Paris Peace Conf. 184.011102/443½
Mr. A. W. DuBois34 to the Secretary of State35
Sir: I have the honor to make a report summarizing the more important events which have transpired during the past week.
[Page 568]The signing of the peace treaty was accepted by the people without demonstration.36 This passiveness is accounted for by the time consumed in drawing up the terms which prepared the people so gradually that they became fairly calloused to the severity of the terms. The loss of German South Tyrol for the Austrians is the most painful clause. But as that is a fait accompli the people and press are at present more interested in the financial clauses, their immediate depressing effect, the resulting low rate of exchange—the dollar today brings from 60 to 66 Crowns—, and to the scarcity of food and coal.
Due to the shortage of coal only a minimum number of trains are in operation. Practically all of the larger and most of the smaller out-of-town hotels plan to close for the winter, which will result in forcing many more people into the already overcrowded and underfed capital.
The food shortage, lack of housing facilities, and unemployment have caused the government for Lower Austria to issue on September 9th an inoffensively worded proclamation giving notice to all persons who were not residents in Lower Austria prior to 1914 or who had not become citizens to vacate the country by September 20th. Exceptions are to be made in case of persons whose occupation is helpful to Austria or who are too infirm to leave. This decree, if carried out, will cause the ejection of great numbers of Hungarians, Yugoslavs, and Czechs, and may be opposed by the governments of those countries, which would but add to the existing friction between Austria and her neighbors.
The political situation has not greatly changed in the past two weeks. The soldiers and workmens councils with the actual power in their hands, are dominating the situation, and the government is impotent to set up an efficient administration or properly organized institutions. The business men and employees—Bürgher und Stände—on September 10th organized themselves into councils to defend their interests, but declared themselves in principle against class war and councils, stating that they were forced to organize in order to protect themselves.
It is anticipated that the reorganization of the present form of government, which is merely a temporary structure set up to carry on the work of government until a definite peace had been signed and which had really precluded a union with Germany, will be begun as soon as Dr. Renner returns to Vienna. The reorganization may cause a realignment of the present political parties and some people even foresee a split and the formation of new parties. However all comment on this topic seems as yet to be in a haze and it is a question whether anyone has a clear idea as the possibilities in the political future. The only thing that is clear is that the next few months will [Page 569] be of great importance for the future politics and policies of the Republic of Austria.
Reports of threatened disturbances on the part of the Yugoslavs at Radkersburg and mistreatment of people in German West Hungary is cause for much comment by press and people, who desire intervention by the Allies and cannot understand why it is withheld.
I have [etc.]