File No. 6993/4
Minister Egan to the Secretary of State
Copenhagen , April 17, 1909 .
My dear Mr. Secretary:* * * There is nothing new here. The agricultural party is determined to oppose any great expenditure for defence, as it holds that it would be useless to bankrupt the country in order to keep Copenhagen out of the hands of an enemy for a day or two. From the point of view of exports, Denmark’s affairs have improved during the year, but most of the business men here are living on borrowed money,—mostly drawn from Germany. Financial affairs are in a deplorable condition. If things continue this way we may perhaps receive a suggestion that the United States buy the Danish Antilles. The great obstacle to this is the touchiness of some of the conservatives, who think that we are a great and arrogant power, which would even try to force them to sell part of their heritage because Denmark is small and weak.* * *
Another obstacle is that neither party would like to see the money from the islands put into the hands of the opposing influence. We have nothing to lose and everything to gain by being extremely agreeable to Denmark. The great landowners, having much power, look on us with certain suspicion as people who have an eye on their property. Nothing has had a better effect in Europe than our Government’s treatment of Cuba and the Philippines,* * *.
I remain [etc.]