shown by the exports, which rose immediately after the signature of peace, despite a war which swallowed a hundred thousand lives and more than ten milliards (two billion dollars)." A similar conclusion is drawn by Professor Biermer ("Fürst Bismarck als Volkswirt"), who indicates that the Protectionist movement in 1879 was to a large extent due to the result of the payment of the indemnity.
This disturbance of the balance of trade, however, was only one factor among several: the financial disorganization, a fictitious expansion of expenditure creating a morbid speculation, precipitated the worst financial crisis in Germany which she has known in modern times. Monsieur Lavisse summarizes the experience thus:
Enormous sums of money were lost. If one takes the aggregate of the securities quoted on the Berlin Bourse, railroad, mining and industrial securities generally, it is by thousands of millions of marks that one must estimate the value of such securities in 1870 and 1871. But a large number of enterprises were started in Germany of which the Berlin Bourse knew nothing. Cologne, Hamburg, Frankfurt, Leipzig, Breslau, Stuttgart, had all their local groups of speculative securities; hundreds of millions must be added to the thousands of millions. These differences did not represent merely a transfer of wealth, for a great proportion of the capital sunk was lost altogether, having been eaten up in ill-considered and unattractive expenditure.... There can be no sort of doubt that the money lost in these worthless enterprises constitutes an absolute loss for Germany.
The decade