The great war debts of the nations of Europe began with representative government. Kings borrowed money when they could, bankrupting themselves at intervals and sometimes wrecking their nations. Kings have always been uncertain pay. Not many loaned money to them willingly and only in small amounts and at usurious rates of interest. To float a "patriotic loan," it was often necessary to make use of the prison or the rack. With the advent of parliaments and chambers of deputies, the credit of nations improved and it became easy to borrow money. There was developed a special class of financiers, the Rothschilds at their head, pawnbrokers rather than bankers, men able and willing to take a whole nation into pawn. And with the advent of great loans, as Goldwin Smith wisely observed, "there was removed the last check on war." With better social and business adjustments, and especially with the progress of railways and steam navigation with other applications of science to personal and national interests, the process of borrowing became easier, as also the payment of interest on which borrowing depends. Hence more borrowing, always the easiest solution of any financial complication or embarrassment. Through the substitution of regular methods of taxation for the collection of tribute, the nations became solidified. Only a solidified nation can borrow money. The loose and lawless regions called Kingdoms and Empires under feudalism were not nations at all. A nation is a region in which the people are normally at peace among themselves. In civil war, a nation's existence may be dissolved. In all the ages war costs all that it can. All that can be extorted or borrowed is cast into the melting pot, for the sake of self-preservation or for the sake of victory. If the nations had any more to give war would demand it. The king could extort, but there are limits to extortion. The nation could borrow, and to borrowing there is but one limit, that of actual exhaustion. Mr. H. Bell, cashier of Lloyd's Bank in London, said in 1913: 'The London bankers are not lending on the continent any more. We can see already the handwriting on the wall and that spells REPUDIATION. The people of Europe will say: "We know that we have had all this money and that we ought to pay interest on it. But we must live; and we can not live and pay."'