Germany must by March, 1921, deliver up all payment in kind, _i.e._, goods, ships, coal, etc., which might possibly exceed the total of £800,000,000 provided by the Treaty. On the other hand, Germany must pay the pensions due to disabled soldiers and the relatives of the fallen, which in the case of France alone amounted to £8,000,000,000. In all, Germany is liable for a sum of £15,400,000,000, which should be paid off in a period of thirty-six years. For the two first years after the war she will pay nothing, but subsequently she must pay £554,000,000, with interest at 5 per cent. The total amount paid by Germany will therefore amount to £18,520,000,000 at the end of thirty-six years. And most serious loss of all--she has lost for a time, anyway, all will to work. Improvement in food and general conditions of life will do something for this, socialisation of industry and introduction of the Council system would do more, but it will take time. Even if Germany obtained at once a return of energy, a reopening of markets, a re-entry of raw material and a free recourse to foreign capital, and she will have to wait long for all of these, even so it seems very doubtful whether she could make a living under such a load of debt. This will mean the emigration of from ten to twenty million Germans in the course of the next few years, to the West if it is open to them, but otherwise to the East. Germany will, in fact, be brought down to the political and economic conditions of Portugal. We pursued this policy of ruining Germany for a century because we were still under the impression of animosities and anxieties that belonged to war conditions. Our attitude was that the Allies should get what they could out of Germany while they could; and if the attempt ruined Germany, Germany had deserved it.