The Dawes Plan and the Fractured Republic
"The Reparations Commission will now come to order."
Chairman James Arthur gathered the two representatives from each nation and began the proceedings. The office in Paris hosted the official delegations from France, Great Britain, Italy, and Belgium, alongside the unofficial delegation from the United States. Yugoslavia and Japan did not participate, citing domestic issues and a lack of direct relevance to the German reparations problem.
The representatives had convened to address the reparations issue stemming from Germany’s unstable political situation and the London Ultimatum. The organizer of this meeting was none other than the United States, an unofficial delegation because they had not ratified the Treaty of Versailles. However, ignoring their influence would have been a fool’s errand, so the Allied delegations had agreed to meet in Paris.
"American delegation, surely you did not request this assembly for a mere discussion. Please, state your position."
A man from the American side slowly stood up. He scanned the room once, then spoke without even holding a single document.
"...Before I speak, if you are satisfied with merely wringing Germany dry for reparations, then I must say this agenda is unnecessary."
A brief silence followed. His gaze brushed over the French representative.
"If that were the solution, every cleaner in the world would simply wring out their rags without ever washing them in water."
The air in the room instantly hardened. It was a blatant, stinging sarcasm. The French representative’s expression stiffened, and the Belgian representative could not hide his displeasure. Yet, the American remained entirely unbothered. In fact, he took a step forward.
"That is exactly what you are doing right now."
"Ahem! American representative, please explain yourself. Without the metaphors."
Arthur intervened before they could start trading insults, and the American representative nodded, continuing his point.
"You are... we are holding onto a bone-dry rag, trying to wring water out of it."
No one spoke. He tilted his head and added, "The problem is simple. There is no water left."
The Italian representative, unlike the others, sat up with an intrigued look in his eyes. The American shifted his gaze as if to confirm the reaction.
"Germany is not refusing to pay; it is in a state where it cannot pay."
At his words, the French representative, who had been harboring grievances, cut in coldly. "...And so, what is the solution? What is the main point?"
He laughed, very briefly.
"Finally, that question arises."
He leaned forward, pressing his hands onto the table, and spoke directly to the French representative. "Before you wring the rag, you must first soak it in water."
Charles Dawes, the Director of the U.S. Bureau of the Budget and the head of the American delegation, finished his statement and observed the reactions of the Allied representatives. They were not particularly favorable, but he did not care. He knew they had no choice but to accept.
"The Left is in an uproar claiming economic subjugation, and the Right is in a frenzy over paying reparations. I wonder when the last time our country actually had a quiet day was."
Joseph Wirth read through the draft sent by the Allied Reparations Commission with eyes weary from exhaustion. The draft had been delivered officially, and as soon as its contents were leaked to the press, the fallout was greater than ever before. In short, the 'Dawes Committee' had been established.
Charles Dawes, the U.S. Budget Director who had been tapped as the head of this committee, had persuaded the Allies to accept my plan as if it were his own, and after hours of debate, the Allies had agreed. The committee’s goal was to design a stable economic structure for Germany’s currency stabilization and reparations payments.
"On one hand, isn't this a justification to turn our gaze outward? Ever since the London Ultimatum, everyone knows the Allies can enter our domestic affairs at any time."
At my words, Wirth nodded quietly.
"But will this be alright? This achievement, in a way, is your idea, Undersecretary. To have it known as an American achievement..."
"It is fine." I cut him off firmly. Of course, since I had spoken before Dawes, it might look like my design, but since it originated from Charles Dawes's ideas, I did not mind.
"If the Undersecretary says it is fine, then there is no problem, but..." Wirth trailed off, looking back down at the documents. "...This is not simply a matter of passing the ball."
His finger traced slowly across the paper. "What I fear is that while we might push policies under an external name, the price we pay is that we are no longer a 'government that chooses,' but a 'government that executes.'"
A moment of silence. I pulled my chair closer and answered calmly, "Doesn't it already look that way?"
Wirth’s eyebrows twitched slightly.
"To the citizens, we do not look like we are choosing. We look like we are being pushed back."
He said nothing. I continued, "Then it is better to change the direction."
"Direction, you say..."
"Instead of us being pushed, we should act as if we are accepting it."
Wirth shrugged at that and said, "...That is easy to say, but they won't believe it."
"Persuading them of that is the role of the government, isn't it?"
Wirth looked at me for a long time, then finally chuckled and continued, "You weren't even the Crown Prince, yet you seem so accustomed to this, as if you had mastered the art of kingship?"
"...Thank you for the compliment." I bowed my head.
Wirth sighed deeply while reading the documents. "The parliament will be noisy, won't it?"
"...Wasn't that the expected result?"
Then came the silence. Wirth and I could only squeeze our eyes shut at the thought of the impact this would have on parliament.
"We must endure it. Well, what else can we do?" Wirth said, offering a bitter smile.
"...Our government has decided to approve the demands of the Reparations Commission, and we request the approval of this parliament."
The moment Wirth finished speaking, before the murmuring could even cease, shouting began.
"Are you saying we should become an economic colony!"
"This is capitalist subjugation!"
Communist Party members were screaming. And from the opposite side, voices rose as well.
"Are you saying we should become the Allies' dog!"
"We oppose the payment of reparations!"
Nationalist Party members stood up from their seats and slammed their desks hard.
"Refuse it instead! That is the dignity of the nation!"
In an instant, the parliament was filled with noise. The Left and Right began shouting at each other, and Löbe struck his gavel repeatedly, but it was of no use.
Bang! Bang! Bang!
"Order! Maintain order!"
The sound vanished like a small boat buried by a tidal wave. Wirth looked down at the scene for a long time without saying a word.
"The opposition is fierce."
"We must push through." I said quietly beside Wirth. Although it seemed they were overwhelmed by the momentum of the Communists and Nationalists, some Independent Social Democratic Party members, who seemed to have already decided to return to the Social Democratic Party, were quietly gauging the situation. The People's Party was openly clapping and celebrating among themselves, and the Democratic Party members were all sitting in their seats, waiting for the vote.
It was a fight between a loud minority and a quiet majority. I scanned the parliament for a moment. The side shouting was still the same. And the side sitting quietly remained unchanged.
"...You should proceed now."
As I spoke lowly, Wirth nodded briefly. He stood up slowly from his seat. The parliament was still chaotic, but a few who noticed his movement turned their gaze.
"Respected Chairman. I request a vote for the swift processing of the agenda."
That one sentence strangely cut through the air. Löbe nodded and struck his gavel one last time, loudly.
Bang!
"In accordance with the rules of order, we will proceed with the vote."
At that moment, the noise died down a beat late. It hadn't disappeared entirely, but it scattered, as if it had lost its direction.
Currency Reform Act passed! Is the Dawes Plan becoming a reality? Germany is buzzing with this issue. The 'Currency Reform Act,' passed just the day before yesterday, came as a huge shock to society as a whole heading into 1922, and it split the nation once again over the issue of accepting reparations. Differences in opinion birthed conflict, and conflict fostered division.
I didn't fold the newspaper; I scanned it once more. Debates had already begun on the streets. Some cheered, some spat out curses, and the majority simply looked down at the newspaper with anxious faces.
"Society is dividing rapidly. It feels just like watching the end of the war." Neurath said in a tone of resignation. I nodded.
"I expected the fallout, but the feeling of facing it directly is quite different."
"It is very different."
I threw the documents onto the desk. Neurath said nothing. I looked out the window once. Divided voices, a country that could not be gathered into one.
"...Now it begins."
At my words, Neurath nodded. I picked up the documents again.