlem of repairs and 
 new construction unusually difficult. Up to Septem- 
 ber 1st 1919, however, the following results had 
 been accomplished: 
 
 Temporarily repaired 80,000 
 
 Shelters provided 16,225 
 
 Shelters under construction 60,000 
 
 Total 1 56,225 
 
 1 
 
 Ploughing Battlefield Near Soissons — 1919. 
 
 Nearly a niiUion of the people who fled from their 
 homes at the time of the invasion liavc returned and 
 out of 4,023 communities which were invaded, mu- 
 nicipal administration has 1)een resumed in v^.872. 
 Of the total area of the invaded territorv of France 
 
 11
 
 6.950 s(|nare miles of tillable lands were devastated 
 by militar\- operations. I'y September 1st 1919, 
 1.540 scpiare miks. an area lari^'er than the State of 
 Rhode Island, had been made fit for cnltivation. J\lnch 
 of this work has l)een i)er formed nnder handicap of 
 l)arbed wire, trenches and the constant danger from 
 Linexploded shells. Since the signing of the armis- 
 tice, however, more than 25,000 acres have been 
 cleared of l)arl)ed wire and aj)proximately 74,000,000 
 cubic yards of trench excaxations have been filled in. 
 
 Industrial Reconstruction 
 
 The industrial reconstruclion in the invaded dis- 
 tricts has also been going on rapidly. According 
 to official re])orts, uj) to September 10th 1919 the fol- 
 lowing factories had resumed operations partly or 
 full}' since the signing of the armistice: 
 
 Textiles and related industry 124 
 
 Clothing 21 
 
 Food Supplies 41 
 
 Trnn and Steel 51 
 
 Alachinen 30 
 
 Chen:iical Products and Oils 10 
 
 Building Materials, Glassworks and 
 
 Sawmills 69 
 
 Miscellaneous 21 
 
 367 
 
 Of a total of 1,086 factories destroxed during the 
 entire war 1,027 were again on a productive I)asis by 
 Se])teud)er 1st 1610. 
 
 Revenues and Expenditures — Taxation 
 
 The cost of the reconstruction is heavy. At the 
 present time h6-ance is reported to be advancing 
 about 1h-s. 1.(10; ),000,000 ($193,000,000) a month for 
 
 12
 
 this purpose. The RepubHc has ah-eady expended 
 more than ten bilhon francs in restoring the devas- 
 tated regions. The expenses of the government for 
 the year 1919 are estimated at approximately Fes. 16,- 
 500,000,000 ($3,184,000,000) to which should be 
 added Fes. 4,000,000,000 ($772,000,000) for miHtary 
 pensions, etc. It is expected that in accordance with 
 the terms of the Peace Treaty the French Govern- 
 
 
 CHART SHOWING THE PROGRESS OF 
 
 RECONSTRUCTION IN FRANCE 
 
 TO SEPTEMBER 1ST 1919 
 
 
 ^^M^mMm^^MM^mM^CUlVlMUNIIILb INVAULU 
 
 1 MUINJICIPAL ADMINISTRATION RESUMED 
 
 
 MM;MM^^^^;%%m%%meaUESIRUYED KAILHUAUb 
 
 1 RECONSTRUCTED RAILROADS 
 
 
 ^MM^%;:^mpM^M^^;m^BKlUUtS AND lUIMIMLLS ULblKUYLU 
 
 f BRIDGES AND TUNNELS RECONSTRUCTED 
 
 - - r> 
 
 W/////MmmWWMWMy////A^^oustb pahhally uh wholly ulsikuylu 
 
 1 HOUSES REPAIRED AND UNDER CONSTRUCTION 
 
 
 'mwMmmmmm^mm T\LLABLE lands devastated 
 
 1 TILLABLE LANDS RESTORED 
 
 
 
 ment will eventually be reimbursed for man}' of the 
 expenditures which are now being made. 
 
 France has made great efforts during the present 
 year to meet as large a part as possible of these ex- 
 penditures by means of taxation. The estimate of 
 receipts for 1919 is Fes. 10,000,000,000 ($1,930,000,- 
 000). This would make the French tax per capita 
 on the basis of the total population $?2 as compared 
 with $49 for the United States. In the case of 
 France, however, it should be borne in mind that 
 
 13
 
 Reaping Near Former Battlefields. 
 
 the inha])itants of the invaded regions are not bein,^ 
 taxed in the present year. It has been estimated, there- 
 fore, th;it on the basis of the actual proportion of the 
 population taxed, the tax per capita is $56. The 
 inserted chart shows the comparative amounts of the 
 income tax now in force in France and in the United 
 States. So far during the current year actual re- 
 ceipts have been in excess of the budget estimate for 
 this period. Collections of taxes have increased 
 steadily with the progress of the reconstruction. In 
 connection with the large outlay which the program 
 of the government requires it should be remembered 
 that France is no longer under tlie handicap in re- 
 gard to the collection of taxes that prevailed during 
 the war. Before the war the invaded areas furnished 
 from 20% to 25% of the total revenue of the country. 
 The restoration of this territory in addition 
 to AlsaceT^orraine and the fact that the man- 
 hood of the nation is returning to productive 
 pursuits will greatly increase the taxing power of 
 
 14
 
 $22,000 
 
 20,000 
 
 18.000 
 
 16.000 
 
 14.000 
 
 < 
 
 ij_ 12,000 
 
 o 
 
 o 
 
 < 
 
 10.000 
 
 8,000 
 
 6.000 
 
 4,000 
 
 $ 2.000 
 
 
 
 
 
 
 
 
 
 
 > 
 
 / 
 
 
 CHART SHOWING THE AMOUNT 
 OF INCOME TAXES ON INDIVID 
 UALS(UNMARRIED)iN FRANCE 
 AND THE UNITED STATES FOR 
 THE YEAR 1919. 
 
 - 
 
 
 / 
 / 
 
 // 
 
 
 
 • 
 
 / 
 
 '/ 
 
 
 
 
 
 
 
 / 
 
 
 
 
 
 
 
 // 
 
 f 
 
 
 
 
 
 
 / 
 
 / / 
 / / 
 
 / 
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 4\ 
 
 
 f 
 
 
 
 
 
 
 
 
 
 
 
 
 
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 ^' 
 
 /' 
 
 
 
 
 
 
 
 o 
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 o 
 
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 o 
 
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 o 
 
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 o 
 
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 o 
 
 o 
 
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 o 
 
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 CM 
 
 n 
 
 INCOME 
 
 Ln 
 
 <£> 
 
 r-^ 
 
 oo 
 
 the government. During the hrst eight months of 
 the current year Fes. 5,100,000,000 ($984,300,000) 
 were collected from taxes, representing an increase 
 of Fes. 1,400,000,000 ($270,200,000) as compared with 
 the corresponding jjcriod in 1918. In addition to 
 this amount taxes levied on v\ar profits during the 
 same period produced Fes. 1,067,000,000 ($205,900,- 
 
 15
 
 000) making- a total of l-\'s. 6,167.000,000 ($1,190,- 
 200,000). It is expected that after a year has passed 
 the nation will derive in taxes about Fes. 2.000,000,- 
 000 ($386,000,000) from the invaded provinces and 
 Fes. 1,000,000.000 ($193,000,000) from Alsace-Lor- 
 raine. 
 
 Thrift 
 
 The financial strength of France has always rested 
 in the large amount of capital distributed among all 
 classes of the population. Thrift is a national char- 
 acteristic of the French people. No better evidence 
 of industr}- and thrift need ])e given than tlie record 
 of savmgs bank deposits which for a population of 
 less than 40,000,000 showed in 1913 more than 15,- 
 000,000 bank books representing Fes. 5,829.700.000 
 ($1,125,133,000). This compares strikingly with the 
 situation in the United States in the same year 
 where, although the per capita deposit was higher, 
 the total number of savings bank depositors w^as 
 onlv 11.097.639. The amount of securities held by 
 
 -'oj 
 
 V 
 
 i'L 
 
 W: 
 
 ^M- 
 
 ■*1 
 
 P 
 
 -i^' 
 
 
 
 ^^^^H.^-- '- 
 
 'M 
 
 i 
 
 
 
 
 ifaSHi 
 
 ^■K -:>■■ 
 
 ■.-^i»- 
 
 ■ 'ST • 
 
 
 Photo hy 
 
 American Committee for Devastated Franee. 
 
 
 
 
 
 Removing Barbed 
 
 
 
 
 
 16 
 
 Wire.
 
 the French people was estimated in 1913 at Fes. IL^,- 
 000,000,000 ($22,195,000,000) of which approximately 
 one-third were securities of foreign governments and 
 corporations. This made France one of the largest 
 creditor nations in the world. In 1913 the annual 
 savings of the population were estimated at al)out 
 $675,512,000. 
 
 Photo by Anicnc-aii ( nniiiiiiicc lor Dcvustati-d Kraiirc 
 
 Reconstructed Farm Buildings Near Coucy le Chateau. 
 
 Position of French Government Bonds 
 
 A large part of the securities held hy the 
 French people is represented hy the l:)onds of the 
 French (iovernment. These honds or rentes are 
 distrilnited among a great numl)er of small in- 
 vestors and liold a ])osition which in tlie United 
 States would fairly correspond to a consider- 
 able proportion of the deposits in savings banks. 
 This has given tlie rentes an unusual degree of sta- 
 bility even in times when tlie affairs of the French 
 
 Nation were at a crisis. 
 
 17
 
 
 (i?St4.0 ' J^ 
 
 /... 
 
 Belleau Wood on the Riarht and on the Left 
 
 I'lmiii by MiHiiiMii ( niiiniittoe for l>i'vasi;ac(l iTuiicf. 
 
 Temporary Homes in District of the Aisne. 
 18
 
 Town ot Lucy Le Boca^e as They Appeared in 1919. 
 
 ^ 
 
 ^pKi«K3S 
 
 ^ 
 
 Photo h\ \ni(Ti(:iii ( uiNiiMllcr fur i )c\ .-isl :i I imI li:iiirc 
 
 Type of Permanent Home Being Built in Invaded Area. 
 
 19
 
 The followini;- ta1)le shows the yichl of French yjo 
 perpetual rentes at average prices for the years from 
 1860 to 1913. The stability of this issue which may 
 he considered represent ati\-e compares favorabh- with 
 that of the l)on(ls of the United States Government 
 during the same period as indicated by the average 
 vield of the i)rincipal outstanding bond issues: 
 
 French 3% U. S. Govern- 
 
 Year. Perpetual Rentes. ment Bonds. 
 
 1860 Franco-Au^trian War ended. 4.33% 5.50% 
 
 11^61 ■^•38 Ainericaii 6.97 
 
 1862 4.28 Civil 6.51 
 
 1863 4.39 War. 5.79 
 
 1864 4.54 5.33 
 1865-69 4.36 4.89 
 
 1870 Franco-Prussian War. 4.77 4.75 
 
 1871 The Comnume. 5.51 4.65 
 
 1872 Establishment of the Republic. 5.47 4.31 
 
 1873 5.34 4.20 
 1874-76 4.04 * 3.54 
 
 1877 4.27 Indian 4.14 
 
 1878 4.06 W^ars. 4.37 
 1879-80 3.65 3.88 
 1881 3.55 3.06=^ 
 
 1882-85 3./9 *The comparison with 
 
 1 QQ/^ on "? "~ ''^^ bonds of the United 
 
 lcoO-,''U O.?/ States is not continued 
 
 further since the war debt 
 of the I'nited States had 
 practically been redeemed 
 by 18S1 and the market 
 10rvl A" ■> rv"> prices of the bonds up to 
 
 1901 -UO O.U.I the passage of the Fed- 
 
 1 (^(\f 1 fi "> 1 A eral Reserve Act were 
 
 1 ^UO-IU O.IO artificially stimulated by 
 
 1*)in 1^ \ 79 ''^^ circulation privilege. 
 
 The economic \itality of the French jieople is in- 
 dicated by the fact that during the war the country 
 absorbed war loans amounting to 53 billion francs 
 in rentes in addition to temporary Treasury Cer- 
 tificates averaging about 30 billions. The last issue 
 of rentes htid mcn-e than seven million subscribers. 
 During the present year the subscri])tions to Treas- 
 
 2n 
 
 1891-95 3.06 
 
 1896-'00 2.94
 
 iir\- ijonds fur Xatiunal Defence have been extraor- 
 dinary. In each of the months of July, August 
 and September approximately Fes. 2,500,000,000 
 ($482,500,000) were subscribed. The loan of Fes. 
 1,500,000,000 offered by the City of Paris in June 
 1919 was many times oversubscribed. According to 
 ofTficial reports, in the first eight months of 1919 
 the excess of deposits in savings banks over with- 
 drawals amounted to more than Fes. 1,000,000,000 
 ($193,000,000). 
 
 Debt 
 
 During the war the total debt of the French Re- 
 public increased about four and one-third times. 
 This increase was less in proportion than that of 
 the United States or of any of the larger European 
 nations engaged in the war with the exception of 
 Italy. As of April 30th 1919 the gross debt of the 
 Republic was approximately $34,843,000,000. Of this 
 the external debt amounted to $5,147,000,000 and 
 carried an interest charge of about $300,000,000. Ac- 
 cording to official estimates the annual interest re- 
 
 T^t 
 
 Wine From the Vineyards of Southern France. 
 
 21
 
 Unloading Steamers in the Harbor of Rouen. 
 
 (|iiireincnts of tlic foreign debt are far less than either 
 the amount wliirh, before the war, h^rance invested 
 every }ear in foreign countries or the amount which 
 was spent yearl\- in h^rance by foreign visitors before 
 l')14. From the total of the external debt should be 
 deducted $2, v-)45,lS7, ()()() consisting of advances of 
 money and materials made by b^rance to her allies. 
 The net amount of the foreign ol)ligations of the 
 
 22
 
 French Re])ublic, therefore, in May 1919 was only 
 $2,801,813,000. 
 
 The following table which is prepared from official 
 data indicates the increase in the gross debt of 
 France during the war period as compared with that 
 of England and of the United States: 
 
 France England United States 
 
 1914 $ 6,598,436,200 $ 3,179,284,450 $ 1,282,044,346* 
 
 1918 28,462.710,000 36.120,369,892 21,075,931,189 
 
 *March 31st 1917. 
 
 The Peace Treaty 
 
 Until the settlement of the terms of the Peace 
 Treaty the exact amount of money and materials 
 which France will receive as an offset to the national 
 debt remains to be determined. However, it should 
 be borne in mind that whatever is paid in the form 
 of indemnity — at the present time the proposed 
 amount is Fes. 200,000,000,000 ($38,600,000,000)— 
 the loss of national resources incident to the war 
 should be many times more than compensated by 
 the recovery of Alsace-Lorraine and the control of 
 the Saar Basin. Alsace-Lorraine has an area of 
 5,603 square miles with a population (1910) of 1,- 
 874,014. Before the war these provinces were agri- 
 culturally self-supporting. With the development 
 which took place in the steel industry in France dur- 
 ing the war the mineral resources of Alsace-Lor- 
 raine are extremely important. The deposits of iron 
 ore in Lorraine are estimated at 2,330,000,000 metric 
 tons occupying an area of about 168 square miles. 
 They constitute one of the principal deposits in all 
 Europe. The output in 1913 was approximately 
 20,000,000 tons of ore. In addition, the coal pro- 
 
 23
 
 duction of the Saar \'alley in 1913 amounted to 
 al)out 16,000.000 tons. With the control of these 
 fundamental raw materials France should assume a 
 leadino- position in luu-opean industry. The potash 
 deposits in Alsace-Lorraine are estimated at 300,- 
 000,000,000 cubic meters.. It is probable that France 
 will in the future l)e able to export a considerable 
 amount of this material. These provinces are im- 
 portant centers of the manufacture of cotton and 
 
 Docking and Warehousing Facilities Near Bordeaux. 
 
 woolen i^-oods, glass, chemicals and other products. 
 In 1912 there were 1,026 textile plants employing 
 76,328 persons. These included 1,900.000 cotton 
 s])indles which at that time were one-fourth the total 
 nundjcr in France. 
 
 24
 
 speedy Recovery After Previous Wars 
 
 In connection with the present debt of France 
 there should be remembered the financial record of 
 the nation after previous wars. In 1830, only fifteen 
 years after the close of the Napoleonic Wars, prac- 
 tically all the war debt of France had been redeemed. 
 The cost of the war with Germany in 1870-1S71 
 amounted to $1,792,424,600 not includino- the loss of 
 the provinces of Alsace and Lorraine. In spite of 
 the fact that the count r_\- liad suffered from invasion 
 the war indemnity exacted 1)y Germany which in- 
 cludino- the interest amounted to Fes. 5,300,000,000 
 was paid in 26 months, or six months before the due 
 date. To do this France raised two loans. The first 
 loan of Fes. 2,000,000,000 was ofl:'ered in June 1871: 
 to this loan Fes. 5,000,000,000 were suljscrilx'd and 
 onh' 45^7 of the total subscriptions was allotted. 
 To "the loan of Fes. 3,000,000,000 of July 1872 no 
 less than Fes. -14,000,000,000 were subscribed and 
 onlv 12G was allotted. The recovery from the 
 \\\ar of 1870 as from the Napoleonic \\'ars was 
 remarka])le and during the next 43 years France 
 went through a period of rapid territorial and indus- 
 trial expansion. In 1914 the national wealth of 
 France was conservativeh- estimated at vS50,000,000,- 
 000 and the annual income of the French people at 
 $6,000,000,000. After 1870 France made large addi- 
 tions to her colonial possessions which in point of 
 size in 1914 were second only to the British EmpMre. 
 
 Industrial Outlook 
 
 The iron and steel industries of France were great- 
 ly stimulated by the war. The invasion of the min- 
 ing and industrial districts of the North brought to 
 
 25
 
 the Iront the latent resources of the nation. New 
 and lai\^-er factories were built and deposits of iron 
 ore particular!) in Xormandy and Loire Inferieure 
 were intensively developed. As a result the i)roduc- 
 tion of steel and iron in 1917 was equal to two- 
 thirds of the tonnagT produced in 1913. This illus- 
 trates the remarkal)le i)OSsibilities of the industrial 
 luture of France now that, in addition to the re- 
 turned mines in the North, she has obtained control 
 of the immense resources of Alsace-Lorraine in iron 
 
 Ploughins; by Tractor in the Valley of the Oise 
 
 and of the Saar \ alley in coal. The furnaces of 
 the returned province of Lorraine had before the 
 war an annual |)roduction in excess of 6,000,000 tons 
 of pig iron. It is believed that France will hold the 
 first place in luu'o])e in tlie prodtiction of iron ore 
 and the second place in the i)roduction of steel and 
 pig- iron. 
 
 The increased capacity in the production of iron 
 and steel will probably be reflected in a general in- 
 dustrial development. During- the war the country 
 
 26
 
 greatly increased its use of mechanical implements 
 and labor-saving- machinery. A demand for these 
 things once created and maintained over so long a 
 period of time may be expected to continue. This 
 will mean a further enlargement of French industry. 
 Moreover, with the demand for iron and steel goods, 
 not only for the rehabilitation of Europe but in gen- 
 eral throughout the world, France has the opportun- 
 ity of eventually becoming a large exporter of these 
 materials. 
 
 Agriculture 
 
 With the upsetting of the balance of consumption 
 and production due to the war France has been re- 
 quired to import food supplies and provisions in 
 large quantities. This situation in connection with 
 the need for materials for the rehabilitation of the 
 invaded districts has been instrumental in depress- 
 ing the rates of foreign exchange, particularly ex- 
 change with the United States. As a result im- 
 ported food has been made very expensive. Before 
 the war France was practically self-supporting and 
 
 
 Post-war H.ir ve^tlng in ilie Valley of the Aisne. 
 
 27
 
 the present position of exchange is serving as a 
 stimulus to resume the normal production of food 
 products as rapidly as possible. It is not probable 
 that the country will continue long to depend on 
 foreign sources. At the present time the land is 
 being cultivated with the same thoroughness which 
 was characteristic before the war. It is believed 
 that after one or two years have passed the country 
 will again raise enough to support its entire pop- 
 ulation. 
 
 France is a land of intensive agriculture. In 1914 
 it was officially reported that 58,678,576 acres or 
 about 45% of the total area of the country was 
 under cultivation. Large estates are not numerous. 
 In fact one of the greatest sources of the strength 
 of the French Nation has been its large class of 
 small landowners. It has been estimated that there 
 are twelve million householders of whom nine mil- 
 lion live in their own homes. Although France 
 proper is only about four times as large as the State 
 of New York, before the war if was one of the lead- 
 ing nations of the world in the production of cereals, 
 wine and beet sugar. In 1912 on an area of 16,- 
 238,151 acres France produced 336,272,000 bushels 
 of wheat valued at $486,948,130. The vineyards in 
 cultivation covered an area of 3,832,468 acres and 
 produced 1,569,169,800 gallons of wine valued at 
 $344, .■> 11,450. In the same year the production of 
 sugar beets reached 7,354,748 tons from which about 
 two billion pounds of sugar were refined. 
 
 Colonies 
 
 The colonial possessions of France will pro1)ably 
 play an increasingly important part in the future 
 economic life of the nation. They are rich in natural 
 
 28
 
 Morocco — Vineyards; Wine Ready for Shipment. 
 
 resources and form a huge storehouse for raw ma- 
 terials of which France and in fact all Europe stand 
 in need. In addition thev are a natural outlet for 
 French manufactured goods. 
 
 The French colonies cover a territory one and one- 
 cjuarter times as large as the United States and Alaska 
 and have a population of approximately 58,000,000 
 people. They are in all parts of the world and in- 
 clude large possessions in Northern and Central 
 Africa, Southeastern Asia and Oceania. The possi- 
 bilities of development of these lands are indicated 
 by the increase of their total foreign trade during 
 the war period. In 1913 the foreign trade of the 
 colonies amounted to $633,500,000. By 1917 the 
 total had reached vS729,983,()00. This was about one- 
 fifth of the total foreign trade of France proper in 
 1913. The ])rovinces on tlie Mediterranean coast of 
 Northern Africa appear to be in a position for earliest 
 development. The most important of tliese is Al- 
 geria wliicli is treated practically as a part of France. 
 Algeria produces large quantities of cereals, fruits, 
 wine, zinc and iron ore. The forests cover an area 
 of 6,559,500 acres producing an annual revenue of 
 over a million dollars. Tunis is another important 
 
 29
 
 French pr()\ince in Northern Africa. In 1918 its 
 agricultural products were 9,406,292 l)ushels of 
 wheat, 10.427,213 bushels of barley. 3,813,713 bushels 
 of oats and, in addition, 14,555,800 gallons of wine 
 and 3,900,000 gallons of olive oil. The estimated 
 date crop for 1918 was 88,184,890 pounds. The value 
 of the mineral output in 1917 was al)()Ut $13,000,000. 
 Algeria and Tunis have developed a large railway 
 
 ■•-c- 
 
 
 ■.aii^'':-.i V* 
 
 Morocco — Old and New Methods of Harvesting. 
 
 30
 
 mileao-c in recent years. At present there are over 
 3.000 miles in operation in these provinces. The 
 trade of Alorocco increased about three times in 
 the years from 1911 to 1916. In 1911 the foreign 
 commerce amounted to $17,000,000. In 1913 it was 
 more than $34,000,000 and in 1916 the total was 
 approximately $60,000,000. 
 
 The tropical possessions of France furnish large 
 quantities of rubber, rice, raw silk, palm oil, sugar 
 and similar products. Annam, one of the provinces 
 in French Indo-China, produces more than 800 tons 
 of raw silk annuallv. In 1916 French Indo-China 
 exported 1,345.360 tons of rice. New Caledonia, a 
 French possession in the Pacific, produces in normal 
 times a substantial part of the world's supply of 
 nickel. 
 
 Foreign Trade 
 
 The indications are that France will engage more 
 actively in foreign trade than l^efore the war. Her 
 control of basic materials stimulated by a wide de- 
 mand, particularly in Asia Minor and the Far I^Last 
 where France has increased the sphere of her trade 
 influence, should have a decidedly favorable efi'ect on 
 the foreign commerce of the country. This in turn 
 would serve to counteract the unfavorable trade 
 balance and ccjusecjuently to restore French foreign 
 exchange to a more normal position. 
 
 The facilities of France for foreign trade as far as 
 ports and shipping are concerned were greatly de- 
 veloped during the war. According to Lloyd's Reg- 
 ister of Shipping the total tonnage registered under 
 the French flag in the present year is larger than in 
 1913. In June 1919 France had more than 2,000,000 
 tons of shipping which does not allow for the ton- 
 
 31
 
 1» 
 
 Port of Marseilles in 1919. 
 
 32
 
 nage of German ships she is to receive under the 
 Treaty of Peace. Bordeaux and Marseilles, the 
 principal ports, have been enlarged and splendidly 
 equipped. Nearly six miles of modern concrete 
 docks were constructed during the war at Bordeaux 
 in addition to large warehouses and railwa}' ter- 
 minals. Bordeaux is the Atlantic terminus for many 
 Continental trade routes to Great Britain, Africa and 
 the Americas. jMarseilles. which holds a correspond- 
 
 Docks Near Bordeaux. 
 
 ing position for the Alediterranean countries, is at 
 present actively engaged in the development of her 
 large natural port. Three and three-quarters miles 
 of quays are under construction and at the present 
 time there is a program which aims to supply the 
 port with 20 miles of quays as compared with 8'% 
 miles existing before the war. Under the terms of 
 the Peace Treaty France is to acquire all the former 
 German interests in the port of Rotterdam. This
 
 port with its facilities for river transportation is con- 
 veniently situated to serve Alsace-Lorraine and 
 should be of great value to French commerce of 
 the future. 
 
 Conclusion 
 
 France has earned the confidence of her allies in 
 the great war. There is no reason why this confi- 
 dence should not be fully maintained. The military 
 and economic vitality of the Republic surmounted 
 the trials of the critical moments of the world war 
 and that same vitality is now surmounting the much 
 smaller problems of reconstruction. Whatever the 
 burdens which the war has imposed on France in 
 common with the other nations engaged, France 
 has demonstrated that she is able and prepared to 
 carr\ them. The record of her achievements in the 
 war and, since the signing of the armistice, in peace 
 is convincing evidence of the strength and the solid- 
 ity of the nation. The people have recently given 
 their answer to Bolshevism by returning an over- 
 whelming majority of the sur)porters of the govern- 
 ment in the national elections. 
 
 France will recover from this war as sureh' as she 
 has recovered from previous wars. With the present 
 opportunity in the fields of industry and trade the 
 new France should become greater even than before. 
 America is deeply interested in the recovery of 
 France and of Europe if for no other reason than 
 that she has made a national investment in Europe 
 which in advances of money alone amounts to ap- 
 proximately ten billions of dollars. The restoration 
 of normal conditions in France is only a matter of 
 time and is a pro1)lem which France herself is capa- 
 ble of solving independently. However, the more 
 
 34
 
 rapidly this restoration can be accomplished the 
 greater the advantage to America and to the world 
 as a whole. To the people of the United States is 
 given the opportunity of lending" their help and re- 
 sources to bridge the transition period and thereby 
 to bring about in comparatively little time the com- 
 plete restoration. 
 
 35 
 
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