1. _No Experimentation._ Germany, in order to produce a vast output of various types of guns and projectiles economically evolved in times of peace, needed only to extend, by means of machinery of domestic manufacture, her arsenals and munition-factories, which before the war were already considerable. On the other hand, the production of war-material in France at the outbreak of hostilities was very slack, while in England and Russia it was almost negligible. In these three countries, therefore, it was necessary to improvise, as best might be, thousands of new plants, to equip them with machinery purchased in America at vast expense, and hastily to evolve new types of cannon, projectiles, and the rest. Now, improvisation, especially in war-time, means false starts and inevitable bad work, which must be paid dearly for. Germany was not obliged to incur these very considerable expenses. 2. _Regulated Wages._ The fact that the problem of German wages was worked out at leisure in exact correlation to productions whose types were exhaustively studied in the calm of peace-time certainly allowed the Germans to obtain war-materials at a lower net cost than was possible for the Allies. 3. _The Prevention of Waste._ The absence of experimentation and the simple extension to war-work of highly efficient industrial methods tested in peace-time, naturally allowed the Germans to avoid in all spheres those immense losses of material of every nature whose bad effects and heavy cost were incurred by the Allies. This state of affairs in France caused losses which were as expensive as they were inevitable. One may imagine the conditions existing in Russia, where control is far more difficult of exercise than in France. 4. _Cheap Labor._ The Germans have forcibly enlisted the labor of about two million prisoners of war. Moreover, the official French report of April 12, 1917, concerning acts committed by the Germans in violation of international law, asserts that in the occupied territories deportation of workers has been a _general measure_. It has ‘applied to the entire able-bodied population of both sexes, from the ages of sixteen to sixty, excepting women with young children.’ Now, the Germans requisition labor from among 7,500,000 Belgians, 3,000,000 French, 4,500,000 Serbians, 5,000,000 Roumanians, 22,000,000 Poles, Ruthenians, and Lithuanians—a total of 42,000,000 slaves. Let us see what sort of remuneration is made. Take the case of a young girl of Lille, twenty years old, who was forced to work for six months, harvesting and threshing wheat and digging potatoes from six in the morning to twilight, receiving all the while the vilest food. For her six months of work she was given 9 francs, 45 centimes. The Germans, therefore, have at their disposal a vast reservoir of labor for which they pay next to nothing; moreover, the small amounts they do pay remain in Pan-Germany.