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-
-<div style='text-align:center; font-size:1.2em; font-weight:bold'>The Project Gutenberg eBook of Turkey, the Great Powers, and the Bagdad Railway, by Edward Mead Earle</div>
-
-<div style='display:block; margin:1em 0'>
-This eBook is for the use of anyone anywhere in the United States and
-most other parts of the world at no cost and with almost no restrictions
-whatsoever. You may copy it, give it away or re-use it under the terms
-of the Project Gutenberg License included with this eBook or online
-at <a href="https://www.gutenberg.org">www.gutenberg.org</a>. If you
-are not located in the United States, you will have to check the laws of the
-country where you are located before using this eBook.
-</div>
-
-<p style='display:block; margin-top:1em; margin-bottom:0; margin-left:2em; text-indent:-2em'>Title: Turkey, the Great Powers, and the Bagdad Railway</p>
-<p style='display:block; margin-top:0; margin-bottom:1em; margin-left:2em; text-indent:0;'>A study in imperialism</p>
-
-<div style='display:block; margin-top:1em; margin-bottom:1em; margin-left:2em; text-indent:-2em'>Author: Edward Mead Earle</div>
-
-<div style='display:block; margin:1em 0'>Release Date: September 5, 2021 [eBook #66221]</div>
-
-<div style='display:block; margin:1em 0'>Language: English</div>
-
-<div style='display:block; margin:1em 0'>Character set encoding: UTF-8</div>
-
-<div style='display:block; margin-left:2em; text-indent:-2em'>Produced by: Turgut Dincer and the Online Distributed Proofreading Team at https://www.pgdp.net (This file was produced from images generously made available by The Internet Archive)</div>
-
-<div style='margin-top:2em; margin-bottom:4em'>*** START OF THE PROJECT GUTENBERG EBOOK TURKEY, THE GREAT POWERS, AND THE BAGDAD RAILWAY ***</div>
-
-<div class="figcenter"><a name="fp" id="fp"></a>
-<img src="images/frontispiece.jpg" alt="TURKISH RAILWAYS IN 1918" width="500" height="330" />
-<div class="caption">TURKISH RAILWAYS IN 1918<br />
-
-<p><a href="images/frontispiece.jpg"><small>Larger image</small></a></p>
-</div></div>
-
-<p class="center">TURKEY, THE GREAT POWERS,<br />
-AND THE BAGDAD RAILWAY<br />
-</p>
-<hr />
-<div class="figcenter" style="width: 100px;">
-<img src="images/pm.jpg" width="100" alt="pm" />
-</div>
-
-<p class="center">THE MACMILLAN COMPANY<br />
-<br />
-NEW YORK · BOSTON · CHICAGO · DALLAS ·<br />
-ATLANTA · SAN FRANCISCO<br />
-<br />
-MACMILLAN &amp; CO., <span class="smcap">Limited</span><br />
-<br />
-LONDON · BOMBAY · CALCUTTA ·<br />
-MELBOURNE<br />
-<br />
-THE MACMILLAN CO. OF CANADA, <span class="smcap">Ltd.</span><br />
-<br />
-TORONTO</p>
-
-<h1>Turkey, The Great Powers,<br />
-and<br />
-The Bagdad Railway</h1>
-
-<p class="center"><i>A Study in Imperialism</i><br />
-<br />
-<br />
-BY<br />
-<br />
-EDWARD MEAD EARLE, <span class="smcap">Ph.D.</span><br />
-<small>
-ASSISTANT PROFESSOR OF HISTORY IN<br />
-COLUMBIA UNIVERSITY</small><br />
-<br />
-<b>New York</b>
-<br />
-THE MACMILLAN COMPANY
-<br />
-1924
-<br />
-<i>All rights reserved</i></p>
-
-<hr />
-
-<p class="center">
-<br />
-PRINTED IN THE UNITED STATES OF AMERICA<br />
-<br />
-<span class="smcap">Copyright, 1923,<br />
-By</span> THE MACMILLAN COMPANY.<br />
-Set up and electrotyped. Published July, 1923.<br />
-<i>Reprinted</i><i>July, 1924</i><br />
-
-<br />
-Press of<br />
-J. J. Little &amp; Ives Company<br />
-New York, U. S. A.<br />
-</p>
-<hr />
-<p><small>“When the history of the latter part of the nineteenth century
-will come to be written, one event will be singled out
-above all others for its intrinsic importance and for its far-reaching
-results; namely, the conventions of 1899 and of
-1902 between His Imperial Majesty the Sultan of Turkey
-and the German Company of the Anatolian Railways.”—Charles
-Sarolea, <i>The Bagdad Railway and German Expansion
-as a Factor in European Politics</i> (Edinburgh, 1907),
-p. 3.</small></p>
-
-<p><small>“The Turkish Government, I know, have been accused of
-being corrupt. I venture to submit that it has not been for
-want of encouragement from Europeans that the Turks have
-been corrupt. The sinister—I think it is not going too far
-to use that word—effect of European financiers on Turkey
-has had more to do with the misgovernment than any Turk,
-young or old.”—Sir Mark Sykes, in the House of Commons,
-March 18, 1914.</small></p>
-
-<hr />
-
-<p><span class="pagenum"><a name="Page_vii" id="Page_vii">vii</a></span></p>
-
-<h2>PREFACE</h2>
-
-<p>The Chester concessions and the Anglo-American controversy
-regarding the Mesopotamian oilfields are but two
-conspicuous instances of the rapid development of American
-activity in the Near East. Turkey, already an important
-market for American goods, gives promise of
-becoming a valuable source of raw materials for American
-factories and a fertile field for the investment of American
-capital. Thus American religious interests in the
-Holy Land, American educational interests in Anatolia
-and Syria, and American humanitarian interests in Armenia,
-are now supplemented by substantial American
-economic interests in the natural resources of Asia Minor.
-Political stability and economic progress in Turkey no
-longer are matters of indifference to business men and
-politicians in the United States; therefore the Eastern
-Question—so often a cause of war—assumes a new importance
-to Americans. This book will have served a useful
-purpose if—in discussing the conflicting political,
-cultural, and economic policies of the Great Powers in
-the Near East during the past three decades—it contributes
-to a sympathetic understanding of a very complicated
-problem and suggests to the reader some dangers
-which American statesmanship would do well to avoid.
-Students of history and international relations will find
-in the story of the Bagdad Railway a laboratory full of
-rich materials for an analysis of modern economic imperialism
-and its far-reaching consequences.</p>
-
-<p>The assistance of many persons who have been i<span class="pagenum"><a name="Page_viii" id="Page_viii">viii</a></span>ntimately
-associated with the Bagdad Railway has enabled
-the author to examine records and documents not heretofore
-available to the historian. To these persons the
-author is glad to assign a large measure of any credit
-which may accrue to this book as an authoritative and
-definitive account of German railway enterprises in the
-Near East. He wishes especially to mention: Dr.
-Arthur von Gwinner, of the <i>Deutsche Bank</i>, president of
-the Anatolian and Bagdad Railway Companies; Dr. Karl
-Helfferich, formerly Imperial German Minister of
-Finance, erstwhile managing director of the <i>Deutsche
-Bank</i>, and at present a member of the Reichstag; Sir
-Henry Babington Smith, an associate of the late Sir
-Ernest Cassel, a director of the Bank of England, president
-of the National Bank of Turkey, and at one time
-representative of the British bondholders on the Ottoman
-Public Debt Administration; Djavid Bey, Ottoman Minister
-of Finance during the régime of the Young Turks,
-an economic expert at the first Lausanne Conference, and
-at present Turkish representative on the Ottoman Public
-Debt Administration; Mr. Ernest Rechnitzer, a banker
-of Paris and London, a competitor for the Bagdad Railway
-concession in 1898–1899; Rear Admiral Colby M.
-Chester, of the United States Navy (retired), beneficiary
-of the “Chester concessions.”</p>
-
-<p>Valuable assistance in the collection and preparation of
-material has been rendered, also, by the following persons,
-to whom the author expresses his grateful appreciation:
-Sir Charles P. Lucas, director, and Mr. Evans Lewin,
-librarian, of the Royal Colonial Institute; Sir John Cadman,
-director of His Majesty’s Petroleum Department;
-Professor George Young, of the University of London,
-formerly attaché of the British embassy at Constantinople;
-Mr. Charles V. Sheehan, sub-manager in London
-of the National City Bank of New York; Mr. M. Zekeria,<span class="pagenum"><a name="Page_ix" id="Page_ix">ix</a></span>
-chief of the Turkish Information Service in the United
-States; Mr. René A. Wormser, an American attorney
-who assisted the author in research work in Germany
-during the summer of 1922. Dr. Gottlieb Betz, of Columbia
-University, and Dr. John Mez, American correspondent
-of the <i>Frankfurter Zeitung</i>, have aided in the
-translation of important documents.</p>
-
-<p>Professors Carlton J. H. Hayes and William R. Shepherd,
-of Columbia University, have been patient advisers
-and judicious critics of the author during the preparation
-of his manuscript. To them he owes much, as teachers
-who stimulated his interest in international relations, and
-as colleagues who cheerfully coöperate in any useful enterprise.
-Professor Parker Thomas Moon, of Columbia
-University, also has read the manuscript and offered
-many valuable suggestions.</p>
-
-<p class="right">
-EDWARD MEAD EARLE</p>
-
-<p>Columbia University<br />
-&nbsp;&nbsp;&nbsp;&nbsp;June, 1923</p>
-
-<p><span class="pagenum"><a name="Page_xi" id="Page_xi">x/xi</a></span></p>
-
-<hr />
-<h2>CONTENTS</h2>
-
-<table summary="contents" border="0" width="100%"><tr>
-<td class="tdl"><small>CHAPTER</small></td><td>&nbsp;</td><td class="tdr" colspan="1"><small>PAGE</small></td>
-</tr></table>
-<table summary="contents" border="0" width="100%"><tr>
-<td class="tdr">I&nbsp;</td><td class="tdl"><span class="smcap">An Ancient Trade Route is Revived</span></td><td class="tdr"><a href="#Page_1">1</a></td>
-</tr><tr>
-<td class="tdr">II&nbsp;</td><td class="tdl"><span class="smcap">Backward Turkey Invites Economic Exploitation</span></td><td class="tdr"><a href="#Page_9">9</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Turkish Sovereignty is a Polite Formality</td><td class="tdr"><a href="#Page_9">9</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Natural Wealth of Asiatic Turkey Offers Alluring
-Opportunities</td><td class="tdr"><a href="#Page_13">13</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Forces Are at Work for Regeneration</td><td class="tdr"><a href="#Page_17">17</a></td>
-</tr><tr>
-<td class="tdr">III&nbsp;</td><td class="tdl"><span class="smcap">Germans Become Interested in the Near East</span></td><td class="tdr"><a href="#Page_29">29</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The First Rails Are Laid</td><td class="tdr"><a href="#Page_29">29</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Traders Follow the Investors</td><td class="tdr"><a href="#Page_35">35</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The German Government Becomes Interested</td><td class="tdr"><a href="#Page_38">38</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2"><p class="indent">German Economic Interests Make for Near Eastern
-Imperialism</p></td><td class="tdr"><a href="#Page_45">45</a></td>
-</tr><tr>
-<td class="tdr">IV&nbsp;</td><td class="tdl"><span class="smcap">The Sultan Mortgages His Empire</span></td><td class="tdr"><a href="#Page_58">58</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Germans Overcome Competition</td><td class="tdr"><a href="#Page_58">58</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Bagdad Railway Concession is Granted</td><td class="tdr"><a href="#Page_67">67</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Locomotive is to Supplant the Camel</td><td class="tdr"><a href="#Page_71">71</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Sultan Loosens the Purse-Strings</td><td class="tdr"><a href="#Page_75">75</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Some Turkish Rights Are Safeguarded</td><td class="tdr"><a href="#Page_81">81</a></td>
-</tr><tr>
-<td class="tdr">V&nbsp;</td><td class="tdl"><span class="smcap">Peaceful Penetration Progresses</span></td><td class="tdr"><a href="#Page_92">92</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Financiers Get Their First Profits</td><td class="tdr"><a href="#Page_92">92</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Bankers’ Interests Become More Extensive</td><td class="tdr"><a href="#Page_97">97</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Broader Business Interests Develop</td><td class="tdr"><a href="#Page_101">101</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Sea Communications Are Established</td><td class="tdr"><a href="#Page_107">107</a></td>
-</tr><tr>
-<td class="tdr">VI&nbsp;</td><td class="tdl"><span class="smcap">The Bagdad Railway Becomes an Imperial Enterprise</span></td><td class="tdr"><a href="#Page_120">120</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Political Interests Come to the Fore</td><td class="tdr"><a href="#Page_120">120</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Religious and Cultural Interests Reënforce Political
-and Economic Motives</td><td class="tdr"><a href="#Page_131">131</a></td>
-</tr><tr>
-<td>&nbsp;<span class="pagenum"><a name="Page_xii" id="Page_xii">xii</a></span></td><td class="tdl padl2">Some Few Voices Are Raised in Protest</td><td class="tdr"><a href="#Page_137">137</a></td>
-</tr><tr>
-<td class="tdr">VII&nbsp;</td><td class="tdl"><span class="smcap">Russia Resists and France is Uncertain</span></td><td class="tdr"><a href="#Page_147">147</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Russia Voices Her Displeasure</td><td class="tdr"><a href="#Page_147">147</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The French Government Hesitates</td><td class="tdr"><a href="#Page_153">153</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">French Interests Are Believed to be Menaced</td><td class="tdr"><a href="#Page_157">157</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Bagdad Railway Claims French Supporters</td><td class="tdr"><a href="#Page_165">165</a></td>
-</tr><tr>
-
-<td class="tdr">VIII&nbsp;</td><td class="tdl"><span class="smcap">Great Britain Blocks the Way</span></td><td class="tdr"><a href="#Page_176">176</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Early British Opinions Are Favorable</td><td class="tdr"><a href="#Page_176">176</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The British Government Yields to Pressure</td><td class="tdr"><a href="#Page_180">180</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Vested Interests Come to the Fore</td><td class="tdr"><a href="#Page_189">189</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Imperial Defence Becomes the Primary Concern</td><td class="tdr"><a href="#Page_195">195</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">British Resistance is Stiffened by the Entente</td><td class="tdr"><a href="#Page_202">202</a></td>
-</tr><tr>
-<td class="tdr">IX&nbsp;</td><td class="tdl"><span class="smcap">The Young Turks Are Won Over</span></td><td class="tdr"><a href="#Page_217">217</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">A Golden Opportunity Presents Itself to the Entente
-Powers</td><td class="tdr"><a href="#Page_217">217</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Germans Achieve a Diplomatic Triumph</td><td class="tdr"><a href="#Page_222">222</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The German Railways Justify Their Existence</td><td class="tdr"><a href="#Page_229">229</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Young Turks Have Some Mental Reservations</td><td class="tdr"><a href="#Page_235">235</a></td>
-</tr><tr>
-
-<td class="tdr">X&nbsp;</td><td class="tdl"><span class="smcap">Bargains Are Struck</span></td><td class="tdr"><a href="#Page_239">239</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Kaiser and the Tsar Agree at Potsdam</td><td class="tdr"><a href="#Page_239">239</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">French Capitalists Share in the Spoils</td><td class="tdr"><a href="#Page_244">244</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">The Young Turks Conciliate Great Britain</td><td class="tdr"><a href="#Page_252">252</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">British Imperial Interests Are Further Safeguarded</td><td class="tdr"><a href="#Page_258">258</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Diplomatic Bargaining Fails to Preserve Peace</td><td class="tdr"><a href="#Page_266">266</a></td>
-</tr><tr>
-
-<td class="tdr">XI&nbsp;</td><td class="tdl"><span class="smcap">Turkey, Crushed to Earth, Rises Again</span></td><td class="tdr"><a href="#Page_275">275</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Nationalism and Militarism Triumph at Constantinople</td><td class="tdr"><a href="#Page_275">275</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Asiatic Turkey Becomes One of the Stakes of the
-War</td><td class="tdr"><a href="#Page_279">279</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Germany Wins Temporary Domination of the
-Near East</td><td class="tdr"><a href="#Page_287">287</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">“Berlin to Bagdad” Becomes but a Memory</td><td class="tdr"><a href="#Page_292">292</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">To the Victors Belong the Spoils </td><td class="tdr"><a href="#Page_300">300</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">“The Ottoman Empire is Dead. Long Live
-Turkey!”</td><td class="tdr"><a href="#Page_303">303</a></td>
-</tr><tr>
-
-<td class="tdr">XII&nbsp;</td><td class="tdl"><span class="smcap">The Struggle for the Bagdad Railway is Resumed</span></td><td class="tdr"><a href="#Page_314">314</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">Germany is Eliminated and Russia Withdraws</td><td class="tdr"><a href="#Page_314">314</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">France Steals a March and is Accompanied by
-<span class="pagenum"><a name="Page_xiii" id="Page_xiii">xiii</a></span>Italy</td><td class="tdr"><a href="#Page_318">318</a></td>
-</tr><tr>
-
-<td>&nbsp;</td><td class="tdl padl2">British Interests Acquire a Claim to the Bagdad
-Railway</td><td class="tdr"><a href="#Page_327">327</a></td>
-</tr><tr>
-<td>&nbsp;</td><td class="tdl padl2">America Embarks on an Uncharted Sea</td><td class="tdr"><a href="#Page_336">336</a></td>
-</tr><tr>
-<td class="tdl" colspan="2"><span class="smcap">Index</span></td><td class="tdr"><a href="#Page_355">355</a></td>
-</tr></table>
-
-<h2>MAPS</h2>
-<table summary="contents" border="0" width="100%"><tr>
-<td class="tdl">The Railways of Asiatic Turkey</td><td class="tdr"><a href="#fp"><i>Frontispiece</i></a></td>
-</tr><tr>
-<td class="tdl">The Chester Concessions</td><td class="tdr"><a href="#Page_340">340</a></td>
-</tr></table>
-
-<p><span class="pagenum"><a name="Page_xiv" id="Page_xiv">xiv</a></span></p>
-<p><span class="pagenum"><a name="Page_xv" id="Page_xv">xv</a></span></p>
-<hr />
-<p class="center">TURKEY, THE GREAT POWERS,<br />
-AND THE BAGDAD RAILWAY</p>
-<hr />
-<p><span class="pagenum"><a name="Page_1" id="Page_1">1</a></span></p>
-
-<p class="center"><big>TURKEY, THE GREAT POWERS
-AND THE BAGDAD RAILWAY</big><br /><br />
-
-<small>A Study in Imperialism</small></p>
-
-<h2>CHAPTER I<br />
-
-AN ANCIENT TRADE ROUTE IS REVIVED</h2>
-
-<p>Many a glowing tale has been told of the great Commercial
-Revolution of the sixteenth century and of the
-consequent partial abandonment of the trans-Asiatic trade
-routes to India in favor of the newer routes by water
-around the Cape of Good Hope. It is sometimes overlooked,
-however, that a commercial revolution of the nineteenth
-century, occasioned by the adaptation of the steam
-engine to land and marine transportation, was of perhaps
-equal significance. Cheap carriage by the ocean greyhound
-instead of the stately clipper, by locomotive-drawn
-trains instead of stage-coach and caravan, made possible
-the extension of trade to the innermost and outermost
-parts of the earth and increased the volume of the world’s
-commerce to undreamed of proportions. This latter commercial
-revolution led not only to the opening of new
-avenues of communication, but also to the regeneration of
-trade-routes which had been dormant or decayed for centuries.
-During the nineteenth century and the early part
-of the twentieth, the medieval trans-Asiatic highways
-to the East were rediscovered.</p>
-<p><span class="pagenum"><a name="Page_2" id="Page_2">2</a></span></p>
-<p>The first of these medieval trade-routes to be revived
-by modern commerce was the so-called southern route.
-In the fifteenth century curious Oriental craft had brought
-their wares from eastern Asia across the Indian Ocean
-and up the Red Sea to some convenient port on the Egyptian
-shore; here their cargoes were trans-shipped <i>via</i>
-caravan to Alexandria and Cairo, marts of trade with the
-European cities of the Mediterranean. The completion
-of the Suez Canal, in 1869, transformed this route of
-medieval merchants into an avenue of modern transportation,
-incidentally realizing the dream of Portuguese and
-Spanish explorers of centuries before—a short, all-water
-route to the Indies. Less than forty years later the northern
-route of medieval commerce—from the “back doors”
-of China and India to the plains of European Russia—was
-opened to the twentieth-century locomotive. With
-the completion of the Trans-Siberian Railway in 1905
-the old caravan trails were paralleled with steel rails. The
-Trans-Siberian system linked Moscow and Petrograd
-with Vladivostok and Pekin; the Trans-Caspian and
-Trans-Persian railways stretched almost to the mountain
-barrier of northern India; the Trans-Caucasian lines provided
-the link between the Caspian and Black Seas.</p>
-
-<p>The heart of the central route of Eastern trade in the
-fifteenth century was the Mesopotamian Valley. Oriental
-sailing vessels brought commodities up the Persian Gulf
-to Basra and thence up the Shatt-el-Arab and the Tigris
-to Bagdad. At this point the route divided, one branch following
-the valley of the Tigris to a point north of Mosul
-and thence across the desert to Aleppo; another utilizing
-the valley of the Euphrates for a distance before striking
-across the desert to the ports of Syria; another crossing the
-mountains into Persia. From northern Mesopotamia and
-northern Syria caravans crossed Armenia and Anatolia
-to Constantinople. This historic highway—the last of<span class="pagenum"><a name="Page_3" id="Page_3">3</a></span>
-the three great medieval trade-routes to be opened to
-modern transportation—was traversed by the Bagdad
-Railway. The locomotive provided a new short cut to
-the East.</p>
-
-<p>That a commercial revolution of the nineteenth century
-should revive the old avenues of trade with the East was
-a matter of the utmost importance to all mankind. To
-the Western World the expansion of European commerce
-and the extension of Occidental civilization were incalculable,
-but certain, benefits. Statesmen and soldiers,
-merchants and missionaries alike might hail the new railways
-and steamship lines as entitled to a place among
-the foremost achievements of the age of steel and steam.
-To the East, also, closer contacts with the West held out
-high hopes for an economic and cultural renaissance of
-the former great civilizations of the Orient. Alas, however,
-the reopening of the medieval trade-routes served to
-create new arenas of imperial friction, to heighten existing
-international rivalries, and to widen the gulf of suspicion
-and hate already hindering cordial relationships between
-the peoples of Europe and the peoples of Asia. Economic
-rivalries, military alliances, national pride, strategic maneuvers,
-religious fanaticism, racial prejudices, secret diplomacy,
-predatory imperialism—these and other formidable
-obstacles blocked the road to peaceful progress and
-promoted wars and rumors of wars. The purchase of
-the Suez Canal by Disraeli was but the first step in the
-acquisition of Egypt, an imperial experiment which cost
-Great Britain thousands of lives, which more than once
-brought the empire to the verge of war with France, and
-which colored the whole character of British diplomacy
-in the Middle East for forty years. No sooner was the
-Trans-Siberian Railway completed than it involved Russia
-in a war with Japan. So it was destined to be with the
-Bagdad Railway. Itself a project of great promise for<span class="pagenum"><a name="Page_4" id="Page_4">4</a></span>
-the economic and political regeneration of the Near East,
-it became the source of bitter international rivalries which
-contributed to the outbreak of the Great War. It is one
-of the tragedies of the nineteenth and twentieth centuries
-that the Trans-Siberian Railway, the Suez Canal, and the
-Bagdad Railway—potent instruments of civilization for
-the promotion of peaceful progress and material prosperity—could
-not have been constructed without occasioning
-imperial friction, political intrigues, military alliances,
-and armed conflict.</p>
-
-<p>The geographical position of the Ottoman Empire,
-the enormous potential wealth of its dominions, and the
-political instability of the Sultan’s Government contributed
-to make the Bagdad Railway one of the foremost imperial
-problems of the twentieth century. At the time of the
-Bagdad Railway concession of 1903 Turkey held dominion
-over the Asiatic threshold of Europe, Anatolia, and the
-European threshold of Asia, the Balkan Peninsula. Constantinople,
-the capital of the empire, was the economic
-and strategic center of gravity for the Black Sea and eastern
-Mediterranean basins. By possession of northern
-Syria and Mesopotamia, the Sultan controlled the “central
-route” of Eastern trade throughout its entire length
-from the borders of Austria-Hungary to the shores of
-the Persian Gulf. The contiguity of Ottoman territory
-to the Sinai Peninsula and to Persia held out the possibility
-of a Turkish attack on the Suez and trans-Persian
-routes to India and the Far East. In fact, the Sultan’s
-dominions from Macedonia to southern Mesopotamia
-constituted a broad avenue of communication, an historic
-world highway, between the Occident and the Orient.
-To a strong nation, this position would have been a source
-of strength. To a weak nation it was a source of weakness.
-As Gibraltar and Suez and Panama were staked
-out by the empire-builders, so were Constantinople and<span class="pagenum"><a name="Page_5" id="Page_5">5</a></span>
-Smyrna and Koweit. Strategically, the region traversed
-by the Bagdad Railway is one of the most important in
-the world.</p>
-
-<p>Turkey-in-Asia, furthermore, was wealthy. It possessed
-vast resources of some of the most essential materials
-of modern industry: minerals, fuel, lubricants, abrasives.
-Its deposits of oil alone were enough to arouse the
-cupidity of the Great Powers. Irrigation, it was believed,
-would accomplish wonders in the revival of the ancient
-fertility of Mesopotamia. By the development of the
-country’s latent agricultural wealth and the utilization of
-its industrial potentialities, it was anticipated that the Ottoman
-Empire would prove a valuable source of essential
-raw materials, a satisfactory market for finished products,
-and a rich field for the investment of capital. Economically,
-the territory served by the Bagdad Railway was one of the
-most important undeveloped regions of the world.</p>
-
-<p>Neither the geographical position nor the economic
-wealth of the Ottoman Empire, however, need have been
-a cause for its exploitation by foreigners. Had the Sultan’s
-Government been strong—powerful enough to present
-determined resistance to domestic rebellion and foreign
-intrigue—Turkey would not have been an imperial
-problem. But Abdul Hamid and his successors, the Young
-Turks, showed themselves incapable of governing a vast
-empire and a heterogeneous population. They were unable
-to resist the encroachments of foreigners on the
-administrative independence of their country or to defend
-its borders against foreign invasion. That the Ottoman
-Empire, under these circumstances, should fall a prey
-to the imperialism of the Western nations was to be
-expected. Its strategic importance was a “problem” of
-military and naval experts. Its wealth was an irresistible
-lure to investors. Its political instability was the excuse
-offered by European nations for intervening in the affair<span class="pagenum"><a name="Page_6" id="Page_6">6</a></span>s
-of the empire on behalf of the financial interests of the
-business men or the strategic interests of the empire-builders.
-Diplomatically, then, the region traversed by
-the Bagdad Railway was an international “danger zone.”</p>
-
-<p>The problem of maintaining stable government in Turkey
-was complicated by the religious heritage of the Ottoman
-Empire. It was the homeland of the Jews, the birthplace
-of Christianity, the cradle of Mohammedanism.
-European crusaders had waged war to free the Holy Land
-from Moslem desecrators; the followers of the Prophet
-had shed their blood in defence of this sacred soil against
-infidel invaders; the sons of Israel looked forward to a
-revival of Jewish national life in this, their Zion. It is
-small wonder that Turkey-in-Asia was a great field for
-missions—Protestant missions to convert the Mohammedan
-to the teachings of Christ; Catholic missions to win
-over, as well, the schismatics; Orthodox missions to retain
-the loyalty of adherents to the Greek Church. Despite
-their cultural importance in the development of modern
-Turkey, the missions presented serious political problems
-to the Sultan. They hindered the development of Turkish
-nationalism by teaching foreign languages, by strengthening
-the separatist spirit of the religious minorities, and by
-introducing Occidental ideas and customs. They weakened
-the autocracy by idealizing the democratic institutions
-of the Western nations. They occasioned international
-complications, arising out of diplomatic protection
-of the missionaries themselves and the racial and religious
-minorities in whose interest the missions were maintained.
-In no country more than in Turkey have the emissaries
-of religion proved to be so valuable—however unwittingly—as
-advance pickets of imperialism.</p>
-
-<p>Complicating and bewildering as the Near Eastern
-question always has been, the construction of the Anatolian
-and Bagdad Railways made it the more complicating<span class="pagenum"><a name="Page_7" id="Page_7">7</a></span>
-and bewildering. The development of rail transportation
-in the Ottoman Empire was certain to raise a new
-crop of problems: the strategic problem of adjusting military
-preparations to meet new conditions; the economic
-problem of exploiting the great natural wealth of Turkey-in-Asia;
-the political problem of prescribing for a “Sick
-Man” who was determined to take iron as a tonic. These
-problems, of course, were international as well as Ottoman
-in their aspects. The economic and diplomatic advance of
-Germany in the Near East, the resurgent power of Turkey,
-the military coöperation between the Governments of the
-Kaiser and the Sultan were not matters which the other
-European powers were disposed to overlook. Russia,
-pursuing her time-honored policy, objected to any bolstering
-up of the Ottoman Empire. France looked with alarm
-upon the advent of another power in Turkish financial
-affairs and, in addition, was desirous of promoting the
-political ambitions of her ally, Russia. Great Britain became
-fearful of the safety of her communications with
-India and Egypt. Thus the Bagdad Railway overstepped
-the bounds of Turco-German relationships and became
-an international diplomatic problem. It was a concern of
-foreign offices as well as counting houses, of statesmen
-and soldiers as well as engineers and bankers.</p>
-
-<p>The year 1888 ushered in an epoch of three decades during
-which two cross-currents were at work in Turkey.
-On the one hand, earnest efforts were made by Turks,
-old and young, to bring about the political and economic
-regeneration of their country. On the other, the steady
-growth of Balkan nationalism, the relentless pressure of
-European imperialism, and the devastation of the Great
-War gradually reduced to ruins the once great empire of
-Suleiman the Magnificent. The history of those three
-decades is concerned largely with the struggles of European
-capitalists to acquire profitable concessions in A<span class="pagenum"><a name="Page_8" id="Page_8">8</a></span>siatic
-Turkey and of European diplomatists to control the
-finances, the vital routes of communication, and even the
-administrative powers of the Ottoman Government. The
-coincidence between the economic motives of the investors
-and the political and strategical motives of the statesmen,
-made Turkey one of the world’s foremost areas of imperial
-friction. Its territories and its natural wealth were “stakes
-of diplomacy” for which cabinets maneuvered on the diplomatic
-checkerboard and for which the flower of the world’s
-manhood fought on the sands of Mesopotamia, the cliffs
-of Gallipoli, and the plains of Flanders. To tell the story
-of the Bagdad Railway is to emphasize perhaps the most
-important single factor in the history of Turkey during
-the last thirty eventful years.</p>
-
-<hr />
-
-<p><span class="pagenum"><a name="Page_9" id="Page_9">9</a></span></p>
-<h2>CHAPTER II<br />
-
-BACKWARD TURKEY INVITES ECONOMIC
-EXPLOITATION</h2>
-
-<h3><span class="smcap">Turkish Sovereignty is a Polite Formality</span></h3>
-
-<p>The reign of Sultan Abdul Hamid II (1876–1909) began
-with a disastrous foreign war; it terminated in the
-turmoil of revolution. And during the intervening
-three decades of his régime the Ottoman Empire was
-forced to wage a fight for its very existence—a fight
-against disintegration from within and against dismemberment
-from without.</p>
-
-<p>One of the principal problems of Abdul Hamid was
-the government of his vast empire in spite of domestic
-dissension and foreign interference. His subjects were
-a polyglot collection of peoples, bound together by few,
-if any, common ties, obedient to the Sultan’s will only
-when overawed by military force. In Turkey-in-Asia
-alone, Turks, Arabs, Armenians, Kurds, Jews, Greeks
-combined to form a conglomerate population, professing
-a variety of religious faiths, speaking a diversity of languages
-and dialects, and adhering to their own peculiar
-social customs. Of these, the Armenians were receiving
-the sympathy, support, and encouragement of Russia; the
-Kurds were living by banditry, terrorizing peasants and
-traders alike; the Arabs were in open revolt.<a name="FNanchor_1_1" id="FNanchor_1_1"></a><a href="#Footnote_1_1" class="fnanchor">1</a></p>
-
-<p><span class="pagenum"><a name="Page_10" id="Page_10">10</a></span></p>
-
-<p>Nature seemed to make more difficult the task of bringing
-these dissentient peoples under subjection. The
-mountainous relief of the Anatolian plateau lent itself to
-the success of guerrilla bands against the gendarmerie;
-a high mountain barrier separated Anatolia, the homeland
-of the Turks, from the hills and deserts of Syria
-and Mesopotamia, the strongholds of the Arabs. The
-vast extent of the empire—it is as far from Constantinople
-to Mocha as it is from New York to San Francisco—still
-further complicated an already tangled problem,
-for there were not even the poorest means of communication.
-Under these circumstances the authority of the
-Sultan was as often disregarded as obeyed. To police
-the country from the Adriatic to the Indian Ocean, from
-the borders of Persia to the eastern coast of the Mediterranean,
-was a physical impossibility. Universal military
-service was enforced only in the less rebellious provinces.
-It was almost out of the question to mobilize the military
-strength of the empire for defence against foreign invasion
-or for the suppression of domestic insurrection.
-Efforts to build up effective administration from Constantinople
-were paralyzed by incompetent, insubordinate,
-and corrupt officials.<a name="FNanchor_2_2" id="FNanchor_2_2"></a><a href="#Footnote_2_2" class="fnanchor">2</a></p>
-
-<p>To these problems of maintaining peace and order at
-home there was added the equally difficult problem of
-preventing the extension of foreign interference and
-control in Ottoman affairs. The integrity of Turkey
-already was seriously compromised by the hold which the
-Great Powers possessed on Turkish governmental functions.
-Under the Capitulations foreigners occupied a
-special and privileged position within the Ottoman Empire.
-Nationals of the European nations and the United
-States were practically exempt from taxation; they could
-be tried for civil and criminal offences only un<span class="pagenum"><a name="Page_11" id="Page_11">11</a></span>der the
-laws of their own country and in courts under the jurisdiction
-of their own diplomatic and consular officials; in
-fact, they enjoyed favors comparable to diplomatic immunity.
-By virtue of treaties with the Sultan the Powers
-exercised numerous extra-territorial rights in Turkey,
-such, for example, as the maintenance of their own postal
-systems.<a name="FNanchor_3_3" id="FNanchor_3_3"></a><a href="#Footnote_3_3" class="fnanchor">3</a></p>
-
-<p>The finances of Turkey, furthermore, were under the
-control of the Ottoman Public Debt Administration,
-composed almost entirely of representatives of foreign
-bondholders and responsible only to them. The Council
-of Administration of the Public Debt—composed of one
-representative each from the United Kingdom, France,
-Germany, Austria-Hungary, Italy, and Turkey—had
-complete control of assessment, collection, and expenditure
-of certain designated revenues. In fact, it controlled
-Ottoman financial policy and exercised its control
-in the interest of European bankers and investors.
-Customs duties of the Sultan’s dominions might be increased
-only with the consent of the Great Powers. Almost
-all administrative and financial questions in Turkey
-were directly or indirectly subject to the sanction of foreigners.<a name="FNanchor_4_4" id="FNanchor_4_4"></a><a href="#Footnote_4_4" class="fnanchor">4</a></p>
-
-<p>European governments were not content to interfere in
-the affairs of the Ottoman Empire. They sought to destroy
-it. Their zeal in this latter respect was limited
-only by their jealousies as to who should become the
-heir of the Sick Man. Russia encouraged the Balkan
-and Transcaucasian peoples to resist Turkish domination;
-France acquired control of Tunis and built up a
-sphere of interest in Syria; Great Britain occupied
-Egypt; Italy cast longing glances at Tripoli and finally
-seized it; Greece fomented insurrection in Crete. Germany
-and Austria-Hungary sought to bring all of Turkey
-into the economic and political orbit of Central<span class="pagenum"><a name="Page_12" id="Page_12">12</a></span>
-Europe. The Powers rendered lip-service to the sovereignty
-and the territorial integrity of the Ottoman Empire,
-but they never allowed their solemn professions to
-interfere with their imperial practices. At best Turkish
-sovereignty was a polite fiction—it was always a fiction,
-if not always polite.</p>
-
-<p>The economic backwardness of Turkey emphasized the
-existing political confusion and instability. From one
-end of the empire to the other, it seemed, obstacle was
-piled on obstacle to prevent the modernizing of the nation.
-Brigandage made trade hazardous; there were almost
-no roads; the rivers of Anatolia and Cilicia were
-not navigable; the mineral resources of the country had
-been neglected; internal and foreign customs duties were
-the last straws to break the camel’s back—business was
-taxed to death. Agriculture, the occupation of the great
-majority of the people, was in a state of stagnation. The
-absence of systems of drainage and irrigation made the
-countryside the victim of alternate floods and droughts.
-Methods of cultivation were archaic: the wooden plow,
-used by the Hittites centuries before, was among the
-most advanced types of agricultural implements in use in
-Anatolia and Syria; harvesting and threshing were performed
-in the most antiquated manner; fertilization and
-cultivation were practically unknown. Markets were inaccessible;
-the peasant could not dispose of a surplus if
-he had it; therefore, production was limited to the needs
-of the family, and the Turkish peasant acquired a widespread
-reputation for inherent laziness.</p>
-
-<p>Industrially, the Ottoman Empire had back of it a great
-past. The fine and dainty fabrics of Mosul; the famous
-mosque lamps, wonder-art of the glass-workers of Mesopotamia;
-the master workmanship of the coppersmiths of
-Diarbekr; the tiles of Erzerum; the steel work and the
-enamels of Damascus—all of these had been f<span class="pagenum"><a name="Page_13" id="Page_13">13</a></span>ar-famed
-articles of world commerce for centuries. But Turkey
-in the nineteenth and twentieth centuries was, industrially
-as well as politically, a “backward nation.” Her manufactures
-were conducted under the time-honored handicraft
-system, which long since had been discarded by her
-European neighbors. In other words, Turkey had not
-experienced the Industrial Revolution which was the modern
-foundation of Western society and civilization. But
-Turkey was victimized by the Industrial Revolution. Her
-manufactures—with the exception of some luxuries of
-incomparable craftsmanship—produced by outworn
-methods, found it increasingly difficult to compete even
-in the markets of the Ottoman Empire with the cheaper
-machine-made goods of Europe. The pitiless competition
-of the industrialized West eliminated the cottage spinner
-and weaver, the town tailor and cobbler. And yet for
-Turkey to adopt European methods—to introduce the machine,
-the factory, and the factory town—was for a time
-impracticable. There was no mobile fund of capital for
-the purpose, and even Young Turks were not in a position
-to furnish the necessary technical skill. As for foreign
-capital and foreign directing genius, they could be obtained
-only under promises and guarantees which might still
-further jeopardize the independence of the Ottoman
-Empire.<a name="FNanchor_5_5" id="FNanchor_5_5"></a><a href="#Footnote_5_5" class="fnanchor">5</a></p>
-
-<h3><span class="smcap">The Natural Wealth of Asiatic Turkey Offers
-Alluring Opportunities</span></h3>
-
-<p>It was not because of a lack of natural resources that
-Turkey was a “backward nation.” The Sultan’s Asiatic
-dominions were rich in raw materials, in fuel, and in agricultural
-possibilities. Anatolia, for example, is a great
-storehouse of important metals. A fine quality of chrome
-ore is to be found in the region directly south of th<span class="pagenum"><a name="Page_14" id="Page_14">14</a></span>e Sea
-of Marmora and in Cilicia, constituting sources of supply
-which were sufficient to assure Turkey first position among
-the chrome-producing nations until 1900, when exports
-from Russia and Rhodesia offered serious competition.
-There are valuable deposits of antimony in the vilayets
-of Brusa and Smyrna, as well as commercially profitable
-lead and zinc mines near Brusa, Ismid, and Konia. These
-metals, particularly chrome and antimony, are not only
-valuable for peace-time industry, but are almost indispensable
-in the manufacture of armor-plate, shells and shrapnel,
-guns, and armor-piercing projectiles.<a name="FNanchor_6_6" id="FNanchor_6_6"></a><a href="#Footnote_6_6" class="fnanchor">6</a></p>
-
-<p>In the vicinity of Diarbekr there are mines, which,
-although not entirely surveyed, promise to yield large supplies
-of copper. Southern Anatolia is the world’s greatest
-source of emery and other similar abrasives. The famous
-meerschaum mines near Eski Shehr enjoy practically a
-universal monopoly. Boracite, mercury, nickel, iron, manganese,
-sulphur, and other minerals are to be found in
-Anatolia, although there is some question of the commercial
-possibilities of the deposits.<a name="FNanchor_7_7" id="FNanchor_7_7"></a><a href="#Footnote_7_7" class="fnanchor">7</a></p>
-
-<p>Although Anatolia is not ranked among the principal
-fuel-producing countries of the world, its coal deposits
-are not inconsiderable. Operation of the chief of the coalfields,
-in the vicinity of Heraclea, was begun in 1896 by
-a French corporation, <i>La Société française d’Héraclée</i>,
-which invested in the enterprise during the succeeding
-seven years more than a million francs. The venture
-proved to be profitable, for by 1910 the mines were producing
-in excess of half a million tons of coal annually.
-In addition to coal, Anatolia possesses large deposits of
-lignite which, mixed with coal, is suitable fuel for ships,
-locomotives, gasworks, and factories.<a name="FNanchor_8_8" id="FNanchor_8_8"></a><a href="#Footnote_8_8" class="fnanchor">8</a></p>
-
-<p>Oil exists in large quantities in Mesopotamia and in
-smaller quantities in Syria. The deposits are said to be
-part of a vast petroliferous area stretching from the shores<span class="pagenum"><a name="Page_15" id="Page_15">15</a></span>
-of the Caspian Sea to the coast of Burma. As early as
-1871 a commission of experts visited the valleys of the
-Tigris and the Euphrates for the purpose of studying the
-possibility of immediate exploitation of the petroleum wells
-in that region. They reported that although there was a
-plentiful supply of petroleum of good quality, difficulties
-of transportation made it extremely doubtful if the
-Mesopotamian fields could compete with the Russian and
-American at that time. The oil supply was then being
-exploited on a small scale by the Arabs and proved to be
-of sufficient local importance, as well as of sufficient profit,
-to warrant its being taken over by the Ottoman Civil List,
-in 1888, as a government monopoly.<a name="FNanchor_9_9" id="FNanchor_9_9"></a><a href="#Footnote_9_9" class="fnanchor">9</a></p>
-
-<p>In 1901 a favorable report by a German technical commission
-on Mesopotamian petroleum resources stated that
-the region was a veritable “lake of petroleum” of almost
-inexhaustible supply. It would be advisable, it was pointed
-out, to develop these oilfields if for no other purpose than
-to break the grip of the “omnipotent Standard,” which,
-in combination with Russian interests, might speedily
-monopolize the world’s supply.<a name="FNanchor_10_10" id="FNanchor_10_10"></a><a href="#Footnote_10_10" class="fnanchor">10</a> Shortly afterward, Dr.
-Paul Rohrbach, a celebrated German publicist, visited the
-Mesopotamian valley and wrote that the district seemed
-to be “virtually soaked with bitumen, naphtha, and gaseous
-hydrocarbons.” He was of the opinion that the oil resources
-of the region offered far greater opportunity for
-profitable development than had the Russian Transcaucasian
-fields.<a name="FNanchor_11_11" id="FNanchor_11_11"></a><a href="#Footnote_11_11" class="fnanchor">11</a> In 1904 the <i>Deutsche Bank</i>, of Berlin,
-promoters of the Bagdad Railway, obtained the privilege
-of making a thorough survey of the oilfields of the Tigris
-and Euphrates valleys, with the option within one year of
-entering into a contract with the Ottoman Government
-for their exploitation.<a name="FNanchor_12_12" id="FNanchor_12_12"></a><a href="#Footnote_12_12" class="fnanchor">12</a> Shortly thereafter Rear Admiral
-Colby M. Chester, of the United States Navy, became interested
-in the development of the oil industry in Asiatic
-Turkey.<a name="FNanchor_13_13" id="FNanchor_13_13"></a><a href="#Footnote_13_13" class="fnanchor">13</a></p>
-
-<p><span class="pagenum"><a name="Page_16" id="Page_16">16</a></span></p>
-
-<p>The Near East possesses not only mineral wealth but
-potential agricultural wealth as well. Mesopotamia, for
-example, gives promise of becoming one of the world’s
-chief cotton-growing regions. In antiquity the Land of
-the Two Rivers was an important center of cotton production,
-and recent experiments have held out great inducements
-for a revival of cotton culture there. The climate
-of Mesopotamia is ideal for such a purpose. The length
-of the summer season is from six to seven months, with
-a constantly rising temperature, as contrasted with a
-shorter season and variable temperatures in America and
-Egypt. Frost is almost unknown. Rainfall is plentiful
-during the early part of the year and scarce, as it should be,
-during the growing period. The soil contains a good percentage
-of the essential phosphorus, potash, and nitrogen.
-It is believed that Mesopotamia can grow cotton as good
-as the best Egyptian and better than the best American
-product and at a considerably higher yield per acre.<a name="FNanchor_14_14" id="FNanchor_14_14"></a><a href="#Footnote_14_14" class="fnanchor">14</a></p>
-
-<p>Extravagant prophecies have been made regarding the
-rôle of irrigation in bringing about an agricultural renaissance
-in Turkey-in-Asia. A writer in the Vienna <i>Zeit</i> of
-August 31, 1901, predicted that as soon as the economic
-effects of irrigation and of the Bagdad Railway should be
-fully realized, “Anatolia, northern Syria, Mesopotamia,
-and Irak together will export at least as much grain as
-all of Russia exports to-day.” Dr. Rohrbach claimed that
-this probably would prove to be an exaggeration, but that
-certainly Mesopotamia would become one of the great
-granaries of the world.<a name="FNanchor_15_15" id="FNanchor_15_15"></a><a href="#Footnote_15_15" class="fnanchor">15</a> Sir William Willcocks, the distinguished
-English engineer who had planned and supervised
-the construction of the famous irrigation works of
-the Nile, was no less enthusiastic about the prospects of
-Mesopotamia. “With the Euphrates and Tigris floods
-really controlled,” he wrote, “the delta of the two<span class="pagenum"><a name="Page_17" id="Page_17">17</a></span> rivers
-would attain a fertility of which history has no record;
-and we should see men coming from the West, as well as
-from the East, making the Plain of Shinar a rival of the
-land of Egypt. The flaming swords of inundation and
-drought would have been taken out of the hands of the
-offended Seraphim, and the Garden of Eden would have
-again been planted.... Speaking in less poetical language
-we might say that the value of every acre in the joint
-delta of the two rivers would be immediately trebled before
-the irrigation works were carried out, and again increased
-many fold more the day the works were completed. Every
-town and hamlet in the valley from Bagdad to Basra
-would find itself freed from the danger, expense, and intolerable
-nuisance of flooding, and the resurrection of
-this ancient land would have been an accomplished fact.”<a name="FNanchor_16_16" id="FNanchor_16_16"></a><a href="#Footnote_16_16" class="fnanchor">16</a></p>
-
-<p>Here in the Near East, then, was a great empire awaiting
-exploitation by Western capital and Western technical
-skill. No man could adequately predict its ultimate contributions
-in raw materials to Western industry, or accurately
-foretell its ultimate capacity in consumption of the
-products of Western factories, or confidently prophesy
-its final rôle in the promotion of Western commerce. But
-a trained and intelligent observer, surveying the situation
-at the opening of the twentieth century, could have said
-with a certain amount of assurance that there were two
-essential conditions to even a partial realization of the
-economic possibilities of the Ottoman Empire: the provision
-of adequate railway communications and the establishment
-of political security. The former of these
-conditions was met, in part, during the régime of Abdul
-Hamid and his successors, the Young Turks. The second,
-in spite of earnest efforts by loyal Ottomans, has not yet
-been satisfied.</p>
-
-<p><span class="pagenum"><a name="Page_18" id="Page_18">18</a></span></p>
-
-<h3><span class="smcap">Forces Are at Work for Regeneration</span></h3>
-
-<p>Probably there was no group of men more fully aware
-of the needs of Turkey than the members of the Ottoman
-Public Debt Administration. They were concerned, it is
-true, solely with obtaining prompt payment of interest
-and principal of Ottoman bonds and with improving Ottoman
-credit in European financial markets. But the accomplishment
-of this purpose, they realized, was altogether
-out of the question in the continued presence of
-political instability and economic stagnation. One must
-feed the goose which lays the golden eggs. They sought
-some means, therefore, of establishing domestic order in
-the Ottoman Empire, of lessening the constant danger
-of foreign invasion, and of providing a tonic for the
-economic life of the nation. All of these purposes, it was
-believed, would be served by the encouragement of railway
-construction in Turkey.</p>
-
-<p>The interest and imagination of the Ottoman Public
-Debt Administration were stimulated by the plans of the
-eminent German railway engineer Wilhelm von Pressel,
-one of the Sultan’s technical advisers. Von Pressel had
-established an international reputation because of his services
-in the construction of important railways in Switzerland
-and the Tyrol. In 1872 he was retained by the Ottoman
-Government to develop plans for railways in Turkey,
-and a few years later he assumed a prominent part in
-the construction of the trans-Balkan lines of the Oriental
-Railways Company. No one knew more than von Pressel
-of the railway problems of Turkey; few were more enthusiastic
-about the rôle which rail communications might
-play in a renaissance of the Near East.</p>
-
-<p>Von Pressel foresaw the possibility of establishing a
-great system of Ottoman railways extending from the
-borders of Austria-Hungary to the shores of the Persian
-Gulf. In this manner the far-flung territories of the<span class="pagenum"><a name="Page_19" id="Page_19">19</a></span>
-empire would be brought into communication with one
-another and with the capital, and an era would be begun
-of unprecedented development in agriculture, mining,
-and commerce. A market would be provided for the crops
-of the peasantry; the hinterland of the ports of Constantinople,
-Smyrna, Mersina, Alexandretta, and Basra
-would be opened up; heretofore inaccessible mineral resources
-would be exploited. Foreign commerce might be
-restored to the prosperity it had once enjoyed before the
-Commercial Revolution of the sixteenth century replaced
-the caravan routes of the Near East by the new sea routes
-to the Indies. Mesopotamia might be transformed into
-a veritable economic paradise. The railways also would
-insure political stability, for rapid mobilization and transportation
-of the gendarmerie to danger points would enable
-the Sultan’s Government to suppress rebellions of the
-turbulent tribesmen of Kurdistan, Mesopotamia, and
-Arabia. Peace and prosperity were goals within easy
-reach, thought von Pressel, if Turkey could be provided
-with a comprehensive system of railways.<a name="FNanchor_17_17" id="FNanchor_17_17"></a><a href="#Footnote_17_17" class="fnanchor">17</a></p>
-
-<p>To the Ottoman Public Debt Administration peace and
-prosperity were means to reaching another goal—a full
-treasury. Greater income for the Turkish farmer, miner,
-artisan, and trader would mean greater opportunities for
-the extension of tax levies. And the greater the tax receipts
-the greater would be the payments to the European
-bondholders and the greater the value of the bonds themselves.
-Obviously, railway construction would improve
-Turkish credit in the financial centers of the world. But,
-for the time, the Ottoman Government had at its disposal
-neither the capital nor the technical skill to carry into
-execution the plans for an ambitious program of railway
-building, and private enterprise showed no disposition to
-interest itself without substantial guarantees. It was under
-these circumstances, therefore, that the Ottoman Public
-Debt Administration recommended to the Sultan that c<span class="pagenum"><a name="Page_20" id="Page_20">20</a></span>ertain
-revenues of his empire should be set aside for the
-payment of subsidies to railway companies.<a name="FNanchor_18_18" id="FNanchor_18_18"></a><a href="#Footnote_18_18" class="fnanchor">18</a></p>
-
-<p>The Public Debt Administration were not unaware that
-the payment of railway subsidies would materially increase
-the amount of the imperial debt and mortgage certain
-of the imperial revenues. But they were confident
-that railways would be a powerful stimulant to economic
-prosperity in Turkey and would ultimately increase the
-revenues of the Government by an amount in excess of
-the amount of the subsidies. They believed that generous
-initial expenditures in a worth-while enterprise might
-yield generous final returns. As an instance of this they
-could point to the development of sericulture in Turkey.
-Under the auspices of the Ottoman Public Debt Administration
-tens of thousands of dollars were expended in the
-reclamation of more than 130,000 acres of land and the
-planting thereon of over sixty million mulberry trees. As
-a result, the silk crop increased more than tenfold during
-the years 1890–1910, with a result that there was a corresponding
-increase in the 10% levy (or tithe) on agricultural
-products in the regions affected. If the Public Debt
-Administration were actuated by self-interest, at least it
-was intelligent and far-sighted self-interest.<a name="FNanchor_19_19" id="FNanchor_19_19"></a><a href="#Footnote_19_19" class="fnanchor">19</a></p>
-
-<p>But Sultan Abdul Hamid was no less interested than
-foreign bondholders in the extension of railway construction
-in his empire. Railways could be utilized, he believed,
-to serve his dynastic and imperial ambitions. Effective
-transportation was essential to the solution of at least
-three vexatious political problems: first, the problem of
-exercising real, as well as nominal, authority over rebellious
-and indifferent subjects in Syria, Mesopotamia,
-Kurdistan, Arabia, and other outlying provinces; second,
-the problem of compelling these provinces, by military
-force if necessary, to contribute their share of blood <span class="pagenum"><a name="Page_21" id="Page_21">21</a></span>and
-treasure to the defence of the empire;<a name="FNanchor_20_20" id="FNanchor_20_20"></a><a href="#Footnote_20_20" class="fnanchor">20</a> third, the problem
-of perfecting a plan of mobilization for war, on whatever
-front it might be necessary to conduct hostilities. The
-maintenance of order, the enforcement of universal military
-service, the collection of taxes in all provinces of the
-empire, and defence against foreign invasion—all of these
-policies would be seriously handicapped, if not paralyzed,
-by the absence of adequate railway communications.</p>
-
-<p>For strategic reasons, if for no other, Abdul Hamid
-would have especially favored the Bagdad Railway. For
-strategic reasons, also, he supplemented the Bagdad system
-with the famous Hedjaz Railway—from Damascus
-to the holy cities of Medina and Mecca—one of the achievements
-of which the wily old Sultan was most proud.<a name="FNanchor_21_21" id="FNanchor_21_21"></a><a href="#Footnote_21_21" class="fnanchor">21</a>
-The completion of these two railways would have extended
-Turkish military power from the Black Sea to the Persian
-Gulf, from the Bosporus to the Persian Gulf. General
-von der Goltz epitomized their military importance in the
-following terms: “The great distance dividing the southern
-provinces from the rest of the empire was not the
-only difficulty in holding them in control; it made Turkey
-unable to concentrate her strength in case of great danger
-in the north. It must not be forgotten that the Osmanlie
-Empire in all former wars on the Danube and in the
-Balkans has only been able to utilize half her forces. Not
-only did the far-off provinces not contribute men, but, on
-the contrary, they necessitated strong reënforcements to
-prevent the danger of their being tempted into rebellion.
-This will be quite changed when the railroads to the
-Persian Gulf and the Red Sea are completed. The empire
-will then be rejuvenated and have renewed strength.”<a name="FNanchor_22_22" id="FNanchor_22_22"></a><a href="#Footnote_22_22" class="fnanchor">22</a>
-The General might have added that the new railways might
-conceivably be utilized for the transportation to the Sinai
-Peninsula of an army intended to threaten the Suez
-Canal and Egypt.<a name="FNanchor_23_23" id="FNanchor_23_23"></a><a href="#Footnote_23_23" class="fnanchor">23</a></p>
-
-<p><span class="pagenum"><a name="Page_22" id="Page_22">22</a></span></p>
-<p>The Ottoman Government made it plain from the very
-start that the Bagdad Railway, in particular, was intended
-to serve military, as well as purely economic, purposes.
-The concession of 1903 contained a number of explicit
-provisions regarding official commandeering of the lines
-for the objects of suppressing rebellion, conducting military
-maneuvers, or mobilizing in the event of war. Furthermore,
-the Ottoman military authorities insisted that
-strategic considerations be taken into account when the
-railway was constructed. For example, the sections of
-the Bagdad line from Adana to Aleppo were carried
-through the Amanus Mountains, in spite of formidable
-engineering difficulties and enormous expense, although
-the railway could have been carried along the Mediterranean
-coast with greater ease and economy. The latter
-course, however, would have exposed to the guns of a
-hostile fleet the jugular vein of Turkish rail communications.
-From an economic point of view the Amanus tunnels
-were the most expensive and most unremunerative
-part of the Bagdad Railway; strategically, they were indispensable.
-This point was emphasized in 1908, when the
-Ottoman General Staff refused to consider a proposal
-to divert the line from the mountain passes to the shore.<a name="FNanchor_24_24" id="FNanchor_24_24"></a><a href="#Footnote_24_24" class="fnanchor">24</a></p>
-
-<p>One of the most frequent criticisms of Turkish railway
-enterprises in general, and of the Bagdad Railway in particular,
-is that they were military as well as economic in
-character. Such criticisms, however, must be discounted,
-for potentially every railway is of military value. And in
-the European countries few railways were constructed
-without frank consideration of their adaptability to military
-purposes in time of war. Railways, in fact, were one
-of the most important branches of Europe’s “preparedness”
-for war. Which European nation, therefore, was in
-a position to cast a stone at Turkey for adopting this lesson
-from the civilized Occident? If the Ottoman Empi<span class="pagenum"><a name="Page_23" id="Page_23">23</a></span>re had
-a right to prepare for defence against invasion, it had the
-right to make that defence effective—at least until such
-time as its neighbors, Russia and Austria, should abandon
-military measures of potential menace to Turkey.</p>
-
-<p>Germans and Turkish Nationalists contended that there
-was a certain amount of cant in the righteous indignation
-of the Powers that Turkey should become militaristic.
-Was Russia, they said, as much interested in the welfare
-of Turkey as she was angered at the active measures of
-the Sultan to prevent a Russian drive at Constantinople
-via the southern shore of the Black Sea? Was France as
-much concerned with the safety of Turkey as she was
-solicitous of the imperial interests of her ally? Was Great
-Britain engaged in preserving the peace of the Near East,
-or was she fearful of a stiffened Turkish defence of
-Mesopotamia or of a Turkish thrust at Egypt?<a name="FNanchor_25_25" id="FNanchor_25_25"></a><a href="#Footnote_25_25" class="fnanchor">25</a> For
-the Sultan to have admitted that foreign powers had the
-right to dictate what measures he might or might not
-take for the defence of his territories would have been
-equivalent to a surrender of the last vestige of his
-sovereignty. Obviously this was an admission he could
-not afford to make.</p>
-
-<p>Whatever else Abdul Hamid may have been, he was no
-fool. To assume that this shrewd and unscrupulous autocrat
-walked into a German trap when he granted the Bagdad
-Railway concession is naïve and absurd. Abdul
-Hamid was not in the habit of giving things away, if he
-could avoid it, without adequate compensation for himself
-and his empire. As Lord Curzon said, there was no
-axiom dearer to the Sultan’s heart than that charity not
-only begins, but stays, at home.<a name="FNanchor_26_26" id="FNanchor_26_26"></a><a href="#Footnote_26_26" class="fnanchor">26</a> Abdul Hamid knew
-that the granting of railway subsidies would mortgage
-his empire. He knew that mortgages have their disadvantages,
-not the least of which is foreclosure. But
-mortgages also have their advantages. Abdul Hamid<span class="pagenum"><a name="Page_24" id="Page_24">24</a></span>
-granted extensive railway concessions, carrying with them
-heavy subsidies, because he hoped the new railways would
-strengthen his authority within the Ottoman Empire and
-improve the political position of Turkey in the Near East.</p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_1" id="Footnote_1_1"></a><a href="#FNanchor_1_1"><span class="label">1</span></a> Count L. Ostrorog, <i>The Turkish Problem</i> (Paris, 1915, English
-translation, London, 1919), Chapter II; Leon Dominian,
-<i>The Frontiers of Language and Nationality in Europe</i> (London,
-1917); V. Bérard, <i>Le Sultan, l’Islam, et les puissances</i> (Paris,
-1907), pp. 15 <i>et seq.</i>; E. Fazy, <i>Les Turcs d’aujourd’hui</i> (Paris,
-1898); A. Vamberry, <i>Das Türkenvolk</i> (Leipzig, 1885); A. Geiger,
-<i>Judaism and Islam</i> (London, 1899). Regarding Arab nationalism,
-in particular, <i>cf.</i> N. Azoury, <i>Le réveil de la nation arabe</i>
-(Paris, 1905); E. Jung, <i>Les puissances devant la révolte arabe</i>
-(Paris, 1906). A fascinating tale of the Arab separatist movement
-during the Great War is that of L. Thomas, “Lawrence:
-the Soul of the Arabian Revolution,” in <i>Asia</i> (New York),
-April, May, June, 1920. <i>Cf.</i>, also, H. S. Philby, <i>The Heart of
-Arabia</i> (2 volumes, New York, 1923).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_2" id="Footnote_2_2"></a><a href="#FNanchor_2_2"><span class="label">2</span></a> There is a wealth of material upon the problems of the Ottoman
-Empire during the reign of Abdul Hamid. In particular,
-consult the following: A. Vamberry, <i>La Turquie d’aujourd’hui
-et d’avant quarante ans</i> (Paris, 1898); C. Hecquard, <i>La Turquie
-sous Abdul Hamid</i> (Paris, 1901); G. Dory, <i>Abdul Hamid Intime</i>
-(Paris, 1901); Sir Edwin Pears, <i>The Life of Abdul Hamid</i>
-(London, 1917); W. Miller, <i>The Ottoman Empire, 1801–1913</i>
-(Cambridge, 1913), Chapters XVI-XVIII; N. Verney and G.
-Dambmann, <i>Les puissances étrangères dans le Levant, en Syrie,
-et en Palestine</i> (Paris, 1900); Baron von Oppenheim, <i>Von Mittelmeer
-zum persischen Golfe</i> (2 volumes, Berlin, 1899–1900);
-Lavisse and Rambaud, <i>Histoire Générale</i> (12 volumes, 1894–1901),
-Volume XI, Chapter XV; Volume XII, Chapter XIV;
-R. Davey, <i>The Sultan and His Subjects</i> (London, 1897); V. Cardashian,
-<i>The Ottoman Empire of the Twentieth Century</i> (Albany,
-N. Y., 1908).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_3" id="Footnote_3_3"></a><a href="#FNanchor_3_3"><span class="label">3</span></a> The texts of the various treaties of capitulation may be found
-in G. E. Noradounghian (ed.), <i>Recueil d’actes internationaux de
-l’Empire ottoman, 1300–1902</i> (4 volumes, Paris, 1897–1903), Volume
-I, documents numbers 153, 170, 196, 201, etc., <i>ad lib.</i>, Volume
-II, numbers 499, 593, etc., <i>ad lib.</i>; also <i>Recueil des traités de la
-Porte ottomane avec les puissances étrangères, 1536–1901</i> (10
-volumes, Paris, 1864–1901), <i>passim</i>; E. A. Van Dyck, <i>Report on
-the Capitulations of the Ottoman Empire</i>, Forty-seventh Congress,
-Special Session, Senate Executive Document No. 3, First<span class="pagenum"><a name="Page_25" id="Page_25">25</a></span>
-Session, Senate Executive Document No. 87 (Washington, 1881–1882);
-G. Pelissie du Rausas, <i>Le régime des capitulations dans
-l’Empire ottoman</i> (2 volumes, Paris, 1902–1905); A. R. von
-Overbeck, <i>Die Kapitulationen des osmanischen Reiches</i> (Breslau,
-1917); W. Lehman, <i>Die Kapitulationen</i> (Weimar, 1917); P. M.
-Brown, <i>Foreigners in Turkey, Their Juridical Status</i> (Princeton,
-1914).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_4" id="Footnote_4_4"></a><a href="#FNanchor_4_4"><span class="label">4</span></a> For an account of the establishment, functions, and operation
-of the Ottoman Public Debt Administration, <i>cf.</i> George Young
-(ed.), <i>Corps de droit ottoman—Recueil des codes, lois, réglements,
-ordonnances, et actes les plus importants du droit intérieur,
-et d’études sur le droit coutumier de l’Empire ottoman</i>
-(7 volumes, Oxford, 1905–1906), Volume V, Chapter LXXXV;
-A. Heidborn, <i>Manuel de droit public et administratif de l’Empire
-ottoman</i> (2 volumes, Vienna, 1912), Volume II; C. Morawitz,
-<i>Les finances de Turquie</i> (Paris, 1902); A. du Velay, <i>Essai sur
-l’histoire financière de la Turquie</i> (Paris, 1903), Parts V and
-VI; L. Delaygue, <i>Essai sur les finances ottomanes</i> (Paris, 1911).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_5" id="Footnote_5_5"></a><a href="#FNanchor_5_5"><span class="label">5</span></a> There were a few factories erected in Turkey by foreign capitalists,
-notably those of the Oriental Carpet Manufacturers, Ltd.,
-the American Tobacco Company, and the <i>Deutsche-Levantischen
-Baumwollgesellschaft</i>. In general, however, the factory and the
-factory town were not common phenomena in Asiatic Turkey.
-An interesting account of the effects of the Industrial Revolution
-upon economic conditions in Turkey is that of Talcott
-Williams, <i>Turkey a World Problem of Today</i> (Garden City,
-1921), pp. 268 <i>et seq.</i>; W. S. Monroe, <i>Turkey and the Turks: an
-Account of the Lands, Peoples and Institutions of the Ottoman
-Empire</i> (London, 1909), Chapter X; M. J. Garnett, <i>Turkish Life
-in Town and Country</i> (London, 1904).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_6" id="Footnote_6_6"></a><a href="#FNanchor_6_6"><span class="label">6</span></a> J. E. Spurr (ed.), <i>Political and Commercial Geology</i> (New
-York, 1921), pp. 109, 115–116, 172–173, 184–185; <i>Anatolia</i>, No. 17
-in a series of handbooks published by the Historical Section of
-the Foreign Office (London, 1920), pp. 88–90.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_7" id="Footnote_7_7"></a><a href="#FNanchor_7_7"><span class="label">7</span></a> Spurr, <i>op. cit.</i>, pp. 358–359; <i>Armenia and Kurdistan</i>, No. 62
-of the Foreign Office Handbooks, p. 60; L. Dominian, “The
-Mineral Wealth of Asia Minor,” in <i>The Near East</i>, May 26,
-1916, p. 91; E. Banse, <i>Auf den Spuren der Bagdadbahn</i> (Weimar,
-1913), pp. 140–145; L. de Launay, <i>La Géologie et les richesses
-minerales de l’Asie</i> (Paris, 1911); R. Fitzner, <i>Anatolien, Wirtschaftsgeographie</i>
-(Berlin, 1902); P. Rohrbach, <i>Die wirtschaftliche
-Bedeutung Westasiens</i> (Halle, 1902); G. Carles, <i>La Turquie
-économique</i> (Paris, 1906); E. Mygind, “Anatolien und seine
-wirtschaftliche Bedeutung,” in <i>Die Balkan Revue</i>, Volume 4
-(1917), pp. 1–6.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_8" id="Footnote_8_8"></a><a href="#FNanchor_8_8"><span class="label">8</span></a> L. Dominian, “Fuel in Turkey: an Analysis of Coal Deposits,”
-in <i>The Near East</i>, June 23, 1916, pp. 186–187; J. Kirsopp, “The<span class="pagenum"><a name="Page_26" id="Page_26">26</a></span>
-Coal Resources of the Near East,” <i>ibid.</i>, October 10, 1919, pp.
-393–394.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_9" id="Footnote_9_9"></a><a href="#FNanchor_9_9"><span class="label">9</span></a> F. Maunsell, “The Mesopotamian Petroleum Field,” in the
-<i>Geographical Journal</i>, Volume IX (1897), pp. 523–532; L. Dominian,
-“Fuel in Turkey: Petroleum,” in <i>The Near East</i>, July 14,
-1917; <i>Mesopotamia</i>, No. 63 of the Foreign Office Handbooks,
-pp. 34, 85–86; <i>Syria and Palestine</i>, No. 60 of the Foreign Office
-Handbooks, p. 111.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_10" id="Footnote_10_10"></a><a href="#FNanchor_10_10"><span class="label">10</span></a> <i>Parliamentary Papers</i>, 1921, Cmd. 675; <i>The Near East</i>, October
-26, 1917, p. 516.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_11" id="Footnote_11_11"></a><a href="#FNanchor_11_11"><span class="label">11</span></a> <i>Die Bagdadbahn</i> (1903), pp. 26–28.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_12" id="Footnote_12_12"></a><a href="#FNanchor_12_12"><span class="label">12</span></a> <i>Parliamentary Papers</i>, 1921, Cmd. 675. For some reason or
-other this option was allowed to lapse.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_13" id="Footnote_13_13"></a><a href="#FNanchor_13_13"><span class="label">13</span></a> H. Woodhouse, “American Oil Claims in Turkey,” in <i>Current
-History</i> (New York), Volume XV (1922), pp. 953–959.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_14" id="Footnote_14_14"></a><a href="#FNanchor_14_14"><span class="label">14</span></a> <i>Report of the Department of Agriculture in Mesopotamia,
-1920</i> (Bagdad, 1921); <i>The Cultivation of Cotton in Mesopotamia</i>
-(Bagdad, 1922); “Cotton Growing in Mesopotamia,” in the
-<i>Bulletin of the Imperial Institute</i>, Volume 18 (1920), pp. 73–82.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_15" id="Footnote_15_15"></a><a href="#FNanchor_15_15"><span class="label">15</span></a> Rohrbach, <i>op. cit.</i>, pp. 30–46.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_16" id="Footnote_16_16"></a><a href="#FNanchor_16_16"><span class="label">16</span></a> Quoted in <i>The Near East</i>, October 6, 1916, pp. 545–546. For
-an elaboration of the views of Sir William Willcocks see the
-following of his books and articles: <i>The Recreation of Chaldea</i>
-(Cairo, 1903); <i>The Irrigation of Mesopotamia</i> (London, 1905,
-and Constantinople, 1911); “Mesopotamia, Past, Present and
-Future,” in the <i>Geographical Journal</i>, January, 1910, pp. 1–18.
-For further works on the economic resources of Turkey-in-Asia
-consult, also, the following: K. H. Müller, <i>Die wirtschaftliche
-Bedeutung der Bagdadbahn</i> (Hamburg, 1917); L. Blanckenhorn,
-<i>Syrien und die deutsche Arbeit</i> (Weimar, 1916); L. Schulmann,
-<i>Zur türkischen Agrarfrage</i> (Weimar, 1916); A. Ruppin, <i>Syrien
-als Wirtschaftsgebiet</i> (Berlin, 1917).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_17" id="Footnote_17_17"></a><a href="#FNanchor_17_17"><span class="label">17</span></a> W. von Pressel, <i>Les chemins de fer en Turquie d’Asie</i>
-(Zurich, 1902), pp. 4–5, 52–59, etc. <i>ad lib.</i> For statements of the
-importance of von Pressel in the development of railways in
-Turkey <i>cf.</i> André Chéradame, <i>La question d’Orient: la Macédoine,
-le chemin de fer de Bagdad</i> (Paris, 1903), pp. 25 <i>et seq.</i>;
-C. A. Schaefer, <i>Die Entwicklung der Bagdadbahnpolitik</i>
-(Weimar, 1916), p. 13.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_18" id="Footnote_18_18"></a><a href="#FNanchor_18_18"><span class="label">18</span></a> <i>Corps de droit ottoman</i>, Volume IV, pp. 62–64.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_19" id="Footnote_19_19"></a><a href="#FNanchor_19_19"><span class="label">19</span></a> Sir H. P. Caillard, Article “Turkey” in the <i>Encyclopedia
-Britannica</i>, eleventh edition, Volume 27, p. 439; <i>Reports of the
-Ottoman Public Debt</i> (London, 1884 <i>et seq.</i>), <i>passim.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_20" id="Footnote_20_20"></a><a href="#FNanchor_20_20"><span class="label">20</span></a> In Turkey all Mussulmans over 20 years of age were liable
-to military service for a period of 20 years, 4 of which were
-with the colors in the regular army. Residents in the outlyin<span class="pagenum"><a name="Page_27" id="Page_27">27</a></span>g
-territories, notably the Arabs and the Kurds, constantly avoided
-military service and went unpunished because of the inability
-of the Government to send punitive expeditions into these
-regions. Railways would have produced satisfactory bases of
-operations for such expeditions and would have shortened their
-lines of communication. <i>The Statesman’s Year Book</i>, 1903, pp.
-1168–1170.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_21" id="Footnote_21_21"></a><a href="#FNanchor_21_21"><span class="label">21</span></a> The Hedjaz Railway was a great national enterprise which
-indicated the strength of Moslem feeling in Turkey and which
-proved the desire of the Ottoman Government to construct
-national railways as far as capital and technical skill could be
-obtained. So far as Abdul Hamid was concerned, the railway
-was an attempt to gain prestige for his claim to the Caliphate,
-as well as a move to strengthen his political position in Syria
-and the Hedjaz. In April, 1900, the Sultan announced to the
-Faithful his determination to construct a railway from Damascus
-to the holy cities of Medina and Mecca. An appeal was issued
-to Mohammedans the world over for funds to carry out the
-work. The Sultan headed the list with a subscription of about
-a quarter of a million dollars, and by 1904 over three and a half
-million dollars had been collected. The only compulsory contributions
-were the levies of 10% on the salary of every official
-in the civil and military service of the empire. It is estimated
-that the contributions eventually amounted to almost fifteen
-million dollars. The engineers in charge of the construction
-were Italians, although the great bulk of the work was done by
-the army and the peasantry. Nearly seven hundred thousand
-persons were employed on the construction work at one time or
-another, the non-Moslems being replaced as quickly as Mussulmans
-could be trained to take their places. On August 31, 1908,
-the thirty-second anniversary of the accession of Abdul Hamid,
-the railway was completed to Medina, where construction was
-halted temporarily because of the Young Turk Revolution and
-the international complications which followed it. <i>Corps de
-droit ottoman</i>, Volume IV, pp. 242–244; A. Hamilton, <i>Problems
-of the Middle East</i> (London, 1909), pp. 273–292; <i>Annual Register</i>,
-1908, pp. 328–329.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_22" id="Footnote_22_22"></a><a href="#FNanchor_22_22"><span class="label">22</span></a> Quoted by Hamilton, <i>op. cit.</i>, pp. 274–275.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_23" id="Footnote_23_23"></a><a href="#FNanchor_23_23"><span class="label">23</span></a> <i>Via</i> the Bagdad Railway and the Syrian system Turkish
-troops could have been transported to a point less than 200 miles
-from Suez. A successful attack on the Canal, of course, would
-have severed British communications with the East. In addition,
-it would have given the Sultan an opportunity to attack,
-and assert his suzerainty over, Egypt. Dr. Rohrbach made a
-great point of this alleged menace to the British position in
-Egypt. <i>Cf.</i> <i>Die Bagdadbahn</i>, pp. 18–19; <i>German World Policies</i>,
-pp. 165–167. This program, however, would have been an altogeth<span class="pagenum"><a name="Page_28" id="Page_28">28</a></span>er
-too ambitious one for the military strength of the Ottoman
-Empire, which had such far-flung frontiers to defend. In
-any event, British statesmen seemed to realize that the Sinai
-Peninsula was a formidable natural defence against an attack
-on the Suez Canal and that such an expedition would be merely
-a pin-prick in the imperial flesh. <i>Parliamentary Debates, House
-of Lords</i>, fifth series, Volume 7 (1911), pp. 601 <i>et seq.</i> The
-termination in a fiasco of the Turkish drive of 1914–1915 against
-the Canal confirmed this prophecy.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_24" id="Footnote_24_24"></a><a href="#FNanchor_24_24"><span class="label">24</span></a> <i>Infra</i>, p. 83; Kurt Wiedenfeld, <i>Die deutsch-türkische Wirtschaftsbeziehungen</i>
-(Leipzig, 1915), p. 23; <i>Report of the Bagdad
-Railway Company</i>, 1908, pp. 4–5.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_25" id="Footnote_25_25"></a><a href="#FNanchor_25_25"><span class="label">25</span></a> <i>Cf.</i>, <i>e.g.</i>, K. Helfferich, <i>Die deutsche Tü<span class="pagenum"><a name="Page_29" id="Page_29">29</a></span>rkenpolitik</i>, p. 22.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_26" id="Footnote_26_26"></a><a href="#FNanchor_26_26"><span class="label">26</span></a> <i>Persia and the Persian Question</i>, Volume I, p. 634.</p></div>
-
-<hr />
-
-<h2>CHAPTER III<br />
-
-GERMANS BECOME INTERESTED IN THE
-NEAR EAST</h2>
-
-<h3><span class="smcap">The First Rails Are Laid</span></h3>
-
-<p>During the summer of 1888 the Oriental Railways—from
-the Austrian frontier, across the Balkan Peninsula
-<i>via</i> Belgrade, Nish, Sofia, and Adrianople, to Constantinople—were
-opened to traffic. Connections with the railways
-of Austria-Hungary and other European countries
-placed the Ottoman capital in direct communication with
-Vienna, Paris, Berlin, and London (<i>via</i> Calais). The
-arrival at the Golden Horn, August 12, 1888, of the first
-through express from Paris and Vienna was made the
-occasion of great rejoicing in Constantinople and was
-generally hailed by the European press as marking the
-beginning of a new era in the history of the Ottoman Empire.
-To thoughtful Turks, however, it was apparent that
-the opening of satisfactory rail communications in European
-Turkey but emphasized the inadequacy of such
-communications in the Asiatic provinces. Anatolia, the
-homeland of the Turks, possessed only a few hundred
-kilometres of railways; the vast areas of Syria, Mesopotamia,
-and the Hedjaz possessed none at all. Almost
-immediately after the completion of the Oriental Railways,
-therefore, the Sultan, with the advice and assista<span class="pagenum"><a name="Page_30" id="Page_30">30</a></span>nce
-of the Ottoman Public Debt Administration, launched a
-program for the construction of an elaborate system of
-railway lines in Asiatic Turkey.<a name="FNanchor_1_27" id="FNanchor_1_27"></a><a href="#Footnote_1_27" class="fnanchor">1</a></p>
-
-<p>The existing railways in Asia Minor were owned, in
-1888, entirely by French and British financiers, with
-British capital decidedly in the predominance. The oldest
-and most important railway in Anatolia, the Smyrna-Aidin
-line—authorized in 1856, opened to traffic in 1866,
-and extended at various times until in 1888 it was 270 kilometres
-in length—was owned by an English company.
-British capitalists also owned the short, but valuable, Mersina-Adana
-Railway, in Cilicia, and held the lease of the
-Haidar Pasha-Ismid Railway. French interests were in
-control of the Smyrna-Cassaba Railway, which operated
-168 kilometres of rails extending north and east from the
-port of Smyrna. It was not until the autumn of 1888
-that Germans had any interest whatever in the railways
-of Asiatic Turkey.<a name="FNanchor_2_28" id="FNanchor_2_28"></a><a href="#Footnote_2_28" class="fnanchor">2</a></p>
-
-<p>The first move of the Sultan in his plan to develop
-railway communication in his Asiatic provinces was to
-authorize important extensions to the existing railways of
-Anatolia. The French owners of the Smyrna-Cassaba
-line were granted a concession for a branch from Manissa
-to Soma, a distance of almost 100 kilometres, under substantial
-subsidies from the Ottoman Treasury. The
-British-controlled Smyrna-Aidin Railway was authorized
-to build extensions and branches totalling 240 kilometres,
-almost doubling the length of its line. A Franco-Belgian
-syndicate in October, 1888, received permission to construct
-a steam tramway from Jaffa, a port on the Mediterranean,
-to Jerusalem—an unpretentious line which
-proved to be the first of an important group of Syrian
-railways constructed by French and Belgian promoters.
-Shortly afterward the concession for a railway from
-Beirut to Damascus was awarded to French interests<span class="pagenum"><a name="Page_31" id="Page_31">31</a></span>.<a name="FNanchor_3_29" id="FNanchor_3_29"></a><a href="#Footnote_3_29" class="fnanchor">3</a></p>
-
-<p>But the great dream of Abdul Hamid was the great
-dream of Wilhelm von Pressel: the vision of a trunk line
-from the Bosporus to the Persian Gulf, which, in connection
-with the existing railways of Anatolia and the new
-railways of Syria, would link Constantinople with Smyrna,
-Aleppo, Damascus, Beirut, Mosul, and Bagdad. As early
-as 1886 the Ottoman Ministry of Public Works had suggested
-to the lessees of the Haidar Pasha-Ismid Railway
-that they undertake the extension of that line to Angora,
-with a view to an eventual extension to Bagdad. The proposal
-was renewed in 1888, with the understanding that
-the Sultan was prepared to pay a substantial subsidy to
-assure adequate returns on the capital to be invested. The
-lessees of the Haidar Pasha-Ismid line, however, were unable
-to interest investors in the enterprise and were compelled
-to withdraw altogether from railway projects in
-Turkey-in-Asia. Thereupon Sir Vincent Caillard, Chairman
-of the Ottoman Public Debt Administration, endeavored
-to form an Anglo-American syndicate to undertake
-the construction of a Constantinople-Bagdad railway,
-but he met with no success.<a name="FNanchor_4_30" id="FNanchor_4_30"></a><a href="#Footnote_4_30" class="fnanchor">4</a></p>
-
-<p>The opportunity which British capitalists neglected German
-financiers seized. Dr. Alfred von Kaulla, of the
-<i>Württembergische Vereinsbank</i> of Stuttgart, who was in
-Constantinople selling Mauser rifles to the Ottoman
-Minister of War, became interested in the possibilities
-of railway development in Turkey. With the coöperation
-of Dr. George von Siemens, Managing Director of the
-<i>Deutsche Bank</i>, a German syndicate was formed to take
-over the existing railway from Haidar Pasha to Ismid
-and to construct an extension thereof to Angora. On
-October 6, 1888, this syndicate was awarded a concession
-for the railway to Angora and was given to understand
-that it was the intention of the Ottoman Government to<span class="pagenum"><a name="Page_32" id="Page_32">32</a></span>
-extend that railway to Bagdad <i>via</i> Samsun, Sivas, and
-Diarbekr. The Sultan guaranteed the Angora line a minimum
-annual revenue of 15,000 francs per kilometre, for
-the payment of which he assigned to the Ottoman Public
-Debt Administration the taxes of certain districts through
-which the railway was to pass. Thus came into existence
-the Anatolian Railway Company (<i>La Société du Chemin
-de Fer Ottomane d’Anatolie</i>), the first of the German
-railway enterprises in Turkey.<a name="FNanchor_5_31" id="FNanchor_5_31"></a><a href="#Footnote_5_31" class="fnanchor">5</a></p>
-
-<p>The German concessionaires were not slow to realize
-the possibilities of their concession. They elected Sir
-Vincent Caillard to the board of directors of their Company,
-in order that they might receive the enthusiastic
-coöperation of the Ottoman Public Debt Administration
-and in order that they might interest British capitalists
-in their project. With the assistance of Swiss bankers
-they incorporated at Zurich the <i>Bank für orientalischen
-Eisenbahnen</i>, which floated in the European securities
-markets the first Anatolian Railways loan of eighty million
-francs—more than one fourth of the loan being underwritten
-in England. Shortly thereafter this same financial
-group, under the leadership of the <i>Deutsche Bank</i>, acquired
-a controlling interest in more than 1500 kilometres
-of railways in the Balkan Peninsula, by purchasing the
-holdings of Baron Hirsch in the Oriental Railways Company.
-The <i>Bank für orientalischen Eisenbahnen</i> became
-a holding company for all of the <i>Deutsche Bank’s</i> railway
-enterprises in the Near East.<a name="FNanchor_6_32" id="FNanchor_6_32"></a><a href="#Footnote_6_32" class="fnanchor">6</a></p>
-
-<p>Under the direction of German engineers, in the meantime,
-construction of the Anatolian Railway proceeded at
-so rapid a rate that the 485 kilometres of rails were laid
-and trains were in operation to Angora by January, 1893.
-About the same time a German engineering commission,
-assisted by two technical experts representing the Ottoman
-Ministry of Public W<span class="pagenum"><a name="Page_33" id="Page_33">33</a></span>orks and by two Turkish army
-officers, submitted a report on their preliminary survey
-of the proposed railway to Bagdad. This was enthusiastically
-received by the Sultan, who reiterated his intention
-of constructing a line into Mesopotamia at the earliest
-practicable date.<a name="FNanchor_7_33" id="FNanchor_7_33"></a><a href="#Footnote_7_33" class="fnanchor">7</a></p>
-
-<p>In 1887 there was no German capital represented in the
-railways of Asiatic Turkey. Five years later the <i>Deutsche
-Bank</i> and its collaborators controlled the railways of Turkey
-from the Austro-Hungarian border to Constantinople;
-they had constructed a line from the Asiatic shore of
-the Straits to Angora; they were projecting a railway
-from Angora across the hills of Anatolia into the Mesopotamian
-valley. In coöperation with the Austrian and
-German state railways they could establish through
-service from the Baltic to the Bosporus and, by ferry and
-railway, into hitherto inaccessible parts of Asia Minor.
-Almost overnight, as history goes, Turkey had become an
-important sphere of German economic interest. Thus was
-born the idea of a series of German-controlled railways
-from Berlin to Bagdad, from Hamburg to the Persian
-Gulf!</p>
-
-<p>The Ottoman Government apparently was well pleased
-with the energetic action of the German concessionaires
-in the promotion of their railway enterprises in Turkey.
-In any event, a tangible evidence of appreciation was extended
-the Anatolian Railway Company by an imperial
-<i>iradé</i> of February 15, 1893, which authorized the construction
-of a branch line of 444 kilometres from Eski
-Shehr (a town about midway between Ismid and Angora)
-to Konia. The new line, like its predecessor, was
-guaranteed a minimum annual return of 15,000 francs per
-kilometre, payments to be made under the supervision
-of the Ottoman Public Debt Administration. The obvious
-advantages of developing the potentially rich regions of
-southern Anatolia, and of providing improved communication
-between Constantinople and the interior of Asia<span class="pagenum"><a name="Page_34" id="Page_34">34</a></span>
-Minor, led the Anatolian Company to hasten construction,
-with the result that service to Konia was inaugurated
-in 1896.<a name="FNanchor_8_34" id="FNanchor_8_34"></a><a href="#Footnote_8_34" class="fnanchor">8</a></p>
-
-<p>Simultaneously with the granting of the second Anatolian
-concession the Sultan authorized an important extension
-to the French-owned Smyrna-Cassaba Railway.
-The existing line was to be prolonged a distance of 252
-kilometres from Alashehr to Afiun Karahissar, at which
-latter town a junction was to be effected with the Anatolian
-Railway. Another French company was awarded a concession
-for the construction of the Damascus-Homs-Aleppo
-railway, in Syria, under substantial financial
-guarantees from the Ottoman Treasury. It was said that
-these concessions to French financiers were “compensatory”
-in character and were granted upon the urgent representations
-of the French ambassador in Constantinople.<a name="FNanchor_9_35" id="FNanchor_9_35"></a><a href="#Footnote_9_35" class="fnanchor">9</a></p>
-
-<p>Between 1896 and 1899 no further definite steps were
-taken to extend the Anatolian Railway beyond Angora,
-as had been provided by the original concession. In the
-latter year, however, largely because of Russian objections
-to the further development of railways in northern Asia
-Minor, the Sultan took under consideration the advisability
-of projecting and building, instead, a line from Konia to
-Bagdad <i>via</i> Aleppo and Mosul. Early in 1899 a German
-commission left Constantinople to make a thorough survey
-of the economic and strategic possibilities of such a line.
-Included in the commission were Dr. Mackensen, Director
-of the Prussian State Railways; Dr. von Kapp, Surveyor
-for the State Railways of Württemberg; Herr Stemrich,
-the German Consul-General at Constantinople; Major
-Morgen, German military attaché; representatives of the
-Ottoman Ministry of Public Works. It was this commission
-that finally decided upon the route of the Bagdad
-Railway.<a name="FNanchor_10_36" id="FNanchor_10_36"></a><a href="#Footnote_10_36" class="fnanchor">10</a></p>
-<p><span class="pagenum"><a name="Page_35" id="Page_35">35</a></span></p>
-<p>At the close of the nineteenth century, therefore, the
-sceptre of railway power in the Near East was passing
-from the hands of Frenchmen and Englishmen into the
-hands of Germans. In a period of about ten years the
-German-owned Anatolian Railway Company had constructed
-almost one thousand kilometres of railway lines
-in Asia Minor. A German mission was blazing a trail
-through Syria and Mesopotamia for the extension of the
-Anatolian Railway to the valley of the Tigris River and
-the head of the Persian Gulf. German prestige seemed
-to be in the ascendancy: the Directors of the Anatolian
-Company reported to the stockholders in 1897 that, “as
-in former years, our Company has concerned itself continuously
-with the development of trade, industry, and
-agriculture in the region served by the Railway. As a
-result our enterprise has enjoyed in every sense the whole-hearted
-support and the powerful protection of His
-Majesty the Sultan. Our relationships with the Imperial
-Ottoman Government, the local authorities, and all classes
-of the people themselves are more cordial than ever.”<a name="FNanchor_11_37" id="FNanchor_11_37"></a><a href="#Footnote_11_37" class="fnanchor">11</a></p>
-
-<p>The system of railways thus founded had been conceived
-by a German railway genius; it had been constructed
-by German engineers with materials made by German
-workers in German factories; it had been financed by
-German bankers; it was being operated under the supervision
-of German directors. In the minds of nineteenth-century
-neo-mercantilists this was a matter for national
-pride. A Pan-German organ hailed the Anatolian Railways
-and the proposed Bagdad enterprise in glowing
-terms: “The idea of this railway was conceived by German
-intelligence; Germans made the preliminary studies;
-Germans overcame all the serious obstacles which stood in
-the way of its execution. We should be all the more
-pleased with this success because the Russians and the
-English busied themselves at the Golden Horn endeavoring
-to block the German project.”<a name="FNanchor_12_38" id="FNanchor_12_38"></a><a href="#Footnote_12_38" class="fnanchor">12</a></p>
-<p><span class="pagenum"><a name="Page_36" id="Page_36">36</a></span></p>
-
-<h3><span class="smcap">The Traders Follow the Investors</span></h3>
-
-<p>The construction of the Anatolian Railways by German
-capitalists was accompanied by a considerable expansion of
-German economic interests in the Near East. In 1889, for
-example, a group of Hamburg entrepreneurs established
-the <i>Deutsche Levante Linie</i>, which inaugurated a direct
-steamship service between Hamburg, Bremen, Antwerp,
-and Constantinople. It was the expectation of the owners
-of this line that the construction of the Anatolian railways
-would materially increase the volume of German trade with
-Turkey—an expectation which was justified by subsequent
-developments. In 1888, the year of the original
-railway concession to the <i>Deutsche Bank</i>, exports from
-Germany to Turkey were valued at 11,700,000 marks;
-by 1893, when the line was completed to Angora, they
-mounted to a valuation of 40,900,000 marks, an increase
-of about 350%. Imports into Germany from Turkey
-during the same period rose from 2,300,000 marks to
-16,500,000 marks, showing an increase of over 700%.
-No small proportion of the phenomenal increase in the
-volume of German exports to Turkey can be attributed to
-the use of German materials on the Ismid-Angora railway.
-In any event, there was no further substantial development
-of this export trade between 1895 and 1900,
-although imports into Germany from Turkey reached
-the high figure of 28,900,000 marks at the close of the
-century.<a name="FNanchor_13_39" id="FNanchor_13_39"></a><a href="#Footnote_13_39" class="fnanchor">13</a></p>
-
-<p>That German traders should follow German financiers
-into the Ottoman Empire was to be expected. The
-<i>Deutsche Bank</i>—sponsor of the Anatolian Railways—had
-been notably active in the promotion of German foreign
-commerce. From its very inception it had devoted itself
-energetically to the promotion of industrial and commer<span class="pagenum"><a name="Page_37" id="Page_37">37</a></span>cial
-activity abroad, thus carrying out the object announced
-in its charter “of fostering and facilitating commercial
-relations between Germany, other European countries, and
-oversea markets.” By the establishment of foreign
-branches, by the liberal financing of import and export
-shipments, by the introduction of German bills of exchange
-in the four corners of the earth, and by other similar
-methods, this great bank was largely responsible for the
-emancipation of German traders from their former dependence
-upon British banking facilities. The Anatolian
-Railways concessions marked the initial efforts of the
-<i>Deutsche Bank</i> at Constantinople. What it had done elsewhere
-it could be expected to do in the interests of German
-business men operating in Turkey.<a name="FNanchor_14_40" id="FNanchor_14_40"></a><a href="#Footnote_14_40" class="fnanchor">14</a></p>
-
-<p>The London <i>Times</i> of October 28, 1898, contained a
-significant review of the status of German enterprise in
-the Ottoman Empire during the decade immediately preceding.
-Whereas ten years before, the finance and trade
-of Turkey were practically monopolized by France and
-Great Britain, the Germans were now by far the most
-active group in Constantinople and in Asia Minor. Hundreds
-of German salesmen were traveling in Turkey,
-vigorously pushing their wares and studiously canvassing
-the markets to learn the wants of the people. The Krupp-owned
-Germania Shipbuilding Company was furnishing
-torpedoes to the Turkish navy; Ludwig Loewe and Company,
-of Berlin, was equipping the Sultan’s military machine
-with small arms; Krupp, of Essen, was sharing with
-Armstrong the orders for artillery. German bicycles were
-replacing American-made machines. There was a noticeable
-increase of German trade with Palestine and Syria.
-In 1899 a group of German financiers founded the
-<i>Deutsche Palästina Bank</i>, which proceeded to establish
-branches at Beirut, Damascus, Gaza, Haifa, Jaffa, Jerusalem,
-Nablus, Nazareth, and Tripoli-in-Syria.</p>
-<p><span class="pagenum"><a name="Page_38" id="Page_38">38</a></span></p>
-<p>Promoters, bankers, traders, engineers, munitions manufacturers,
-ship-owners, and railway builders all were playing
-their parts in laying a substantial foundation for a
-further expansion of German economic interests in the
-Ottoman Empire.<a name="FNanchor_15_41" id="FNanchor_15_41"></a><a href="#Footnote_15_41" class="fnanchor">15</a></p>
-
-<h3><span class="smcap">The German Government Becomes Interested</span></h3>
-
-<p>In a sense, German diplomacy had paved the way for the
-Anatolian Railway concessions. For numerous reasons,
-which need not be discussed here, French and British influence
-at the Sublime Porte gradually declined during
-the decades of 1870–1890. British prestige, in particular,
-waned after the occupation of Egypt in 1882. The German
-ambassador at Constantinople during most of this
-period was Count Hatzfeld, an unusually shrewd diplomatist,
-who perceived the extraordinary opportunity which
-then existed to increase German prestige in the Near East.
-His place in the counsels of the Sultan became increasingly
-important, as he missed no chance to seize privileges surrendered
-by France or Great Britain.<a name="FNanchor_16_42" id="FNanchor_16_42"></a><a href="#Footnote_16_42" class="fnanchor">16</a></p>
-
-<p>An instance of Count Hatzfeld’s activity was the appointment
-of a German military mission to Turkey. Until
-1870 there had been a French mission in Constantinople,
-with almost complete control over the training and equipment
-of the Ottoman army. At the outbreak of the Franco-German
-War, however, the mission was recalled because
-of the crying need for French officers at the front. After
-the termination of hostilities, and again after the collapse
-of the Turkish defence against Russia in 1877, the Sultan
-requested the reappointment of the mission, but the French
-Government politely declined the invitation. The German
-ambassador seized upon this neglected opportunity and,
-in 1883, persuaded Abdul Hamid to invite the Kaiser to
-designate a group of German officers to serve with the
-Ottoman General Staff.<a name="FNanchor_17_43" id="FNanchor_17_43"></a><a href="#Footnote_17_43" class="fnanchor">17</a></p>
-<p><span class="pagenum"><a name="Page_39" id="Page_39">39</a></span></p>
-<p>In command of the German military mission despatched
-to Turkey in response to this invitation was General von
-der Goltz. This brilliant officer—who, appropriately
-enough, was to die in the Caucasus campaign of 1916—remained
-in Turkey twelve years, reorganizing the Turkish
-army, forming a competent general staff, establishing a
-military academy for young officers, and formulating
-plans for an adequate system of reserves. So great was
-his success that he won the lasting respect of Turkish military
-and civil officials; time and time again he was invited
-to return to Turkey as military adviser extraordinary; in
-1909 he answered the call of the Young Turks and lent
-his ripened judgment to the solution of their distracting
-problems; he was granted the coveted title of Pasha.
-The personal prestige of von der Goltz was of no small
-importance in brightening Germany’s rising star in the
-Near East.<a name="FNanchor_18_44" id="FNanchor_18_44"></a><a href="#Footnote_18_44" class="fnanchor">18</a></p>
-
-<p>Another event of first rate importance in the history of
-German ventures in the Ottoman Empire was the accession,
-in 1888, of Emperor William II. During the three
-decades of his reign the economic foundations of German
-imperialism were strengthened and broadened; the superstructure
-of German imperialism was both reared and
-destroyed. During his régime the German industrial revolution
-reached its height, and the empire, it seemed, became
-one enormous factory consuming great quantities
-of raw materials and producing a prodigious volume of
-manufactured commodities for the home and foreign markets.
-Simultaneously there was developed a German merchant
-marine which carried the imperial flag to the seven
-seas. A normal concomitant of this industrial and commercial
-progress was the expansion of political and economic
-interests abroad—renewed activity in the acquisition
-of a colonial empire; marked success in the further conquest
-of foreign markets; the creation of a great navy;<span class="pagenum"><a name="Page_40" id="Page_40">40</a></span>
-the phenomenal increase of German investments in Turkey.
-It is no insignificant coincidence that German financiers
-received their first Ottoman railway concession in the
-year of the accession of William II and that the capture
-of Aleppo—ending once and for all the plan for a German-controlled
-railway from Berlin to Bagdad—occurred just
-a few days before his abdication.</p>
-
-<p>From the first the Kaiser evinced a keen interest in the
-Ottoman Empire as a sphere in which his personal influence
-might be exerted on behalf of German economic
-expansion and German political prestige. He was quick
-to recognize the opportunities for German enterprise in
-a country where much went by favor, and where political
-influence could be effectually exerted for the furtherance
-of commercial interests. In one of a round of royal visits
-following his accession, the young Emperor, in November,
-1889, paid his respects to the Sultan Abdul Hamid. Upon
-the arrival in the Bosporus of the imperial yacht <i>Hohenzollern</i>,
-the Kaiser and Kaiserin received an ostentatious
-welcome from the Sultan and cordial greetings from the
-diplomatic corps. It was suggested at the time that there
-was more than formal significance in this visit of the
-German sovereigns, coming, as it did, when prominent
-German financiers were engaged in constructing the first
-kilometres of an important Anatolian railway. This impression
-was confirmed when, shortly after the Emperor’s
-return to the Fatherland, a favorable commercial
-treaty was negotiated by the German ambassador at Constantinople
-and ratified by the German and Ottoman Governments
-in 1890.<a name="FNanchor_19_45" id="FNanchor_19_45"></a><a href="#Footnote_19_45" class="fnanchor">19</a></p>
-
-<p>The expansion of German economic interests and
-political prestige in the Ottoman Empire was not looked
-upon with favor by Bismarck. The Great Chancellor was
-primarily interested in isolating France on the continent
-and in avoiding commercial and colonia<span class="pagenum"><a name="Page_41" id="Page_41">41</a></span>l conflicts overseas.
-In particular he had no desire to become involved in the
-complicated Near Eastern question—toward which at
-various times he had expressed total indifference and contempt—for
-fear of a clash with Russian ambitions at Constantinople.
-He realized that German investments in
-Turkey might lead to pressure on the German Government
-to adopt an imperial policy in Asia Minor, as, indeed,
-German investments in Africa had forced him to enter
-colonial competition in the Dark Continent.<a name="FNanchor_20_46" id="FNanchor_20_46"></a><a href="#Footnote_20_46" class="fnanchor">20</a> When the
-<i>Deutsche Bank</i> first called the Chancellor’s attention to its
-Anatolian enterprises, therefore, Bismarck frankly stated
-his misgivings about the situation. In a letter to Dr. von
-Siemens, Managing Director of the <i>Deutsche Bank</i>, dated
-at the Foreign Office, September 2, 1888, he wrote:<a name="FNanchor_21_47" id="FNanchor_21_47"></a><a href="#Footnote_21_47" class="fnanchor">21</a></p>
-
-<div class="blockquot">
-
-<p>“With reference to the inquiry of the <i>Deutsche Bank</i> of
-the 15 ultimo, I beg to reply that no diplomatic objections
-exist to an application for a concession for railway construction
-in Asia Minor.</p>
-
-<p>The Imperial Embassy at Constantinople has been authorized
-to lend support to German applicants for such concessions—particularly
-to the designated representative of the
-<i>Deutsche Bank</i> in Constantinople—in their respective endeavors
-in this matter.</p>
-
-<p>The Board of Directors in its inquiry has correctly given
-expression to the assumption that any official endorsement
-of its plans, in the present state of affairs, would neither
-extend beyond the life of the concession nor apply to the
-execution and operation of the enterprise. As a matter of
-fact, German entrepreneurs assume a risk in capital investments
-in railway construction in Anatolia—a risk which lies,
-first, in the difficulties encountered in the enforcement of
-the law in the East, and, second, in the increase of such
-difficulties through war or other complications.</p>
-
-<p><i>The danger involved therein for German entrepreneurs
-must be assumed exclusively by the entrepreneurs, and the
-latter must not count upon the protection of the German
-Empire against eventualities connected with precarious enterprises
-in foreign countries.</i>”<a name="FNanchor_22_48" id="FNanchor_22_48"></a><a href="#Footnote_22_48" class="fnanchor">22</a></p>
-</div>
-<p><span class="pagenum"><a name="Page_42" id="Page_42">42</a></span></p>
-
-<p>Bismarck disapproved of the visit of William II to Turkey
-in 1889. Failing to persuade the young Emperor to
-abandon the trip to Constantinople, the Chancellor did
-what he could to allay Russian suspicions of the purposes
-of the journey. Describing an interview which he had
-with the Tsar, in October, 1889, Bismarck wrote, in a
-memorandum recently taken from the files of the Foreign
-Office: “As to the approaching journey of the Kaiser to
-the Orient, I said that the reason for the visit to Constantinople
-lay only in the wish of our Majesties not to
-come home from Athens without having seen Constantinople;
-Germany had no political interests in the Black
-Sea and the Mediterranean; and it was accordingly impossible
-that the visit of our Majesties should take on a
-political complexion. The admission of Turkey into the
-Triple Alliance was not possible for us; we could not lay
-on the German people the obligation to fight Russia for
-the future of Bagdad.”<a name="FNanchor_23_49" id="FNanchor_23_49"></a><a href="#Footnote_23_49" class="fnanchor">23</a> In 1890, however, Prince Bismarck
-was dismissed, and the chief obstacle to the Emperor’s
-Turkish policy was removed.</p>
-
-<p>During the succeeding decade the German diplomatic
-and consular representatives in the Ottoman Empire rendered
-yeoman service in furthering investment, trade, and
-commerce by Germans in the Near East. It became proverbial
-among foreign business men in Turkey that no
-service was too menial, no request too exacting, to receive
-the courteous and efficient attention of the German governmental
-services. German consular officers were held
-up as models for others to pattern themselves after. The
-British Consul General at Constantinople, for example,
-informed British business men that his staff was at their
-disposal for any service designed to expedite British trade
-and investments in Turkey. “If,” he wrote, “any merchant
-should come to this consulate and say, ‘The German cons<span class="pagenum"><a name="Page_43" id="Page_43">43</a></span>ulate
-gives such and such assistance to German traders, do
-the same for me,’ his suggestion would be welcomed and,
-if possible, acted on at once.”<a name="FNanchor_24_50" id="FNanchor_24_50"></a><a href="#Footnote_24_50" class="fnanchor">24</a></p>
-
-<p>A judicious appointment served to reinforce the already
-strong position of the Germans in Turkey. In 1897 Baron
-von Wangenheim was replaced as ambassador to Constantinople
-by Baron Marschall von Bieberstein (1842–1912),
-a former Secretary of State for Foreign Affairs.
-Baron Marschall was one of the most capable of German
-bureaucrats. The Kaiser was glad to have him at Constantinople
-because his training and experience made him
-an admirable person for developing imperial interests
-there; his political opponents considered his appointment
-to the Sublime Porte a convenient method of removing
-him from domestic politics. The new ambassador’s political
-views were well known: he was a frank believer in a
-world-policy for Germany; he was an ardent supporter of
-colonialism, if not of Pan-Germanism; he was a bitter
-opponent of Great Britain; he espoused the cause of a
-strong political and economic alliance between the German
-and Ottoman Empires. What Baron Marschall did he
-did well. Occupying what appeared, at first, to be an
-obscure post, he became the foremost of the Kaiser’s
-diplomatists and for fifteen years lent his powerful personality
-and his practical experience to the furthering of
-German enterprise in Turkey.<a name="FNanchor_25_51" id="FNanchor_25_51"></a><a href="#Footnote_25_51" class="fnanchor">25</a></p>
-
-<p>In 1898 William II made his second pilgrimage to the
-Land of Promise. Every detail of this trip was arranged
-with an eye to the theatrical: the enthusiastic reception at
-Constantinople; the “personally conducted” Cook’s tour
-to the Holy Land; the triumphal entry into the Holy City
-through a breach in the walls made by the infidel Turk;
-the dedication of a Lutheran Church at Jerusalem; the
-hoisting of the imperial standard on Mount Zion; the gif<span class="pagenum"><a name="Page_44" id="Page_44">44</a></span>t
-of hallowed land to the Roman Catholic Church; the visit
-to the grave of Saladin at Damascus and the speech by
-which the Mohammedans of the world were assured of
-the eternal friendship of the German Emperor.<a name="FNanchor_26_52" id="FNanchor_26_52"></a><a href="#Footnote_26_52" class="fnanchor">26</a> The
-dramatic aspects of the royal visit were not sufficient,
-however, to obscure its practical purpose. It was generally
-supposed in western Europe that the Kaiser’s trip to
-Turkey was closely connected with the application of the
-Anatolian Railways for the proposed Bagdad Railway
-concessions.<a name="FNanchor_27_53" id="FNanchor_27_53"></a><a href="#Footnote_27_53" class="fnanchor">27</a> But little objection was raised by the British
-and French press. Paris laughed at the obvious absurdity
-of a Cook’s tour for a crowned head and his entourage;
-London took comfort in the discomfiture which the incident
-would cause Russia. But there was no talk then of
-a great Teutonic conspiracy to spread a “net” from Hamburg
-to the Persian Gulf.<a name="FNanchor_28_54" id="FNanchor_28_54"></a><a href="#Footnote_28_54" class="fnanchor">28</a></p>
-
-<p>The true significance of this royal pilgrimage of 1898
-cannot be appreciated without some reference to its background
-of contemporary events. For the preceding four
-years the Ottoman Government had permitted, if not
-actually incited, a series of ruthless massacres of Christians
-in Macedonia and Armenia. European public opinion was
-unanimous in condemnation of the intolerance, brutality,
-and corruption of Abdul Hamid’s régime; the very name
-of the “Red Sultan” was anathema. Under these circumstances
-any demonstration of friendship and respect for
-the Turkish sovereign would be considered flagrant flaunting
-of public morality.<a name="FNanchor_29_55" id="FNanchor_29_55"></a><a href="#Footnote_29_55" class="fnanchor">29</a> By Abdul Hamid, on the other
-hand, it would be welcomed as needed support in time of
-trouble. With the Kaiser the exigencies of practical
-politics triumphed!</p>
-
-<p>It was appropriate, furthermore, that the year 1898
-should be marked by some definite step forward in German
-imperialist progress in Turkey, for during that year
-notable advances had been made by German imperial<span class="pagenum"><a name="Page_45" id="Page_45">45</a></span>ism
-in other fields. On March 5 there was forcibly wrung
-from China a century-long lease of Kiao-chau and of
-certain privileges in the Shantung Peninsula, thus assuring
-to German enterprise a prominent position in the Far
-East. Two weeks later was passed the great German
-naval law of 1898, laying the foundation of a fleet that
-later was to challenge British supremacy of the seas.
-German diplomacy had developed interests in eastern
-Asia; it was developing interests on the seas and in western
-Asia; it had abandoned a purely Continental policy.
-No further signs were needed that a new era was dawning
-in German foreign affairs—unless, perhaps, it be mentioned
-that the great Prince Bismarck quietly passed away
-at Friedrichsruh on July 30 of that momentous year!</p>
-
-<h3><span class="smcap">German Economic Interests Make for Near
-Eastern Imperialism</span></h3>
-
-<p>Bismarck’s policy of aloofness in the Near East, however
-desirable it may have been from the political point
-of view, could not have appealed to those statesmen and
-soldiers and business men who believed that diplomatic
-policies should be determined in large part by the economic
-situation of the German Empire. The interest of William
-II in Turkey was enthusiastically supported by all those
-who sought to have German foreign affairs conducted
-with full recognition of the needs of industrialized Germany
-in raw materials and foodstuffs, of the importance
-of richer and more numerous foreign markets for the
-products of German factories, and of the exigencies of
-economic, as well as military, preparation for war. The
-great natural wealth of the Ottoman Empire in valuable
-raw materials, the possibilities of developing the Near East
-as a market for manufactured articles, and the geographical
-situation of Turkey all help to explain why the economic
-exploitation of the Sultan’s domini<span class="pagenum"><a name="Page_46" id="Page_46">46</a></span>ons was a matter
-of more vital concern to Germany than to any other
-European power. To make this clear it will be necessary
-to digress, for a time, to consider the nature of the imperial
-problems of an industrial state and, in particular,
-the problems of industrial Germany.</p>
-
-<p>Under modern conditions the needs of an industrial
-state are imperious. Such a state is dependent for its very
-existence upon an uninterrupted supply of foodstuffs for
-the workers of its cities and of raw materials for the
-machines of its factories. As its population increases—unless
-it be one of those few fortunate nations which, like
-the United States, are practically self-sufficient—its importations
-of foodstuffs mount higher and higher. As its
-industries expand, the demand for raw materials becomes
-greater and more diversified—cotton, rubber, copper,
-nitrates, petroleum come to be considered the very life-blood
-of the nation’s industry. It is considered one of
-the functions of the government of an industrial state—whether
-that government be autocratic and dynastic or
-representative and democratic—to interest itself in securing
-and conserving sources of these essential commodities,
-as well as to defend and maintain the routes of communication
-by which they are transported to the domestic
-market. The securing of sources of raw materials may involve
-the acquisition of a colonial empire; it may require
-the establishment of a protectorate over, or a “sphere of
-interest” in, an economically backward or a politically
-weak nation; or it may necessitate nothing more than the
-maintenance of friendly relations with other states. Protection
-of vital routes of communication may demand the
-construction of a fleet of battleships; it may be the <i>raison
-d’être</i> for a large standing army; it may necessitate only
-diplomatic support of capitalists in their foreign investments.
-Methods will be dictated by circumstances, but the
-impulse usually is the same.<a name="FNanchor_30_56" id="FNanchor_30_56"></a><a href="#Footnote_30_56" class="fnanchor">30</a></p>
-<p><span class="pagenum"><a name="Page_47" id="Page_47">47</a></span></p>
-<p>The German Empire was an industrial state, and its
-needs were imperious. In the face of a rapidly increasing
-population the nation became more and more dependent
-upon importations of foreign foodstuffs. Herculean efforts
-were made to keep agricultural production abreast of the
-domestic demand for grain: transient laborers were imported
-from Russia and Italy to replace those German
-peasants who had migrated to the industrial cities; machinery
-was introduced and scientific methods were applied;
-high protective tariffs were imposed upon imported
-foodstuffs to stimulate production within the empire.
-These measures, however, were insufficient to meet the
-situation; the greatest intensive development of the agricultural
-resources of the nation could not forestall the
-necessity of feeding some ten millions of Germans on
-foreign grain.<a name="FNanchor_31_57" id="FNanchor_31_57"></a><a href="#Footnote_31_57" class="fnanchor">31</a></p>
-
-<p>German manufacturers, as well, were unable to obtain
-from domestic sources the necessary raw materials for
-their industrial plants. Many essential commodities were
-not produced at all in Germany and in only insignificant
-quantities in the colonies. Some German industries were
-almost wholly dependent upon foreign sources of supply
-for their raw materials. The most striking example of
-this was the textile manufactures, which had to obtain
-from abroad more than nine tenths of their raw cotton,
-jute, silk, and similar essential supplies.<a name="FNanchor_32_58" id="FNanchor_32_58"></a><a href="#Footnote_32_58" class="fnanchor">32</a> Interruption
-of the flow of these or other indispensable goods would
-have brought upon German industrial centers the same
-paralysis which afflicted the British cotton manufactures
-during the American Civil War.</p>
-
-<p>The German Empire had to pay for its imported foodstuffs
-and raw materials with the products of its mines
-and factories, with the services of its citizens and its ships,
-with the use of its surplus funds, or capital.<a name="FNanchor_33_59" id="FNanchor_33_59"></a><a href="#Footnote_33_59" class="fnanchor">33</a> The development
-of a German export trade was the natural outcome<span class="pagenum"><a name="Page_48" id="Page_48">48</a></span>
-of the development of German industry. And as
-German industries expanded, the demand for imported
-raw materials increased, thus rendering more necessary
-the extension of the export trade. The German industrial
-revolution of the late nineteenth century was at once the
-cause and the effect of the growing dependence of German
-economic prosperity upon foreign markets.<a name="FNanchor_34_60" id="FNanchor_34_60"></a><a href="#Footnote_34_60" class="fnanchor">34</a></p>
-
-<p>But foreign commerce is not concerned with the sale of
-manufactured articles only. In its export trade, German
-industry was closely allied with German shipping and
-German finance. The services rendered German trade by
-the German merchant marine need not be reiterated; they
-are sufficiently well known. The relationship between the
-policies of German industry and the policies of German
-finance was no less important. The export of goods by
-German factories was supplemented by the so-called “export
-of capital” by German banks. Sometimes the German
-trader followed the German investor; sometimes the
-investor followed the trader. But whichever the order,
-the services rendered by the investor were to develop the
-purchasing power and the prosperity of the market, as
-well as to oil the mechanism of international exchange.<a name="FNanchor_35_61" id="FNanchor_35_61"></a><a href="#Footnote_35_61" class="fnanchor">35</a>
-The industrial export policy and the financial export policy
-went hand in hand. Certainly this was the case in the
-Near East.</p>
-
-<p>The German Empire depended for its welfare, if not
-for its existence, upon an uninterrupted supply of food for
-its workers and of raw materials for its machines. But
-this supply, in turn, was conditional upon the maintenance
-and development of a thriving export trade. The allies
-of this export trade were a great merchant marine and a
-vigorous policy of international finance and investment.
-Thus the nation which in 1871 was economically almost
-self-sufficient, by 1900 had extended its interests to the
-four corners of the earth. This could not have been wi<span class="pagenum"><a name="Page_49" id="Page_49">49</a></span>thout
-its effects upon German international policy. “The
-strength of the nation,” said Prince von Bülow, “rejuvenated
-by the political reorganization, as it grew, burst
-the bounds of its old home, and its policy was dictated by
-new interests and needs. In proportion as our national
-life has become international, the policy of the German
-Empire has become international.... Industry, commerce,
-and the shipping trade have transformed the old
-industrial life of Germany into one of international industry,
-and this has also carried the Empire in political
-matters beyond the limits which Prince Bismarck set to
-German statecraft.”<a name="FNanchor_36_62" id="FNanchor_36_62"></a><a href="#Footnote_36_62" class="fnanchor">36</a></p>
-
-<p>From the German point of view, the call to German
-imperialism was clearly urgent, but the resources of German
-imperialism were seriously limited. The colonial ventures
-of the Empire had culminated in no outstanding successes
-and in some outstanding failures. Entering the
-lists late, the Germans had found the spoils of colonial
-rivalry almost completely appropriated by those other
-knights errant of white civilization, French, British, and
-Russian empire-builders. The few African and Asiatic
-territories which the Germans did succeed in acquiring
-were extensive in size, but unpromising in many other
-respects. With the exception of German East Africa the
-colonies were comparatively poor in the valuable raw materials
-so much desired by the factories of the mother
-country; they were unimportant as producers of foodstuffs.
-Attempts to induce Germans to settle in these
-overseas possessions were singularly unsuccessful. On
-the other hand, colonial enterprises had involved the empire
-in enormous expenditures aggregating over a billion
-marks; had precipitated a series of wars and military expeditions
-costing the nation thousands of lives and creating
-a host of international misunderstandings; had won
-for Germans widespread notoriety as poor colonizers, as
-tactless and autocratic officials, as ruthless ov<span class="pagenum"><a name="Page_50" id="Page_50">50</a></span>erlords of
-the natives. It was no wonder that the German people
-seemed to be thoroughly discouraged and discontented
-with their colonial ventures.</p>
-
-<p>However, even had the German colonies been richer
-than they were, they, alone, could not have solved the
-imperial problem of an industrialized Germany. German
-colonial trade was possessed of the same inherent weakness
-as German overseas commerce—it would be dependent, in
-the event of a general European war, upon British sea
-power. German industry could be effectually crippled
-by interruption of the flow of essential raw materials, such
-as cotton and copper, or by the cutting of communications
-with her foreign markets. It was questionable whether
-the German navy could be relied upon to keep the seas
-open.</p>
-
-<p>Blockades, furthermore, exist not only in time of war,
-but in time of peace as well. European nations were
-surrounded by tariff barriers which seriously restricted
-the development of international trade and served to promote
-a system of national economic exclusiveness—a condition
-of affairs which harmonized only too well with the
-existing colossal military establishments. In this respect,
-of course, Germany was more sinner than sinned against.
-But in such an age it behooved every nation to build its
-industries, as well as its armies, with some view to the
-contingencies of war.</p>
-
-<p>German statesmen and economists were by no means
-backward in understanding the situation. Although they
-had no disposition to overlook the development of the
-merchant marine and the navy, they believed this was
-not enough. They sought to build up in Central Europe
-a system of economic alliances, as they previously had
-effected a formidable military alliance. Thus might Germany
-and her allies become an economically self-sufficient
-unit, freed from dependence upon British sea power.<a name="FNanchor_37_63" id="FNanchor_37_63"></a><a href="#Footnote_37_63" class="fnanchor">37</a><span class="pagenum"><a name="Page_51" id="Page_51">51</a></span>
-And into this alliance could be incorporated the Near
-East!</p>
-
-<p>Beyond the Bosporus lay a country rich in oils and
-metals; a country capable of supplying German textile
-mills with cotton of superior quality; a country which in
-ancient times was fabulously wealthy in agricultural products;
-a country which gave promise of developing into
-a rich market for western commodities. Communication
-with this wonderland was to be established by a German-controlled
-railway upon which service could be maintained
-in time of war, as in time of peace, without the aid of
-naval power. What greater inducements could have been
-offered to German imperialists, living in an imperialist
-world? Turkey was destined to fall within the economic
-orbit of an industrialized Germany!</p>
-
-<p>A distinguished German publicist said in 1903, “From
-the German point of view, it would be unparalleled stupidity
-if we did not most energetically do our part to acquire
-a share in the revival of the ancient civilization of
-Mesopotamia, Syria, and Babylonia. What we do not do
-others will surely do—be they British, French, or Russian;
-and the increased economic advantage which, through the
-Bagdad Railway, will accrue to us in the Nearer East
-would otherwise not only fail to be ours, but would serve
-to strengthen our rivals in diplomacy and business.”<a name="FNanchor_38_64" id="FNanchor_38_64"></a><a href="#Footnote_38_64" class="fnanchor">38</a>
-Some years later, in the midst of the Great War, an American
-writer expressed much the same point of view:
-“Hemmed in on the west by Great Britain and France
-and on the east by Russia, born too late to extend their
-political sovereignty over vast colonial domains, and unable
-(if only for lack of coaling stations) to develop sea power
-greater than that of their rivals, nothing was more natural
-than the German and Austro-Hungarian conception of a
-<i>Drang nach Osten</i> through the Balkan Peninsula, over <span class="pagenum"><a name="Page_52" id="Page_52">52</a></span>the
-bridge of Constantinople, into the markets of Asia. The
-geographical position of the Central European states made
-as inevitable a penetration policy into the Balkans and
-Turkey as the geographical position of England made
-inevitable the development of an overseas empire.”<a name="FNanchor_39_65" id="FNanchor_39_65"></a><a href="#Footnote_39_65" class="fnanchor">39</a> Karl
-Helfferich has said that “it was neither accident nor deliberate
-purpose, as much as it was the course of German
-economic development, which led Germany to take an
-active interest in Turkey.”<a name="FNanchor_40_66" id="FNanchor_40_66"></a><a href="#Footnote_40_66" class="fnanchor">40</a></p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_27" id="Footnote_1_27"></a><a href="#FNanchor_1_27"><span class="label">1</span></a> <i>The Annual Register</i>, 1888, pp. 44, 310.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_28" id="Footnote_2_28"></a><a href="#FNanchor_2_28"><span class="label">2</span></a> Good general statements of the transportation problem of
-Turkey during the two decades 1880–1900 are Verney and Dambmann,
-<i>op. cit.</i>, Part III; J. Courau, <i>La locomotive en Turquie
-d’Asie</i> (Brussels, 1895), pp. 18–47; <i>Corps de droit ottoman</i>,
-Volume IV, pp. 117 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_29" id="Footnote_3_29"></a><a href="#FNanchor_3_29"><span class="label">3</span></a> <i>Corps de droit ottoman</i>, Volume IV, pp. 202–223, 237–242, etc.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_30" id="Footnote_4_30"></a><a href="#FNanchor_4_30"><span class="label">4</span></a> <i>Bulletin de la Chambre de Commerce française de Constantinople</i>,
-August 31, 1888, p. 10; September 30, 1888, p. 31. <i>Cf.</i>,
-also a prospectus issued by a banker, Mr. W. J. Alt, “Heads of
-a Convention for the extension of the Haidar Pasha-Ismid
-Railway” (London, 1886), a copy of which was loaned to the
-author by Mr. Ernest Rechnitzer.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_31" id="Footnote_5_31"></a><a href="#FNanchor_5_31"><span class="label">5</span></a> The story of these negotiations is well told in a new book
-by Dr. Karl Helfferich, <i>Georg von Siemens—ein Lebensbild</i>
-(Leipzig, 1923), the proofs of which I have had the privilege
-of reading. For an official copy of the convention and by-laws
-of the Anatolian Railway Company (<i>Firman Impérial de concession
-et statuts de la Société du Chemin de Fer Ottomane
-d’Anatolie</i>, Constantinople, 1889), I am indebted to Dr. Arthur
-von Gwinner, of the <i>Deutsche Bank</i>. <i>Cf.</i>, also, <i>Administration
-de la dette publique ottomane—Rapport sur les opérations de
-l’année 1888</i> (Constantinople, 1889); <i>Report of the Anatolian
-Railway Company</i>, 1889, pp. 1–2; <i>Corps de droit ottoman</i>, Volume
-IV, pp. 120–142.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_32" id="Footnote_6_32"></a><a href="#FNanchor_6_32"><span class="label">6</span></a> Helfferich, <i>op. cit.</i>, Part V; A. P. Brüning, <i>Die Entwicklung
-des ausländischen, speciell des überseeischen deutschen Bankwesens</i>
-(Berlin, 1907), pp. 14 <i>et seq.</i>; <i>Report of the Anatolian
-Railway Company</i>, 1889, p. 3; <i>Report of the Deutsche Bank</i>,
-1892, p. 4, 1890, p. 4.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_33" id="Footnote_7_33"></a><a href="#FNanchor_7_33"><span class="label">7</span></a> <i>Report of the Anatolian Railway Company</i>, 1891, p. 20, 1892,
-pp. 16, 23.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_34" id="Footnote_8_34"></a><a href="#FNanchor_8_34"><span class="label">8</span></a> <i>Actes de la concession du chemin de fer Eski<span class="pagenum"><a name="Page_53" id="Page_53">53</a></span> Shehr-Konia</i>
-(Constantinople, 1893); <i>Report of the Anatolian Railway Company</i>,
-1896, pp. 4, 9.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_35" id="Footnote_9_35"></a><a href="#FNanchor_9_35"><span class="label">9</span></a> <i>Corps de droit ottoman</i>, Volume IV, pp. 191–197. The junction
-of the two systems at Afiun Karahissar did not immediately
-materialize. The distance from that town to Constantinople is
-longer by sixty-six kilometres than the distance to Smyrna;
-the latter port, therefore, is the better natural outlet for the
-products of Anatolia. This diversion of traffic to Smyrna the
-Anatolia Railway sought to avoid, it is said, by granting discriminatory
-rates in favor of through freight to Constantinople
-over its own lines. A rate war ensued between the Anatolian
-and Smyrna-Cassaba systems, and neither was willing to permit
-an actual joining of the tracks at Afiun Karahissar, with the
-result that for years the rails of the two roads lay a comparatively
-few yards apart. This absurd situation, so obviously
-detrimental to the interests of the two roads, was remedied by
-an agreement of 1899. <i>Infra</i>, pp. 59–60. <i>Cf.</i>, also R. LeCoq,
-<i>Un chemin de fer en Asie Mineure</i> (Paris, 1907), pp. 23–24;
-<i>Report of the Anatolian Railway Company</i>, 1899, p. 3.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_36" id="Footnote_10_36"></a><a href="#FNanchor_10_36"><span class="label">10</span></a> A summary of the report of the Commission is to be found
-in <i>Diplomatic and Consular Reports</i>, No. 3140 (London, 1903),
-pp. 26 <i>et seq.</i> A statement of its membership and purposes is
-given in the <i>Report of the Anatolian Railway Company</i>, 1899,
-p. 9.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_37" id="Footnote_11_37"></a><a href="#FNanchor_11_37"><span class="label">11</span></a> <i>Report of the Anatolian Railway Company</i>, 1897, p. 3.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_38" id="Footnote_12_38"></a><a href="#FNanchor_12_38"><span class="label">12</span></a> <i>Alldeutsche Blätter</i>, December 17, 1899. It should be borne
-in mind, however, that until the Bagdad Railway concession was
-granted French financiers held the lead in the number of
-kilometres of railway in operation or contracted for. The situation
-in 1898 was as follows:</p>
-
-<table summary="railways" border="0" width="50%"><tr>
-<td class="tdc" colspan="2"><i>British</i></td>
-</tr><tr>
-<td class="tdr" colspan="2">Kiloms.</td>
-</tr><tr>
-<td class="tdl">Smyrna-Aidin</td><td class="tdr">373</td>
-</tr><tr>
-<td class="tdl">Mersina-Adana</td><td class="tdr">67</td>
-</tr><tr>
-<td class="tdr" colspan="2">—-</td>
-</tr><tr>
-<td class="tdl">&nbsp;&nbsp;Total</td>
-<td class="tdr">440</td>
-</tr></table>
-
-<p>&nbsp;</p>
-
-<table summary="railways" border="0" width="50%"><tr>
-<td class="tdc" colspan="2"><i>French</i></td>
-</tr><tr>
-<td class="tdr" colspan="2">Kiloms.</td>
-</tr><tr>
-<td class="tdl">Smyrna-Cassaba</td><td class="tdr">512</td>
-</tr><tr>
-<td class="tdl">Jaffa-Jerusalem</td><td class="tdr">87</td>
-</tr><tr>
-<td class="tdl">Beirut-Damascus</td><td class="tdr">247</td>
-</tr><tr>
-<td class="tdl">Damascus-Aleppo</td><td class="tdr">429</td>
-</tr><tr>
-<td class="tdr" colspan="2">—-</td>
-</tr><tr>
-<td class="tdl">&nbsp;&nbsp;Total</td>
-<td class="tdr">1,266</td>
-</tr></table>
-
-<p>&nbsp;</p>
-
-<table summary="railways" border="0" width="50%"><tr>
-<td class="tdc" colspan="2"><i>German</i></td>
-</tr><tr>
-<td class="tdr" colspan="2">Kiloms.</td>
-</tr><tr>
-<td class="tdl">Haidar Pasha-Ismid</td><td class="tdr">91</td>
-</tr><tr>
-<td class="tdl">Ismid-Ankara</td><td class="tdr">485</td>
-</tr><tr>
-<td class="tdl">Eski Shehr-Konia</td><td class="tdr">444</td>
-</tr><tr>
-<td class="tdr" colspan="2">—-</td>
-</tr><tr>
-<td class="tdl">&nbsp;&nbsp;Total</td>
-<td class="tdr">1,020</td>
-</tr></table>
-
-<p><span class="pagenum"><a name="Page_54" id="Page_54">54</a></span></p>
-<p>
-All of the British and German lines were in operation in 1898,
-whereas the French Syrian Railways were only partially completed.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_39" id="Footnote_13_39"></a><a href="#FNanchor_13_39"><span class="label">13</span></a> <i>Statistisches Handbuch für das deutsche Reich</i>, Volume 2,
-pp. 506, 510; <i>Diplomatic and Consular Reports</i>, No. 2950 (1902),
-pp. 5, 23; <i>Turkey in Europe</i>, No. 16 of the Foreign Office Handbooks,
-pp. 86–87.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_40" id="Footnote_14_40"></a><a href="#FNanchor_14_40"><span class="label">14</span></a> J. Riesser, <i>Die deutschen Grossbanken und ihre Konzentration
-im Zusammenhang mit der Entwicklung der Gesamtwirtschaft
-in Deutschland</i> (third edition, Jena, 1909); translated into
-English and published as Senate Document No. 593, Sixty-first
-Congress, Second Session, 1911. References here given are to
-the translation. In this connection <i>cf.</i> “The Oversea and Foreign
-Business of the German Credit Banks,” pp. 420 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_41" id="Footnote_15_41"></a><a href="#FNanchor_15_41"><span class="label">15</span></a> <i>Syria and Palestine</i>, p. 126; <i>The Times</i>, October 28, 1898,
-August 2 and 16, 1899.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_42" id="Footnote_16_42"></a><a href="#FNanchor_16_42"><span class="label">16</span></a> Karl Helfferich, <i>Die deutsche Türkenpolitik</i> (Berlin, 1921),
-pp. 10 <i>et seq.</i>; J. A. R. Marriot, <i>The Eastern Question</i> (Oxford,
-1917), pp. 347 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_43" id="Footnote_17_43"></a><a href="#FNanchor_17_43"><span class="label">17</span></a> L. Ostrorog, <i>The Turkish Problem</i> (London, 1919), pp.
-52–53; E. Dutemple, <i>En Turquie d’Asie</i> (Paris, 1883), pp. 131
-<i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_44" id="Footnote_18_44"></a><a href="#FNanchor_18_44"><span class="label">18</span></a> For a biographical account of General von der Goltz (1843–1916)
-<i>cf.</i> F. W. Wile, <i>Men Around the Kaiser</i> (Philadelphia,
-1913), Chapter XXVI. Bismarck consented to the appointment
-of von der Goltz’s military mission—which was not in accord
-with his general Eastern policy—as a sort of insurance against
-the possibility that chauvinism, Pan-Slavism, and anti-German
-elements in Russia should gain the ascendancy at the court of
-the Tsar. In such an event it might be possible to utilize Turkish
-bayonets and Turkish artillery, especially if they had been
-trained by Prussian officers. <i>Memoirs of Prince Hohenlohe-Schillingsfürst</i>
-(English translation, New York, 1906), Volume
-II, p. 268.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_45" id="Footnote_19_45"></a><a href="#FNanchor_19_45"><span class="label">19</span></a> <i>Recueil d’actes internationaux de l’Empire Ottoman</i>, Volume
-IV (1903), Document No. 960.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_46" id="Footnote_20_46"></a><a href="#FNanchor_20_46"><span class="label">20</span></a> Mary E. Townsend, <i>Origins of Modern German Colonialism</i>
-(New York, 1921), Chapters V-VII; Prince Bismarck, <i>Reflections
-and Reminiscences</i> (New York, 1899), Volume II, pp. 233
-<i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_47" id="Footnote_21_47"></a><a href="#FNanchor_21_47"><span class="label">21</span></a> For this letter, hitherto unpublished, I am indebted to Dr.
-Karl Helfferich, son-in-law of the late George von Siemens.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_48" id="Footnote_22_48"></a><a href="#FNanchor_22_48"><span class="label">22</span></a> The italics are mine.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_49" id="Footnote_23_49"></a><a href="#FNanchor_23_49"><span class="label">23</span></a> <i>Die grosse Politik der europäischen Kabinette, 1871–1914</i>
-(Berlin, 1922 <i>et seq.</i>), Volume VI, pp. 360–361. (A compilation
-of documents from the files of the Foreign Office, edited by <span class="pagenum"><a name="Page_55" id="Page_55">55</a></span>a
-non-partisan commission appointed by the Government of the
-German Republic.) Of Bismarck’s policy in the Near East the
-Ex-Kaiser writes, “Bismarck spoke quite disdainfully of Turkey,
-of the men in high position there, and of conditions in that land.–
-I thought I might inspire him in part with essentially more
-favorable opinions, but my efforts were of little avail.... Prince
-Bismarck was never favorably inclined toward Turkey and never
-agreed with me in my Turkish policy.” W. von Hohenzollern, <i>My
-Memoirs, 1878–1918</i> (New York, 1922), p. 27.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_50" id="Footnote_24_50"></a><a href="#FNanchor_24_50"><span class="label">24</span></a> <i>Diplomatic and Consular Reports</i>, No. 2950 (1902), p. 20.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_51" id="Footnote_25_51"></a><a href="#FNanchor_25_51"><span class="label">25</span></a> For information regarding the appointment of Baron Marschall
-to Constantinople the author is indebted to Dr. Arthur
-von Gwinner, who believes that the Baron was being sentenced
-to political exile when he was detailed to the Sublime Porte,
-but that his opponents overlooked the possibilities of the embassy
-at the Ottoman capital. Wile, <i>op. cit.</i>, Chapter XVIII,
-gives a short biographical account of Baron Marschall.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_52" id="Footnote_26_52"></a><a href="#FNanchor_26_52"><span class="label">26</span></a> <i>Cf.</i> E. Lamy, “La France du Levant: Voyage de l’Empereur
-Guillaume II,” in <i>Revue des deux mondes</i>, Volume 150 (1898),
-pp. 880–911, Volume 151 (1899), pp. 315–348; E. Lewin, <i>The
-German Road to the East</i> (New York, 1917), pp. 105 <i>et seq.</i>;
-C. S. Hurgronje, <i>The Holy War, Made in Germany</i> (New York,
-1915), pp. 70–71; <i>The All Highest Goes to Jerusalem</i>, being an
-English translation of a series of articles published in <i>Le Rire</i>
-(Paris) during 1898 (New York, 1917). In Germany the royal
-pilgrimage was intended to be taken seriously. Herr Heine, of
-the Munich <i>Simplicissimus</i>, was convicted of <i>lèse majesté</i> and
-imprisoned for six months for having published humorous cartoons
-of the Kaiser and his party on their travels. <i>The Annual
-Register</i>, 1898, pp. 255–258.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_53" id="Footnote_27_53"></a><a href="#FNanchor_27_53"><span class="label">27</span></a> The author found some difference of opinion in Germany
-regarding the connection between the Kaiser’s visit and the pending
-Anatolian and Bagdad concessions. Dr. von Gwinner denies
-that there was any such purpose behind the Emperor’s trip to the
-East—or, at least, if there was, that it was unsolicited by the
-promoters and not looked upon with favor by them. Dr. Helfferich,
-on the other hand, is convinced that His Majesty was
-directly concerned with the desirability of obtaining additional
-railway concessions for German financiers. The Kaiser himself
-agrees with Dr. Helfferich. <i>Cf.</i>, <i>My Memoirs, 1878–1918</i>, p. 86.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_54" id="Footnote_28_54"></a><a href="#FNanchor_28_54"><span class="label">28</span></a> <i>Cf.</i> foreign correspondence in <i>The Times</i> (London), October
-25, 1898, and days immediately thereafter.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_55" id="Footnote_29_55"></a><a href="#FNanchor_29_55"><span class="label">29</span></a> For an analysis of this situation see <i>The Manchester Guardian</i>,
-July 31, 1899, which took the stand that “for no sort of
-mercantile gain would a nation be justified in making friendly
-advances to the blood-stained tyrant of Armenia.”</p></div>
-
-<p><span class="pagenum"><a name="Page_56" id="Page_56">56</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_30_56" id="Footnote_30_56"></a><a href="#FNanchor_30_56"><span class="label">30</span></a> In this connection see Leonard Woolf, <i>Economic Imperialism</i>
-(London and New York, 1920), Chapter I; Ramsay Muir, <i>The
-Expansion of Europe</i> (New York, 1917), Chapter I; J. E. Spurr
-(editor), <i>Political and Commercial Geology</i> (New York, 1920),
-Chapter XXXII, entitled “Who Owns the Earth?”; Aspi-Fleurimont,
-“La Question du coton,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 15 (1903), pp. 429–432; J. A. B. Scherer,
-<i>Cotton as a World Power</i> (New York, 1922). In addition, for
-the wider aspects of imperialism, consult H. N. Brailsford, <i>The
-War of Steel and Gold</i> (New edition, London, 1915), Chapter
-II; F. C. Howe, <i>Why War?</i> (New York, 1916), <i>passim</i>; Walter
-Lippman, <i>The Stakes of Diplomacy</i> (New York, 1915); J. A.
-Hobson, <i>Imperialism: A Study</i> (London, 1902).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_57" id="Footnote_31_57"></a><a href="#FNanchor_31_57"><span class="label">31</span></a> W. H. Dawson, <i>The Evolution of Modern Germany</i> (New
-York, 1908), Chapter XII. P. Rohrbach, <i>Deutschland unter den
-Weltvölkern</i>, p. 17.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_58" id="Footnote_32_58"></a><a href="#FNanchor_32_58"><span class="label">32</span></a> Riesser, <i>op. cit.</i>, pp. 110, 121.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_59" id="Footnote_33_59"></a><a href="#FNanchor_33_59"><span class="label">33</span></a> It should be remarked here that the author is not unaware
-of the fallacy of speaking of “German trade” and “German industry.”
-He is cognizant of the fact that trade takes place not
-between countries, but between individuals. If he anthropomorphizes
-the German Empire for the purposes of this description,
-it is not because of either ignorance or malice, but for
-convenience.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_60" id="Footnote_34_60"></a><a href="#FNanchor_34_60"><span class="label">34</span></a> For further consideration of German economic progress during
-the late nineteenth century see: Dawson, <i>op. cit.</i>, Chapters
-III, IV, XII, XVI; E. D. Howard, <i>The Cause and Extent of
-the Recent Industrial Progress of Germany</i> (New York, 1907);
-T. B. Veblen, <i>Imperial Germany and the Industrial Revolution</i>
-(New York, 1915); W. H. Dawson, <i>Industrial Germany</i> (London,
-1913); Karl Helfferich, <i>Germany’s Economic Progress and
-National Wealth</i> (New York, 1913); G. Blondel, <i>L’Essor industriel
-et commercial du peuple allemand</i> (Paris, 1900).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_61" id="Footnote_35_61"></a><a href="#FNanchor_35_61"><span class="label">35</span></a> Paul Dehn, <i>Weltwirtschaftliche Neubildungen</i> (Berlin, 1904),
-<i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_62" id="Footnote_36_62"></a><a href="#FNanchor_36_62"><span class="label">36</span></a> Bernhard von Bülow, <i>Imperial Germany</i> (English translation,
-New York, 1914), pp. 17, 18–20.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_63" id="Footnote_37_63"></a><a href="#FNanchor_37_63"><span class="label">37</span></a> The extent of German economic control of central and eastern
-Europe before the War is indicated by Mr. J. M. Keynes,
-in his book <i>The Economic Consequences of the Peace</i> (New
-York, 1920), pp. 17–18: “Germany not only furnished these countries
-with trade, but in the case of some of them supplied a
-great part of the capital needed for their own development.
-Of Germany’s pre-war foreign investments, amounting in all to
-about six and a half billion dollars, not far short of two and a
-half billions was invested in Russia, Austria-Hungary, Bulgari<span class="pagenum"><a name="Page_57" id="Page_57">57</a></span>a,
-Rumania, and Turkey. And by the system of ‘peaceful penetration’
-she gave these countries not only capital, but what they
-needed hardly less, organization. The whole of Europe east of
-the Rhine thus fell into the German industrial orbit, and its
-economic life was adjusted accordingly.” A frank German admission
-of a policy of a self-sufficient Central Europe is the
-work of Friedrich Naumann, <i>Mittel-Europa</i>, translated into
-English by C. M. Meredith and published under the title <i>Central
-Europe</i> (New York, 1917). See, especially, Chapters IV-VII.
-<i>Cf.</i>, also, Ernst zu Reventlow, <i>Deutschlands auswärtige Politik</i>
-(3rd revised edition, Berlin, 1916), pp. 336 <i>et seq.</i>; K. H. Müller,
-<i>Die Bedeutung der Bagdadbahn</i> (Hamburg, 1916), p. 29.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_64" id="Footnote_38_64"></a><a href="#FNanchor_38_64"><span class="label">38</span></a> Paul Rohrbach, <i>Die Bagdadbahn</i> (Berlin, 1903), p. 16.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_65" id="Footnote_39_65"></a><a href="#FNanchor_39_65"><span class="label">39</span></a> H. A. Gibbons, <i>The Reconstruction of P<span class="pagenum"><a name="Page_58" id="Page_58">58</a></span>oland and the Near
-East</i> (New York, 1917), pp. 57–58. The author is not in agreement
-with either Dr. Rohrbach or Dr. Gibbons. He certainly
-would hesitate to call any imperialist policy “inevitable.”</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_66" id="Footnote_40_66"></a><a href="#FNanchor_40_66"><span class="label">40</span></a> <i>Die deutsche Türkenpolitik</i>, p. 8.</p></div>
-
-<hr />
-
-<h2>CHAPTER IV<br />
-
-THE SULTAN MORTGAGES HIS EMPIRE</h2>
-
-<h3><span class="smcap">The Germans Overcome Competition</span></h3>
-
-<p>During 1898 and 1899 the Ottoman Ministry of Public
-Works received many applications for permission to construct
-a railway to Bagdad. Whatever may have been
-thought later of the financial prospects of the Bagdad
-Railway there was no scarcity then of promoters who were
-willing and anxious to undertake its construction. It was
-not because of lack of competition that the <i>Deutsche Bank</i>
-finally was awarded the all-important concession.</p>
-
-<p>In 1898, for example, an Austro-Russian syndicate proposed
-the building of a railway from Tripoli-in-Syria to
-an unspecified port on the Persian Gulf, with branches
-to Bagdad and Khanikin. The sponsor of the project was
-Count Vladimir I. Kapnist, a brother of the Russian ambassador
-at Vienna and an influential person at the Tsar’s
-court. Count Kapnist had the support of Pobêdonostsev,
-the famous Procurator of the Holy Synod, who was an
-avowed Pan-Slavist and an enthusiastic promoter of Russian
-colonization in Asia Minor.<a name="FNanchor_1_67" id="FNanchor_1_67"></a><a href="#Footnote_1_67" class="fnanchor">1</a> The Sultan instructed
-his Minister of Public Works to study the Kapnist plan
-and submit a report. The Austro-Russian syndicate, however,
-made no further progress at Constantinople. The<span class="pagenum"><a name="Page_59" id="Page_59">59</a></span>
-Sublime Porte obviously was opposed to any expansion
-of Russian influence in Turkey—a point of view which
-received the encouragement of the British and German
-ambassadors. Furthermore, in Russia itself there was
-opposition to Count Kapnist’s project. Count Witte, Imperial
-Minister of Finance, and foremost political opponent
-of Pobêdonostsev, emphasized the strategic menace to
-Russia of improved railway transportation in Turkey and
-sturdily maintained that Russian capital and technical
-skill should be kept at home for the development of Russian
-railways and industry. By the spring of 1899 the
-Kapnist plan had been shelved.<a name="FNanchor_2_68" id="FNanchor_2_68"></a><a href="#Footnote_2_68" class="fnanchor">2</a></p>
-
-<p>In the meantime French bankers had become interested
-in the possibilities of constructing a railway from the
-Mediterranean to the Persian Gulf, utilizing the existing
-railways in Syria as the nucleus of an elaborate system.
-Their spokesman was M. Cotard, an engineer on the staff
-of the Smyrna-Cassaba Railway. This project was possessed
-of such strong financial and political support at
-Constantinople that the <i>Deutsche Bank</i> considered it best
-to negotiate for a merger with the French interests involved.<a name="FNanchor_3_69" id="FNanchor_3_69"></a><a href="#Footnote_3_69" class="fnanchor">3</a>
-Accordingly conversations were held at Berlin
-early in 1899 between the <i>Deutsche Bank</i> and the Anatolian
-Railway Company, on the one hand, and the Imperial
-Ottoman Bank and the Smyrna-Cassaba Railway,
-representing French interests, on the other. The result
-was an important agreement of May 6, 1899, the chief
-provisions of which were as follows:<a name="FNanchor_4_70" id="FNanchor_4_70"></a><a href="#Footnote_4_70" class="fnanchor">4</a></p>
-
-<div class="blockquot">
-
-<p>1. The <i>Deutsche Bank</i> admitted the Imperial Ottoman
-Bank to participation in the proposed Bagdad Railway Company.
-German and French bankers were to be equally represented
-in ownership and control, each to be assigned 40%
-of the capital stock, the remaining 20% to be offered to
-Turkish investors. If British, or other capital were subsequently
-interested in the Company, the share of the new
-participants was to be taken from the German and French
-ho<span class="pagenum"><a name="Page_60" id="Page_60">60</a></span>ldings in equal proportions.</p>
-
-<p>2. A <i>modus vivendi</i> was arrived at between the Anatolian
-and Smyrna-Cassaba Railways. The prevailing rate-war was
-to be stopped; a joint commission was to be appointed to
-agree upon a uniform tariff for the two companies; a junction
-of the two lines was to be effected and maintained at
-Afiun Karahissar for reciprocal through traffic.</p>
-
-<p>3. In order to assure the faithful execution of the agreement
-between the Anatolian and Cassaba railways, each of
-the companies was to designate two of its directors to sit
-on the board of the other.<a name="FNanchor_5_71" id="FNanchor_5_71"></a><a href="#Footnote_5_71" class="fnanchor">5</a></p>
-
-<p>4. French proposals for the construction of a Euphrates
-Valley railway were to be withdrawn.</p>
-
-<p>5. The French and German bankers were to use their
-best offices with their respective governments to secure united
-diplomatic support for the claims of the <i>Deutsche Bank</i> to
-prior consideration in the award of the Bagdad Railway
-concession.</p></div>
-
-<p>This agreement temporarily removed all French opposition
-to the Bagdad Railway. M. Constans, the French
-ambassador at Constantinople, joined Baron Marschall
-von Bieberstein in cordial support of the new “Franco-German
-syndicate.”<a name="FNanchor_6_72" id="FNanchor_6_72"></a><a href="#Footnote_6_72" class="fnanchor">6</a></p>
-
-<p>Competition had arisen, however, from a third source.
-During the summer of 1899 British bankers, represented
-in Constantinople by Mr. E. Rechnitzer, petitioned for
-the right to construct a railway from Alexandretta to
-Bagdad and the Persian Gulf. The terms offered by
-the British financiers were considered more liberal than
-any heretofore proposed,<a name="FNanchor_7_73" id="FNanchor_7_73"></a><a href="#Footnote_7_73" class="fnanchor">7</a> and they were endorsed by the
-Ministry of Public Works. Mr. Rechnitzer enlisted the
-aid of Mahmoud Pasha, a brother-in-law of the Sultan.
-He secured the assistance of Sir Nicholas O’Connor, the
-British ambassador. He attended to the niceties of Orien<span class="pagenum"><a name="Page_61" id="Page_61">61</a></span>tal
-business by sending the Sultan and his aids costly
-presents.<a name="FNanchor_8_74" id="FNanchor_8_74"></a><a href="#Footnote_8_74" class="fnanchor">8</a> He engineered an effective press campaign in
-Great Britain to arouse interest in his project. Just how
-much success Mr. Rechnitzer’s plan might have achieved
-on its own merits is an open question. It definitely collapsed,
-however, in October, 1899, when the outbreak of
-the Boer War diverted British attention and energies from
-the Near East to South Africa.<a name="FNanchor_9_75" id="FNanchor_9_75"></a><a href="#Footnote_9_75" class="fnanchor">9</a> It was under these circumstances
-that the Sultan, on November 27, 1899,
-announced his decision to award to the <i>Deutsche Bank</i> the
-concession for a railway from Konia to Bagdad and the
-Persian Gulf.<a name="FNanchor_10_76" id="FNanchor_10_76"></a><a href="#Footnote_10_76" class="fnanchor">10</a></p>
-
-<p>The success of the Germans was not unexpected. They
-had a strong claim to the concession, for, in 1888 and
-again in 1893, the Sultan had assured the Anatolian Railway
-Company that it should have priority in the construction
-of any railway to Bagdad. On the strength of that
-assurance, the Anatolian Company had conducted expensive
-surveys of the proposed line.<a name="FNanchor_11_77" id="FNanchor_11_77"></a><a href="#Footnote_11_77" class="fnanchor">11</a> After a short period
-of sharp competition for the concession in 1899, the
-<i>Deutsche Bank</i> group was left in sole possession of the
-field—the Russian promoters had withdrawn because of
-lack of support at home; the French financiers had accepted
-a share in the German company in preference to
-sole responsibility for the enterprise; the British proposals
-had lost support when the Boer difficulty temporarily obscured
-all other issues. The diplomatic situation, furthermore,
-was distinctly favorable to the German claims. The
-Fashoda Affair and the serious Anglo-Russian rivalry in
-the Middle East had served to put Russia, France, and
-Great Britain at sixes and sevens, leaving Germans practically
-a free hand in the development of their interests
-in Asia Minor.</p>
-
-<p>Aside from these purely temporary advantages, however,
-there were excellent reasons, from the Ottoman point of<span class="pagenum"><a name="Page_62" id="Page_62">62</a></span>
-view, for awarding the Bagdad Railway concessions to the
-German Anatolian Railway Company. The usual explanations—that
-the soft, sweet-sounding flattery of William II
-overcame the shrewdness of Abdul Hamid; that Baron
-Marschall von Bieberstein dominated the entire diplomatic
-situation at the Porte; that the German military mission
-exerted a powerful influence in the final result—are more
-obvious than convincing. These were all contributing factors
-in the success of the Germans, but they were not
-determining factors. The reasons for the award of the
-concession to the <i>Deutsche Bank</i> were partly economic,
-partly strategic, partly political.</p>
-
-<p>The Germans alone submitted proposals which met the
-demands of the Public Debt Administration and the Ottoman
-Government. They proposed to extend the existing
-Anatolian Railway from Konia, across the mountains into
-Cilicia and Syria, down the valley of the Tigris to Bagdad
-and Basra and the Persian Gulf. The railway which
-they had in mind would reach from one end of Asiatic
-Turkey to the other; in connection with the railways of
-southern Anatolia and of Syria, it would provide continuous
-railway communication between Constantinople
-and Smyrna in the north and west, with Aleppo, Damascus,
-Beirut, Mecca, and Mosul in the south and east. There
-were serious technical and financial difficulties in the
-construction of such a railway, it is true, but there were
-political and economic considerations which warranted
-the expenditure of whatever effort and funds might be
-necessary to carry the line to completion.</p>
-
-<p>On the other hand, the groups other than the Germans
-proposed the construction of a trans-Mesopotamian railway
-which did not come up to specifications. They submitted
-plans calling for the building of a line from some
-Mediterranean port—such as Alexandretta or Tripoli-in-Syria—down
-the Euphrates valley to the Persian Gulf.<a name="FNanchor_12_78" id="FNanchor_12_78"></a><a href="#Footnote_12_78" class="fnanchor">12</a><span class="pagenum"><a name="Page_63" id="Page_63">63</a></span>
-Such a line would have had obvious advantages, from
-the point of view of the concessionaires, over the projected
-German railway. The cost of construction would
-have been materially less, for it would have been unnecessary
-to build the costly sections across the Taurus and
-Amanus mountains. The prospects of immediate earning
-power were better, for the railway would have been able
-to take over some of the caravan trade from Arabia to
-the Syrian coast and from Mesopotamia to Aleppo. From
-the Ottoman point of view, however, the proposal was
-altogether unsatisfactory. The railway would have developed
-the southern provinces of the empire without
-connecting them with Anatolia, the homeland of the Turks
-themselves and the heart of the Sultan’s dominions. It
-might have promoted a separatist movement among the
-Arabs. Its termini on the Mediterranean and the Persian
-Gulf could have been controlled by the guns of a foreign
-fleet. From every standpoint—economic, political, strategic—the
-acceptance of such a proposal was out of the
-question.</p>
-
-<p>Even had all other things been equal, it is probable
-that the German bankers would have been given preference
-in the award of the concession. The Turkish Government
-was determined that the Anatolian lines should be
-made the nucleus of the proposed railway system for the
-empire. That being the case, no purpose, other than the
-promotion of confusion, would have been served by
-awarding the Bagdad plum to interests other than those
-which controlled the Anatolian Railway Company. This
-reasoning was fortified by the fact that the Company had
-made an enviable record in its dealings with the Ottoman
-Ministry of Public Works. The existing lines were well
-constructed and were being operated in a manner entirely
-satisfactory to the Ottoman Government and to the peasantry
-and business men of Anatolia. And M. Huguenin,<span class="pagenum"><a name="Page_64" id="Page_64">64</a></span>
-Assistant General Manager of the Anatolian system, announced
-that his Company would observe a similar policy
-in the construction and operation of the proposed Bagdad
-Railway. “We are determined,” he said, “to build a model
-line such as exists nowhere in Turkey, able in all respects
-to undertake efficiently an international service involving
-high speeds over the whole line.”<a name="FNanchor_13_79" id="FNanchor_13_79"></a><a href="#Footnote_13_79" class="fnanchor">13</a></p>
-
-<p>From the political point of view, too, there were reasons
-for giving preference to German capitalists. Abdul Hamid
-was seeking moral and material assistance for the promotion
-of his favorite doctrine of Pan-Islamism. He
-sought to foster this movement, which looked toward the
-unification of Islamic communities for resistance to Christian
-European domination over the Moslem world. As
-Caliph of the Mohammedan world, Abdul Hamid placed
-himself at the head of those defenders of the faith who
-had been propagating the idea that Mussulmans everywhere
-must resist further Christian encroachment and
-aggression, be it political, economic, religious, cultural.
-That the Sultan’s primary motives were religious is doubtful.
-Apparently he believed that the Pan-Islamic movement
-could be utilized to the greater glory of his dynasty
-and his empire. As the tsars of Russia had utilized their
-position as head of the Orthodox Church for the purpose
-of strengthening the power of the autocracy, so Abdul
-Hamid proposed to exploit his position as Caliph for purposes
-of personal and dynastic aggrandizement.<a name="FNanchor_14_80" id="FNanchor_14_80"></a><a href="#Footnote_14_80" class="fnanchor">14</a></p>
-
-<p>In awarding the Bagdad Railway concession, which
-was of such considerable economic and political importance,
-it was essential to choose the nationals of a power
-which would be sympathetic toward Pan-Islamism. Would
-it be Russia, whose tsars had set fires in Afghanistan,
-sought to destroy the independence of Persia, and threatened
-all of the Middle East? Would it be Great Britain,
-whose professional imperialists were holding in subjection<span class="pagenum"><a name="Page_65" id="Page_65">65</a></span>
-more than sixty million Mohammedans in India alone?
-Would it be France, whose soldiers controlled the destinies
-of millions of Mussulmans in Algeria and Tunis? These
-nations could have no feeling for Pan-Islamism other than
-fear and hatred,<a name="FNanchor_15_81" id="FNanchor_15_81"></a><a href="#Footnote_15_81" class="fnanchor">15</a> for it threatened their dominion over
-their Moslem colonies. Germany, however, had everything
-to gain and nothing to lose in lending support to Abdul
-Hamid’s Pan-Islamic program. She had practically no
-Mohammedan subjects and therefore had no reason to
-fear Moslem discontent. She had imperial interests which
-might be served by the revolt of Islam against Christian
-domination.<a name="FNanchor_16_82" id="FNanchor_16_82"></a><a href="#Footnote_16_82" class="fnanchor">16</a></p>
-
-<p>Turkish patriots, as well as Moslem fanatics, would
-have preferred to see Germans favored in the award of
-economic concessions in the Ottoman Empire. The Germans
-came to Turkey with clean hands. Their Government
-had never despoiled the Ottoman Empire of territory
-and appeared to have no interests which could not be as
-well served by the strengthening of Turkey as by its destruction.
-On the other hand, Russia, traditional enemy of
-the Turks, sought, as the keystone of her foreign policy,
-to acquire Constantinople and the Straits. France, by
-virtue of her protectorate over Catholics in the lands of
-the Sultan, sought to maintain special privileges for herself
-in Syria and the Holy Land. Great Britain held Egypt,
-a nominal Turkish dependency, and was fomenting trouble
-for the Sultan in the region of the Persian Gulf.<a name="FNanchor_17_83" id="FNanchor_17_83"></a><a href="#Footnote_17_83" class="fnanchor">17</a> Germany,
-it appeared, was the only sincere and disinterested
-friend of the Ottoman Empire!</p>
-
-<p>The rising prestige of Germany in the Near East and
-the rapid expansion of German economic interests in
-Turkey, however, did not, during these crucial years of
-1898–1900, arouse the fear or the cupidity of other European
-powers. Russia, it is true, objected for strategic
-reasons to the construction of the proposed Bagda<span class="pagenum"><a name="Page_66" id="Page_66">66</a></span>d Railway
-<i>via</i> the so-called “northern” or trans-Armenian route
-from Angora. But when the Tsar was assured by the
-Black Sea Basin Agreement that a southern route from
-Konia would be substituted, M. Zinoviev, the Russian minister
-at Constantinople, withdrew his formal diplomatic
-protest.<a name="FNanchor_18_84" id="FNanchor_18_84"></a><a href="#Footnote_18_84" class="fnanchor">18</a> The French Government adopted a policy of
-benevolent neutrality toward the claims of the <i>Deutsche
-Bank</i> for the concession, on the ground that the Imperial
-Ottoman Bank, representing powerful financial interests
-in Paris, was to be given a substantial participation in the
-proposed Bagdad Railway Company. The pact of May 6,
-1899, between the German and French promoters satisfied
-even M. Delcassé!<a name="FNanchor_19_85" id="FNanchor_19_85"></a><a href="#Footnote_19_85" class="fnanchor">19</a></p>
-
-<p>In Great Britain, likewise, there was the friendliest feeling
-toward the German proposals. When the Kaiser made
-his second visit to the Near East in 1898 the London
-<i>Times</i> said: “In this country we can have nothing but
-good wishes for the success of the Emperor’s journey and
-for any plans of German commercial expansion which may
-be connected with it. Some of us may perhaps be tempted
-to regret lost opportunities for our own influence and our
-own trade in the Ottoman dominions. But we can honestly
-say that if we were not to have these good things for
-ourselves, there are no hands we would rather see them
-in than in German hands.”<a name="FNanchor_20_86" id="FNanchor_20_86"></a><a href="#Footnote_20_86" class="fnanchor">20</a> <i>The Morning Post</i> of
-August 24, 1899, expressed the hope that no rivalry over
-the Bagdad Railway would prejudice the good relations
-between Great Britain and Germany. “So long as there
-is an efficient railway from Haidar Pasha to Bagdad, and
-so long as the door there is open, it should not really
-matter who makes the tunnels or pays the porters. If it
-should be necessary to insist on an open door, the Foreign
-Office will probably see to it; while if it should happen to
-be, as usual, asleep, there are always means of poking it up.
-As a matter of general politics it may not be at all a bad
-thing to give Germany a strong reason for defending th<span class="pagenum"><a name="Page_67" id="Page_67">67</a></span>e
-integrity of Turkey and for resisting aggression on Asia
-Minor from the North.”</p>
-
-<p>Sympathetic consideration of German expansion in the
-Near East was not confined to the press. Cecil Rhodes,
-great apostle of British imperialism, visited Germany in
-the spring of 1899 and came away from Berlin favorably
-disposed toward the Bagdad Railway and none the less
-pleased with the Kaiser’s apparent enthusiasm for the
-Cape-to-Cairo plan. In November of the same year
-William II paid a royal visit to England. It was then that
-Joseph Chamberlain, Secretary for the Colonies, learned
-the details of German plans in the Ottoman Empire, but, so
-far from being alarmed, he publicly announced his belief in
-the desirability of an Anglo-German entente. The almost
-simultaneous announcement of the award of the preliminary
-Bagdad Railway concession met with a favorable
-reception from the British press.<a name="FNanchor_21_87" id="FNanchor_21_87"></a><a href="#Footnote_21_87" class="fnanchor">21</a></p>
-
-<p>At the same time, however, less cordial sentiments
-were expressed toward Russia and France. There was
-general agreement among the London newspapers regarding
-at least one desirable feature of the Bagdad
-Railway enterprise: the discomfiture it would be certain to
-cause the Tsar in his imperial ambitions in the Near East.
-<i>The Globe</i> characterized as “impudence” the desire of
-Russia to regard Asiatic Turkey as “a second Manchuria.”<a name="FNanchor_22_88" id="FNanchor_22_88"></a><a href="#Footnote_22_88" class="fnanchor">22</a>
-No love was being lost, either, on France.
-<i>The Daily Mail</i> of November 9, 1899, said: “The French
-have succeeded in wholly convincing John Bull that they
-are his inveterate enemies. England has long hesitated
-between France and Germany. But she has always respected
-German character, while she has gradually come
-to feel scorn for France. Nothing in the nature of an
-<i>entente cordiale</i> can exist between England and her nearest
-neighbor. France has neither courage nor political
-sense.”</p>
-<p><span class="pagenum"><a name="Page_68" id="Page_68">68</a></span></p>
-
-<h3><span class="smcap">The Bagdad Railway Concession Is Granted</span></h3>
-
-<p>It was almost three years after the Sultan’s preliminary
-announcement of the Bagdad concession that the imperial
-decree was issued. During the interval the German technical
-commission was completing its survey of the line;
-details of the concession were being arranged between
-Zihni Pasha, Minister of Public Works, and Dr. Kurt
-Zander, General Manager of the Anatolian Railway Company;
-Dr. von Siemens was working out plans for the
-financing of the enterprise. Finally, on March 18, 1902,
-an imperial <i>iradé</i> of Abdul Hamid II definitely awarded
-the Bagdad Railway concession to the Anatolian Railway
-Company.<a name="FNanchor_23_89" id="FNanchor_23_89"></a><a href="#Footnote_23_89" class="fnanchor">23</a></p>
-
-<p>The Constantinople despatches announcing the Sultan’s
-award met with a varied reception. In Germany, of course,
-there was general satisfaction and, in some quarters, jubilation.
-The Kaiser telegraphed his personal thanks to the
-Sultan. In Vienna, the semi-official <i>Fremdenblatt</i> expressed
-the opinion that “the construction of the railway
-would be an event of the greatest economic and political
-importance and would materially strengthen Turkey’s
-power of resistance.”<a name="FNanchor_24_90" id="FNanchor_24_90"></a><a href="#Footnote_24_90" class="fnanchor">24</a> M. Delcassé, French Minister of
-Foreign Affairs, interpolated in the Chamber, informed
-the Deputies that, whether one liked it or not, the convention
-was a <i>fait accompli</i> which France must accept,
-particularly because French capitalists were associated
-with the German concessionaires in the enterprise.<a name="FNanchor_25_91" id="FNanchor_25_91"></a><a href="#Footnote_25_91" class="fnanchor">25</a> The
-Russian Government was silent at the time, although two
-months before M. Witte had informed the press that he
-saw no reason for granting financial assistance or diplomatic
-acquiescence to a possible competitor of Russian
-trans-Asiatic railways.<a name="FNanchor_26_92" id="FNanchor_26_92"></a><a href="#Footnote_26_92" class="fnanchor">26</a></p>
-
-<p>In England there was very little opposition, but much<span class="pagenum"><a name="Page_69" id="Page_69">69</a></span>
-friendly comment, on the German plans. Earl Percy expressed
-the hope that Great Britain would do nothing to
-interfere with the construction of the Bagdad Railway.
-“Germany,” he told the House of Commons, “is doing
-for Turkey what we have been doing for Persia, for the
-social improvement and material welfare of native races;
-and in the struggle between the Slavonic policy of compelling
-stagnation and the Teutonic policy of spreading
-the blessings and enlightenment of civilization, the victory
-will lie with those nations which are striving, selfishly or
-unselfishly, consciously or unconsciously, to fulfil the high
-aims which Providence has entrusted to the imperial races
-of Christendom.” Lord Cranborne, Under-Secretary for
-Foreign Affairs, announced that, although the Government
-had every intention of maintaining the <i>status quo</i>
-in the Persian Gulf, it would not otherwise interfere in
-the project for a German-owned trans-Mesopotamian railway.
-Lord Lansdowne, Secretary for Foreign Affairs,
-informed the French and German ambassadors at London
-that His Britannic Majesty’s Government would not
-oppose the Bagdad enterprise, particularly if British capital
-were invited to participate in its consummation.<a name="FNanchor_27_93" id="FNanchor_27_93"></a><a href="#Footnote_27_93" class="fnanchor">27</a> This
-was taken as a definite promise, for English financiers
-already had been asked to take a share in the Bagdad Railway
-Company by purchase, <i>pro rata</i>, of portions of the
-holdings of the German and French interests.<a name="FNanchor_28_94" id="FNanchor_28_94"></a><a href="#Footnote_28_94" class="fnanchor">28</a></p>
-
-<p>Although there was a noticeable lack of unanimity in
-European diplomatic circles, little or no reason existed
-in 1902 to believe that any determined resistance would
-be made to the consummation of the plans for the construction
-of the Bagdad Railway. The chief difficulties of
-the concessionaires seemed to be not political, but financial
-and administrative. The year 1902 was one of economic
-depression; in Germany, in particular, industrial and financial
-conditions were distinctly unfavorable for the flotation<span class="pagenum"><a name="Page_70" id="Page_70">70</a></span>
-of a large bond issue such as would be required to
-raise funds for the construction of the Bagdad Railway.
-Certain of the minor provisions of the convention of
-1902, furthermore, were unsatisfactory to the financiers
-of the project. The concession for the lines beyond Konia
-had been granted to the Anatolian Railway Company
-without privilege of assignment to any other corporation.
-This meant that any participation of outside capital in the
-new Bagdad Railway would, of necessity, involve participation
-in the profits of the Anatolian lines already in
-operation—a prospect by no means pleasing to the original
-promoters. Furthermore, there was some question
-as to the advisability of placing under a single administrative
-head all of the line and branches from Constantinople
-to the Gulf.<a name="FNanchor_29_95" id="FNanchor_29_95"></a><a href="#Footnote_29_95" class="fnanchor">29</a></p>
-
-<p>It was because of these difficulties, financial and
-administrative, that the <i>Deutsche Bank</i> marked time until
-March 5, 1903, when a revised Bagdad Railway convention
-was executed and plans were perfected for the financing
-of the first section of the line. It is to this Great
-Charter of the Berlin-to-Bagdad plan that we now must
-turn our attention.<a name="FNanchor_30_96" id="FNanchor_30_96"></a><a href="#Footnote_30_96" class="fnanchor">30</a></p>
-
-<p>The definitive convention of 1903 provided that the existing
-Anatolian lines were to continue in the possession of
-their owners; the construction and operation of the new
-railway beyond Konia was to be vested—without right
-of cession, transfer, or assignment—in a new corporation,
-the Bagdad Railway Company. This new company
-was incorporated under Turkish law on March 5, 1903,
-with a capital stock of fifteen million francs, of which
-the Anatolian Railway Company subscribed ten per cent.
-Continued Turco-German control of the railway enterprise
-was assured by a provision of the charter that of the
-eleven members of the Board of Directors, three should
-be appointed by the directors of the Anatolian Railway
-Company, and at least three others should be Ottoman<span class="pagenum"><a name="Page_71" id="Page_71">71</a></span>
-subjects.<a name="FNanchor_31_97" id="FNanchor_31_97"></a><a href="#Footnote_31_97" class="fnanchor">31</a></p>
-
-<p>It was apparent that the Ottoman Government expected
-big things of the German concessionaires and their French
-associates. The new convention provided, first, for the
-construction of a great trunk line from Konia, southeastern
-terminus of the existing Anatolian Railways, to the
-Persian Gulf. This was to be the Bagdad Railway proper,
-but the concession carried with it, also, the privilege of
-constructing important branches in Syria and Mesopotamia.
-With all its proposed tributary lines completed,
-the Railway would stretch from the Bosporus to the Persian
-Gulf and from the Mediterranean to the frontiers
-of Persia. Second, it was stipulated that the Anatolian
-Railway Company should effect any necessary improvements
-on its lines to make possible the early initiation of
-a weekly express service between Constantinople and
-Aleppo and the operation of fortnightly express trains
-to Bagdad and the Persian Gulf as soon as the lines should
-be completed. The Anatolian concessions were extended
-for a period of ninety-nine years from 1903 to make them
-coincident with the new concession. The concessionaires
-were obliged to make all improvements and to complete
-all new construction by 1911, it being understood, however,
-that this time limit might be extended in the event
-of delays by the Government in the execution of the
-financial arrangements or in the event of <i>force majeure</i>—the
-latter specifically including, not only a European war,
-but any radical change in the financial situation in Germany,
-England, or France.<a name="FNanchor_32_98" id="FNanchor_32_98"></a><a href="#Footnote_32_98" class="fnanchor">32</a></p>
-
-<h3><span class="smcap">The Locomotive Is to Supplant the Camel</span></h3>
-
-<p>The Bagdad Railway was to revive the “central route”
-of medieval tra<span class="pagenum"><a name="Page_72" id="Page_72">72</a></span>de—to traverse one of the world’s historic
-highways. It was to bring back to Anatolia, Syria, and
-Mesopotamia some of the prosperity and prestige which
-they had enjoyed before the explorations of the Portuguese
-and Spaniards had opened the new sea routes to
-the Indies.<a name="FNanchor_33_99" id="FNanchor_33_99"></a><a href="#Footnote_33_99" class="fnanchor">33</a></p>
-
-<p>The starting point of the new railway was to be Konia.
-This town of 44,000 inhabitants, situated high in the
-Anatolian plateau, was a landmark in the Near East.
-It was once the capital of the Seljuk Turks and during
-its heyday had been a crossroads of the caravan routes
-of Asia Minor. Along one of these old routes to the
-northwest ran the Anatolian Railway, with which the
-Bagdad line was to be linked. From Konia the new
-railway was to cross the Anatolian table-lands, at an
-average altitude of 3500 feet, passing through the towns
-of Karaman and Eregli. Just beyond the latter town are
-the foothills of the Taurus, the first of the mountain
-barriers between Asia Minor and the Mesopotamian
-valley. In crossing the Taurus range the railway was to
-pass through the famous Cilician Gates, down the eastern
-slope into the fertile Cilician plain. At Adana, center of
-the trade of this region, a junction was to be effected with
-the existing railway to Mersina, a small port on the
-Mediterranean.<a name="FNanchor_34_100" id="FNanchor_34_100"></a><a href="#Footnote_34_100" class="fnanchor">34</a></p>
-
-<p>Formidable engineering difficulties faced the succeeding
-stretch of the railway. Beyond Adana stood the
-second mountain barrier of the Amanus range, through
-which there was no natural pass, and it was apparent that
-costly blasting and tunneling would be required before the
-hills could be pierced.<a name="FNanchor_35_101" id="FNanchor_35_101"></a><a href="#Footnote_35_101" class="fnanchor">35</a> Once beyond the mountains the
-railway could be carried quickly to Aleppo, a city of
-128,000, “the emporium of northern Syria,” and a meeting
-place for the Mesopotamian, Syrian, and Anatolian
-trade-routes. At this point connections were to be established
-with the important railways of Syria, providing<span class="pagenum"><a name="Page_73" id="Page_73">73</a></span>
-direct communication with Hama, Homs, Tripoli-in-Syria,
-Beirut, Damascus, Jaffa, and Jerusalem. In fact, enthusiastic
-Syrians have prophesied that when all projected transcontinental
-railways are completed in Europe, Asia, and
-Africa, Aleppo will become “the crossroads of the
-world”—a junction point for rail communication between
-Berlin and Bagdad, Calais and Calcutta, Bordeaux and
-Bombay, Moscow and Mecca, Constantinople and Cairo
-and Cape Town.<a name="FNanchor_36_102" id="FNanchor_36_102"></a><a href="#Footnote_36_102" class="fnanchor">36</a> Seventy miles away from Aleppo,
-along one of the few good wagon roads in Turkey, lay the
-important Mediterranean port of Alexandretta. Leaving
-Aleppo, the Bagdad Railway was to turn east, crossing a
-desert country, to Nisibin and to Mosul, on the Tigris.
-From this sector of the railway it was proposed to construct
-several short spurs into the Armenian foothills, as
-well as a longer branch from Nisibin to Diarbekr and
-Kharput.</p>
-
-<p>The city of Mosul is the northern gateway to the Mesopotamian
-valley, the “Land of the Two Rivers.” In medieval
-times it was a center of caravan routes between
-Persia, Mesopotamia, Syria, and Anatolia, and once was
-famed for its textile manufactures, which produced a
-cloth named after the city, “muslin.” It is located on the
-site of a suburb of the ancient city of Nineveh and guards
-a high pass leading through the mountains into Armenia.
-In 1903 it had a population of 61,000 and bade fair, after
-the completion of the Bagdad Railway, to regain some
-of its lost lustre. South and southeast of Mosul flows
-the Tigris River all the way to the Persian Gulf. Along
-the valley of this river was to run the new railway, through
-the towns of Tekrit, Samarra, and Sadijeh, to Bagdad.<a name="FNanchor_37_103" id="FNanchor_37_103"></a><a href="#Footnote_37_103" class="fnanchor">37</a></p>
-
-<p>In 1903 the splendor of the ancient city of Bagdad was
-very much dimmed. Although it still was the center of
-an important caravan trade with Persia, Arabia, and Syria,
-its prosperity was but a name compared with the riches<span class="pagenum"><a name="Page_74" id="Page_74">74</a></span>
-which the city had enjoyed before the commercial revolution
-of the sixteenth century. The population of 145,000—in
-part nomad—was to a large extent dependent upon the
-important export trade in dates and cereals, amounting, in
-1902, to almost £1,000,000. All told, the trade of Bagdad
-was valued at about £2,500,000 annually. Whether the
-shadow of the former great Bagdad could be transformed
-into a living thing was an open question.<a name="FNanchor_38_104" id="FNanchor_38_104"></a><a href="#Footnote_38_104" class="fnanchor">38</a></p>
-
-<p>Five hundred miles south of Bagdad is the Persian
-Gulf,<a name="FNanchor_39_105" id="FNanchor_39_105"></a><a href="#Footnote_39_105" class="fnanchor">39</a> the proposed terminus of the Bagdad Railway.
-About sixty miles north of the Gulf, located on the Shatt-el-Arab—the
-confluence of the Tigris and Euphrates
-Rivers—is the port of Basra, the outlet for the trade of
-Bagdad. Communication between these two Mesopotamian
-cities was carried on, in 1903, by means of a weekly
-steamer service operated by the English firm of Lynch
-Brothers, under the name “The Euphrates and Tigris
-Steam Navigation Company, Ltd.” The Lynch Brothers—typical
-British imperial pathfinders—had established themselves
-at Basra during the decade 1840–1850 and had succeeded
-during the following half-century in securing a
-practical monopoly of the river trade from Bagdad to
-the Persian Gulf. The absence of effective competition
-and the hesitancy of the Turkish Government to grant
-permission for the operation of additional steamers were
-responsible for a totally inadequate service. It was not
-uncommon for freight to stand on the wharves at Bagdad
-and Basra for three months or more awaiting transportation.
-Under these circumstances it was to be expected
-that freight charges would be exorbitant; it cost more to
-transfer cargoes from Bagdad to Basra than from Basra
-to London. The advent of the Bagdad Railway promised
-great things for the trade of lower Mesopotamia and
-Persia.<a name="FNanchor_40_106" id="FNanchor_40_106"></a><a href="#Footnote_40_106" class="fnanchor">40</a></p>
-
-<p>It was the aim of the Turkish Government and the<span class="pagenum"><a name="Page_75" id="Page_75">75</a></span>
-concessionaires not only to compete with the river trade
-of the Tigris, but to develop the Euphrates valley as well,
-there being no steamer service on the latter river. With
-this in mind, it was decided to divert the railway beyond
-Bagdad from the Tigris to the Euphrates and down the
-valley to Basra. For a time Basra was to mark the terminus
-of the railway; the concession made provision, however,
-for the eventual construction of a branch “from
-Zubeir to a point on the Persian Gulf to be agreed upon
-between the Imperial Ottoman Government and the concessionaires.”<a name="FNanchor_41_107" id="FNanchor_41_107"></a><a href="#Footnote_41_107" class="fnanchor">41</a></p>
-
-<p>Of considerable importance was a proposed branch line
-from Sadijeh, on the Tigris, to Khanikin, on the Persian
-frontier. This railway, it was believed, would take the
-place of the existing caravan route from Bagdad to Khanikin
-and thence to Teheran. The annual value of British
-trade alone transported <i>via</i> this route was estimated at
-about three quarters of a million pounds sterling.<a name="FNanchor_42_108" id="FNanchor_42_108"></a><a href="#Footnote_42_108" class="fnanchor">42</a></p>
-
-<p>The Bagdad Railway, as thus projected, was one of the
-really great enterprises of an era of dazzling railway construction.
-Here was a transcontinental line stretching
-some twenty-five hundred miles from Constantinople, on
-the Bosporus, to Basra, on the Shatt-el-Arab—a project
-greater in magnitude than the Santa Fé line from Chicago
-to Los Angeles or the Union Pacific Railway from Omaha
-to San Francisco.<a name="FNanchor_43_109" id="FNanchor_43_109"></a><a href="#Footnote_43_109" class="fnanchor">43</a> It was a promise of the rejuvenation
-of three of the most important parts of the Ottoman Empire—eastern
-Anatolia, northern Syria, and Mesopotamia.
-It was to open to twentieth-century steel trains a fifteenth-century
-caravan route. It was to replace the camel with
-the locomotive.</p>
-
-<h3><span class="smcap">The Sultan Loosens the Purse-Strings</span></h3>
-
-<p>There are special and peculiar problems connected wi<span class="pagenum"><a name="Page_76" id="Page_76">76</a></span>th
-the construction of railways in the economically backward
-areas of the world. In well populated regions, such as
-western Europe, railways have been built to accommodate
-existing traffic; in sparsely populated regions, such as eastern
-Russia and western United States, they have been constructed
-chiefly to create new traffic. In the economically
-advanced countries of the world the railway has been the
-result of civilization; in the backward countries it has
-been the outpost of civilization. A new railway in an undeveloped
-region is obliged at the outset to concern itself
-mainly with the upbuilding of the territory through which
-it runs, in order to assure abundant traffic for the future;
-during this period its receipts are rarely, if ever, adequate
-to meet the costs of operation. Private capital cannot be
-expected to assume alone the risk and burden thus involved,
-but the public service which the railway renders
-during this critical time justifies the government in subsidizing
-the enterprise until it can become self-supporting.
-The granting of state subventions has been a common
-practice of the nineteenth and twentieth centuries. China
-time and time again has pledged national revenues in
-support of railway construction; the Latin-American countries
-have been conspicuous exemplars of the same practice;
-more than half of the railways of Russia were
-constructed with government funds.<a name="FNanchor_44_110" id="FNanchor_44_110"></a><a href="#Footnote_44_110" class="fnanchor">44</a></p>
-
-<p>There was every reason to believe that the Bagdad Railway
-would be built with some system of state guarantees.
-Almost every railway in Asiatic Turkey at one time or
-another had been the recipient of a government subvention,
-and the proposed trans-Mesopotamian railway faced many
-more obstacles than had faced any then in operation. The
-provinces through which the Bagdad Railway was to pass
-were sparsely settled and were too backward, economically,
-to warrant the construction of a railway for the accommodation
-of existing traffic;<a name="FNanchor_45_111" id="FNanchor_45_111"></a><a href="#Footnote_45_111" class="fnanchor">45</a> the German technical commis<span class="pagenum"><a name="Page_77" id="Page_77">77</a></span>sion
-of 1899 had pointed out that the estimated gross
-operating revenue for some years would be entirely inadequate
-to pay the expenses of running trains even if there
-should be an unlooked for volume of passenger and mail
-service to India. In time, it was believed, improved
-transportation and greater political security would induce
-immigration and produce widespread economic prosperity
-in the provinces of Anatolia, Syria, and Mesopotamia, thus
-assuring financial independence to the railway.<a name="FNanchor_46_112" id="FNanchor_46_112"></a><a href="#Footnote_46_112" class="fnanchor">46</a> During
-the interim, however, a state guarantee appeared to be
-necessary.</p>
-
-<p>Under the terms of the convention of 1903, the Turkish
-Government undertook partially to finance the construction
-of the Bagdad Railway. For each kilometre of the line
-built the Government agreed to issue to the Company
-the sum of 275,000 francs, nominal value, in Imperial
-Ottoman bonds, to be secured by a first mortgage on the
-railway and its properties.<a name="FNanchor_47_113" id="FNanchor_47_113"></a><a href="#Footnote_47_113" class="fnanchor">47</a> The payment of interest
-and sinking fund on these bonds was to be guaranteed
-by the assignment to the Public Debt Administration for
-this purpose of the revenues of certain of the districts
-through which the railway was to pass. For the purpose
-of financing the first section of two hundred kilometres
-beyond Konia, there was delivered to the Company on
-March 5, 1903, an issue of fifty-four million francs of
-“Imperial Ottoman Bagdad Railway Four Per Cent Bonds,
-First Series.”<a name="FNanchor_48_114" id="FNanchor_48_114"></a><a href="#Footnote_48_114" class="fnanchor">48</a> Similar payment for the construction
-of subsequent sections was to be made the subject of
-further agreement between the Government and the concessionaires.</p>
-
-<p>In addition to supplying in this manner the actual
-funds for the building of the railway, the Ottoman Government
-guaranteed gross operating receipts of forty-five
-hundred francs annually for each kilometre of the
-line open to traffic. If the receipts failed to reac<span class="pagenum"><a name="Page_78" id="Page_78">78</a></span>h that
-sum, the Government was to reimburse the Company for
-the deficiency. If the receipts amounted to more than
-forty-five hundred francs per kilometre in any given
-year, the excess over that amount to ten thousand francs
-was to belong to the Government; any excess over and
-above ten thousand francs was to be divided sixty per cent
-to the Government, forty per cent to the Railway. The Government
-also agreed to reimburse the Company, in thirty
-annual payments of three hundred fifty thousand francs,
-for such improvements as might be necessary to prepare
-the Anatolian Railways for the initiation of a through
-express service to the Persian Gulf and, furthermore, to
-subsidize that express service at the rate of three hundred
-fifty thousand francs annually from the date of the completion
-of the main line to Aleppo.<a name="FNanchor_49_115" id="FNanchor_49_115"></a><a href="#Footnote_49_115" class="fnanchor">49</a></p>
-
-<p>Closely connected with these financial guarantees were
-grants of public lands. Lands owned by the Government
-and needed for right-of-way were transferred to the concessionaires
-free of any charge. Additional land required
-for construction purposes might be occupied without rental
-as well as worked by the Company for sand and gravel.
-Wood and timber necessary for the construction and
-operation of the railway might be cut from State-owned
-forests without compensation. The concessionaires were
-permitted to operate mines within a zone twenty kilometres
-each side of the line, subject to such regulations as might
-be laid down by the Ministry of Public Works. As a
-public utility, the railway was granted the right of expropriation
-of such privately owned land as might be
-essential for the right-of-way, as well as quarries, gravel-pits,
-or other properties necessary for purposes of construction.
-The Company was authorized, also, to conduct
-researches for objects of art and antiquity along the route
-of the railway!<a name="FNanchor_50_116" id="FNanchor_50_116"></a><a href="#Footnote_50_116" class="fnanchor">50</a></p>
-
-<p>In the foregoing respects the Bagdad Railway Conve<span class="pagenum"><a name="Page_79" id="Page_79">79</a></span>ntion
-was by no means revolutionary in character. In issuing
-its bonds for the purpose of financing railway construction,
-in pledging public revenues as a guarantee of
-traffic receipts, in granting public lands for right-of-way,
-the Imperial Ottoman Government was following wellestablished
-precedents of the nineteenth century. The
-United States, for example, had adopted similar measures
-to encourage the building of transcontinental railways.
-To cite a single instance, Congress granted the promoters
-of the Union Pacific system a right-of-way through the
-public domain, twenty sections of land on each side of each
-mile of the railway, and a loan of bonds of the United
-States to an amount of fifty million dollars. Between
-1850 and 1873 alone the Government transferred to the
-railways some thirty-five million acres of public lands,
-an area in excess of that of the State of New York.<a name="FNanchor_51_117" id="FNanchor_51_117"></a><a href="#Footnote_51_117" class="fnanchor">51</a></p>
-
-<p>In certain other respects, however, the Bagdad Railway
-Convention was radical and far-reaching in its innovations.
-Worthy of first mention among its unusual provisions is
-the sweeping tax exemption granted the concessionaires
-by <i>Article 8</i>: “Manufactured material for the permanent
-way and materials, iron, wood, coal, engines, cars and
-coaches, and other stores necessary for the initial establishment
-as well as the enlargement and development of the
-railway and everything pertaining thereto which the concessionaires
-shall purchase in the empire or import from
-abroad shall be exempt from all domestic taxes and customs
-duties. The exemption from customs duties shall
-also be granted the coal necessary for the operation of
-the road, imported abroad by the concessionaires, until
-the gross receipts of the line and its branches reach 15,500
-francs per kilometre. Likewise, during the entire period
-of the concession the land, capital, and revenue of the
-railway and everything appertaining thereto shall not be
-taxed; neither shall any stamp duty be charged on the<span class="pagenum"><a name="Page_80" id="Page_80">80</a></span>
-present Convention or on the Specifications annexed
-thereto, the additional conventions, or any subsequent instruments;
-nor on the issue of Government bonds; nor
-on the amounts collected by the concessionaires on account
-of the guarantee for working expenses; nor shall any duty
-be levied on their stock, preferred stock and bonds, or on
-the bonds which the Imperial Ottoman Government shall
-issue to the concessionaires.” Thus the Bagdad Railway
-not only was assured of a subsidy constituting a preferred
-claim on certain taxes collected from the Turkish peasantry,
-but, in addition, was exempted from the payment
-of important contributions to the national revenue. The
-extent to which such an arrangement would confound confusion
-will be clear if one will recall that many other restrictions
-on the collection and disbursement of public
-funds were vested in the Ottoman Public Debt Administration.<a name="FNanchor_52_118" id="FNanchor_52_118"></a><a href="#Footnote_52_118" class="fnanchor">52</a></p>
-
-<p>Incidental to the railway, the Bagdad Company was
-granted other valuable concessions. The corporation was
-given permission to establish and operate tile and brick
-works along the line of the railway. For the direct and
-indirect use of the railway and its subsidiary enterprises
-the Company was authorized to establish hydro-electric
-stations for the generation of light and power. The
-erection of necessary warehouses and depots was permitted
-as essential to the proper operation of the railway.
-The Anatolian Railway was empowered to provide for
-satisfactory ferry service between Constantinople and
-Haidar Pasha, in order to insure direct sleeping-car service
-from Europe to Asia and to provide other facilities for
-through traffic. All of these subsidiary projects were to
-enjoy the same exemption from taxation as the railway
-itself.<a name="FNanchor_53_119" id="FNanchor_53_119"></a><a href="#Footnote_53_119" class="fnanchor">53</a></p>
-
-<p>The concessionaires were granted the right of constructing
-at Bagdad, Basra, and at the terminus on the<span class="pagenum"><a name="Page_81" id="Page_81">81</a></span>
-Persian Gulf modern port facilities, including “all necessary
-arrangements for bringing ships alongside the quay
-and for the loading, unloading, and warehousing of goods.”
-During the period of the construction of the railway the
-Company was granted rights of navigation on the Tigris,
-the Euphrates, and the Shatt-el-Arab for the transportation
-of materials and supplies necessary to the building
-and operation of the main line and its branches.<a name="FNanchor_54_120" id="FNanchor_54_120"></a><a href="#Footnote_54_120" class="fnanchor">54</a> These
-river and harbor concessions aroused the fear and the
-rage of the Lynch Brothers, who, as we shall see, were to
-be among the leaders of British opposition to the Bagdad
-Railway.<a name="FNanchor_55_121" id="FNanchor_55_121"></a><a href="#Footnote_55_121" class="fnanchor">55</a></p>
-
-<p>These, then, were the outstanding economic provisions
-of the Bagdad Railway Convention of 1903. The Imperial
-Ottoman Government assumed the cost of the construction
-of the railway and, in addition, guaranteed a
-certain minimum annual return on each kilometre in operation.
-It pledged for these purposes the taxes of the
-districts through which the railway was to pass, and it deputed
-the Ottoman Public Debt Administration to collect
-these revenues and supervise payments to the concessionaires.
-As additional compensation to the Company
-it made large grants of public lands and conceded valuable
-privileges indirectly connected with the construction of
-the railway. In this manner the Sultan mortgaged his
-empire. But mortgages have their purposes, and Abdul
-Hamid hoped for big things from the Bagdad Railway.</p>
-
-<h3><span class="smcap">Some Turkish Rights Are Safeguarded</span></h3>
-
-<p>As mortgagor the Sultan was certain to insist upon
-the recognition and protection of certain rights. To assure
-observance by the concessionaires of their obligations under
-the convention, supervision over construction, operation,
-and maintenance of the railway was vested in t<span class="pagenum"><a name="Page_82" id="Page_82">82</a></span>he Ministry
-of Public Works, represented by two Imperial Railway
-Commissioners. As a guarantee of good faith the Company
-was obliged to deposit with a Constantinople bank a
-bond of £30,000, subject to release only upon the completion
-of the entire line. The Ottoman Government was
-determined, also, that the concession, far-reaching as were
-its implications, should not lead to additional extra-territorial
-rights, or “capitulations,” in favor of foreign
-powers. The concessionaires were forbidden to contract
-for the transportation of foreign mails, or to perform
-other services for the foreign post offices in Turkey,
-without the formal approval of the Ottoman Government.
-It was specified, also, that, inasmuch as the Anatolian and
-the Bagdad Railway Companies were Ottoman joint-stock
-corporations, all disputes and differences between
-the Government and the Companies, or between the Companies
-and private persons, “arising as a result of the
-execution or interpretation of the present Convention and
-the Specifications attached thereto, shall be carried before
-the competent Ottoman courts.” It was further provided
-that the concessionaires “must correspond with the State
-Departments in Turkish, which is the official language
-of the Imperial Ottoman Government!”<a name="FNanchor_56_122" id="FNanchor_56_122"></a><a href="#Footnote_56_122" class="fnanchor">56</a></p>
-
-<p>The Government was sincere in its determination that
-the railway should become a powerful instrument in the
-economic development of the backward provinces of the
-empire. A significant clause specified that the section
-between Bagdad and Basra should not be placed in operation
-before the section between Konia and Bagdad should
-have been opened to traffic, although immediate operation
-of trains on the former section would have enabled the
-Company to compete with the valuable trade of the Lynch
-Brothers on the Tigris. The traffic between Bagdad and
-Basra would have been profitable and would thus have
-decreased by a considerable figure the total subsidie<span class="pagenum"><a name="Page_83" id="Page_83">83</a></span>s the
-Treasury might be obliged to pay for railway operation.
-It was of more immediate concern to the Turkish Government,
-however, that southern Mesopotamia should be
-connected by an economic and political link with the
-rest of the Sultan’s dominions. Elaborate regulations
-were laid down regarding a minimum train service which
-the Company was required to supply, and it was specified
-in this connection that Turkish mails, together with postal
-employees and officials, should be transported without
-charge and under such other conditions as the Government
-might stipulate. To forestall discriminatory treatment
-of passengers and shippers maximum rates were prescribed
-for all classes of traffic, including express, insurance, and
-similar supplementary services; it was decreed that “all
-rates, whether they be general, special, proportional, or
-differential, are applicable to all travelers and consignors
-without distinction”; the concessionaires were “formally
-prohibited from entering into any special contract with
-the object of granting reductions of the charges specified
-in its tariffs.”<a name="FNanchor_57_123" id="FNanchor_57_123"></a><a href="#Footnote_57_123" class="fnanchor">57</a> This last provision was of the utmost
-importance, as it enabled Germans and Turks alike to
-point to the railway as an outstanding example of the
-economic “open door.”</p>
-
-<p>One of the chief interests of the Turkish Government
-in the construction of the Bagdad Railway was the possibility
-of its utilization for military purposes. In time of
-peace for purposes of maneuvers or the suppression of
-rebellion, in time of war for purposes of mobilization, the
-Company was required, upon requisition of the military
-authorities, to place at the disposal of the Government its
-“entire rolling stock, or such as might be necessary, for
-the transportation of officers and men of the army, navy,
-police or gendarmerie, together with any or all equipment.”
-The Government undertook to maintain order
-along the line and to construct such fortifications <span class="pagenum"><a name="Page_84" id="Page_84">84</a></span>as it
-might consider necessary to defend the railway against
-invading armies, and the Company was obliged to expend,
-under the direction of the Minister of War, a total of
-four million francs for the construction of military stations.
-To give effect to all of these provisions, a special
-military convention was to be drawn up and approved
-by the Company and the Minister of War.<a name="FNanchor_58_124" id="FNanchor_58_124"></a><a href="#Footnote_58_124" class="fnanchor">58</a></p>
-
-<p>Upon the expiration of the concession all rights of the
-concessionaires in the railway, port works, and other subsidiary
-enterprises were to revert, free of all debt and
-liability, to the Imperial Government. In the meantime,
-a semblance of Turkish nationality was to be assured the
-enterprise by the stipulation that the railway employees
-and officials should wear the fez and such uniform as might
-be approved by the Government. It was contemplated,
-also, that within five years after the opening of each section
-to traffic the whole of the operating staff, except the
-higher officials, should be composed exclusively of Ottoman
-subjects.<a name="FNanchor_59_125" id="FNanchor_59_125"></a><a href="#Footnote_59_125" class="fnanchor">59</a></p>
-
-<p>Appended to the Bagdad Railway Convention was a
-secret agreement binding the Company not to encourage
-or install foreign settlements or colonies in the vicinity of
-the Anatolian or Bagdad Railways.<a name="FNanchor_60_126" id="FNanchor_60_126"></a><a href="#Footnote_60_126" class="fnanchor">60</a> Although the Sultan
-had mortgaged his empire, at least he was determined to
-retain possession!<a name="FNanchor_61_127" id="FNanchor_61_127"></a><a href="#Footnote_61_127" class="fnanchor">61</a></p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_67" id="Footnote_1_67"></a><a href="#FNanchor_1_67"><span class="label">1</span></a> On this point <i>cf.</i> M. Solovieff, <i>La Terre Sainte et la société
-impériale de Palestine</i> (Petrograd, 1892). The society there referred
-to was said to be liberally patronized by the Tsar and
-other members of the imperial family.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_68" id="Footnote_2_68"></a><a href="#FNanchor_2_68"><span class="label">2</span></a> For details of the Kapnist plan see <i>The Times</i> (London),
-December 17, 1898; <i>The Euphrates Valley Railway</i>—a prospectus
-(London, 1899).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_69" id="Footnote_3_69"></a><a href="#FNanchor_3_69"><span class="label">3</span></a> In a memorandum of June 10, 1899, to the Sultan, Dr. Kurt
-Zander, General Manager of the Anatolian Railway Company,
-said that, in accordance with the wishes of the Sultan—and “to<span class="pagenum"><a name="Page_85" id="Page_85">85</a></span>
-avoid all obstacles and avert every possibility of opposition”—his
-Company sought to arrive at a satisfactory understanding
-with the Smyrna-Aidin and Smyrna-Cassaba railways. All proposals
-to the Smyrna-Aidin Company, however, “met with
-evasive answers, which finally resulted in a termination of negotiations.”
-<i>Cf.</i>, also, E. Aublé, <i>Bagdad—son chemin de fer, son
-importance, son avenir</i> (Paris, 1917), pp. 9 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_70" id="Footnote_4_70"></a><a href="#FNanchor_4_70"><span class="label">4</span></a> For a copy of the text of this agreement the author is indebted
-to Mr. E. Rechnitzer. Summaries were published in <i>The
-Times</i>, August 10, 1899; <i>Le Temps</i> (Paris), August 15, 1899;
-<i>Corps de droit ottoman</i>, Volume IV, pp. 155–156.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_71" id="Footnote_5_71"></a><a href="#FNanchor_5_71"><span class="label">5</span></a> In June, 1899, the Anatolian Railway Company elected to its
-Board of Directors M. L. Rambert, of the Imperial Ottoman
-Bank, and in June, 1900, M. Gaston Auboyneau, of the same
-institution. The new directors replaced Mr. George Henry
-Maxwell Batten, of London, and Sir Edward F. G. Law, of the
-Ottoman Public Debt Administration. The refusal of the
-Smyrna-Aidin line to come to a working agreement with the
-Anatolian Company thus removed the last British directors from
-the board of the latter. <i>Cf.</i> <i>Reports of the Anatolian Railway
-Company</i>, 1898–1900, <i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_72" id="Footnote_6_72"></a><a href="#FNanchor_6_72"><span class="label">6</span></a> A letter from Mr. E. Rechnitzer to the Sultan, dated August
-16, 1899, accuses M. Constans of having publicly referred to the
-“accord” between French and German interests in Turkish railways.
-Dr. Karl Helfferich states that the agreement between
-the two railway companies was supplemented by a gentlemen’s
-agreement between the two ambassadors. <i>Die Vorgeschichte des
-Weltkrieges</i> (Berlin, 1919), p. 127. This would seem to be confirmed
-by André Chéradame, <i>op. cit.</i>, pp. 48 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_73" id="Footnote_7_73"></a><a href="#FNanchor_7_73"><span class="label">7</span></a> The proposals previously made called for an absolute guarantee
-of several thousands of francs income per kilometre per
-annum. Mr. Rechnitzer’s plan called for “an annual guarantee
-of 15,000 francs in gross receipts per kilometre, the said guarantee
-to be paid exclusively out of the excess of the tithes of the
-<i>vilayets</i> through which the railway is to pass; it being understood
-that in the event that the excess of such tithes be not
-sufficient to defray the kilometric guarantee, the concessionaire
-shall have no redress against the Imperial Government on account
-of the insufficiency.” Memorandum of May 14, 1899, from Mr.
-Rechnitzer’s files. Although this plan had the great advantage
-of requiring no immediate payments from the Ottoman Treasury,
-it probably would have cost Turkey more in the long run, for
-the guarantee specified was excessively high. Compare with
-provisions of the Bagdad Railway concession of March, 1903,
-<i>infra</i>. Mr. Rechnitzer also asked for extensive port privileges
-in Alexandretta and in the port to be determined on the
-Persian Gulf. The chief features of the plan were outli<span class="pagenum"><a name="Page_86" id="Page_86">86</a></span>ned in
-a pamphlet published in London, July 29, 1899, entitled <i>The
-Euphrates Valley Railway</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_74" id="Footnote_8_74"></a><a href="#FNanchor_8_74"><span class="label">8</span></a> Mr. Rechnitzer now has in his possession a beautiful watch—inlaid
-with a map of the Ottoman Empire, in precious stones,
-showing the route of the proposed Euphrates Valley Railway—which
-he presented to Abdul Hamid in 1899. He repurchased it
-at a public auction held in Paris after the Young Turk revolution
-of 1909.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_75" id="Footnote_9_75"></a><a href="#FNanchor_9_75"><span class="label">9</span></a> In a letter dated September 30, 1922, to the author Mr. Rechnitzer
-outlines the situation as follows: “My offer being much
-more favorable than that of the Germans, it seemed likely in
-August, 1899, that it would be accepted. Unfortunately the
-Transvaal War broke out in the autumn of that year, and the
-German Emperor, a few days after the declaration of war, specially
-came to London to ask our Government to give him a
-free hand in Turkey. It appears that there was an interview
-between the Emperor and Mr. Joseph Chamberlain, who was
-more interested in Cecil Rhodes’ scheme in Africa than in my
-scheme in Turkey. As a consequence Sir Nicholas O’Connor
-was instructed to inform the Turkish Government that the
-British Government’s support was withdrawn from my offers.”
-It is only fair to add, however, that there may have been other
-factors in the situation. <i>The Financial News</i> (London), of
-August 17, 1899, intimated that Mr. Rechnitzer’s proposal did
-not have sufficiently strong financial backing; that it was more
-Austrian than British; that the support of the British Government
-was more formal than whole-hearted.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_76" id="Footnote_10_76"></a><a href="#FNanchor_10_76"><span class="label">10</span></a> <i>Report of the Anatolian Railway Company</i>, 1899, pp. 9–10;
-<i>The Annual Register</i>, 1899, p. 292. Simultaneously the Sultan
-granted the <i>Deutsche Bank</i> group a concession for the construction
-of port and terminal facilities at Haidar Pasha, across the
-Straits from Constantinople. Sweeping privileges were granted
-for the building of docks, stations, sidings, and quays to a subsidiary
-of the Anatolian Railway, the Haidar Pasha Port Company.
-The latter company completed a handsome station and
-terminal at Haidar Pasha in 1902, the year before the definitive
-Bagdad Railway concession. Furthermore, it entered into close
-coöperation with the Mahsoussie Steamship Company, a Government-owned
-company operating a ferry service between Constantinople
-and the Asiatic side of the Straits; in this manner
-adequate service was assured passengers and freight from European
-to Asiatic points. The text of the concession is to be
-found in <i>Corps de droit ottoman</i>, Volume III, pp. 342–351. <i>Cf.</i>,
-also, <i>Report of the Anatolian Railway Company</i>, 1902, p. 8.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_77" id="Footnote_11_77"></a><a href="#FNanchor_11_77"><span class="label">11</span></a> <i>Supra</i>, pp. 31–34.</p></div>
-<p><span class="pagenum"><a name="Page_87" id="Page_87">87</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_12_78" id="Footnote_12_78"></a><a href="#FNanchor_12_78"><span class="label">12</span></a> The single exception was Mr. Rechnitzer’s plan, which provided
-that within five years of the award of the concession, the
-Sultan might require the construction of a spur from Alexandretta
-to Konia, on terms to be agreed upon between the Government
-and the concessionaire. The chief feature of Mr. Rechnitzer’s
-plan, however, unquestionably was the railway from
-Alexandretta to the Persian Gulf—<i>i.e.</i>, the Syrian and Mesopotamian,
-not the Anatolian and Cilician, sections. Furthermore,
-there were political objectives connected with the Rechnitzer
-proposal which, however attractive to British imperialists, could
-not have been regarded with equanimity by the Sultan. The
-following are typical quotations from Mr. Rechnitzer’s prospectus:
-“It has long been the object of English statesmen to
-consolidate the position of England in the Persian Gulf, where
-British interests (both political and commercial) are now paramount.
-With a railway in this region controlled by British
-interests ... a very strong foothold would accrue to British
-influence” (p. 12). Among the advantages of the proposed railway
-are listed the following (pp. 17–18): “It will place under
-British control two important ports, one on the Mediterranean
-and the other on the Persian Gulf; it will strengthen British
-influence in Turkey and in the Persian Gulf, and indirectly, in
-Persia and Afghanistan; it will afford England powerful means
-of exercising her influence over the territory of Central Persia,
-and of establishing new commercial enterprises over an enormous
-area of unexploited country of exceptional wealth.”</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_79" id="Footnote_13_79"></a><a href="#FNanchor_13_79"><span class="label">13</span></a> Quoted by A. D. C. Russell, “The Bagdad Railway,” in <i>The
-Fortnightly Review</i>, Volume 235 (1921), p. 312. <i>Cf.</i>, also, <i>Corps
-de droit ottoman</i>, Volume IV, pp. 153 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_80" id="Footnote_14_80"></a><a href="#FNanchor_14_80"><span class="label">14</span></a> Pan-Islamism started as a religious and cultural revival but
-rapidly took on political and economic significance. Later, in
-connection with Turkish nationalism (see <i>infra</i>, Chapter IX), it
-became a serious international problem. A short, popular discussion
-of the rise of Pan-Islamism is Lothrop Stoddard’s <i>The
-New World of Islam</i> (New York, 1921), Chapters I, II, V.
-<i>Cf.</i>, also, <i>Mohammedan History</i>, No. 57 of the Foreign Office
-Handbooks (London, 1920), Part I; G. Charmes, <i>L’avenir de la
-Turquie: le pan-islamisme</i> (Paris, 1883); A. J. Toynbee, <i>Nationality
-and the War</i> (London, 1915), pp. 399–411, and <i>Turkey: a
-Past and a Future</i> (New York, 1917); Tekin Alp, <i>Türkismus
-und Pantürkismus</i> (Weimar, 1915); C. Snouck Hurgronje, <i>The
-Holy War, “Made in Germany”</i> (New York, 1917). Regarding
-Abdul Hamid’s place in the Pan-Islamic movement <i>cf.</i> <i>Mohammedan
-History</i>, pp. 42–46.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_81" id="Footnote_15_81"></a><a href="#FNanchor_15_81"><span class="label">15</span></a> Great Britain, characteristically enough, took steps to protect
-her interests by reviving the Arabian caliphate—<i>i.e.</i>, by
-supporting the claims of the Sherif of Mecca to the caliphate.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_82" id="Footnote_16_82"></a><a href="#FNanchor_16_82"><span class="label">16</span></a> <i>Infra</i>, pp. 127–128.</p></div>
-<p><span class="pagenum"><a name="Page_88" id="Page_88">88</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_17_83" id="Footnote_17_83"></a><a href="#FNanchor_17_83"><span class="label">17</span></a> Regarding British activities in Koweit, <i>cf. infra</i>, pp. 197–198.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_84" id="Footnote_18_84"></a><a href="#FNanchor_18_84"><span class="label">18</span></a> <i>Infra</i>, p. 149.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_85" id="Footnote_19_85"></a><a href="#FNanchor_19_85"><span class="label">19</span></a> <i>Infra</i>, pp. 155–157; Chéradame, <i>op. cit.</i>, pp. 267 <i>et seq.</i>; K.
-Helfferich, <i>Die Vorgeschichte des Weltkrieges</i> (Berlin, 1919), pp.
-124 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_86" id="Footnote_20_86"></a><a href="#FNanchor_20_86"><span class="label">20</span></a> <i>The Times</i>, October 28, 1898</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_87" id="Footnote_21_87"></a><a href="#FNanchor_21_87"><span class="label">21</span></a> <i>Annual Register</i>, 1899, pp. 289–291; <i>Parliamentary Debates,
-House of Commons</i>, Volume 120 (1903), p. 1247, Volume 126
-(1903), p. 108; W. von Hohenzollern, <i>My Memoirs, 1887–1918</i>,
-pp. 84–86, 101–103.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_88" id="Footnote_22_88"></a><a href="#FNanchor_22_88"><span class="label">22</span></a> <i>The Globe</i>, August 10, 1899. <i>Cf.</i>, also, <i>The Morning Herald</i>,
-August 10, 1899, and <i>The Westminster Gazette</i>, August 11, 1899.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_89" id="Footnote_23_89"></a><a href="#FNanchor_23_89"><span class="label">23</span></a> No attempt is made here to analyze the convention of March
-18, 1902 (which had been preceded by a draft convention of
-January 8, 1902), as it was superseded by the convention of
-March 5, 1903. <i>Cf. infra</i>, pp. 70–71, 77–84. The text of the convention
-of 1902 is to be found as an appendix to R. LeCoq, <i>Un
-chemin de fer en Asie Mineure</i> (Paris, 1907). George von Siemens
-(1839–1901) did not live to see the consummation of his
-great plans for the development of Turkish railways. After his
-death in 1901 his work was taken up by his successor as Managing
-Director of the <i>Deutsche Bank</i>, Dr. Arthur von Gwinner. For
-a short account of the life of von Siemens see an obituary by
-Professor J. Riesser, in <i>Bank-Archiv</i>, No. 2, November, 1901.
-The work of von Siemens in the development of German economic
-enterprises in the Near East is told in a biography by his
-son-in-law, Dr. Karl Helfferich; <i>Georg von Siemens</i> (Leipzig,
-1923).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_90" id="Footnote_24_90"></a><a href="#FNanchor_24_90"><span class="label">24</span></a> <i>The Times</i>, January 25, 1902.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_91" id="Footnote_25_91"></a><a href="#FNanchor_25_91"><span class="label">25</span></a> <i>Journal officiel, Débats parlementaires, Chambre des députés</i>,
-1902, pp. 1468 et seq.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_92" id="Footnote_26_92"></a><a href="#FNanchor_26_92"><span class="label">26</span></a> <i>The Times</i>, January 25, 1902.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_93" id="Footnote_27_93"></a><a href="#FNanchor_27_93"><span class="label">27</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 101, pp.
-129, 597, 628, 669, Volume 120 (1903), p. 1371.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_94" id="Footnote_28_94"></a><a href="#FNanchor_28_94"><span class="label">28</span></a> <i>Report of the Anatolian Railway Company</i>, 1901, p. 17; <i>The
-Times</i>, January 25, 1902.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_95" id="Footnote_29_95"></a><a href="#FNanchor_29_95"><span class="label">29</span></a> <i>Annual Register</i>, 1902, pp. 290–291; <i>Report of the Bagdad
-Railway Company</i>, 1904, p. 7.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_96" id="Footnote_30_96"></a><a href="#FNanchor_30_96"><span class="label">30</span></a> <i>La Société Impériale Ottomane du Chemin de Fer de Bagdad-Firman,
-Convention, Cahier des Charges, Statuts</i>, in French and
-Turkish (Constantinople, 1905); translated into English in
-<i>Parliamentary Papers</i>, No. Cd. 5635, Volume CIII (1911), No.
-1. Where references are here given to the convention itself, no
-preceding identifying word will be given, the citation being
-merely, <i>e.g.</i>, <i>Article I</i>. The <i>Statuts</i> will<span class="pagenum"><a name="Page_89" id="Page_89">89</a></span> be referred to as “By-Laws”
-and the <i>Cahier des Charges</i> as “Specifications.”</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_97" id="Footnote_31_97"></a><a href="#FNanchor_31_97"><span class="label">31</span></a> Turco-German control of the Board of Directors was not
-inconsistent with the agreement of 1899 between the <i>Deutsche
-Bank</i> and the Imperial Ottoman Bank, which assured French
-interests only 40% of the shares of the Bagdad Railway Company.
-For details of the organization of the Company see the
-<i>Report of the Anatolian Railway Company</i>, 1903, pp. 4–7; <i>By-Laws</i>,
-<i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_98" id="Footnote_32_98"></a><a href="#FNanchor_32_98"><span class="label">32</span></a> <i>Articles 1–4, 7, 12, 37–39</i>; <i>Specifications</i>, Article 30.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_99" id="Footnote_33_99"></a><a href="#FNanchor_33_99"><span class="label">33</span></a> In this connection see Sir W. M. Ramsay, <i>The Historical
-Geography of Asia Minor</i> (London, 1890); D. G. Hogarth, <i>The
-Nearer East</i> (London, 1902); Jastrow, <i>op. cit.</i>, Chapter II; Sir
-C. W. Wilson, <i>Murray’s Handbook for Asia Minor</i> (London,
-1895 and 1900); R. Fitzner, <i>Anatolien-Wirtschaftsgeographie</i>
-(Berlin, 1902); F. Dernburg, <i>Auf deutscher Bahn in Kleinasien</i>
-(Berlin, 1892). Good general accounts of the regions through
-which the Bagdad Railway was to run are: Baron E. von der
-Goltz, <i>Reisebilder aus dem griechisch-türkischen Orient</i> (Halle,
-1902); R. Oberhummer and H. Zimmerer, <i>Durch Syrien und
-Kleinasien</i> (Berlin, 1899); E. Banse, <i>Die Türkei; eine moderne
-Geographie</i> (Berlin, 1916); Sir Mark Sykes, <i>The Caliph’s Last
-Heritage—A Short History of the Turkish Empire</i> (London,
-1915), Part 2, Chapters II and IV. A well-informed article
-describing the projected route of the Bagdad railway is one by
-a member of the German technical commission, “Die anatolischen
-Eisenbahnen und ihre Fortsetzung bis zum persischen Golf,” in
-<i>Archiv für Eisenbahnwesen</i>, Volume 26 (1903), pp. 75–90.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_100" id="Footnote_34_100"></a><a href="#FNanchor_34_100"><span class="label">34</span></a> For a description of the line from Konia to Adana, including
-an historical sketch of the principal towns served by the railway,
-<i>cf.</i> Karl Baedeker, <i>Konstantinopel und das westliche Kleinasien</i>
-(Leipzig, 1905), pp. 156–172, and <i>Konstantinopel, Balkanstaaten,
-Kleinasien, Archipel, Cypern</i> (second edition, Leipzig, 1914), pp.
-270–306, generously supplied with excellent maps.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_101" id="Footnote_35_101"></a><a href="#FNanchor_35_101"><span class="label">35</span></a> A popular account of the engineering difficulties facing the
-construction of the railway from Adana to Aleppo is to be
-found in <i>The Scientific American</i>, supplement, Volume 51 (1901),
-pp. 21248–21249.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_102" id="Footnote_36_102"></a><a href="#FNanchor_36_102"><span class="label">36</span></a> <i>Cf.</i> W. H. Hall (of the Syrian Protestant College in Beirut),
-<i>The Near East</i> (New York, 1920), particularly an interesting
-map, p. 174. According to the convention of 1903, Article 1,
-Aleppo was to be connected with the main line by a branch from
-Tel-Habesh, but in 1910 the route was changed, on petition of
-the inhabitants, to include Aleppo as a station on the Bagdad
-line itself. <i>Report of the Bagdad Railway Company</i>, 1910, p. 8.
-Statistics regarding the population of Aleppo and other cities
-along the line are taken, unless otherwise indicated, from the<span class="pagenum"><a name="Page_90" id="Page_90">90</a></span>
-<i>Statesman’s Year Book</i>, 1903, <i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_103" id="Footnote_37_103"></a><a href="#FNanchor_37_103"><span class="label">37</span></a> <i>Article 38</i>; “The Trade of the Mesopotamian Valley,” in
-<i>Commerce Reports</i>, No. 280 (Washington, 1912), pp. 1050–1065,
-and No. 256 (1913), pp. 350–358; Karl Baedeker, <i>Palestine and
-Syria, with the chief routes through Mesopotamia and Babylonia</i>
-(fourth edition, Leipzig, 1906), pp. 351–411.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_104" id="Footnote_38_104"></a><a href="#FNanchor_38_104"><span class="label">38</span></a> Valentine Chirol, <i>The Middle Eastern Question, or Some
-Political Problems of Indian Defence</i> (New York, 1903), pp.
-179–182.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_105" id="Footnote_39_105"></a><a href="#FNanchor_39_105"><span class="label">39</span></a> This is the distance by the Tigris and the Shatt-el-Arab; as
-the crow flies, the distance is about 150 miles shorter.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_106" id="Footnote_40_106"></a><a href="#FNanchor_40_106"><span class="label">40</span></a> Regarding the Lynch Brothers see David Fraser, <i>The Short
-Cut to India</i> (London, 1909), pp. 42 <i>et seq.</i>; <i>Mesopotamia</i>, p. 30;
-<i>The Near East</i>, August 11, 1916, p. 358; <i>infra</i>, pp. 190–191.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_107" id="Footnote_41_107"></a><a href="#FNanchor_41_107"><span class="label">41</span></a> <i>Article 1</i>, which describes in detail the route of the Bagdad
-Railway and its branches.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_42_108" id="Footnote_42_108"></a><a href="#FNanchor_42_108"><span class="label">42</span></a> Chirol, <i>op. cit.</i>, p. 179; <i>Supplement to Daily Consular and
-Trade Reports</i>, Annual Series (Washington, 1915).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_43_109" id="Footnote_43_109"></a><a href="#FNanchor_43_109"><span class="label">43</span></a> The distances on the Bagdad Railway may be estimated as
-follows:</p>
-
-<table summary="railways" border="0" width="50%"><tr>
-
-<td class="tdl">Haidar Pasha to Ismid</td><td class="tdr">91</td><td class="tdc">kilometres</td>
-</tr><tr>
-<td class="tdl">Ismid to Eski Shehr</td><td class="tdr">174</td><td class="tdc">”</td>
-</tr><tr>
-<td class="tdl">Eski Shehr to Konia</td><td class="tdr">444</td><td class="tdc">”</td>
-</tr><tr>
-<td class="tdl">Konia to Basra</td><td class="tdr">2,264</td><td class="tdc">”</td>
-</tr><tr>
-<td class="tdl">Branch lines, about</td><td class="tdr">800</td><td class="tdc">”</td>
-</tr><tr>
-<td class="tdr" colspan="2">-—-</td><td>&nbsp;</td>
-</tr><tr>
-<td class="tdl">&nbsp;&nbsp;Total</td>
-<td class="tdr">3,773</td><td class="tdc">kilometres</td>
-</tr></table>
-
-<p>or approximately 2,400 miles. This does not include the section
-of the Anatolian Railway from Eski Shehr to Angora, a distance
-of 311 kilometres, or 194 miles additional. The Atchison, Topeka
-and Santa Fé Railway from Chicago to Los Angeles is 2,246
-miles in length. The distance from Chicago to San Francisco
-<i>via</i> the Chicago and Northwestern-Union Pacific system is 2,261
-miles. <i>Official Guide of the Railways of the United States</i>
-October, 1921, pp. 679, 825.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_44_110" id="Footnote_44_110"></a><a href="#FNanchor_44_110"><span class="label">44</span></a> <i>Cf., e.g.</i>, T. W. Overlach, <i>Foreign Financial Control in China</i>
-(New York, 1919), <i>passim</i>; <i>La Gaceta Oficial</i> of the Republic
-of Cuba for the years 1911 and 1912, regarding the <i>Ferrocarril
-de la Costa Norte de Cuba</i>; the <i>Statesman’s Year Book</i>, 1903,
-p. 1044.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_45_111" id="Footnote_45_111"></a><a href="#FNanchor_45_111"><span class="label">45</span></a> The average population per square mile in eastern Anatolia
-was 27, in northern Syria 31, in Mesopotamia 13.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_46_112" id="Footnote_46_112"></a><a href="#FNanchor_46_112"><span class="label">46</span></a> <i>Diplomatic and Consular Reports</i>, 1903, No. 3140, pp. 26–27;
-Sir William Willcocks, <i>The Recreation of <span class="pagenum"><a name="Page_91" id="Page_91">91</a></span>Chaldea</i> (Cairo, 1903).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_47_113" id="Footnote_47_113"></a><a href="#FNanchor_47_113"><span class="label">47</span></a> This financial assistance was granted at the rate of 11,000
-francs per kilometre, payable annually throughout the ninety-nine
-years of the concession. The obligation was capitalized and met
-by the issue of 4% bonds as here described.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_48_114" id="Footnote_48_114"></a><a href="#FNanchor_48_114"><span class="label">48</span></a> <i>Bagdad Railway Loan Contract</i>, March 5, 1903. M. Léon
-Berger, President of the Ottoman Public Debt Administration,
-and a French citizen, was one of the signatories of this document.
-The bonds of the loan were issued in denominations of
-500 francs, 408 marks, 20 pounds sterling, 22 pounds Turkish,
-and 245 Dutch florins, in order to facilitate their sale in the
-international securities markets. The <i>Deutsche Bank</i> was made
-fiscal agent for all transactions in connection with the loan, with
-the single qualification that it was to appoint as its Paris agent
-the Imperial Ottoman Bank, representing the French interests
-in the enterprise. The syndicate apparently made a profit of
-over 2,500,000 francs on the transaction, as the bonds were delivered
-to the concessionaires, under <i>Article 35</i> of the Convention,
-valued at 81–1/2% of par but were sold at 86.40.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_49_115" id="Footnote_49_115"></a><a href="#FNanchor_49_115"><span class="label">49</span></a> <i>Articles 35</i> and <i>37</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_50_116" id="Footnote_50_116"></a><a href="#FNanchor_50_116"><span class="label">50</span></a> <i>Articles 6, 10, 22, 27.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_51_117" id="Footnote_51_117"></a><a href="#FNanchor_51_117"><span class="label">51</span></a> <i>Cf.</i> W. A. Dunning, <i>Reconstruction, Political and Economic,
-1865–1877</i> (New York, 1907), pp. 145, 227; H. V. Poor, <i>Manual
-of the Railroads of the United States</i> (New York, 1869), pp.
-xlvi-xlvii.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_52_118" id="Footnote_52_118"></a><a href="#FNanchor_52_118"><span class="label">52</span></a> <i>Supra</i>, p. 11.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_53_119" id="Footnote_53_119"></a><a href="#FNanchor_53_119"><span class="label">53</span></a> <i>Articles 13, 24, 25, 33</i>; <i>Specifications</i>, Article 4.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_54_120" id="Footnote_54_120"></a><a href="#FNanchor_54_120"><span class="label">54</span></a> <i>Articles 9</i> and <i>23</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_55_121" id="Footnote_55_121"></a><a href="#FNanchor_55_121"><span class="label">55</span></a> <i>Infra</i>, pp. 190–191.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_56_122" id="Footnote_56_122"></a><a href="#FNanchor_56_122"><span class="label">56</span></a> <i>Articles 5, 18, 29, 34.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_57_123" id="Footnote_57_123"></a><a href="#FNanchor_57_123"><span class="label">57</span></a> <i>Article 29</i>; <i>Specifications</i>, Articles 21, 24, 25, 29, 30.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_58_124" id="Footnote_58_124"></a><a href="#FNanchor_58_124"><span class="label">58</span></a> <i>Articles 15, 26, 45</i>; <i>Specifications</i>, Article 26.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_59_125" id="Footnote_59_125"></a><a href="#FNanchor_59_125"><span class="label">59</span></a> <i>Articles 20</i> and <i>21</i>. Another sop to Turkish pride was <i>Article
-46</i>, which required the Company to contribute annually to the
-Constantinople Poorhouse the sum of £500.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_60_126" id="Footnote_60_126"></a><a href="#FNanchor_60_126"><span class="label">60</span></a> <i>The Times</i>, March 14, 1903, contained a report of this secret
-appendix. A denial was issued by the Berlin <i>National Zeitung</i>
-of March 18, 1903, but the existence of the supplementary agreement
-was confirmed by Dr. von Gwinner in 1909 (<i>op. cit.</i>, p.
-1092). Djavid Bey, in a memorandum to the author, has stated
-that the Ottoman Government considered this appendix of the
-utmost importance.</p>
-
-<p><span class="pagenum"><a name="Page_92" id="Page_92">92</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_61_127" id="Footnote_61_127"></a><a href="#FNanchor_61_127"><span class="label">61</span></a> A proviso of the concession of 1903 was that the <i>Deutsche
-Bank</i> was to float an Ottoman Four Per Cent Loan of March,
-1903, to an amount of about $10,000,000. <i>Parliamentary Papers</i>,
-1920, No. Cmd. 964, pp. 57–58.</p></div>
-
-<hr />
-
-<h2>CHAPTER V<br />
-
-PEACEFUL PENETRATION PROGRESSES</h2>
-
-<h3><span class="smcap">The Financiers Get Their First Profits</span></h3>
-
-<p>The convention of March, 1903, marked the beginning,
-not the end, of the work of the promoters of the Bagdad
-Railway. Ahead of Dr. von Gwinner<a name="FNanchor_1_128" id="FNanchor_1_128"></a><a href="#Footnote_1_128" class="fnanchor">1</a> and his associates
-lay all sorts of obstacles, some of which proved to be
-insurmountable. There were the financial difficulties and
-risks attendant upon the task of borrowing and expending
-the funds for the construction of the railway—estimated
-at about one hundred million dollars. There were the
-technical difficulties of constructing a line across obstinate
-mountain barriers and inhospitable desert plains. There
-were the political difficulties of retaining the friendship
-of notoriously fickle Ottoman ministers and of preventing
-diplomatic opposition on the part of foreign powers.
-Events proved that this was to be a thorny path indeed—a
-path which was to lead through political intrigue, diplomatic
-bargaining, a Turkish revolution, and a world war.</p>
-
-<p>The concessionaires began work in a manner indicative
-of a determination to succeed in spite of all obstacles. The
-Bagdad Railway Company was incorporated in Constantinople,
-March, 1903, under the joint auspices of the
-<i>Deutsche Bank</i> and the Imperial Ottoman Bank, as <span class="pagenum"><a name="Page_93" id="Page_93">93</a></span>provided
-by their mutual agreement of 1899. Almost immediately
-an invitation was extended to British capitalists to
-participate in the enterprise. Three-cornered negotiations
-were conducted by German, French, and British bankers—under
-the watchful eyes of their respective foreign offices—
-to arrive at some satisfactory plan for internationalization
-of the railway. An agreement was reached by the financiers
-by which British capital was to share equally in ownership
-and control with the German and the French, but the
-hostile attitude of the English press and the disapproval
-of the Balfour Government led to the abandonment of
-the proposed tripartite syndicate.<a name="FNanchor_2_129" id="FNanchor_2_129"></a><a href="#Footnote_2_129" class="fnanchor">2</a></p>
-
-<p>Failing to secure British cooperation, the concessionaires
-proceeded to finance the Bagdad Railway by other means.
-Ten per cent of the stock of the Company was subscribed
-by the Ottoman Government, ten per cent by the Anatolian
-Railway Company, and the remainder by an international
-syndicate headed by the <i>Deutsche Bank</i>. The Board of
-Directors was enlarged to twenty-seven members, as follows:
-eight Germans, chosen by the <i>Deutsche Bank</i>; three
-Germans elected by the Anatolian Railway Company;
-eight Frenchmen designated by the Imperial Ottoman
-Bank; four Ottomans; two Swiss; one Austrian; and one
-Italian.<a name="FNanchor_3_130" id="FNanchor_3_130"></a><a href="#Footnote_3_130" class="fnanchor">3</a> The control of the Bagdad Railway Company
-thus remained in Turco-German hands, but French and
-other interests were too well represented to justify the
-criticism that the railway was a purely German enterprise
-secretly coöperating with the German Foreign Office. In
-fact, in 1903 Mr. Balfour and Lord Lansdowne were as
-much alarmed by the possibility of pernicious French activities
-in the line as they were disturbed by the predominantly
-German character of the scheme.<a name="FNanchor_4_131" id="FNanchor_4_131"></a><a href="#Footnote_4_131" class="fnanchor">4</a> Baron von
-Schoen, one-time German Foreign Secretary, described the
-Bagdad Railway as “an Ottoman enterprise which has an
-international character under German guidance.”<a name="FNanchor_5_132" id="FNanchor_5_132"></a><a href="#Footnote_5_132" class="fnanchor">5</a></p>
-<p><span class="pagenum"><a name="Page_94" id="Page_94">94</a></span></p>
-<p>The great resources of the <i>Deutsche Bank</i> were now
-brought into play to provide the funds for the construction
-of the first section of the railway. The necessary capital
-was to be secured, it will be recalled,<a name="FNanchor_6_133" id="FNanchor_6_133"></a><a href="#Footnote_6_133" class="fnanchor">6</a> by the sale of an
-issue of Imperial Ottoman Bagdad Railway Bonds amounting
-to 54,000,000 francs. With comparatively little difficulty
-the German share of the loan was subscribed, but
-the allotment of the Imperial Ottoman Bank and its associates
-was not so easily disposed of, because of the decision
-of the French Government to exclude the Bagdad Railway
-Bonds from the Bourse. Nevertheless, the entire loan
-was successfully underwritten, and by November, 1903,
-preparations had been completed for the construction of
-the line from Konia to Bulgurlu, a distance of 200
-kilometres.<a name="FNanchor_7_134" id="FNanchor_7_134"></a><a href="#Footnote_7_134" class="fnanchor">7</a></p>
-
-<p>Building of the railway went forward with great
-rapidity, and the rails reached Bulgurlu by early autumn,
-1904. On October 25, the Sultan’s birthday, this first
-section of the Bagdad Railway was opened to traffic with
-pompous ceremonies. And well might the concessionaires
-have celebrated! Not only had they passed the first milestone
-of their great task, but they had made a comfortable
-profit on their operations. By numerous economies the
-Bagdad Railway Company had saved 3,697,000 francs of
-the 54,000,000 francs allowed by the Ottoman Government
-to defray the costs of construction. The commissions of
-the bankers in underwriting the bond issue, it was said,
-raised the total profit on the first section of the railway—before
-a single train had been operated—to about 6,000,000
-francs.<a name="FNanchor_8_135" id="FNanchor_8_135"></a><a href="#Footnote_8_135" class="fnanchor">8</a> This surplus, however, was not all available for
-distribution among the concessionaires. A reserve fund
-of almost 4,000,000 francs was established to provide for
-the subsequent construction of the costly sections across
-the Taurus and Amanus mountains. The promoters had
-to be reimbursed for preliminary expenditures, such as the<span class="pagenum"><a name="Page_95" id="Page_95">95</a></span>
-expensive surveying of the entire line from Konia to the
-Persian Gulf. Included in these “out of pocket” payments
-was a large item for <i>backshish</i>—gratuities to Ottoman
-dignitaries. “Nobody,” said Dr. von Gwinner, “having
-done business in Turkey ignores the fact that <i>backshish</i>
-on the Bosporus ruled supreme and was hitherto an absolute
-condition of any contract. We had to pay in proportion
-to the importance of a business of some £20,000,000.”<a name="FNanchor_9_136" id="FNanchor_9_136"></a><a href="#Footnote_9_136" class="fnanchor">9</a>
-Djavid Bey informs the author that the item of
-<i>backshish</i> must have amounted to almost £100,000, “for
-during the Hamidian régime friendship between sovereigns
-was not enough to bring about the granting of a concession.”</p>
-
-<p>Within nineteen months after the Turkish Government
-had issued its bonds to cover the cost of the project, the
-first section of the Bagdad Railway, from Konia to
-Bulgurlu, had been completed. The success of the concessionaires
-in this part of the enterprise might have been
-taken as a criterion of rapid progress with the further
-construction of the line to the Persian Gulf. Such an
-expectation, however, would have been premature. Beyond
-Bulgurlu lay the Taurus mountains and innumerable
-engineering difficulties which could be overcome only
-after the expenditure of considerable time and money.
-The Turkish Government, furthermore, was in no position
-to issue additional bonds to the amount of fifty or sixty
-millions francs to cover the costs of constructing the second
-section of the line. Interest and sinking fund charges
-on the first issue of Bagdad Railway bonds were a serious
-drain on the treasury; additional charges of a like character
-could be met only by an increase of the customs revenues
-of the Empire. Such an increase could not be effected,
-however, except by international agreement, because under
-existing treaties between Turkey and the Great Powers all
-import duties were fixed at eight per cent <i>ad valorem</i>.<a name="FNanchor_10_137" id="FNanchor_10_137"></a><a href="#Footnote_10_137" class="fnanchor">10</a></p>
-<p><span class="pagenum"><a name="Page_96" id="Page_96">96</a></span></p>
-<p>In 1903, coincident with the first issue of bonds for the
-Bagdad Railway, the Ottoman Government had requested
-permission to increase these duties to eleven per cent but
-had been unable to obtain the consent of the interested
-nations. It was not until 1906, after prolonged and irritating
-negotiations, that the Powers agreed to a three per
-cent increase, effective in July of the following year. Even
-then, however, the higher duties were assented to under a
-number of restrictions which rendered difficult the diversion
-of the increased revenue to the payment of railway
-guarantees; elaborate regulations were incorporated in
-the treaties prescribing expensive reform of the government
-of Macedonia and costly readjustments in the customs
-administration.<a name="FNanchor_11_138" id="FNanchor_11_138"></a><a href="#Footnote_11_138" class="fnanchor">11</a></p>
-
-<p>By 1908, nevertheless, Turkish fiscal affairs were in a
-sufficiently satisfactory state to enable the Government
-to conclude arrangements for the construction of succeeding
-sections of the Bagdad Railway. On June 2 of that
-year an imperial <i>iradé</i> was granted authorizing the extension
-of the line from Bulgurlu to Aleppo and thence eastward
-to El Helif (near Nisibin), a distance of some eight
-hundred and forty kilometres. The completion of this
-portion of the line would bring the railway to a point about
-eleven hundred miles from Constantinople and only a
-little over seven hundred miles from Basra. Arrangements
-were effected for the immediate issue of the Imperial
-Ottoman Bagdad Railway Four Per Cent Loans,
-Second and Third Series, to an amount of one hundred
-and eight million and one hundred and nineteen million
-francs respectively, to provide the capital necessary for
-the building of the railway. Interest and sinking fund
-payments on these loans were guaranteed from the surplus
-of net revenues accruing to the Imperial Government from
-the Ottoman Public Debt. In case of emergency, certain
-taxes (notably the cattle tax) of the vilayets of Konia,
-Adana, and Aleppo were pledged for this purpose.<a name="FNanchor_12_139" id="FNanchor_12_139"></a><a href="#Footnote_12_139" class="fnanchor">12</a></p>
-
-<p><span class="pagenum"><a name="Page_97" id="Page_97">97</a></span></p>
-
-<p>Only a month after the conclusion of this convention
-the Near East was thrown into a state of turmoil as a
-result of the outbreak of the first of the Young Turk
-revolutions. Under these circumstances it appeared inexpedient
-to the Bagdad Railway Company to push construction
-of its line until such time as a reasonable degree
-of security should be restored. It was not until December,
-1909, therefore, after the deposition of Abdul Hamid,
-that good friend of German enterprise in Turkey, that
-a construction company was formed to build the railway
-across the Taurus and Amanus mountains. During the
-autumn of the same year a Franco-German syndicate underwrote
-the second and third series of Bagdad Railway
-loans, thereby providing the necessary funds for the
-work.<a name="FNanchor_13_140" id="FNanchor_13_140"></a><a href="#Footnote_13_140" class="fnanchor">13</a></p>
-
-<h3><span class="smcap">The Bankers’ Interests Become More Extensive</span></h3>
-
-<p>The years 1904 to 1909 were lean years, judged by
-actual progress in the laying of rails from Bulgurlu to
-Bagdad and Basra. Nevertheless, they were years characterized,
-on the part of the investors interested in the consummation
-of the great enterprise, by every possible activity
-to prepare the way for eventual success on a grand
-scale. In the spring of 1906, for example, Dr. Karl
-Helfferich was appointed assistant general manager of
-the Anatolian Railways, and one year later was elected
-a managing director of the <i>Deutsche Bank</i> with general
-supervision over all of the Bank’s railway enterprises in
-the Near East. The appointment of Dr. Helfferich—who,
-although he was only thirty-four years of age, had achieved
-an international reputation—aroused widespread comment
-and turned out to be an event of first-rate importance in
-the history of the Bagdad Railway. As a yo<span class="pagenum"><a name="Page_98" id="Page_98">98</a></span>ung professor
-of political science in the University of Berlin, Dr. Helfferich
-won general recognition as an unusually able economist.
-He was persuaded to enter the Government service
-in 1901 and became assistant secretary in the Colonial Department
-of the Ministry of Foreign Affairs. He was
-known to be in the good graces of the Emperor and of
-Prince von Bülow, and it was said that he became their
-chief adviser on Near Eastern affairs.<a name="FNanchor_14_141" id="FNanchor_14_141"></a><a href="#Footnote_14_141" class="fnanchor">14</a> The choice of
-such a distinguished person as directing genius of the
-Anatolian and Bagdad Railways gave renewed confidence
-in Germany that the Bagdad plan would succeed. In
-Great Britain the appointment was considered an ominous
-sign that a very real connection existed between the economic
-enterprises of the <i>Deutsche Bank</i> and the Near
-Eastern activities of the German Foreign Office.<a name="FNanchor_15_142" id="FNanchor_15_142"></a><a href="#Footnote_15_142" class="fnanchor">15</a></p>
-
-<p>In 1907 the Anatolian Railway Company, under a contract
-with the Turkish Government, completed arrangements
-for the irrigation of the desert plain southeast of
-Konia. It was planned to water artificially about one
-hundred and fifty thousand acres of arid land, thus rendering
-the region independent of weather conditions. The
-effects of such an improvement would be far-reaching.
-Much idle land would be made available for profitable
-farming, and the yield of soil already under cultivation
-would be developed materially. Increased production
-might lead to a surplus of agricultural products for export,
-and the greater purchasing power of a prosperous Anatolian
-farming class would stimulate import trade. Agriculture,
-commerce, and manufacturing alike, therefore,
-could be served. The Anatolian Railway Company issued
-some 135,000 new shares of stock to defray its part of
-the expenses, hoping to be richly compensated by increased
-traffic on the railway. The Imperial Ottoman
-Treasury issued £800,000 of Konia Irrigation Bonds, an
-outlay which it hoped to offset by increased taxes from<span class="pagenum"><a name="Page_99" id="Page_99">99</a></span>
-the Konia district, by rentals and sales of irrigated lands,
-and by decreased guarantees to this section of the railway.<a name="FNanchor_16_143" id="FNanchor_16_143"></a><a href="#Footnote_16_143" class="fnanchor">16</a></p>
-
-<p>A number of German banks, meanwhile, were pushing
-their financial operations in the Near East. The success
-of the <i>Deutsche Palästina Bank</i><a name="FNanchor_17_144" id="FNanchor_17_144"></a><a href="#Footnote_17_144" class="fnanchor">17</a> encouraged the formation
-of other similar institutions. The <i>Nationalbank für
-Deutschland</i>, in 1904, founded the <i>Banque d’Orient</i>, with
-offices in Hamburg, Athens, Constantinople, Salonica, and
-Smyrna. The following year the <i>Dresdner Bank</i>, in
-coöperation with other large Austro-German financial institutions,
-inaugurated the important <i>Deutsche Orientbank</i>,
-with a capital stock of sixteen million marks. This latter
-bank took over the Hamburg and Constantinople offices of
-the <i>Banque d’Orient</i> and established a large number of
-branches of its own, including those at Alexandria, Cairo,
-and Smyrna. The <i>Deutsche Orientbank</i> became an active
-promoter of industrial enterprises in Asiatic Turkey; for
-example, in 1908 it organized <i>La Société pour Enterprises
-Electriques en Orient</i>, a company which proceeded to take
-over the surface railways as well as the electric light and
-power concession of Constantinople. In 1908 the <i>Deutsche
-Bank</i> itself formally opened an office in Constantinople
-for the transaction of a general banking business.<a name="FNanchor_18_145" id="FNanchor_18_145"></a><a href="#Footnote_18_145" class="fnanchor">18</a></p>
-
-<p>The entry of these German banks into the Near Eastern
-field was of no small importance to the British and French
-financial institutions already there. The German bankers
-allowed liberal rates of interest on time and check deposits
-and permitted reasonable overdrafts at low rates. These
-practices were in sharp contrast with the rigid regulations
-of the older-established banks. The <i>Deutsche Bank</i> undertook
-to collect claims of local merchants against the Turkish
-Government; through its influence in the Government
-departments it cut red tape and secured payments which
-otherwise might have been delayed for years. Constant<span class="pagenum"><a name="Page_100" id="Page_100">100</a></span>inople
-business men welcomed their emancipation from
-the ultra-conservative methods of the older institutions,
-and it was not long before a very thriving business was
-being transacted by the German banks and their agencies
-in the Near East.<a name="FNanchor_19_146" id="FNanchor_19_146"></a><a href="#Footnote_19_146" class="fnanchor">19</a> Here was a high-powered bomb to
-disturb the quiet which heretofore had ruled in the banking
-community of Constantinople and of Asiatic Turkey.
-Germans were disturbing the financial, as well as the commercial
-and industrial, <i>status quo</i> in the Near East!</p>
-
-<p>The advance of the German banks in Turkey was almost
-certain to be the first step in a more general industrial
-and commercial penetration. This will be the more
-readily understood if one recalls the close coöperation
-which characterized the relationships between the German
-banks and the business interests of the empire. This coöperation
-which amounted, in effect, to financial interdependence—was
-one of the striking features of the German
-economic advance in the generation before the Great War.
-It strengthened German industrial enterprises at home
-and promoted German trade and investments abroad. If
-a great business needed capital, the banks furnished the
-necessary funds by the purchase of securities which made
-them at once creditors and copartners in that business.
-Sooner or later this connection would find expression in
-the appointment of a representative of the bank on the
-supervisory council of the industrial enterprise; occasionally
-a “captain of industry” would be elected to the
-board of directors of the bank. Although this procedure
-of interlocking directorates was not unique to Germany—it
-was an established practice in the United States, certainly—there
-was no country in which these alliances were
-so far-reaching, or in which financial power was so centrally
-controlled, as in the German Empire. In Germany
-finance and industry were wedded—permanently united for
-better or for worse.<a name="FNanchor_20_147" id="FNanchor_20_147"></a><a href="#Footnote_20_147" class="fnanchor">20</a></p>
-<p><span class="pagenum"><a name="Page_101" id="Page_101">101</a></span></p>
-<p>Of this alliance of banking and business the <i>Deutsche
-Bank</i>, chief promoter of the Bagdad Railway, was a shining
-example. Its industrial connections were too numerous
-to catalogue. It enjoyed intimate financial relations
-with hundreds of companies engaged in every important
-branch of manufacturing in Germany; it was represented
-on the directorates of the North German Lloyd and Hamburg-American
-steamship lines; it was the organizer of
-and chief stockholder in the German Petroleum Company.
-It was the owner of a number of overseas banking corporations
-stretching their activities from South America
-on the west to China on the east. The officers of the
-<i>Deutsche Bank</i> firmly believed that the export of capital
-and the export of commodities should go hand in hand.
-The other banks associated in the Bagdad Railway enterprise
-likewise were closely affiliated with important industrial
-enterprises. For example, the <i>Dresdner Bank</i> held
-the vice-chairmanship of Ludwig Loewe &amp; Company,
-prominent manufacturers of munitions, and the chairmanship
-of the Orenstein Koppel Company, manufacturers
-of railway supplies. The <i>Bank für Handel und Industrie</i>
-possessed interests in the <i>Allgemeine Elektrizitäts-Gesellschaft</i>,
-the German General Electric Company. A
-still further evidence of this close association of financial
-and industrial interests was furnished in January, 1905,
-when the chief German banks entered into a “community
-of interests” with August Thyssen and Hugo Stinnes,
-the steel and coal barons of Germany.<a name="FNanchor_21_148" id="FNanchor_21_148"></a><a href="#Footnote_21_148" class="fnanchor">21</a></p>
-
-<p>If German business men were likely to be interested in
-the economic development of Asia Minor, what was the
-nature of this interest?</p>
-
-<h3><span class="smcap">Broader Business Interests Develop</span></h3>
-
-<p>Speaking to the Reichstag in March, 1908, Baron von<span class="pagenum"><a name="Page_102" id="Page_102">102</a></span>
-Schoen, Foreign Secretary of the Empire, explained a
-few of the opportunities which the Bagdad Railway opened
-to German industry and commerce. “The advantages,” he
-said, “which accrue to Germany from this great enterprise,
-conceived on a grand scale, are obvious. In the first place,
-there arises the prospect of considerable participation of
-German industry in the furnishing of rails, rolling stock,
-and other railway materials. Furthermore, German engineers,
-German construction workers, and German contractors
-are very likely to find remunerative occupation in
-the construction of the railway. Finally, it is certain that
-with the rising civilization and the higher standard of
-living of the inhabitants of the country, a new market
-will be made available. That this territory will be opened
-up not merely for us, but also for other nations, we can
-allow without envy.... What we have in view is the
-development of regions that seem to be worth developing;
-we wish to coöperate in awakening from a sleep of a
-thousand years an ancient flourishing civilized region,
-thereby creating a new market for ourselves and others.”<a name="FNanchor_22_149" id="FNanchor_22_149"></a><a href="#Footnote_22_149" class="fnanchor">22</a></p>
-
-<p>This same idea had been advanced by others on other
-occasions. The <i>Alldeutsche Blätter</i> of December 17,
-1899, had prophesied that the construction of the railway
-by a German-controlled syndicate would result in the purchase
-of some eighty million dollars’ worth of German
-products and that, once completed, the railway would open
-to German business an enormous and wealthy market.
-Lord Ellenborough, speaking in the House of Lords of
-the United Kingdom, on May 5, 1903, expressed the
-opinion that “the capital disbursed in constructing the
-railway would be largely spent on German steel industries,
-and on salaries to German engineers and German surveyors,
-so that even if the railway, as a railway, were a
-failure, it would not be a total loss to Germany.”<a name="FNanchor_23_150" id="FNanchor_23_150"></a><a href="#Footnote_23_150" class="fnanchor">23</a> The
-British Consul General at Constantinople pointed out, in
-1903, that, in addition to all of the aforementio<span class="pagenum"><a name="Page_103" id="Page_103">103</a></span>ned advantages,
-there would be innumerable special opportunities
-for the remunerative investment of German capital
-in the regions traversed by the railway.<a name="FNanchor_24_151" id="FNanchor_24_151"></a><a href="#Footnote_24_151" class="fnanchor">24</a></p>
-
-<p>Events seemed to establish the wisdom of these expressions
-of opinion. Rails for the Bagdad line were
-ordered in Germany from the Steel Syndicate (<i>Stahlwerksverband</i>).
-Transportation of materials from Europe
-to the Near East was arranged for through German
-steamship companies. German engineers were given the
-executive positions in the construction and operation of
-the railway. Important subsidiary companies were formed
-for the construction of port and terminal facilities, for
-the building of irrigation works, and for other purposes
-incidental to the railway proper. German banks established
-branches on the ground in order to take advantage of
-other opportunities for the profitable investment of surplus
-funds.<a name="FNanchor_25_152" id="FNanchor_25_152"></a><a href="#Footnote_25_152" class="fnanchor">25</a></p>
-
-<p>There was much evidence, however, to indicate that
-the preëminently German character of the railway was
-not preserved. An English observer, after a trip over
-the Anatolian lines in 1908, wrote that he noted a great predominance
-of Turkish, Greek, and Italian employees over
-the Germans. “The fact is,” he maintained, “that the
-people who run the line, though Germans, care first for
-their own pockets and next for Germany. They buy or
-employ what is cheapest and most suitable and do not
-care a finger-snap for the origin of an article or a servant.
-Patriotism occupies a small place in the calculations of
-promoters. The tendency to deal with the Fatherland
-must always be strong, but it is founded chiefly on the
-fact that the German knows the goods available in his
-own country better than the goods of other countries and
-that credit and banking facilities are more easily obtained
-at home. The master impulse in every German engaged<span class="pagenum"><a name="Page_104" id="Page_104">104</a></span>
-in business in Turkey, as in business men of every other
-nationality, is to make money for himself as soon as
-possible.” This same observer pointed out that there was
-an astonishing absence of German employees in even the
-more responsible positions of the Anatolian Railway and
-that the great majority of the unskilled laborers were
-Italians.<a name="FNanchor_26_153" id="FNanchor_26_153"></a><a href="#Footnote_26_153" class="fnanchor">26</a></p>
-
-<p>Ultra-patriotic Germans, furthermore, denounced Dr.
-von Gwinner and his associates for not making the Bagdad
-Railway an exclusively Teutonic enterprise. A speaker
-at a Berlin branch of the Pan German League had this
-to say of the situation: “The Bagdad Railway, which in its
-origins was entirely German, has, thanks to the criminal
-negligence of the <i>Deutsche Bank</i>, become almost wholly
-French. The German schools along the line of the Railway,
-which were established by von Siemens, have fallen
-into decay. The officials of the Railway speak French.
-The ordinary language for transacting the business of the
-Railway is French, although the French share of the capital
-is only thirty per cent. The German engineers may as well
-be called home to-day as to-morrow.”<a name="FNanchor_27_154" id="FNanchor_27_154"></a><a href="#Footnote_27_154" class="fnanchor">27</a></p>
-
-<p>Nevertheless, the rapid expansion of German financial
-interests in the Near East and the established policy of the
-German banks to encourage and assist export trade were
-factors in a remarkable development of German trade in
-the Ottoman Empire, as will be indicated by the following
-table:<a name="FNanchor_28_155" id="FNanchor_28_155"></a><a href="#Footnote_28_155" class="fnanchor">28</a></p>
-
-<table summary="exports" border="0"><tr>
-<td class="center"><span class="smcap">Year&nbsp;&nbsp;&nbsp;&nbsp;</span></td>
-<td class="center padr2 padl2"><span class="smcap">Exports from<br />Turkey to<br />Germany—Marks</span></td>
-<td class="center padr2 padl2"><span class="smcap">imports to<br />Turkey from<br />Germany—Marks</span></td>
-</tr><tr>
-<td>1900</td><td class="tdr padr4">30,400,000</td><td class="tdr padr4">34,400,000</td>
-</tr><tr><td>1901</td><td class="tdr padr4">30,000,000</td><td class="tdr padr4">37,500,000</td>
-</tr><tr><td>1902</td><td class="tdr padr4">36,500,000</td><td class="tdr padr4">43,300,000</td>
-</tr><tr><td>1903</td><td class="tdr padr4">37,700,000</td><td class="tdr padr4">50,200,000</td>
-</tr><tr><td>1904</td><td class="tdr padr4">43,500,000</td><td class="tdr padr4">75,300,000</td>
-</tr><tr><td>1905</td><td class="tdr padr4">51,600,000</td><td class="tdr padr4">71,000,000</td>
-</tr><tr><td>1906</td><td class="tdr padr4">55,000,000</td><td class="tdr padr4">68,200,000</td>
-</tr><tr><td><span class="pagenum"><a name="Page_105" id="Page_105">105</a></span>1907</td><td class="tdr padr4">55,100,000</td><td class="tdr padr4">81,500,000</td>
-</tr><tr><td>1908</td><td class="tdr padr4">47,600,000</td><td class="tdr padr4">64,000,000</td>
-</tr><tr><td>1909</td><td class="tdr padr4">57,300,000</td><td class="tdr padr4">78,900,000</td>
-</tr><tr><td>1910</td><td class="tdr padr4">67,400,000</td><td class="tdr padr4">104,900,000</td>
-</tr><tr><td>1911</td><td class="tdr padr4">70,100,000</td><td class="tdr padr4">112,800,000</td>
-</tr></table>
-
-<p>This table eloquently describes the nature of the advance
-of German economic interests in Turkey. It does not,
-however, tell the whole story. Was this advance the result
-of a general increase of prosperity in the Ottoman
-Empire in which the Germans shared in common with
-other traders? Or was the increase in German trade out
-of proportion to the progress of other nationals—perhaps
-at the expense of the French and British? The following
-tables will help answer these questions:<a name="FNanchor_29_156" id="FNanchor_29_156"></a><a href="#Footnote_29_156" class="fnanchor">29</a></p>
-
-<table summary="Exports" border="1"><tr>
-<td class="tdc" colspan="5"><span class="smcap">Exports from Turkey</span></td>
-</tr><tr>
-<td>Year</td><td class="tdc"><span class="smcap">To United<br />Kingdom<br />Marks</span></td>
-<td class="tdc"><span class="smcap">To France<br />Marks</span></td>
-<td class="tdc"><span class="smcap">To Italy<br />Marks</span></td>
-<td class="tdc"><span class="smcap">To Austria<br />Hungary<br />Marks</span></td>
-</tr><tr>
-<td>1900</td><td class="tdc">&nbsp;&nbsp;&nbsp;118,760,000&nbsp;&nbsp;&nbsp;</td><td class="tdc">&nbsp;&nbsp;&nbsp;86,220,000&nbsp;&nbsp;&nbsp;</td><td class="tdc">&nbsp;&nbsp;&nbsp;22,520,000&nbsp;&nbsp;&nbsp;</td><td class="tdc">&nbsp;&nbsp;&nbsp;35,220,000&nbsp;&nbsp;&nbsp;</td>
-</tr><tr>
-<td>1901</td><td class="tdc">122,000,000</td><td class="tdc">&nbsp;</td><td class="tdc">26,120,000</td><td class="tdc">31,540,000</td>
-</tr><tr>
-<td>1902</td><td class="tdc">130,520,000</td><td class="tdc">83,040,000</td><td class="tdc">28,980,000</td><td class="tdc">35,580,000</td>
-</tr><tr>
-<td>1903</td><td class="tdc">127,400,000</td><td class="tdc">81,200,000</td><td class="tdc">38,120,000</td><td class="tdc">39,900,000</td>
-</tr><tr>
-<td>1904</td><td class="tdc">122,760,000</td><td class="tdc">73,120,000</td><td class="tdc">31,300,000</td><td class="tdc">39,120,000</td>
-</tr><tr>
-<td>1905</td><td class="tdc">118,960,000</td><td class="tdc">80,780,000</td><td class="tdc">42,240,000</td><td class="tdc">37,640,000</td>
-</tr><tr>
-<td>1906</td><td class="tdc">129,440,000</td><td class="tdc">91,600,000</td><td class="tdc">45,100,000</td><td class="tdc">39,300,000</td>
-</tr><tr>
-<td>1907</td><td class="tdc">136,600,000</td><td class="tdc">95,320,000</td><td class="tdc">50,480,000</td><td class="tdc">34,640,000</td>
-</tr><tr>
-<td>1908</td><td class="tdc">109,220,000</td><td class="tdc">70,760,000</td><td class="tdc">44,580,000</td><td class="tdc">34,360,000</td>
-</tr><tr>
-<td>1909</td><td class="tdc">109,320,000</td><td class="tdc">79,000,000</td><td class="tdc">59,080,000</td><td class="tdc">36,600,000</td>
-</tr><tr>
-<td>1910</td><td class="tdc">100,660,000</td><td class="tdc">77,000,000</td><td class="tdc">48,000,000</td><td class="tdc">43,340,000</td>
-</tr></table>
-<p>&nbsp;</p>
-<table summary="Exports" border="1"><tr>
-<td class="tdc" colspan="5"><span class="smcap">Imports to Turkey</span></td>
-</tr><tr>
-<td><span class="smcap">Year</span></td>
-<td class="tdc"><span class="smcap">From<br />From United<br />Kingdom</span></td>
-<td class="tdc"><span class="smcap">From<br />France<br />Marks</span></td>
-<td class="tdc"><span class="smcap">From Italy<br />Marks</span></td>
-<td class="tdc"><span class="smcap">From<br />Austria<br />Hungary<br />Marks</span></td>
-</tr><tr>
-<td>1900</td><td class="tdc">&nbsp;&nbsp;&nbsp;102,920,000&nbsp;&nbsp;&nbsp;</td><td class="tdc">&nbsp;&nbsp;&nbsp;29,800,000&nbsp;&nbsp;&nbsp;</td><td class="tdc">&nbsp;&nbsp;&nbsp;29,720,000&nbsp;&nbsp;&nbsp;</td><td class="tdc">&nbsp;&nbsp;&nbsp;53,440,000&nbsp;&nbsp;&nbsp;</td>
-</tr><tr>
-<td>1901</td><td class="tdc">128,220,000</td><td class="tdc">37,880,000</td><td class="tdc">43,800,000</td><td class="tdc">57,100,000</td>
-</tr><tr>
-<td>1902</td><td class="tdc">123,980,000</td><td class="tdc">37,200,000</td><td class="tdc">40,400,000</td><td class="tdc">61,380,000</td>
-</tr><tr>
-<td>1903</td><td class="tdc">114,020,000</td><td class="tdc">36,640,000</td><td class="tdc">45,360,000</td><td class="tdc">65,120,000</td>
-</tr><tr>
-<td>1904</td><td class="tdc">151,960,000</td><td class="tdc">40,880,000</td><td class="tdc">53,280,000</td><td class="tdc">77,600,000</td>
-</tr><tr>
-<td>1905</td><td class="tdc">139,300,000</td><td class="tdc">42,420,000</td><td class="tdc">57,200,000</td><td class="tdc">76,660,000</td>
-</tr><tr>
-<td><span class="pagenum"><a name="Page_106" id="Page_106">106</a></span>1906</td><td class="tdc">167,040,000</td><td class="tdc">47,300,000</td><td class="tdc">70,900,000</td><td class="tdc">92,620,000</td>
-</tr><tr>
-<td>1907</td><td class="tdc">147,380,000</td><td class="tdc">46,380,000</td><td class="tdc">63,040,000</td><td class="tdc">89,920,000</td>
-</tr><tr>
-<td>1908</td><td class="tdc">145,260,000</td><td class="tdc">51,600,000</td><td class="tdc">58,700,000</td><td class="tdc">69,240,000</td>
-</tr><tr>
-<td>1909</td><td class="tdc">156,280,000</td><td class="tdc">54,600,000</td><td class="tdc">67,740,000</td><td class="tdc">77,040,000</td>
-</tr><tr>
-<td>1910</td><td class="tdc">177,160,000</td><td class="tdc">58,400,000</td><td class="tdc">94,000,000</td><td class="tdc">107,300,000</td>
-</tr></table>
-
-<p>Certain important conclusions may be drawn from these
-statistics:</p>
-
-<p>1. British trade continued during the decade 1900–1910
-to dominate the Near Eastern market. With total imports
-and exports in the latter year of over 277,000,000
-marks it was in no immediate danger of being outstripped
-by its nearest rivals—a German trade of about 172,000,000
-marks and an Austro-Hungarian trade of about 150,000,000
-marks.</p>
-
-<p>2. France, whose Near Eastern trade in 1900 had
-proudly held a position second only to that of the United
-Kingdom, was being obliged to accept a less prominent
-place in the economic life of the Ottoman Empire. During
-the first ten years of the new century French merchants
-obviously were being outmaneuvered by Germans, Austro-Hungarians,
-and Italians. In spite of a total increase of
-17% in exports and imports between France and Turkey
-it was apparent that French trade was not keeping the
-pace; during the same period Austro-Hungarian trade
-showed an increased valuation of 81%, German trade of
-166%.</p>
-
-<p>3. Although it continued to dominate the Near Eastern
-market, British commerce, likewise, was losing ground.
-Between 1900 and 1910 it showed an increase of only
-25% as compared with the Italian record of 172% during
-the same period. During the decade British exports,
-although showing an increased valuation, fell off from
-35% to 22–1/2% of the total import trade of Turkey; for
-the same period German exports achieved not only an
-absolute gain of almost eighty million marks, but also a
-relative increase from 2–1/2% to 11–1/2% of the <span class="pagenum"><a name="Page_107" id="Page_107">107</a></span>whole.</p>
-
-<p>4. The advance of German trade was not equal to the
-advance of Italian trade in the Ottoman Empire during
-the same period. This explains, in part, the rapidly increasing
-political interest of Italy in the Near East and
-seems to set at rest the notion that the Germans acquired
-a stranglehold on exports and imports from and to Turkey.</p>
-
-<p>5. Looking at the question from a purely political
-standpoint, one’s attention is struck by the fact that
-commercial laurels in the Ottoman Empire were going
-to the nationals of the Triple Alliance powers. Economically,
-Turkey was leaning toward the Central Powers.
-Few international alliances are not based upon coincidence
-of economic interests; it appeared that a solid
-foundation was being laid for the eventual affiliation of
-Turkey with the Triple Alliance.</p>
-
-<h3><span class="smcap">Sea Communications are Established</span></h3>
-
-<p>Exports and imports, however, are not the only items
-which enter into the international balance sheet. As has
-been so amply demonstrated in the experience of the
-British Empire, ocean freights may constitute one of the
-chief items in the prosperity of a nation which lives upon
-commerce with other nations. It was not surprising,
-therefore, that upon the heels of German banks and German
-merchants in the Near East closely followed those
-other great promoters of German economic expansion,
-the steamship companies. The success of the <i>Deutsche
-Levante Linie</i>, established in 1889,<a name="FNanchor_30_157" id="FNanchor_30_157"></a><a href="#Footnote_30_157" class="fnanchor">30</a> indicated that there
-was room for additional service between German ports
-and the cities of the Aegean and the Mediterranean. Accordingly,
-in 1905, the Atlas Line, of Bremen, inaugurated
-a regular service from the Baltic to Turkish ports. One
-line was to ply between Bremen and Smyrna, with Rotte<span class="pagenum"><a name="Page_108" id="Page_108">108</a></span>rdam,
-Malta, Piraeus, Salonica, and Constantinople as
-ports of call. Another of this same company’s lines was
-to carry freight and passengers from Bremen to the
-Syrian city of Beirut. During the same year the North
-German Lloyd was responsible for the formation of the
-<i>Deutsche Mittelmeer Levante Linie</i>, providing service between
-Marseilles and Genoa and Smyrna, Constantinople,
-Odessa, and Batum.<a name="FNanchor_31_158" id="FNanchor_31_158"></a><a href="#Footnote_31_158" class="fnanchor">31</a> The considerable increase of trade
-between Germany and Turkey made a very real place for
-these lines, especially in the transportation of such commodities
-as could not be expected to bear the heavy charges
-of transportation by rail through the Balkans and overland
-to German cities. These lines were put into operation
-to provide for a traffic already in existence and waiting
-for them.</p>
-
-<p>Such was not the case, however, with the establishment
-of German steamship service to the Persian Gulf. Here
-British trade had been dominant for centuries. The German
-railway invasion had not as yet reached Mesopotamia,
-and German trade in this region was negligible. The establishment
-of a German steamship service to Basra would
-be equivalent to the throwing out of an advance guard
-and reconnaissance expedition on behalf of German trade.
-Incidentally it would mean the destruction of the practical
-monopoly which had been enjoyed by the British in the
-trade of Irak. It was considered of no slight importance,
-therefore, when, in April of 1906, the Hamburg-American
-Line announced its intention of establishing a regular
-service between European ports and the Persian Gulf. An
-office of the Company was immediately opened at Basra,
-and in August the first German steamer, with a German
-cargo, made its way up the Shatt-el-Arab. Soon afterward
-the Hamburg-American Line inaugurated, also, a service
-between British ports and Mesopotamia, and it provided
-a regular schedule of sailing dates, a luxury to which<span class="pagenum"><a name="Page_109" id="Page_109">109</a></span>
-merchants doing business in the Near East had not heretofore
-been accustomed. With the aid of a government
-subsidy the German company cut freight rates in half.
-This rude disturbance of the <i>status quo</i> in the shipping
-of the Persian Gulf dealt a severe blow to British companies
-engaged in the carrying trade between European
-ports and Mesopotamia. After a futile rate war the
-British lines, represented by Lord Inchcape, came to an
-agreement, in 1913, with their German competitors, ending
-a rivalry which had been the cause of considerable
-concern on the part of their respective foreign offices.<a name="FNanchor_32_159" id="FNanchor_32_159"></a><a href="#Footnote_32_159" class="fnanchor">32</a></p>
-
-<p>In order to coöperate with the attempts of Germans to
-have a share in the trade of the Mesopotamian valley, the
-German Government established a consulate at Bagdad in
-1908. The services of this consulate, supplementing the
-pioneer work of the Hamburg-American Line, had immediate
-results in the development of commercial relationships
-with the Land of the Two Rivers. The value
-of exports from Basra to Germany increased from about
-half a million dollars in 1906 to slightly in excess of a
-million dollars in 1913; German goods received at Basra
-during the same period increased from about half a million
-dollars to almost nine million dollars. Herr von Mutius,
-the German Consul at Bagdad, conducted an active campaign
-of education and propaganda, urging upon business
-men at home the importance of participating further in
-the development of the economic resources of the land of
-the Arabs.<a name="FNanchor_33_160" id="FNanchor_33_160"></a><a href="#Footnote_33_160" class="fnanchor">33</a></p>
-
-<p>The establishment of steamship communication between
-Europe and Asiatic Turkey was welcomed by the
-Bagdad Railway Company. To widen the scope of usefulness—and,
-consequently, to increase the revenues—of
-the railway it was essential that every feeder for freight
-and passenger service be utilized. This was a consideration
-in the agreement with the Smyrna-Cassaba line an<span class="pagenum"><a name="Page_110" id="Page_110">110</a></span>d
-in the purchase, in 1906, of the Mersina-Tarsus-Adana
-Railway.<a name="FNanchor_34_161" id="FNanchor_34_161"></a><a href="#Footnote_34_161" class="fnanchor">34</a> The establishment of connections with the
-former system developed a satisfactory volume of traffic
-with Smyrna. The acquisition of the latter line provided
-direct connections with the Mediterranean coast.</p>
-
-<p>Nevertheless, the promoters of the Bagdad Railway
-were by no means satisfied with their terminal ports. Constantinople
-was at a disadvantage as compared with
-Smyrna in the trade of Anatolia. Smyrna was within
-reach of the Bagdad system only over the tracks of a
-French-owned line which might not always be in the
-hands of well-disposed owners. The prospects that the
-Railway soon would reach Basra were not very bright.
-Mersina was limited in its possibilities of development—shut
-off by the mountains from Anatolia, on the north,
-and Syria, on the south, it was the natural outlet only for
-the products of the Cilician plain.</p>
-
-<p>The port which the company sought to bring under
-its control was Alexandretta, on the Mediterranean,
-seventy miles from Aleppo. Article 12 of the concession
-of 1903 assured preference to the Bagdad Railway Company
-in the award of a “possible extension to the sea
-at a point between Mersina and Tripoli-in-Syria.” The
-construction of a branch from the main line to Alexandretta
-would provide the Railway with sea communications
-for the valuable trade of northern Syria and the
-northern Mesopotamian valley, then almost entirely dependent
-upon the caravan routes centering in Aleppo. Accordingly,
-negotiations were begun in the spring of 1911
-looking toward the building of a branch line to Alexandretta
-and the construction of extensive port facilities at
-that harbor.</p>
-
-<p>Serious financial difficulties were encountered, however,
-in the promotion of this plan. The Young Turk budget
-of 1910 had announced that no further railway concessio<span class="pagenum"><a name="Page_111" id="Page_111">111</a></span>ns
-carrying guarantees would be granted. Even had
-the Government been disposed to depart from its avowed
-intention, it would have been unable to do so. Suffering
-from the usual malady of a young government—lack of
-funds—it was running into debt continually and finding
-it increasingly difficult to borrow money. Early in 1911
-the Imperial Ottoman Treasury addressed a request to the
-Powers for permission to increase the customs duties
-from eleven to fourteen per cent. <i>ad valorem</i>. Great Britain
-immediately announced its determination to veto the proposed
-revision of the revenues, unless the increase were
-granted with certain important qualifications. Sir Edward
-Grey informed the House of Commons, March 8: “I wish
-to see the new régime in Turkey strengthened. I wish to
-see them supplied with resources which will enable them
-to establish strong and just government in all parts of the
-Turkish Empire. I am aware that money is needed for
-these purposes, and I would willingly ask British trade
-to make sacrifices for these purposes. But if the money
-is to be used to promote railways which may be a source
-of doubtful advantage to British trade, and still more if the
-money is going to be used to promote railways which will
-take the place of communications which have been in the
-hands of British concessionaires [<i>i.e.</i>, the Lynch Brothers],
-then I say it will be impossible for us to agree to that
-increase of the customs duty until we are satisfied that
-British trade interests will be satisfactorily guarded.”<a name="FNanchor_35_162" id="FNanchor_35_162"></a><a href="#Footnote_35_162" class="fnanchor">35</a>
-This clear pronouncement of British policy made it plain
-that no increased Turkish customs revenues could be diverted
-to the proposed Alexandretta branch. It was even
-doubtful if further funds would be forthcoming for the
-construction of the main line beyond El Helif.</p>
-
-<p>This complicated domestic and international situation
-led to the conventions of March 21, 1911, between the Imperial
-Ottoman Government and the Bagdad Railway<span class="pagenum"><a name="Page_112" id="Page_112">112</a></span>
-Company. One of these conventions provided for the
-construction of a branch line of the Bagdad Railway from
-Osmanie, on the main line, to Alexandretta, but without
-kilometric guarantee or other subsidy from the Turkish
-Government. A second convention leased for a period
-of ninety-nine years to the Haidar Pasha Port Company
-the exclusive rights of constructing port and terminal
-facilities at Alexandretta—including quays, docks, warehouses,
-coal pockets, and elevators. As in the case of the
-Bagdad Railway itself, public lands were to be at the disposal
-of the concessionaires without charge, and private
-lands were to be subject to the law of expropriation if
-essential for the purposes of the Company. Within the
-limits of the port the Company was authorized to maintain
-a police force for the maintenance of order and the
-protection of its property.<a name="FNanchor_36_163" id="FNanchor_36_163"></a><a href="#Footnote_36_163" class="fnanchor">36</a></p>
-
-<p>Because of the refusal of the Powers to permit an increase
-in the customs, the Turkish Government was unable
-to assign further revenues to the payment of railway
-guarantees. The Bagdad Railway Company thereupon
-agreed to proceed with the construction of the sections
-from El Helif to Bagdad without additional commitments
-from the Imperial Ottoman Treasury. The Company likewise
-renounced its right to build the sections beyond
-Bagdad, including its concession for the construction of
-port works at Basra, with the proviso, however, that this
-section of the line, if constructed, be assigned to a Turkish
-company internationally owned and administered.<a name="FNanchor_37_164" id="FNanchor_37_164"></a><a href="#Footnote_37_164" class="fnanchor">37</a> This
-surrender by the Bagdad Railway Company of its rights
-to the pledge of additional revenues by the Ottoman
-Treasury and its surrender of its hold on the sections of
-the railway beyond Bagdad are by far the most important
-provisions of the conventions of March 21, 1911.</p>
-
-<p>German opinion, as a whole, considered these self-denying
-contracts of the Company an indication of the<span class="pagenum"><a name="Page_113" id="Page_113">113</a></span>
-willingness of the <i>Deutsche Bank</i> and the German Government
-to go more than half way in removing diplomatic
-objections to the construction of the Bagdad Railway.<a name="FNanchor_38_165" id="FNanchor_38_165"></a><a href="#Footnote_38_165" class="fnanchor">38</a>
-There were Englishmen, however, who felt that the conventions
-of 1911 were a mere gesture of conciliation; in
-their opinion the renunciation of these important rights
-was bait held out to win foreign diplomatic support and
-to induce the participation of foreign capital in the Railway
-and its subsidiary enterprises. Lord Curzon, for example,
-expressed to the House of Lords his belief that
-technical and financial difficulties made it impossible for
-the German bankers to proceed with the construction of
-the Bagdad line without the assistance of outside capital.
-He was firmly of the opinion that no railway stretching
-from the Bosporus to the Gulf could be financed by a
-single Power.<a name="FNanchor_39_166" id="FNanchor_39_166"></a><a href="#Footnote_39_166" class="fnanchor">39</a></p>
-
-<p>The unsettled political conditions in Turkey, meanwhile,
-had delayed, but not halted, construction of the Bagdad
-Railway. The years 1910 and 1911 were marked
-by progress on the sections in the vicinity of Adana.
-From that Cilician city the railway was being laid westward
-to the Taurus Mountains, eventually to pass through
-the Great Gates and meet the tracks already laid to Bulgurlu.
-Eastward the line was being constructed in the
-direction of the Amanus mountains, although there seemed
-to be little chance for an early beginning of the costly
-tunneling of the barrier. During 1911 and 1912 attention
-was concentrated on the building of the sections east of
-Aleppo, which in 1912 reached the Euphrates River. The
-branch line to Alexandretta was completed and opened to
-traffic November 1, 1913.<a name="FNanchor_40_167" id="FNanchor_40_167"></a><a href="#Footnote_40_167" class="fnanchor">40</a> Financial difficulties in the
-way of further construction of the main line were overcome
-in the latter part of 1913, when the <i>Deutsche Bank</i>
-disposed of its holdings in the Macedonian Railways and
-the Oriental Railways to an Austro-Hungarian syndicate.<span class="pagenum"><a name="Page_114" id="Page_114">114</a></span>
-The funds thus obtained were re-invested in the Bagdad
-Railway, and the necessity was obviated for a further sale
-of securities on the open market.<a name="FNanchor_41_168" id="FNanchor_41_168"></a><a href="#Footnote_41_168" class="fnanchor">41</a> In 1914 the Amanus
-tunnels were begun, a great steel bridge was thrown across
-the Euphrates, the sections east of Aleppo were constructed
-almost to Ras el Ain, in northern Mesopotamia. In addition,
-rails were laid from Bagdad north to Sadijeh, on
-the Tigris, before the outbreak of the Great War.<a name="FNanchor_42_169" id="FNanchor_42_169"></a><a href="#Footnote_42_169" class="fnanchor">42</a></p>
-
-<p>Thus far we have considered the Bagdad Railway almost
-entirely as a business undertaking. In its inception, in
-fact, it was generally thus regarded throughout Europe.
-As time passed, however, the enterprise overstepped the
-bounds of purely economic interest and entered the arena
-of international diplomacy. The greatest usefulness of the
-Bagdad Railway was in the economic services it was
-capable of rendering the Ottoman Empire and, further,
-all mankind. Its widest significance is to be sought in the
-part it played in the development of German capitalistic
-imperialism. Its greatest menace was its consequent
-effects upon the relations between Turkey, Germany, and
-the other Great Powers of Europe. The succeeding chapters
-will deal with the political ramifications of the Bagdad
-enterprise.</p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_128" id="Footnote_1_128"></a><a href="#FNanchor_1_128"><span class="label">1</span></a> Dr. Arthur von Gwinner (1856- ) is one of the most distinguished
-of modern financiers. He was born, appropriately
-enough, at Frankfort-on-the-Main when that city was a center
-of international finance. His father, a lawyer, was an intimate
-friend of Schopenhauer and the latter’s executor and biographer.
-In 1885 young Gwinner married a daughter of Philip Speyer
-and thus became a member of one of the famous families of
-bankers in Europe and America. For a time he conducted a
-private banking business in Berlin, but in 1894 he became an
-active director of the <i>Deutsche Bank</i>. Two years later he was
-sent to America to supervise the reorganization of the Northern
-Pacific Railway by its European creditors; and while he was
-in the United States, he formed lasting friendships with J. Pierpont<span class="pagenum"><a name="Page_115" id="Page_115">115</a></span>
-Morgan and James J. Hill. In 1901 he succeeded Dr. von
-Siemens as the guiding spirit of the <i>Deutsche Bank</i>, which under
-his administration made even more remarkable progress than
-under his capable predecessor. As managing director of the
-<i>Deutsche Bank</i> he became president of the Anatolian and Bagdad
-Railway Companies. It was in 1909 that Dr. von Gwinner’s
-father received from the Kaiser the patent of hereditary nobility—an
-honor said to have been intended as much for the distinguished
-son as for the distinguished sire. Intellectually, Dr. von
-Gwinner is an international man: he quotes Dickens and Shakespeare
-and Molière, Goethe and Schiller and Lessing, with almost
-equal facility. His delightful personality stands out in all the
-Bagdad Railway negotiations.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_129" id="Footnote_2_129"></a><a href="#FNanchor_2_129"><span class="label">2</span></a> <i>Infra</i>, Chapter IX. The French bankers also shared in the
-ownership of the construction company. A. Géraud, “A New
-German Empire: the Story of the Bagdad Railway,” in <i>The
-Nineteenth Century</i>, Volume 75 (1914), p. 967; <i>Report of the
-Bagdad Railway Company</i>, 1903, pp. 4, 8.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_130" id="Footnote_3_130"></a><a href="#FNanchor_3_130"><span class="label">3</span></a> Among the German members were Dr. von Gwinner; Dr.
-Karl Testa, representative of the German bondholders on the
-Ottoman Public Debt Administration; Dr. Alfred von Kaulla, a
-director of the <i>Württembergische Vereinsbank</i>, and original concessionaire
-of the Anatolian Railways; Dr. Karl Schrader, a
-member of the Reichstag; Dr. Kurt Zander, general manager
-of the Anatolian Railway Company. The directors nominated by
-the French interests were Count A. D’Arnoux, Director General,
-and M. Léon Berger, French member, of the Ottoman Public
-Debt Administration; MM. J. Deffes, G. Auboyneau, P. Naville,
-Pangiri Bey, and A. Vernes, of the Imperial Ottoman Bank, the
-last-named being vice-president of the Bagdad Railway Company;
-M. L. Chenut, a member of the Ottoman <i>Régie Générale de
-chemins de fer</i>. The Turkish members of the Board were
-Hamdy Bey, representative of the Ottoman bondholders on the
-Public Debt Administration; Hoene Effendi, under-secretary in
-the Ministry of Posts and Telegraphs; and two Constantinople
-bankers. The Swiss were Herr Abegg-Arter, president of the
-<i>Schweizerische Kreditanstalt</i>, of Zurich, and M. A. Turrettini,
-of <i>L’Union financière de Genève</i>. The Austrian was Herr Bauer,
-of the <i>Wiener Bankverein</i>, and the Italian was Carlo Esterle,
-of the Italian Edison Electric Company, of Milan. There were
-few important changes in the personnel of the Board of Directors
-between 1903 and 1914, perhaps the most notable being the election
-of Dr. Karl Helfferich, in 1906. <i>Cf.</i> <i>Reports of the Bagdad
-Railway Company</i>, 1903, <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_131" id="Footnote_4_131"></a><a href="#FNanchor_4_131"><span class="label">4</span></a> <i>Cf.</i> <i>Parliamentary Debates, House of Commons</i>, fourth series,
-Volume 120 (1903), p. 1371. During the Great War<span class="pagenum"><a name="Page_116" id="Page_116">116</a></span> a conspicuous
-German general complained that the Swiss in charge of the
-operation of the Railway was more interested in the commercial
-than in the strategic value of the line and did not coöperate with
-the military authorities. <i>Cf.</i> Field Marshal Liman von Sanders,
-<i>Fünf Jahre Türkei</i> (Berlin, 1919), p. 40.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_132" id="Footnote_5_132"></a><a href="#FNanchor_5_132"><span class="label">5</span></a> <i>Verhandlungen des Reichstages, Stenographische Berichte,
-XII Legislaturperiode, 1 Session</i>, Volume 231 (1908), p. 4253c.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_133" id="Footnote_6_133"></a><a href="#FNanchor_6_133"><span class="label">6</span></a> <i>Supra</i>, p. 77.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_134" id="Footnote_7_134"></a><a href="#FNanchor_7_134"><span class="label">7</span></a> Paul Imbert, “Le chemin de fer de Bagdad,” in <i>Revue des
-deux mondes</i>, Volume 197 (1907), p. 672. The <i>Deutsche Bank</i>,
-with its capital and surplus of about $75,000,000, was the foremost
-of the German banks. Associated with it in the Bagdad
-Railway enterprise were a number of other financial institutions,
-including, it is said, the <i>Dresdner Bank</i> and the <i>Darmstädter
-Bank</i>, ranking second and fourth respectively among the great
-banks of the German Empire. Riesser, <i>op. cit.</i>, pp. 642–644.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_135" id="Footnote_8_135"></a><a href="#FNanchor_8_135"><span class="label">8</span></a> <i>Supra</i>, Chapter IV, Note 48; Fraser, <i>op. cit.</i>, pp. 48–49;
-Jastrow, <i>op. cit.</i>, p. 94; <i>Report of the Bagdad Railway Company</i>,
-1904, p. 3; 1905, p. 4.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_136" id="Footnote_9_136"></a><a href="#FNanchor_9_136"><span class="label">9</span></a> Von Gwinner, <i>loc. cit.</i>, p. 1088.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_137" id="Footnote_10_137"></a><a href="#FNanchor_10_137"><span class="label">10</span></a> <i>Corps de droit ottoman</i>, Volume III, pp. 221–228.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_138" id="Footnote_11_138"></a><a href="#FNanchor_11_138"><span class="label">11</span></a> <i>Turkey in Europe</i>, pp. 128–129; <i>The Quarterly Review</i>,
-Volume 228 (1917), pp. 510–511; <i>Parliamentary Debates, House
-of Commons</i>, fourth series, Volume 159 (1906), pp. 1338, 1359;
-<i>ibid.</i>, Volume 162 (1906), p. 1419; Volume 178 (1907), p. 321;
-<i>ibid.</i>, fifth series, Volume 53 (1913), p. 368.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_139" id="Footnote_12_139"></a><a href="#FNanchor_12_139"><span class="label">12</span></a> <i>Société Impériale Ottomane du Chemin de fer de Bagdad—Convention
-Additionelle</i> (Constantinople, 1908); <i>Parliamentary
-Papers</i>, No. Cd. 5636, Volume CIII (1911); <i>Report of the
-Bagdad Railway Company</i>, 1908, pp. 4–5; 1909, p. 4; <i>Bagdad Railway
-Loan Contract, Second and Third Series</i>, June 2, 1908;
-<i>Report of the Deutsche Bank</i>, 1909, p. 12.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_140" id="Footnote_13_140"></a><a href="#FNanchor_13_140"><span class="label">13</span></a> <i>Report of the Deutsche Bank</i>, 1909, p. 12.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_141" id="Footnote_14_141"></a><a href="#FNanchor_14_141"><span class="label">14</span></a> <i>Report of the Bagdad Railway Company</i>, 1906, p. 4; K. Helfferich,
-<i>Die Vorgeschichte des Weltkrieges</i>, pp. 131–132; Dr.
-Helfferich’s reputation was based largely upon his writings on
-two important subjects: the gold monetary standard; government
-promotion of foreign trade. <i>Cf.</i> <i>Germany and the Gold
-Standard</i> (London, 1896); <i>Beiträge zur Geschichte der deutschen
-Geldreform</i> (Leipzig, 1901). See the enthusiastic appreciation
-of Dr. Helfferich’s services voiced by his associates of the
-<i>Deutsche Bank</i> upon the occasion of his appointment as Secretary
-of State for the Imperial Treasury, January, 1915. <i>Report
-of the Deutsche Bank</i>, 1915, pp. 11–12; <i>Report of the
-Bagdad Railway Company</i>, 1914, p. 8.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_142" id="Footnote_15_142"></a><a href="#FNanchor_15_142"><span class="label">15</span></a> <i>The Times</i>, October 25, 1905, commenting upon the proposed
-appointment of Helfferich.</p>
-
-<p><span class="pagenum"><a name="Page_117" id="Page_117">117</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_143" id="Footnote_16_143"></a><a href="#FNanchor_16_143"><span class="label">16</span></a> <i>Report of the Anatolian Railway Company</i>, 1907, p. 7; H. C.
-Woods, “The Bagdad Railway and Its Tributaries,” in <i>The Geographical
-Journal</i>, Volume 50 (1917), pp. 32 <i>et seq.</i>; <i>Parliamentary
-Papers</i>, No. Cmd. 964 (1920). The irrigation system
-thus planned was completed before the outbreak of the Great
-War. It justified the sanguine expectations of its promoters,
-for the agricultural yield of the irrigated lands increased from
-five to fifteen fold over the former production. In 1911 a similar
-irrigation project was gotten under way in Cilicia. <i>Diplomatic
-and Consular Reports</i>, No. 4835 (1911), pp. 18–19.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_144" id="Footnote_17_144"></a><a href="#FNanchor_17_144"><span class="label">17</span></a> <i>Cf.</i> <i>supra</i>, p. 37.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_145" id="Footnote_18_145"></a><a href="#FNanchor_18_145"><span class="label">18</span></a> Riesser, <i>op. cit.</i>, p. 454; <i>Report of the Dresdner Bank</i>, 1905,
-p. 6; <i>Diplomatic and Consular Reports</i>, No. 3553 (1905), p. 29;
-<i>Report of the Deutsche Bank</i>, 1908, p. 10. The Bagdad office of
-the <i>Deutsche Bank</i> was not established until 1914, just before
-the outbreak of the War. <i>Ibid.</i>, 1914, p. 9.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_146" id="Footnote_19_146"></a><a href="#FNanchor_19_146"><span class="label">19</span></a> The principal bank in Turkey before the War was the Imperial
-Ottoman Bank. This institution was owned by French
-and British capitalists, the French interest being predominant
-and in control. It was a quasi-public bank, founded in 1863,
-and enjoying since then a monopoly of bank-note issues. Its
-central office was at Constantinople, but it maintained a branch
-in practically every important city of Asiatic Turkey, including
-Smyrna, Jerusalem, Jaffa, Aleppo, Alexandretta, Beirut, Damascus,
-Basra, Bagdad, and Mosul. The capital stock of the Imperial
-Ottoman Bank was £10,000,000 sterling. A British bank
-of some importance was The Eastern Bank, Ltd., of which the
-Right Honorable Lord Balfour of Burleigh was chairman—the
-same Lord Balfour who was Secretary for Scotland in the
-ministry of his namesake, Arthur J. Balfour, in 1903, when the
-British Government quashed the participation of English capitalists
-in the Bagdad Railway. The head office of the Eastern
-Bank was in London, and it maintained branches in Basra and
-Bagdad, although its principal sphere of activity was India. Sir
-Ernest Cassell’s National Bank of Turkey was not established
-until 1909. <i>Cf.</i> Caillard, <i>loc. cit.</i>, p. 439; weekly advertisements
-of these banks in <i>The Near East; Parliamentary Debates</i>, Index
-for 1903, p. v; <i>Turkey in Europe</i>, p. 36.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_147" id="Footnote_20_147"></a><a href="#FNanchor_20_147"><span class="label">20</span></a> D. S. Jordan, “The Interlocking Directorates of War,” in
-<i>The World’s Work</i>, July, 1913, p. 278; H. Hauser, <i>Les Méthodes
-Allemandes d’Expansion Économique</i>, seventh edition (Paris,
-1917), <i>passim</i>; Riesser, <i>op. cit.</i>, pp. 366–367.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_148" id="Footnote_21_148"></a><a href="#FNanchor_21_148"><span class="label">21</span></a> Riesser, <i>op. cit.</i>, pp. 373–375, 432, 474, 745–746.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_149" id="Footnote_22_149"></a><a href="#FNanchor_22_149"><span class="label">22</span></a> <i>Verhandlungen des Reichstages, Stenographische Berichte, XII
-Legislaturperiode, 1 Session</i>, Volume 231 (1908), p. 4253c. The
-speech of the Secretary was followed by “Bravos” from the
-National Liberals.</p>
-
-<p><span class="pagenum"><a name="Page_118" id="Page_118">118</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_150" id="Footnote_23_150"></a><a href="#FNanchor_23_150"><span class="label">23</span></a> <i>Parliamentary Debates, House of Lords</i>, fourth series,
-Volume 121 (1903), p. 1340.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_151" id="Footnote_24_151"></a><a href="#FNanchor_24_151"><span class="label">24</span></a> <i>Diplomatic and Consular Reports</i>, No. 3140 (1903), p. 40.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_152" id="Footnote_25_152"></a><a href="#FNanchor_25_152"><span class="label">25</span></a> <i>Supra</i>, pp. 98–99, <i>Report of the Deutsche Bank</i>, 1909, p. 12;
-<i>Stenographische Berichte, XII. Legislaturperiode, 2 Session</i>,
-Volume 260 (1910), p. 2181d, statement by Baron von Schoen.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_153" id="Footnote_26_153"></a><a href="#FNanchor_26_153"><span class="label">26</span></a> Fraser, <i>op. cit.</i>, pp. 16–17, 18–20. <i>Cf.</i>, also, <i>Report of the
-Bagdad Railway Company</i>, 1911, p. 4.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_154" id="Footnote_27_154"></a><a href="#FNanchor_27_154"><span class="label">27</span></a> <i>Staatsbürger Zeitung</i> (Berlin), March 3, 1912.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_155" id="Footnote_28_155"></a><a href="#FNanchor_28_155"><span class="label">28</span></a> Compiled from the <i>Statistisches Jahrbuch für das deutsche
-Reich</i>, 1900–1914, as corrected for 1900–1905 according to the
-<i>Statistisches Handbuch für das deutsche Reich</i>, Volume 2, pp.
-506–510. A remarkable increase of German exports to Turkey—an
-increase of 50%—is to be noted in the year 1904, during
-which the first section of the Bagdad Railway was constructed.
-Undoubtedly this increase is to be partially accounted for by the
-purchase in Germany of materials for right of way as well as
-rolling stock for the railway. This factor should not be over-estimated,
-however, as a glance at the following tables will show
-that imports into Turkey from other European countries during
-the same year likewise showed increases, without exception.
-The general falling off in trade during 1908 may be attributed,
-in part, at any rate, to the Young Turk Revolution of that
-year.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_156" id="Footnote_29_156"></a><a href="#FNanchor_29_156"><span class="label">29</span></a> Compiled from <i>Diplomatic and Consular Reports</i>, Nos. 2950
-(1902), 3533 (1905), 4188 (1908), and 4835 (1910–1911).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_157" id="Footnote_30_157"></a><a href="#FNanchor_30_157"><span class="label">30</span></a> <i>Supra</i>, p. 36.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_158" id="Footnote_31_158"></a><a href="#FNanchor_31_158"><span class="label">31</span></a> <i>Diplomatic and Consular Reports</i>, No. 3533 (1905), p. 27;
-<i>Turkey in Europe</i>, pp. 86–87.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_159" id="Footnote_32_159"></a><a href="#FNanchor_32_159"><span class="label">32</span></a> <i>Mesopotamia</i>, pp. 99–101; Schaefer, <i>op. cit.</i>, p. 22. Regarding
-British interests in the Persian Gulf, <i>cf.</i>, a detailed statement
-by Lord Lansdowne to the House of Lords, May 5, 1903.
-<i>Parliamentary Debates, House of Lords</i>, fourth series, Volume
-121 (1903), pp. 1347–1348.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_160" id="Footnote_33_160"></a><a href="#FNanchor_33_160"><span class="label">33</span></a> “Bagdad: Handelsbericht des kaiserlichen Konsulats für das
-Jahr 1908–1909,” in <i>Deutsches Handels-Archiv</i>, 1910, part 2, pp.
-27–35; also, “Bericht über den Handel in Basra und Bagdad für
-das Jahr 1910,” <i>ibid.</i>, 1912, part 2, pp. 263–270; <i>Mesopotamia</i>, p.
-108.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_161" id="Footnote_34_161"></a><a href="#FNanchor_34_161"><span class="label">34</span></a> <i>Cf.</i> <i>supra</i>, pp. 59–60; <i>Report of the Bagdad Railway Company</i>,
-1906, p. 4, 1908, pp. 7–8; <i>Diplomatic and Consular Reports</i>, No.
-3533 (1905), p. 29. The Mersina-Adana line was formally incorporated
-in the Bagdad system in 1908. <i>Cf.</i> <i>Deuxième convention
-additionelle à la convention du chemin de fer de Bagdad</i> (Constantinople,
-1910).</p></div>
-<p><span class="pagenum"><a name="Page_119" id="Page_119">119</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_35_162" id="Footnote_35_162"></a><a href="#FNanchor_35_162"><span class="label">35</span></a> <i>Parliamentary Debates, House of Commons</i>, fifth series,
-Volume 22 (1911), pp. 1284–1285.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_163" id="Footnote_36_163"></a><a href="#FNanchor_36_163"><span class="label">36</span></a> <i>Quatrième convention additionelle à la convention du 5 Mars,
-1903, relative au chemin de fer de Bagdad</i> (Constantinople, 1911).
-H. F. B. Lynch (of the firm of Lynch Brothers), “The Bagdad
-Railway: the New Conventions,” in the <i>Fortnightly Review</i>, new
-series, Volume 89 (1911), pp. 773–780. Mr. Lynch explains that
-his summary of the Alexandretta port concessions is based upon
-an authentic article appearing in <i>La Turquie</i>, a Constantinople
-newspaper, of March 21, 1911. <i>Diplomatic and Consular Reports</i>,
-No. 4835 (1911), p. 16; <i>The Times</i> (London), March 23, 1911.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_164" id="Footnote_37_164"></a><a href="#FNanchor_37_164"><span class="label">37</span></a> <i>Stenographische Berichte, XII. Legislaturperiode, 2 Session</i>,
-Volume 266 (1911), pp. 5984c <i>et seq.</i>; <i>Troisième convention additionelle
-à la convention du 5 Mars, 1903, relative au chemin de
-fer de Bagdad</i> (Constantinople, 1911); <i>Parliamentary Debates,
-House of Commons</i>, fifth series, Volume 23 (1911), pp. 582–583,
-statement by Sir Edward Grey.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_165" id="Footnote_38_165"></a><a href="#FNanchor_38_165"><span class="label">38</span></a> See speeches of Herr Scheidemann and Herr Bassermann
-before the Reichstag, March 30, 1911. <i>Stenographische Berichte,
-XII. Legislaturperiode, 2 Session</i>, Volume 266 (1911), pp. 5980
-<i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_166" id="Footnote_39_166"></a><a href="#FNanchor_39_166"><span class="label">39</span></a> <i>Parliamentary Debates, House of Lords</i>, fifth series, Volume
-23 (1911), p. 589.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_167" id="Footnote_40_167"></a><a href="#FNanchor_40_167"><span class="label">40</span></a> D. Chatir, “L’État actuel du chemin de fer de Bagdad,” in
-<i>Questions diplomatiques et coloniales</i>, Volume 36 (1913), pp. 279–281;
-<i>Report of the Bagdad Railway Company</i>, 1910, p. 4, 1911,
-p. 4, 1913, pp. 3–5, 1914, pp. 6–8.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_168" id="Footnote_41_168"></a><a href="#FNanchor_41_168"><span class="label">41</span></a> <i>Report of the Deutsche Bank</i>, 1913, pp. 11–12.</p></div>
-
-<p><span class="pagenum"><a name="Page_120" id="Page_120">120</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_42_169" id="Footnote_42_169"></a><a href="#FNanchor_42_169"><span class="label">42</span></a> <i>Report of the Bagdad Railway Company</i>, 1914, pp. 6–8. It
-was not until September, 1918, that the Amanus tunnels were
-completed, the first train being operated through to Aleppo just
-before the capture of that city by Lord Allenby’s army. Von
-Sanders, <i>op. cit.</i>, p. 42.</p></div>
-
-<hr />
-
-<h2>CHAPTER VI<br />
-
-THE BAGDAD RAILWAY BECOMES AN
-IMPERIAL ENTERPRISE</h2>
-
-<h3><span class="smcap">Political Interests Come to the Fore</span></h3>
-
-<p>It was asserted times without number that the Bagdad
-Railway was an independent financial enterprise, unconnected
-with the political aims of the German Government
-in Turkey and in no sense associated with an imperialist
-policy in the Near East. At the time the concession of
-1903 was granted Dr. Rohrbach expressed the belief that
-political and diplomatic considerations were quite outside
-the plans and purposes of the promoters of the Railway.<a name="FNanchor_1_170" id="FNanchor_1_170"></a><a href="#Footnote_1_170" class="fnanchor">1</a>
-Herr Bassermann, leader of the National Liberal Party,
-announced to the Reichstag that, although German capital
-was predominant in the Railway, there was no intent on
-the part of the owners or on the part of the Government
-to build with any political <i>arrière-pensée</i>. Baron von
-Schoen, Imperial Secretary for Foreign Affairs, reiterated
-this idea with emphasis. He pointed out that the Bagdad
-convention of 1903 was <i>not a treaty</i> between Germany
-and Turkey, <i>but a contract</i> between the Ottoman Government
-and the Anatolian Railway Company. He maintained
-that if the railway were considered, properly, as a purely
-economic enterprise, “all the fantastic schemes that ar<span class="pagenum"><a name="Page_121" id="Page_121">121</a></span>e
-from time to time being attached to it would evaporate.”<a name="FNanchor_2_171" id="FNanchor_2_171"></a><a href="#Footnote_2_171" class="fnanchor">2</a>
-A British journalist wrote in 1913: “Gwinner, it may be
-assumed, is not building the Bagdad Railway for the purposes
-of the German General Staff. What chiefly keeps
-him awake of nights is how to extract dividends from it
-for the <i>Deutsche Bank</i> and how best to promote the golden
-opportunities which await the strategists of the German
-trading army in the Near East.”<a name="FNanchor_3_172" id="FNanchor_3_172"></a><a href="#Footnote_3_172" class="fnanchor">3</a></p>
-
-<p>The German Government, nevertheless, had been interested
-in the Bagdad plan almost from its inception.
-The visits of the Emperor to Constantinople and Palestine;
-the appointment of German military and consular officers
-to the technical commission which surveyed the line in
-1899; the enthusiastic support of the German ambassador
-all contributed to the success of the enterprise. In fact,
-the German Government was almost too solicitous of the
-welfare of the concessionaires; assistance, it was said,
-bordered upon interference. During the early stages of
-the negotiations of 1898–1899 Dr. von Siemens complained
-that the German embassy was jeopardizing the
-success of the project by insisting that the issuance of the
-concessions should be considered a diplomatic, as well as
-a business, triumph. Dr. von Gwinner, also, was discontented
-with the tendency of the German Government to
-urge strategic, rather than purely economic, considerations.
-There was a widespread belief in Germany, as
-well as elsewhere in Europe, that the Imperial Foreign
-Office nurtured the Bagdad Railway and its affiliated enterprises
-with a full realization that “the skirmishes of the
-political advance guard are fought on financial ground,
-although the selection of the time and the enemy, as well
-as the manner in which these skirmishes are to be fought,
-depends upon those responsible for our foreign policy.
-Much more than ever before Germans will have to bear in
-mind that industrial contracts, commercial enterprises, and<span class="pagenum"><a name="Page_122" id="Page_122">122</a></span>
-capital investments are conveying from one country to
-another not only capital and labor, but also political influence.”<a name="FNanchor_4_173" id="FNanchor_4_173"></a><a href="#Footnote_4_173" class="fnanchor">4</a></p>
-
-<p>Had the German Government been disposed to pursue
-a different policy in the Near East, had it refused to link
-its political power with the economic interests of its nationals,
-it would have been standing out against an accepted
-practice of the Great Powers. Lord Lansdowne,
-British Secretary of State for Foreign Affairs, informed
-the House of Lords, in May, 1903, that it was impossible
-for the Foreign Office to dissociate commercial and political
-interests. He doubted whether British success in
-the Middle and Far East could have been achieved without
-careful diplomatic promotion of British economic interests
-in those regions.<a name="FNanchor_5_174" id="FNanchor_5_174"></a><a href="#Footnote_5_174" class="fnanchor">5</a> Through financial control Russia
-and Great Britain effectually throttled Persian reform
-and nationalist aspirations. The pioneer activities of
-French capital in Tunis and Morocco are outstanding instances
-of modern imperial procedure. Such also is the use
-by the Government of the French Republic of its power
-to deny listings on the Paris Bourse for the purpose of
-forcing political concessions—a procedure which a French
-banker described to the author as “a species of international
-blackmail.”<a name="FNanchor_6_175" id="FNanchor_6_175"></a><a href="#Footnote_6_175" class="fnanchor">6</a> A prominent historian and economist
-has described the Franco-Russian alliance as a “bankers’
-creation.”<a name="FNanchor_7_176" id="FNanchor_7_176"></a><a href="#Footnote_7_176" class="fnanchor">7</a> What other powers had been doing it was to
-be expected that Germany would do. The ownership and
-operation of the Bagdad Railway by a predominantly German
-company was an important factor in a notable expansion
-of German commercial and financial activities in
-the Near East. In an age of keen competition for economic
-influence in the so-called backward areas of the
-world, this growth of German interests in Turkey was
-almost certain to influence the diplomatic policy of Germany
-toward the Ottoman Empire. The political aspirations
-of the diplomatists were reënforced by the econ<span class="pagenum"><a name="Page_123" id="Page_123">123</a></span>omic
-interests of the bankers.</p>
-
-<p>Had the German Government not voluntarily taken the
-Bagdad enterprise under its wing, it might have been compelled
-to do so. Popular dissatisfaction with a “weak”
-policy toward investments in backward countries may
-force the hand of an unwilling government. Whether
-this dissatisfaction be spontaneous or created by an interested
-press or both, it is certain to be powerful, for
-there are few governments which can resist for long the
-clamor for vigorous fostering of the nation’s interests and
-rights abroad. And there was no lack of popular enthusiasm
-in Germany for the Bagdad Railway. The fact
-that French capital had been invested in the undertaking
-was usually forgotten. The grand design came to be referred
-to, affectionately, as <i>unser Bagdad</i> and, somewhat
-flamboyantly, as the “B. B. B.” (Berlin-Byzantium-Bagdad).
-German publicists of imperial inclinations contemplated
-the Railway with reverent amazement, as though
-hypnotized. The project speedily became an integral part
-of the national <i>Weltanschauung</i>—a means of enabling
-Germans to compete for the rich commerce of the Orient,
-to appropriate some of its enormous wealth, to develop
-some of its apparently boundless possibilities. As a branch
-of <i>Weltpolitik</i> it held out alluring inducements for the
-exercise of political influence in the East—an influence
-which would serve at once to discomfit the Continental
-rivals of Germany and to promote the <i>Drang nach Osten</i>
-of her Habsburg ally.</p>
-
-<p>The political aims of the German Empire in Turkey,
-however, were not concerned with colonization or conquest.
-It was not proposed, for example, to encourage German
-colonization of the regions traversed by the Bagdad Railway.
-During the last two decades of the nineteenth century,
-it is true, attempts had been made to stimulate German
-settlements in Syria and Mesopotamia. But later, when<span class="pagenum"><a name="Page_124" id="Page_124">124</a></span>
-the problem of German oversea migration had become
-less acute, all proposals for German colonization in the
-Near East were abandoned.<a name="FNanchor_8_177" id="FNanchor_8_177"></a><a href="#Footnote_8_177" class="fnanchor">8</a></p>
-
-<p>The difficulties in the way of European settlement of
-Asiatic Turkey were almost insurmountable. Mesopotamia
-is unbearably hot during the summer and is totally unfit
-for colonization by Europeans. During July and August
-the thermometer registers between 100 and 120 almost
-every day, and the heat is particularly oppressive because
-of the relatively high humidity. The total number of
-Europeans resident in Mesopotamia before the War was
-not in excess of 200, who were almost all missionaries,
-engineers, consuls, or archæologists. Palestine is more
-suitable as a place of residence, but the country is not
-particularly alluring; a few German agricultural colonies,
-chiefly Jewish, were established there, but they were comparatively
-unimportant in size, wealth, and political influence.
-In Anatolia the climate is tolerable, but not
-healthful for western Europeans. The plateau is subject
-to sudden and extreme changes in temperature in both
-winter and summer, and, consequently, pneumonia and
-malaria are almost epidemic among foreigners. To the
-German who was considering leaving the Fatherland to
-seek his fortune abroad, Mesopotamia, Syria, and Anatolia
-were by no means as attractive as Wisconsin, Minnesota,
-and the Dakotas. Turkey offered few inducements
-to compare with the lure of the United States or of South
-America.<a name="FNanchor_9_178" id="FNanchor_9_178"></a><a href="#Footnote_9_178" class="fnanchor">9</a></p>
-
-<p>In addition to these natural difficulties, there existed
-the pronounced opposition of the Turks to foreign colonization
-of their homeland. This opposition was so deep-rooted
-that General von der Goltz warned his fellow
-countrymen not to migrate to the Near East if friendly
-relations were to be maintained with the Ottoman<span class="pagenum"><a name="Page_125" id="Page_125">125</a></span> Empire.
-Paul Rohrbach said that colonization of Turkey-in-Asia
-by Europeans was quite out of the question. H. F. B.
-Lynch, of the English firm of Lynch Brothers, one of the
-most pronounced opponents of the Bagdad Railway, declared
-that fear of German settlement of Asia Minor was
-sheer nonsense, that no such plan was in contemplation
-by the promoters of the Bagdad enterprise, and that the
-reports of such intentions were the work of ignorant chauvinists.
-It will be recalled, also, that a secret annex to the
-concession of 1903 pledged the <i>Deutsche Bank</i> not to encourage
-German or other foreign immigration into
-Turkey.<a name="FNanchor_10_179" id="FNanchor_10_179"></a><a href="#Footnote_10_179" class="fnanchor">10</a></p>
-
-<p>Germans denied, likewise, that they had any intention
-of utilizing the Bagdad Railway as a means of acquiring
-an exclusive sphere of economic interest in the Ottoman
-Empire. Attention was continually directed to Articles
-24 and 25 of the Specifications of 1903, which decreed
-that rates must be applicable to all travelers and consignors
-without discrimination, and which prohibited the concessionaires
-from entering into any contract whatever with
-the object of granting preferential treatment to any one.
-Arthur von Gwinner, President of the Bagdad Railway,
-stated that his company had loyally abided by its announced
-policy of equality of treatment for all, regardless of nationality
-or other considerations, and he challenged the
-critics of the enterprise to cite a single instance in which
-the contrary had been the case. Dr. Rohrbach wrote, in
-1903, that it was “unthinkable that Germans should seek
-to monopolize the territories of the Turkish Empire for
-the purposes of economic exploitation.” Somewhat later
-he again stressed this point: “Germany’s political attitude
-to Turkey is unlike that of all other European powers because,
-in all sincerity, we ask not a single foot of Turkish
-territory in Europe, Asia, or Africa, but have only the
-wish and the interest to find in Turkey—whether its dom<span class="pagenum"><a name="Page_126" id="Page_126">126</a></span>ination
-be in future restricted to Asia or not—a market
-and a source of raw materials for our industry; and in
-this respect we advance no claim on other nations than
-that of the unconditional open door.” Baron von Schoen
-pledged the Government to a policy of equal and unqualified
-opportunity for all in the regions to be opened up
-by the Railway.<a name="FNanchor_11_180" id="FNanchor_11_180"></a><a href="#Footnote_11_180" class="fnanchor">11</a></p>
-
-<p>Furthermore, there is little reason to believe that the
-Germans had any intention of establishing a protectorate
-over Asiatic Turkey. Their determination to respect the
-territorial integrity of the Ottoman Empire was due, of
-course, not to magnanimity on their part as much as to
-expediency. Protectorates are expensive. For the same
-reason it may be doubted that there was any intention of
-maintaining an extensive military control over Turkey.
-German aims were to be served by the economic, military,
-and political renaissance of Turkey-in-Asia. A strong
-Turkey economically would be a Turkey so much the
-better able to increase the production of raw materials for
-the German market as well as to provide an ever more
-prosperous market for the products of German factories.
-A powerful Turkish military machine might strike some
-telling blows, in alliance with German arms, in a general
-European war; in the event of a Near Eastern conflict it
-might be utilized to menace the southern frontier of Russia
-or to strike at British communications with India. A
-politically strong Ottoman Empire might offer serious
-resistance to the Russian advance in the Middle East and
-might menace Britain’s hold on her Mohammedan possessions.</p>
-
-<p>On the other hand, a Turkey in subjection would be an
-unwilling producer and a poor customer. The occupation
-of Turkey by German armed forces would seriously deplete
-the ranks of the German armies on the Russian and
-French frontiers, and in time of war would confront the<span class="pagenum"><a name="Page_127" id="Page_127">127</a></span>
-German General Staff with the additional problem of maintaining
-order in hostile Mohammedan territory. The
-conquering of Turkey would bring the German Empire
-into the ranks of European powers with Mohammedan
-subjects, thus exposing it to the menace, common to Great
-Britain, France, and Russia, of a Pan-Islamic revival.
-For all of these reasons the obvious German policy was
-not only to respect the territorial integrity of Turkey,
-but to defend it against the encroachments of other
-powers. “Not a penny for a weak Turkey,” said Rohrbach,
-“but for a strong Turkey everything we can give!”<a name="FNanchor_12_181" id="FNanchor_12_181"></a><a href="#Footnote_12_181" class="fnanchor">12</a></p>
-
-<p>In its political aspects the Bagdad Railway was something
-more than a railway. It was one phase of the great
-diplomatic struggle for the predominance of power, one
-pawn in the great game between the Alliance and the
-Entente, one element of the Anglo-German rivalry on the
-seas. The development of closer relations, political and
-economic, between Germany and Turkey was in accord
-with the spirit of an era of universal preparedness—preparedness
-for pressing economic competition, preparedness
-for the expected great European war in which every nation
-would be obliged to fight for its very existence. Through
-control of the economic resources of the Ottoman Empire,
-German diplomacy sought to arrive at an <i>entente cordiale</i>
-or a formal military alliance with the Sultan. Through
-support of the chief Mohammedan power Germany might
-throw tempting “apples of discord” into the colonial empires
-of her chief European rivals, for Great Britain ruled
-about eighty-five million subject Mohammedans, Russia
-about seventeen million, France about fifteen million; but
-Germany possessed almost none.<a name="FNanchor_13_182" id="FNanchor_13_182"></a><a href="#Footnote_13_182" class="fnanchor">13</a> Friedrich Naumann
-wrote in 1889, in connection with the Kaiser’s pilgrimage to
-the Near East: “It is possible that the world war will break
-out before the disintegration of the Ottoman Empire.
-Then the Caliph of Constantinople will once <span class="pagenum"><a name="Page_128" id="Page_128">128</a></span>more uplift
-the standard of the Holy War. The Sick Man will raise
-himself for the last time to shout to Egypt, the Soudan,
-East Africa, Persia, Afghanistan, and India, ‘War against
-England.’ It is not unimportant to know who will support
-him on his bed when he utters this cry.”<a name="FNanchor_14_183" id="FNanchor_14_183"></a><a href="#Footnote_14_183" class="fnanchor">14</a></p>
-
-<p>This menace to the British Empire was no more serious
-than another which was frankly espoused by certain supporters
-of the Bagdad plan—the possibility, even without
-a preponderance of naval power, of severing the communications
-of the empire in time of war. Dr. Rohrbach,
-for example, put it this way: “If it comes to war with
-England, it will be for Germany simply a question of life
-and death. The possibility that events may turn out
-favorably for us depends wholly and solely upon whether
-we can succeed in putting England herself in a precarious
-position. That cannot be done by a direct attack in the
-North Sea; all idea of invading England is purely chimerical.
-We must, therefore, seek other means which
-will enable us to strike England in a vulnerable spot....
-England can be attacked and mortally wounded by land
-from Europe in only one place—Egypt. The loss of Egypt
-would mean not only the end of her dominion over the
-Suez Canal and of her communications with India and the
-Far East, but would probably entail, also, the loss of her
-possessions in Central and East Africa. We can never
-dream, however, of attacking Egypt until Turkey is mistress
-of a developed railway system in Asia Minor and
-Syria, and until, through the extension of the Anatolian
-Railway to Bagdad, she is in a position to withstand an
-attack by England upon Mesopotamia.... The stronger
-Turkey grows the more dangerous does she become for
-England.”<a name="FNanchor_15_184" id="FNanchor_15_184"></a><a href="#Footnote_15_184" class="fnanchor">15</a></p>
-
-<p>It is only fair to add, however, that Dr. Rohrbach was
-not an authorized spokesman of the German people, the
-German Government, or the Bagdad Railway Company.<span class="pagenum"><a name="Page_129" id="Page_129">129</a></span>
-His views were personal and are to be given weight only
-in so far as they influenced or reflected public opinion in
-Germany; to estimate their importance by such a standard
-is no simple task. But whatever its true significance, Dr.
-Rohrbach’s interest in the Bagdad Railway was certainly
-a source of great annoyance to Dr. von Gwinner, who was
-constantly called upon to explain irresponsible, provocative,
-and bombastic statements from Rohrbach’s pen. It
-is well to recall that the writings of publicists are sometimes
-taken too seriously.<a name="FNanchor_16_185" id="FNanchor_16_185"></a><a href="#Footnote_16_185" class="fnanchor">16</a></p>
-
-<p>It would have been foolhardy, nevertheless, to discard
-these possibilities as purely imaginary. Once the Bagdad
-Railway was constructed and its subsidiary enterprises
-developed, there would have existed the great temptation
-to utilize economic influence for the promotion of strategic
-and diplomatic purposes. In an era of intensive military
-and economic preparedness for war the observance of the
-niceties of international relationships is not always to be
-counted upon. In such circumstances the wishes of
-the business men—whether they were imperialistic or anti-imperialistic—may
-be over-ruled by the statesmen and
-the soldiers. The chance to strike telling blows at French
-prestige in the Levant; the opportunity to embarrass
-Russia by strengthening Turkey; the possibility of menacing
-the communications of the British Empire; the
-likelihood of recruiting Turkish military and economic
-strength in the cause of Germany,—these were alluring
-prospects for discomfiting the Entente rivals of the German
-Empire.</p>
-
-<p>At the same time it should be mentioned that promotion
-of the Bagdad Railway would serve to weld firmer the
-Austro-German alliance. Austrian ambitions in the Near
-East centered in the Vienna-Salonica railway and were
-distinct from the Berlin-to-Bagdad plan of the Germans;
-nevertheless circumstances served to promote a commu<span class="pagenum"><a name="Page_130" id="Page_130">130</a></span>nity
-of interest. First, the routes of the railways
-through the Balkans coincided in part: the Austrian railway
-ran <i>via</i> Belgrade and Nish to Salonica; traffic “from
-Berlin to Bagdad” followed the same line to Nish, where
-it branched off to Sofia and Constantinople. Second,
-Austrian, as well as German, trade would be carried over
-the Bagdad lines to the Orient, and Austrian industries
-would be able to secure raw materials from Anatolia and
-Mesopotamia. If the railway was to run from Berlin to
-Bagdad, it also was to run from Vienna to Bagdad. Third,
-similarly, German industry was to profit by the Austrian
-railway to Salonica, for it opened a new route to German
-commerce to the Aegean. “Germany’s road to the Orient
-lay, literally as well as figuratively, across the Balkan
-Peninsula.”<a name="FNanchor_17_186" id="FNanchor_17_186"></a><a href="#Footnote_17_186" class="fnanchor">17</a> The <i>Drang nach Osten</i> was near to the
-hearts of both allies!</p>
-
-<p>It was not without warning that the German nation permitted
-itself to be drawn into the imperial ramifications
-of the Bagdad Railway. Anti-imperialists sensed the
-dangers connected with such an ambitious project. Herr
-Scheidemann, leader of the Social Democrats in the
-Reichstag, for example, warned the German people that
-the railway was certain to raise increasingly troublesome
-international difficulties, and he expressed the fear that
-the German protagonists of the plan would come to emphasize
-more and more its political and military, rather
-than its economic and cultural, phases.<a name="FNanchor_18_187" id="FNanchor_18_187"></a><a href="#Footnote_18_187" class="fnanchor">18</a> Karl Radek, also
-a Socialist, wrote that “The Bagdad Railway possessed
-great political significance from the very moment the plan
-was conceived.” He prophesied that German economic
-penetration in Turkey would prove to be only the first
-step toward a formal military alliance, which, in turn,
-would heighten the fear and animosity of the Entente
-Powers. “The Bagdad Railway,” he said, “constitutes
-the first great triumph of German capitalistic imperia<span class="pagenum"><a name="Page_131" id="Page_131">131</a></span>lism.”<a name="FNanchor_19_188" id="FNanchor_19_188"></a><a href="#Footnote_19_188" class="fnanchor">19</a>
-Business men and politicians of imperialist inclinations
-did not deny the charges of their pacifist opponents.
-Herr Bassermann, so far from deprecating a
-greater political influence in the Ottoman Empire, came
-to glory in it. Baron von Schoen qualified his earlier
-statements with the following enunciation of policy: “With
-reference to the attitude of the Imperial Government, it
-goes without saying that we are giving the enterprise our
-full interest and attention and will make every effort to
-further it.”<a name="FNanchor_20_189" id="FNanchor_20_189"></a><a href="#Footnote_20_189" class="fnanchor">20</a></p>
-
-<p>The political potentialities of the Bagdad Railway
-aroused the fear and opposition of the other European
-Powers. Exaggerated charges were made as to the intentions
-of the German promoters and the German Government,
-and there was a widespread feeling that there was
-something sinister about the plan. Professor Sarolea
-sounded a prophetic warning when he wrote, “The trans-Mesopotamian
-Railway ... will play in the Near East
-the same ominous part which the Trans-Siberian played
-in the Far East; with this important difference, however,
-that whilst the Far Eastern conflict involved only one
-European Power and one Asiatic Power, the Near Eastern
-conflict, if it breaks out, must needs involve all the European
-powers, must force the whole Eastern Question to
-a crisis, and once begun, cannot be terminated until the
-map of Europe and Asia shall be reconstructed.”<a name="FNanchor_21_190" id="FNanchor_21_190"></a><a href="#Footnote_21_190" class="fnanchor">21</a></p>
-
-<h3><span class="smcap">Religious and Cultural Interests Reënforce
-Political and Economic Motives</span></h3>
-
-<p>Along with economic and political motives for imperialist
-ventures there frequently goes a religious motive.
-That such should be the case in the Near East was to be
-expected because of the religious appeal of the Ottoman
-Empire as the homeland of the Jews, the birthplace of
-Christianit<span class="pagenum"><a name="Page_132" id="Page_132">132</a></span>y, the cradle of Mohammedanism. It was
-small wonder, then, that the Bagdad Railway, which promised
-to link Central European cities with the holy places
-of Syria and Palestine, should have been supported
-enthusiastically by German missionaries and other German
-Christians.</p>
-
-<p>German Protestant missions were represented in the
-Holy Land as early as 1860, when the Kaiserswerth Deaconesses
-established themselves in Jerusalem. Shortly
-thereafter the <i>Jerusalems-Verein</i> began work in Jerusalem
-and Bethlehem, and about this same time, 1869, Lutheran
-missionaries calling themselves Templars settled near
-Jaffa. Under William II additional impetus was given
-to German religious activities in the Near East. The
-<i>Jerusalems-Verein</i>, which was taken under the special
-patronage of the Kaiserin Auguste Victoria, supported a
-Lutheran clergyman in Jerusalem and was responsible for
-the erection in the Holy City of the Church of the Redeemer.
-This same society rapidly spread its activities
-throughout all of Palestine, and in 1910 it dedicated the
-famous Kaiserin Auguste Victoria <i>Stiftung</i>,<a name="FNanchor_22_191" id="FNanchor_22_191"></a><a href="#Footnote_22_191" class="fnanchor">22</a> erected on
-the Mount of Olives by the Hohenzollern family at a
-cost in excess of half a million dollars. The Evangelical
-Union, organized in 1896, established a large orphanage
-in Jerusalem, together with schools and related institutions,
-and proved to be a very useful auxiliary to the work of
-the Deaconesses in maintaining schools, dispensaries,
-and hospitals. Also in 1896 there was founded the
-<i>Deutsche Orient Mission</i>, which rendered its services particularly
-in Cilicia, and which kept up the interest of its
-supporters at home by the publication in Berlin of a
-monthly periodical, <i>Der Christliche Orient</i>. It was estimated
-that, during the early years of the twentieth century,
-the German Protestant societies maintained in Turkey-in-Asia
-about 450 missionaries and several hundred native
-assistants at a cost of hundreds of thousands of dollars.
-By 1910 the Germans occupied a conspicuous position<span class="pagenum"><a name="Page_133" id="Page_133">133</a></span> in
-evangelical missions in the Near East.<a name="FNanchor_23_192" id="FNanchor_23_192"></a><a href="#Footnote_23_192" class="fnanchor">23</a></p>
-
-<p>The German Catholics were no less zealous than their
-Protestant compatriots. Although for centuries Italian
-and French members of the Franciscan order had been
-preëminent in Catholic missions in Turkey, there was a
-marked tendency during the last decade of the nineteenth
-century and the first decade of the twentieth for German
-members of other religious orders to take an interest in
-the Near East. This may have been merely the result of
-a general increase in missionary activity connected with
-the increasing imperial activities of the German Government.
-It may have been due to the announced intention
-of the German Foreign Office to protect Christian missions
-and missionaries and to the vigorous fulfilment of
-that promise after the murder of two German Catholic
-priests in the Chinese province of Shantung. It may have
-been a natural consequence of the fact that the Prefect of
-the Propaganda from 1892–1902 was a famous German
-cardinal.<a name="FNanchor_24_193" id="FNanchor_24_193"></a><a href="#Footnote_24_193" class="fnanchor">24</a> In any event, under the guiding ægis of the
-<i>Palästinaverein</i>, a society for the promotion of Catholic
-missions in the Holy Land, German Lazarists, Benedictines,
-and Carmelites established and maintained schools,
-hospitals, and dispensaries, as well as churches, in Syria
-and Palestine.<a name="FNanchor_25_194" id="FNanchor_25_194"></a><a href="#Footnote_25_194" class="fnanchor">25</a></p>
-
-<p>Even Jewish religious interests in Palestine promoted
-Teutonic peaceful penetration in Turkey. As part of the
-Zionist activities of <i>L’Alliance Israelite Universelle</i>, agricultural
-colonies were founded by German Jews in the
-vicinity of Jaffa, Jerusalem, and Haifa. These colonists
-appeared to be proud of their German nationality and were
-an integral part of the German community in the Holy
-Land.<a name="FNanchor_26_195" id="FNanchor_26_195"></a><a href="#Footnote_26_195" class="fnanchor">26</a></p>
-
-<p>The German Government had no intention of overlooking
-the political possibilities of this religious penetration.<span class="pagenum"><a name="Page_134" id="Page_134">134</a></span>
-Promotion of missionary activities might be made to serve
-a twofold purpose: first, to win the support, in domestic
-politics, of those interested in the propagation of their
-faith in foreign lands—more particularly to hold the loyalty
-of the Catholic Centre party; second, to further one other
-means of strengthening the bonds between Germany and
-the Ottoman Empire.</p>
-
-<p>An excellent illustration of the inter-relation among
-economic, political, and religious aspects of modern imperialism
-is to be found in the visit of William II to
-Turkey in 1898. On the morning of October 31—the
-anniversary of the posting of Luther’s ninety-five theses
-at Wittenberg—the Emperor participated in the dedication
-of the Lutheran Church of the Redeemer in Jerusalem.
-During the afternoon of the same day he presented the
-supposed site of the Assumption of the Virgin Mary to
-the German Catholics of the Holy City, for the construction
-thereon of a Catholic memorial church, and he telegraphed
-the Pope expressing his hope that this might be
-but one step in a steady progress of Catholic Christianity
-in the Near East. The Kaiser likewise might have visited
-the German Jewish communities in the vicinity of
-Jerusalem, but perhaps he felt, as a French writer put it,
-that such a visit “between his devotions at Gethsemane
-and at Calvary would have created a public scandal.”<a name="FNanchor_27_196" id="FNanchor_27_196"></a><a href="#Footnote_27_196" class="fnanchor">27</a>
-Nevertheless he did not hesitate, a week later, at Damascus,
-to assure “three hundred million Mohammedans” that
-the German Emperor was their friend. Yet with all this
-pandering to religious interests—to the Protestants of
-Prussia, to the Catholics of South Germany, to his Moslem
-hosts—the Kaiser found time ostentatiously to promote
-the German Consul at Constantinople to the rank
-of Consul General. And upon his return home he justified
-all of these activities on the ground that his visit
-“would prove to be a lasting source of advantage to the
-German name and German national interests.”<a name="FNanchor_28_197" id="FNanchor_28_197"></a><a href="#Footnote_28_197" class="fnanchor">28</a></p>
-
-<p><span class="pagenum"><a name="Page_135" id="Page_135">135</a></span></p>
-
-<p>This curious admixture of religion and diplomacy was
-made the more complicated when the Imperial Chancellor
-informed the Reichstag, on December 7, 1898, that one of
-the purposes of the Emperor’s visit to His Ottoman
-Majesty was to make it plain that the German Government
-did not propose to recognize anywhere “a foreign protectorate
-over German subjects.” This served notice to
-France that Germany would not respect the French
-claim to exclusive protection of Catholic missionaries in
-the Ottoman Empire. “We do not lay claim,” said Prince
-von Bülow, “to a protectorate over all Christians in the
-East. But only the German Emperor can protect German
-subjects, be they Catholics or Protestants.”<a name="FNanchor_29_198" id="FNanchor_29_198"></a><a href="#Footnote_29_198" class="fnanchor">29</a> This pronouncement
-was received in France with undisguisedly
-poor grace. One writer in a prominent fortnightly magazine
-frankly expressed his disgust: “Germany possesses
-military power; she possesses economic power; she proposes
-to acquire maritime power. But she needs the support
-of moral power. On the world’s stage she aspires to
-play the part of Principle. To base her world-wide prestige
-upon the protection of Christianity, Protestant and Catholic;
-to centralize the divergent sources of German influence;
-to have all over the globe a band of followers, at
-once religious and economic in their interests, who will
-propagate the German idea, consume German products,
-and, while professing the gospel of Christ, will preach the
-gospel of the sacred person of the Emperor—these are
-the ultimate ends of the world policy of William II.”<a name="FNanchor_30_199" id="FNanchor_30_199"></a><a href="#Footnote_30_199" class="fnanchor">30</a></p>
-
-<p>Closely allied with the spread of German missions was
-the propagation of <i>das Deutschtum</i>—that is, the spread
-of the German language, instruction in German history
-and ideals, appreciation of the character of German civilization.
-German religious schools in the Near East were
-dynamos of German cultural influence. The <i>Jeru<span class="pagenum"><a name="Page_136" id="Page_136">136</a></span>salems-Verein</i>
-alone, for example, maintained, in 1902, eight
-schools with more than 430 pupils. In these schools German
-was taught. This also was the case with the Catholic
-schools, under German influence. Even the Jews—a large
-number of whom had emigrated from Germany because
-of anti-Semitic feeling there—carried with them their German
-patriotism. The <i>Hilfsverein der deutschen Juden</i>,
-the German section of <i>L’Alliance Israélite Universelle</i>, not
-only taught German in its own schools, but made a strenuous
-effort to have German adopted as the official language
-of all Zionist schools in the Near East.<a name="FNanchor_31_200" id="FNanchor_31_200"></a><a href="#Footnote_31_200" class="fnanchor">31</a></p>
-
-<p>It should be pointed out that this injection of nationalism
-into religious education was an obvious imitation of
-the French method of spreading imperial influence in Syria
-and Palestine. And it was frankly admitted to be an
-imitation. “A policy of German-Turkish culture,” wrote
-Dr. Rohrbach, “deserves to be pressed with renewed ardor.
-We must endeavor to make the German language, and
-German science, and all the great positive values of our
-energetic civilization, duties faithfully fulfilled—active
-forces for the regeneration of Turkey by transplanting
-them into Turkey. To do this we need above everything
-else a system of German schools, which need not rival the
-French in magnitude, but which must be planned on a
-larger scale than that of the now existing schools. No
-lasting and secure cultural influences are possible without
-the connecting link of language. The intelligent and
-progressive young men of Turkey should have an abundant
-opportunity to learn German.... We can give the
-Turks an impression of our civilization and a desire to
-become familiar with it only when we teach them our language
-and thus open the door for them to all of our
-spiritual possessions. In doing this we are not aiming to
-Germanize Turkey politically or economically or to colonize
-it, but to introduce the German spirit into the great
-national process of development through which that n<span class="pagenum"><a name="Page_137" id="Page_137">137</a></span>ation,
-which has a great future, happens to be passing.”<a name="FNanchor_32_201" id="FNanchor_32_201"></a><a href="#Footnote_32_201" class="fnanchor">32</a> French
-methods were to be paid the compliment of imitation.</p>
-
-<p>The sentimental appeal of the Bagdad Railway was
-more than a religious and cultural appeal alone. The
-Great Plan was assiduously promoted by a patriotic and
-Pan-German press. It caught the interest of the ordinary
-workaday citizen, whose imagination was fired by the
-sweeping references to “our” trade, “our” investments,
-“our” religious interests in the Near East; the Bagdad
-Railway was the very heart of all these interests. Here
-was a railway which was to revive a medieval trade route
-to the East, which was to traverse the route of the Crusades.
-Here was a country which had been the much-sought-after
-empire of the great nations of antiquity,
-Assyria, Chaldea, Babylon, Persia, Greece, Rome. Here
-had risen and fallen the great cities of Nineveh, Babylon,
-and Hit. To these regions had turned the longing of the
-great conquerors, Sargon, Sennacherib, Nebuchadnezzar,
-Alexander, Saladin. With such materials some German
-Kipling might evolve phrases far more alluring than Fuzzy
-Wuzzy, and Tommy Atkins, and the White Man’s
-Burden.<a name="FNanchor_33_202" id="FNanchor_33_202"></a><a href="#Footnote_33_202" class="fnanchor">33</a></p>
-
-<h3><span class="smcap">Some Few Voices are Raised in Protest</span></h3>
-
-<p>Not all Germans were dazzled by the Oriental glamor
-of the Bagdad Railway plan. Herr Scheidemann, leader
-of the Social Democrats in the Reichstag, time and time
-again sounded warnings against the complications almost
-certain to result from the construction of the railway.
-Speaking before the Reichstag in March, 1911, for example,
-he said: “We are the last to misjudge the great
-value of this road to civilization. We know its economic
-significance: we know that it traverses a region which
-in antiquity was a fabulously fertile country, and we <span class="pagenum"><a name="Page_138" id="Page_138">138</a></span>welcome
-it as a great achievement if the Bagdad Railway
-opens up that territory. And if, by gigantic irrigation
-projects, the land can be made into a granary for Europe,
-as well as a land to which we could look for an abundant
-supply of raw materials, such as cotton, that would be
-doubly welcome.” But that is not all, continued Herr
-Scheidemann. German capitalists would not be able to
-overlook the military-strategic interests of the line, for
-only the establishment of a strong centralized government
-in Turkey “can offer European capitalism the necessary
-security for the realization of its great capitalistic plans.”
-This military strengthening of Turkey would be almost
-certain, he pointed out, to arouse the opposition of Great
-Britain, Russia, and France. Particularly was he desirous
-of avoiding any additionally irritating relations with
-Great Britain, for the traditional friendship with that nation
-had already been seriously compromised by colonial
-and naval rivalries.<a name="FNanchor_34_203" id="FNanchor_34_203"></a><a href="#Footnote_34_203" class="fnanchor">34</a> Similar warnings were uttered by
-other Socialists and anti-imperialists.</p>
-
-<p>Quite different in character was the objection raised to
-the Bagdad Railway by a certain type of more conservative
-German. An aggressive policy in the Near East
-naturally would have been distasteful to the diplomatists
-of the old school, who were disposed to adhere to the
-Bismarckian principles of isolating France on the Continent
-and avoiding commercial and colonial conflicts overseas.
-According to their point of view, German ventures
-in the Ottoman Empire were certain to lead to two
-complications: first, the support of Austrian imperial ambitions
-in the Balkans; second, a German attempt to maintain
-a dominant political position at Constantinople. Under
-such circumstances, of course, it would not be possible to
-bring about a divorce of the newly married France and
-Russia, for Russian interests in the Near East would brook
-no compromise on the part of the Tsar’s Government<span class="pagenum"><a name="Page_139" id="Page_139">139</a></span>. In
-addition, it was feared, the establishment of German ports
-on the Mediterranean and on the Persian Gulf would
-strengthen British antipathy to Germany, already augmented
-by naval and commercial rivalry. The final outcome
-of such a situation undoubtedly would be the formation
-of a Franco-British-Russian coalition against the
-Central Powers.</p>
-
-<p>During the Great War these views were given wide
-publicity by Prince Lichnowsky, former German ambassador
-to Great Britain. In a memorandum, written for a
-few friends but subsequently published broadcast in
-Europe and America,<a name="FNanchor_35_204" id="FNanchor_35_204"></a><a href="#Footnote_35_204" class="fnanchor">35</a> the Prince vehemently denounced
-the <i>Drang nach Osten</i> as the greatest of German diplomatic
-mistakes and as one of the principal causes of the
-Great War. “We should have abandoned definitely the
-fatal tradition of pushing the Triple Alliance policies in
-the Near East,” he said; “we should have realized that it
-was a mistake to make ourselves solidary with the Turks
-in the south and with the Austro-Magyars in the north;
-for the continuance of this policy ... was bound in time,
-and particularly in case the requisite adroitness should
-be found wanting in the supreme directing agencies, to
-lead to the collision with Russia and the World War.
-Instead of coming to an understanding with Russia on the
-basis of the independence of the Sultan; ... instead of
-renouncing military and political interference, confining
-ourselves to economic interests in the Near East, ... our
-political ambition was directed to the attainment of a
-dominant position on the Bosporus. In Russia the opinion
-arose that the way to Constantinople ran <i>via</i> Berlin.” This
-was the “fatal mistake, by which Russia, naturally our
-best friend and neighbor, was driven into the arms of
-France and England.” Furthermore, maintained the
-Prince, a policy of Near Eastern expansion is contrary to
-the best commercial and industrial interests of the emp<span class="pagenum"><a name="Page_140" id="Page_140">140</a></span>ire.
-“‘Our future lies on the water.’ Quite right”;
-therefore it does not lie in an overland route to the Orient.
-The <i>Drang nach Osten</i> “is a reversion to the Holy Roman
-Empire.... It is the policy of the Plantagenets, not that
-of Drake and Raleigh.... Berlin-Bagdad is a blind alley
-and not the way into the open, to unlimited possibilities,
-to the universal mission of the German nation.”<a name="FNanchor_36_205" id="FNanchor_36_205"></a><a href="#Footnote_36_205" class="fnanchor">36</a></p>
-
-<p>There may have been another reason for the opposition
-of Prince Lichnowsky to the Bagdad Railway. As the
-owner of large Silesian estates he was agrarian in his
-point of view. If it were true, as was maintained, that
-after the opening of Mesopotamia to cultivation, the
-Railway would be able to bring cheap Turkish grain to
-the German market, the results would not be to the liking
-of the agricultural interests of the empire. As Herr
-Scheidemann informed the Reichstag, there was something
-anomalous in the Conservative support of the Bagdad
-Railway on this score, because it was “in most violent
-contrast to their procedure in their own country, where
-they have artificially raised the cost of the necessaries of
-life by incredibly high protective tariffs, indirect taxation,
-and similar methods.”<a name="FNanchor_37_206" id="FNanchor_37_206"></a><a href="#Footnote_37_206" class="fnanchor">37</a> Perhaps Prince Lichnowsky was
-somewhat more intelligent and far-sighted than his land-owning
-associates!</p>
-
-<p>There were some Germans who were not opposed to
-the Bagdad Railway enterprise, but who were opposed to
-the extravagant claims made for it by some of its friends
-and protagonists. A typical illustration of this is the following
-statement of Count zu Reventlow, shortly before
-the outbreak of the war: “Great Britain, Russia, and
-France, in order to interpose objections, made use of the
-expedient of identifying the <i>Deutsche Bank</i> with the German
-Government. To this there was added the difficult
-and complicating factor that in Germany itself, in many
-quarters, the aim and the significance of the railway<span class="pagenum"><a name="Page_141" id="Page_141">141</a></span> plan
-were proclaimed to the world, partly in an inaccurate and
-grossly exaggerated manner.... In this respect great
-mistakes were made among us, which it was in no way
-necessary to make. The more quietly the Railway could
-have been constructed the better.... That it would be
-possible to make Turkey a dangerous threat against Egypt
-and India, after the development of its railway system,
-was correct, to be sure, but it was imperative not to say
-anything of that kind as long as Great Britain still had
-means to hinder and prevent the construction of the railway.”
-Similar opinions were expressed from time to time
-on the floor of the Reichstag.<a name="FNanchor_38_207" id="FNanchor_38_207"></a><a href="#Footnote_38_207" class="fnanchor">38</a></p>
-
-<p>The Bagdad Railway, however, was a triumphant enterprise
-which would brook no opposition. In the army of
-its followers marched the stockholders and directors of
-the <i>Deutsche Bank</i>—such men as Edward B. von Speyer,
-Wolfgang Kapp, Karl von Siemens, Karl Helfferich,
-Arthur von Gwinner—good patriots all, with a financial
-stake in the Railway. Then there came the engineers and
-contractors who furnished the materials and constructed
-the line and who shared in the profits of its subsidiary
-enterprises—mines, oil wells, docks, wharves, irrigation
-works. Next came the shipping interests—the subsidized
-services of Herr Ballin and the Hamburg-American Line
-included—which were at once the feeders and the fed of
-the Railway. There were also the German traders who
-sought in the Near East a market for their products and
-the German manufacturers who looked to this newly
-opened territory for an uninterrupted supply of raw materials.
-In the line of march, too, were the missionaries,
-Catholic and Protestant, who sought to promote a renaissance
-of the Holy Land through the extension of German
-influence there. Bringing up the rear, although by no
-means the least important, were the soldiers and the diplomatic
-and consular officers, those “parasites” of modern<span class="pagenum"><a name="Page_142" id="Page_142">142</a></span>
-imperialism who almost invariably will be found in cordial
-support of any movement for political and economic expansion.
-In the reviewing stand, cheering the marchers,
-were the great mass of average patriotic citizens who were
-thrilled with “their” Bagdad Railway and “their” <i>Drang
-nach Osten</i>. And the chief of the reviewers was His
-Imperial Majesty, William II.<a name="FNanchor_39_208" id="FNanchor_39_208"></a><a href="#Footnote_39_208" class="fnanchor">39</a></p>
-
-<p>If there was a preponderance of opinion in Germany
-favorable to the Bagdad Railway, there was by no means
-a similar favorable sentiment in the rest of Europe.
-Statesmen in the other imperial nations were not unaware
-of the potentialities of railways constructed in the backward
-nations of the world. They knew that “railways
-are the iron tentacles of latter-day expanding powers.
-They are stretched out caressingly at first. But once the
-iron has, so to say, entered the soul of the weaker nation,
-the tentacles swell to the dimensions of brawny arms, and
-the embrace tightens to a crushing grip.”<a name="FNanchor_40_209" id="FNanchor_40_209"></a><a href="#Footnote_40_209" class="fnanchor">40</a> Russia, Great
-Britain and France, therefore, were gradually led to obstruct
-the progress of the railway by political and economic
-means—at least until such time as they could purge the
-project of its political possibilities or until they could
-obtain for themselves a larger share of the spoils.</p>
-
-<p>Thus the Bagdad Railway was an imperial enterprise.
-It became an important concern of the Foreign Office, a
-matter of national prestige. It was one of the stakes of
-pre-war diplomacy. Its success was associated with the
-national honor, to be defended, if need be, by military
-force and military alliances. The Railway was no longer
-a railway alone, but a state of mind. Professor Jastrow
-called it “the spectre of the twentieth century”!<a name="FNanchor_41_210" id="FNanchor_41_210"></a><a href="#Footnote_41_210" class="fnanchor">41</a></p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_170" id="Footnote_1_170"></a><a href="#FNanchor_1_170"><span class="label">1</span></a> <i>Die Bagdadbahn</i>, p. 46.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_171" id="Footnote_2_171"></a><a href="#FNanchor_2_171"><span class="label">2</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 1 Session</i>,
-Volume 231 (1908), pp. 4226a, 4253c.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_172" id="Footnote_3_172"></a><a href="#FNanchor_3_172"><span class="label">3</span></a> Wile, <i>op. cit.</i>, pp. 39–40.</p></div>
-<p><span class="pagenum"><a name="Page_143" id="Page_143">143</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_4_173" id="Footnote_4_173"></a><a href="#FNanchor_4_173"><span class="label">4</span></a> Riesser, <i>op. cit.</i>, p. 543; <i>The Quarterly Review</i>, Volume 235
-(1921), p. 315.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_174" id="Footnote_5_174"></a><a href="#FNanchor_5_174"><span class="label">5</span></a> <i>Parliamentary Debates, House of Lords</i>, Volume 121 (1903),
-p. 1348.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_175" id="Footnote_6_175"></a><a href="#FNanchor_6_175"><span class="label">6</span></a> For an interesting discussion of this point see George von
-Siemens, “The National Importance of the Bourse,” in <i>The
-Nation</i> (London), October 6, 1900. <i>Cf.</i>, also, W. M. Shuster,
-<i>The Strangling of Persia: a Record of European Diplomacy</i> and
-<i>Oriental Intrigue</i> (New York, 1912).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_176" id="Footnote_7_176"></a><a href="#FNanchor_7_176"><span class="label">7</span></a> W. M. Sombart, <i>Die deutsche Volkswirtschaft in neunzehnten
-Jahrhundert</i> (second edition, Berlin, 1909), p. 184.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_177" id="Footnote_8_177"></a><a href="#FNanchor_8_177"><span class="label">8</span></a> Regarding early German interest in Near Eastern colonization
-<i>cf.</i> K. A. Sprenger, <i>Babylonien, das reichste Land in der Vorzeit
-und das lohnendste Kolonisationsfeld für die Gegenwart</i> (Heidelberg,
-1886); Paul Dehn, <i>Deutschland und die Orientbahnen</i>
-(Munich, 1883); K. Karger, <i>Kleinasien, ein deutsches Kolonisationsfeld</i>
-(Berlin, 1892); <i>Deutsche Ansprüche an das türkischen
-Erbe</i> (Munich, 1896), a symposium including an article by von
-Moltke.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_178" id="Footnote_9_178"></a><a href="#FNanchor_9_178"><span class="label">9</span></a> C. Nawratski, <i>Die jüdische Kolonisation Palästinas</i> (Munich,
-1914); <i>Syria and Palestine</i>, p. 59; <i>Mesopotamia</i>, pp. 6–7, 11;
-<i>Anatolia</i>, pp. 4–7.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_179" id="Footnote_10_179"></a><a href="#FNanchor_10_179"><span class="label">10</span></a> <i>Supra</i>, p. 84; H. F. B. Lynch, “The Bagdad Railway,” in
-the <i>Fortnightly Review</i>, March 1, 1911, pp. 376–377; A. Brisse,
-“Les intérêts de l’Allemagne dans l’Empire Ottoman,” in <i>Revue
-de Géographie</i>, June, 1902, pp. 486–487; P. Rohrbach, <i>Die Bagdadbahn</i>,
-pp. 17–21, 35.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_180" id="Footnote_11_180"></a><a href="#FNanchor_11_180"><span class="label">11</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 1 Session</i>,
-Volume 231 (1908), p. 4253c; P. Rohrbach, <i>Die Bagdadbahn</i>, p.
-16, and <i>Deutschland unter den Weltvölkern</i>, pp. 51–53; Von
-Gwinner, <i>loc. cit.</i>, p. 1090.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_181" id="Footnote_12_181"></a><a href="#FNanchor_12_181"><span class="label">12</span></a> <i>Die Bagdadbahn</i>, p. 16. <i>Cf.</i>, also, R. Henry, <i>Des Montes
-Bohèmes au Golfe Persique; l’Asie Turque et le Chemin de fer
-de Bagdad</i> (Paris, 1908), p. 509 <i>et seq.</i>; C. H. Becker, <i>Deutschland
-und der Islam</i> (Stuttgart and Berlin, 1914); Ernst Jäckh,
-<i>Die deutsch-türkische Waffenbrüderschaft</i> (Stuttgart and Berlin,
-1915).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_182" id="Footnote_13_182"></a><a href="#FNanchor_13_182"><span class="label">13</span></a> H. A. Gibbons, <i>The Reconstruction of Poland and the Near
-East</i> (New York, 1917), pp. 109–110.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_183" id="Footnote_14_183"></a><a href="#FNanchor_14_183"><span class="label">14</span></a> Quoted by Marriot, <i>op. cit.</i>, p. 356.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_184" id="Footnote_15_184"></a><a href="#FNanchor_15_184"><span class="label">15</span></a> <i>Die Bagdadbahn</i>, pp. 18–19.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_185" id="Footnote_16_185"></a><a href="#FNanchor_16_185"><span class="label">16</span></a> In this connection see an important statement by Sir Thomas
-Barclay in the <i>Proceedings of the Central Asian Society</i> (London),
-March 1, 1911, pp. 21–22, and the opinion of Karl Helfferich,
-<i>Die deutsche Türkenpolitik</i>, p. 14.</p></div>
-<p><span class="pagenum"><a name="Page_144" id="Page_144">144</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_17_186" id="Footnote_17_186"></a><a href="#FNanchor_17_186"><span class="label">17</span></a> Von Reventlow, <i>op. cit.</i>, p. 343. Regarding the so-called
-<i>Drang nach Osten</i> and the coincidence of Austrian and German
-interests in the Near East <i>cf.</i> M. Meyer, <i>Balkanstaaten, Bagdadbahn</i>
-(Leipzig, 1914); J. W. Headlam, “The Balkans and Diplomacy,”
-in the <i>Atlantic Monthly</i> (Boston), January, 1916, pp. 124
-<i>et seq.</i>; N. and C. R. Buxton, <i>The War and the Balkans</i> (London,
-1915); M. I. Newbigin, <i>Geographical Aspects of Balkan
-Problems</i> (London, 1915); Evans Lewin, <i>The German Road to
-the East</i> (New York, 1917), Chapters VIII, IX, X; P. N.
-Milyoukov, <i>The War and Balkan Politics</i> (Cambridge, 1917).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_187" id="Footnote_18_187"></a><a href="#FNanchor_18_187"><span class="label">18</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 2 Session</i>,
-Volume 266 (1911), p. 5984c.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_188" id="Footnote_19_188"></a><a href="#FNanchor_19_188"><span class="label">19</span></a> <i>Der deutsche Imperialismus und die Arbeiterklasse</i> (Bremen,
-1912), pp. 33, 53.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_189" id="Footnote_20_189"></a><a href="#FNanchor_20_189"><span class="label">20</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 2 Session</i>,
-Volume 266 (1911), p. 5984c, Volume 231 (1908), p. 4253c.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_190" id="Footnote_21_190"></a><a href="#FNanchor_21_190"><span class="label">21</span></a> Charles Sarolea, <i>The Anglo-German Problem</i> (London,
-1912), p. 252.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_191" id="Footnote_22_191"></a><a href="#FNanchor_22_191"><span class="label">22</span></a> A <i>Stiftung</i> is a general religious establishment, this particular
-one serving manifold purposes as school, hospice, home, hospital,
-etc.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_192" id="Footnote_23_192"></a><a href="#FNanchor_23_192"><span class="label">23</span></a> J. Richter, <i>A History of Protestant Missions in the Near
-East</i> (New York, 1910), pp. 258–270, 416–419; L. M. Garnett,
-<i>Turkey of the Ottomans</i> (London, 1911), Chapters VII-IX;
-H. C. Dwight, H. A. Tupper, and E. M. Bliss, <i>Encyclopedia of
-Missions</i> (second edition, New York, 1910), pp. 260, 263, 720;
-<i>New Schaff-Herzog Encyclopedia of Religious Knowledge</i> (New
-York, 1912), Volume XII, pp. 39–41.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_193" id="Footnote_24_193"></a><a href="#FNanchor_24_193"><span class="label">24</span></a> Cardinal M. H. Ledochowski (1822–1902). <i>Cf.</i> <i>Catholic Encyclopedia</i>
-(New York, 1912), Volume IX, pp. 111–112. French
-Catholics openly charged that Cardinal Ledochowski used his
-official position as director of all Catholic missions to promote
-German religious and political interests at the expense of those
-of France. <i>Cf.</i> an article “La Politique Allemande et le Protectorat
-des Missions Catholiques,” in the <i>Revue des deux
-mondes</i>, Volume 149 (1898), pp. 11–12.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_194" id="Footnote_25_194"></a><a href="#FNanchor_25_194"><span class="label">25</span></a> On the general subject of German Catholic missions in the
-Near East consult W. Koehler, <i>Die katholische Kirchen des
-Morgenlandes</i> (Darmstadt, 1898); H. M. Krose, <i>Katholische
-Missionsstatistik</i> (Freiburg, 1908); L. Bréhier, article “Turkish
-Empire-Missions,” in the <i>Catholic Encyclopedia</i>, Volume XV,
-pp. 101–102; L. Bertrand, “La Melée des Religions en Orient,”
-in the <i>Revue des deux mondes</i>, Volume 53 (1909), pp. 830–861.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_195" id="Footnote_26_195"></a><a href="#FNanchor_26_195"><span class="label">26</span></a> <i>The Jewish Encyclopedia</i> (New York, 1906), Volume XII,
-pp. 286 <i>et seq.</i>; Sir C. W. Wilson, <i>Handbook for Asia Minor</i>
-(London, 1895), pp. 240 <i>et seq.</i></p></div>
-<p><span class="pagenum"><a name="Page_145" id="Page_145">145</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_27_196" id="Footnote_27_196"></a><a href="#FNanchor_27_196"><span class="label">27</span></a> Etienne Lamy, “La France du Levant: le Voyage de l’Empereur
-Guillaume II,” in <i>Revue des deux mondes</i>, Volume 151
-(1899), pp. 336–337; see also Volume 150 (1898), pp. 421–440,
-880–911. Further observations on the religious aspects of the
-Kaiser’s trip to Palestine are to be found in <i>The Times</i>, November
-23, 1898; <i>Annual Register</i>, 1898, pp. 255–257; W. von Hohenzollern,
-<i>My Memoirs</i>, 1878–1918, pp. 210–211.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_197" id="Footnote_28_197"></a><a href="#FNanchor_28_197"><span class="label">28</span></a> <i>Annual Register</i>, 1898, pp. 257–258.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_198" id="Footnote_29_198"></a><a href="#FNanchor_29_198"><span class="label">29</span></a> <i>Ibid.</i>, p. 261. Regarding the French protectorate of Catholics
-in the Near East <i>cf.</i> <i>infra</i>, Chapter VII.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_199" id="Footnote_30_199"></a><a href="#FNanchor_30_199"><span class="label">30</span></a> “La Politique Allemande et le Protectorat des Missions
-Catholiques,” in <i>Revue des deux mondes</i>, Volume 149 (1898),
-pp. 8–9.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_200" id="Footnote_31_200"></a><a href="#FNanchor_31_200"><span class="label">31</span></a> L. Bertrand, “Les Écoles d’Orient: I. Les Écoles Chrétiennes
-et Israelites,” in <i>Revue des deux mondes</i>, Volume 52, new series
-(1909), pp. 755–794; H. M. Kallen, <i>Zionism and World Politics</i>
-(Garden City, N. Y., 1921), pp. 117 <i>et seq.</i>; A. Paquet, <i>Die
-jüdische Kolonien in Palästina</i> (Weimar, 1915); M. Blanckenhorn,
-<i>Syrien und die deutsche Arbeit</i> (Weimar, 1916), pp. 26–30;
-C. Nawratzki, <i>Die jüdische Kolonisation Palästinas</i> (Munich,
-1914); M. Franco, <i>Essai sur l’histoire des juifs de l’empire
-ottoman depuis les origines jusqu’à nos jours</i> (Paris, 1897); G.
-Corneilhan, <i>La judaisme en Egypte et en Syrie</i> (Paris, 1889).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_201" id="Footnote_32_201"></a><a href="#FNanchor_32_201"><span class="label">32</span></a> <i>German World Policies</i>, pp. 229–231. On this same general
-subject consult an article by “Immanuel,” entitled “Die Bagdadbahn
-ein Kulturwerk in Asien,” in <i>Globus</i>, Volume 81 (1902),
-pp. 181–185; M. Hartmann, <i>Islam, Mission, Politik</i> (Leipzig,
-1912). It should be pointed out that the Anatolian Railway
-itself established two schools, at Haidar Pasha and Eski Shehr,
-for the instruction of its employees in German and other subjects.
-Bohler, <i>loc. cit.</i>, p. 275.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_202" id="Footnote_33_202"></a><a href="#FNanchor_33_202"><span class="label">33</span></a> That Germans were not unfamiliar with the spectacular history
-of this region is evidenced by the popularity of General von
-Moltke’s writings on Turkey, which were published in several
-large editions, apart from his collected works, between 1900 and
-1911. <i>Cf.</i>, <i>e.g.</i>, H. K. B. (Graf von) Moltke, <i>Briefe über Zustände
-und Begebenheiten in der Türkei aus den Jahren 1835 bis
-1839</i>, seventh edition, with explanatory notes by G. Hirschfeld
-(Berlin, 1911). Of this work H. S. Wilkinson, Professor of
-Military History at Oxford University, wrote in the <i>Encyclopedia
-Britannica</i> (eleventh edition), “No other book gives so
-deep an insight into the character of the Turkish Empire”
-(Volume 18, p. 678). It is interesting to note, also, that Moltke
-himself was a firm believer in the great military utility of all
-railways. For the history of the Near East <i>cf.</i> Jastrow, <i>op. cit.</i>,
-pp. 31–81; A. R. Hall, <i>The Ancient History of the Near East</i><span class="pagenum"><a name="Page_146" id="Page_146">146</a></span>
-(fourth edition, London, 1919), Chapters V, VIII, IX, X, XII;
-W. A. and E. T. A. Wigram, <i>The Cradle of Mankind</i> (London,
-1914). A curious sidelight on this phase of the question is the
-assertion of Baron von Hertling, in 1907, that Germany’s chief
-interest in the Bagdad Railway was scientific—geographic, geological,
-archæological—not military or economic! Quoted by
-Dawson, <i>The Evolution of Modern Germany</i>, p. 346.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_203" id="Footnote_34_203"></a><a href="#FNanchor_34_203"><span class="label">34</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 2 Session</i>,
-Volume 266 (1911), p. 5980c.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_204" id="Footnote_35_204"></a><a href="#FNanchor_35_204"><span class="label">35</span></a> Karl Maximilan, sixth Prince, Lichnowsky (1860- ) had
-been a member of the German diplomatic service since his youth.
-He was attached to the embassy at London when he was but
-twenty-five and later served at Constantinople, Bucharest, and
-Vienna and in the Foreign Office at Berlin. He resigned in 1904
-to devote himself to the management of his large estates in
-Silesia, but he was recalled in 1912 to become German ambassador
-to Great Britain, succeeding Baron Marschall von Bieberstein,
-who had died after only a few months’ service at his new post.
-Prince Lichnowsky’s memorandum <i>My London Mission, 1912–1914</i>
-was written only to justify the Prince before a small circle
-of his acquaintances. Fugitive copies reached the press, however,
-and the full text was published in the Berlin <i>Börsen-Courier</i> of
-March 21, 1918. The quotations here given are from the translation
-of Munroe Smith, <i>The Disclosures from Germany</i> (New
-York, 1918).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_205" id="Footnote_36_205"></a><a href="#FNanchor_36_205"><span class="label">36</span></a> <i>The Disclosures from Germany</i>, pp. 37–41, 127.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_206" id="Footnote_37_206"></a><a href="#FNanchor_37_206"><span class="label">37</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 2 Session</i>,
-Volume 226 (1911), p. 5980c. <i>Cf.</i>, also, W. H. Dawson, <i>The
-Evolution of Modern Germany</i>, pp. 346 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_207" id="Footnote_38_207"></a><a href="#FNanchor_38_207"><span class="label">38</span></a> Von Reventlow, <i>op. cit.</i>, p. 340; <i>Stenographische Berichte,
-XII Legislaturperiode, 2 Session</i>, Volume 226 (1911), p. 5994b.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_208" id="Footnote_39_208"></a><a href="#FNanchor_39_208"><span class="label">39</span></a> Regarding the Emperor’s personal interest in the Bagdad
-Railway consider the following Reuter dispatch, published in
-<i>The Near East</i>, December 6, 1911, p. 143: “By desire of the
-German Emperor, Herr Gwinner, director of the <i>Deutsche Bank</i>,
-will give an address on the Bagdad Railway before the Emperor
-and a number of invited guests, in the Upper House of the
-Prussian Diet soon after the Emperor’s return to Berlin, December
-8.”</p>
-
-<p><span class="pagenum"><a name="Page_147" id="Page_147">147</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_209" id="Footnote_40_209"></a><a href="#FNanchor_40_209"><span class="label">40</span></a> E. J. Dillon, quoted by Lothrop Stoddard, <i>The New World
-of Islam</i>, p. 98.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_210" id="Footnote_41_210"></a><a href="#FNanchor_41_210"><span class="label">41</span></a> Jastrow, <i>op. cit.</i>, p. 9.</p></div>
-
-<hr />
-
-<h2>CHAPTER VII<br />
-
-RUSSIA RESISTS AND FRANCE IS UNCERTAIN</h2>
-
-<h3><span class="smcap">Russia Voices Her Displeasure</span></h3>
-
-<p>Russian objections to the Bagdad Railway were put
-forth as early as 1899, the year in which the Sultan announced
-his intention of awarding the concession to the
-<i>Deutsche Bank</i>. The press of Petrograd and Moscow
-roundly denounced the proposed railway as inimical to
-the vital economic interests of Russia. It was claimed
-that the new line would offer serious competition to the
-railways of the Caspian and Caucasus regions, that it
-would menace the success of the new Russian trans-Persian
-line, and that it might prove to be a rival even of the
-Siberian system.<a name="FNanchor_1_211" id="FNanchor_1_211"></a><a href="#Footnote_1_211" class="fnanchor">1</a> The extension of the existing Anatolian
-Railway into Syria, it was asserted, would interfere with
-the realization of a Russian dream of a railway across
-Armenia to Alexandretta—a railway which would give
-Russian goods access to an all-year warm water port on
-the Mediterranean. The Mesopotamian sections of the
-line, with their branches, might open to German competition
-the markets of Persia and, later, of Afghanistan. If
-German capital should develop the grain-growing possibilities
-of the Tigris and Euphrates valleys, what would
-happen to the profits of the Russian landed aristocr<span class="pagenum"><a name="Page_148" id="Page_148">148</a></span>acy?
-And if the oil-wells of Mesopotamia were as rich as they
-were said to be, what would be the fate of the South
-Russian fields? The Tsar was urged to oppose the granting
-of the kilometric guarantee to the concessionaires, on
-the ground that the increased charges on the Ottoman
-Treasury would interfere with payment of the indemnity
-due on account of the War of 1877.<a name="FNanchor_2_212" id="FNanchor_2_212"></a><a href="#Footnote_2_212" class="fnanchor">2</a></p>
-
-<p>Russian objections to the Bagdad Railway did not meet
-with a sympathetic reception in England. <i>The Engineer</i>,
-of August 11, 1899, in an editorial “Railways in Asia
-Minor,” for example, expressed its firm opinion that many
-of the demands for the protection of Russian economic
-interests in Turkey were specious. “The world has yet
-to learn,” ran the editorial, “that Russia allows commercial
-considerations to play any great part in her ideas of
-constructing railways; the Imperial authorities are influenced
-mainly by the policy of political expediency. The
-commercial competition thus foreseen by Russia is put
-forward merely as a stop-gap until Russia can get time and
-money to repeat in Asia Minor the methods of which she
-has made such success in Persia and the Far East.” Other
-British opinion was of like character.</p>
-
-<p>The Russian claim for exclusive control of railway
-construction in northern Anatolia met with equally bitter
-denunciation. The London <i>Globe</i>, of August 10, 1899,
-characterized as “impudence” the intention of the Russian
-Government “to regard Asiatic Turkey as a second Manchuria,
-on the pretence that the whole country has been
-mortgaged to Russia for payment of the Turkish war
-indemnity. If this preposterous claim were admitted, not
-only the development of Asia Minor but the opening of
-another short-cut to the East might be delayed until the
-end of the next century. Russia had so many ambitious
-and costly projects on hand at present that her nearly
-bankrupt treasury could not meet any fresh drain, and<span class="pagenum"><a name="Page_149" id="Page_149">149</a></span>
-especially one of such magnitude as that in question. The
-policy of her Government, therefore, is to preserve Asia
-Minor as a <i>tabula rasa</i> on which the Russian pen can
-write as it pleases hereafter. It is a cool project, truly,
-but the success which has attended similar Russian endeavors
-in the Far East will not, we undertake to predict,
-meet with repetition.”</p>
-
-<p>The Russian Government, meanwhile, was interposing
-serious objections to the Bagdad Railway. M. Zinoviev,
-the Tsar’s minister at Constantinople, informed the Sublime
-Porte that the proposed extension of the Anatolian
-Railways from Angora across Armenia to Mosul and
-Bagdad would be a strategic menace to the Caucasus frontier
-and, as such, could not be tolerated. If Russian
-wishes in the matter were not respected, immediate measures
-would be taken to collect all arrears—amounting to
-over 57,000,000 francs—of the indemnity due the Tsar
-under the Treaty of Berlin (1878). The outcome of these
-demands was submission by the Sultan’s Government. The
-proposed Angora-Kaisarieh-Diarbekr route was abandoned
-in favor of one extending from Konia, through the
-Cilician Gates of the Taurus Mountains, to Adana, Aleppo,
-and Mosul—the latter being the route over which the
-Bagdad Railway actually was constructed. The discussions
-between the Russian and Ottoman Governments
-subsequently were crystallized and confirmed by the so-called
-Black Sea Agreement of 1900, which pledged the
-Sultan to award no further concessions for railways in
-northern Anatolia or Armenia except to Russian nationals
-or to syndicates approved by the Tsar, and, furthermore,
-to award such Russian concessionaires terms at least as
-favorable as those to be granted the Bagdad Railway
-Company.<a name="FNanchor_3_213" id="FNanchor_3_213"></a><a href="#Footnote_3_213" class="fnanchor">3</a></p>
-
-<p>The agreement thus reached, however, satisfied Russia
-only temporarily. In December, 1901, M. Witte, Imperial<span class="pagenum"><a name="Page_150" id="Page_150">150</a></span>
-Minister of Finance at Petrograd, stated categorically that
-he considered the construction of the Bagdad Railway by
-any Power other than Russia a menace to the imperial
-interests of the Tsar. Proposals for the internationalization
-of the line he asserted to be chimerical; in his opinion
-the nationals of one Power would be certain to control the
-administration of the enterprise. The Tsar was determined
-that Russian capitalists should have nothing to do
-with the Railway; Russian capital, for a time at least,
-should be conserved for industrial development at home.
-“The Government of Russia,” he concluded, “is more interested
-in devoting its available resources to the construction
-of new railways within the Empire than it is in
-promoting an enterprise destined to offer competition to
-Russia’s railways and industries.”<a name="FNanchor_4_214" id="FNanchor_4_214"></a><a href="#Footnote_4_214" class="fnanchor">4</a> In 1902 and again
-in 1903, M. Witte made similar statements, asserting that
-he saw no reason for changing his point of view.<a name="FNanchor_5_215" id="FNanchor_5_215"></a><a href="#Footnote_5_215" class="fnanchor">5</a></p>
-
-<p>Witte’s words carried weight in Russia. As an erstwhile
-railway worker he knew the great economic importance
-of railways. During his régime as Minister of
-Finance (1893–1903) an average of 1,400 miles of rails
-was laid down annually in Russia; the Transcaspian and
-Transcaucasian systems were constructed, and the Siberian
-Railway was pushed almost to completion. He foresaw
-that one day these railways would be powerful weapons
-in the commercial and political expansion of an industrialized
-Russia. As an official in charge of troop movements
-during the Russo-Turkish War of 1877 he had
-learned to understand the function of railways in offensive
-and defensive warfare. Although he considered it wasteful
-to construct railways for military purposes alone, he
-believed that every railway was of strategic value; in fact,
-he looked upon railways as the most important single
-factor in national preparedness. As the foremost protagonist
-of Russia’s tariff war with the German Empire he<span class="pagenum"><a name="Page_151" id="Page_151">151</a></span>
-was opposed to any plan which promised to promote German
-commerce and to open up new resources and new
-markets to German industry. As a native of the Caucasus
-region and as an ardent advocate of colonial expansion
-Witte looked forward to the time when Russia herself—
-possessed of capital for the purpose—should dominate the
-transportation system of Asiatic Turkey.<a name="FNanchor_6_216" id="FNanchor_6_216"></a><a href="#Footnote_6_216" class="fnanchor">6</a></p>
-
-<p>It is questionable, however, if the Bagdad Railway really
-threatened any important Russian economic interests. The
-railways of southern Russia, so far from being injured by
-competition with the proposed new railways of Turkey,
-would be almost certain to profit from any increase of
-trade in the region of the Black Sea. The Russian dream
-of a railway to Alexandretta was still very much of a
-dream; but even if the contrary had been the case, its
-construction for peaceful purposes would not have been
-hindered by the Bagdad plan. The claim that a trans-Mesopotamian
-railway would compete with the Far Eastern
-traffic of the Siberian Railways was purely fantastic;
-it overlooked the obvious fact that an ideal shipping route,
-like a straight line, is the shortest distance between two
-points. It would be at least a generation before Mesopotamian
-grain and oil could play a prominent part in the
-Russian market.<a name="FNanchor_7_217" id="FNanchor_7_217"></a><a href="#Footnote_7_217" class="fnanchor">7</a></p>
-
-<p>But with Russian political interests the case was different.
-Ever since the days of Peter the Great, the Russian
-Tsars had persistently and relentlessly continued their
-efforts to obtain a “window” on the Mediterranean. This
-historical trend toward the open sea led to a well-defined
-intention on the part of Russia, in one way or another,
-to take Constantinople from the Turks. The dynastic
-interests of Russia were reënforced by commercial considerations.
-“Most of Russia’s southern trade is bound
-to pass through the Bosporus. Her wheat and hides, her
-coal and oil cannot reach the European markets any other<span class="pagenum"><a name="Page_152" id="Page_152">152</a></span>
-way; her manganese and petroleum are inaccessible to
-other nations if they cannot find an outlet from the
-Caucasus to the Dardanelles.” During the Turco-Italian
-War the closing of the Straits for a few days was said to
-have cost Russian shipping about eight million francs.<a name="FNanchor_8_218" id="FNanchor_8_218"></a><a href="#Footnote_8_218" class="fnanchor">8</a>
-Bonds of religion and race enlisted Russian sympathy in
-the struggle of the Balkan states to win independence
-from Turkey—a cause which harmonized with the Russian
-ambition to bring about the disintegration of Turkey-in-Europe.
-The rise of German influence at Constantinople—of
-which the Anatolian and Bagdad Railway concessions
-were a tangible manifestation—had been a source of
-annoyance to Russia, not only because it prevented Russian
-domination of Turkish affairs and because it strengthened
-the position of Austria-Hungary in the Balkans,
-but also because it tended to strengthen Turkish military
-power. It was annoying enough to witness the rising
-political and economic power of Germany in the Near
-East; it was more annoying to realize that, under German
-guidance, the Turks might experience an economic and
-military renaissance which would end once and for all the
-Russian hope of possessing ancient Byzantium.</p>
-
-<p>Strategically the construction of the Bagdad Railway
-was a real menace to Russian ambitions in the Near East.
-The completion of the line would enable the Ottoman
-Government to effect a prompt mobilization along the
-Armenian front. For example, the Fifth Turkish Army
-Corps, from Damascus, and the Sixth Corps, from Bagdad—which
-in the War of 1877 arrived on the field after
-a series of forced marches, minus a large number of its
-effectives, too late to save Kars or to raise the siege of
-Erzerum—could be brought quickly by rail from Syria
-and Mesopotamia to Angora for the defence of northern
-Anatolia. In the event of a Russo-Turkish war such a
-maneuver would render extremely precarious a Russian<span class="pagenum"><a name="Page_153" id="Page_153">153</a></span>
-invasion of Armenia or a Russian advance on Constantinople
-along the south shore of the Black Sea. In a general
-European war in which both Russia and Turkey
-might be involved the existence of this railway line would
-make possible a Turkish stroke at the southern frontier
-of Russia, thus diverting troops from the European front.
-That the German General Staff was not ignorant of these
-possibilities is certain because of the presence in Turkey,
-during this time, of General von der Goltz.<a name="FNanchor_9_219" id="FNanchor_9_219"></a><a href="#Footnote_9_219" class="fnanchor">9</a></p>
-
-<p>The Russian Government and the Russian press were
-fully aware of the menace of the Bagdad Railway to Russian
-imperial interests. That the Tsar did not offer serious
-resistance to the construction of the line was due to the
-rise of serious complications in the Far East, the crushing
-defeats of his army and navy in the War with Japan,
-friction with Great Britain in Persia and in Central Asia,
-and the outbreak of a revolutionary movement at home.
-But the Russian press called upon French citizens to show
-their loyalty to the Alliance by refusing to participate in
-the financing of the Railway.<a name="FNanchor_10_220" id="FNanchor_10_220"></a><a href="#Footnote_10_220" class="fnanchor">10</a></p>
-
-<p>The plaintive call of the Russians, however, did not fall
-on altogether sympathetic ears in the Republic; a conflict
-of interests led some French citizens to invest in the
-Railway even though it was denounced by their Government.</p>
-
-<h3><span class="smcap">The French Government Hesitates</span></h3>
-
-<p>The position of France in the Bagdad Railway controversy
-was anomalous. In addition to political, economic,
-and religious reasons for opposing the construction of the
-trans-Mesopotamian railway, the French had many historical
-and sentimental interests which influenced the Government
-of the Republic to resist German penetration in
-the Near East. French patriots recalled with pride the<span class="pagenum"><a name="Page_154" id="Page_154">154</a></span>
-rôle of France in the Crusades; they remembered that
-Palestine itself was once a Latin kingdom; they believed
-that Christians in the Levant looked to France as their
-protector and that this protection had received formal
-recognition under the Capitulations, negotiated by Francis
-I and renewed and extended by his successors from
-Henry IV to Louis XV. They knew that the French
-language was the language not only of the educated classes
-in Turkey, but, also, in Syria, of the traders, so that it
-could be said that a traveler in Syria might almost consider
-himself in a French dependency. They were proud
-of the fact that the term “Frank” was the symbol of
-Western civilization in the Near East. They were aware
-of the far-reaching educational work of French missionaries.
-France, to their mind, had done a great work
-of Christian enlightenment in the Moslem stronghold,
-Turkey. Was the Government of the Republic to be
-backward in asserting the interests of France, when Bourbons
-and Bonapartes had so ably paved the way for the
-extension of French civilization in the Holy Land? Reasoning
-of this kind was popular in France during 1898
-and 1899, when the Kaiser’s visit to Abdul Hamid was
-still under discussion and when the first indications were
-given that a German company was to be awarded a concession
-for the construction of a railway from Constantinople
-to the Persian Gulf.</p>
-
-<p>On the other hand, however, there was a considerable
-and a powerful group in France which urged the French
-Government, if not to support the project of the Bagdad
-Railway, at least to put no obstacles in its way. The
-members of this group were French financiers with investments
-in Turkey. They believed that the construction
-of the Railway would usher in a new era of prosperity in
-the Ottoman Empire which would materially increase the
-value of the Turkish securities which they owned. I<span class="pagenum"><a name="Page_155" id="Page_155">155</a></span>f
-the interests of these financiers were not supported by
-historical traditions and nationalist sentiment, they were
-tangible and supported by imposing facts. It was estimated,
-in 1903, that French investors controlled three-fifths,
-amounting to a billion and a half of francs, of the
-public obligations of the Imperial Ottoman Treasury.
-French promoters owned about 366 million francs in the
-securities of Turkish railroads and over 162 millions in
-various industrial and commercial enterprises in Asia
-Minor. French banks had approximately 176 million
-francs invested in their branches in the Near East. The
-total of all French investments in Turkey was more than
-two and a half billion francs.<a name="FNanchor_11_221" id="FNanchor_11_221"></a><a href="#Footnote_11_221" class="fnanchor">11</a> The French-controlled
-Imperial Ottoman Bank, the French-owned Smyrna-Cassaba
-Railway, and the French-administered Ottoman
-Public Debt Council all favored the promotion of the
-Bagdad Railway idea.</p>
-
-<p>For a time, the French Government decided to follow
-the lead of the financial interests. French bankers, in
-1899, had entered into an agreement with the <i>Deutsche
-Bank</i> to operate the Anatolian and Smyrna-Cassaba systems
-under a joint rate agreement, to coöperate in the
-construction of the Bagdad Railway, and to attempt to
-secure diplomatic support for their respective enterprises.<a name="FNanchor_12_222" id="FNanchor_12_222"></a><a href="#Footnote_12_222" class="fnanchor">12</a>
-At the request of the Imperial Ottoman Bank, M. Constans,
-the French Ambassador at Constantinople, adopted
-a policy of “benevolent neutrality” toward the negotiations
-of the <i>Deutsche Bank</i> with the Ottoman Ministry
-of Public Works. This course was approved by M. Delcassé,
-Minister of Foreign Affairs, who considered the
-Bagdad Railway harmless because French capitalists were
-to participate in its construction and operation. Just how
-much this diplomatic non-interference assisted the
-<i>Deutsche Bank</i> in obtaining the concessions of 1899 and
-1903 is an open question. It is extremely doubtful if<span class="pagenum"><a name="Page_156" id="Page_156">156</a></span>
-French objections could have blocked the award of the
-concessions, although M. Chéradame subsequently maintained
-that the consummation of the plans of the <i>Deutsche
-Bank</i> would have been impossible without the tacit
-coöperation of the French embassy at Constantinople.<a name="FNanchor_13_223" id="FNanchor_13_223"></a><a href="#Footnote_13_223" class="fnanchor">13</a></p>
-
-<p>Between 1899 and 1902 the proposed Bagdad Railway
-was discussed occasionally by French publicists, but it
-could not have been considered a matter of widespread
-popular interest. In the spring of the latter year, however,
-immediately after the award of the first Bagdad
-concession by the Sultan, a bitter protest was voiced in the
-Chamber of Deputies against the policy of the French
-Government. M. Firmin Fauré, a deputy from Paris,
-introduced a resolution that “the issue of debentures,
-stocks, or bonds designed to permit the construction of
-the Bagdad Railway shall not be authorized in French
-territory except by vote of the Chamber of Deputies.”
-In a few words M. Fauré denounced the Bagdad Railway
-plan as a menace to French prestige in the Near
-East and as a threat against Russian security in the Caucasus.
-He believed, furthermore, that Bagdad Railway
-bonds would be an unsafe investment: “It is a Panama
-that is being prepared down there. Do you choose, perchance,
-my dear colleagues, to allow French capital to be
-risked in this scheme without pronouncing it foolhardy?
-Do you choose to allow the great banks and the great
-investment syndicates to realize considerable profits at the
-expense of the small subscribers? If that is how you
-attend to the defence of French capital, well and good,
-but you will permit me to disagree with you.” He warned
-the members of the Chamber that they would not dare
-to stand for reëlection if they thus allowed the interests
-of their constituents to be prejudiced.<a name="FNanchor_14_224" id="FNanchor_14_224"></a><a href="#Footnote_14_224" class="fnanchor">14</a></p>
-
-<p>M. Delcassé, Minister of Foreign Affairs, objected
-to the resolution. He denied that French diplomacy h<span class="pagenum"><a name="Page_157" id="Page_157">157</a></span>ad
-assisted the German bankers in securing the Bagdad Railway
-concession.<a name="FNanchor_15_225" id="FNanchor_15_225"></a><a href="#Footnote_15_225" class="fnanchor">15</a> But the concession was a <i>fait accompli</i>,
-and it also was a fact that French financiers felt they
-could not afford to refuse the offer of participation with
-the German concessionaires. “I venture to ask how it
-can be prevented, and I inquire of the Chamber whether,
-when such an enterprise has been arranged and decided
-upon, it is not preferable that French interests, so considerable
-in the East, should be represented therein.” He
-promised that every possible precaution would be taken
-to assure French capitalists a share in the enterprise equal
-to that of any other power. The Minister was upheld, the
-motion being defeated by a vote of 398 to 72.<a name="FNanchor_16_226" id="FNanchor_16_226"></a><a href="#Footnote_16_226" class="fnanchor">16</a></p>
-
-<p>Less than two years later, in October, 1903, the Paris
-Bourse, at the instigation of the French Government, excluded
-all Bagdad Railway securities from the privileges
-of the Exchange. This change in policy was not so much
-the result of a <i>volte face</i> on the part of M. Rouvier and
-M. Delcassé as it was a consequence of a persistent clamor
-on the part of the French press that the construction of
-the Bagdad Railway, which was popularly considered a
-serious menace to French interests, should be obstructed
-by every effective method at the disposal of the Government.<a name="FNanchor_17_227" id="FNanchor_17_227"></a><a href="#Footnote_17_227" class="fnanchor">17</a></p>
-
-<h3><span class="smcap">French Interests are Believed to be Menaced</span></h3>
-
-<p>The commercial interests of southern France were opposed
-to participation in the Bagdad Railway by the
-French Government or by French capitalists. Business
-men were fearful, for example, lest “the new route to
-India” should divert traffic between England and the East
-from the existing route across Europe <i>via</i> Calais to Marseilles
-and thence by steamer to Suez, to a new express
-service from Calais to Constantinople <i>via</i> Osten<span class="pagenum"><a name="Page_158" id="Page_158">158</a></span>d, Cologne,
-Munich, and Vienna. Thus the importance of the port
-of Marseilles would be materially decreased, and French
-railways would lose traffic to the lines of Central Europe.
-Also, there was some feeling among the manufacturers of
-Lyons that the rise of German economic power in Turkey
-might interfere with the flow to France of the cheap raw
-silk of Syria, almost the entire output of which is consumed
-in French mills. The fears of the silk manufacturers
-were emphasized by one of the foremost French
-banks, the <i>Crédit Lyonnais</i>, which maintained branches in
-Jaffa, Jerusalem, and Beirut, for the purpose of financing
-silk and other shipments. This bank had experienced
-enough competition at the hands of the <i>Deutsche Palästina
-Bank</i> to assure it that further German interference was
-dangerous.<a name="FNanchor_18_228" id="FNanchor_18_228"></a><a href="#Footnote_18_228" class="fnanchor">18</a></p>
-
-<p>From the political point of view there was more to be
-said for the French objections. Foremost among serious
-international complications was the strategic menace of
-the Railway to Russia. The Bagdad enterprise was described
-as the “anti-Russian maneuver <i>par excellence</i>.”
-To weaken Russia was to undermine the “foundation stone
-of French foreign policy,” for it was generally conceded
-that “the Alliance was indispensable to the security of
-both nations; it assured the European equilibrium; it was
-the essential counterbalance to the Triple Alliance.”<a name="FNanchor_19_229" id="FNanchor_19_229"></a><a href="#Footnote_19_229" class="fnanchor">19</a>
-Then, too, the question of prestige was involved! In the
-great game of the “balance of power” an imperial advance
-by one nation was looked upon as a humiliation for
-another! Thus a German success in Turkey, whether
-gained at the expense of important French interests or
-not, would have been considered as reflecting upon the
-glory of France abroad! There was also a menace to
-France in a rejuvenated Turkey. A Sultan freed from
-dependence upon the Powers might effectively carry on a
-Pan-Islamic propaganda which would lead to serious discontent
-in the French colonial empire in North Africa.<span class="pagenum"><a name="Page_159" id="Page_159">159</a></span>
-What would be the consequences if the Moors should
-answer a call to a Holy War to drive out the infidel
-invaders?<a name="FNanchor_20_230" id="FNanchor_20_230"></a><a href="#Footnote_20_230" class="fnanchor">20</a></p>
-
-<p>Still more fundamental, perhaps, than any of these
-reasons was the fear among far-sighted French diplomatists
-that the Bagdad Railway would be but the first
-step in a formal political alliance between Germany and
-Turkey. The French, more than any other European
-people, have been schooled in the political ramifications
-of foreign investments. The very foundations of the Russian
-Alliance, for example, were loans of French bankers
-to Russian industries and to the Tsar. Might not Baron
-Marschall von Bieberstein and Karl Helfferich, Prince
-von Bülow and Arthur von Gwinner, tear a leaf out of
-the book of French experience? Certainly the way was
-being paved for a Turco-German alliance, and M. Deschanel
-eloquently warned his colleagues in the Chamber
-of Deputies that there were limitless possibilities in the
-situation. Speaking in the Chamber on November 19,
-1903, he said: “Behold a railway that can divert from
-the Suez Canal a part of the traffic of the Far East, so
-that the railways of Central Europe will become the competitors
-of Marseilles and of our French railways! Behold
-a new colonial policy which, instead of conquering
-territories by force of arms, makes war with funds; possesses
-itself of the means of communication; crushes out
-the life of states, little by little, by the artifices of the
-financiers, leaving them only a nominal existence! And
-we, who possess the world’s greatest fund of <i>capital, that
-supreme weapon of modern conquest</i>, we propose to place
-it at the disposal of foreign interests hostile to our fundamental
-and permanent foreign policies! Alas, it is not
-the first time that our capital has gone to nourish rival,
-even hostile, schemes!”<a name="FNanchor_21_231" id="FNanchor_21_231"></a><a href="#Footnote_21_231" class="fnanchor">21</a></p>
-<p><span class="pagenum"><a name="Page_160" id="Page_160">160</a></span></p>
-<p>Religious interests supported the political and economic
-objections to the construction of the Bagdad Railway.
-French Clericals were fearful lest this railway become the
-very backbone of German interests in the Ottoman Empire,
-thus strengthening German missionary activities and
-jeopardizing the time-honored protectorate of France over
-Catholics in the Near East. As early as 1898 an anonymous
-writer sounded a clarion call to Catholics and nationalists
-alike that German economic penetration in
-Turkey was a matter of their common concern: “Preeminent
-in the Levant, thanks to the friendship of the
-Sultan and to the progress of the commerce of her
-nationals, Germany, if she gathers in, besides, our religious
-heritage, will crown her formidable material power with an
-enormous moral power; she will assume in the world the
-eminent place which Charlemagne, St. Louis, Francis I,
-Richelieu, Louis XIV, and Napoleon have assured to our
-country. The ‘nationalization’ of missions will inaugurate
-a period of German supremacy in the Orient, where the
-name of France has been so great and where it still is so
-loved.”<a name="FNanchor_22_232" id="FNanchor_22_232"></a><a href="#Footnote_22_232" class="fnanchor">22</a></p>
-
-<p>France occupied a unique position in the Near East.
-For centuries she had been recognized as shouldering
-a special responsibility in the protection of Catholics and
-of Catholic missions in the Ottoman Empire. This protectorate—which
-as late as 1854 had provided the occasion
-for a war between the empire of Napoleon III and
-Russia—had been acquired not by military conquest alone,
-but by outstanding cultural and religious services as
-well.<a name="FNanchor_23_233" id="FNanchor_23_233"></a><a href="#Footnote_23_233" class="fnanchor">23</a></p>
-
-<p>Certainly at the end of the nineteenth century French
-missions held a preëminent position in Turkey. French
-Jesuits and Franciscans maintained elementary, secondary,
-and vocational schools in Aleppo, Damascus, Beirut,
-Jerusalem, and numerous smaller towns throughout Syria<span class="pagenum"><a name="Page_161" id="Page_161">161</a></span>
-and Palestine. A Jesuit school established at Beirut in
-1875 rapidly expanded its curricula until it obtained
-recognition as a university, its baccalaureate degree being
-accredited by the French Ministry of Public Instruction
-early in the decade of the eighties. The medical faculty
-of this Jesuit University—said to have been founded under
-the patronage of Jules Ferry and Léon Gambetta—was
-given authority to grant degrees, which were recognized
-officially by France in 1888 and by Turkey in 1898. In
-addition to the classical and medical courses, instruction
-was given in law, theology, philosophy, and engineering.
-A preparatory school, conducted in connection with the
-university, had an enrollment of about one thousand
-pupils. By 1907 it was estimated that over seventy thousand
-Syrian children were receiving instruction in French
-religious schools. In addition to these educational accomplishments
-mention should be made of the work of the
-Sisters of St. Joseph of the Apparition and the Society of
-St. Vincent de Paul, who made Jerusalem, Bethlehem, and
-other towns centers of French religious and philanthropic
-activity.<a name="FNanchor_24_234" id="FNanchor_24_234"></a><a href="#Footnote_24_234" class="fnanchor">24</a></p>
-
-<p>The progress of German missions and schools was a
-challenge to the paramount position of France in the
-cultural development of the Near East. And it was not
-a challenge which was passed unanswered. To counteract
-the influence of German schools established, with the aid
-of the Railway Company, at a few of the more important
-points along the Anatolian lines, French missionary schools
-were established at Eski Shehr, Angora, and Konia.<a name="FNanchor_25_235" id="FNanchor_25_235"></a><a href="#Footnote_25_235" class="fnanchor">25</a></p>
-
-<p>Furthermore, German missions seemed to bring with
-them an additional threat—an attempt to discredit the
-French claim to an exclusive protectorate over Catholics
-in the Ottoman Empire. As early as 1875 the German
-Government declared that “it recognized no exclusive right
-of protection of any power in behalf of Catholic establi<span class="pagenum"><a name="Page_162" id="Page_162">162</a></span>shments
-in the East,” and that “it reserved its rights with
-regard to German subjects belonging to any of these
-establishments.”<a name="FNanchor_26_236" id="FNanchor_26_236"></a><a href="#Footnote_26_236" class="fnanchor">26</a> This position appeared to be strengthened
-by Article 62 of the Treaty of Berlin (1878), which
-affirmed that “ecclesiastics, pilgrims, and monks of all
-nationalities traveling in Turkey shall enjoy the same
-rights, advantages, and privileges. The official right of
-protection of the diplomatic and consular agents of the
-Powers in Turkey is recognized, with regard both to the
-above-mentioned persons and to their religious, charitable,
-and other establishments in the Holy Places and elsewhere.”<a name="FNanchor_27_237" id="FNanchor_27_237"></a><a href="#Footnote_27_237" class="fnanchor">27</a></p>
-
-<p>In 1885 it was proposed that the Sultan should appoint
-his own emissary to the Vatican, thus rendering
-supererogatory the time-honored procedure of transacting
-all affairs of the Church through the French embassy
-at Constantinople. French Catholics immediately charged
-that this proposal emanated from Berlin and did everything
-possible to oppose its acceptance. Italian and German
-influences in Rome heartily supported the idea of
-direct communications between the Vatican and the Porte,
-but Pope Leo XIII and Cardinal Rampolla finally decided
-against maintaining diplomatic relations with the Infidel.<a name="FNanchor_28_238" id="FNanchor_28_238"></a><a href="#Footnote_28_238" class="fnanchor">28</a></p>
-
-<p>Largely as a result of Italian insistence that the rights
-of the diplomatic and consular agents of the Kingdom
-be given recognition, it was considered advisable for the
-Pope to state definitely his position on the French protectorate.
-This he did in an encyclical of May 22, 1888,
-<i>Aspera rerum conditio</i>, which informed all Catholic missionaries
-in the Levant that “the Protectorate of the French
-Nation in the countries of the East has been established
-for centuries and sanctioned even by treaties between the
-empires. Therefore there must be absolutely no innovation
-in this matter; this Protectorate, wherever it is in
-force, is to be religiously preserved, and the missiona<span class="pagenum"><a name="Page_163" id="Page_163">163</a></span>ries
-are warned that, if they have need of any help, they are
-to have recourse to the consuls and other ministers of
-France.”<a name="FNanchor_29_239" id="FNanchor_29_239"></a><a href="#Footnote_29_239" class="fnanchor">29</a> In a letter dated August 1, 1898, addressed
-to Cardinal Langénieux, Archbishop of Rheims, Leo XIII
-again confirmed this opinion: “France has a special mission
-in the East confided to her by Providence—a noble
-mission consecrated not alone by ancient usage, but also
-by international treaties.... The Holy See does not wish
-to interfere with the glorious patrimony which France has
-received from its ancestors, and which beyond a doubt it
-means to deserve by always showing itself equal to its
-task.”<a name="FNanchor_30_240" id="FNanchor_30_240"></a><a href="#Footnote_30_240" class="fnanchor">30</a> No more sweeping confirmation of French rights
-could have been desired.</p>
-
-<p>The German Government, however, was by no means
-willing to accept these pronouncements as final. In the
-name of nationalism German unification was accomplished;
-in the name of nationalism German missionaries abroad
-must look to their own Government for protection. To
-admit a foreign claim to the protectorate of Germans was
-to stain the national honor. To accede to the French pretension
-that Catholic Germans occupied an inferior position
-in the East was to decrease the prestige of German
-citizenship. The Shantung incident was a noisy demonstration
-of the intention of the German Empire to recognize
-no such distinctions. The visit of the Kaiser to the
-Sultan in the same year, 1898, was directly concerned with
-the determination of <i>Wilhelmstrasse</i> to assert the secular
-rights of German missionaries, Catholics as well as
-Protestants.<a name="FNanchor_31_241" id="FNanchor_31_241"></a><a href="#Footnote_31_241" class="fnanchor">31</a></p>
-
-<p>French Catholics denied the German claims and worked
-upon national sentiment at home to add to the growing
-fear of German imperial aggrandizement. “Catholic
-missions,” it was asserted, “by their very nature and purpose
-are a supra-national institution, similar to the sovereign
-majesty of the Pope.” What could be the purpose<span class="pagenum"><a name="Page_164" id="Page_164">164</a></span>
-of the Germans in asserting the doctrine of the “nationalization
-of missions,” if it were not to undermine French
-influence in Turkey? How great would be the national
-humiliation if the protectorate of the Faithful in the East
-should pass from the hands of Catholic France to Protestant
-Prussia! The Germans, too, were prejudicing the
-Holy See against the Republic. A notoriously pro-German
-party at the Vatican, supported by their political allies,
-the Italians, were winning the sympathies of the Pope
-by insinuating references to “red France,” “schismatic
-Russia,” and “heretical England”! Thus was a dark plot
-being hatched against France and against the unity of
-Christendom!<a name="FNanchor_32_242" id="FNanchor_32_242"></a><a href="#Footnote_32_242" class="fnanchor">32</a></p>
-
-<p>This situation was not without its advantages to the
-French Clericals. Between the years 1899 and 1905, when
-the Bagdad Railway controversy was at its height, a
-serious domestic controversy was raging in France. In a
-bitter fight to extirpate Clericalism the Republican ministries
-of Waldeck-Rousseau and Émile Combes had put
-through law after law to curb the power of the Church
-and to break up the influence of the religious orders. The
-Clericals were waging a losing battle. But perhaps the
-last crushing blows might be warded off by resorting to a
-favorite maneuver of Louis Napoleon—the diversion of
-popular attention from domestic affairs to foreign policy.
-If Republicans and Monarchists, Socialists and bourgeois
-Liberals, Radicals and Conservatives, Free-Masons and
-Clericals, could be aroused against the German advance in
-Turkey, a common outburst of national pride might obscure,
-for a time at least, the domestic war on organized
-Catholicism. Therefore Clerical writers in France
-warned of the menace of the Bagdad Railway to the
-Russian Alliance, to the advance of French commerce, and
-to the ancient prerogatives in the East. “It is Germany,
-preëminent at Constantinople,” said an anonymous writer<span class="pagenum"><a name="Page_165" id="Page_165">165</a></span>
-in the <i>Revue des deux mondes</i>, “which blocks the future
-of Pan-Slavism in the East; it is Germany, installed in
-Kiao-chau, which can forestall Muscovite expansion toward
-the Pacific; it is Germany which, in the East and
-Far East, seeks to undermine our religious protectorate.
-Faced by the same adversary, it is natural that France
-and Russia should build up a common defence.” That
-France should not desert her ally Russia or her own
-prerogatives in the protectorate of Near Eastern missions
-is self-evident. “The protectorate over Catholics is for us,
-in short, a source of material advantage!”<a name="FNanchor_33_243" id="FNanchor_33_243"></a><a href="#Footnote_33_243" class="fnanchor">33</a></p>
-
-<h3><span class="smcap">The Bagdad Railway Claims French Supporters</span></h3>
-
-<p>The Bagdad Railway was not without friends in
-France. The French chairman of the Ottoman Public
-Debt Administration was an enthusiastic supporter of the
-project and served on the Board of Directors of the Bagdad
-Railway Company, for he believed that widespread
-railway construction was essential to the establishment,
-upon a firm basis, of Turkish credit. The French-controlled
-Imperial Ottoman Bank, as early as 1899, had
-agreed to participate in the financing of the Bagdad line,
-and an officer of the bank had accepted the position of
-vice-president of the Bagdad Railway Company at the time
-of its incorporation in 1903. The French owners of important
-railways in Anatolia and Syria believed it would
-be suicidal for them to obstruct the plans of the <i>Deutsche
-Bank</i> and preferred to coöperate with the German concessionaires.
-Unless the French opponents of the Bagdad
-Railway were prepared to offer these interests material
-compensation for resisting its construction, it was hardly
-likely that, hard-headed business men as they were, they
-would jeopardize the security of their investments for the
-sake of such intangible items as international prestige and
-protectorates of missions.</p>
-
-<p><span class="pagenum"><a name="Page_166" id="Page_166">166</a></span></p>
-
-<p>There were two important groups of French-owned
-railways in Turkey-in-Asia. In Anatolia there was the
-important Smyrna-Cassaba system, extending east and
-north-east from the French-developed port of Smyrna.
-At Afiun Karahissar the main line of this system from
-Smyrna connected with the Anatolian line from Constantinople
-to Konia. Therefore a route for French trade
-already existed to all of Asia Minor; and when the Bagdad
-Railway was completed, direct service could be instituted
-from Smyrna to Adana, Aleppo, Mosul, Bagdad,
-and Basra. The second group of French railways was
-the Syrian system, owned by <i>La Société Ottomane du
-Chemin de fer Damas-Hama et Prolongements</i>. This
-company operated railway lines from Aleppo to Damascus,
-from Tripoli to Homs, from Beirut to Damascus, from
-Jaffa to Jerusalem, and between other less important
-points. After the completion of the Bagdad Railway this
-group of railways would have direct connections, at
-Aleppo, with all of Europe <i>via</i> Constantinople and with
-the Indies <i>via</i> Basra and the Persian Gulf. Perhaps the
-French interests controlling these railways were chagrined
-at their inability to secure the trans-Mesopotamian concession
-for themselves. But faced with the <i>fait accompli</i>
-of the German concession, they realized that coöperation
-with the Bagdad Railway would make their lines an integral
-part of a greater system of rail communications
-within Turkey and also between Turkey and the nations
-of Europe and Farther Asia. Refusal to coöperate would
-be cutting off their noses to spite their faces.<a name="FNanchor_34_244" id="FNanchor_34_244"></a><a href="#Footnote_34_244" class="fnanchor">34</a></p>
-
-<p>French bankers were disposed to look at the Bagdad
-enterprise in much the same light. The economic renaissance
-of Turkey, which it was hoped would be an effect
-of improved rail communications, would increase the value
-of their earlier investments in that country. But, <span class="pagenum"><a name="Page_167" id="Page_167">167</a></span>in addition,
-the Bagdad Railway offered handsome profits in
-itself: profits of promoting the enterprise and floating the
-various bond issues; profits of the construction company,
-in which French capital was to participate; profits of the
-shareholders when the Railway should become a going
-concern. True, the Council of Ministers had requested
-the Bourse to outlaw the Bagdad securities. But, after
-all, when profits are at stake, what is a mere resolution
-of the Cabinet among friends? A syndicate of French
-financiers invested heavily in the bonds and stock of the
-Bagdad Railway Company, the hostility of their Government
-notwithstanding. And it was said that one of the
-bankers who participated in the syndicate was none other
-than M. Rouvier, Minister of Finance in the Cabinet of
-M. Combes, and subsequently Prime Minister.<a name="FNanchor_35_245" id="FNanchor_35_245"></a><a href="#Footnote_35_245" class="fnanchor">35</a></p>
-
-<p>Many intelligent French students of foreign affairs felt
-that a merely obstructionist policy on the part of France
-toward the Bagdad Railway would be futile and, in the
-end, disastrous. In spite of the many historical and sentimental
-attachments of France in the Near East, she really
-had no vital interests which were jeopardized by the
-Bagdad enterprise. It was urged, therefore, that she
-should play the rôle of conciliator of the divergent interests
-of Russia, Great Britain, Germany, and Turkey. A
-forward-looking program, it was suggested, would be to
-urge these nations to reach a full and equitable agreement
-in the promotion of “a project unquestionably valuable
-in the progress of the whole human race.” National
-material interests should be merged in “the superior
-interests of civilization.” Mere self-interest demanded
-this of France, because, should a war break out over the
-Near Eastern question, France would most certainly become
-involved.<a name="FNanchor_36_246" id="FNanchor_36_246"></a><a href="#Footnote_36_246" class="fnanchor">36</a></p>
-
-<p>As regards the claims of Russia to influence French
-policy in the Bagdad Railway affair, there was a considerab<span class="pagenum"><a name="Page_168" id="Page_168">168</a></span>le
-amount of irritability exhibited by French publicists.
-It was pointed out, for example, that M. Witte
-was unwilling to accept “internationalization” of the Railway
-at a time when the German and French bankers were
-prepared to effect a satisfactory settlement on that basis.
-It was asserted, also, that Russian strategic interests were
-adequately safeguarded when the northern route was abandoned
-by the Black Sea Basin Agreement of 1900. So
-far from decreased difficulties of Turkish mobilization
-constituting a menace to Russia, “Russia still had both
-the power and, apparently, the inclination to be a formidable
-menace to Turkey.”<a name="FNanchor_37_247" id="FNanchor_37_247"></a><a href="#Footnote_37_247" class="fnanchor">37</a> How could the Colossus of
-the Caucasus tremble before the Sick Man!</p>
-
-<p>One French writer was frank in advocating that France
-should pursue a course independent of Russia in this
-instance. “The St. Petersburg press,” he wrote, “has
-asserted vehemently that we are unjust to support an enterprise
-which will injure considerably the economic interests
-of Russia, which will seriously prejudice its grain trade,
-and create a ruinous competitor to Russian railways now
-projected. Of what use is the Franco-Russian Alliance
-if our policy runs counter to Russian interests?</p>
-
-<p>“We are particularly pleased to answer the question.
-The Franco-Russian Alliance does not imply complete
-servility on the part of France toward Russia, or annihilation
-of all free will, or perpetual agreement on matters of
-finance. After having furnished our ally with almost
-seven billion francs, we find ourselves called upon to
-support her policies in the Far East, although we ourselves
-were abandoned and isolated in the Fashoda affair.
-It will be well for us now to think of ourselves somewhat,
-although respecting scrupulously, even cordially, the
-clauses of the contract of alliance.... It is in our own
-interests to coöperate with Germany in the Bagdad enterprise.
-It is extremely regrettable that we cannot carry
-it out ourselves; but since it is otherwise, we should<span class="pagenum"><a name="Page_169" id="Page_169">169</a></span> make
-the most of the conditions.”<a name="FNanchor_38_248" id="FNanchor_38_248"></a><a href="#Footnote_38_248" class="fnanchor">38</a></p>
-
-<p>It is said that M. Delcassé, French Minister of Foreign
-Affairs, certainly no friend of German imperial designs,
-never really was hostile to the Bagdad Railway and its
-affiliated enterprises. As Bismarck welcomed French
-colonial activities in Africa and China as a means of
-diverting French attention from the Rhine and the
-Vosges, so Delcassé hoped that the colossal Bagdad plan
-would absorb all German imperial inclinations, leaving
-Morocco an exclusive sphere of French influence. In
-the construction of railways in the Ottoman Empire, Germany
-might satisfy her “irresistible need for expansion,”
-without menacing vital French interests. And all the
-while the <i>Quai d’Orsay</i>, through the French representatives
-on the Board of Directors of the Bagdad Railway
-Company, could be kept fully informed of the progress
-of the German concessionaires and the purpose of the
-German diplomatic agents interested in the success of the
-project.<a name="FNanchor_39_249" id="FNanchor_39_249"></a><a href="#Footnote_39_249" class="fnanchor">39</a></p>
-
-<p>There were other ardent French nationalists who felt
-very much the same way about it. However, in their
-opinion, it would be unwise to gamble on the complete
-absorption of Germany in her <i>Bagdadbahn</i>. It would be
-wiser, perhaps, to withhold financial support until such
-time as the German Foreign Office was willing to execute
-a formal treaty conferring upon France an exclusive sphere
-of interest in Morocco. Bagdad was to be had for the
-asking—but in exchange for Morocco! It is said that in
-1905, after the fall of Delcassé and on the eve of the
-Algeciras Conference, M. Rouvier, Prime Minister of
-France, approached the German ambassador in Paris with
-a view to negotiating a Franco-German agreement granting
-Germany a free hand in Turkey in return for recognition
-of the special interests of France in Morocco.<a name="FNanchor_40_250" id="FNanchor_40_250"></a><a href="#Footnote_40_250" class="fnanchor">40</a></p>
-<p><span class="pagenum"><a name="Page_170" id="Page_170">170</a></span></p>
-<p>M. André Tardieu revived this suggestion two years
-later. “Germany needs capital,” he said. “And when
-one needs capital, it is to France that one comes in search
-of it. It is inevitable, necessary, therefore, that Germany
-come to us. She will be obliged to come to us sooner or
-later to seek our capital for the Bagdad enterprise. Germany
-has the concession. She has commenced the lines.
-But all the sections requiring the greatest engineering
-skill are still to be constructed, and she has not the money
-to construct them.” If France agrees to let Germany
-have the necessary funds, it will be on the condition that
-Germany allow France important compensations. “Where
-will these compensations be sought? I have no hesitation
-in saying, in Morocco. The Act of Algeciras must be set
-aside, and France must have a free hand in Morocco!
-An agreement upon the Bagdad question would be mischievous
-if it concerned Bagdad alone, for, the Germans
-having the concession in their pockets, the positions of the
-negotiators would not be equal. On the other hand, if
-the agreement is for two purposes, if it refers to Bagdad
-<i>and</i> Morocco, I believe, I repeat, it would be both practicable
-and desirable.”<a name="FNanchor_41_251" id="FNanchor_41_251"></a><a href="#Footnote_41_251" class="fnanchor">41</a></p>
-
-<p>The proposal that French consent to the Bagdad Railway
-could be purchased with compensations in North
-Africa met with no enthusiasm in Germany. Herr Bassermann,
-leader of the National Liberals in the Reichstag,
-urged the Foreign Office to meet any such diplomatic
-maneuver on the part of France with a sharp rebuff.<a name="FNanchor_42_252" id="FNanchor_42_252"></a><a href="#Footnote_42_252" class="fnanchor">42</a>
-At the time of the Agadir crisis, furthermore, Baron
-Marschall von Bieberstein is said to have warned Bethmann-Hollweg
-that Germany would have to stand firm
-on Morocco, for “if, notwithstanding Damascus and
-Tangier, we abandon Morocco, we lose at one blow our
-position in Turkey, and with it the advantages and prospects
-for the future which we have acquired painfully by
-years of toil.”<a name="FNanchor_43_253" id="FNanchor_43_253"></a><a href="#Footnote_43_253" class="fnanchor">43</a></p>
-
-<p><span class="pagenum"><a name="Page_171" id="Page_171">171</a></span></p>
-
-<p>It was not until 1914 that an agreement was reached
-between France and Germany on Asiatic Turkey. For
-more than ten years, then, the Bagdad Railway was a
-stinging irritant in the relations between the Republic and
-the Empire. It aggravated an open wound which needed,
-not salt, but balm. We shall return later to consider its
-consequences. But in the meantime we must turn our
-attention to Great Britain, standing astride the Persian
-Gulf and blocking the way.</p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_211" id="Footnote_1_211"></a><a href="#FNanchor_1_211"><span class="label">1</span></a> Regarding Russian railways in the Near East <i>cf.</i> the article
-“Russia—Railways,” in the <i>Encyclopedia Britannica</i>, 11th edition,
-Volume 23, p. 891. The trans-Persian railway from Resht, a
-Persian port on the Caspian, to Teheran was completed in
-September, 1899. <i>Cf.</i> “Russia’s Tightening Grip on Persia,” in
-<i>The Globe</i> (London), August 24, 1899; also “Russian Railways
-in Asia,” <i>The Financial News</i> (London), August 14, 1899. The
-Bagdad Railway frequently was referred to in the French and
-Russian press as the <i>Petit Transasiatique</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_212" id="Footnote_2_212"></a><a href="#FNanchor_2_212"><span class="label">2</span></a> Foreign correspondence of <i>The Globe</i>, July 28, 1899; <i>Commerce</i>
-(London), August 2, 1899; articles quoted from the <i>Novoe
-Vremya</i> in <i>The Globe</i>, August 10, 1899; <i>The Engineer</i> (London),
-August 11, 1899; <i>The Observer</i>, August 13, 1899; R. Henry,
-“L’intérêt française en Asie occidentale—Le chemin de fer de
-Bagdad et l’alliance franco-russe,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 15 (1903), pp. 673–688.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_213" id="Footnote_3_213"></a><a href="#FNanchor_3_213"><span class="label">3</span></a> <i>Corps de droit ottoman</i>, Volume IV, pp. 64 <i>et seq.</i>; Paul
-Imbert, “Le chemin de fer de Bagdad,” in <i>Revue des deux
-mondes</i>, 5 period, Volume 38 (1907), pp. 657–659.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_214" id="Footnote_4_214"></a><a href="#FNanchor_4_214"><span class="label">4</span></a> Quoted by Georges Mazel, <i>Le chemin de fer de Bagdad</i> (Montpelier,
-1911), p. 324. It should be remembered that Russia at
-this time was experiencing the Industrial Revolution. <i>Cf.</i> James
-Mavor, <i>An Economic History of Russia</i>, Volume II (Toronto,
-1914), Book VI.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_215" id="Footnote_5_215"></a><a href="#FNanchor_5_215"><span class="label">5</span></a> <i>Annual Register</i>, 1902, p. 323; 1903, pp. 293–294.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_216" id="Footnote_6_216"></a><a href="#FNanchor_6_216"><span class="label">6</span></a> <i>Memoirs of Count Witte</i>, edited and translated by A. Yarmolinsky
-(Garden City, 1921), pp. 75 <i>et seq.</i>; G. Drage, <i>Russian
-Affairs</i> (London, 1904), pp. 507 <i>et seq.</i>; A. Sauzède, “Le
-développement des voies ferrées en Russie,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 37 (1914), pp. 272–281; F. H.
-Skrine, <i>The Expansion of Russia</i> (Cambridge, 1904), <i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_217" id="Footnote_7_217"></a><a href="#FNanchor_7_217"><span class="label">7</span></a> Bohler, <i>loc. cit.</i>, pp. 294–295; G<span class="pagenum"><a name="Page_172" id="Page_172">172</a></span>ervais-Courtellemont, “La
-question du chemin de fer de Bagdad,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 23 (1907), pp. 499–507.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_218" id="Footnote_8_218"></a><a href="#FNanchor_8_218"><span class="label">8</span></a> Baron S. A. Korff, <i>Russia’s Foreign Relations during the
-Last Half Century</i> (New York, 1922), pp. 133–134.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_219" id="Footnote_9_219"></a><a href="#FNanchor_9_219"><span class="label">9</span></a> Rohrbach, <i>Die Bagdadbahn</i>, pp. 10–13; Imbert, <i>loc. cit.</i>, p. 678.
-Enthusiastic Turks believed that, with adequate rail communications,
-Erzerum might be transformed into a Turkish Belfort.
-<i>Cf.</i> Mazel, <i>op. cit.</i>, p. 37. Had the Bagdad Railway and the
-projected railways of northern Anatolia been completed before
-the outbreak of the Great War, the Turks could have made a
-more effective defence in the Caucasus campaign of the Grand
-Duke Nicholas in 1916.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_220" id="Footnote_10_220"></a><a href="#FNanchor_10_220"><span class="label">10</span></a> For a general statement of the attitude of Russia and the
-Balkan States to the Bagdad Railway <i>cf.</i> Alexandre Ilitch, <i>Le
-chemin de fer de Bagdad, ou l’expansion de l’Allemagne en
-Orient</i> (Brussels, Paris, Leipzig, 1913), pp. 100–107, 121–123.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_221" id="Footnote_11_221"></a><a href="#FNanchor_11_221"><span class="label">11</span></a> Bohler, <i>loc. cit.</i>, pp. 273–289; <i>cf.</i>, also, P. Rohrbach, <i>German
-World Policies</i>, pp. 223–224.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_222" id="Footnote_12_222"></a><a href="#FNanchor_12_222"><span class="label">12</span></a> <i>Supra</i>, pp. 59–60.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_223" id="Footnote_13_223"></a><a href="#FNanchor_13_223"><span class="label">13</span></a> Chéradame, <i>op. cit.</i>, pp. 267 <i>et seq.</i>; <i>The Times</i>, August 10,
-1899; K. Helfferich, <i>Die Vorgeschichte des Weltkrieges</i>, p. 124.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_224" id="Footnote_14_224"></a><a href="#FNanchor_14_224"><span class="label">14</span></a> <i>Journal Officiel, Débats parlementaires, Chambre des
-Députés</i>, March 25, 1902, p. 1468.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_225" id="Footnote_15_225"></a><a href="#FNanchor_15_225"><span class="label">15</span></a> According to M. Deschanel, this was sophistry. The French
-Government, if it was not guilty of an error of commission,
-certainly was guilty of a sin of omission. It was the opinion
-of M. Deschanel that the French Ambassador at Constantinople
-should have done something to put the French Government on
-record as opposed to the Bagdad Railway. M. Deschanel was
-not certain, however, that the French Ministry had not consented
-to the participation of French capital in the plan. “How can
-one imagine,” he said, “that an institution such as the Ottoman
-Bank became involved in an enterprise of such great political
-and military importance without the approval of our Foreign
-Office?... How is it that the Ottoman Bank is a party to this
-enterprise, and how is it that the Board of Directors for the
-first section of the line has French representatives, when only a
-word from the Government could have prevented it?” <i>Ibid.</i>,
-November 20, 1903, p. 2798.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_226" id="Footnote_16_226"></a><a href="#FNanchor_16_226"><span class="label">16</span></a> <i>Ibid.</i>, March 25, 1902, pp. 1468 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_227" id="Footnote_17_227"></a><a href="#FNanchor_17_227"><span class="label">17</span></a> Victor Bérard, “Le Discours du Chancelier,” in the <i>Revue de
-Paris</i>, December 15, 1906.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_228" id="Footnote_18_228"></a><a href="#FNanchor_18_228"><span class="label">18</span></a> The <i>Revue Bleue</i>, April 6, 1907, p. 429; <i>Syria and Palestine</i>,
-p. 126. Many of the claims that the Bagdad Railway jeopardized
-French prosperity were purely fantastic. It was maintained that<span class="pagenum"><a name="Page_173" id="Page_173">173</a></span>
-the opening of the great Mesopotamian granary would cripple
-French agriculture, already seriously handicapped by the competition
-of the new world. To this was added the suggestion
-that development of cotton-growing in Turkey would stifle the
-infant efforts at the cultivation of cotton in the French colonies.
-It is incredible that Mesopotamian grain and cotton would have
-interfered with the flourishing prosperity of the French peasantry;
-in any event, any such danger was at least a generation
-removed. France raised high tariff barriers against foreign competition
-in the home market for agricultural products; she was
-not an exporter of grain.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_229" id="Footnote_19_229"></a><a href="#FNanchor_19_229"><span class="label">19</span></a> <i>Journal Officiel, Débats parlementaires, Chambre des Députés</i>,
-March 25, 1902, pp. 1467 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_230" id="Footnote_20_230"></a><a href="#FNanchor_20_230"><span class="label">20</span></a> <i>Cf.</i>, M. Montbel, “Les puissances coloniales devant l’Islam,”
-in <i>Questions diplomatiques et coloniales</i>, Volume 37 (1914), pp.
-348–362.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_231" id="Footnote_21_231"></a><a href="#FNanchor_21_231"><span class="label">21</span></a> <i>Journal Officiel, Débats parlementaires, Chambre des Députés</i>,
-November 20, 1905, p. 2798. The italics are mine.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_232" id="Footnote_22_232"></a><a href="#FNanchor_22_232"><span class="label">22</span></a> <i>Revue des deux mondes</i>, Volume 149 (1898), p. 29.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_233" id="Footnote_23_233"></a><a href="#FNanchor_23_233"><span class="label">23</span></a> Sources of the treaties granting special privileges to France
-are sighted in Note 3, Chapter II. Regarding the origins and
-nature of the French protectorate over Roman Catholic missions
-see the article “Capitulations” in the <i>Encyclopedia Britannica</i>,
-previously cited; J. Brucker, “The Protectorate of Missionaries
-in the Near East,” in the <i>Catholic Encyclopedia</i>, Volume XII,
-pp. 488–492; A. Schopoff, <i>Les Réformes et la Protection des
-Chrétiens en Turquie, 1673–1904</i> (Paris, 1904); <i>Livre de propagande
-de l’alliance française, 1883–1893</i> (Paris, 1894), especially
-pp. 35 <i>et seq.</i>; Viscomte Aviau de Piolant, <i>La défense des
-intérêts catholiques en Terre Sainte et en Asie Mineure</i> (Paris,
-1886).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_234" id="Footnote_24_234"></a><a href="#FNanchor_24_234"><span class="label">24</span></a> <i>Syria and Palestine</i>, pp. 43–45, 54–55; L. Bréhier, “Turkish
-Empire—Missions,” in <i>Catholic Encyclopedia</i>, Volume XV, pp.
-101–102; J. Atalla, “Les solutions de la question syrienne,” in
-<i>Questions diplomatiques et coloniales</i>, Volume 24 (1907), p. 472.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_235" id="Footnote_25_235"></a><a href="#FNanchor_25_235"><span class="label">25</span></a> <i>Bulletin de la Chambre de Commerce française de Constantinople</i>,
-June 30, 1897, pp. 112–113, November 30, 1897, p. 149.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_236" id="Footnote_26_236"></a><a href="#FNanchor_26_236"><span class="label">26</span></a> Brucker, <i>loc. cit.</i>, p. 490.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_237" id="Footnote_27_237"></a><a href="#FNanchor_27_237"><span class="label">27</span></a> It should be added that the Treaty also stipulated that “the
-acquired rights of France are explicitly reserved, and there shall
-be no interference with the <i>statu quo</i> in the Holy Places.” E.
-Hertslet, <i>The Map of Europe by Treaty</i>, Volume IV (London,
-1891), p. 2797.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_238" id="Footnote_28_238"></a><a href="#FNanchor_28_238"><span class="label">28</span></a> <i>Revue des deux mondes</i>, Volume 149, (1898), pp. 24–25;
-Brucker, <i>loc. cit.</i>, p. 491.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_239" id="Footnote_29_239"></a><a href="#FNanchor_29_239"><span class="label">29</span></a> <i>Catholic Encyclopedia</i>, Volume XII, p. 49<span class="pagenum"><a name="Page_174" id="Page_174">174</a></span>1. The rôle of the
-Italians in this controversy is of considerable interest. The
-desire of the Italian Government to assert its right to protect
-its own citizens abroad was a manifestation of the Italian
-nationalism which brought about the establishment of the Kingdom;
-at the same time it was an expression of that anti-Clerical
-tendency which characterized Italian politics from the days of
-Cavour to the outbreak of the Great War. Undoubtedly, also,
-there was an economic side to the question. It will be recalled
-that Italian trade with the Ottoman Empire grew more rapidly
-than that of any other power after the opening of the twentieth
-century. (<i>Supra</i>, pp. 105–106.) This growth was due, in no small
-degree, to the earlier rise of Italian missionary activity in Turkey.
-This growth of missions and schools, as well as of commercial
-establishments, was irritating to patriotic Frenchmen. <i>Cf.</i> two
-articles by René Pinon, “Les écoles d’Orient,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 24 (1907), pp. 415–435, 487–517.
-Italian missionaries, charged M. Pinon, were encouraged in every
-way to ignore the French protectorate, appealing only to Italian
-diplomatic and consular representatives. “Official Italy, Catholic
-and papal Italy, free-mason Italy and clerical Italy, all are working
-together in a common great patriotic effort for the spread
-of the Italian language and the rise of the national power”
-(p. 500). Annoying as this is, says M. Pinon, it should be “a
-singular lesson for certain Frenchmen!” That there was no
-love lost on the Italian side of the controversy may be gathered
-from an analysis of the Italian press comments which appeared
-in <i>Questions diplomatiques et coloniales</i>, Volume 37 (1914), p.
-495.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_240" id="Footnote_30_240"></a><a href="#FNanchor_30_240"><span class="label">30</span></a> Brucker, <i>loc. cit.</i>, p. 491. Inasmuch as the protectorate of
-Catholic missions involved a considerable responsibility for
-France, one may ask why the French Government should have
-been so solicitous that no other nation be allowed to share the
-burden. The answer is suggested by the <i>Catholic Encyclopedia</i>,
-which states that the system of religious protectorates is almost
-invariably subject to the abuse that “the protectors will seek
-payment for their services by trammeling the spiritual direction
-of the mission or by demanding political services in return.”
-Volume XII, p. 492.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_241" id="Footnote_31_241"></a><a href="#FNanchor_31_241"><span class="label">31</span></a> <i>Supra</i>, pp. 134–135.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_242" id="Footnote_32_242"></a><a href="#FNanchor_32_242"><span class="label">32</span></a> <i>Revue des deux mondes</i>, Volume 149 (1898), p. 39. The
-“pro-German party” was said to consist of Cardinals Ledochowski,
-Hohenlohe, Galimberti, and Kapp. <i>Ibid.</i>, pp. 11–12; Reinsch,
-<i>op. cit.</i>, p. 269.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_243" id="Footnote_33_243"></a><a href="#FNanchor_33_243"><span class="label">33</span></a> <i>Revue des deux mondes</i>, Volume 149 (1898), pp. 36–40. On
-this whole subject see, also, C. Lagier, <i>Byzance et Stamboul: nos
-droits françaises et nos missions en Orient</i> (Paris, 1905); Hilaire
-Capuchin, <i>La France Cat<span class="pagenum"><a name="Page_175" id="Page_175">175</a></span>holique en Orient durant les trois-derniers
-siècles</i> (Paris, 1902); A. Schopoff, <i>Les Réformes et la
-Protection des Chrétiens en Turquie</i> (Paris, 1904).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_244" id="Footnote_34_244"></a><a href="#FNanchor_34_244"><span class="label">34</span></a> G. Saint-Yves, <i>Les Chemins de fer françaises dans la Turquie
-d’Asie</i> (Paris, 1914).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_245" id="Footnote_35_245"></a><a href="#FNanchor_35_245"><span class="label">35</span></a> The French and Belgian banks principally interested were:
-the Imperial Ottoman Bank, the <i>Banque de l’Union Parisienne</i>,
-and the <i>Banque Internationale de Bruxelles</i>. <i>Cf.</i> article “Ou en
-est la question du chemin de fer de Bagdad,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 24 (1907), pp. 167–171; E. Letailleur,
-<i>Les capitalistes français contre la France</i> (Paris, 1916), pp.
-72–110. M. Rouvier visited Turkey in 1901, at the request of
-the Ottoman Public Debt Administration, to suggest improvements
-in the fiscal system of the Empire. (<i>Corps de droit
-ottoman</i>, Volume IV, p. 110.) It was at this time, probably,
-that he learned enough of the Bagdad Railway to persuade him
-of the wisdom of investing in its securities.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_246" id="Footnote_36_246"></a><a href="#FNanchor_36_246"><span class="label">36</span></a> Gervais-Courtellemont, <i>loc. cit.</i>, p. 507; Imbert, <i>loc. cit.</i>, p.
-682.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_247" id="Footnote_37_247"></a><a href="#FNanchor_37_247"><span class="label">37</span></a> Gervais-Courtellemont, <i>loc. cit.</i>, p. 507; Bohler, <i>loc. cit.</i>, p. 294.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_248" id="Footnote_38_248"></a><a href="#FNanchor_38_248"><span class="label">38</span></a> Bohler, <i>loc. cit.</i>, pp. 293–295.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_249" id="Footnote_39_249"></a><a href="#FNanchor_39_249"><span class="label">39</span></a> Mazel, <i>op. cit.</i>, pp. 315–322.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_250" id="Footnote_40_250"></a><a href="#FNanchor_40_250"><span class="label">40</span></a> K. Helfferich, <i>Die deutsche Türkenpolitik</i>, p. 18.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_251" id="Footnote_41_251"></a><a href="#FNanchor_41_251"><span class="label">41</span></a> “La politique extérieure de l’Allemagne,” in <i>Questions diplomatiques
-et coloniales</i>, Volume 23 (1907), pp. 340–341.</p>
-
-<p><span class="pagenum"><a name="Page_176" id="Page_176">176</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_42_252" id="Footnote_42_252"></a><a href="#FNanchor_42_252"><span class="label">42</span></a> <i>Stenographische Berichte, XII Legislaturperiode, 1 Session</i>,
-Volume 231 (1908), pp. 4226 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_43_253" id="Footnote_43_253"></a><a href="#FNanchor_43_253"><span class="label">43</span></a> Quoted by the <i>Annual Register</i>, 1913, p. 326.</p></div>
-
-<hr />
-
-<h2>CHAPTER VIII<br />
-
-GREAT BRITAIN BLOCKS THE WAY</h2>
-
-<h3><span class="smcap">Early British Opinions Are Favorable</span></h3>
-
-<p>The idea of a trans-Mesopotamian railway was not new
-to informed Englishmen. As early as 1831 a young British
-army officer, Francis R. Chesney, who had seen service
-in the Near East, became impressed with the desirability
-of constructing a railway from the Mediterranean to the
-Persian Gulf. From 1835 to 1837—while Moltke was
-in Turkey studying military topography—Chesney was
-engaged in exploring the Euphrates Valley and upon his
-return to England brought glowing tales of the latent
-wealth of ancient Babylonia. It was not until twenty
-years later, however, that his plan for a Mesopotamian
-railway was taken up as a practical business proposition.
-In 1856 Sir William Andrew incorporated the Euphrates
-Valley Railway Company, appointed General Chesney as
-chief consulting engineer, and opened offices at Constantinople
-to carry on negotiations for a concession from
-the Imperial Ottoman Government. The plans of the
-Company were supported enthusiastically by Lord Palmerston,
-by Lord Stratford de Redcliffe, British ambassador
-at Constantinople, and by the Turkish
-ambassador in London. The following year the Sultan<span class="pagenum"><a name="Page_177" id="Page_177">177</a></span>
-granted the Euphrates Valley Company a concession for
-a railway from the Gulf of Alexandretta to the city of
-Basra, with the understanding that the Ottoman Treasury
-would guarantee a return of six per cent upon the capital
-invested in the enterprise. The promoters, however, experienced
-difficulty in raising funds for the construction
-of the line, and the project had to be abandoned.<a name="FNanchor_1_254" id="FNanchor_1_254"></a><a href="#Footnote_1_254" class="fnanchor">1</a></p>
-
-<p>Lord Palmerston, in the meantime, was busily opposing
-the Suez Canal project. De Lesseps was handicapped
-by the obstructionist policies of British diplomacy as well
-as by the unwillingness of British financiers to invest in
-his enterprise. Palmerston frankly informed the great
-French engineer that in the opinion of the British Government
-the construction of the Canal was a physical
-impossibility; that if it were constructed it would injure
-British maritime supremacy; and that, after all, it was
-not so much a financial and commercial venture as a
-political conspiracy to provide the occasion for French
-interference in the East!<a name="FNanchor_2_255" id="FNanchor_2_255"></a><a href="#Footnote_2_255" class="fnanchor">2</a></p>
-
-<p>Nevertheless the Suez Canal was completed in 1869,
-and immediately thereafter the question of a Mesopotamian
-railway was again brought to the fore in England.
-The advance of the Russians in the Near East and the
-control by the French of a short all-water route to the
-Indies gave rise to serious concern regarding the maintenance
-of communication with British India. In 1870
-a British promoter proposed the construction of a railway
-from Alexandretta <i>via</i> Aleppo and Mosul to Bagdad
-and Basra. Such a railway, as Sir William Andrew had
-pointed out, would assure the undisturbed possession of
-India, for the “advancing standard of the barbarian Cossack
-would recoil before those emblems of power and
-progress, the electric wire and the steam engine, and his
-ominous tread would be restrained behind the icy barrier
-of the Caucasus.”<a name="FNanchor_3_256" id="FNanchor_3_256"></a><a href="#Footnote_3_256" class="fnanchor">3</a> Also it would render Great Britai<span class="pagenum"><a name="Page_178" id="Page_178">178</a></span>n
-independent of the French-owned Suez Canal by providing
-an alternative route to the East, making possible more
-rapid transportation of passengers, mails, and troops to
-India. This plan seemed desirable of execution from
-so many points of view that a special committee of the
-House of Commons, presided over by Sir Stafford Northcote,
-was appointed “to examine and report upon the
-whole subject of railway communication between the
-Mediterranean, the Black Sea, and the Persian Gulf.”
-This committee reported that the construction of a trans-Mesopotamian
-railway was a matter of urgent imperial
-concern and recommended a plan which would have involved
-the investment of some £10,000,000. The necessity
-of providing an alternative route to India was obviated,
-however, by Disraeli’s purchase, in 1875, of a controlling
-interest in the Suez Canal at a cost of less than half that
-sum.<a name="FNanchor_4_257" id="FNanchor_4_257"></a><a href="#Footnote_4_257" class="fnanchor">4</a></p>
-
-<p>For the forty years during which, at intervals, these
-projects were under discussion Germany was not even an
-interested spectator in Near Eastern affairs. Domestic
-problems of economic development and national unification
-were all-absorbing, and capitalistic imperialism was
-quite outside the scope of German policies. France and
-Russia, not Germany, were the disturbers of British tranquillity
-in the Orient.</p>
-
-<p>When during the last two decades of the nineteenth
-century there was a marked increase of German political
-and economic interests in the Ottoman Empire, there was
-little disposition in England to resent the German advance.
-As late as 1899, the year in which the preliminary Bagdad
-Railway concession was awarded to German financiers,
-British opinion, on the whole, was well disposed to Teutonic
-peaceful penetration in the Near East. The press
-was delighted at the prospect that the advent of the Germans
-in Turkey woul<span class="pagenum"><a name="Page_179" id="Page_179">179</a></span>d block Russian expansion in the
-Middle East. Such eminent imperialists as Joseph Chamberlain
-and Cecil Rhodes announced their willingness to
-conclude an <i>entente</i> with Germany in colonial affairs. The
-British Government was more suspicious of France than
-of Germany.<a name="FNanchor_5_258" id="FNanchor_5_258"></a><a href="#Footnote_5_258" class="fnanchor">5</a></p>
-
-<p>During the opening years of the twentieth century,
-however, the situation was materially changed. Although
-there was a continuance of the cordial relations between
-the British and German Governments, there was an undercurrent
-of hostility to Germany in England (as well as to
-England in Germany) which was to be disastrous to the
-hopes for an Anglo-German agreement on the Near East.
-By 1903, the year of the definitive Bagdad concession,
-German diplomacy and German business were under a
-cloud of suspicion and unpopularity in Great Britain.</p>
-
-<p>The underlying reason for the increasing estrangement
-between England and Germany was, as far as the
-British were concerned, the phenomenal rise of Germany
-as a world power. The commercial advance of the German
-Empire disturbed the complacent security and the
-stereotyped methods of British business. The colonial
-aspirations of German imperialists rudely interfered with
-British plans in Africa and appeared to be threatening
-British domination of the East. The German navy bills
-of 1898 and 1900 constituted a challenge to Britannia’s
-rule of the waves. German criticism of English procedure
-in South Africa had aroused widespread animosity,
-in large part because the British themselves realized that
-their conduct toward the Boers had not been above reproach.
-This animosity was revealed in an aggravated
-and unreasoning form in the vigorous denunciation which
-greeted the Government’s joint intervention with Germany
-in the Venezuela affair of 1902. Joseph Chamberlain,
-who in 1899 had advocated an Anglo-German alliance,
-in 1903 was preaching “tariff reform,” directed, among<span class="pagenum"><a name="Page_180" id="Page_180">180</a></span>
-other objectives, against the menace to the British Empire
-of the rising industrial prosperity of Germany. The
-proposal that British capital should participate in the
-Bagdad Railway project was introduced to the British
-public at a distinctly inopportune time from the point of
-view of those who desired some form of coöperation between
-England and Germany in the successful prosecution
-of the plan.</p>
-
-<h3><span class="smcap">The British Government Yields to Pressure</span></h3>
-
-<p>The Bagdad Railway came up for discussion in Parliament
-on April 7, 1903. Mr. Balfour then informed the
-House of Commons that negotiations were being carried
-on between British and German capitalists, and
-between British capitalists and the Foreign Office, for the
-purpose of determining the conditions upon which British
-financiers might participate in the enterprise. If a satisfactory
-agreement could be reached by the bankers, His
-Majesty’s Government would be asked to give its consent
-to a reasonable increase in the customs duties of the
-Ottoman Empire, to consider the utilization of the new
-railway for the transportation of the Indian mails, and
-to adopt a friendly attitude toward the establishment of
-the eastern terminus of the Bagdad Railway at or near
-Koweit.</p>
-
-<p>Coöperation with the German concessionaires on any
-such basis was attacked vigorously from the floor of the
-House. One member declared it a menace to the existing
-British-owned Smyrna-Aidin Railway lines in Turkey,
-a potential competitor of British maritime supremacy, and
-a threat at British imperial interests in Egypt and in the
-region of the Persian Gulf. Another member of the
-House believed that “it was impossible to divorce the
-commercial from the political aspect of the quest<span class="pagenum"><a name="Page_181" id="Page_181">181</a></span>ion. What
-made the House take a real, live interest in it was the
-feeling that bound up with the future of this railway there
-was probably the future political control of large regions
-in Asia Minor, Mesopotamia, and the Persian Gulf.”
-Another member was certain the House “knew Mesopotamia
-was a blessed word. They all felt it was impossible
-for this country to oppose the introduction of a railway
-through Mesopotamia. The only wonder was that the
-railway was not constructed forty or fifty years ago.”
-At the same time, he felt, it would be well for Britain to
-be assured that her participation in the enterprise would
-not lead to another “Venezuela agreement”; Germany
-must be given to understand that Britain, by control of
-the Persian Gulf, held the “trump card” of the deck.</p>
-
-<p>The Prime Minister made it plain, nevertheless, that he
-favored coöperation with the German concessionaires provided
-British capital were permitted to participate on a
-basis of equality with any other power. He believed, also,
-that an obstructionist policy would be futile. “I have no
-doubt that whatever course English financiers may take
-and whatever course the British Government may pursue,
-sooner or later this great undertaking will be carried out,”
-said Mr. Balfour. “It is undoubtedly in the power of the
-British Government to hamper and impede and inconvenience
-any project of the kind; but that the project will
-ultimately be carried out, with or without our having a
-share in it, there is no question whatsoever.”</p>
-
-<p>“There are three points,” continued Mr. Balfour, “which
-ought not to be lost sight of by the House when trying
-to make up their minds upon this problem in its incomplete
-state. They have to consider whether it is or is
-not desirable that what will undoubtedly be the shortest
-route to India should be entirely in the hands of French
-and German capitalists. Another question is whether
-they do or do not think it desirable that if there is<span class="pagenum"><a name="Page_182" id="Page_182">182</a></span> a trade
-opening in the Persian Gulf, it should be within the territories
-of the Sheik whom we have under our special protection
-and with whom we have special treaties [<i>i.e.</i>, the
-Sheik of Koweit], or whether it should be in some other
-port of the Persian Gulf where we have no such preferential
-advantage. The House must also have in view a
-third consideration with regard to a railway which goes
-through a very rich country and which ... is likely after
-a certain period of development to add greatly to the riches
-of Turkey, and indirectly, I suppose, greatly to the riches
-of any other country which is ready to take advantage of
-it. Whether the British producer will be able to take
-advantage of it is not for me to say; but the House will
-have to consider whether he is more likely to be able to
-take advantage of it if English capital is largely interested,
-than if it is confined to French and German capital.
-The House will have to calculate whether ... it will be
-prudent to leave the passenger traffic in the hands of those
-two nations, France and Germany, with whom we are on
-the most friendly terms, but whose interests may not be
-identical with our own.”<a name="FNanchor_6_259" id="FNanchor_6_259"></a><a href="#Footnote_6_259" class="fnanchor">6</a></p>
-
-<p>Mr. Balfour’s presentation of the case was hailed in
-Berlin as eminently lucid and fair. The <i>National Zeitung</i>
-and the <i>Vossische Zeitung</i> of April 8 expressed the hope
-that British participation in the Bagdad Railway would
-be approved by Parliament and the press, in order that
-the German promoters might have the opportunity to
-demonstrate that no political ambitions were connected
-with the enterprise. The Russian attitude of refusing
-even to discuss internationalization, on the other hand,
-was roundly denounced.</p>
-
-<p>The London press, however, saw no reason for enthusiasm
-over the Prime Minister’s proposal. <i>The Times</i>,
-the <i>Daily Mail</i>, the <i>Daily Telegraph</i>, the <i>Pall Mall Gazette</i>,
-and the <i>National Review</i> let loose a torrent <span class="pagenum"><a name="Page_183" id="Page_183">183</a></span>of vituperation
-against German imperialist activities in general and the
-Bagdad Railway in particular. The <i>Spectator</i>, forswearing
-any thought of prejudice against Germany, constantly
-reminded its readers of German unfriendliness during the
-Boer War and suggested that the Bagdad negotiations
-offered the British Government an admirable opportunity
-to retaliate.</p>
-
-<p>The <i>Manchester Guardian</i>, organ of the old Liberalism,
-likewise was opposed to British participation in the Bagdad
-Railway. Pleading for continued observance of
-Britain’s time-honored policy of isolation, its leading editorial
-of April 15 said: “Mr. Balfour expressed his belief
-that ‘this great international artery had better be in the
-hands of three great countries than in the hands of two
-or of one great country.’ In other words, England is to be
-mixed up in the domestic broils of Asia Minor; every
-Kurdish or Arab attack on the railway will raise awkward
-diplomatic questions, and any disaster to the Turkish military
-power will place the whole enterprise in jeopardy.
-What is far more important, English participation in
-railway construction in Asia Minor will certainly
-strengthen the suspicions which Russia entertains regarding
-our policy. It is the fashion with certain English
-politicians to abuse Russia for building railways in Manchuria
-and for projecting lines across Persia. Yet Mr.
-Balfour seems more than half inclined to pay her policy
-the compliment of imitation by helping to build a railway
-across Mesopotamia to the Persian Gulf—and, worse still,
-of imperfect imitation, since the Government is certainly
-not prepared to occupy the territory through which the
-railway will pass, as Russia does in Manchuria. What
-vital interests of our own shall we strengthen by this
-sudden ardour for railways in Turkey to counterbalance
-the certain weakening of our friendly relations with
-Russia?”</p>
-<p><span class="pagenum"><a name="Page_184" id="Page_184">184</a></span></p>
-<p>Violent as was the opposition of the press to any
-coöperation with the Germans in the Bagdad Railway, the
-opposition would have been still more violent had all of
-the facts been public property. Mr. Balfour, however,
-was keeping the House and the country in complete ignorance
-of many of the most important aspects of the
-situation. Although the Prime Minister denied that there
-had been any negotiations between the British and German
-Governments regarding the Bagdad enterprise, he failed
-to admit that there had been such negotiations between
-His Majesty’s Government and German financiers. He
-made no mention of the fact, for example, that he and
-Lord Lansdowne, his Secretary of State for Foreign
-Affairs, had attended a meeting at the home of Lord
-Mount Stephen at which Dr. von Gwinner, on behalf of
-the <i>Deutsche Bank</i>, and Lord Revelstoke, on behalf of the
-interested British financiers, explained the terms of the
-proposed participation of British capital in the Bagdad
-Railway.<a name="FNanchor_7_260" id="FNanchor_7_260"></a><a href="#Footnote_7_260" class="fnanchor">7</a> The plan was to place the Railway, including
-the Anatolian lines, throughout its entire length from the
-Bosporus to the Persian Gulf, under international control.
-Equal participation in construction, administration, and
-management was to be awarded German, French, and
-British interests to prevent the possibility of preferential
-treatment for the goods or subjects of any one country.<a name="FNanchor_8_261" id="FNanchor_8_261"></a><a href="#Footnote_8_261" class="fnanchor">8</a>
-To this proposal both Mr. Balfour and Lord Lansdowne
-gave their approval, assuring the bankers that no diplomatic
-obstacles would be offered by Great Britain to the
-construction of the Bagdad Railway. Dr. von Gwinner
-thereupon returned home to obtain the consent of his
-associates to the reapportionment of interests and, perhaps,
-to consult the German Foreign Office and the Ottoman
-minister at Berlin. This was early in April, 1903.<a name="FNanchor_9_262" id="FNanchor_9_262"></a><a href="#Footnote_9_262" class="fnanchor">9</a></p>
-
-<p>Persistent rumors in the London press that a Bagdad
-Railway agreement had been negotiated brought the subj<span class="pagenum"><a name="Page_185" id="Page_185">185</a></span>ect
-to the attention of the Cabinet, which heretofore,
-apparently, had not been consulted by the Prime Minister
-and the Secretary of State for Foreign Affairs. It was
-decided that the Prime Minister should make a statement
-to Parliament—a statement which, perhaps, might serve
-as a sort of trial balloon to ascertain the opinion of the
-country upon the question. Mr. Balfour’s presentation
-of the Bagdad Railway affair to the House of Commons,
-as we have seen, however, provoked unfriendly comments
-from the floor and was subjected to heavy fire from the
-press. Thereupon a rebellious element in the Cabinet—led,
-presumably, by Joseph Chamberlain, who now was
-more interested in the development of the economic resources
-of the British Empire under a system of protective
-and preferential tariffs, than in coöperation with
-other nations—persuaded Mr. Balfour not to risk the life
-of his Ministry on the question of British participation
-in the Bagdad enterprise. Accordingly, the agreement
-with the <i>Deutsche Bank</i> was repudiated, and on April 23,
-1903, Mr. Balfour informed the House of Commons that
-His Majesty’s Government was determined to withdraw
-all support, financial and otherwise, which Great Britain
-might be in a position to lend the Bagdad Railway. He
-was convinced, he said, after a careful examination of the
-proposals of the German promoters, that no agreement
-was possible which would compensate the Empire for its
-diplomatic assistance and guarantee security for British
-interests.<a name="FNanchor_10_263" id="FNanchor_10_263"></a><a href="#Footnote_10_263" class="fnanchor">10</a></p>
-
-<p>This announcement was a distinct disappointment to
-the bankers in Berlin and in London. The directors of
-the <i>Deutsche Bank</i> were stunned by the termination of
-negotiations which they believed had been progressing
-satisfactorily. The British financiers were chagrined at
-the sudden decision of their Government to oppose their
-participation in a promising enterprise. They were c<span class="pagenum"><a name="Page_186" id="Page_186">186</a></span>onvinced
-that the terms offered by the German bankers met
-every condition imposed by the Prime Minister. They
-were agreed on the wisdom of British coöperation with
-the <i>Deutsche Bank</i>, and they were not a little annoyed at
-what appeared to be bad faith on the part of Downing
-Street. They were convinced that only a bellicose press
-frustrated the attempt to make the Bagdad Railway an
-international highway.<a name="FNanchor_11_264" id="FNanchor_11_264"></a><a href="#Footnote_11_264" class="fnanchor">11</a></p>
-
-<p>This, in any event, is the diagnosis of the situation
-furnished by Sir Clinton Dawkins, of the Morgan group,
-one of the British financiers interested in the project. In
-a letter to Dr. von Gwinner written on April 23, 1903,
-but not made public until six years later, he said, “As you
-originally introduced the Bagdad business to us, I feel that
-I cannot, upon its unfortunate termination, omit to express
-to you personally my great regret at what has occurred.
-After all you have done to meet the various points raised,
-you will naturally feel very disappointed and legitimately
-aggrieved. But I am glad to think, and I feel you will be
-convinced, that your grievance lies not against the British
-group but against the British Foreign Office. The fact
-is that the business has become involved in politics here
-and has been sacrificed to the very violent and bitter feeling
-against Germany exhibited by the majority of our
-newspapers, and shared in by a large number of people.
-This is a feeling which, as the history of recent events will
-show you, is not shared by the Government or reflected
-in official circles. But of its intensity outside these circles,
-for the moment, there can be no doubt; at the present
-moment coöperation in any enterprise which can be represented,
-or I might more justly say <i>mis</i>represented, as
-German will meet with a violent hostility which our
-Government has to consider.”</p>
-
-<p>Sir Clinton thereupon asserted that the effort of Mr.
-Balfour to quiet the uproar in Parliament was due to<span class="pagenum"><a name="Page_187" id="Page_187">187</a></span>
-the Prime Minister’s complete satisfaction with the agreement
-reached by the financiers. Just as success seemed
-assured, a bitter attack was launched on the Government
-“by a magazine and a newspaper [The <i>National Review</i>
-and <i>The Times</i>] which had made themselves conspicuous
-by their criticisms of the British Foreign Office on the
-Venezuela affair. Who instigated these papers, from
-whence they derived their information, is a matter upon
-which I cannot speak with certainty. My own impression
-is that the instigation proceeded from Russian sources.
-The clamour raised by these two organs was immediately
-taken up by practically the whole of the English press, London
-having really gone into a frenzy on the matter owing
-to the newspaper campaign, which it would have been
-quite impossible to counteract or influence. It is, I think,
-due to you that you should know the <i>histoire intime</i> of
-what has passed.”<a name="FNanchor_12_265" id="FNanchor_12_265"></a><a href="#Footnote_12_265" class="fnanchor">12</a></p>
-
-<p>There was only one London newspaper, the <i>St. James’s
-Gazette</i>, which came out frankly in favor of British participation
-in the Bagdad Railway. In the issue of April
-14, 1903, the editor ridiculed the suggestion of the <i>Spectator</i>
-that the Foreign Office was obliged to warn bankers
-of the financial risks involved in the enterprise. “Why
-our contemporary should be so anxious to save financiers,
-British or foreign, from making a bad investment of their
-money, we cannot imagine. Financiers are generally
-pretty wide-awake, and the City as a rule requires no
-advice from Fleet Street, the Strand, or Whitehall in
-transacting its business.” In an editorial entitled “Bagdad
-and Bag Everything,” April 22, 1903, the <i>Gazette</i> condemned
-<i>The Times</i> for the “curious and alarmist deductions”
-which that journal drew from the terms of the
-Bagdad Railway convention. The suggestion that this
-was a deliberate attempt on the part of Germany to ruin
-British trade was characterized “as much a figment of a<span class="pagenum"><a name="Page_188" id="Page_188">188</a></span>
-fevered imagination as the mind-picture of Turkey using
-‘this enormous line to pour down troops to reduce the
-shores of the Persian Gulf to the same happy condition
-as Armenia and Macedonia,’ about which <i>The Times</i> is
-so suddenly and unaccountably concerned. The concession
-is a monument to the German Emperor’s activity, built
-on the ruins of the influence which we threw away, and we
-do not precisely see what our <i>locus standi</i> in the matter is.
-If the interests of the Ottoman Government and of the
-German concessionaires be served by the construction of
-the line, constructed the line will be, and there’s an end.
-Whether it ever will, or ever can pay its way, is the
-affair only of capitalists who are contemplating investment
-in it. It is not the slightest use barking when we cannot
-bite, and our power of biting in the present instance is
-excessively small.... The Emperor William, like Jack
-Jones, has ‘come into ’is little bit of splosh’ in Asia
-Minor, and it is quite useless to be soreheaded about it.
-It is childish to be ever carping and nagging and ‘panicking.’
-We question whether the Bagdad Railway—while
-the rule of the Sultan endures—is going to do much good
-or much harm to anybody. The vision which some Germans
-have of peaceful Hans and Gretchen swilling
-Löwenbrau in the Garden of Eden to the strains of a
-German band, is little likely of fulfilment. If trade develops,
-a fair share of it will come our way, provided
-we send good wares and such as the inhabitants want to
-buy.” This minority opinion, however, was unheeded in
-the outburst of anti-German feeling which followed Mr.
-Balfour’s first statement to the House of Commons.</p>
-
-<p>As events turned out, the failure of the Balfour Government
-to effect the internationalization of the Bagdad
-Railway was a colossal diplomatic blunder. If the proposed
-agreement of 1903 had been consummated, the <i>entente</i>
-of 1904 between France and England would have<span class="pagenum"><a name="Page_189" id="Page_189">189</a></span>
-taken control of the enterprise out of the hands of the
-Germans, who would have possessed, with their Turkish
-collaborators, only fourteen of the thirty votes in the
-Board of Directors. Sir Henry Babington Smith assures
-the author that there was nothing in the arrangement suggested
-by the <i>Deutsche Bank</i> which would have prevented
-eventual Franco-British domination of the line. Surely, as
-Bismarck is said to have remarked, every nation must
-pay sooner or later for the windows broken by its bellicose
-press!</p>
-
-<h3><span class="smcap">Vested Interests Come to the Fore</span></h3>
-
-<p>In addition to the pressure which was brought to bear
-on the Balfour Cabinet by the newspapers, there were important
-vested business interests which quietly, but effectively,
-made themselves heard at Downing Street during
-the critical days of the Bagdad negotiations of 1903.</p>
-
-<p>It already has been noted that in 1888, as part of the
-plans of the Public Debt Administration for the improvement
-of transportation facilities in Turkey, the British-owned
-Smyrna-Aidin Railway Company was granted permission
-to construct several important branches to its main
-line. For a time this new concession thoroughly satisfied
-the owners and directors of the Company, and there was
-no objection on their part to the extension and development
-of the German-owned Anatolian system. By 1903,
-however, when the Bagdad concession was under discussion,
-the Smyrna-Aidin line demanded the protection of
-the British Government against the undue extension of
-German railways in the Near East. In particular, it objected
-to the agreement between the Anatolian Railway
-and the Smyrna-Cassaba Railway, by which the latter
-joined its tracks with the Anatolian system at Afiun Karahissar
-and accepted a schedule of tariffs satisfactory to<span class="pagenum"><a name="Page_190" id="Page_190">190</a></span>
-both lines.<a name="FNanchor_13_266" id="FNanchor_13_266"></a><a href="#Footnote_13_266" class="fnanchor">13</a> The Smyrna-Aidin Company feared that
-the Bagdad Railway would develop the ports of Haidar
-Pasha, Alexandretta, and Mersina at the expense of the
-prosperity of Smyrna, thereby decreasing the relative
-importance of the Smyrna-Aidin line and cutting down
-the volume of its traffic. Finally, it objected to the payment
-of a kilometric guarantee to the German concessionaires
-while there was no likelihood of its being
-similarly favored by the custodians of the public purse.
-The interests of the shareholders of the railway were well
-represented in the House of Commons by “that watchful
-dragon of imperial interests”, Mr. Gibson Bowles.</p>
-
-<p>Mr. Bowles (Conservative member from King’s Lynn,
-1892–1906, and Liberal from the same constituency, 1910–1916)
-was a frank defender of the interests of the stockholders
-of the Smyrna-Aidin Railway. He believed that
-investors were entitled to governmental protection of
-their investments, whether at home or abroad. He left
-no doubt, however, that he took his stand on high grounds
-of patriotism as well. He informed the House that “he
-did not object to the railway, because all railways were
-good feeders of ships. But this was not a railway; it
-was a financial fraud and a political conspiracy—a fraud
-whereby English trade would suffer and a conspiracy
-whereby the political interests of England would be threatened.
-It amounted to a military and commercial occupation
-by Germany of the whole of Asia Minor.”<a name="FNanchor_14_267" id="FNanchor_14_267"></a><a href="#Footnote_14_267" class="fnanchor">14</a></p>
-
-<p>Comparable to the interests of the Smyrna-Aidin Railway
-were those of the Euphrates and Tigris Navigation
-Company, Ltd. Under this name the Lynch Brothers
-had been operating steamers on the Tigris and the Shatt-el-Arab
-since the middle of the nineteenth century. In
-the trade between Bagdad and Basra they enjoyed a
-practical monopoly. In the absence of competition they
-were able to render indifferent service at exorb<span class="pagenum"><a name="Page_191" id="Page_191">191</a></span>itant rates,
-and there was nothing to disturb their tranquillity except
-an occasional complaint from a British merchant. But
-the old order was about to change. The Bagdad Railway
-concession of 1903 (articles 9 and 23) destroyed the monopoly
-of the Lynch Brothers by granting to the Railway
-Company limited rights of navigation on the Tigris. Construction
-of the Mesopotamian sections of the Railway,
-furthermore, would be almost certain to kill, by competition,
-profitable navigation between Bagdad and Basra.
-The course of the Tigris is shallow and winding, subject
-to heavy rises and falls, and constantly changing with the
-formation and disappearance of sand shoals. The river
-journey from Bagdad to Basra is about five hundred miles
-and takes from four to five days by steamer, under favorable
-conditions. The distance by land is about three
-hundred miles and could be traversed by railway in a
-single day’s journey, regardless of weather conditions.
-For passengers and most classes of freight the Bagdad
-Railway promised more economical transportation. The
-Lynch Brothers were determined, however, to resist such
-rude encroachment on their profitable preserves. In defence
-of their interests they wrapped themselves in the
-Union Jack and called upon their home government for
-protection; they were patriotic to the last degree and were
-determined “that the custody of a privilege highly important
-to British commerce would never pass to Germany
-except over the dead bodies of the principal partners.”<a name="FNanchor_15_268" id="FNanchor_15_268"></a><a href="#Footnote_15_268" class="fnanchor">15</a>
-Overcharge their countrymen they might; surrender this
-prerogative to a German railway they would not!</p>
-
-<p>British shipping interests, also, were vigorous in their
-opposition to the Bagdad Railway. A trans-Mesopotamian
-railway, they knew, would absorb some of the through
-traffic to the East, and the competition of the locomotive
-might compel a general readjustment of freight rates.
-Furthermore, it was one of the avowed purposes of the<span class="pagenum"><a name="Page_192" id="Page_192">192</a></span>
-Bagdad line to acquire the profitable Indian mails concession
-from the British Government; this would be
-equivalent to the withdrawal of a subsidy from the steamship
-lines operating to the East. It was not for their
-own sake, but for the sake of British commerce, however,
-that these shipping interests objected to the construction
-of the Bagdad line! They warned the British public that
-the proposed railway would adversely affect the traffic
-passing through the Suez Canal; inasmuch as the United
-Kingdom was a stockholder in the Canal, this was the
-concern of every English citizen. They pointed out that
-the kilometric subsidy which had been guaranteed the
-Railway was to be paid from an increase in the customs
-duties; thus, it was charged, British commerce would be
-obliged to contribute indirectly to the dividends of the
-<i>Deutsche Bank</i>. The improvement of communications
-between Middle Europe and the Near East would be
-almost certain to disturb British trade with Turkey; the
-feared and hated “Made in Germany” trade-mark might
-exert its hypnotic influence in a region where British
-commerce heretofore had been preëminent. If, in addition,
-the German owners of the Bagdad Railway should choose
-to grant discriminatory rates to German goods, a severe
-body-blow would be dealt British economic interests in
-the Ottoman Empire. The completion of this Railway
-would bring with it all sorts of German interference in
-the Near East and undermine British commercial and
-maritime interests in the region.<a name="FNanchor_16_269" id="FNanchor_16_269"></a><a href="#Footnote_16_269" class="fnanchor">16</a></p>
-
-<p>Many of the charges brought against the Bagdad Railway
-by the British shipping interests could not have been
-substantiated. As early as 1892, Lord Curzon stated emphatically
-that, for most commercial purposes, a trans-Mesopotamian
-railway would be next to valueless. “If
-I were a stockholder in the P. &amp; O. [the Peninsular and
-Oriental, one of the Inchcape lines touching at Indian an<span class="pagenum"><a name="Page_193" id="Page_193">193</a></span>d
-Persian Gulf ports], I would not,” he said, “except for
-the possible loss of the mails, be in the least alarmed at the
-competition of such a railway.”<a name="FNanchor_17_270" id="FNanchor_17_270"></a><a href="#Footnote_17_270" class="fnanchor">17</a> Informed Germans,
-likewise, did not consider the Bagdad Railway a serious
-competitor to the Suez Canal. One authority, for example,
-wrote: “The Bagdad Railway taken as a whole is of importance
-only for through passenger and postal traffic
-(in which respect, therefore, it is of greatest value to the
-British in their communications with India) and occasionally
-for fast freight. The great bulk of the freight traffic,
-on the other hand, carrying the import and export trade
-of the East, hardly can fall to the Bagdad Railway, which,
-for a long time at least, must content itself with the local
-traffic of certain sections of the line,” particularly in
-Cilicia, Syria, and northern Mesopotamia.<a name="FNanchor_18_271" id="FNanchor_18_271"></a><a href="#Footnote_18_271" class="fnanchor">18</a></p>
-
-<p>The assertion that the cost of constructing and operating
-the line would be borne by British commerce was
-based upon specious reasoning. Higher customs duties
-would not be paid by the British merchant, but by the
-Turkish consumer. The only harmful effect of the increased
-duties would be a general increase of prices of
-imported commodities in Turkey, leading, perhaps, to a
-lesser demand for foreign goods. It was probable, on
-the other hand, that this slight disadvantage would be more
-than offset by the wider prosperity which the Railway
-was almost certain to bring the districts traversed. In
-any event, whatever burden might be saddled upon the
-import trade would have to be borne, in proportion to the
-volume of business transacted, by the competitors of
-British merchants as well as by British merchants themselves.</p>
-
-<p>Many British business men were shrewd enough to
-foresee that the Bagdad Railway might prove to be far
-from disadvantageous to their interests. Where was the
-menace to British prosperity in a railway, German or<span class="pagenum"><a name="Page_194" id="Page_194">194</a></span>
-otherwise, which promised improved communication with
-the British colonies in the Orient? The facilitation of
-mail service to India; the development of rapid passenger
-service to the East; the reduction of ocean freight rates
-as a result of healthy competition—all of these injured
-no one except the vested interests which had handicapped
-the expansion of British commerce by inadequate service
-and exorbitant rates. There was no indication that the
-Bagdad Railway Company proposed to discriminate
-against non-German shippers; in any event, such a course
-was specifically prohibited by the concession of 1903,
-which decreed that “all rates, whether they be general,
-special, proportional, or differential, are applicable to all
-travelers and consignors without distinction,” and which
-prohibited the Company “from entering into any special
-contract with the object of granting reductions of the
-charges specified in the tariffs.”<a name="FNanchor_19_272" id="FNanchor_19_272"></a><a href="#Footnote_19_272" class="fnanchor">19</a> As the British Chamber
-of Commerce at Constantinople appropriately pointed
-out, the most certain means of avoiding discriminatory
-treatment was to permit and encourage the participation
-of British capital in the enterprise and to assure the
-presence of British subjects on the Board of Directors of
-the Company.<a name="FNanchor_20_273" id="FNanchor_20_273"></a><a href="#Footnote_20_273" class="fnanchor">20</a></p>
-
-<p>From an economic point of view, it would appear that
-the British Empire had a great deal to gain from the construction
-of the Bagdad Railway. In proportion as
-improved methods of transportation shrink the earth’s
-surface, the contacts between mother country and dependencies
-will become more numerous. An economic community
-of interest is more likely to spring up and thrive
-with the aid of more numerous and more rapid means
-of communication. True, certain interests believed that
-the Bagdad Railway threatened their very existence. But
-would the British people have been willing to sacrifice the
-wider economic interests of the Empire to the ve<span class="pagenum"><a name="Page_195" id="Page_195">195</a></span>sted
-privileges of a handful of English capitalists? They
-would not, of course, if the issue had been put to them
-in such simple terms. The problem was complicated by
-the obvious fact that it was not alone the economic interests
-of the empire which were at stake. The political
-import of the Bagdad enterprise overshadowed all economic
-considerations.</p>
-
-<h3><span class="smcap">Imperial Defence Becomes the Primary Concern</span></h3>
-
-<p>British journalists and statesmen, as well as the ordinary
-British patriot, have been accustomed to judge international
-questions from but one point of view—the promotion
-and protection of the interests of that great and
-benevolent institution, “the noblest fabric yet reared by
-the genius of a conquering nation,” the British Empire.<a name="FNanchor_21_274" id="FNanchor_21_274"></a><a href="#Footnote_21_274" class="fnanchor">21</a>
-Imperial considerations have been the determining factors
-in the formulation of diplomatic policies and of naval and
-military strategy. The possession of a far-flung empire
-has required further imperial conquests to insure the defence
-of those already acquired. Strategic necessities
-have constituted a “reason for making an empire large,
-and a large empire larger.”<a name="FNanchor_22_275" id="FNanchor_22_275"></a><a href="#Footnote_22_275" class="fnanchor">22</a></p>
-
-<p>India, an empire in itself, is the keystone of the British
-imperial system. To defend India it has been considered
-necessary for Great Britain to possess herself of vital
-strategic points along the routes of communication from
-the Atlantic seaboard to the Indian Ocean. The acquisition
-of Cape Colony from the Dutch at the conclusion
-of the Napoleonic Wars enabled the British fleet to dominate
-the old route to India, around the Cape of Good Hope.
-Judiciously placed naval stations at Gibraltar, Malta, and
-Cyprus assured the safety of British trade with the East
-<i>via</i> the Mediterranean. After a futile attempt to prevent
-the construction of the Suez Canal, which temporari<span class="pagenum"><a name="Page_196" id="Page_196">196</a></span>ly
-placed a new and shorter all-water route to India in the
-hands of the French, Great Britain proceeded to acquire
-the Canal for herself. To assure the protection of the
-Suez Canal, in turn, it was necessary to occupy Egypt and
-the Sudan. Control of Somaliland and Aden, together
-with friendly relations with Arabia, turned the Red Sea
-into a British lake. Menaced by the Russian advance
-toward India, Great Britain proceeded to dominate the
-entire Middle East: the foreign affairs of Afghanistan
-were placed under British tutelage and protection; Baluchistan
-was compelled to submit to the control of British
-agents; parts of Persia were brought within the sphere
-of British influence.<a name="FNanchor_23_276" id="FNanchor_23_276"></a><a href="#Footnote_23_276" class="fnanchor">23</a></p>
-
-<p>Great Britain, apparently, was determined to control
-every important route to India. What, then, would be
-her attitude toward a trans-Mesopotamian railway, terminating
-at the only satisfactory deep-water port on the
-Persian Gulf? Was the possession of such a short-cut
-to India consistent with the exigencies of imperial defence?</p>
-
-<p>Without a satisfactory terminus on the Persian Gulf
-the Bagdad Railway would lose its greatest possibilities
-as a great transcontinental line; with such a terminus it
-might become a menace to vital British interests in that
-region. British imperialists had been interested in control
-of the Persian Gulf since the seventeenth century,
-when the East India Company established trading posts
-along its shores. The British navy cleared the Gulf of
-pirates; it buoyed and beaconed the waters of the Gulf
-and the Shatt-el-Arab. A favorable treaty with the Emir
-of Muscat, in the latter part of the nineteenth century,
-provided Great Britain with a “sally port” from which to
-organize the defence of the entrance to the Gulf; later,
-Muscat became a protectorate of Great Britain. From
-time to time treaties were negotiated with the Arab chieftains
-of southern Mesopotamia, extending British influence<span class="pagenum"><a name="Page_197" id="Page_197">197</a></span>
-up the Shatt-el-Arab and the Tigris and Euphrates
-to Bagdad. Under these circumstances, it was apparent
-from the very beginning that, whether or not the Balfour
-Government consented to British participation in the
-Bagdad enterprise, there would be no surrender of the
-privileged position enjoyed by Great Britain in the Persian
-Gulf. Foreign merchants might be admitted to a
-share in the Gulf trade, but the existence of a port under
-foreign control hardly could be approved.<a name="FNanchor_24_277" id="FNanchor_24_277"></a><a href="#Footnote_24_277" class="fnanchor">24</a></p>
-
-<p>Lord Lansdowne, Secretary of State for Foreign
-Affairs, speaking before the House of Lords, on May 5,
-1903, made the position of the Government clear: “I
-do not yield to the noble Lord [Lord Ellenborough] in
-the interest which I take in the Persian Gulf or in the
-feeling that this country stands, with regard to the navigation
-of the Persian Gulf, in a position different from
-that of any other power.... The noble Lord has asked
-me for a statement of our policy with regard to the Persian
-Gulf. I think I can give him one in a few simple words.
-It seems to me that our policy should be directed in the
-first place to protect and promote British trade in those
-waters. In the next place I do not think that he suggests,
-or that we would suggest, that those efforts should
-be directed towards the exclusion of the legitimate trade
-of other powers. In the third place—I say it without
-hesitation—we should regard the establishment of a naval
-base, or of a fortified port, in the Persian Gulf by any
-other power as a very grave menace to British interests,
-and we should certainly resist it with all the means at our
-disposal. I say that in no minatory spirit, because, as
-far as I am aware, no proposals are on foot for the establishment
-of a foreign naval base in the Persian Gulf.”<a name="FNanchor_25_278" id="FNanchor_25_278"></a><a href="#Footnote_25_278" class="fnanchor">25</a></p>
-
-<p>Lord Lansdowne might have reminded his hearers that,
-although the British Government was disposed to be
-friendly toward the Bagdad Railway, measures already<span class="pagenum"><a name="Page_198" id="Page_198">198</a></span>
-had been taken which effectively precluded any possibility
-of the construction by the concessionaires, without British
-consent, of terminal and port works at Koweit. In 1899,
-when the first announcements came from Constantinople
-regarding the Bagdad project, Lord Curzon, then Viceroy
-of India, became alarmed at the construction of a railway
-which would link the head of the Persian Gulf with the
-railways of Central Europe. Lord Curzon was a trained
-imperialist. It was his custom to utter few words; to make
-no proclamations from the housetops; to act promptly—and
-in secret. It was at the instigation of the Indian
-Government that Colonel Meade, British resident in the
-Persian Gulf region, proceeded to Koweit and negotiated
-with the Sheik a clandestine agreement by which the
-latter accepted the “protection” of the British Government
-and agreed to enter into no international agreements without
-the consent of a British resident adviser.<a name="FNanchor_26_279" id="FNanchor_26_279"></a><a href="#Footnote_26_279" class="fnanchor">26</a> When a
-German technical commission visited Koweit in 1900 to
-negotiate for terminal and port facilities, they found the
-Sheik suspiciously intractable to their wishes. Thereupon
-Abdul Hamid despatched an expedition to Koweit to
-assert his sovereignty over the Sheik’s territory, but the
-presence of a British gunboat rendered both reason and
-force of no avail.<a name="FNanchor_27_280" id="FNanchor_27_280"></a><a href="#Footnote_27_280" class="fnanchor">27</a></p>
-
-<p>“Protection” of Koweit by Great Britain served notice
-on both Turkey and Germany that the construction of a
-railway, owned and controlled by Germans, to a deep-water
-port on the Persian Gulf was deemed contrary to
-the interests of the British Empire. From first to last
-British officials persistently refused to accede to any arrangement
-which would thus jeopardize imperial communications.
-Control of the Persian Gulf, an outpost of
-Indian defence, became the keynote of British resistance
-to the Bagdad Railway.</p>
-
-<p>During the visit of William II to England in 1907, he<span class="pagenum"><a name="Page_199" id="Page_199">199</a></span>
-was informed by Lord Haldane, Sir Edward Grey, and
-other responsible British statesmen, that their objections
-to the Bagdad enterprise would be removed if the sections
-of the Railway from Bagdad to Basra and the Persian
-Gulf were under the administration of British capitalists.<a name="FNanchor_28_281" id="FNanchor_28_281"></a><a href="#Footnote_28_281" class="fnanchor">28</a>
-In March, 1911, shortly after the Kaiser and the Tsar
-had reached an agreement at Potsdam on the Bagdad
-Railway question, Lord Curzon vigorously denounced the
-enterprise as a blow at the heart of Britain’s empire in
-India and called upon the Foreign Office to persist in its
-policy of blocking construction of the final sections of
-the line.<a name="FNanchor_29_282" id="FNanchor_29_282"></a><a href="#Footnote_29_282" class="fnanchor">29</a> This was in accord with a caustic criticism
-of German and Russian activities in the Near East, delivered
-by Mr. Lloyd George to the House of Commons,
-during which the future Premier made it plain that, whatever
-course Russia might pursue, Great Britain would
-not compromise her vital imperial interests in the region
-of the Persian Gulf.<a name="FNanchor_30_283" id="FNanchor_30_283"></a><a href="#Footnote_30_283" class="fnanchor">30</a> The German concessionaires
-learned, to their disappointment and chagrin, that, on this
-point, in any event, the British Government stood firm.
-Even in 1914, when an international agreement was
-reached permitting the construction of the Bagdad Railway,
-Great Britain subscribed to the arrangement with
-the express proviso that the terminus of the line should
-be Basra and that the port to be constructed at Basra
-should be jointly owned and controlled by German and
-British capitalists. Construction of the line beyond Basra
-was not to be undertaken without the permission of the
-British Government.<a name="FNanchor_31_284" id="FNanchor_31_284"></a><a href="#Footnote_31_284" class="fnanchor">31</a></p>
-
-<p>Although fear of foreign interference in the Persian
-Gulf region was the chief political objection raised by
-Great Britain to the construction of the Bagdad Railway,
-it was supplemented by a number of other objections—all
-associated, directly or indirectly, with the defence of
-India. The Bagdad Railway concession of 1903 prov<span class="pagenum"><a name="Page_200" id="Page_200">200</a></span>ided
-for the construction of a branch line from Bagdad to
-Khanikin, on the Turco-Persian border. This proposed
-railway not only would compete with the British caravan
-trade between these cities, amounting to about three-quarters
-of a million pounds sterling annually, but would,
-perhaps, lead to the introduction into the Persian imbroglio
-of the influence of another Great Power. Persia lay
-astride one of the natural routes of communication to
-India. The uncertainty of the situation in Persia already
-was such as to cause grave concern in Great Britain, and
-there were few British statesmen who would have welcomed
-German interference in addition to Russian intrigue.<a name="FNanchor_32_285" id="FNanchor_32_285"></a><a href="#Footnote_32_285" class="fnanchor">32</a></p>
-
-<p>British imperialists, too, had excellent reason to fear
-that any increase in the power of the Sultan, such as
-would be certain to follow the construction of adequate
-rail communications in the Ottoman Empire, might be
-but the first step in a renaissance of Mohammedan political
-ambitions, and, perhaps, a Moslem uprising everywhere
-against Christian overlords. Such a situation—had
-it been sufficiently matured before the outbreak of the
-War of 1914—might have been disastrous to the British
-position in the East: a rejuvenated Turkey, supported by
-a powerful Germany, might have been in a position to
-menace the Suez Canal, “the spinal cord of the Empire,”
-and to lend assistance to seditious uprisings in Egypt,
-India, and the Middle East. Why should Britain not
-have been disturbed at such a prospect, when prominent
-German publicists were boastfully announcing that this
-was one of the principal reasons for official espousal of
-the <i>Bagdadbahn</i>?<a name="FNanchor_33_286" id="FNanchor_33_286"></a><a href="#Footnote_33_286" class="fnanchor">33</a> Why should British statesmen have
-closed their eyes to such a possibility, when the recognized
-parliamentary leader of the Social Democratic Party in
-Germany warned the members of the Reichstag that limits
-must be placed upon the political ramifications of the
-Bagdad enterprise, lest it lead to a disastrous war with<span class="pagenum"><a name="Page_201" id="Page_201">201</a></span>
-Great Britain?<a name="FNanchor_34_287" id="FNanchor_34_287"></a><a href="#Footnote_34_287" class="fnanchor">34</a></p>
-
-<p>Furthermore, British statesmen were too intimately
-acquainted with the dynamics of capitalistic imperialism
-to accept the assurances of Germans that the Bagdad Railway,
-and other German enterprises in Turkey, were business
-propositions only. They knew that promises to respect
-the sovereignty of the Sultan were courteous formalities
-of European diplomatists to cloak scandalous
-irregularities—it was in full recognition of the sacred and
-inviolable integrity of Turkey that Disraeli had taken possession
-and assumed the “defence” of Cyprus in 1878!
-Furthermore, experienced imperialists knew full well that
-economic penetration was the foundation of political control.
-As Mr. Lloyd George informed the House of Commons
-in 1911, the kilometric guarantee of the Bagdad
-Railway gave German bankers a firm grip on the public
-treasury in Turkey, and such a hold on the imperial Ottoman
-purse-strings might lead no one could prophesy
-where.<a name="FNanchor_35_288" id="FNanchor_35_288"></a><a href="#Footnote_35_288" class="fnanchor">35</a></p>
-
-<p>British experience in Egypt, however, indicated one
-direction in which it might possibly lead. English control
-in Egypt had been acquired by the most modern and
-approved imperial methods. It was no old-fashioned conquest;
-the procedure was much more subtle than that.
-First, Egypt was weighted down by a great burden of
-debt to British capitalists; then British business men and
-investors acquired numerous privileges and intrenched
-themselves in their special position by virtue of the Anglo-French
-control of Egyptian finance; the “advice” of
-British diplomatists came to possess greater force of law
-than the edicts of the Khedive; “disorders” always could
-be counted upon to furnish an excuse for military conquest
-and annexation, should that crude procedure
-eventually become necessary.<a name="FNanchor_36_289" id="FNanchor_36_289"></a><a href="#Footnote_36_289" class="fnanchor">36</a> Might not <i>Wilhelmstrasse</i>
-tear a leaf out of Downing Street’s book of imperi<span class="pagenum"><a name="Page_202" id="Page_202">202</a></span>al
-experience?</p>
-
-<p>There is a seeming inconsistency in this description of
-the British interests involved in the Bagdad Railway question.
-If British shipping might be seriously injured, if
-the imperial communications were to be endangered, if
-undisputed control of the Persian Gulf was essential to
-the safety of the Empire, if the defence of India was
-to be jeopardized, if a German protectorate might be
-established in Asia Minor—if all these were possibilities,
-how could the Balfour Government afford to temporize
-with the German concessionaires, holding out the hope of
-British assistance? Were Mr. Balfour and Lord Lansdowne
-less fearful for the welfare and safety of the
-Empire than were the newspaper editors? Rather, of
-course, were they convinced that the very best way of
-forestalling any of these developments was to permit
-and encourage British participation in the financing of
-the Bagdad Railway Company.<a name="FNanchor_37_290" id="FNanchor_37_290"></a><a href="#Footnote_37_290" class="fnanchor">37</a> Only thus could British
-trade hope to share in the economic renaissance of the
-Ottoman Empire; only thus could there be British representatives
-on the Board of Directors to insist that the
-<i>Deutsche Bank</i> confine its efforts to the economic development
-of Turkey, excluding all political <i>arrières pensées</i>.
-And it would not have required an imperialist of the experience
-of Mr. Balfour to imagine that dual ownership
-of the Bagdad Railway might have the same ultimate
-outcome as the Dual Control in Egypt. But blind antagonism
-toward Germany prevented the average Englishman
-from seeing the obvious advantages of not abandoning
-the Bagdad Railway to the exclusive control of
-German and French capitalists.</p>
-
-<h3><span class="smcap">British Resistance is Stiffened by the Entente</span></h3>
-
-<p><span class="pagenum"><a name="Page_203" id="Page_203">203</a></span></p>
-<p>One year after the failure of the Bagdad Railway
-negotiations of 1903, the age-old colonial rivalry of France
-and Great Britain was brought to a temporary close by
-the <i>Entente Cordiale</i>. It is not possible, with the information
-now at our disposal, to estimate with any degree
-of accuracy the influence which the Bagdad Railway exerted
-upon British imperialists in the final determination
-to reach an agreement with France. One may agree with
-an eminent French authority, however, that “neither in
-England nor in France is the principle of the understanding
-to be sought. Rather was it the fear of Germany
-which determined England—not only her King and Government,
-but the whole of her people—to draw nearer
-France.”<a name="FNanchor_38_291" id="FNanchor_38_291"></a><a href="#Footnote_38_291" class="fnanchor">38</a> British fear and dislike of Germany were
-founded upon the phenomenal growth of German industry
-and overseas commerce, the rapid expansion of the German
-mercantile marine, the construction of the German
-navy, and the insistence of German diplomatists that
-Germany be not ignored in colonial matters. The Bagdad
-Railway did nothing to quiet those fears. It served,
-rather, to render precarious Britain’s position in the East.</p>
-
-<p>In March, 1903, when the definitive Bagdad Railway
-concession was granted, British imperial affairs were in
-a far from satisfactory state. The termination of the
-Boer War had ended the fear that the British Empire
-might lose its hold on South Africa, but the sharp criticism
-of British conduct toward the Boers—criticism which
-came not only from abroad, but from malcontents at
-home—had dealt a severe blow to British prestige. The
-relentless advance of Russia in China, Persia, and Afghanistan
-gave cause for anxiety as to the safety of Britain’s
-possessions in the Middle and Far East. And although
-France had withdrawn gracefully from the Fashoda affair,
-it was by no means certain that Egypt had seen the last
-of French interference. Added to all of these difficulties
-was the proposed German-owned railway from Constantin<span class="pagenum"><a name="Page_204" id="Page_204">204</a></span>ople
-to the Persian Gulf, flanking the Suez Canal and
-reaching out to the back door of India.</p>
-
-<p>Under such circumstances it was small wonder that
-Great Britain took stock of her foreign policies. The
-Anglo-Japanese Alliance of 1902 already had ended the
-British policy of aloofness, and there appeared to be no
-sound reason against the negotiation of other treaties
-which similarly would strengthen the British position in
-the East. The Bagdad Railway negotiations collapsed,
-but the agreement with France—which seemed far more
-difficult of achievement—was consummated without further
-delay. Three years later, in 1907, Great Britain
-came to an agreement with another of her rivals in the
-East—Russia. The Tsar, chastened by military defeat
-abroad and by revolution at home, recognized a British
-sphere of interest in Persia, relinquished all claims in
-Afghanistan, and acknowledged the suzerainty of China
-over Tibet.<a name="FNanchor_39_292" id="FNanchor_39_292"></a><a href="#Footnote_39_292" class="fnanchor">39</a> The understanding with France had assured
-the safety of the Suez Canal from an attack from the
-Sudan; the agreement with Russia removed the menace
-of an attack upon India from the north and northwest.
-Germany became Great Britain’s only formidable rival
-in the Near East.</p>
-
-<p>Thus the Germans found themselves facing a powerful
-diplomatic obstacle to the construction of the Bagdad
-Railway. Here was another instance, in their minds, of
-the “encirclement” of Germany by a hostile coalition—an
-“encirclement” not only on the Continent, but in a
-German sphere of imperial interest as well. A conspicuous
-German Oriental scholar said that the attitude
-of the other European powers toward the Bagdad Railway
-was the best proof of their enmity toward Germany.
-“Every single kilometre had to be fought for against the
-unyielding opposition of Great Britain, Russia, and<span class="pagenum"><a name="Page_205" id="Page_205">205</a></span>
-France, who desired to frustrate any increase in the
-power of Turkey. Great Britain led and organized this
-opposition because she feared that India and Egypt were
-threatened by the Bagdad Railway.” If one wishes to
-understand the diplomatic history of the War, “he needs
-only to study the struggle for the Bagdad Railway—he
-will find a laboratory full of rich materials.”<a name="FNanchor_40_293" id="FNanchor_40_293"></a><a href="#Footnote_40_293" class="fnanchor">40</a> Here was
-the tragedy of the Bagdad Railway—it was one of a number
-of imperial enterprises which together constituted a
-principal cause of the greatest war of modern times!</p>
-
-<p>There were some ardent British imperialists who were
-out of sympathy with the popular opposition to the Bagdad
-Railway and with the policy of the <i>Entente</i> in obstructing
-the building of the line. Few Englishmen
-were more thoroughly acquainted with the Near East
-than Sir William Willcocks.<a name="FNanchor_41_294" id="FNanchor_41_294"></a><a href="#Footnote_41_294" class="fnanchor">41</a> Basing his opinions upon
-an intimate, scientific study of conditions in Mesopotamia,
-he advocated full British coöperation with the <i>Deutsche
-Bank</i> in the construction of the Bagdad Railway, which
-he considered was the best means of transportation for
-Irak. He criticized the British Government for its short-sighted
-policy in the protection of the Lynch Brothers and
-their antiquated river service; “rivers,” he said, “are for
-irrigation, railways for communications.” Furthermore,
-“You cannot leave the waters of the rivers in their channels
-and irrigate the country with them. For navigation
-you may substitute railway transport; for the purpose of
-irrigation nothing can take the place of water.”<a name="FNanchor_42_295" id="FNanchor_42_295"></a><a href="#Footnote_42_295" class="fnanchor">42</a> He
-believed that adequate irrigation of the Mesopotamian
-Valley would result in such a wave of prosperity for the
-country that it would induce immigration, particularly
-from Egypt and British India. It was not inconceivable,
-under such conditions, that Britain would fall heir to
-ancient Mesopotamia when the Ottoman Empire should
-disintegrate.<a name="FNanchor_43_296" id="FNanchor_43_296"></a><a href="#Footnote_43_296" class="fnanchor">43</a> Sir William Willcocks was neither pacifist
-nor visionary; he, himself, was an empire-builder.</p>
-
-<p><span class="pagenum"><a name="Page_206" id="Page_206">206</a></span></p>
-
-<p>Another British imperialist who believed that Great
-Britain was pursuing entirely the wrong course in obstructing
-German economic penetration in Turkey was
-Sir Harry Johnston, novelist, explorer, lecturer, former
-member of the consular service. He believed in “The
-White Man’s Burden,” in the inevitable overrunning of
-the habitable globe by the Caucasian race. But he believed
-that the task of spreading white civilization to the four
-corners of the earth was such an herculean task, that
-“what we white peoples ought to strive for, with speech
-and pen, is unity of purpose; an alliance throughout all
-the world in this final struggle for mastery over Nature.
-We ought to adjust our ambitions and eliminate causes
-of conflict.” His program for the settlement of the Near
-Eastern question was: “the promotion of peace and goodwill
-among white nations, to start with; and when the
-ambitions and the allotment of spheres of influence have
-been nicely adjusted, then to see that the educational task
-of the Caucasian is carried out in a right, a Christian, a
-practical, and sympathetic fashion towards the other races
-and sub-species of humanity.” Sir Harry believed that
-Great Britain was the last country in the world which
-ought to oppose the legitimate colonial aspirations of any
-other nation. There was every reason for the recognition
-of the economic and moral bases of German expansion,
-and any dog-in-the-manger attitude on the part of British
-statesmen, he was sure, would defeat the highest interests
-of the Empire.<a name="FNanchor_44_297" id="FNanchor_44_297"></a><a href="#Footnote_44_297" class="fnanchor">44</a></p>
-
-<p>Applying his principles to the problem of Teutonic
-aggrandizement in the Ottoman Empire, Sir Harry
-Johnston advocated that the western European nations
-should acknowledge the Austrian <i>Drang nach Osten</i> as
-a legitimate and essential part of the German plans for a
-Central European Federation and for the economic developme<span class="pagenum"><a name="Page_207" id="Page_207">207</a></span>nt
-of Turkey. “The Turkish Sultanate would
-possibly not come to an end, but would henceforth, within
-certain limits, be directed and dominated by German
-councils. Germany in fact would become the power with
-the principal ‘say’ as to the good government and economic
-development of Asia Minor. Syria might be constituted
-as a separate state under French protection, and Judea
-might be offered to the Jews under an international
-guarantee. Sinai and Egypt would pass under avowed
-British protection, and Arabia (except the southern portion,
-which already lies within the British sphere of influence)
-be regarded as a federation of independent Arab
-States. For the rest, Turkey-in-Asia—less Armenia,
-which might be handed over to Russia—would, in fact,
-become to Germany what Egypt is to England—a kingdom
-to be educated, regenerated, and perhaps transfused and
-transformed by the renewed percolation of the Aryan
-Caucasian. Here would be a splendid outlet for the energies
-of both Germany and Austria, sufficient to keep them
-contented, prosperous, busy, and happy, for at least a
-century ahead.” Sir Harry believed that obstructionist
-tactics on the part of Great Britain would promote Prussianism
-within Germany, whereas, on the other hand, a
-frank recognition of Germany’s claims in the Near East
-would provide Central Europe with a safety valve which
-would “relieve pressure on France, Belgium, and Russia,
-paving the way for an understanding on Continental
-questions. Let us—if we wish to be cynical—welcome
-German expansion with Kruger’s metaphor of the tortoise
-putting out his head. Germany and Austria are dangerous
-to the peace of the world only so long as they are penned
-up in their present limits.”<a name="FNanchor_45_298" id="FNanchor_45_298"></a><a href="#Footnote_45_298" class="fnanchor">45</a></p>
-
-<p>One obvious disadvantage of the solution suggested by
-Sir Harry Johnston was its total indifference to the wishes
-of the Ottoman Turks. Apparently it was out of pl<span class="pagenum"><a name="Page_208" id="Page_208">208</a></span>ace
-to consider the welfare of Turkey in a discussion of the
-Bagdad Railway question! Certainly there were very
-few European statesmen who cared the least about the
-opinions of Turks in the disposition of Turkish property.
-Among the few was Viscount Morley, one of the old
-Gladstonian Liberals. Answering Lord Curzon, in the
-House of Lords, March 22, 1911, Lord Morley, a member
-of the Asquith cabinet, asserted the right of the Turks to
-determine their own destinies: “A great deal of nonsense,”
-he said, “is talked about the possible danger to British
-interests which may be involved some day or other when
-this railway is completed, and there have been whimsical
-apprehensions expressed. One is that it will constitute
-a standing menace to Egypt ... because it would establish
-[by junction with the Syrian and Hedjaz railways]
-uninterrupted communication between the Bosporus and
-Western Arabia. <i>That would hardly be an argument for
-Turkey to abandon railway construction on her own soil</i>,
-whereas it overlooks the fact that the Sinai Peninsula intervenes.
-You cannot get over this plain cardinal fact,
-that this railway is made on Turkish territory by virtue
-of an instrument granted by the Turkish Government....
-I see articles in newspapers every day in which it is
-assumed that we have the right there to do what we please.
-That is not so. It is not our soil, it is Turkish soil, and
-the Germans alone are there because the Turkish Government
-has given them the right to be there.”<a name="FNanchor_46_299" id="FNanchor_46_299"></a><a href="#Footnote_46_299" class="fnanchor">46</a></p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_254" id="Footnote_1_254"></a><a href="#FNanchor_1_254"><span class="label">1</span></a> Sir William Andrew, <i>Memoir on the Euphrates Valley Route</i>
-(London, 1857), <i>passim</i>; also <i>The Euphrates Valley Route to
-India</i> (London, 1882); F. R. Chesney, <i>Narrative of the Euphrates
-Expedition</i> (London, 1868); <i>The Proposed Imperial Ottoman
-Railway</i>, a prospectus issued by the promoters (London, 1857);
-F. von Koeppen, <i>Moltke in Kleinasien</i> (Hanover, 1883).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_255" id="Footnote_2_255"></a><a href="#FNanchor_2_255"><span class="label">2</span></a> <i>Cf.</i> article “Suez Canal” in <i>Encyclopedia Britannica</i>, Volume
-26, p. 23. How similar were these objections to those subsequently<span class="pagenum"><a name="Page_209" id="Page_209">209</a></span>
-advanced in opposition to the Bagdad Railway! <i>Cf.</i>,
-<i>e. g.</i>, a statement by Lord Curzon, <i>Parliamentary Debates, House
-of Lords, fifth series</i>, Volume 7 (1911), pp. 583 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_256" id="Footnote_3_256"></a><a href="#FNanchor_3_256"><span class="label">3</span></a> Andrew, <i>Memoir on the Euphrates Valley Route</i>, p. 225.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_257" id="Footnote_4_257"></a><a href="#FNanchor_4_257"><span class="label">4</span></a> <i>Parliamentary Debates, House of Lords</i>, fourth series, Volume
-121 (1903), p. 1345; “The Bagdad Railway Negotiations,” in
-<i>The Quarterly Review</i>, Volume 228 (1917), pp. 489–490; Baron
-Kuhn von Kuhnenfeld, <i>The Strategical Importance of the Euphrates
-Valley Railway</i> (English translation by Sir C. W.
-Wilson, London, 1873); V. L. Cameron, <i>Our Future Highway
-to India</i>, 2 volumes (London, 1880); A. Bérard, <i>La route de
-l’Inde par la vallée du Tigre et de l’Euphrate</i> (Lyons, 1887);
-F. Jones, <i>The Direct Highway to the East considered as the
-Perfection of Great Britain’s duties toward British India</i> (London,
-1873).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_258" id="Footnote_5_258"></a><a href="#FNanchor_5_258"><span class="label">5</span></a> <i>Supra</i>, pp. 66–67.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_259" id="Footnote_6_259"></a><a href="#FNanchor_6_259"><span class="label">6</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 120
-(1903), pp. 1247–1248, 1358, 1361, 1364–1367, 1371–1374.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_260" id="Footnote_7_260"></a><a href="#FNanchor_7_260"><span class="label">7</span></a> Lord Mount Stephen had been president of the Canadian
-Pacific Railway and of the Bank of Montreal. Lord Revelstoke
-was senior partner in the firm of Baring Brothers &amp; Company
-and a director of the Bank of England.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_261" id="Footnote_8_261"></a><a href="#FNanchor_8_261"><span class="label">8</span></a> The participation of the three Great Powers was to be on the
-basis of 25–25–25%, 15% was to be reserved for minor groups,
-and 10% for the Anatolian Railway Company. The provisions
-of Article 12 of the concession of 1903 were to be amended to
-establish a board of directors of 30, upon which each of the
-principal participants should be represented by 8 members. The
-remaining 6 members of the board were to be designated by the
-Ottoman Government and the Anatolian Railway Company. The
-directors were to be appointed by the original subscribers so that
-sale or transfer of shares could not alter the proportionate representation
-thus agreed upon.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_262" id="Footnote_9_262"></a><a href="#FNanchor_9_262"><span class="label">9</span></a> For the facts in this and the succeeding paragraph the author
-is indebted to Dr. Arthur von Gwinner, managing director of the
-<i>Deutsche Bank</i>; and to Sir Henry Babington Smith, erstwhile
-chairman of the Ottoman Public Debt Administration, a partner
-of Sir Ernest Cassel, president of the National Bank of Turkey,
-and a director of the Bank of England. Dr. von Gwinner
-placed at the disposal of the author many of the records of the
-<i>Deutsche Bank</i> and of the Bagdad Railway Company, and Sir
-Henry Babington Smith graciously volunteered to answer many
-puzzling questions.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_263" id="Footnote_10_263"></a><a href="#FNanchor_10_263"><span class="label">10</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 121
-(1903), pp. 271–272.</p></div>
-<p><span class="pagenum"><a name="Page_210" id="Page_210">210</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_11_264" id="Footnote_11_264"></a><a href="#FNanchor_11_264"><span class="label">11</span></a> The British banking houses interested in the Bagdad enterprise
-were Baring Brothers, Sir Ernest Cassel, and Morgan-Grenfell
-Company. <i>Cf.</i> <i>The Westminster Gazette</i>, April 24,
-1903; <i>Stenographische Berichte, XII Legislaturperiode, 2 Session</i>,
-Volume 260 (1910), p. 2181d. The bankers, of course, were not
-bound by the decision of the Cabinet to withdraw from the
-negotiations; they still would have been at liberty to invest in
-Bagdad Railway securities, as did the French bankers. However,
-it has been the practice of British financiers to accept the
-“advice” of the Foreign Office in the case of loans which may
-lead to international complications. An analogous case in
-American experience was the decision of prominent New York
-financial institutions to withdraw from the Chinese consortium
-in 1913 because of the avowed opposition of President Wilson
-to the terms of the loan contract.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_265" id="Footnote_12_265"></a><a href="#FNanchor_12_265"><span class="label">12</span></a> <i>The Nineteenth Century</i>, Volume 65 (1909), pp. 1090–1091.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_266" id="Footnote_13_266"></a><a href="#FNanchor_13_266"><span class="label">13</span></a> <i>Supra</i>, pp. 30, 59–60.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_267" id="Footnote_14_267"></a><a href="#FNanchor_14_267"><span class="label">14</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 120,
-pp. 1360–1361; Volume 126, p. 108. The opinions of Mr. Gibson
-Bowles were not cordially received by <i>The Scotsman</i>, which said,
-April 9, 1903, “Mr. Gibson Bowles carried the House in imagination
-to the banks of the Euphrates and Tigris. Germany is there
-seeking by means of a railway to supersede our trade, and to
-serve herself heir to the wealth and empire of ancient Babylon
-and Assyria. The member for King’s Lynn was, as usual, not
-very well posted up on his facts. On this occasion he was so
-entirely wrong-headed that no one on the opposition bench would
-agree with him.... The outstanding moral of the debate was,
-indeed, that the honorable member for King’s Lynn was much in
-want of a holiday.”</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_268" id="Footnote_15_268"></a><a href="#FNanchor_15_268"><span class="label">15</span></a> Fraser, <i>op. cit.</i>, pp. 42–43. The senior member of the firm
-of Lynch Brothers was H. F. B. Lynch (1862–1913), who was
-widely known as an authority on the Near East and who, as a
-Liberal member of Parliament, 1906–1910, was able to call official
-attention to the necessity for safeguarding British interests in
-Persia and Mesopotamia. That he succeeded in convincing the
-Government of the importance of his navigation concession is
-evidenced by the vigorous protests filed by the British Government
-with the Young Turks in 1909, when the latter attempted
-to operate competing vessels on the Tigris and the Shatt-el-Arab.
-On this point see <i>Stenographische Berichte, XII Legislaturperiode,
-2 Session</i>, Volume 260 (1910), pp. 2174d <i>et seq.</i> Again
-in 1913–1914, the British Government refused to consider any
-settlement of the Bagdad Railway question which did not adequately
-protect the interests of the Lynch Brothers. <i>Infra</i>, pp.
-258–265. Mr. Lynch, however, was not an irreconcilable opponent<span class="pagenum"><a name="Page_211" id="Page_211">211</a></span>
-of the <i>Deutsche Bank</i>. He took the point of view that the Germans
-had rendered Turkey a great service by the construction
-of the Anatolian Railways because of the total lack of natural
-means of communication in the Anatolian plateau. He urged
-that they were making a great mistake, however, to extend the
-Anatolian system into Mesopotamia, where the Tigris and Euphrates
-provided natural and logical avenues of trade for the
-Valley of the Two Rivers. In Mesopotamia, he maintained,
-what was needed was a development of the river traffic, not the
-construction of railways. <i>Cf.</i> H. F. B. Lynch, “The Bagdad
-Railway,” <i>Fortnightly Review</i>, March 1, 1911, pp. 384–386.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_269" id="Footnote_16_269"></a><a href="#FNanchor_16_269"><span class="label">16</span></a> It will be recalled that the Hamburg-American Line established
-a Persian Gulf service in 1906. <i>Supra</i>, pp. 108–109. Regarding
-the activities of British shipping and commercial interests
-in opposing the Bagdad Railway see <i>Diplomatic and Consular
-Reports</i>, No. 2950 (1902), pp. 25 <i>et seq.</i>, No. 3140 (1904), pp. 24
-<i>et seq.</i>; <i>The Times</i>, April 24, 1903.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_270" id="Footnote_17_270"></a><a href="#FNanchor_17_270"><span class="label">17</span></a> G. N. Curzon, <i>Persia and the Persian Question</i> (2 volumes,
-London, 1892), Volume I, p. 635; a similar view was set forth
-by Sir Thomas Sutherland, of the P. &amp; O., in a letter to <i>The
-Times</i>, April 27, 1903.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_271" id="Footnote_18_271"></a><a href="#FNanchor_18_271"><span class="label">18</span></a> E. Banse, <i>Auf den Spuren der Bagdadbahn</i> (Weimar, 1913),
-Chapter XI, <i>Die Wahrheit über die Bagdadbahn</i>, a critical analysis
-of the value of the Railway in Eastern trade, pp. 145–146.
-<i>Cf.</i>, also, Dr. R. Hennig, “Der verkehrsgeographische Wert des
-Suez- und des Bagdad-Weges,” in <i>Geographische Zeitschrift</i>,
-Volume 22 (1916), pp. 649–656.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_272" id="Footnote_19_272"></a><a href="#FNanchor_19_272"><span class="label">19</span></a> <i>Specifications</i>, Articles 24–25. It might be added that the
-Company loyally observed this restriction; C. W. Whittall &amp; Co.,
-largest British merchants in Turkey so testified. <i>Anatolia</i>, p.
-103; von Gwinner, <i>loc. cit.</i>, p. 1090. Sir Edward Grey said no
-complaints of discrimination against British goods had come to
-the attention of the Foreign Office. <i>Parliamentary Debates,
-House of Commons,</i> 5 Series, Volume 53 (1913), pp. 392–393.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_273" id="Footnote_20_273"></a><a href="#FNanchor_20_273"><span class="label">20</span></a> <i>Diplomatic and Consular Reports</i>, No. 3140, p. 30.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_274" id="Footnote_21_274"></a><a href="#FNanchor_21_274"><span class="label">21</span></a> Consider the dedication of Lord Curzon’s <i>Persia and the
-Persian Question</i>: “To the officials, military and civil, in India,
-whose hands uphold the noblest fabric yet reared by the genius
-of a conquering nation, I dedicate this work, the unworthy tribute
-of the pen to a cause, which by justice or the sword, it is their
-high mission to defend, but whose ultimate safeguard is the
-spirit of the British people.”</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_275" id="Footnote_22_275"></a><a href="#FNanchor_22_275"><span class="label">22</span></a> Woolf, <i>op. cit.</i>, p. 24.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_276" id="Footnote_23_276"></a><a href="#FNanchor_23_276"><span class="label">23</span></a> Regarding the Anglo-Russian rivalry in the Middle East, <i>cf.</i>
-Rose, <i>op. cit.</i>, Part II, Chapters I-IV; Curzon, <i>Persia and the
-Persian Question</i>, Volume II, Chapter XXX.</p></div>
-<p><span class="pagenum"><a name="Page_212" id="Page_212">212</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_24_277" id="Footnote_24_277"></a><a href="#FNanchor_24_277"><span class="label">24</span></a> See a statement by Lord Lansdowne, in the House of Lords,
-<i>Parliamentary Debates</i>, fourth series, Volume 121 (1903), p.
-1347, and a statement by Lord Curzon, <i>ibid.</i>, fifth series, Volume
-7 (1911), pp. 583–587; also Curzon, <i>Persia and the Persian Question</i>,
-Volume II, Chapter XXVII. The strategic importance of
-the Persian Gulf to the British Empire was realized by foreign
-observers, as well as by English statesmen. Writing in 1902,
-Admiral A. T. Mahan, an American, said, “The control of the
-Persian Gulf by a foreign state of considerable naval potentiality,
-a ‘fleet in being’ there based upon a strong military port,
-would reproduce the relations of Cadiz, Gibraltar, and Malta to
-the Mediterranean. It would flank all the routes to the farther
-East, to India, and to Australia, the last two actually internal
-to the Empire, regarded as a political system; and although at
-present Great Britain unquestionably could check such a fleet,
-so placed, by a division of her own, it might well require a
-detachment large enough to affect seriously the general strength
-of her naval position.” A. T. Mahan, <i>Retrospect and Prospect</i>
-(New York, 1902), pp. 224–225. Lord Curzon is said to have
-remarked that he “would not hesitate to indict as a traitor to
-his country any British minister who would consent to a foreign
-Power establishing a station on the Persian Gulf.” A. J. Dunn,
-<i>British Interests in the Persian Gulf</i> (London, 1907), p. 7. See
-also <i>The Persian Gulf</i> (No. 76 of the Foreign Office Handbooks);
-<i>Handbook of Arabia</i>, Volume I (Admiralty Intelligence
-Division, London, 1916); Lovat Fraser, <i>India under Curzon and
-After</i> (London, 1911).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_278" id="Footnote_25_278"></a><a href="#FNanchor_25_278"><span class="label">25</span></a> <i>Parliamentary Debates, House of Lords</i>, fourth series,
-Volume 121 (1903), pp. 1347–1348. Two observations should be
-made regarding this quotation. First, it is included in every
-book I have consulted on the Bagdad Railway, written since
-1903, but in every instance the last sentence has been omitted—a
-sentence which considerably alters the spirit of the statement.
-Second, the German press, at the time, considered that the warning
-was directed, not at the Bagdad Railway, but at the rapid
-and alarming advance of Russia in Persia. <i>Cf.</i> an analysis of
-foreign press comments in an article by J. I. de La Tour, “Le
-chemin de fer de Bagdad et l’opinion anglaise,” in <i>Questions
-diplomatiques et coloniales</i>, Volume 15 (1903), pp. 609–614—an
-excellent digest.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_279" id="Footnote_26_279"></a><a href="#FNanchor_26_279"><span class="label">26</span></a> <i>Cf.</i> a statement by Lord Cranborne, Under-Secretary of State
-for Foreign Affairs, in <i>Parliamentary Debates, House of Commons</i>,
-fourth series, Volume 101 (1902), p. 129. Although he
-was less than forty years of age at the time of his appointment
-as Governor-General of India (1898), the Right Honorable
-George Nathaniel Curzon, Baron Curzon of Kedleston, even at<span class="pagenum"><a name="Page_213" id="Page_213">213</a></span>
-that early age, had had wide experience and training of the type
-so common among the masters of British imperial destiny. He
-was educated at Eton and Oxford, and he traveled widely in the
-Near East. He served as a member of Parliament from 1886
-until 1898. He was Under-Secretary of State for India, 1891–1892;
-Under-Secretary of State for Foreign Affairs, 1895–1898;
-Privy Councillor, 1895.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_280" id="Footnote_27_280"></a><a href="#FNanchor_27_280"><span class="label">27</span></a> <i>Supra</i>, p. 34; <i>The Annual Register</i>, 1901, pp. 304–305; K.
-Helfferich, <i>Die Vorgeschichte des Weltkrieges</i>, p. 129.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_281" id="Footnote_28_281"></a><a href="#FNanchor_28_281"><span class="label">28</span></a> Viscount Haldane, <i>Before the War</i> (London, 1920), pp. 48–51;
-Viscount Morley, <i>Recollections</i> (New York, 1917), p. 238.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_282" id="Footnote_29_282"></a><a href="#FNanchor_29_282"><span class="label">29</span></a> <i>Infra</i>, pp. 239–244; <i>Parliamentary Debates, House of Lords</i>,
-fifth series, Volume 7 (1911), pp. 583–587, 589. It is interesting
-to contrast this opinion of a German trans-Mesopotamian railway
-with that held by the same man when it was proposed that
-British capitalists should construct such a line. Writing in
-1892, Lord Curzon had this to say regarding the project: “Its
-superficial attractions judiciously dressed up in a garb of
-patriotism, were such as to allure many minds; and I confess
-to having felt, without ever having succumbed to, the fascination.
-Closer study, however, and a visit to Syria and Mesopotamia
-have convinced me both that the project is unsound, and
-that it does not, for the present, at any rate, lie within the
-domain of practical politics.” Lord Curzon believed that a
-Mesopotamian railway would be practically valueless for military
-purposes: “The temperature of these sandy wastes is excessively
-torrid and trying during the summer months and I decline to
-believe that during half the year any general in the world would
-consent to pack his soldiers into third class carriages for conveyance
-across those terrible thousand miles, at least if he
-anticipated using them in any other capacity than as hospital
-inmates at the end.” <i>Persia and the Persian Question</i>, Volume
-I, pp. 633–635.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_283" id="Footnote_30_283"></a><a href="#FNanchor_30_283"><span class="label">30</span></a> <i>Parliamentary Debates, House of Commons</i>, fifth series,
-Volume 21 (1911), pp. 241–242.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_284" id="Footnote_31_284"></a><a href="#FNanchor_31_284"><span class="label">31</span></a> <i>Infra</i>, pp. 258–265.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_285" id="Footnote_32_285"></a><a href="#FNanchor_32_285"><span class="label">32</span></a> For the views of a typical British imperialist on the Persian
-situation, <i>cf.</i>, Curzon, <i>Persia and the Persian Question</i>, Volume
-II, Chapter XXX; a later account is that of the American, W.
-Morgan Shuster, <i>The Strangling of Persia</i> (New York, 1912);
-<i>cf.</i>, also, H. F. B. Lynch, “Railways in the Middle East,” in
-<i>Proceedings of the Central Asian Society</i> (London), March 1,
-1911.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_286" id="Footnote_33_286"></a><a href="#FNanchor_33_286"><span class="label">33</span></a> See P. Rohrbach, <i>Die Bagdadbahn</i>, p. 18; Reventlow, <i>op. cit.</i>,
-pp. 338–343. That Rohrbach’s frank avowal of the menace of
-the Bagdad Railway to India and Egypt was not without influence
-in Great Britain is evidenced by the fact that long quotations<span class="pagenum"><a name="Page_214" id="Page_214">214</a></span>
-from <i>Die Bagdadbahn</i> were read into the records of the
-House of Commons by the Earl of Ronaldshay, on March 23,
-1911. <i>Parliamentary Debates</i>, fifth series, Volume 23, p. 628.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_287" id="Footnote_34_287"></a><a href="#FNanchor_34_287"><span class="label">34</span></a> Herr Scheidemann, in an eloquent speech to the Reichstag,
-March 30, 1911, pleaded with the German Government to be
-sympathetic with the position in which Great Britain found herself.
-No nation with the imperial responsibilities of Great
-Britain could afford to neglect to take precautionary steps against
-the possibility of the Bagdad Railway being used as a weapon
-of offense against Egypt, the Suez Canal, and India. “Complications
-upon complications,” he said, “are certain to arise as
-a result of the construction of the Bagdad Railway. But we
-expect of our Government, at the very least, that in the course
-of protecting the legitimate German economic interests which
-are involved in the Bagdad Railway, it will leave no stone unturned
-to prevent the development of Anglo-German hostility
-over the matter. We want to do everything possible to effect
-a thorough understanding with England. Only by such a policy
-can we hope to quiet the fears of British imperialists that the
-Railway is a menace to the Empire.” <i>Stenographische Berichte,
-XII Legislaturperiode, 2 Session</i>, Volume 266 (1911), pp. 5980c-5984b.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_288" id="Footnote_35_288"></a><a href="#FNanchor_35_288"><span class="label">35</span></a> <i>Parliamentary Debates, House of Commons</i>, fifth series,
-Volume 21 (1911), pp. 241–242.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_289" id="Footnote_36_289"></a><a href="#FNanchor_36_289"><span class="label">36</span></a> <i>Cf.</i> H. N. Brailsford, <i>The War of Steel and Gold</i>, Chapter
-III, “The Egyptian Model.”</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_290" id="Footnote_37_290"></a><a href="#FNanchor_37_290"><span class="label">37</span></a> <i>Supra</i>, pp. 181–182.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_291" id="Footnote_38_291"></a><a href="#FNanchor_38_291"><span class="label">38</span></a> André Tardieu, <i>France and the Alliances</i> (New York, 1908),
-p. 46. For M. Tardieu’s analysis of the causes of the growing
-Anglo-German hostility, <i>cf.</i> pp. 48–57. It was in the latter part
-of April, 1903, that the Bagdad Railway negotiations fell through.
-In May, Edward VII paid an official visit to Paris; in October,
-an arbitration agreement was signed by France and Great Britain.
-The following spring the treaties constituting the Entente Cordiale
-were executed. Sir Thomas Barclay, <i>Thirty Years’ Reminiscences</i>
-(London, 1906), pp. 175 <i>et seq.</i> For the text of these
-agreements <i>cf.</i> <i>Parliamentary Papers</i>, Volume 103 (1905), No.
-Cd. 2384.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_292" id="Footnote_39_292"></a><a href="#FNanchor_39_292"><span class="label">39</span></a> For the text of the Anglo-Russian Entente, <i>cf.</i> <i>British and
-Foreign State Papers</i>, Volume 100, pp. 555 <i>et seq.</i> Regarding
-the nature of the Anglo-Russian rivalry in the Middle East and
-the effect of the Bagdad Railway in hastening a settlement of
-that rivalry, <i>cf.</i> Edouard Driault, <i>La question d’Orient depuis
-ses origines jusqu’à la paix de Sèvres</i> (Paris, 1921), Chapter
-VIII, and pp. 273 <i>et seq.</i>; also Tardieu, <i>op. cit.</i>, pp. 239–252, and
-Curzon, <i>op. cit.</i>, Volume II, Chapter XXX.</p>
-
-<p><span class="pagenum"><a name="Page_215" id="Page_215">215</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_293" id="Footnote_40_293"></a><a href="#FNanchor_40_293"><span class="label">40</span></a> Ernst Jäckh, <i>Die deutsch-türkische Waffenbrüderschaft</i>
-(Stuttgart, 1915), pp. 17–18.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_294" id="Footnote_41_294"></a><a href="#FNanchor_41_294"><span class="label">41</span></a> Sir William Willcocks (1852- ) is one of the foremost
-authorities on Egypt, India, and Mesopotamia. As a young man
-he was employed in India by the Department of Public Works
-and for a period of eleven years, 1872–1883, was engaged in the
-construction of the famous irrigation works there. From 1883–1893,
-he was employed in a similar capacity by the Egyptian
-Public Works and was largely responsible for the development
-of irrigation in the Nile Valley. In 1898, he planned and projected
-the Assuan Dam, which turned out to be the greatest
-irrigation work in the East. In 1909, Sir William Willcocks
-became consulting engineer to the Ottoman Ministry of Public
-Works, and was responsible for the construction, 1911–1913, by
-the British firm of Sir John Jackson, Ltd., of the famous Hindie
-barrage, the first step in the irrigation of the Valley of the Two
-Rivers.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_42_295" id="Footnote_42_295"></a><a href="#FNanchor_42_295"><span class="label">42</span></a> <i>Mesopotamia</i>, p. 54, and <i>The Geographical Journal</i>, August,
-1912.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_43_296" id="Footnote_43_296"></a><a href="#FNanchor_43_296"><span class="label">43</span></a> <i>The Recreation of Chaldea</i> (Cairo, 1902). This suggestion
-led to the absurd charge by Dr. Rohrbach that Sir William Willcocks
-was actively promoting the establishment of a British
-colonial empire in southern Mesopotamia. <i>German World Policies</i>,
-pp. 160–161. <i>Cf.</i>, also, <i>Diplomatic and Consular Reports</i>,
-No. 3140 (1903), p. 27.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_44_297" id="Footnote_44_297"></a><a href="#FNanchor_44_297"><span class="label">44</span></a> H. H. Johnston, <i>Common Sense in Foreign Policy</i> (London,
-1913), pp. v-vii. A similar opinion was expressed by Colonel
-A. C. Yate, at a meeting of the Central Asian Society, May 22,
-1911. In answer to an alarmist paper on the Bagdad Railway
-which had been read to the society by André Chéradame, Colonel
-Yate made a spirited speech in which he warned his countrymen
-that M. Chéradame proposed that they should follow the same
-mistaken policy which had guided Lord Palmerston in resistance
-to the construction of the Suez Canal. “We cannot pick up
-every day,” he said, “a Lord Beaconsfield, who will repair the
-errors of his blundering predecessors.... Because the German
-Emperor and his instruments have adopted and put into practice
-the plans which Great Britain rejected [for a trans-Mesopotamian
-railway], we are now, forsooth, to pursue a policy which savours
-partly of ‘sour grapes’ and partly of ‘dog-in-the-manger,’ and
-which in either aspect will do nothing to strengthen British hands
-and promote British interests.” <i>Proceedings of the Central Asian
-Society</i> (London), May 22, 1911, p. 19.</p></div>
-
-<p><span class="pagenum"><a name="Page_216" id="Page_216">216</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_45_298" id="Footnote_45_298"></a><a href="#FNanchor_45_298"><span class="label">45</span></a> Johnston, <i>op. cit.</i>, pp. 50–51, 61. Sir Harry Johnston made
-an extended lecture tour through Germany during 1912 for the
-purpose of promoting Anglo-German friendship. For details of
-this trip see Schmitt, <i>op. cit.</i>, pp. 355–356. It is interesting to
-note how nearly Sir Harry’s proposals corresponded with the
-terms of the treaties of <span class="pagenum"><a name="Page_217" id="Page_217">217</a></span>1913–1914. <i>Infra</i>, Chapter X. For a
-similar point of view, <i>cf.</i> Angus Hamilton, <i>Problems of the
-Middle East</i> (London, 1909), pp. 178–180.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_46_299" id="Footnote_46_299"></a><a href="#FNanchor_46_299"><span class="label">46</span></a> <i>Parliamentary Debates, House of Lords</i>, fifth series, Volume
-7 (1911), pp. 601–602. The italics are mine.</p></div>
-
-<hr />
-
-<h2>CHAPTER IX<br />
-
-THE YOUNG TURKS ARE WON OVER</h2>
-
-<h3><span class="smcap">A Golden Opportunity Presents Itself to the
-Entente Powers</span></h3>
-
-<p>The Young Turk revolutions of 1908 and 1909, which
-ended the reign of Abdul Hamid in the Ottoman Empire,
-offered France and Great Britain an unprecedented opportunity
-to assume moral and political leadership in the
-Near East. Many members of the Committee of Union
-and Progress, the revolutionary party, had been educated
-in western European universities—chiefly in Paris—and
-had come to be staunch admirers of French and English
-institutions. “Liberty, Equality, Fraternity,” the slogan
-of Republican France, became the watch-cry of the new
-era in Turkey. Parliamentary government and ministerial
-responsibility under a constitutional monarch, the
-political contribution of Britain to Western civilization,
-became the aim of the reformers at Constantinople. The
-Ottoman Empire was to be modernized politically, industrially,
-and socially according to the best of western
-European traditions.<a name="FNanchor_1_300" id="FNanchor_1_300"></a><a href="#Footnote_1_300" class="fnanchor">1</a></p>
-
-<p>Into this scheme of things German influence fitted not
-at all. From the Young Turk point of view the Kaiser
-was an autocrat who not only had blocked democ<span class="pagenum"><a name="Page_218" id="Page_218">218</a></span>ratic reform
-in Germany, but also had propped up the tottering
-regime of Abdul Hamid and thus had aided suppression of
-liberalism in the Ottoman Empire. As for Baron Marschall
-von Bieberstein, he had hobnobbed with the ex-Sultan
-and was considered as much a representative of
-the old order of things as Abdul Hamid himself. As Dr.
-Rohrbach described the situation, “the Young Turks,
-liberals of every shade, believed that Germany had been
-a staunch supporter of Abdul Hamid’s tyrannical government
-and that the German influence constituted a decided
-danger for the era of liberalism. That thought was
-zealously supported by the English and French press in
-Constantinople. The Young Turkish liberalism showed
-in the beginning a decided leaning toward a certain form
-of Anglomania. England, the home of liberty, of parliaments,
-of popular government—such were the catch
-phrases promulgated in the daily papers.”<a name="FNanchor_2_301" id="FNanchor_2_301"></a><a href="#Footnote_2_301" class="fnanchor">2</a></p>
-
-<p>German prestige suffered still further because of the
-unseemly conduct of Germany’s allies toward the Young
-Turk Government. The revolution of 1908 was less than
-three months old when Austria-Hungary annexed Bosnia-Herzegovina.
-Almost simultaneously, Ferdinand of
-Bulgaria—presumably at the instigation and with the connivance
-of Austria—declared the independence of Bulgaria
-from the Sultan and assumed for himself the title
-of tsar. To cap the climax, Italy was intriguing in Tripoli
-and Cyrenaica with a view to the eventual seizure of those
-provinces. Baron Marschall found it impossible to explain
-away these hostile moves of the allies of Germany,
-and he protested vehemently against the failure of the
-Foreign Office at Berlin to restrain Austria-Hungary and
-Italy. He warned Prince von Bülow that vigorous action
-must be taken if Germany’s influence in the Near East
-were not to be totally destroyed.<a name="FNanchor_3_302" id="FNanchor_3_302"></a><a href="#Footnote_3_302" class="fnanchor">3</a></p>
-
-<p>The decline of German prestige at Constantinople could<span class="pagenum"><a name="Page_219" id="Page_219">219</a></span>
-not have been without effect upon the Bagdad Railway
-and the other activities of the <i>Deutsche Bank</i>. The Bagdad
-enterprise, in fact, was looked upon as a concrete manifestation
-of German hegemony at the Sublime Porte and as
-the crowning achievement of the friendship of those two
-autocrats of the autocrats, Abdul Hamid and William II.
-As such, it was certain to draw the fire of the reformers.
-The concession of 1903 had never been published in Turkey.
-Only fifty copies had been printed, and these had
-been distributed only among high officials of the Palace,
-the Sublime Porte, and the Ministries of War, Marine,
-and Public Works. It was generally supposed by the
-Union and Progress party, therefore, that the summaries
-published in the European press were limited to what the
-Sultan chose to make public. “The secrecy which thus
-enveloped the Bagdad Railway concession gave rise to
-the conviction that the contract contained, apart from detrimental
-financial and economic clauses, provisions which
-endangered the political independence of the State.”<a name="FNanchor_4_303" id="FNanchor_4_303"></a><a href="#Footnote_4_303" class="fnanchor">4</a>
-And Young Turks were determined to tolerate no such
-additional limitations on the sovereignty of their country.</p>
-
-<p>The opening, in the autumn of 1908, of the first parliament
-under the constitutional regime in Turkey gave the
-opponents of the Bagdad Railway their chance. A bitter
-attack on the project—in which hardly a single provision
-of the contract of 1903 escaped scathing criticism—was
-delivered by Ismail Hakki Bey, representative from Bagdad,
-editor of foreign affairs for a well-known reform
-journal, and a prominent member of the Union and Progress
-party. Hakki Bey denounced the Railway as a
-political and economic monstrosity which could have been
-possible only under an autocratic and corrupt government;
-in any event, he believed, it could have no place in the
-New Turkey. He proposed complete repudiation of the
-existing contracts with the <i>Deutsche Bank</i>. In this proposal
-he received considerable support from other me<span class="pagenum"><a name="Page_220" id="Page_220">220</a></span>mbers
-of the parliament.</p>
-
-<p>An equally ringing, but more reasoned, speech was delivered
-by the talented Djavid Bey, subsequently to become
-Young Turk Minister of Finance. He agreed that
-the concession of 1903 infringed upon the economic and
-administrative independence of the Ottoman Empire; he
-condemned the scheme of kilometric guarantees as an
-unwarranted and indefensible drain upon the Treasury;
-he denounced the preponderance of strategic over business
-considerations in the construction of the line; he made it
-plain that he had no wish to see the extension of German
-influence in Turkey. He believed that the Bagdad concession
-should be revised in the interest of Ottoman
-finance and Ottoman sovereignty. But there must be no
-repudiation. “We must accept the Bagdad Railway
-contract, because there should exist a continuity and
-a solidarity between generations and governments. If
-a revolutionary government remains true to the obligations
-of its predecessor—even if those obligations be
-contracted by a government of the worst and most
-despotic kind—it will arouse among foreigners admiration
-of the moral sense of the nation and will
-accordingly increase public confidence. Just now, more
-than at any other time in our history, we Turks
-need the confidence of the world.” Everything should
-be done to effect a revision of the Bagdad Railway concession,
-however, and a firm resolve should be taken never
-again to commit the nation to such an engagement.</p>
-
-<p>The anti-German and pro-Entente proclivities of the
-Young Turks were expressed in tangible ways. In 1909,
-for example, the Ottoman Navy was placed under the
-virtual command of a British admiral, and British officers
-continued to exercise comprehensive powers of administration
-over the ships and yards almost to the declaration<span class="pagenum"><a name="Page_221" id="Page_221">221</a></span>
-of war in 1914. In 1909, also, Sir Ernest Cassel accepted
-an invitation to establish the National Bank of Turkey,
-for the purpose of promoting more generous investment
-of British capital in the Ottoman Empire. During the
-same year Sir William Willcocks was appointed consulting
-engineer to the Minister of Public Works, and his
-plans for the irrigation of Mesopotamia were put into
-immediate operation. Sir Richard Crawford, a British
-financier, was appointed adviser to the Minister of
-Finance; a British barrister was made inspector-general
-of the Ministry of Justice; a member of the British consular
-service became inspector-general of the Home Office.
-Later, serious consideration was given to a proposal to
-invite Lord Milner to head a commission to suggest reforms
-in the political and economic administration of
-Anatolia. A French officer was made inspector-general
-of the gendarmerie. In June, 1910, a French company
-was awarded a valuable concession for the construction
-of a railway from Soma to Panderma, and the following
-year the lucrative contract for the telephone service in
-Constantinople was granted to an Anglo-French syndicate.<a name="FNanchor_5_304" id="FNanchor_5_304"></a><a href="#Footnote_5_304" class="fnanchor">5</a></p>
-
-<p>The Young Turk Government likewise was desirous
-of doing everything possible to remove French and British
-objections to the construction of railways in the Ottoman
-Empire. With this end in view they prevailed upon Dr.
-von Gwinner to reopen negotiations with Sir Ernest Cassel
-regarding British participation in the Bagdad Railway,
-and they secured the consent of the <i>Deutsche Bank</i> to a
-rearrangement of the terms of the concession of 1903.
-The latter was to be undertaken in accordance with
-British wishes and with due regard to the financial situation
-of Turkey. This was followed up, on November 8,
-1909, by a formal request of the Ottoman ambassador at
-London for a statement of the terms upon which the
-British Government would withdraw its diplomatic objections
-to the Bagdad enterprise. Simultaneously negotiat<span class="pagenum"><a name="Page_222" id="Page_222">222</a></span>ions
-were initiated for “compensations” to French
-interests, represented by the Imperial Ottoman Bank.</p>
-
-<p>Until the end of the year 1909, then, the political situation
-in the Ottoman Empire under the revolutionary government
-had been almost altogether to the advantage of
-the Entente Powers. During 1910, however, German
-prestige began to revive in the Near East, and by the
-spring of 1911 German influence in Turkey had won
-back its former preëminent position.</p>
-
-<h3><span class="smcap">The Germans Achieve a Diplomatic Triumph</span></h3>
-
-<p>The Young Turk program, in its political aspects, was
-not only liberal, but nationalist. In the fresh enthusiasm
-of the early months of the revolution, emphasis was laid
-upon modernizing the political institutions of the empire—parliamentary
-government and ministerial responsibility
-and equality before the law were the concern of
-the reformers. As time went on, however, liberalism was
-eclipsed by nationalism and modernizing by Ottomanizing.
-By the autumn of 1909 Turkish nationalist activities were
-in full swing. Revolts in Macedonia and Armenia were
-suppressed with an iron hand; there were massacres in
-Adana and elsewhere in Anatolia and Cilicia; restrictions
-were imposed upon personal liberties and upon freedom
-of the press; martial law was declared. Pan-Turkism
-and Pan-Islamism were revived as political movements.<a name="FNanchor_6_305" id="FNanchor_6_305"></a><a href="#Footnote_6_305" class="fnanchor">6</a></p>
-
-<p>The development of an aggressive Turkish nationalism
-was not viewed with equanimity by the Entente nations.
-The newspapers of France and England roundly denounced
-the Adana massacres and came to adopt a hostile
-attitude toward the Young Turk Revolution, which only
-a short time previously they had extravagantly praised.
-Great Britain looked with apprehension upon <span class="pagenum"><a name="Page_223" id="Page_223">223</a></span>Ottoman
-support of the nationalist movements in Egypt and India,
-and France was disturbed at the prospect of a Pan-Islamic
-revival in Tunis, Algeria, and Morocco. Russia demanded
-“reform” in Macedonia and Armenia and encouraged
-anti-Turk propaganda in the Balkans. English
-interference in Cretan affairs and British support of the
-insolent Sheik of Koweit still further complicated the
-situation.<a name="FNanchor_7_306" id="FNanchor_7_306"></a><a href="#Footnote_7_306" class="fnanchor">7</a></p>
-
-<p>For Germany, on the other hand, Turkish nationalism
-held no menace. So far from desiring a weak Turkey—as
-did most of the other European Powers—her policy
-in the Near East was based upon the strengthening of
-Turkey. If Turkey was to be strong, she must suppress
-dissentient nationalist and religious minorities; therefore
-Germany raised no voice of protest against the Armenian
-and Macedonian atrocities. If Turkey sought to recover
-territories which formerly had acknowledged the suzerainty
-of the Sultan, Germany had nothing to fear; the
-Kaiser ruled over no such territories. If Turkey chose
-to arouse the Moslem world by a Pan-Islamic revival, that
-was no concern of Germany; the German Empire had a
-comparatively insignificant number of Mohammedan subjects.
-If the Turkish program discomfited the Entente
-Powers, that was to Germany’s advantage in the great
-game of world politics; therefore Germany could afford
-to support the Young Turk Government. As in the days
-of Abdul Hamid, Germany appeared to be the only friend
-of the Ottomans.<a name="FNanchor_8_307" id="FNanchor_8_307"></a><a href="#Footnote_8_307" class="fnanchor">8</a></p>
-
-<p>The improvement in the German political position at
-Constantinople was reflected in a changing Turkish attitude
-toward the Bagdad Railway. Among revolutionary
-leaders there was a growing realization of the great economic
-and political importance of railways and, particularly,
-of the Bagdad system. It became apparent upon
-examination, also, that others than Germans had obtained<span class="pagenum"><a name="Page_224" id="Page_224">224</a></span>
-monopolistic concessions in the Ottoman Empire—in this
-respect the Lynch Brothers came in for a good deal of attention.
-The Ottoman General Staff—which had recalled
-General von der Goltz as chief military adviser—insisted
-that the early construction of a trans-Mesopotamian railway
-at whatever cost, was essential to the defence of the
-empire. In spite of serious financial difficulties resulting
-from strikes, increased cost of materials, and general
-economic paralysis which followed upon the heels of the
-revolutions of 1908 and 1909, the Anatolian and Bagdad
-Railway Companies advanced large sums to the Minister
-of Finance toward the ordinary expenses of running the
-Government. In addition, the concessionaires evinced a
-desire to meet all Turkish financial and diplomatic objections
-to the provisions of the concession of 1903.<a name="FNanchor_9_308" id="FNanchor_9_308"></a><a href="#Footnote_9_308" class="fnanchor">9</a></p>
-
-<p>It was the financial needs of the Young Turk administration
-which enabled German diplomacy and the <i>Deutsche
-Bank</i> to reëstablish themselves thoroughly in the good
-graces of the Ottoman Government. But here again the
-Germans were given their chance only after England and
-France had turned the Turks away empty handed.</p>
-
-<p>During the summer of 1910, Djavid Bey, as Ottoman
-Minister of Finance, went to Paris to raise a loan of
-$30,000,000, secured by the customs receipts of the Ottoman
-Empire. The negotiations with the Parisian bankers
-were complicated by a bitter anti-Turk campaign on the
-part of the press and by the frequent interference of the
-French Government. Nevertheless, Djavid Bey succeeded
-in signing a satisfactory contract with a French
-syndicate, and his task appeared to be accomplished. At
-this juncture, however, M. Pichon, French Minister of
-Foreign Affairs, informed the bankers that official sanction
-for the proposed loan would be withheld unless the
-Ottoman Government would consent to have its budget
-administered by a resident French adviser. The Young<span class="pagenum"><a name="Page_225" id="Page_225">225</a></span>
-Turk ministry, determined to tolerate no further foreign
-intervention in the administrative affairs of the empire,
-flatly refused to consider any such proposal, and Djavid
-Bey was instructed to break off all negotiations. “As a
-true and loyal friend of France,” wrote Djavid, “I regretted
-this incident as one likely to strain the future relations
-between the two countries.”</p>
-
-<p>From Paris Djavid Bey went to London. Sir Ernest
-Cassel appeared to be willing to negotiate a loan to Turkey
-of the desired amount, but, upon representations from M.
-Cambon, the French ambassador at London, Sir Edward
-Grey persuaded Cassel not to put in a bid for the bonds.
-This decision was reached largely, as Djavid Bey was informed
-by the British Foreign Office, because the Bagdad
-Railway was considered to be “an enterprise which
-under the existing concession has not been conceived in
-the best interests of the Ottoman Empire, while it offers,
-as at present controlled, an undoubted menace to the
-legitimate position of British trade in Mesopotamia.” To
-the Turkish Government this statement was a piece of
-gratuitous impertinence, for, as Djavid Bey replied, “It
-was a prerogative only of the Ottoman Government to
-determine whether the conditions of construction and
-management of the Bagdad Railway were beneficial or
-detrimental to Turkey. England had no more right to object
-to the Bagdad Railway than Germany had to object
-to the British and French lines in operation in Turkey.”</p>
-
-<p>The collapse of the financial negotiations in Paris and
-London offered the <i>Deutsche Bank</i> an opportunity which
-its directors were too shrewd to overlook. Dr. Helfferich
-was despatched to Constantinople and within a few weeks
-had secured the contract for the entire issue of $30,000,000
-of the Ottoman Four Per Cent Loan of 1910, upon
-terms almost identical with those agreed upon with the
-French syndicate before M. Pichon’s interference. “On<span class="pagenum"><a name="Page_226" id="Page_226">226</a></span>
-this occasion,” writes Djavid Bey, “the Germans handled
-the business with great intelligence and tact. They brought
-up no points which were not related directly or indirectly
-to the loan, and they made no conditions which would
-have been inconsistent with the dignity of Turkey. This
-attitude of Germany met with great approval on the part
-of the Turkish Government, which was then in a very
-difficult position. The result was the greatest diplomatic
-victory in the history of the Ottoman Empire between
-the revolution of 1908 and the outbreak of the Great
-War.”<a name="FNanchor_10_309" id="FNanchor_10_309"></a><a href="#Footnote_10_309" class="fnanchor">10</a></p>
-
-<p>The purchase of the loan of 1910 by the <i>Deutsche Bank</i>,
-however, did not solve the financial problems of the Young
-Turk Government. It was essential that measures be
-taken to increase the revenues of the Ottoman Empire.
-Accordingly, negotiations had been conducted during 1910,
-and were continued until midsummer of 1911, to secure
-the consent of the Powers to an increase of 4% in the
-customs duties. It was apparent from the outset that
-the British Government would block any project for an
-increase in Turkish taxes, unless it were granted important
-compensations of a political and economic character
-and unless it could determine, in large measure,
-the purposes for which the additional revenues would be
-expended. In this respect, also, it appeared that Entente
-policy was standing in the way of the success of the Revolution
-in Turkey!</p>
-
-<p>British objections to the proposed increase in the Ottoman
-customs duties were founded in large part upon
-British opposition to the Bagdad Railway and, more particularly,
-to the sections of the Railway between Bagdad
-and the Persian Gulf. In the spring of 1910, the British
-Government proposed that a concession for a railway from
-Bagdad to Basra <i>via</i> Kut-el-Amara should be awarded to
-British financiers, in order that British economic interests<span class="pagenum"><a name="Page_227" id="Page_227">227</a></span>
-in Mesopotamia might be adequately safeguarded. In
-May of that year Sir Edward Grey wrote the British ambassador
-at Constantinople, “Please explain quite clearly
-to the Turkish Government that the British Government
-will not agree to any addition to the taxes until this claim
-for a concession is taken into favorable consideration,
-and also that Great Britain’s attitude towards Turkey will
-depend largely upon how she meets this demand of yours.”
-Upon the refusal of the Ottoman Government to accede
-to this demand, Sir Edward Grey wrote to Sir Henry
-Babington Smith, English representative on the Ottoman
-Public Debt Administration, that England must be
-awarded at least a 55% participation in the Bagdad-Basra
-section of the Bagdad Railway, as well as concessions for
-the construction and control of port works at Koweit. In
-addition, Turkey should be made to understand that Great
-Britain could approve no agreement without the sanction
-of the French and Russian Governments.</p>
-
-<p>When Djavid Bey was in London in July, 1910, he submitted
-two counterproposals to Sir Edward Grey: first,
-that the portion of the Bagdad Railway from Bagdad to
-Basra should be internationalized upon terms agreeable
-to Sir Ernest Cassel and Dr. Arthur von Gwinner; or,
-second, that the Ottoman Government itself should undertake
-the construction of the line beyond Bagdad. The
-British Foreign Office indicated that it might consent to
-an increase in the Ottoman customs duties until April,
-1914, upon some such terms, provided the consent of the
-other Powers were forthcoming, and provided Turkey
-would surrender her right of veto over the borrowing
-powers of Egypt. Because of the collapse of the loan
-negotiations, however, nothing further came of these
-proposals.</p>
-
-<p>On March 7, 1911, the Ottoman ministers at London
-and Paris presented to the British and French Gover<span class="pagenum"><a name="Page_228" id="Page_228">228</a></span>nments
-respectively a proposition that the Bagdad-Basra
-section of the Bagdad Railway should be constructed by
-an Ottoman company, to the capital of which the Turkish
-Government should subscribe 40%, and German, French,
-and British capitalists 20% each. The Sublime Porte
-expressed a willingness, furthermore, to confer with representatives
-of France and Great Britain for the purpose
-of satisfying the legitimate political demands of those
-two nations in Syria and Mesopotamia. The following
-day, nevertheless, Sir Edward Grey informed the House
-of Commons that His Majesty’s Government was not prepared
-to consent to an increase in the Turkish customs
-duties, because it was not clear that the Ottoman Government
-was ready to guarantee adequate protection to
-British commercial interests in Mesopotamia and the region
-of the Persian Gulf.<a name="FNanchor_11_310" id="FNanchor_11_310"></a><a href="#Footnote_11_310" class="fnanchor">11</a></p>
-
-<p>This decision was received in Constantinople with undisguised
-animosity. Young Turks were as little disposed to
-tolerate British, as they were French, supervision of Ottoman
-finances and economic policies. The press roundly
-denounced the British and said that once again Turkey
-had been shown the wisdom of friendship for Germany.<a name="FNanchor_12_311" id="FNanchor_12_311"></a><a href="#Footnote_12_311" class="fnanchor">12</a></p>
-
-<p>Entente actions were contrasted with the more conciliatory
-policy of the Germans. As early as November, 1910,
-Baron Marschall von Bieberstein had notified the Sublime
-Porte that Germany would place no obstacles in the way
-of an increase in the Ottoman customs duties and that,
-furthermore, his Government was prepared to urge that
-the Anatolian and Bagdad Railway Companies forego any
-additional assignment of Turkish revenues. During the
-first week of March, 1911, Dr. von Gwinner and Dr.
-Helfferich informed the Ottoman Government that the
-Bagdad Railway Company was willing to abandon its
-right to construct the sections of the line from Bagdad
-to Basra and the Persian Gulf, including the concessions<span class="pagenum"><a name="Page_229" id="Page_229">229</a></span>
-for port and terminal facilities at Basra. The Turkish
-Government was to be given a free hand as to the disposition
-of the portion of the railway beyond Bagdad,
-with the single reservation that the <i>Deutsche Bank</i> should
-be awarded a share in the enterprise equal to that granted
-any non-Ottoman group of financiers. The German proposals
-were accepted and incorporated in a formal convention
-of March 21, 1911, by which the Bagdad Railway
-Company abandoned its claims to further commitments
-from the Ottoman Treasury and agreed, at the pleasure
-of the Turkish Government, to surrender its concession
-for the Bagdad-Basra-Persian Gulf sections to an Ottoman
-company internationally owned and controlled.<a name="FNanchor_13_312" id="FNanchor_13_312"></a><a href="#Footnote_13_312" class="fnanchor">13</a></p>
-
-<p>The outcome of the negotiations for an increase in the
-customs duties was a keen disappointment to the Young
-Turks. Desirous as they were of carrying the Bagdad
-enterprise to a successful conclusion, they could not help
-resenting its political implications. “We tried,” writes
-Djavid Bey, “to better our relations with the English; they
-talked to us of the Bagdad Railway! We tried to introduce
-financial and economic reforms in Turkey; we found
-before us the Bagdad Railway! Every time an occasion
-arose, the French stirred up the Bagdad Railway question.
-Even the Russians, notwithstanding the Potsdam Agreement,<a name="FNanchor_14_313" id="FNanchor_14_313"></a><a href="#Footnote_14_313" class="fnanchor">14</a>
-constantly waved in their hands the Bagdad
-weapon.” This resentment was fortified by the knowledge
-that those who opposed the Bagdad Railway were those
-who believed that the Sick Man would die and were interested
-in the division of his inheritance. From these
-Powers Turkey could accept no tutelage!</p>
-
-<h3><span class="smcap">The German Railways Justify Their Existence</span></h3>
-
-<p>From the Turkish point of view, the best test of the
-wisdom of supporting the German railway concessions in<span class="pagenum"><a name="Page_230" id="Page_230">230</a></span>
-Turkey was an examination of the results achieved in improving
-political and economic conditions in the Ottoman
-Empire. By 1914 the Anatolian Railways and part of the
-Bagdad Railway had been in existence a sufficient length
-of time to appraise their worth to Asia Minor, and the
-appraisal thus arrived at would be a fair prognostication
-of the value of the entire system when it should be opened
-to operation.</p>
-
-<p>Dr. von Gwinner, in justification of the Bagdad Railway
-enterprise, summarized what he believed to be the
-chief services of the Anatolian Railways to Turkey.
-“More than twenty years ago,” he wrote in 1909, “my
-predecessor, the late George von Siemens, conceived the
-idea of restoring to civilization the great wastes of Asia
-Minor and Mesopotamia, once and for long the center of
-the history of humanity. The only means of achieving
-that end was by building railways; this was undertaken,
-slowly but persistently, and with marvelous results. Constantinople
-and the Turkish army at that time were eating
-bread made from Russian flour; they are now eating grain
-of their own country’s growth. Security in Asia Minor
-at that time was hardly greater than it is to-day in Kurdistan.
-When the <i>Deutsche Bank’s</i> engineers reached a station
-a little beyond Ismid (Nikomedia) on the Sea of
-Marmora, the neighborhood was infested by Tscherkess
-robbers; the chief of those robbers is now a stationmaster
-of the Anatolian Railway Company, drawing about £100
-<i>per annum</i>, a party as respectable as the late Mr. Micawber
-after his conversion to thrift. The railways brought
-ease to the peasantry, who are obtaining for their harvest
-twice to four times the price formerly paid, and the railways
-have brought revenue to the Treasury. The Anatolian
-Railway’s lines are in as good condition as any
-line in the United Kingdom, and their transportation
-charge is less than half the rates of any railway in
-England.”<a name="FNanchor_15_314" id="FNanchor_15_314"></a><a href="#Footnote_15_314" class="fnanchor">15</a></p>
-
-<p><span class="pagenum"><a name="Page_231" id="Page_231">231</a></span></p>
-
-<p>Although this was the statement of an avowed protagonist
-of the Anatolian Railway, the testimony of other observers
-must lead to the conclusion that it was not an
-overestimate of the value of the Anatolian system. As
-early as 1903, for example, the British Consul General at
-Constantinople wrote: “There is no doubt that the agricultural
-production of the districts traversed by the Angora
-Railway has increased largely. Before the Angora
-Railway was opened there was no export of grain from
-that district; the annual export of wheat and barley is now
-from £1,500,000 to £2,000,000. The Railway has attracted
-a large number of immigrants from Bulgaria and Russia,
-who have settled in the most fertile parts. They form a
-hardworking and intelligent population, accustomed to
-more civilized methods of cultivation than the Anatolian
-peasantry. Population, improved communications and security
-are the essentials required for the development of
-Asia Minor. The Railway attracts the one and creates the
-others. All agree that the country along the Railway is
-much safer than elsewhere. It would be surprising, therefore,
-if the production of the country did not increase.”<a name="FNanchor_16_315" id="FNanchor_16_315"></a><a href="#Footnote_16_315" class="fnanchor">16</a></p>
-
-<p>The improvement in economic conditions in Anatolia
-became more marked as time went on. The Anatolian
-Railway Company established a special agricultural department
-for the education of the peasantry in more improved
-methods of farming; nurseries and experimental
-stations were maintained; demonstrations were given of
-the best systems of irrigation and drainage; attention was
-paid to the development of markets for surplus products
-of various kinds. American agricultural machinery was
-introduced and promised to become widely adopted.
-As a result of these improvements, the agricultural output
-of the country increased by leaps and bounds, and
-the cultivated areas in some districts were more than<span class="pagenum"><a name="Page_232" id="Page_232">232</a></span>
-doubled. Famine, formerly a common occurrence, became
-a thing of the past, because irrigation eliminated the danger
-of recurrent droughts and floods. Increased production
-assured a plentiful food supply, and improved
-transportation enabled the surplus of one district to be
-transferred, in case of need, to another. All in all, the
-peasantry were developing qualities of industry, thrift, and
-adaptability which seemed to forecast great things for
-the future of Asia Minor.<a name="FNanchor_17_316" id="FNanchor_17_316"></a><a href="#Footnote_17_316" class="fnanchor">17</a></p>
-
-<p>Furthermore, the German railways in Turkey, the
-failure of which had been freely prophesied, proved to be
-successful business enterprises. The directors took all
-possible steps to build up the earning power of the lines,
-rather than depend upon the minimum return guaranteed
-by the Ottoman Government. The railways were efficiently
-and intelligently administered—the operating expenses
-of the Anatolian and Bagdad lines never exceeded
-47% of the gross receipts, although the operating expenses
-of the chief European railways, under much more
-favorable conditions, varied from 54% to 62% of gross
-receipts during the same period. Occasional dividends of
-5% or 6% were paid by the Anatolian and Bagdad Railway
-Companies between 1906 and 1914, but only when
-the disbursements were warranted by earnings. In 1911,
-a notable advance was made by the introduction of oil-burning
-locomotives on the Bagdad lines; henceforth the
-German railways in Turkey were operated with fuel
-purchased from the Standard Oil Company of New
-Jersey!<a name="FNanchor_18_317" id="FNanchor_18_317"></a><a href="#Footnote_18_317" class="fnanchor">18</a></p>
-
-<p>This scrupulously careful management eventually
-brought its reward. In 1911, the earnings of the Angora
-line exceeded the kilometric guarantee and, in accordance
-with the terms of the concession, the Ottoman Government
-received a share of the receipts. In 1912, the returns
-of the Eski Shehr-Konia line also exceeded th<span class="pagenum"><a name="Page_233" id="Page_233">233</a></span>e sum
-guaranteed by the Government, the Ottoman Treasury
-receiving a share of the earnings of the Anatolian system
-to an amount of more than $200,000. After 1913, no
-further payments to the Anatolian Railway Company were
-required under the kilometric guarantees.<a name="FNanchor_19_318" id="FNanchor_19_318"></a><a href="#Footnote_19_318" class="fnanchor">19</a></p>
-
-<p>The results on the completed sections of the Bagdad
-Railway were equally promising, as will be indicated by
-the following table:<a name="FNanchor_20_319" id="FNanchor_20_319"></a><a href="#Footnote_20_319" class="fnanchor">20</a></p>
-
-<table summary="completed" border="0"><tr>
-<td class="tdc"><br /><br /><i>Year</i></td>
-<td class="tdc"><i>Kilometres</i><br />in<br />Operation</td>
-<td><br /><br /><i>Passengers</i></td>
-<td class="tdc"><i>Freight</i><br />Tons</td>
-<td class="tdc"><i>Gross</i><br />Receips per<br />Kilometres<br />(Francs)</td>
-<td class="tdc">Total<br />Govenment<br />Subsidy<br />(Francs)</td>
-</tr><tr>
-<td>1906</td><td class="tdc">200</td><td class="tdc">29,629</td><td class="tdc">13,693</td><td class="tdc">1,368.83</td><td class="tdc">624,028.21</td></tr><tr>
-<td>1907</td><td class="tdc">200</td><td class="tdc">37,145</td><td class="tdc">23,643</td><td class="tdc">1,754.44</td><td class="tdc">546,129.77</td></tr><tr>
-<td>1908</td><td class="tdc">200</td><td class="tdc">52,759</td><td class="tdc">15,941</td><td class="tdc">1,839.86</td><td class="tdc">529,443.12</td></tr><tr>
-<td>1909</td><td class="tdc">200</td><td class="tdc">57,026</td><td class="tdc">15,364</td><td class="tdc">1,936.72</td><td class="tdc">509,565.45</td></tr><tr>
-<td>1910</td><td class="tdc">200</td><td class="tdc">71,665</td><td class="tdc">27,756</td><td class="tdc">2,571.43</td><td class="tdc">381,135.58</td></tr><tr>
-<td>1911</td><td class="tdc">238</td><td class="tdc">95,884</td><td class="tdc">38,046</td><td class="tdc">3,379.34</td><td class="tdc">238,166.59</td></tr><tr>
-<td>1912</td><td class="tdc">609</td><td class="tdc">288,833</td><td class="tdc">57,670</td><td class="tdc">5,315.67</td><td class="tdc">278,785.25</td></tr><tr>
-<td>1913</td><td class="tdc">609</td><td class="tdc">407,474</td><td class="tdc">78,645</td><td class="tdc">3,786.53</td><td class="tdc">216,295.17</td></tr><tr>
-<td>1914</td><td class="tdc">887</td><td class="tdc">597,675</td><td class="tdc">116,194&nbsp;&nbsp;&nbsp;</td><td class="tdc">8,177.97</td><td class="tdc">2,939,983.00&nbsp;&nbsp;&nbsp;</td></tr>
-</table>
-
-<p><small>Figures in italics indicate payments <i>to</i> the Turkish Government
-of its share of the receipts in excess of the guarantee of 4,500
-francs per kilometre.</small><br /></p>
-
-<p>The improvement in the economic conditions of Anatolia,
-and the success of the German railways as business
-enterprises, were sources of great satisfaction and profit
-to the Imperial Ottoman Government. Not only was the
-Treasury receiving revenue from the railway lines which
-had formerly been a drain upon the financial resources of
-the empire, but the receipts from taxes in the regions
-traversed by the railways were constantly increasing. As
-early as 1893 the Ottoman Ministry of Public Works announced
-that the increase in tithes and the increased value
-of farm lands in Asia Minor had more than justified expenditures
-by the Sultan’s Government in subsidies to<span class="pagenum"><a name="Page_234" id="Page_234">234</a></span>
-the Anatolian Railway.<a name="FNanchor_21_320" id="FNanchor_21_320"></a><a href="#Footnote_21_320" class="fnanchor">21</a> For those portions of Anatolia
-which were served by the Railway, the amount of the
-tithes had almost doubled in twenty years: in 1889, the
-year after the award of the Anatolian concession, $639,760
-was collected; in 1898, $948,070; in 1908, $1,240,450. In
-certain districts the amount of the tithes collected in 1908
-was five or six times as great as the yield before the construction
-of the Railway.<a name="FNanchor_22_321" id="FNanchor_22_321"></a><a href="#Footnote_22_321" class="fnanchor">22</a></p>
-
-<p>The economic prospects of Turkey never were brighter
-than they were just before the outbreak of the Great War.
-The new régime had removed many of the vexatious restrictions
-on individual initiative which had characterized
-the rule of Abdul Hamid. The country’s losses in men
-in the Italian and Balkan wars had been made up by an
-immigration of Moslem refugees from the ceded territories.
-Numerous concessions had been granted for the
-exploitation of mines, the construction of public utilities,
-and the improvement of the means of communication.
-“There was a feeling abroad in the land that an era of
-exceptional commercial and industrial activity was about
-to dawn upon Turkey.” The Ottoman Empire was in
-a fair way to become modernized according to Western
-standards.<a name="FNanchor_23_322" id="FNanchor_23_322"></a><a href="#Footnote_23_322" class="fnanchor">23</a></p>
-
-<p>Thus the Anatolian and Bagdad Railways achieved all
-that was claimed for them by their sponsors. They increased
-political security in Asia Minor; they brought
-about an economic renaissance in the homeland of the
-Turks; they justified the investment of public funds which
-was necessary to bring the system to completion. Beyond
-the Amanus Mountains lay the plains of Syria and the
-great unexploited wealth of Mesopotamia. A development
-of Mesopotamia, even as modest as that achieved in Anatolia,
-would pay the cost of the Bagdad Railway many
-times over. Were the Ottoman statesmen who supported
-this great project to be condemned for so great a servi<span class="pagenum"><a name="Page_235" id="Page_235">235</a></span>ce
-to their country? Or would they have been short-sighted
-had they failed to realize the great potentialities of railway
-construction in Asiatic Turkey? That the Bagdad
-Railway contributed to the causes of Turkish participation
-in the Great War—and to the disintegration of the Ottoman
-Empire—was not so much the fault of the Turks
-themselves as it was the blight laid upon Turkey, a “backward
-nation,” by European imperialism.</p>
-
-<h3><span class="smcap">The Young Turks Have Some Mental Reservations</span></h3>
-
-<p>Although the revolutionary party in Turkey had come
-to look with favor upon German influence in the Near
-East, and particularly to support the Bagdad Railway,
-there is little reason for accepting the too hastily drawn
-conclusion that the Young Turks had sold their country
-to the Kaiser or that they were under a definite obligation
-to subscribe to German diplomatic policies. They were too
-strongly nationalistic for that. They believed that the
-Ottoman Empire must eventually rid itself of foreign administrative
-assistance, foreign capital invested under far-reaching
-economic concessions, and foreign interference
-in Ottoman political affairs. But for a period of transition—during
-which Turkey could learn the secrets of Western
-progress and adapt them to her own purposes—it was the
-obvious duty of a forward-looking government to utilize
-European capital and European technical assistance for
-the welfare of the empire. Patriotism and modernism
-went hand in hand in the Young Turk program.<a name="FNanchor_24_323" id="FNanchor_24_323"></a><a href="#Footnote_24_323" class="fnanchor">24</a></p>
-
-<p>The Young Turks were not unaware of the menace of
-the Bagdad Railway to their own best hopes. As Djavid
-Bey appropriately says: “The great drawback of this enterprise
-was its political character, which clung to it and
-became a source of endless toil and anxiety for the country.
-In a word, it poisoned the political life of Turk<span class="pagenum"><a name="Page_236" id="Page_236">236</a></span>ey.
-If the Bagdad concession had not been granted, the revolutionary
-government could have solved much more easily
-pending political and economic problems. But one must
-admire the courage of Abdul Hamid in granting the concession,
-no matter what the cost, because the construction
-of the Bagdad line was essential for the defence and the
-economic progress of the empire. Unfortunately for
-Turkey, she has always had to suffer from such politico-economic
-concessions.</p>
-
-<p>“The Bagdad Railway did not escape the malady of
-politics. When one entered the meeting room of the
-company, one breathed the atmosphere of the ministerial
-chamber in <i>Wilhelmstrasse</i> and felt in both Gwinner and
-Helfferich the presence of undersecretaries for foreign
-affairs. This state of affairs, instead of simplifying the
-negotiations and relations between Germany and Turkey,
-served only to envenom them.”</p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_300" id="Footnote_1_300"></a><a href="#FNanchor_1_300"><span class="label">1</span></a> For accounts of the Young Turk Revolutions see René Pinon,
-<i>L’Europe et la jeune Turquie</i> (Paris, 1911); V. Bérard, <i>La révolution
-turque</i> (Paris, 1909); C. R. Buxton, <i>Turkey in Revolution</i>
-(London, 1909); Ernst Jäckh, <i>Der aufsteigende Halbmond</i> (Berlin,
-1911); A. H. Lybyer, “The Turkish Parliament,” in <i>Proceedings
-of the American Political Science Association</i>, Volume
-VII (1910), pp. 66 <i>et seq.</i>; S. Panaretoff, <i>Near Eastern Affairs
-and Conditions</i> (New York, 1922), Chapter V; A. Kutschbach,
-<i>Die türkische Revolution</i> (Halle, 1909); Baron C. von der Goltz,
-<i>Der jungen Türkei Niederlage und die Möglichkeit ihrer Wiedererhebung</i>
-(Berlin, 1913).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_301" id="Footnote_2_301"></a><a href="#FNanchor_2_301"><span class="label">2</span></a> Paul Rohrbach, <i>Germany’s Isolation</i>, p. 50.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_302" id="Footnote_3_302"></a><a href="#FNanchor_3_302"><span class="label">3</span></a> Karl Helfferich, <i>Die deutsche Türkenpolitik</i>, p. 21</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_303" id="Footnote_4_303"></a><a href="#FNanchor_4_303"><span class="label">4</span></a> This quotation, together with many other facts in this chapter,
-is from a lengthy memorandum of Djavid Bey on the Bagdad
-Railway, prepared especially for the use of the author in the
-writing of this book. It is dated January 3, 1923, and was forwarded
-from the Lausanne Conference for Peace in the Near
-East. Unless otherwise specified, quotations from Djavid Bey
-here given are from this memorandum. There probably is no
-person who knows more of the Ottoman po<span class="pagenum"><a name="Page_237" id="Page_237">237</a></span>int of view on the
-Bagdad Railway than Djavid, who as Young Turk Minister of
-Finance and, later, as Turkish delegate to the Ottoman Public
-Debt Administration has had perhaps an unprecedented opportunity
-to observe the financial and economic ramifications of
-European imperialism in the Near East.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_304" id="Footnote_5_304"></a><a href="#FNanchor_5_304"><span class="label">5</span></a> <i>Diplomatic and Consular Reports</i>, No. 4835 (1911), p. 16;
-<i>Mesopotamia</i>, p. 41; <i>The Annual Register</i>, 1911, pp. 364–365;
-<i>Armenia and Kurdistan</i>, p. 62; <i>Turkey in Europe</i>, pp. 72–73;
-<i>Anatolia</i>, pp. 51–52, 81; <i>infra</i>, pp. 244–246.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_305" id="Footnote_6_305"></a><a href="#FNanchor_6_305"><span class="label">6</span></a> Pan-Turkism, or Pan-Turanianism, started as a cultural
-movement among Ottoman intellectuals. It assumed political
-aspects as a result of three important circumstances: 1. Aggressions
-against Turkey by foreign powers; 2. The ardent nationalism
-of the Balkan states bordering on Turkey; 3. The existence
-within Turkey of vigorous dissident nationalities, such
-as the Armenians and the Arabs. Pan-Turanianism and Pan-Islamism,
-although separate movements, had much in common.
-In 1911, at any rate, the Young Turks adopted Pan-Islamism
-as part of their program. Pinon, <i>op. cit.</i>, pp. 134 <i>et seq.</i>; <i>Mohammedan
-History</i>, pp. 89–96; Sir Thomas Barclay, <i>The Turco-Italian
-War and Its Problems</i> (London, 1912), pp. 100 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_306" id="Footnote_7_306"></a><a href="#FNanchor_7_306"><span class="label">7</span></a> For an excellent statement of the reaction of Turkish nationalism
-upon European politics see <i>The Quarterly Review</i>, Volume
-228 (1917), pp. 511 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_307" id="Footnote_8_307"></a><a href="#FNanchor_8_307"><span class="label">8</span></a> Regarding the coincidence of German and Turkish interests
-during the reign of Abdul Hamid <i>cf.</i> <i>supra</i>, pp. 64–65, 125–130.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_308" id="Footnote_9_308"></a><a href="#FNanchor_9_308"><span class="label">9</span></a> <i>Report of the Anatolian Railway Company</i>, 1908 and 1909, pp.
-8–9; <i>The Annual Register</i>, 1909, pp. 337 <i>et seq.</i>; <i>Stenographische
-Berichte, XII Legislaturperiode, 1 Session</i>, Volume 260 (1910),
-pp. 2174d <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_309" id="Footnote_10_309"></a><a href="#FNanchor_10_309"><span class="label">10</span></a> From Djavid Bey’s memorandum. For scattered details of
-these negotiations see <i>The Annual Register</i>, 1910, pp. 336–340;
-<i>Report of the Deutsche Bank</i>, 1910, pp. 13 <i>et seq.</i>; K. Helfferich,
-<i>Die deutsche Türkenpolitik</i>, pp. 23 <i>et seq.</i>; Ostrorog, <i>op. cit.</i>,
-pp. 60–61.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_310" id="Footnote_11_310"></a><a href="#FNanchor_11_310"><span class="label">11</span></a> <i>Parliamentary Debates, House of Commons</i>, fifth series,
-Volume 22 (1911), pp. 1284–1285. For further details of the
-negotiations of 1909–1911 <i>cf.</i> B. von Siebert, <i>Diplomatische
-Aktenstücke zur Geschichte der Ententepolitik der Vorkriegsjahre</i>
-(Berlin and Leipzig, 1921), Chapters VIII and IX. Hereinafter
-cited as <i>de Siebert</i> documents.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_311" id="Footnote_12_311"></a><a href="#FNanchor_12_311"><span class="label">12</span></a> <i>Cf.</i> foreign correspondence of <i>The Times</i>, March 21, 1911.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_312" id="Footnote_13_312"></a><a href="#FNanchor_13_312"><span class="label">13</span></a> <i>Troisième convention additionelle à la convention du 5 Mars,
-1903, relative au chemin de fer de Bagdad</i> (Constantinople,
-1911); <i>supra</i>, pp. 111–113.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_313" id="Footnote_14_313"></a><a href="#FNanchor_14_313"><span class="label">14</span></a> <i>Cf.</i> <i>infra</i>, Chapter X.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_314" id="Footnote_15_314"></a><a href="#FNanchor_15_314"><span class="label">15</span></a> <i>The Nineteenth Century</i>, Volume 65 (1909), pp. <span class="pagenum"><a name="Page_238" id="Page_238">238</a></span>1083–1084.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_315" id="Footnote_16_315"></a><a href="#FNanchor_16_315"><span class="label">16</span></a> <i>Diplomatic and Consular Reports</i>, No. 3140 (1903), p. 29.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_316" id="Footnote_17_316"></a><a href="#FNanchor_17_316"><span class="label">17</span></a> <i>Société du chemin de fer d’Anatolie-Jahresbericht des
-Agrikultur-Dienstes</i> (Berlin, 1899 <i>et seq.</i>), <i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_317" id="Footnote_18_317"></a><a href="#FNanchor_18_317"><span class="label">18</span></a> <i>Archiv für Eisenbahnwesen</i>, Volume 31 (Berlin, 1908), pp.
-207–211, 1485–1491; <i>Commerce Reports</i>, No. 18d (Washington,
-1915), p. 9; <i>Diplomatic and Consular Reports</i>, No. 4835 (1911),
-p. 17; <i>Report of the Anatolian Railway Company</i>, 1910–1913,
-<i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_318" id="Footnote_19_318"></a><a href="#FNanchor_19_318"><span class="label">19</span></a> <i>Report of the Anatolian Railway</i>, 1911–1914, <i>passim</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_319" id="Footnote_20_319"></a><a href="#FNanchor_20_319"><span class="label">20</span></a> Compiled from the <i>Report of the Bagdad Railway Company</i>,
-1903–1914. Figures for the years 1904 and 1905 are incomplete
-and have therefore been omitted. It should be kept in mind in
-reading this table that the years 1912–1914 were abnormal, especially
-as regards passenger traffic, because of the two Balkan
-Wars and the Great War.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_320" id="Footnote_21_320"></a><a href="#FNanchor_21_320"><span class="label">21</span></a> <i>The Levant Herald</i> (Constantinople), October 25, 1893.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_321" id="Footnote_22_321"></a><a href="#FNanchor_22_321"><span class="label">22</span></a><span class="pagenum"><a name="Page_239" id="Page_239">239</a></span> Caillard, <i>loc. cit.</i>, p. 439.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_322" id="Footnote_23_322"></a><a href="#FNanchor_23_322"><span class="label">23</span></a> <i>Commerce Reports</i>, No. 18d (1915), pp. 1–2.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_323" id="Footnote_24_323"></a><a href="#FNanchor_24_323"><span class="label">24</span></a> <i>Cf.</i> <i>Questions diplomatiques et coloniales</i>, Volume 26 (1908),
-pp. 475–477.</p></div>
-
-<hr />
-
-<h2>CHAPTER X<br />
-
-BARGAINS ARE STRUCK</h2>
-
-<h3><span class="smcap">The Kaiser and the Tsar Agree at Potsdam</span></h3>
-
-<p>During the early days of November, 1910, William II
-entertained at the Potsdam palace his fellow sovereign
-Nicholas II, Tsar of all the Russias. He extended his
-royal hospitality, also, to the recently chosen foreign ministers
-of Germany and Russia respectively—Herr von
-Kiderlen-Waechter, next to the ambassador at Constantinople
-the Kaiser’s most competent expert on the tortuous
-affairs of the Near East; and M. Sazonov, subsequently to
-guide Russian foreign policy during the critical days of
-July, 1914. It was apparent even to the untutored that
-there was some political significance to the conference between
-the German Emperor and his distinguished guests,
-and the press was rife with speculation as to what the outcome
-would be. The answer was forthcoming on November
-4, when it was announced that the Kaiser and the
-Tsar, with the advice and assistance of their foreign
-ministers, had reached an agreement on the Bagdad Railway
-question.</p>
-
-<p>A short time later the terms of this Potsdam Agreement
-were made public. As outlined by the German
-Chancellor, with some subsequent modifications, they<span class="pagenum"><a name="Page_240" id="Page_240">240</a></span> were
-as follows: 1. Germany recognized the Russian sphere of
-interest in northern Persia, as defined by the Anglo-Russian
-agreement of 1907, and undertook not to seek or
-support concessions for railways, roads, telegraphs, or
-other means of communication in the region; in other
-words, there was to be no change in the <i>status quo</i>. 2.
-Russia recognized the rights of the <i>Deutsche Bank</i> in the
-Bagdad Railway and agreed to withdraw all diplomatic
-opposition to the construction of the line and to the participation
-of foreign capital therein. 3. Russia agreed to
-obtain from Persia, as soon as possible, a concession for
-the construction of a railway from Teheran, the capital
-city, to Khanikin, an important commercial city on the
-Turco-Persian frontier. This new railway was to be
-linked with a branch of the Bagdad system to be constructed
-in accordance with the terms of the concession
-of 1903 from Sadijeh, on the Tigris, to Khanikin. Both
-lines were to be planned for through international traffic.
-If, for any reason, the Russian Government should fail
-to build the proposed railway from Teheran to Khanikin,
-it was understood that German promoters might then apply
-for the concession. 4. The policy of the economic open
-door was to be observed by both nations. Russia agreed
-not to discriminate against German trade in Persia, and
-the two nations pledged reciprocal equality of treatment
-on the new railway lines from Sadijeh to Teheran.<a name="FNanchor_1_324" id="FNanchor_1_324"></a><a href="#Footnote_1_324" class="fnanchor">1</a></p>
-
-<p>Russia had a great deal to gain and little to lose by
-the Potsdam Agreement. Whether Russia liked it or not,
-the Bagdad Railway had become a going concern, and
-there was every indication that another decade would see
-its completion. When finished, the Bagdad system, together
-with projected Persian lines, would provide Russian
-trade with direct communications with the Indies
-(<i>via</i> Bagdad and the Persian Gulf) and with the Mediterranean
-(<i>via</i> Mosul, Aleppo, and the Syrian coast). By<span class="pagenum"><a name="Page_241" id="Page_241">241</a></span>
-the entente of 1907 with Great Britain the Tsar had renounced
-his imperial interests in southern Persia; therefore
-he had little to gain by a dog-in-the-manger attitude
-toward the development of Mesopotamia by the Germans.
-Under these circumstances continued resistance to the
-Bagdad Railway appeared to be short-sighted and futile.
-Cheerful acquiescence, on the other hand, might bring
-tangible diplomatic compensations. In addition, it has
-been suggested, Russian reactionaries were delighted at the
-prospect of a <i>rapprochement</i> with Prussia, in which they
-saw the last strong support of a dying autocracy.<a name="FNanchor_2_325" id="FNanchor_2_325"></a><a href="#Footnote_2_325" class="fnanchor">2</a></p>
-
-<p>From the German point of view the agreement with
-Russia was a diplomatic triumph. All that Germany conceded
-was recognition of Russia’s special position in
-Persia, which affected no important German interests and
-exerted no appreciable influence on the balance of power
-in the Near East. In return, German trade was to be admitted
-to the markets of Persia, heretofore an exclusively
-British and Russian preserve; the sphere of the Bagdad
-Railway was to be considerably enlarged; Russian political
-obstruction of the Bagdad enterprise was to cease. Russian
-objections had been the first stumbling block in the
-way of the Railway; Russian protests had been the instigation
-of French opposition; now Russian recognition held
-out high promise for the final success of the Great Plan.
-The first breach had been made in the heretofore solid
-front presented by the Entente.<a name="FNanchor_3_326" id="FNanchor_3_326"></a><a href="#Footnote_3_326" class="fnanchor">3</a></p>
-
-<p>Outside of Germany and Russia, however, the Potsdam
-Agreement met with a heated reception. The Ottoman
-press complained that Turkey was being politely ignored
-by two foreign powers in the disposition of her rights.
-One Constantinople daily said it was a sad commentary
-on Turkish “sovereignty” that in an important treaty on
-the Bagdad Railway “there is no mention of us, as if we
-had no connection with that line, and we were not masters<span class="pagenum"><a name="Page_242" id="Page_242">242</a></span>
-of Bagdad and Basra and the ports of the Persian Gulf.”<a name="FNanchor_4_327" id="FNanchor_4_327"></a><a href="#Footnote_4_327" class="fnanchor">4</a>
-M. Hanotaux, a former French minister of foreign affairs,
-expressed his belief that “the negotiations at Potsdam
-have created a situation which, from every point of view,
-obliges us to ask, now, if Russia has dissolved the Triple
-Entente.”<a name="FNanchor_5_328" id="FNanchor_5_328"></a><a href="#Footnote_5_328" class="fnanchor">5</a> Mr. Lloyd George delivered a particularly
-venomous attack upon Russia for having disregarded her
-diplomatic engagements, and he announced in clarion tones
-that this desertion from the ranks of the Entente—even
-if condoned by France—would not cause Great Britain
-to alter one iota her former policy.<a name="FNanchor_6_329" id="FNanchor_6_329"></a><a href="#Footnote_6_329" class="fnanchor">6</a> The “Slav peril”
-appeared to be more keenly appreciated, for the moment,
-in France and England than in Germany!</p>
-
-<p>M. Jaurès, the brilliant French Socialist parliamentarian,
-believed that the Potsdam Agreement was an admirable
-instance of the menace of the Russian Alliance to the
-security of France and the peace of Europe. During the
-course of a bitter debate in the Chamber of Deputies he
-confronted the Minister of Foreign Affairs, M. Pichon,
-with this dilemma: “What is the situation in which you
-find yourself? You are going to be faced, you already are
-faced, with a <i>fait accompli</i>, a Russo-German convention
-on the Bagdad question. What do you propose to do?
-Well, you may pursue an independent course and continue
-to oppose the Bagdad Railway. In that event you
-will be in the unenviable position of opposing Germany
-in an enterprise to which Russia—whose interests are
-more directly involved—has given her support. Or, on
-the other hand, you may subscribe with good grace to this
-enterprise which Russia commends to you. What then
-will be your situation? For some years France has successfully
-resisted the Bagdad Railway. If during this
-time we have sulked at the enterprise, it was not of our
-own choice, but out of regard for Russia, because Russia
-believed her interests to be menaced. In short, we arri<span class="pagenum"><a name="Page_243" id="Page_243">243</a></span>ve
-at this paradox. You have created an extremely delicate
-situation between France and Germany by opposing the
-Bagdad Railway, in which you had no interests other
-than those of Russia. And now it is this same Russia
-which, without previously consulting you, places at the
-disposal of Germany the moral advantage of compelling
-you—you who resisted only on behalf of Russia—to accede
-to the Bagdad Railway.” Was this the sort of ally
-to whom France should entrust her national safety?<a name="FNanchor_7_330" id="FNanchor_7_330"></a><a href="#Footnote_7_330" class="fnanchor">7</a></p>
-
-<p>In the midst of the storm over the Potsdam Agreement,
-M. Stephen Pichon and Sir Edward Grey alone
-appeared to be unruffled. Both of these gentlemen, interpolated
-in the Chamber of Deputies and the House of
-Commons respectively, averred that they saw no reason
-for becoming disturbed or alarmed at the new Russo-German
-understanding. This point of view was incomprehensible
-to the average citizen, unskilled in the niceties of
-professional diplomacy, until on January 31, 1911, M.
-Jaurès forced M. Pichon to admit that the French Foreign
-Office had been informed of the character of the Potsdam
-negotiations before they took place. Less than a month
-later Mr. Lloyd George severely criticized his fellow-minister
-Sir Edward Grey for having taken no action
-against the policy of Russia at Potsdam, although, as
-Foreign Secretary, Sir Edward had been fully posted on
-the nature of the negotiations. Apparently, then, Russia
-had come to the agreement with Germany only after having
-consulted France and Great Britain and, perhaps, after
-having received their consent.<a name="FNanchor_8_331" id="FNanchor_8_331"></a><a href="#Footnote_8_331" class="fnanchor">8</a></p>
-
-<p>There were a few persons who hoped that the Potsdam
-Agreement might be the first step in a general settlement
-of the Bagdad Railway entanglement. One humble member
-of the House of Commons, Mr. Pickersgill, said, for
-example, “I cannot understand the policy of continued
-antagonism to Germany. Ex-President Roosevelt recently<span class="pagenum"><a name="Page_244" id="Page_244">244</a></span>
-gave much good advice to our Foreign Minister, and
-amongst other things he said that the presence of Germany
-on the Euphrates would strengthen the position of Great
-Britain on the Nile.... The action of Russia in the
-recent meeting at Potsdam has brought matters to a head,
-and I hope the Foreign Office will approach Turkey with
-a view to an arrangement for the completion of the Bagdad
-Railway which might be agreeable to Turkey, Germany
-and ourselves.”<a name="FNanchor_9_332" id="FNanchor_9_332"></a><a href="#Footnote_9_332" class="fnanchor">9</a></p>
-
-<p>The hope of Mr. Pickersgill was fulfilled, for the agreement
-of November 4, 1910, proved to be the first of a
-series of conventions regarding the Near East negotiated
-between 1911 and 1914 by Germany, Turkey, Great Britain
-and France. On the eve of the Great War the Bagdad
-Railway controversy had been all but settled!</p>
-
-<h3><span class="smcap">French Capitalists Share in the Spoils</span></h3>
-
-<p>France, relieved of the necessity of supporting Russia’s
-strategic objections to the Bagdad Railway, was glad to
-compromise with Turkey—in return for compensatory
-concessions to French investors. The sharp rebuff given
-M. Pichon by the Young Turks in the loan negotiations
-of the spring and summer of 1910 had convinced French
-diplomatists and business men alike that a policy of bullying
-the new administration at Constantinople would be
-futile.<a name="FNanchor_10_333" id="FNanchor_10_333"></a><a href="#Footnote_10_333" class="fnanchor">10</a> Continued obstruction of Ottoman economic
-rehabilitation could have but two effects: to injure French
-prestige and prejudice the interests of French business;
-to drive the Young Turks into still closer association with
-the German Government and still greater dependence upon
-German capitalists. On the other hand, a conciliatory
-policy might be rewarded by profitable participation of
-French bankers in the economic development of Turkey-in-Asia
-and by a revival of French political influence at
-the Sublime Porte.</p>
-
-<p><span class="pagenum"><a name="Page_245" id="Page_245">245</a></span></p>
-
-<p>Even before the negotiation of the Potsdam Agreement
-the Young Turks had smiled upon French financial interests
-in the hope that the French Government might adopt
-a more friendly attitude toward the new régime in Turkey.
-In June, 1910, for example, the Smyrna-Cassaba Railway
-was authorized to extend its existing line from Soma, in
-western Anatolia, to Panderma, on the Sea of Marmora.
-The concession carried with it the highest kilometric
-guarantee (18,800 francs) ever granted a railway in the
-Ottoman Empire, although the construction of the line
-offered fewer engineering and financial difficulties than
-other railways which had been constructed under less
-favorable terms. From the standpoint of the Turkish
-Government, however, the Soma-Panderma railway offered
-economic and strategic returns commensurate with the
-investment, for it was part of a comprehensive plan for
-the improvement of commercial and military communications
-in Asia Minor.<a name="FNanchor_11_334" id="FNanchor_11_334"></a><a href="#Footnote_11_334" class="fnanchor">11</a></p>
-
-<p>The acceptance of this concession by French capitalists—presumably
-with the approval, certainly without the
-opposition, of their Government—was an interesting commentary
-on the official attitude of the French Republic
-toward the Bagdad Railway. If it was unprincipled for
-Germans to accept a guarantee for the construction and
-operation of their railways in Turkey, it is difficult to
-ascertain what dispensation exempted Frenchmen from
-the same stigma. If the Anatolian and Bagdad systems
-were anathema because of their possible utilization for
-military purposes, little justification can be offered for the
-Soma-Panderma line, which, completed in 1912, was one
-of the principal factors in the stubborn defence of the
-Dardanelles three years later.</p>
-
-<p>Shortly after the promulgation of the Soma-Panderma
-convention additional steps were taken by the Ot<span class="pagenum"><a name="Page_246" id="Page_246">246</a></span>toman
-Government toward the further extension of French railway
-interests in Anatolia and Syria. Negotiations were
-initiated with the Imperial Ottoman Bank for the award
-to a French-owned company, <i>La Société pour la Construction
-et l’Exploitation du Réseau de la Mer Noire</i>,
-of a concession for a comprehensive system of railways
-in northern Anatolia. It was proposed to construct elaborate
-port works at the Black Sea towns of Heraclea,
-Samsun, and Trebizond, and to connect the new ports by
-railway with the inland towns of Erzerum, Sivas, Kharput,
-and Van. Connections were to be established at Boli and
-Sivas with extensions to the Anatolian Railways, and at
-Arghana with a branch of the Bagdad line to Nisibin and
-Diarbekr. Thus adequate rail communications would be
-provided from the Ægean to the Persian Gulf, from the
-Black Sea to the Syrian shore of the Mediterranean.<a name="FNanchor_12_335" id="FNanchor_12_335"></a><a href="#Footnote_12_335" class="fnanchor">12</a></p>
-
-<p>Simultaneously, negotiations were being carried on between
-the Ottoman Ministry of Public Works and the
-Imperial Ottoman Bank for extensive concessions to the
-French Syrian Railways, owned and operated by <i>La
-Société du Chemin de Fer de Damas-Hama et Prolongements</i>.
-Provision was made for the construction of port
-and terminal facilities at Jaffa, Haifa, and Tripoli-in-Syria;
-a traffic agreement was negotiated with the Ottoman-owned
-Hedjaz Railway, pledging both parties to
-abstain from discriminatory rates and other unfair competition;
-tentative arrangements were made for the construction
-of a line from Homs to the Euphrates.
-Provisional agreements embodying the Black Sea and
-Syrian railway and port concessions were signed in 1911,
-but technical difficulties of surveying the lines, together
-with the political instability occasioned by the Tripolitan
-and Balkan Wars, postponed the definitive contract.<a name="FNanchor_13_336" id="FNanchor_13_336"></a><a href="#Footnote_13_336" class="fnanchor">13</a></p>
-
-<p>After the Treaty of Bucharest, August 10, 1913, the
-Ottoman Government was more determined than ever to<span class="pagenum"><a name="Page_247" id="Page_247">247</a></span>
-do everything in its power to eliminate French opposition
-to railway construction in Asia Minor and to secure French
-aid in the further economic development of Turkey.
-Crushing defeats at the hands of the Italians and the
-Balkan states had emphasized the deficiencies of Ottoman
-communications, Ottoman economic and military organization,
-Ottoman financial resources. The national treasury,
-emptied by the drain of three wars, needed replenishment
-by an increase in the customs duties, to which French
-sanction would have to be obtained, and by a foreign loan,
-for which it was hoped French bankers would submit a
-favorable bid. All of these questions were so closely associated
-with the question of political influence in the Near
-East, however, that it was obviously desirable to arrive at
-some <i>modus vivendi</i> between French and German interests
-in Ottoman railways and in Ottoman financial affairs.
-Accordingly, the Young Turk Government prevailed upon
-the Imperial Ottoman Bank and the <i>Deutsche Bank</i> to
-discuss a basis for a Franco-German agreement, and
-Djavid Bey was despatched to Paris to conduct whatever
-negotiations might be necessary with the French
-Government.</p>
-
-<p>On August 19 and 20 and September 24, 25, 26, 1913,
-a series of important meetings was held in Berlin to ascertain
-upon what terms French and German investments in
-Turkey might be apportioned with the least possibility of
-conflict. German interests were represented by Dr. von
-Gwinner and Dr. Helfferich; the chief of the French
-negotiators were Baron de Neuflize, a Regent of the Bank
-of France, and M. de Klapka, Secretary-General of the
-Imperial Ottoman Bank. Supposedly the conferences were
-conducted only between the interested financiers, but the
-discussions were participated in by representatives of the
-French, German, and Ottoman foreign offices. Obstacles
-which, at the start, seemed insurmountable we<span class="pagenum"><a name="Page_248" id="Page_248">248</a></span>re overcome
-at the Berlin meetings and a series of minor conferences
-which followed. The result was one of the most important
-international agreements of the years immediately
-preceding the Great War—the secret Franco-German convention
-of February 15, 1914. The terms of this agreement,
-heretofore unpublished, may be summarized as
-follows:<a name="FNanchor_14_337" id="FNanchor_14_337"></a><a href="#Footnote_14_337" class="fnanchor">14</a></p>
-
-<div class="blockquot2">
-<p>1. Northern Anatolia was recognized as a sphere of French
-influence for purposes of railway development. Arrangements
-were concluded for linking the Anatolian and Bagdad systems
-with the proposed Black Sea Railways, and traffic agreements
-satisfactory to all of the companies were ratified and appended
-to the convention. It was agreed that the port and terminal
-facilities at Heraclea should be constructed by a Franco-German
-company.</p>
-
-<p>2. Syria, likewise, was recognized as a French sphere of influence.
-In particular, the right of the Syrian Railways to construct
-a line from Tripoli-in-Syria to Deir es Zor, on the
-Euphrates, was confirmed. A traffic agreement between the
-Bagdad and Syrian companies was ratified and appended to
-the convention.</p>
-
-<p>3. The regions traversed by the Anatolian and Bagdad Railways
-were defined as a German sphere of influence. A neutral
-zone was established in Northern Syria to avoid infringement
-upon German or French rights in that region.</p>
-
-<p>4. The <i>Deutsche Bank</i> and the Imperial Ottoman Bank each
-pledged itself to respect the concessions of the other, to seek no
-railway concessions within the sphere of influence of the other,
-and to do nothing, directly or indirectly, to hinder the construction
-or exploitation of the railway lines of the other in Asiatic
-Turkey.</p>
-
-<p>5. It was agreed that appropriate diplomatic and financial
-measures should be taken to bring about an increase in the
-revenues of the Ottoman Empire, sufficient, at least, to finance
-all of the projected railways, both French and German. Construction
-of the lines already authorized, or to be authorized,
-should be pursued, as far as possible, <i>pari passu</i>, each group to
-receive subsidies from the Ottoman Treasury in about the same
-proportion.</p>
-
-<p>6. The <i>Deutsche Bank</i> agreed to repurchase from the Imperial
-Ottoman Bank all of the latter’s shares and debentures of the
-Bagdad Railway and its subsidiary enterprises, amounting to
-Fr. 69,400,000. Payment was to be made in like value of Imperial
-Ottoman bonds of the Customs Loan of 1911, Second Ser<span class="pagenum"><a name="Page_249" id="Page_249">249</a></span>ies,
-which had been underwritten by a German syndicate.</p></div>
-
-<p>Certain observations should be made regarding the character
-of this convention, if its full significance is to be
-appreciated. It was an agreement between two great financial
-groups in France and Germany; as such it was signed
-by M. Sergent, Sub-Governor of the Bank of France;
-M. de Klapka, Secretary-General of the Imperial Ottoman
-Bank; and Dr. Karl Helfferich, Managing Director of the
-<i>Deutsche Bank</i>. In addition, it was an understanding between
-the Governments of France and Germany; as such
-it was signed by M. Ponsot, of the French Embassy in
-Berlin, and by Herr von Rosenberg, of the German Foreign
-Office. A speech of Chancellor von Bethmann-Hollweg
-to the Reichstag, December 9, 1913, acknowledged
-the official character of the negotiations being
-conducted by the French and German bankers. That the
-French Government considered the convention a binding
-international agreement is made perfectly clear by a
-despatch of Baron Beyens, Belgian Minister in Berlin,
-to M. Davignon, Belgian Minister of Foreign Affairs,
-February 20, 1914, in which the attention of the Belgian
-Government is officially called to the existence of the convention.<a name="FNanchor_15_338" id="FNanchor_15_338"></a><a href="#Footnote_15_338" class="fnanchor">15</a>
-The agreement, furthermore, was acceptable to
-the Ottoman Government, for the Sultan promptly confirmed
-the concessions for the new Black Sea and Syrian
-lines and for the necessary extensions to the Anatolian
-Railways. Much has been written about governmental
-support of investors in foreign countries, but, so far as
-the author has been able to ascertain, this is the first instance
-in which a financial pact and an international agreement
-have been combined in one document. No longer
-are treaties negotiated by diplomatists alone, but by
-diplomatists and bankers!</p>
-<p><span class="pagenum"><a name="Page_250" id="Page_250">250</a></span></p>
-<p>From the standpoint of the French interests involved,
-the February convention of 1914 was an eminently satisfactory
-settlement of the Bagdad Railway controversy.
-French capitalists secured concessions for more than 2,000
-miles of railways in Asiatic Turkey, thus eliminating the
-danger of eventual German control of all communications
-in the Ottoman Empire. The Imperial Ottoman Bank was
-relieved of the risk of carrying an investment of almost
-seventy million francs in the Bagdad enterprise—an investment
-which had been a “frozen asset” because of the
-persistent refusal of the French Government to admit the
-Bagdad securities to the Bourse. In return, the Bank
-received a large block of Imperial Ottoman bonds, which
-were readily negotiable and which materially increased
-French influence in the Ottoman Public Debt Administration.
-Furthermore, as a result of a tacit agreement with
-the <i>Deutsche Bank</i>, the Imperial Ottoman Bank was
-awarded the Imperial Ottoman Five Per Cent Loan of
-1914, amounting to $100,000,000, upon terms affording a
-handsome profit to the underwriters.<a name="FNanchor_16_339" id="FNanchor_16_339"></a><a href="#Footnote_16_339" class="fnanchor">16</a> As for the French
-Government, it was enabled to emerge gracefully from the
-difficult situation in which it found itself after the Potsdam
-Agreement. France no longer was obliged to pursue
-a purely Russian policy in the Near East, for the Tsar’s
-Government—in addition to withdrawing its objections
-to German railways in Asiatic Turkey—gave its consent
-to the construction of the French Black Sea Railways with
-the sole proviso that the system should not be completed
-in its entirety until Russia had constructed certain strategic
-railways necessary to assure the safety of the Caucasus
-frontier.<a name="FNanchor_17_340" id="FNanchor_17_340"></a><a href="#Footnote_17_340" class="fnanchor">17</a></p>
-
-<p>German diplomacy, on the other hand, had strengthened
-its position in the Near East by securing definite recognition
-of central and southern Anatolia, northern Syria
-and Mesopotamia as German spheres of interest. German<span class="pagenum"><a name="Page_251" id="Page_251">251</a></span>
-financiers acquired exclusive control of the Bagdad enterprise
-and were assured that there would be no further
-obstruction of their plans by the French Government. The
-French promise to coöperate in improving the financial
-situation in Turkey meant that funds would be forthcoming
-for continued construction of uncompleted sections of
-the Bagdad Railway. The Young Turks were delighted at
-the prospect that the Powers might finally consent to the
-much-needed increase in the customs duties. They were
-no less delighted to know that railway construction in
-Asia Minor—which held out so much promise for the
-economic development and the political stability of the
-country—was to go on unimpeded by Franco-German
-rivalry and antagonism.<a name="FNanchor_18_341" id="FNanchor_18_341"></a><a href="#Footnote_18_341" class="fnanchor">18</a></p>
-
-<p>There was some harsh criticism in Great Britain, however,
-of the advantages which France had obtained for
-herself in the Ottoman Empire. Sir Mark Sykes, an
-eminent student of Near Eastern affairs, believed that
-the new state of affairs was worse than the old. Speaking
-in the House of Commons, March 18, 1914, he warned
-the Foreign Office that “the policy of French financiers
-will produce eventually the collapse of the Ottoman Empire....
-Take the proposed loan arranged with the French
-Government, for something over £20,000,000. In order
-to get this there are concessions which I cannot help feeling
-are more brazen and more fatal than any I have seen.
-The existing railways in Syria meander for miles to avoid
-legitimate profits in order to extort a guarantee. Alongside
-these railways you can see the merchants’ merchandise
-and the peasants’ produce rotting because the railway people
-do not trouble to warehouse the stuff or to shift it.
-They have got their guarantee, and they do not care.
-These concessions, which have been extracted from Turkey,
-mean a monopoly of all Syrian transit; and, further,
-a native press is to be subventioned practically in the intere<span class="pagenum"><a name="Page_252" id="Page_252">252</a></span>st
-of these particular monopolies.... In practice, loans,
-kilometric guarantees, monopolies, and a financed native
-press must, whether the financiers desire it or not, pave
-the way to annexation. I submit that this is not the spirit
-of the <i>entente</i>. The British people did not stand by the
-French people at Agadir to fill the pockets of financiers
-whose names are unknown outside Constantinople or the
-Paris Bourse.... The Ottoman Empire is shaken, and
-the cosmopolitan financier is now staking out the land
-into spheres of interest. An empire may survive disaster,
-but it cannot survive exploitation. A country like Turkey,
-without legislative capacity, without understanding what
-the economics of Europe mean and at the same time rich,
-is a lamb for the slaughter.”<a name="FNanchor_19_342" id="FNanchor_19_342"></a><a href="#Footnote_19_342" class="fnanchor">19</a></p>
-
-<p>This trenchant criticism of French policy might have
-been taken more seriously had Great Britain herself been
-actuated by magnanimous impulses. Instead, British
-financiers were joining the common scramble for concessions,
-and British statesmen were pursuing with ruthless
-avidity every means of protecting British imperial interests.</p>
-
-<h3><span class="smcap">The Young Turks Conciliate Great Britain</span></h3>
-
-<p>The Bagdad negotiations of 1910–1911 between Sir
-Ernest Cassel and Dr. von Gwinner, on the one hand, and
-the British and Ottoman Governments, on the other, came
-to naught, it will be recalled, because of the refusal of
-Sir Edward Grey to consent to an increase in the Turkish
-customs duties. The Sublime Porte was unwilling to
-grant the economic concessions demanded by Great Britain
-as the price of her assistance in Ottoman financial stabilization.
-But the Young Turks were shrewd enough to
-keep the door open for further negotiations by removing
-the chief political objection of England to the Bagdad
-enterprise—namely, that it <span class="pagenum"><a name="Page_253" id="Page_253">253</a></span>menaced British imperial interests
-in the region of the Persian Gulf. In the convention
-of March 21, 1911, with the Bagdad Railway
-Company, the Ottoman Government reserved to itself
-considerable latitude in the disposition of the sections of
-the line beyond Bagdad.<a name="FNanchor_20_343" id="FNanchor_20_343"></a><a href="#Footnote_20_343" class="fnanchor">20</a></p>
-
-<p>Conversations were resumed in July, 1911, when the
-Turkish minister in London solicited of the Foreign Office
-a further statement of the conditions upon which British
-objections to the Bagdad Railway might be waived. He
-was informed that English acquiescence might be forthcoming
-if the Bagdad-Basra section of the railway were
-constructed by a company in which British, French, German,
-Russian, and Turkish capital should share equally;
-if adequate guarantees were obtained regarding the protection
-of British imperial interests in southern Mesopotamia
-and Persia; if English capital were granted important
-navigation rights on the Shatt-el-Arab, including
-complete exemption of British ships and British goods
-from Ottoman tolls; if safeguards were provided against
-discriminatory and differential tariffs on the Bagdad
-system.</p>
-
-<p>These proposals met with only partial acceptance by the
-Ottoman Government. Turkey was willing to internationalize
-the southernmost sections of the Bagdad Railway,
-but under no circumstances would she permit Russian
-participation in an enterprise which was so vital to the
-defence of the Sultan’s Empire. Turkey was prepared to
-discuss with England measures for the protection of
-legitimate British interests in the Middle East, provided
-there be no further infringement on the sovereign rights
-of the Sultan in southern Mesopotamia. Turkey agreed
-that the principle of the economic open door should be
-scrupulously observed throughout the Ottoman Empire;
-therefore she could not agree to discriminatory treatment
-in favor of British commerce on the Shatt-el-Arab, the
-Tigris, and the Euphrates. Upon these conditions th<span class="pagenum"><a name="Page_254" id="Page_254">254</a></span>e
-Ottoman minister at London was authorized to continue
-negotiations in the most friendly spirit.<a name="FNanchor_21_344" id="FNanchor_21_344"></a><a href="#Footnote_21_344" class="fnanchor">21</a></p>
-
-<p>The Agadir crisis, which threatened war between England
-and Germany, and the Tripolitan War, which diverted
-Turkish attention from domestic reform to defence of
-the Empire, unfortunately led to a suspension of the
-Anglo-Turkish conversations. They were not resumed
-until 1913, when Turkey found a breathing spell between
-the first and second phases of the First Balkan War.</p>
-
-<p>During the interim, however, steps were taken to remove
-the obstacles which stood in the way of an Anglo-German
-understanding. In February, 1912, Lord Haldane visited
-Berlin as the guest of the Kaiser to discuss curtailment
-of the naval programs of the two Powers and to agree
-upon other measures which would effect a <i>rapprochement</i>
-between <i>Wilhelmstrasse</i> and Downing Street. As regards
-the Bagdad Railway, Lord Haldane informed the German
-Government that he stood upon the position he had taken
-in 1907—that Great Britain was prepared to grant its
-consent to the enterprise if British political interests in
-Mesopotamia were adequately safeguarded.<a name="FNanchor_22_345" id="FNanchor_22_345"></a><a href="#Footnote_22_345" class="fnanchor">22</a> A few
-months later, Baron Marschall von Bieberstein—who for
-fifteen years had guided Germany’s destiny in the Near
-East—was transferred from Constantinople to the embassy
-at London, as the first step in an attempt to reconcile
-British imperial interests with German diplomatic
-hegemony in Turkey. Almost simultaneously, Sir Harry
-Johnston, whose enthusiasm for German ventures in Asia
-Minor has already been mentioned,<a name="FNanchor_23_346" id="FNanchor_23_346"></a><a href="#Footnote_23_346" class="fnanchor">23</a> began a quasi-official
-lecture tour in Germany to urge a sane settlement
-of the Near Eastern tangle. Another important development
-was the appointment as German Minister of Foreign
-Affairs, in January, 1913, of Herr von Jagow, who believed
-that a great European war was inevitable unless
-England and Germany could come to terms on the Turkish<span class="pagenum"><a name="Page_255" id="Page_255">255</a></span>
-question.<a name="FNanchor_24_347" id="FNanchor_24_347"></a><a href="#Footnote_24_347" class="fnanchor">24</a></p>
-
-<p>In this manner the stage was set for a resumption of
-Anglo-Turkish conversations on the Bagdad Railway. In
-February, 1913, Hakki Pasha, minister plenipotentiary and
-extraordinary of the Ottoman Government, arrived in
-London with instructions to leave no stone unturned to
-settle outstanding differences with Great Britain. For
-almost four months Hakki Pasha and Sir Edward Grey
-discussed the problems of the Near East and conferred
-with Herr von Kühlmann and Prince Lichnowsky, of the
-German embassy at London, regarding the general terms
-of a tripartite settlement of the economic and political
-questions at issue. In May, 1913, a full agreement was
-reached upon the following wide range of subjects: regularization
-of the legal position in Turkey of British religious,
-educational, and medical institutions; pecuniary
-claims of Great Britain against the Ottoman Empire; the
-Turkish veto on the borrowing powers of Egypt; Turco-Persian
-boundary disputes, particularly in so far as they
-affected oil lands; navigation of the Tigris, Euphrates, and
-Shatt-el-Arab; irrigation of the Mesopotamian valley;
-the status of Koweit. The settlements agreed upon were
-ratified by a series of treaties between Great Britain and
-Turkey, notably those of July 29, and October 21, 1913,
-and of June, 1914. Reconciliation of British and German
-interests was reserved for discussion between London and
-Berlin.<a name="FNanchor_25_348" id="FNanchor_25_348"></a><a href="#Footnote_25_348" class="fnanchor">25</a></p>
-
-<p>In so far as concerned the Bagdad Railway, the substance
-of the Anglo-Turkish agreements of 1913 is as
-follows:</p>
-
-<div class="blockquot2">
-
-<p>1. Turkey recognized the special position of Great Britain in
-the region of the Persian Gulf. Therefore, although Great
-Britain acknowledged the suzerainty of the Sultan over Koweit,
-the Ottoman Government pledged a policy of non-interference
-in the affairs of the principality. The existing treaties between
-the Sheik and Great Britain were confirmed.</p>
-
-<p>2. The terminus of the Bagdad Railway was to be Basra,
-un<span class="pagenum"><a name="Page_256" id="Page_256">256</a></span>less and until Great Britain should give consent to an extension
-of the line to the Persian Gulf.</p>
-
-<p>3. In order to assure equality of treatment for all, regardless
-of nationality or other considerations, the Ottoman Government
-agreed that two British citizens should be elected to the Board
-of Directors of the Bagdad Railway Company.</p>
-
-<p>4. Exclusive rights of navigation by steamers and barges on
-the Tigris, Euphrates, and Shatt-el-Arab were granted to the
-Ottoman River Navigation Company, to be formed by Baron
-Inchcape, chairman of the Peninsular and Oriental and the
-British India Steam Navigation Companies. The Navigation
-Company, in which Turkish capital was to be offered a fifty per
-cent participation, was to have wide powers for the improvement
-and regulation of all navigable streams in Mesopotamia, in cooperation
-with a commission to be appointed by the Ottoman
-Government. Lord Inchcape’s concession was for a period of
-sixty years, with optional renewals for ten-year periods.</p>
-
-<p>5. It was agreed, however, that the Bagdad Railway and
-Inchcape concessions were without prejudice to the rights of the
-Lynch Brothers, which were specifically reaffirmed. The Lynch
-Brothers, in fact, were granted the privilege of adding another
-steamer to their equipment, with the single restriction that it fly
-the Turkish flag.</p>
-
-<p>6. The British Government agreed that no navigation rights
-of its nationals would be construed as permitting interference
-with the development of Mesopotamia by irrigation, and the
-Ottoman Government guaranteed that no irrigation works would
-be permitted to divert navigable streams from their course.</p>
-
-<p>7. In return for these, and other, assurances and concessions,
-Great Britain consented to support an increase of 4% in the
-customs duties of the Ottoman Empire.</p></div>
-
-<p>The terms of this settlement were hailed by the English
-press as an admirable solution of the Mesopotamian
-imbroglio. <i>The Times</i> of May 17, 1913, for example,
-said: “Great Britain will have no further reason for looking
-askance at a project which should do much for the
-development of Asiatic Turkey. Our interests will be
-safeguarded; we have always said that a terminus at Basra
-offered no menace to specific British interests in the Pe<span class="pagenum"><a name="Page_257" id="Page_257">257</a></span>rsian
-Gulf; and the German promoters will be free to
-complete their great project with the benevolent acquiescence
-of Great Britain. There will be no official participation
-in the construction of the line, but there will also
-be nothing to deter British capital from being associated
-with the scheme. We believe that if some such solution
-is adopted, a fertile source of international misunderstanding
-will disappear. It is a solution which should receive
-the approval of France and Russia and should give gratification
-to Germany. It appears to leave no room for
-subsequent differences of opinion, while it wipes out a
-whole series of obscure disputes. It will be a further
-demonstration of that spirit of coöperation among the
-Great Powers which has done so much of late to preserve
-the peace of Europe. It should convince Germany that
-Great Britain does not oppose the essential elements of
-the Bagdad Railway scheme provided her own special interests
-are protected. Above all, it will relieve the financial
-disabilities of Turkey and will enable her to press
-forward the great task of binding with bonds of steel
-the great Asiatic territories in which her future chiefly
-lies.” Other press opinion was in accord with Sir
-Edward Grey that the agreement “justifies us in saying
-that it is no longer in British interests to oppose the
-line.”<a name="FNanchor_26_349" id="FNanchor_26_349"></a><a href="#Footnote_26_349" class="fnanchor">26</a></p>
-
-<p>In Germany, likewise, the Anglo-Turkish agreement
-was favorably received. The <i>Berliner Tageblatt</i> of December
-29, 1913, hailed it as a triumph of German diplomacy.
-“For years,” it said, “this undertaking has
-threatened to become a bone of contention between Russia,
-England, and Germany. The German Government has
-now, through its cleverness and tenacity, succeeded in removing
-all differences and in bringing the line altogether
-into German possession.” In the Reichstag, as well, the
-general tenor of the comments was favorable<span class="pagenum"><a name="Page_258" id="Page_258">258</a></span>, although
-Herr Bassermann and other National Liberals were somewhat
-vociferous about the great “sacrifices” which Germany
-had made to propitiate Great Britain. Among the
-Social Democrats and the Centrists, however, the sentiment
-was obviously in accord with one member who
-said, “We share the general satisfaction at this <i>rapprochement</i>,
-which is an aid to world peace, but we also
-are of the opinion that there is no occasion for over-exuberance
-or patriotic bombast.”<a name="FNanchor_27_350" id="FNanchor_27_350"></a><a href="#Footnote_27_350" class="fnanchor">27</a></p>
-
-<p>As usual, the rôle of the Turks themselves was slighted.
-A casual observer might have remarked that whatever
-“benevolent acquiescence” was included in the settlement
-originated in Constantinople rather than in London, and
-that the “sacrifices” involved were much more painful to
-Turkey than to Germany!</p>
-
-<h3><span class="smcap">British Imperial Interests Are Further
-Safeguarded</span></h3>
-
-<p>In the Speech from the Throne, February 10, 1914,
-King George V informed Parliament that the Near Eastern
-question was approaching a solution. “My relations
-with foreign Powers continue to be friendly,” he said. “I
-am happy to say that my negotiations, both with the German
-Government and the Ottoman Government as regards
-matters of importance to the commercial and industrial
-interests of this country in Mesopotamia are rapidly approaching
-a satisfactory issue.” Nothing was said to
-indicate the character of the negotiations or to identify the
-“commercial and industrial interests” which were the
-objects of royal solicitude.</p>
-
-<p>Before the British Government would give its consent
-to a final agreement with Turkey and Germany regarding
-the Bagdad Railway, the King might have added, it
-was determined to acquire for certain worthy Britons <span class="pagenum"><a name="Page_259" id="Page_259">259</a></span>a
-share in some of the choicest economic plums in the
-Ottoman Empire. Heading the interests which were thus
-to be favored was the Right Honorable James Lyle
-Mackay, Baron Inchcape of Strathnaver, who had been the
-beneficiary of the aforementioned Mesopotamian navigation
-concession of July, 1913. Lord Inchcape is perhaps
-the foremost shipping magnate in the British Empire. He
-is chairman and managing director of the Peninsular
-and Oriental and the British India Steam Navigation
-Companies; chairman and director of the Australasian
-United Steam Navigation Company and the Eastern and
-Australian Steamship Company; a director of the Steamship
-Owners’ Coal Association, the Australasia and China
-Telegraph Company, the Marine Insurance Company, the
-Central Queensland Meat Export Company, and various
-other commercial enterprises. He is a vice-president of
-the Suez Canal Company. He has extensive interests in
-the petroleum industry as a director of the Anglo-Persian
-Oil Company, Scottish Oils, Ltd., and the D’Arcy Exploration
-Company.</p>
-
-<p>Lord Inchcape’s interests were given ample consideration
-in the Anglo-German negotiations of 1914. On
-February 23, a contract was signed at London between
-the Bagdad Railway Company and Lord Inchcape, the
-signatures to which were witnessed by Herr von Kühlmann,
-of the German embassy, and Sir Eyre Crowe, of
-the British Foreign Office. Under the terms of this
-contract the Bagdad Railway Company acknowledged the
-monopolistic privileges in Mesopotamian river navigation
-conferred upon Lord Inchcape’s interests by the Ottoman
-Government; agreed to cancel its outstanding engagements
-with the Lynch Brothers for the transportation of railway
-materials between Basra and points along the Tigris;
-and guaranteed Lord Inchcape a minimum amount of
-100,000 tons of freight, at a figure of 22–1/2 shillings per
-ton, in the transportation on the Tigris of supplies<span class="pagenum"><a name="Page_260" id="Page_260">260</a></span> for
-the construction of the Bagdad Railway and its subsidiary
-enterprises.<a name="FNanchor_28_351" id="FNanchor_28_351"></a><a href="#Footnote_28_351" class="fnanchor">28</a></p>
-
-<p>This contract was so obviously in contravention of
-earlier rights of the Lynch Brothers, which had been
-specifically reaffirmed by the negotiations with Turkey,
-that it was amended by an agreement of March 27, 1914,
-between Lord Inchcape, Mr. John F. Lynch, and the Bagdad
-Railway Company. The latter arrangement provided:
-1. That Lord Inchcape should immediately organize the
-Ottoman Navigation Company to take over the concession
-of July, 1913, and the rights conferred upon Lord Inchcape
-by his agreement of February 23, 1914, with the
-Bagdad Railway Company; 2. That the Lynch Brothers
-should be admitted to participation in the new Navigation
-Company and that Mr. John F. Lynch should be elected
-a director thereof; 3. That the Bagdad Railway should
-assign to a new Ottoman Ports Company—in which Mr.
-Lynch and Lord Inchcape should be granted a 40%
-participation—all of the rights of the Railway to the construction
-of port and terminal facilities at Bagdad and
-Basra; 4. That the Bagdad Railway Company should be
-granted a 20% participation in the new Ottoman Navigation
-Company. Thus were Lord Inchcape’s powerful
-interests further propitiated! Thus did the Lynch
-Brothers cease to be big fish in a small pond, to become
-small fish in a big lake!</p>
-
-<p>Measures were now taken to protect another vested
-interest, the British-owned Smyrna-Aidin Railway Company.
-On March 26, a draft agreement, subsequently
-confirmed as part of the Anglo-German convention of
-June 15, was executed by Dr. Carl Bergmann, of the
-Bagdad Railway Company, and Lord Rathmore, of the
-Smyrna-Aidin Company. It provided for important
-extensions of over 200 miles to the existing Smyrna-Aidi<span class="pagenum"><a name="Page_261" id="Page_261">261</a></span>n
-line (including a junction with the Anatolian-Bagdad
-system at Afiun Karahissar), granted to British
-interests valuable navigation rights on the lakes of Asia
-Minor, and protected each railway from discriminatory
-treatment at the hands of the other. This settlement was
-approved by Herr von Kühlmann, on behalf of the German
-Government; Mr. Alwyn Parker, of the British
-Foreign Office; and Hakki Pasha, minister plenipotentiary
-of the Sultan to the Court of St. James.<a name="FNanchor_29_352" id="FNanchor_29_352"></a><a href="#Footnote_29_352" class="fnanchor">29</a></p>
-
-<p>Oil—the magic word which has become the open sesame
-of so many diplomatic mysteries—was of no inconsiderable
-importance in 1914. Early in that eventful year the
-British Government—in order to insure an uninterrupted
-supply of fuel to the fleet—had purchased a controlling
-interest in the Anglo-Persian Oil Company. As a necessary
-step in the negotiations regarding Turkish oilfields
-the German Government was obliged, in March, 1914, to
-recognize southern Mesopotamia, as well as central and
-southern Persia, as the exclusive field of operations of
-the Anglo-Persian Company, and, in addition, to agree
-to the construction of a railway from Kut-el-Amara to
-Mendeli for the purpose of facilitating petroleum shipments.
-Thereupon an Anglo-German syndicate organized
-the Turkish Petroleum Company for the acquisition and
-exploitation of the oil resources of the vilayets of Mosul
-and Bagdad. Half of the stock of the new company was
-assigned to the National Bank of Turkey (controlled by
-Sir Ernest Cassel) and the D’Arcy group (in which Lord
-Inchcape was interested); one quarter was assigned to
-the Royal Dutch Company, and the remainder was reserved
-for the <i>Deutsche Bank</i>. Upon joint representations
-by the British and German ambassadors at the Sublime
-Porte, the Sultan, in June, 1914, conferred upon the Turkish
-Petroleum Company exclusive rights of exploitation
-of the oil resources of the Mesopotamian valley from
-Mosul to Bagdad.<a name="FNanchor_30_353" id="FNanchor_30_353"></a><a href="#Footnote_30_353" class="fnanchor">30</a></p>
-
-<p><span class="pagenum"><a name="Page_262" id="Page_262">262</a></span></p>
-
-<p>The vested interests of certain of its citizens having thus
-been amply protected, the British Government proceeded
-to complete its negotiations with the German ambassador
-in London. On June 15, 1914, Sir Edward Grey and
-Prince Lichnowsky initialed an important convention regarding
-the delimitation of English and German interests
-in Asiatic Turkey. The following day <i>The Times</i> announced
-that the terms of an Anglo-German agreement
-had been incorporated in a draft treaty, and on June 29,
-Sir Edward Grey informed the House of Commons that
-formal ratification of the convention was being postponed
-only “until Turkey and Germany have completed their
-own separate negotiations.” By mid-July all was in readiness
-for the definitive signing of the treaty, but the widening
-importance of the Austro-Serbian dispute and the outbreak
-of the Great War put an end to the Bagdad Railway
-conversations.<a name="FNanchor_31_354" id="FNanchor_31_354"></a><a href="#Footnote_31_354" class="fnanchor">31</a></p>
-
-<p>The terms of the convention of June 15, 1914—which
-might have meant so much to the future of Anglo-German
-relations—constituted a complete settlement of
-the controversy which had waged for more than ten
-years over German railway construction in the Mesopotamian
-valley. The reconciliation of the divergent interests
-of the two Powers was based upon the following
-considerations:<a name="FNanchor_32_355" id="FNanchor_32_355"></a><a href="#Footnote_32_355" class="fnanchor">32</a></p>
-
-<div class="blockquot2">
-
-<p>1. “In recognition of the general importance of the Bagdad
-Railway in international trade” the British Government bound
-itself not “to adopt or to support any measures which might
-render more difficult the construction or management of the
-Bagdad Railway by the Bagdad Railway Company or to prevent
-the participation of capital in the enterprise.” Great Britain
-further agreed that under no circumstances would it “undertake
-railway construction on Ottoman territory in direct competition
-with lines of the Bagdad Railway Company or in contravention
-of existing rights of the Company or support the efforts of any
-persons or companies directed to this end,” unless in accord with
-the expressed wishes of the German Government.</p>
-
-<p>2.<span class="pagenum"><a name="Page_263" id="Page_263">263</a></span> His Britannic Majesty’s Government pledged itself to support
-an increase in the customs duties of the Ottoman Empire
-from 11% to 15% <i>ad valorem</i> and, furthermore, to “raise no
-objection to the assignment to the Bagdad Railway Company of
-already existing Turkish State revenues, or of revenues from the
-intended increase in tariff duties, or of the proposed monopolies
-or taxes on the consumption of alcohol, petroleum, matches,
-tinder, cigarette-paper, playing cards, and sugar to the extent
-necessary for the completion of the Railway.“</p>
-
-<p>3. The terminus of the Bagdad Railway was to be Basra.
-Both of the signatory Powers declared that under no circumstances
-would they “support the construction of a branch from
-Basra or any other point on the main line of the Bagdad Railway
-to the Persian Gulf, unless a complete understanding be previously
-arrived at between the Imperial Ottoman, the Imperial
-German, and His Britannic Majesty’s Governments.” The German
-Government furthermore pledged itself under no circumstances
-to “undertake the construction of a harbor or a railway
-station on the Persian Gulf or support efforts of any persons
-or companies directed toward that end, unless a complete agreement
-be previously arrived at with His Britannic Majesty’s
-Government.”</p>
-
-<p>4. The German Government undertook to see that “on the
-lines of the Bagdad Railway Company, as hitherto, no direct or
-indirect discrimination in transit facilities or freight rates shall
-be made in the transportation of goods of the same kind between
-the same places, either on account of ownership or on account
-of origin or destination of the goods or because of any other
-consideration.” In other words, the German Government agreed
-to enforce Articles 24 and 25 of the Specifications of March 5,
-1903, which provided that “all rates, whether they be general,
-special, proportional, or differential, shall be applicable to all
-shippers and passengers without distinction,” and which prohibited
-the Company to enter into any agreement for the purpose
-of granting reductions in the rates announced in its published
-tariffs.</p>
-
-<p>5. In order further to protect British interests the German
-Government assumed responsibility for the election to the Board
-of Directors of the Bagdad Railway Company of “two English
-members acceptable to His Britannic Majesty’s Government.”</p>
-
-<p>6. Both Powers pledged themselves unreservedly to observe
-the principle of the economic open door in the operation of railway,
-ports, irrigation, and navigation enterprises in Turkey-in-Asia.</p>
-
-<p>7. Great Britain recognized German interests in the irrigation
-of the Cilician plain, and Germany recognized British interests
-in<span class="pagenum"><a name="Page_264" id="Page_264">264</a></span> the irrigation of the lower Mesopotamian valley.</p>
-
-<p>8. Both signatory Powers took cognizance of and agreed to
-observe the Anglo-Turkish agreement of July, 1913, conferring
-important navigation rights in Mesopotamia upon British subjects;
-the agreements between Lord Inchcape and the Bagdad
-Railway Company, regarding navigation and port and terminal
-facilities on the Tigris and Euphrates; the agreement between
-the Smyrna-Aidin Railway and the Bagdad Railway regarding
-important extensions to the former line.</p>
-
-<p>9. Great Britain and Germany agreed to “use their good
-offices with the Imperial Ottoman Government to the end that
-the Shatt-el-Arab shall be brought into a satisfactory navigable
-condition and permanently maintained in such condition, so that
-ocean-going ships may always be assured of free and easy access
-to the port of Basra, and, further, that the shipping on the
-Shatt-el-Arab shall always be open to ocean-going ships under
-the same conditions to ships of all nations, regardless of the
-nationality of the ships or their cargo.”</p>
-
-<p>10. It was agreed, finally, that any differences of opinion resulting
-from the convention or its appended documents should
-be subject to arbitration. If the signatory Powers were unable
-to agree upon an arbitrator or a special court of arbitration, the
-case was to be submitted to the Permanent Court of Arbitration
-at the Hague.</p></div>
-
-<p>From both the German and the British points of view
-the foregoing convention was an admirable solution of
-the Turkish problem. Had the agreement been reached
-ten years earlier, it might have avoided estrangement between
-the two nations. Had it come at almost any other
-time than on the eve of the Great War, it would have been
-a powerful stimulus to an Anglo-German <i>rapprochement</i>.</p>
-
-<p>Germany, it is true, was obliged to abandon any hope
-of establishing a port on the Persian Gulf. But there
-were grave uncertainties that Koweit could ever be developed
-as a commercially profitable terminus for the Bagdad
-Railway, whereas its very possession by a German
-company would have been a constant source of irritation
-to Great Britain. Basra, on the other hand, had obvious<span class="pagenum"><a name="Page_265" id="Page_265">265</a></span>
-advantages. Like many of the great harbors of the world—Hamburg,
-Bremen, Antwerp, London, New York—it
-was on a river, rather than the open sea; and inasmuch as
-Great Britain had agreed that the freedom of the open
-sea should be applied to the Shatt-el-Arab, German ships
-were assured unrestricted access to the southern terminus
-of the Bagdad Railway. In return for surrendering the
-Basra-Persian Gulf section of the Bagdad system and
-for admitting British capitalists to participation in the
-Bagdad and Basra ports company, Germany received full
-recognition of her economic rights in Anatolia, Syria, and
-northern Mesopotamia, together with a minor share in
-Lord Inchcape’s navigation enterprises and in the newly
-formed Turkish Petroleum Company. Above all, British
-opposition to the Bagdad Railway, which had been so
-stubbornly maintained since 1903, was to be a thing of the
-past. For these considerations Germany could well afford
-to accept a subordinate place in southern Mesopotamia
-and to recognize British interests in the Persian Gulf.</p>
-
-<p>Great Britain gained even more than Germany. She
-abandoned her policy of obstruction of the Bagdad Railway
-and consented to an increase in the customs duties of
-the Ottoman Empire. These considerations had never
-been ends in themselves, but rather pawns in the great
-game of diplomacy, to be surrendered in return for other
-valuable considerations. For them England secured guarantees
-of equality of treatment for British citizens and
-British goods on the German railway lines in Turkey. In
-addition, English capitalists received a monopoly of navigation
-on the Tigris and Euphrates, a 40% interest in
-port and terminal facilities at Bagdad and Basra, control
-of the oil resources of the Mesopotamian valley, extensions
-to British-owned railways in southern Anatolia, and other
-valuable economic concessions. British political control
-was recognized as dominant in<span class="pagenum"><a name="Page_266" id="Page_266">266</a></span> southern Mesopotamia;
-therefore the Bagdad Railway no longer could be said to
-be a menace to the safety of India. As for Britain’s new
-position in the Persian Gulf, one of her own publicists
-said, “England has virtually annexed another sea, one
-of the world’s highways.”<a name="FNanchor_33_356" id="FNanchor_33_356"></a><a href="#Footnote_33_356" class="fnanchor">33</a></p>
-
-<h3><span class="smcap">Diplomatic Bargaining Fails to Preserve Peace</span></h3>
-
-<p>It is one of the tragedies of pre-War diplomacy that
-the negotiations of 1910–1914 failed to preserve peace in
-the Near East or, at least, to prevent the entry of Turkey
-into the Great War. But the failure of the treaties between
-Germany and the Entente Powers regarding the
-Ottoman Empire can be traced, in general, to the same
-reasons that contributed to the collapse of all diplomacy
-in the crisis of 1914. Imperialism, nationalism, militarism—these
-were the causes of the Great War; these were
-the causes of Ottoman participation in the Great War.</p>
-
-<p>One obvious defect of the Potsdam Agreement, the
-Franco-German agreement regarding Anatolian railways,
-the Anglo-Turkish settlement of 1913, and the Anglo-German
-convention regarding Mesopotamia, was the fact
-that they were founded upon the principle of imperial
-compensations. Each of the Great Powers involved made
-“sacrifices”—but in return for important considerations.
-And throughout all of the bargaining the rights of Turkey,
-a “backward nation,” were completely ignored. As the
-German ambassador in London wrote: “The real purpose
-of these treaties was to divide Asia Minor into spheres of
-interest, although this expression was anxiously avoided,
-out of regard for the rights of the Sultan.... By virtue
-of the treaties all Mesopotamia as far as Basra became
-our sphere of interest, without prejudice to older British
-rights in the navigation of the Tigris and in the Willcocks
-irrigation works. Our sphere further included the whole
-region of the Bagdad and Anatolian Railways. The British
-economic domain was to include the coasts of the P<span class="pagenum"><a name="Page_267" id="Page_267">267</a></span>ersian
-Gulf and the Smyrna-Aidin line; the French, Syria;
-the Russian, Armenia.”<a name="FNanchor_34_357" id="FNanchor_34_357"></a><a href="#Footnote_34_357" class="fnanchor">34</a></p>
-
-<p>In the scramble for concessions in Asia Minor, Italy
-had been overlooked. The proposed extension of the
-Smyrna-Aidin Railway met with vehement denunciation
-on the part of patriotic Italians who looked forward to
-the further development of Italian economic influence in
-the hinterland of the port of Adalia. The Italian press
-loudly demanded that energetic action be taken by the
-Government to secure from Turkey compensatory concessions
-or, in default of that, to announce to the Sublime
-Porte that Italy would not return to Turkey the Dodecanese
-Islands, of which Italy was in temporary occupation
-under the terms of the Treaty of Lausanne (1912). A
-formal demand of this character was made by King Victor
-Emmanuel’s ambassador at Constantinople, but was
-met with a curt refusal on the part of the Turks to bargain
-for the return of their own property.<a name="FNanchor_35_358" id="FNanchor_35_358"></a><a href="#Footnote_35_358" class="fnanchor">35</a></p>
-
-<p>The Young Turks were not unaware of the true character
-of the agreements they had entered into with the
-respective European Powers, but they considered themselves
-impotent to act otherwise at the time. They knew
-full well that there was grave danger in an extension of
-British influence in Mesopotamia, French interests in
-Syria, and Franco-Russian enterprise in northern Anatolia.
-They had not forgotten the spoliation of their
-empire by Austria-Hungary and Italy. They were not
-altogether unsuspicious about the intentions of Germany.
-But they believed they could never emancipate their
-country from foreign domination until they had modernized
-it. They needed foreign capital and foreign technical
-assistance, and they had to pay the price. In order to
-throw off the yoke of European imperialism they had to
-consent temporarily to be victimized by it.<a name="FNanchor_36_359" id="FNanchor_36_359"></a><a href="#Footnote_36_359" class="fnanchor">36</a></p>
-<p><span class="pagenum"><a name="Page_268" id="Page_268">268</a></span></p>
-<p>Nationalistic fervor added to the difficulties created by
-imperialist rivalry. M. André Tardieu, political editor at
-the time of <i>Le Temps</i>, did not let a single opportunity
-pass during February and March, 1914, to denounce the
-French Government for its pro-German policy in the Bagdad
-Railway question. When M. Cambon, French ambassador
-at Berlin, was asked whether the Franco-German
-agreement on Turkish railways would improve the relations
-between his country and the German Empire, he
-said: “Official relations, yes, perhaps to some extent, but
-I do not think that the agreement will affect the great body
-of public opinion on both sides of the Vosges. It will not,
-unfortunately, change the tone of the French press towards
-the Germans.... There is no doubt whatever that
-the majority, both of Germans and Frenchmen, desire to
-live at peace; but there is a powerful minority in each
-country that dreams of nothing but battles and wars, either
-of conquest or revenge. That is the peril that is always
-with us; it is like living alongside a barrel of gunpowder
-which may explode on the slightest provocation.” Herr
-von Jagow, German Minister of Foreign Affairs, expressed
-a similar opinion when he said that he was watching
-for a favorable moment for the publication of the
-Anglo-German convention of June 15, 1914—“an appropriate
-moment when the danger of adverse criticism was
-no longer so acute.”<a name="FNanchor_37_360" id="FNanchor_37_360"></a><a href="#Footnote_37_360" class="fnanchor">37</a> Hatred, suspicion, fear, and other
-unbridled passions were the stock-in-trade of the Continental
-press during the months preceding the outbreak
-of the Great War. Patriotic bombast, not international
-conciliation, was demanded by the imperialist and nationalist
-minorities, who exerted only too much influence upon
-the Governments and made politicians fear lest their
-efforts at peace be misconstrued as treason!</p>
-
-<p>A situation which was made bad by imperial rivalries
-and national antagonisms was made intolerable by militari<span class="pagenum"><a name="Page_269" id="Page_269">269</a></span>sm.
-During the year 1913–1914, when the diplomatists
-were working for peace, preparations were being made for
-war. In the month of August, 1913, while conversations
-were being held in Berlin to reconcile French and German
-interests in the Near East, General Joffre was on his way
-to Russia to confer with the Tsar’s general staff regarding
-the reorganization of the Russian army. In October
-of the same year, while tripartite negotiations were being
-conducted by England, Turkey, and Germany regarding
-Mesopotamia, General Liman von Sanders was despatched
-to Constantinople by the Kaiser as head of a German military
-mission to rebuild the Ottoman army and improve
-the Ottoman system of defence. Considerations of military
-strategy were vitiating the efforts of conciliatory
-diplomacy.</p>
-
-<p>The mission of Liman von Sanders created a crisis at
-Constantinople. The Russian, French, and British ambassadors
-protested against such an obvious menace to
-the interests of the Entente. Russia, in particular, objected
-to the announced intention of the German general
-to strengthen the defences of the Straits. All three of the
-Powers expressed opposition to the further proposal that
-Field Marshal von Sanders be placed in command of the
-First Army Corps, with headquarters at Constantinople.
-The Ottoman Government replied that it meant no offence
-to England or France, but that it could not allow its military
-policy to be determined by Russia. It called attention
-to the fact that the improvement of the navy was in the
-hands of a British mission and that the reorganization
-of the gendarmerie was going on under the direction of a
-French general. German officers were being asked to
-perform similar services for the army because the great
-majority of Turkish officers had completed their training
-in Germany, and the rest, since the days of General von
-der Goltz Pasha, had been educated and experienced in
-German methods. To change from German to French or<span class="pagenum"><a name="Page_270" id="Page_270">270</a></span>
-British technique appeared to the Ottoman Minister of
-War an extremely inadvisable procedure.<a name="FNanchor_38_361" id="FNanchor_38_361"></a><a href="#Footnote_38_361" class="fnanchor">38</a></p>
-
-<p>Although the storm over Liman von Sanders cleared
-by February, 1914, it left behind it certain permanent
-effects. It strengthened German influence at Constantinople,
-indirectly because of the increased Turkish hostility
-to Russia and suspicion of France and England,
-directly because of the presence of hundreds of German
-staff and regimental officers who used every opportunity
-to increase German prestige in the army and the civil
-services. The German ambassador at the Sublime Porte,
-Baron von Wangenheim, readily capitalized this prestige
-in the interest of German diplomacy. A formal Turco-German
-alliance was rapidly passing from the realm of
-the possible to the realm of the probable.</p>
-
-<p>In the meantime feverish efforts were being made to
-complete Turkey’s military preparations. In March, 1914,
-at the request of the Minister of War, a conference was
-held of representatives of all railways in Asiatic Turkey
-to discuss the utilization of Ottoman rail communications
-for mobilization in the event of war. Under the guidance
-of German and Turkish staff officers a plan was adopted
-by which the respective railways agreed to merge their
-services into a unified national system for the transportation
-of troops. Throughout the spring of 1914 the defences
-of the Dardanelles were being strengthened, schools were
-being conducted for junior officers and non-commissioned
-officers, the General Staff was reorganized, new plans for
-mobilization were in process of completion. On July 23,
-1914, the handiwork of Field Marshal Liman von Sanders
-Pasha was exhibited in a great national military review.
-On that occasion Baron von Wangenheim said to the
-Ottoman Minister of Marine: “Djemal Pasha, just look
-at the amazing results achieved by German officers in<span class="pagenum"><a name="Page_271" id="Page_271">271</a></span> a
-short time. You have now a Turkish army which can be
-compared with the best organized armies in the world!
-All German officers are at one in praising the moral
-strength of the Turkish soldier, and indeed it has proved
-itself beyond all expectation. We could claim we have
-won a great victory if we could call ourselves the ally of
-a Government which has such an army at its disposal!”<a name="FNanchor_39_362" id="FNanchor_39_362"></a><a href="#Footnote_39_362" class="fnanchor">39</a></p>
-
-<p>A few days later the Ottoman Empire was admitted to
-the Triple Alliance—with the consent of Austria, but
-without even the knowledge of Italy. The die was cast
-for Turkey’s participation in the War of the Nations!<a name="FNanchor_40_363" id="FNanchor_40_363"></a><a href="#Footnote_40_363" class="fnanchor">40</a></p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_324" id="Footnote_1_324"></a><a href="#FNanchor_1_324"><span class="label">1</span></a> Statement of Chancellor von Bethmann Hollweg to the
-Reichstag, December 10, 1910, in <i>Stenographische Berichte, XII
-Legislaturperiode, 2 Session</i>, Volume 262, pp. 3561b <i>et seq.</i> <i>Cf.</i>,
-also, <i>The Annual Register</i>, 1910, pp. 314–315, 335–336; Shuster,
-<i>op. cit.</i>, pp. 225 <i>et seq.</i> The informal agreement reached at
-Potsdam was confirmed by a treaty of August 19, 1911. <i>The
-Annual Register</i>, 1911, pp. 357–358. For the diplomatic correspondence
-arising out of the Potsdam Agreement <i>cf.</i> de Siebert,
-<i>op. cit.</i>, Chapter IX.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_325" id="Footnote_2_325"></a><a href="#FNanchor_2_325"><span class="label">2</span></a> Korff, <i>op. cit.</i>, pp. 163–164. Baron Korff believes, also, that
-the Potsdam Agreement was forced upon the weak and vacillating
-Nicholas II by the unscrupulous and bullying William II.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_326" id="Footnote_3_326"></a><a href="#FNanchor_3_326"><span class="label">3</span></a> <i>Supra</i>, pp. 65–66, 147–153. For German estimates of the importance
-of the Potsdam Agreement see a reasoned and temperate
-speech by Dr. Spahn, of the Catholic Centre, and an impassioned
-and boisterous speech by Herr Bassermann, of the National
-Liberals. <i>Stenographische Berichte, XII Legislaturperiode, 2
-Session</i>, Volume 266 (1911), PP. 5973 <i>et seq.</i>, 5984 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_327" id="Footnote_4_327"></a><a href="#FNanchor_4_327"><span class="label">4</span></a> <i>The Times</i>, January 18, 1911.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_328" id="Footnote_5_328"></a><a href="#FNanchor_5_328"><span class="label">5</span></a> Quoted by W. M. Fullerton, <i>Problems of Power</i> (new and
-revised edition, New York, 1915), p. 171.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_329" id="Footnote_6_329"></a><a href="#FNanchor_6_329"><span class="label">6</span></a> <i>Parliamentary Debates, House of Commons</i>, fifth series, Volume
-21 (1911), pp. 241–244.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_330" id="Footnote_7_330"></a><a href="#FNanchor_7_330"><span class="label">7</span></a> <i>Journal Officiel, Débats parlementaires, Chambre des Députés</i>,
-January 13, 1911, pp. 33–34. M. Jaurès was one of the Frenchmen
-who felt that their Government never should have opposed
-the Bagdad Railway in the first instance.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_331" id="Footnote_8_331"></a><a href="#FNanchor_8_331"><span class="label">8</span></a> <i>Ibid.</i>, January 16, pp. 64 <i>et seq.</i>; <i>Parliamentary Debates,
-House of Commons</i>, Volume 21 (1911), pp. 82 <i>et seq.</i>, 243–244;
-<i>The Times</i>, January 17 and 19, 1911.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_332" id="Footnote_9_332"></a><a href="#FNanchor_9_332"><span class="label">9</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 21
-(1911), p. 82.</p></div>
-<p><span class="pagenum"><a name="Page_272" id="Page_272">272</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_10_333" id="Footnote_10_333"></a><a href="#FNanchor_10_333"><span class="label">10</span></a> <i>Cf.</i> <i>supra</i>, pp. 224–225.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_334" id="Footnote_11_334"></a><a href="#FNanchor_11_334"><span class="label">11</span></a> <i>Cf.</i> G. Saint-Yves, “Les chemins de fer français dans la
-Turquie d’Asie,” in <i>Questions diplomatiques et coloniales</i>, Volume
-37 (1914), pp. 526–531; <i>Anatolia</i>, pp. 51–52.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_335" id="Footnote_12_335"></a><a href="#FNanchor_12_335"><span class="label">12</span></a> It was proposed that the Anatolian Railways should construct
-three branches: one from a point east of Bulgurlu north
-and north-east to Kaisarieh and Sivas; a second from Angora
-east to the aforementioned branch, joining it near Kaisarieh; a
-third from Adabazar to Boli. The branch of the Bagdad Railway
-from Nisibin to Diarbekr and Arghana was authorized by
-the concession of 1903.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_336" id="Footnote_13_336"></a><a href="#FNanchor_13_336"><span class="label">13</span></a> Much of the present account of the negotiations of the years
-1910–1914 is based upon documentary material furnished by Dr.
-von Gwinner and upon additional information supplied by Sir
-Henry Babington Smith and Djavid Bey. Almost everything
-heretofore published has been very general in character, but
-one may find some illuminating details in the following: R. de
-Caix, “La France et les chemins de fer de l’Asie turque,” in
-<i>Questions diplomatiques et coloniales</i>, Volume 36 (1913), pp.
-386–387; <i>Armenia and Kurdistan</i>, p. 36; <i>Commerce Reports</i>, No.
-18a (1915), pp. 2–3; <i>Stenographische Berichte, XIII Legislaturperiode,
-1 Session</i>, Volume 291 (1913), pp. 6274c <i>et seq.</i>; <i>American
-Journal of International Law</i>, April, 1918; Commandant de
-Thomasson, “Les négotiations franco-allemandes,” in <i>Questions
-diplomatiques et coloniales</i>, Volume 37 (1914), pp. 257 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_337" id="Footnote_14_337"></a><a href="#FNanchor_14_337"><span class="label">14</span></a> For certified copies of the minutes of the meetings of
-August 19–20 and September 24–26, 1913, and for the text of
-the convention of February 15, 1914, the author is indebted to
-Dr. von Gwinner.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_338" id="Footnote_15_338"></a><a href="#FNanchor_15_338"><span class="label">15</span></a> <i>Stenographische Berichte, XIII Legislaturperiode, 1 Session</i>,
-Volume 291 (1913), p. 6274c. No. 111 of a series of despatches
-published by the German Foreign Office (Berlin, 1915), an
-English translation of which is to be found in E.D. Morel’s
-<i>Diplomacy Revealed</i> (London, 1921), pp. 282–283.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_339" id="Footnote_16_339"></a><a href="#FNanchor_16_339"><span class="label">16</span></a> <i>Parliamentary Papers</i>, No. Cmd. 964 (1920).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_340" id="Footnote_17_340"></a><a href="#FNanchor_17_340"><span class="label">17</span></a> <i>Cf.</i> de Caix, <i>op. cit.</i>, pp. 386–387.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_341" id="Footnote_18_341"></a><a href="#FNanchor_18_341"><span class="label">18</span></a> It should be made clear that not all the terms of the Franco-German
-agreement were carried out before the beginning of the
-Great War. Because of the delay in the negotiations with Great
-Britain (<i>cf.</i> <i>infra</i>) the exchange of Bagdad Railway securities
-for Imperial Ottoman Bonds was not completed, with the result
-that, when the War came, French bankers still held an interest in
-the Bagdad Railway Company.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_342" id="Footnote_19_342"></a><a href="#FNanchor_19_342"><span class="label">19</span></a> <i>Parliamentary Debates, House of Commons</i>, f<span class="pagenum"><a name="Page_273" id="Page_273">273</a></span>ifth series,
-Volume 59 (1914), pp. 2179–2189. Sir Mark Sykes (1879–1919)
-had traveled extensively in the Near and Far East and was the
-author of many books on the political and economic problems of
-those regions. During the Great War he was commissioned by
-the British Government to negotiate with France regarding the
-delimitation of the Allies’ interests in Mesopotamia and Syria.
-He was one of the authors of the Sykes-Picot Treaty of 1916.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_343" id="Footnote_20_343"></a><a href="#FNanchor_20_343"><span class="label">20</span></a> <i>Supra</i>, pp. 111–112, 228–229.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_344" id="Footnote_21_344"></a><a href="#FNanchor_21_344"><span class="label">21</span></a> Memorandum of Djavid Bey, cited in Chapter IX, <i>supra</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_345" id="Footnote_22_345"></a><a href="#FNanchor_22_345"><span class="label">22</span></a> Haldane, <i>op. cit.</i>, <i>passim</i>; W. von Hohenzollern, <i>My Memoirs,
-1878–1918</i>, pp. 142–156; <i>supra</i>, pp. 198–199; <i>The Annual Register</i>,
-1912, pp. 16, 332; Count de Lalaing, Belgian Minister in London,
-to M. Davignon, Belgian Minister of Foreign Affairs, February 9
-and 16, 1912, despatches Nos. 88 and 90, translated in Morel, <i>op.
-cit.</i>, pp. 228–230.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_346" id="Footnote_23_346"></a><a href="#FNanchor_23_346"><span class="label">23</span></a> <i>Supra</i>, pp. 205–207.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_347" id="Footnote_24_347"></a><a href="#FNanchor_24_347"><span class="label">24</span></a> Baron Marschall died in September, 1912, after only a few
-weeks of service at his new post. He was succeeded by Prince
-Lichnowsky, who took up his duties in London in November.
-Regarding the lecture tour of Sir Harry Johnston see the authentic
-account by Bernadotte Schmitt, <i>England and Germany, 1740–1914</i>,
-pp. 355–356. Herr von Jagow’s opinion of the importance
-of an Anglo-German understanding on the Near East is to be
-found in his reply to Prince Lichnowsky, in the <i>Norddeutsche
-Allgemeine Zeitung</i> of March 23, 1918, translated by Munroe
-Smith, <i>The Disclosures from Germany</i>, pp. 130–131.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_348" id="Footnote_25_348"></a><a href="#FNanchor_25_348"><span class="label">25</span></a> Regarding the Anglo-Turkish negotiations <i>cf.</i> <i>Parliamentary
-Debates, House of Commons</i>, Volume 53 (1913), pp. 392–395;
-<i>Stenographische Berichte, XIII Legislaturperiode, 1 Session</i>,
-Volume 291 (1913), pp. 6274c-6294d; Karl Helfferich, <i>Die Vorgeschichte
-des Weltkrieges</i>, pp. 143 <i>et seq.</i>; <i>Mesopotamia</i>, pp.
-97–98; <i>The Times</i> (London), May 17 and May 31, 1913; <i>The
-Quarterly Review</i>, Volume 228 (1917), pp. 517–521; de Siebert,
-<i>op. cit.</i>, Chapter XX.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_349" id="Footnote_26_349"></a><a href="#FNanchor_26_349"><span class="label">26</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 53
-(1913), p. 393.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_350" id="Footnote_27_350"></a><a href="#FNanchor_27_350"><span class="label">27</span></a> <i>Stenographische Berichte, XIII Legislaturperiode, 1 Session</i>,
-Volume 289 (1913), p. 4744d. <i>Cf.</i>, also, <i>ibid.</i>, pp. 4744c-4746c;
-Volume 290 (1913), p. 5326a-c.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_351" id="Footnote_28_351"></a><a href="#FNanchor_28_351"><span class="label">28</span></a> For copies of this and other agreements the author is indebted
-to Dr. von Gwinner, of the <i>Deutsche Bank</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_352" id="Footnote_29_352"></a><a href="#FNanchor_29_352"><span class="label">29</span></a> For the text of the agreement <i>cf.</i> E.M. Earle, “The Secret
-Anglo-German Convention of 1914 regarding Asiatic Turkey,”
-in the <i>Political Science Quarterly</i> (New York), Volume
-XXXVIII (1923), pp. 41–44.</p></div>
-
-<p><span class="pagenum"><a name="Page_274" id="Page_274">274</a></span></p>
-<div class="footnote">
-
-<p><a name="Footnote_30_353" id="Footnote_30_353"></a><a href="#FNanchor_30_353"><span class="label">30</span></a> “Correspondence between His Majesty’s Government and the
-United States Ambassador respecting Economic Rights in
-Mandated Territories,” <i>Parliamentary Papers</i>, No. Cmd. 675
-(1921); <i>The Daily News</i> (London), June 26, 1920; G. Slocombe,
-“The Oil Behind the War Scare,” in <i>The Daily Herald</i> (London),
-October 12 and 13, 1922; <i>The Disclosures from Germany</i>,
-p. 238.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_354" id="Footnote_31_354"></a><a href="#FNanchor_31_354"><span class="label">31</span></a> <i>Parliamentary Debates, House of Commons</i>, Volume 64
-(1914), pp. 116–117.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_355" id="Footnote_32_355"></a><a href="#FNanchor_32_355"><span class="label">32</span></a> For the complete text of the convention, <i>cf.</i> E. M. Earle,
-“The Secret Anglo-German Convention of 1914 regarding Asiatic
-Turkey,” <i>loc. cit.</i>, pp. 24–44.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_356" id="Footnote_33_356"></a><a href="#FNanchor_33_356"><span class="label">33</span></a> Fullerton, <i>op. cit.</i>, p. 307.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_357" id="Footnote_34_357"></a><a href="#FNanchor_34_357"><span class="label">34</span></a> Prince Lichnowsky, quoted from <i>The Disclosures from Germany</i>,
-pp. 71–72.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_358" id="Footnote_35_358"></a><a href="#FNanchor_35_358"><span class="label">35</span></a> Saint-Yves, <i>loc. cit.</i>, pp. 526–531; <i>Anatolia</i>, pp. 49 <i>et seq.</i>
-Regarding the earlier development of Italian economic interests in
-Turkey <i>cf.</i> <i>supra</i>, pp. 105–107.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_359" id="Footnote_36_359"></a><a href="#FNanchor_36_359"><span class="label">36</span></a> For an interesting discussion of this point see Ahmed Djemal
-Pasha, <i>Erinnerungen eines türkischen Staatsmannes</i> (Munich,
-1922), translated into English under the title, <i>Memories of a
-Turkish Statesman, 1913–1919</i> (New York, 1923), pp. 107–115 of
-the translation, pp. 113–122 of the German text. (Hereafter page
-references are given for the translation only).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_360" id="Footnote_37_360"></a><a href="#FNanchor_37_360"><span class="label">37</span></a> Baron Beyens, Belgian minister in Berlin, to M. Davignon,
-Belgian Minister of Foreign Affairs, No. 111 of the Belgian
-documents, translated in Morel’s <i>Diplomacy Revealed</i>, p. 283.
-The quotation from von Jagow is from <i>The Disclosures from
-Germany</i>, p. 251.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_361" id="Footnote_38_361"></a><a href="#FNanchor_38_361"><span class="label">38</span></a> Regarding the German military mission to Turkey <i>cf.</i> Djemal
-Pasha, <i>op. cit.</i>, pp. 65–70, 101–102; Liman von Sanders, <i>Fünf
-Jahre Türkei</i> (Berlin, 1919); Field Marshal von der Goltz, <i>Die
-Militärische Lage der Türkei nach dem Balkankriege</i> (Berlin,
-1913); <i>The Disclosures from Germany</i>, pp. 57 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_362" id="Footnote_39_362"></a><a href="#FNanchor_39_362"><span class="label">39</span></a> Djemal Pasha, <i>op. cit.</i>, p. 108.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_363" id="Footnote_40_363"></a><a href="#FNanchor_40_363"><span class="label">40</span></a> <i>Ibid.</i>, pp. 107–115. Regarding other aspects of German
-military and diplomatic successes in Turkey during 1914, <i>cf.</i>
-<i>Anatolia</i>,<span class="pagenum"><a name="Page_275" id="Page_275">275</a></span> pp. 44–45; Henry Morgenthau, <i>Ambassador Morgenthau’s
-Story</i> (New York, 1918); Karl Helfferich, <i>Die deutsche
-Türkenpolitik</i>, pp. 28 <i>et seq.</i>, and <i>Die Vorgeschichte des Weltkrieges</i>,
-<i>passim</i>; André Chéradame, <i>The Pan German Plot Unmasked</i>
-(New York, 1917)—all representing widely divergent
-points of view.</p></div>
-
-<hr />
-
-<h2>CHAPTER XI<br />
-
-TURKEY, CRUSHED TO EARTH, RISES
-AGAIN</h2>
-
-<h3><span class="smcap">Nationalism and Militarism Triumph at
-Constantinople</span></h3>
-
-<p>The outbreak of the Great War precipitated a serious
-political crisis at Constantinople. Decisions of the utmost
-moment to the future of the Ottoman Empire had to be
-taken. Chief among these was the choice between neutrality
-and entry into the war in coöperation with the
-Central Powers. Pacifists and Entente sympathizers, of
-whom Djavid Bey was perhaps the foremost, counseled
-non-intervention in the struggle. Militarists and Germanophiles,
-headed by Enver Pasha, the distinguished
-Minister of War, advocated early and complete observance
-of the alliance with Germany, which called for active
-military measures against the Entente. In support of the
-pacifists were the great mass of the people, overburdened
-with taxes, worn out with military service, and weary of
-the sacrifices occasioned by the Tripolitan and Balkan
-Wars. In support of the militarists were German economic
-power, German military prestige, and the powerful
-emotion of Turkish nationalism.</p>
-
-<p>The case of the pacifists, like that of their opponents,
-was based frankly upon national self-interest. A gr<span class="pagenum"><a name="Page_276" id="Page_276">276</a></span>eat
-European war seemed to them to offer an unprecedented
-opportunity for setting Ottoman affairs in order without
-the perennial menace of foreign interference. Ottoman
-neutrality would be solicited by some of the belligerents,
-Ottoman intervention by others; during the war, however,
-no nation could afford to bully Turkey. By clever
-diplomatic bargaining economic and political privileges of
-the greatest importance might be obtained—the Capitulations,
-for example, might be abolished. Neutral Turkey
-might grow prosperous by a thriving commerce with the
-belligerents. After the peace both victor and vanquished
-would be too exhausted to think of aggression against a
-revivified Ottoman Empire. To remain neutral was to
-assure peace, security, and prosperity. To intervene was
-to invite defeat and dismemberment.</p>
-
-<p>Militarists, however, appraised the situation differently.
-National honor demanded that Turkey go to the assistance
-of her allies. But, more than that, national security
-demanded the decisive defeat of the Entente Powers. As
-contrasted with the firm friendship of Germany for Turkey,
-it was pointed out, there was the traditional policy
-of Russia to dismember the Ottoman Empire and of
-France and Great Britain to infringe upon Ottoman
-sovereignty whenever opportunity presented itself. A
-victorious Russia would certainly appropriate Constantinople,
-and as “compensations” France would take Syria
-and England Mesopotamia. By closing the Dardanelles
-and declaring war, Turkey could deal Russian economic
-and military power a blow from which the empire of
-the Tsars might never recover. By associating herself
-with the seemingly irresistible military forces of Germany,
-Turkey might once and for all eliminate Russia—the
-feared and hated enemy of both Turks and Germans—from
-Near Eastern affairs. In addition, British security
-in Egypt might be shaken, and the French colonial empire
-in North Africa might be menaced by a Pan-Islamic<span class="pagenum"><a name="Page_277" id="Page_277">277</a></span>
-revival. In these circumstances the war might be for
-Turkey a war of liberation, from which only the craven-hearted
-would shrink.</p>
-
-<p>For a time, however, practical considerations led to the
-maintenance of Ottoman neutrality. “To Germany the
-‘sphere of influence’ in Turkey was of far greater economic
-and political importance than all her ‘colonies’ in
-Africa and in the South Seas put together. The latter,
-under the German flag, were an obvious and quick prey
-to Great Britain’s naval superiority, but so long as Turkey
-remained out of the war the German sphere of
-influence in Anatolia and Mesopotamia was protected
-by the neutral Crescent flag. As soon as Turkey entered
-the war, however, Great Britain’s naval superiority could
-be brought to bear upon Germany’s interests in the Near
-East as well as upon her interests in Africa and Oceanica.
-If German imperialists were devoted to a Berlin-to-Bagdad
-<i>Mittel-Europa</i> project, there were British imperialists
-whose hearts and minds were set upon a Suez-to-Singapore
-South-Asia project. The Ottoman Empire
-occupied a strategic position in both schemes. A neutral
-Turkey, on the whole, was favorable to German imperialism.
-A Turkey in armed alliance with Germany presented
-a splendid opportunity for British imperialism.”<a name="FNanchor_1_364" id="FNanchor_1_364"></a><a href="#Footnote_1_364" class="fnanchor">1</a></p>
-
-<p>Turkish mobilization, furthermore, was a tediously
-slow process. The construction of the Bagdad Railway,
-as we have seen, had not been completed before the outbreak
-of the Great War.<a name="FNanchor_2_365" id="FNanchor_2_365"></a><a href="#Footnote_2_365" class="fnanchor">2</a> There were wide gaps in
-northern Mesopotamia and in the Amanus mountains
-which made difficult the transportation of troops for the
-defence of Irak, an attack on the Suez, an offensive in
-the Caucasus, or the fortification of the Dardanelles.
-The entry of Turkey into the war before the completion
-of mobilization would have been of no material adv<span class="pagenum"><a name="Page_278" id="Page_278">278</a></span>antage
-to Germany and would almost certainly have brought
-disaster to the Ottoman Empire. Therefore, while the
-war went well for Germany on the French and Russian
-fronts, German influence at Constantinople was more
-concerned with creating sentiment for war and with
-speeding up mobilization than with encouraging premature
-intervention. After the Teutonic defeats at the
-Marne and in Galicia, however, active Turkish support
-was needed for the purpose of menacing Russian security
-in the Caucasus and British security in Egypt, as well
-as for bolstering up German morale. During the latter
-part of September and the month of October, Marshal
-Liman von Sanders, Baron von Wangenheim, the commanders
-of the <i>Goeben</i> and the <i>Breslau</i>, and other German
-influences at Constantinople exerted the strongest possible
-pressure on the Ottoman Government to bring Turkey
-into the war on the side of her Teutonic allies.</p>
-
-<p>On October 31, 1914, the Turkish Government took
-the fatal step of precipitating war with the Entente
-Powers, after Enver Pasha, Minister of War, and Djemal
-Pasha, Minister of Marine, were satisfied that Ottoman
-preparations were sufficiently advanced to warrant the
-beginning of hostilities. The outcome of the Bagdad
-Railway concession of 1903 was the entry of Turkey into
-the War of 1914!<a name="FNanchor_3_366" id="FNanchor_3_366"></a><a href="#Footnote_3_366" class="fnanchor">3</a></p>
-
-<p>Discouraged by their failure to maintain the peace, and
-fearful of impending disaster to their country, Djavid
-Bey and three other members of the Ottoman ministry
-resigned their posts. There were other indications, also,
-that intelligent public opinion at Constantinople was not
-whole-hearted in support of war. But the nationalists—playing
-upon the “traditional enmity” toward Russia—had
-their way, and with an outburst of patriotic fervor
-Turkey began hostilities. In a proclamation to the army
-and navy the Sultan affirmed that the war was being<span class="pagenum"><a name="Page_279" id="Page_279">279</a></span>
-waged for the defence of the Caliphate and the “emancipation”
-of the Fatherland: “During the last three hundred
-years,” he said, “the Russian Empire has caused our
-country to suffer many losses in territory. And when we
-finally arose to a sentiment of awakening and regeneration
-which was to increase our national welfare and our power,
-the Russian Empire made every effort to destroy our
-attempts, either with war or with numerous machinations
-and intrigues. Russia, England, and France never for a
-moment ceased harboring ill-will against our Caliphate,
-to which millions of Mussulmans, suffering under the
-tyranny of foreign domination, are religiously and wholeheartedly
-devoted. And it was always these powers that
-started every misfortune that came upon us. Therefore,
-in this mighty struggle which we are undertaking, we
-once and for all will put an end to the attacks made from
-one side against the Caliphate and from the other against
-the existence of our country.”<a name="FNanchor_4_367" id="FNanchor_4_367"></a><a href="#Footnote_4_367" class="fnanchor">4</a></p>
-
-<p>Turcophiles in Germany were enthusiastic over Ottoman
-participation in the Great War. The Turkish military
-contribution to a Teutonic victory might not be
-decisive, but neither would it be insignificant. And German
-coöperation in Ottoman military ventures would
-certainly strengthen German economic penetration in the
-Near East, even though Turkish arms might not drive
-Britain out of Egypt or Russia out of the Caucasus.
-“Over there in Turkey,” wrote Dr. Ernest Jäckh, “stretch
-Anatolia and Mesopotamia—Anatolia, the ‘land of sunrise,’
-Mesopotamia, an ancient paradise. Let these names
-be to us a symbol. May this world war bring to Germany
-and Turkey the sunrise and the paradise of a new era.
-May it confer upon a strengthened Turkey and a greater
-Germany the blessings of fruitful Turco-Teutonic cooperation
-in peace after victorious Turco-Teutonic collaboration
-in war.”<a name="FNanchor_5_368" id="FNanchor_5_368"></a><a href="#Footnote_5_368" class="fnanchor">5</a></p>
-
-<p><span class="pagenum"><a name="Page_280" id="Page_280">280</a></span></p>
-
-<h3><span class="smcap">Asiatic Turkey Becomes One of the Stakes of the
-War</span></h3>
-
-<p>Whatever may have been the European origins of the
-Great War, there was no disposition on the part of the
-belligerents to overlook its imperial possibilities. A war
-which was fought for the protection of France against
-German aggression, for the defence of Belgian neutrality,
-for the recovery of Alsace-Lorraine, for the democratizing
-of a bureaucratic German Empire—this war was
-fought not only in Flanders and Picardy and the Vosges,
-but in Africa and Asia and the South Seas; not only in
-Poland and Galicia and East Prussia, but in Mesopotamia
-and Syria and the Dardanelles. Anatolia, Palestine, and
-the region of the Persian Gulf were as much the stakes
-of the war as <i>Italia irredenta</i>, the lost provinces of
-France, or the Serbian “outlet” to the Adriatic.</p>
-
-<p>Of all the spoils of the war, Turkey was among the
-richest. Her undeveloped wealth in minerals and fuel;
-her potentialities as a producer of foodstuffs, cotton, and
-other agricultural products; her possibilities as a market—these
-were alluring as war-time necessities and peace-time
-assets. Her strategic position was of inestimable
-importance to any nation which hoped to establish colonial
-power in the eastern Mediterranean. Her future as a
-sphere of influence promised unusual opportunities for
-the investment of capital and the acquisition of exclusive
-economic rights. It was no accident, therefore, that
-brought men from Berlin and Bombay, Stuttgart and
-Sydney, Munich and Marseilles, to fight bitterly for possession
-of the cliffs of Gallipoli, the deserts of Mesopotamia,
-and the coast of Syria. Turkey-in-Asia was a
-rich prize upon which imperialists in Berlin and Vienna,
-London and Paris and Petrograd, had set their hearts.</p>
-
-<p>No sooner had Turkey entered the war than the imperial<span class="pagenum"><a name="Page_281" id="Page_281">281</a></span>
-aspects of the struggle became apparent. Germany
-was deluged with literature designed to show that Ottoman
-participation in the war would assure Germany and
-Austria their legitimate “place in the sun.” Business
-men and diplomatists, missionaries and Oriental scholars<a name="FNanchor_6_369" id="FNanchor_6_369"></a><a href="#Footnote_6_369" class="fnanchor">6</a>
-combined in prophesying that the Turco-German brotherhood-in-arms
-would fortify the Teutonic economic position
-in the Near East, disturb Russian equanimity in the
-Caucasus, menace Britain’s communications with India,
-and end once and for all French pretensions in Syria.
-Moslem sympathizers predicted that the Holy War would
-shake the Entente empires to their foundations. Pan-Germans
-frankly avowed that the war offered an opportunity
-to make Berlin-to-Bagdad a reality rather than a
-dream—some went so far as to believe that German domination
-could be extended from the North Cape to the
-Persian Gulf! Mercantilists foresaw the possibility of
-creating a politically unified and an economically self-sufficient
-Middle Europe.<a name="FNanchor_7_370" id="FNanchor_7_370"></a><a href="#Footnote_7_370" class="fnanchor">7</a></p>
-
-<p>As a means of promoting closer relationships with
-Turkey numerous societies were established in Germany
-for the purpose of disseminating information on the Near
-East and its importance in the war. For example, Dr.
-Hugo Grothe conducted at Leipzig the work of the
-<i>Deutsches Vorderasienkomitee</i>—<i>Vereinigung zur Förderung
-deutscher Kulturarbeit im islamischen Orient</i>.
-This organization published and distributed hundreds of
-thousands of books, pamphlets, and maps regarding
-Asiatic Turkey; conducted a Near East Institute, at
-which lectures and courses of instruction were given;
-maintained an information bureau for business men interested
-in commercial and industrial opportunities in the
-Ottoman Empire; and established German libraries in
-Constantinople, Aleppo, Bagdad, Konia, and elsewhere
-along the line of the Bagdad Railway. A similar org<span class="pagenum"><a name="Page_282" id="Page_282">282</a></span>anization,
-the <i>Deutsch-türkische Vereinigung</i>, was maintained
-at Berlin under the honorary presidency of Dr.
-von Gwinner of the <i>Deutsche Bank</i> and the active supervision
-of Dr. Ernest Jäckh. The two societies numbered
-among their members and patrons Herr Ballin, of the
-Hamburg-American Line, General von der Goltz, Baron
-von Wangenheim, and the Ottoman ambassador at
-Berlin.<a name="FNanchor_8_371" id="FNanchor_8_371"></a><a href="#Footnote_8_371" class="fnanchor">8</a></p>
-
-<p>The watchdogs of British imperial welfare, however,
-were not asleep. Lord Crewe, the Secretary of State for
-India, was busily engaged in plans for safeguarding
-British economic and strategic interests in Mesopotamia.
-Early in September, 1914, General Sir Edmund Barrow,
-Military Secretary of the India Office, prepared a memorandum,
-“The Rôle of India in a Turkish War,” which
-proposed the immediate occupation of Basra on the
-grounds that it was “the psychological moment to take
-action” and that “so unexpected a stroke at this moment
-would have a startling effect” in checkmating Turkish
-intrigues, encouraging the Arabs to revolt and thus forestalling
-an Ottoman attack on the Suez, and in protecting
-the oil installations at the head of the Persian Gulf.<a name="FNanchor_9_372" id="FNanchor_9_372"></a><a href="#Footnote_9_372" class="fnanchor">9</a>
-Supporters of a pro-Balkan policy, in the meantime, were
-urging an attack on Turkey from the Mediterranean.
-Winston Churchill, Chief Lord of the Admiralty, for
-example, in a memorandum of August 19, 1914, to Sir
-Edward Grey, advocated an alliance with Greece against
-Turkey; by September 4 he had completed plans for a
-military and naval attack on the Dardanelles; on September
-21 he telegraphed Admiral Carden, at Malta, to “sink
-the <i>Goeben</i> and <i>Breslau</i>, no matter what flag they fly, if
-they come out of the Straits.” Mr. Churchill, with whose
-name will ever be associated the disastrous expedition to
-the Dardanelles, believed that, whatever the outcome of
-the war on the Western Front, the success or failure of<span class="pagenum"><a name="Page_283" id="Page_283">283</a></span>
-Germany would be measured in terms of her power in
-the Near East after the termination of hostilities. To
-destroy German economic and political domination of
-Turkey it was necessary to have an expedition at the head
-of the Persian Gulf and, possibly, another in Syria, but
-the commanding strategic position was the Straits. The
-capture of Constantinople would win the war.<a name="FNanchor_10_373" id="FNanchor_10_373"></a><a href="#Footnote_10_373" class="fnanchor">10</a></p>
-
-<p>There were others who considered that a purely defensive
-policy should be followed in the Near East. Lord
-Kitchener, for example, believed in concentrating the
-maximum possible man power in France and advocated
-restricting Eastern operations to the protection of the
-Suez Canal and other essential communications. Influential
-military critics, like Colonel Repington, were firmly
-opposed to “side shows” in Mesopotamia, at the Dardanelles,
-or elsewhere, which would divert men, matériel,
-and popular attention from the Western Front. Sir
-Edward Grey appeared to be more interested in Continental
-than in colonial questions. Lord Curzon was
-swayed between fear of a Moslem uprising in India and
-the hope that British prestige in the East might be
-materially enhanced by outstanding military successes at
-the expense of the Turks.<a name="FNanchor_11_374" id="FNanchor_11_374"></a><a href="#Footnote_11_374" class="fnanchor">11</a></p>
-
-<p>The Near Eastern imperialists, however, had their way.
-During September, 1914, the Government of India was
-ordered to prepare an expeditionary force for service in
-the region of the Persian Gulf. Early in October, almost
-four weeks before Turkey entered the war, Indian Expeditionary
-Force “D,” under General Delamain, sailed
-from Bombay under sealed orders. It next appeared on
-October 23, at Bahrein Island, in the Persian Gulf, where
-General Delamain learned the purposes of the expedition
-which he commanded. His army was to occupy Adaban
-Island, at the mouth of the Shatt-el-Arab, “with the object
-of protecting the oil refineries, tanks and pipe lines<span class="pagenum"><a name="Page_284" id="Page_284">284</a></span> [of
-the Anglo-Persian Company], covering the landing of
-reënforcements should these be required, and assuring
-the local Arabs of support against Turkey.” For the
-last-named purpose Sir Percy Cox, subsequently British
-High Commissioner in Irak, was attached to the army as
-“political officer.” In addition, General Delamain was to
-“take such military and political action as he should consider
-feasible to strengthen his position and, if necessary,
-occupy Basra.” Nevertheless, he was warned that the
-rôle of his force was “that of demonstrating at the head
-of the Persian Gulf” and that on no account was he “to
-take any hostile action against the Turks without orders
-from the Government of India, <i>except in the case of
-absolute military necessity</i>”!<a name="FNanchor_12_375" id="FNanchor_12_375"></a><a href="#Footnote_12_375" class="fnanchor">12</a></p>
-
-<p>Meanwhile, Sir Arthur Henry McMahon, subsequently
-first High Commissioner in Egypt under the Protectorate,
-entered into an agreement, dated October 23, 1914, with
-the Sherif of Mecca, assuring the latter that Great Britain
-was prepared “to recognize and support the independence
-of the Arabs within territories in which Great Britain is
-free to act without detriment to the interests of her ally,
-France,” it being understood that “the districts of Mersina
-and Alexandretta and portions of Syria lying to the
-west of the districts of Damascus, Homs, Hama and
-Aleppo cannot be said to be purely Arab.” In other
-words, an independent Arab state was considered to be
-feasible insofar as it did not conflict with the sphere of
-interest in Syria developed by French railway-builders
-and recognized by the Franco-German agreement of
-February 15, 1914.<a name="FNanchor_13_376" id="FNanchor_13_376"></a><a href="#Footnote_13_376" class="fnanchor">13</a></p>
-
-<p>Even before Turkey formally entered the war, therefore,
-a British army was “demonstrating” in the Shatt-el-Arab;
-Sir Percy Cox was coöperating with the Sheik
-of Koweit for the purpose of precipitating a rebellion
-among the Arabs of Mesopotamia, and a British represen<span class="pagenum"><a name="Page_285" id="Page_285">285</a></span>tative
-had sown the seeds of a separatist movement
-in the Hedjaz. It was a short step from this, after the
-declaration of hostilities, to the occupation of Basra, on
-November 22, and of Kurna, on December 9. The close
-of the year 1914 saw Turkey in the unenviable position
-of having to choose between increasing German economic
-and political domination, on the one hand, and dismemberment
-by the Entente Allies, on the other.</p>
-
-<p>The political and military situation of Turkey did not
-improve during the year 1915. By mid-January, the
-rigors of a Caucasian winter and the absence of adequate
-means of communication and supply brought to a standstill
-Enver Pasha’s drive against the Russians. Early in
-February, Djemal Pasha’s army, which had crossed the
-Sinai Peninsula in the face of seemingly insuperable obstacles,
-attacked the Suez Canal only to be decisively
-defeated by its British and French defenders. During
-March a secret agreement was reached between Great
-Britain, France, and Russia for the partition of the Ottoman
-Empire, including the assignment of Constantinople
-to the Tsar. On April 26, by the Treaty of London
-which brought Italy into the war, the Entente Powers
-bound themselves to “preserve the political balance in the
-Mediterranean” by recognizing the right of Italy “to
-receive on the division of Turkey an equal share with
-Great Britain, France and Russia in the basin of the
-Mediterranean, and more specifically in that part of it
-contiguous to the province of Adalia, where Italy already
-had obtained special rights and developed certain interests”;
-likewise the Allies agreed to protect the interests
-of Italy “in the event that the territorial inviolability of
-Asiatic Turkey should be sustained by the Powers” or
-that “only a redistribution of spheres of interest should
-take place.”<a name="FNanchor_14_377" id="FNanchor_14_377"></a><a href="#Footnote_14_377" class="fnanchor">14</a> To give greater effect to these secret
-imperialistic agreements British troops were landed at the
-Dardanelles on April 28. The bargains were sealed w<span class="pagenum"><a name="Page_286" id="Page_286">286</a></span>ith
-the blood of those heroic Britons and immortal Anzacs
-who went through the tortures of hell—and worse—at
-Gallipoli!<a name="FNanchor_15_378" id="FNanchor_15_378"></a><a href="#Footnote_15_378" class="fnanchor">15</a></p>
-
-<p>In the meantime, British activities were resumed in
-Mesopotamia. In March, 1915, General J. E. Nixon was
-ordered to Basra with renewed instructions “to secure the
-safety of the oilfields, pipe line and refineries of the
-Anglo-Persian Oil Company,” as well as with orders to
-consolidate his position for the purpose of “retaining
-complete control of lower Mesopotamia” and of making
-possible a subsequent advance on Bagdad. On May 29,
-in accordance with these instructions, the Sixth Division,
-under General Sir Charles Townshend, occupied Amara,
-a town of 12,000 lying about fifty miles north of Basra
-on the Tigris, seat of the Turkish provincial administration
-and one of the principal entrepôts of Mesopotamian
-trade. Beyond this point General Nixon refused to
-extend his operations unless assured adequate reënforcements,
-which were not forthcoming. Nevertheless, because
-of the insistence of Sir Percy Cox that some outstanding
-success was necessary to retain support of the
-Arabs, another advance was ordered in the early autumn.
-On September 29, General Townshend occupied Kut-el-Amara,
-180 miles north of his former position.</p>
-
-<p>Then followed the decision to advance on Bagdad—a
-move which will go down in history as one of the chief
-blunders of the war, as well as a conspicuous instance
-of the manner in which political desiderata were allowed
-to outweigh military considerations. The soldiers on
-the ground were opposed to the move. General Nixon
-believed it would be disastrous to advance farther than
-Kut without substantial reënforcements. General Townshend
-was convinced that “Mesopotamia was a secondary
-theatre of war, and on principle should be held on t<span class="pagenum"><a name="Page_287" id="Page_287">287</a></span>he
-defensive with a minimum force,” and he warned his
-superiors that his troops “were tired, and their tails were
-not up, but slightly down,” that they were fearful of
-the distance from the sea and “were going down, in
-consequence, with every imaginable disease.” But the
-statesmen at London were thinking not only of winning
-the war but of eliminating Germany from all future
-political and economic competition in the backward areas
-of the world. “Because of the great political and military
-advantages to be derived from the capture of Bagdad,”
-and because the “uncertainty” of the situation at
-the Dardanelles made apparent “the great need of a
-striking success in the East,” Austen Chamberlain, Secretary
-of State for India, telegraphed the Viceroy on
-October 23, 1915, that an immediate advance should be
-begun. Fearful of the consequences, but faithful to his
-trust, General Townshend began the hundred-mile march
-to Bagdad. Worn out, but heroic beyond words, his
-troops drove the Turkish forces back and, on November
-22, occupied Ctesiphon, only eighteen miles from their
-goal. This, however, marked the high tide of Allied
-success in the Near East during 1915, for General Townshend
-was destined to reach Bagdad only as a prisoner
-of war.<a name="FNanchor_16_379" id="FNanchor_16_379"></a><a href="#Footnote_16_379" class="fnanchor">16</a></p>
-
-<h3><span class="smcap">Germany Wins Temporary Domination of the Near
-East</span></h3>
-
-<p>Allied military successes in Turkey were not looked
-upon with equanimity in Germany. There was a realization
-in Berlin, as well as London and Paris and Petrograd,
-that the stakes of the war were as much imperial as
-Continental. Nothing had as yet occurred which had
-lessened the importance of establishing an economically
-self-sufficient Middle European <i>bloc</i> of nations. In the
-event that the German oversea colonies could not be<span class="pagenum"><a name="Page_288" id="Page_288">288</a></span>
-recovered, Asiatic Turkey—because of its favorable geographical
-position, its natural resources, and its potentialities
-as a market—would be almost indispensable in
-the German imperial scheme of things. As Paul Rohrbach
-wrote in <i>Das grössere Deutschland</i> in August, 1915,
-“After a year of war almost everybody in Germany is of
-the opinion that victory or defeat—at least political victory
-or defeat—depends upon the preservation of Turkey
-and the maintenance of our communications with her.”</p>
-
-<p>The dogged defence of the Dardanelles had convinced
-Germany that, granted proper support, Turkey could be
-depended upon to give a good account of herself. The
-problem was one of supplementing Ottoman man power
-with Teutonic military genius, technical skill, and organizing
-ability. The enlistment of Bulgaria and the obliteration
-of Serbia made possible more active German assistance
-to Turkey, and during the latter months of 1915
-and the early months of 1916 strenuous efforts were made
-to bring the Turkish military machine to a high point of
-efficiency. Large numbers of German staff officers were
-despatched to Mesopotamia, Syria, and Anatolia, and
-Turkish officers were brought to the French and Russian
-fronts to learn the methods of modern warfare. The
-Prussian system of military service was adopted throughout
-the Ottoman Empire, and exemptions were reduced
-to a minimum. Liberal credits were established with
-German banks for the purchase of supplies for the new
-levies of troops. Field Marshal von der Goltz was sent
-to Mesopotamia as commander-in-chief of the Turkish
-troops in that region.<a name="FNanchor_17_380" id="FNanchor_17_380"></a><a href="#Footnote_17_380" class="fnanchor">17</a></p>
-
-<p>Perhaps the chief handicap of the Turks in all their
-campaigns was inadequate means of transportation. The
-Ottoman armies operating in the vicinity of Gaza and of
-Bagdad were dependent upon lines of communication
-more than twelve hundred miles long; and had the B<span class="pagenum"><a name="Page_289" id="Page_289">289</a></span>agdad
-Railway been non-existent, it is doubtful if any military
-operations at all could have been conducted in those
-regions. But the Bagdad Railway was uncompleted.
-Troops and supplies being despatched from or to Anatolia
-had to be transported across the Taurus and Amanus
-mountains by mule-back, wagon, or automobile, and then
-reloaded on cars south or north of the unfinished tunnels.
-To remedy these deficiencies, herculean efforts were made
-by Germans and Turks during 1915 to improve the service
-on existing lines and to hurry the completion of the
-Bagdad Railway. Locomotives and other rolling stock
-were shipped to Turkey, and German railway experts
-coöperated with the military authorities in utilizing transportation
-facilities to the best advantage. In September,
-1915, the Bagtché tunnel was pierced; and although
-through service to Aleppo was not inaugurated until
-October, 1918, a temporary narrow-gauge line was used,
-during the interim, to transport troops and matériel
-through the tunnel. Commenting on the importance of
-the Bagtché tunnel, the American Consul General at Constantinople
-wrote: “With its completion the most serious
-difficulties connected with the construction of the Bagdad
-Railway have been overcome, and the work of connecting
-up many of the isolated stretches of track may be expected
-to be completed with reasonable rapidity. In spite
-of delays occasioned by the war, this most important
-undertaking in railway construction in Turkey has passed
-the problematical stage and is now certain to become an
-accomplished fact in the near future.”<a name="FNanchor_18_381" id="FNanchor_18_381"></a><a href="#Footnote_18_381" class="fnanchor">18</a></p>
-
-<p>The effects of German assistance to Turkey soon made
-themselves apparent. Field Marshal von der Goltz, commanding
-a reënforced and reinvigorated Ottoman army,
-supported by German artillery, compelled General Townshend
-to abandon hope of occupying Bagdad and to fall
-back toward Basra. By December 5, 1915, Townshend’s<span class="pagenum"><a name="Page_290" id="Page_290">290</a></span>
-army was besieged in Kut-el-Amara; and although the
-Turks failed to take the town by storm, they did not fail
-to beat off every Russian and British force sent to the
-relief of the beleaguered troops. About the same time,
-December 10, evacuation of the Dardanelles was begun,
-and the last of the British troops were withdrawn during
-the first week of January, 1916. On April 29, Townshend’s
-famished garrison surrendered. Shortly thereafter
-the offensive of the Grand Duke Nicholas in
-Turkish Armenia was brought to a standstill. During
-July and August a second Ottoman attack was launched
-against the Suez Canal; and although it was unsuccessful,
-the expedition reminded the British that Egypt was by no
-means immune from danger. By the end of the year
-1916 Turkey, with German assistance, had completely
-cleared her soil of enemy troops, except for a retreating
-Russian army in northern Anatolia and a defeated British
-expedition at the head of the Persian Gulf.<a name="FNanchor_19_382" id="FNanchor_19_382"></a><a href="#Footnote_19_382" class="fnanchor">19</a></p>
-
-<p>As for Germany, she “was unopposed in her mastery
-of that whole vast region of southeastern Europe and
-southwestern Asia which goes by the name of the Near
-East.... She now enjoyed uninterrupted and unmenaced
-communication and commerce with Constantinople
-not only, but far away, over the great arteries of Asiatic
-Turkey [the Bagdad and Hedjaz railways], with Damascus,
-Jerusalem, and Mecca, and with Bagdad likewise....
-If military exploits had been as conclusive as they
-had been spectacular, Germany would have won the Great
-War in 1916 and imposed a <i>Pax Germanica</i> upon the
-world.... With the adherence of Turkey and Bulgaria
-to the Teutonic Alliance, and the triumphs of those states,
-a Germanized <i>Mittel-Europa</i> could be said to stretch from
-the North Sea to the Persian Gulf, from the Baltic to
-the Red Sea, from Lithuania and Ukrainia to Picardy and
-Champagne. It was the greatest achievement in empire-building
-on the continent of Europe since the days of<span class="pagenum"><a name="Page_291" id="Page_291">291</a></span>
-Napoleon Bonaparte.”<a name="FNanchor_20_383" id="FNanchor_20_383"></a><a href="#Footnote_20_383" class="fnanchor">20</a></p>
-
-<p>If Germany had been alarmed during the summer of
-1915 at the prospect that she might lose her preponderant
-position in Turkey, the world was now alarmed at the
-prospect that she might maintain that position. Nor was
-that alarm easily dispelled, for the Bagdad Railway and
-the power and prestige it gave Germany in the Near East
-were pointed to by statesmen as additional evidence of
-the manner in which the Kaiser and his cohorts had
-plotted in secret against the peace of an unsuspecting and
-unprepared world. In fact, the Bagdad Railway came
-to be considered one of the fundamental causes of the
-war, as well as one of the chief prizes for which the war
-was being fought. President Wilson, for example, in
-his Flag Day speech, June 14, 1917, stated the case in
-the following terms:<a name="FNanchor_21_384" id="FNanchor_21_384"></a><a href="#Footnote_21_384" class="fnanchor">21</a></p>
-
-<div class="blockquot2">
-
-<p>“The rulers of Germany ... were glad to go forward unmolested,
-filling the thrones of Balkan states with German princes,
-putting German officers at the service of Turkey to drill her
-armies and make interest with her government, developing plans
-of sedition and rebellion in India and Egypt, setting their fires in
-Persia. The demands made by Austria upon Serbia were a mere
-single step in a plan which compassed Europe and Asia, from
-Berlin to Bagdad....</p>
-
-<p>“The plan was to throw a broad belt of German military power
-and political control across the very centre of Europe and beyond
-the Mediterranean into the heart of Asia; and Austria-Hungary
-was to be as much their tool and pawn as Serbia or Bulgaria or
-Turkey or the ponderous states of the East.... The dream had
-its heart at Berlin. It could have had a heart nowhere else!...</p>
-
-<p>“And they have actually carried the greater part of that amazing
-plan into execution.... The so-called Central Powers are in fact
-but a single Power. Serbia is at its mercy, should its hands be
-but for a moment freed. Bulgaria has consented to its will, and
-Roumania is overrun. The Turkish armies, which Germans
-trained, are serving Germany, certainly not themselves, and the
-guns of German warships lying in the harbor at Constantinople
-remind Turkish statesmen every day that they have no choice but
-to take their orders from Berlin. From Hamburg to the P<span class="pagenum"><a name="Page_292" id="Page_292">292</a></span>ersian
-Gulf the net is spread!”</p></div>
-
-<p>As late as November 12, 1917, after some spectacular
-victories by the Allies in Mesopotamia and Syria, President
-Wilson made it plain that no peace was possible
-which did not destroy German military power in the Near
-East. Addressing the American Federation of Labor,
-at Buffalo, N. Y., he said:<a name="FNanchor_22_385" id="FNanchor_22_385"></a><a href="#Footnote_22_385" class="fnanchor">22</a></p>
-
-<div class="blockquot2">
-
-<p>“Look at the map of Europe now. Germany, in thrusting upon
-us again and again the discussion of peace, talks about what?
-Talks about Belgium—talks about Alsace-Lorraine. Well, these
-are deeply interesting subjects to us and to them, but they are
-not talking about the heart of the matter. Take the map and
-look at it. Germany has absolute control of Austria-Hungary,
-practical control of the Balkan States, control of Turkey, control
-of Asia Minor. I saw a map the other day in which the whole
-thing was printed in appropriate black, and the black stretched
-all the way from Hamburg to Bagdad—the bulk of the German
-power inserted into the heart of the world. If she can keep that,
-she has kept all that her dreams contemplated when the war
-began. If she can keep that, her power can disturb the world
-as long as she keeps it, always provided ... the present influences
-that control the German Government continue to control it.”</p></div>
-
-<p>In the light of all the facts, this diagnosis of the situation
-is incomplete, to say the least. Had President Wilson
-been cognizant of the contemporaneous counter-activities
-of the Allied Powers, he might not have been prepared
-to offer so simple an explanation of a many-sided problem.
-For it was not German imperialism alone which
-menaced the peace of the Near East and of the world,
-but <i>all</i> imperialism.</p>
-
-<h3><span class="smcap">“Berlin to Bagdad” Becomes But a Memory</span></h3>
-
-<p>Germany may have been determined to dominate the
-Ottoman Empire by military force. But from the Turkish
-point of view domination by Germany was hardly<span class="pagenum"><a name="Page_293" id="Page_293">293</a></span>
-more objectionable than the dismemberment which was
-certain to be the result of an Allied victory.</p>
-
-<p>Indeed, confident that they would eventually win the
-war, the Entente Powers had proceeded far in their plans
-for the division of the Ottoman Empire. During the
-spring of 1915, as has been indicated,<a name="FNanchor_23_386" id="FNanchor_23_386"></a><a href="#Footnote_23_386" class="fnanchor">23</a> Russia had been
-promised Constantinople, and Italy had been assigned a
-share of the spoils equal to that of Great Britain, France,
-or Russia. To give full effect to these understandings,
-further negotiations were conducted during the autumn
-of 1915 and the spring of 1916, looking toward a more
-specific delimitation of interests.</p>
-
-<p>Accordingly, on April 26, 1916—the first anniversary
-of the Treaty of London with Italy—France and Russia
-signed the secret Sazonov-Paléologue Treaty concerning
-their respective territorial rights in Asiatic Turkey.
-Russia was awarded full sovereignty over the vilayets
-of Trebizond, Erzerum, Bitlis, and Van—a vast area of
-60,000 square miles (about one and one-fifth times the
-size of the State of New York), containing valuable
-mineral and petroleum resources. This handsome prize
-put Russia well on the road to Constantinople and in a
-fair way to turn the Black Sea into a Russian lake. And
-at the moment the treaty was signed the armies of the
-Grand Duke Nicholas were actually overrunning the territory
-which Russia had staked out for herself! For her
-part, France was to receive adequate compensations in
-the region to the south and southwest of the Russian
-acquisitions, the actual delimitation of boundaries and
-other details to be the result of direct negotiation with
-Great Britain.<a name="FNanchor_24_387" id="FNanchor_24_387"></a><a href="#Footnote_24_387" class="fnanchor">24</a></p>
-
-<p>Thus came into existence the famous Sykes-Picot
-Treaty of May 9, 1916, defining British and French political
-and economic interests in the hoped-for dismemberment<span class="pagenum"><a name="Page_294" id="Page_294">294</a></span>
-of the Ottoman Empire. The Syrian coast from
-Tyre to Alexandretta, the province of Cilicia, and southern
-Armenia (from Sivas on the north and west to
-Diarbekr on the south and east) were allocated to France
-in full sovereignty. In addition, a French “zone of influence”
-was established over a vast area including the
-provinces of Aleppo, Damascus, Deir, and Mosul. Administration
-of this stretch of coast and its hinterland
-would give French imperialists what they most wanted in
-the Near East—actual possession of a country in which
-France had many religious and cultural interests, control
-of the silk production of Syria and the potential cotton
-production of Cilicia, ownership of the Arghana copper
-mines, and acquisition of that portion of the Bagdad
-Railway lying between Mosul and the Cilician Gates of the
-Taurus.<a name="FNanchor_25_388" id="FNanchor_25_388"></a><a href="#Footnote_25_388" class="fnanchor">25</a> Aside from its satisfaction of French imperial
-ambitions, however, “the French area defied every
-known law of geographic, ethnographic, and linguistic
-unity which one might cite who would attempt to justify
-it.”<a name="FNanchor_26_389" id="FNanchor_26_389"></a><a href="#Footnote_26_389" class="fnanchor">26</a></p>
-
-<p>Great Britain, by way of “compensation,” was to receive
-complete control over lower Mesopotamia from
-Tekrit to the Persian Gulf and from the Arabian boundary
-to the Persian frontier. In addition, she was recognized
-as having special political and economic interests—particularly
-the right “to furnish such advisers as the
-Arabs might desire”—in a vast territory lying south of
-the French “zone of influence” and extending from the
-Sinai Peninsula to the Persian border. Palestine was
-to be internationalized, but was subsequently established
-as a homeland for the Jews. In this manner Britain,
-also, had adequately protected her imperial interests—she
-had secured possession of the Bagdad Railway in
-southern Mesopotamia; she had gained complete control
-of the head of the Persian Gulf, thus fortifying he<span class="pagenum"><a name="Page_295" id="Page_295">295</a></span>r
-strategic position in the Indian Ocean; she was assured
-the Mesopotamian cotton supply for the mills of Manchester
-and the Mesopotamian oil supply for the dreadnoughts
-of the Grand Fleet; she had erected in Palestine
-a buffer state which would block any future Ottoman
-attacks on the Suez Canal. All in all, Sir Mark Sykes
-had driven a satisfactory bargain.<a name="FNanchor_27_390" id="FNanchor_27_390"></a><a href="#Footnote_27_390" class="fnanchor">27</a></p>
-
-<p>Italian ambitions now had to be propitiated. For a
-whole year before the United States entered the war—while
-the Allied governments were professing unselfish
-war aims—secret negotiations were being conducted by
-representatives of France, Great Britain and Italy to determine
-what advantages and territories, equivalent to
-those gained by the other Allies, might be awarded Italy.
-In April, 1917, by the so-called St. Jean de Maurienne
-Agreement, Italy was granted complete possession of
-almost the entire southern half of Anatolia—including
-the important cities of Adalia, Konia, and Smyrna—together
-with an extensive “zone of influence” nort-heast
-of Smyrna. With such a hold on the coast of Asia
-Minor, Italian imperialists might realize their dream of
-dominating the trade of the Ægean and of reëstablishing
-the ancient power of Venice in the commerce of the
-Near East.<a name="FNanchor_28_391" id="FNanchor_28_391"></a><a href="#Footnote_28_391" class="fnanchor">28</a></p>
-
-<p>These inter-Allied agreements for the disposal of
-Asiatic Turkey were instructive instances of the “old
-diplomacy” in coöperation with the “new imperialism.”
-The treaties were secret covenants, secretly arrived at;
-they bartered territories and peoples in the most approved
-manner of Metternich and Richelieu. But they were less
-concerned with narrowly political claims than with the
-exclusive economic privileges which sovereignty carried
-with it; they determined boundaries with recognition of
-their strategic importance, but with greater regard for
-the location of oilfields, mineral deposits, railways and
-ports of commercial importance. They left no doubt a<span class="pagenum"><a name="Page_296" id="Page_296">296</a></span>s
-to what were the real stakes of the war in the Near East.</p>
-
-<p>It is difficult, if not impossible, to reconcile the secret
-treaties with the pronouncements of Allied statesmen
-regarding the origins and purposes of the Great War.
-Certainly they were no part of the American program
-for peace, which promised to “the Turkish portions of
-the Ottoman Empire a secure sovereignty”; which demanded
-“a free, open-minded, and absolutely impartial
-adjustment of all colonial claims, based upon a strict
-observance of the principle that in determining all such
-questions of sovereignty the interests of the populations
-concerned must have equal weight with the equitable
-claims of the government whose title is to be determined”;
-and which announced in no uncertain terms that “the day
-of conquest and aggrandizement is gone by” as is also
-“the day of secret covenants entered into in the interest
-of particular governments and likely at some unlooked-for
-moment to upset the peace of the world.”<a name="FNanchor_29_392" id="FNanchor_29_392"></a><a href="#Footnote_29_392" class="fnanchor">29</a></p>
-
-<p>Allied diplomacy was to have its way in the Near East,
-however, for the goddess of victory finally smiled upon
-the Allied armies and frowned upon both Turks and
-Germans. As 1916 had been a year of Turco-German
-triumphs at the Dardanelles and in Mesopotamia, 1917
-brought conspicuous Allied victories along the Tigris
-and in Syria, and 1918 saw the complete collapse of the
-Ottoman Empire. On February 24, 1917, General Sir
-Stanley Maude, in command of reënforced and rejuvenated
-British forces in Mesopotamia, captured Kut-el-Amara,
-retrieving the disaster which had befallen Townshend’s
-army a year before. Deprived of the services of
-Field Marshal von der Goltz, who died during the Caucasus
-campaign, the Turks retired in disorder, and on
-March 11 British troops entered Bagdad—the ancient
-city which had bulked so large in the German scheme of<span class="pagenum"><a name="Page_297" id="Page_297">297</a></span>
-things in the Near East. Although the capture of Bagdad
-was not in itself of great strategic importance, its
-effect on morale in the belligerent countries was considerable.
-British imperialists were in possession of the
-ancient capital of the Arabian Caliphs, as well as the chief
-entrepôt of caravan trade in the Middle East; therefore
-their prestige with both Arabs and Turks was certain to
-rise. At home, pictures of British troops in the Bagdad
-of the Arabian Nights appealed to the imagination of
-the war-weary, as well as the optimistic, patriot. In the
-Central Powers, on the other hand, the loss of Bagdad
-created scepticism as to whether the German dream of
-“Hamburg to the Persian Gulf” was not now beyond
-realization. This scepticism became more confirmed
-when, on April 24, General Maude captured Samarra,
-northern railhead of the uncompleted Bagdad line in
-Mesopotamia.<a name="FNanchor_30_393" id="FNanchor_30_393"></a><a href="#Footnote_30_393" class="fnanchor">30</a></p>
-
-<p>Scepticism would have turned to alarm, however, had
-Germans been fully aware of the significance of the British
-advance in the Land of the Two Rivers. For behind
-the armies of General Maude came civil officials
-by the hundreds to consolidate the victory and to lay the
-foundations of permanent occupation. An Irrigation
-Department was established to deal with the menace of
-floods, to drain marshes, and to economize in the use
-of water. An Agricultural Department undertook the
-cultivation of irrigated lands and conducted elaborate
-experiments in the growing of cotton—the commodity
-which means so much in the British imperial system. A
-railway was constructed from Basra to Bagdad which,
-when opened to commerce in 1919, became an integral part
-of the Constantinople-Basra system. There was every indication
-that the British were in Mesopotamia to stay.<a name="FNanchor_31_394" id="FNanchor_31_394"></a><a href="#Footnote_31_394" class="fnanchor">31</a></p>
-
-<p>Germans and Turks were sufficiently aroused, however,
-to take strenuous measures to counteract Genera<span class="pagenum"><a name="Page_298" id="Page_298">298</a></span>l Maude’s
-successes. In April, 1917, Field Marshal von Mackensen,
-hero of the Balkan and Rumanian campaigns and
-strong man of the Near East, was sent to Constantinople
-to confer with Enver Pasha regarding the military situation.
-It was decided, apparently, that Bagdad must be
-retaken at all costs, for throughout the summer quantities
-of rolling stock for the Bagdad Railway were shipped to
-Turkey, enormous supplies of munitions were accumulated
-at Haidar Pasha, and a division of picked German
-troops (including machine-gun and artillery units) made
-its appearance in Anatolia. Command of all the Turkish
-armies in Mesopotamia was conferred upon General von
-Falkenhayn, former German Chief of Staff. Germany
-was not yet prepared to surrender her sphere of interest
-in Turkey.</p>
-
-<p>The great expedition against Bagdad, however, had to
-be abandoned. In the first place, Turkish officers were
-loath to serve under von Falkenhayn. Turkish nationalism
-was beginning to assert itself, and German supervision
-of Ottoman military affairs was resented—Mustapha
-Kemal Pasha, for example, refused to accept orders
-from German generals and resigned his commission.
-Von Falkenhayn himself was disliked because of his
-dictatorial methods and was held in light esteem because
-of his responsibility for the disastrous Verdun offensive.
-Furthermore, many Turks deemed it inadvisable to dissipate
-energy in a Mesopotamian campaign, the avowed
-purpose of which was a recovery of German prestige,
-when all available man power was required for the defence
-of Syria. Djemal Pasha was so insistent on this
-point that he received from the Kaiser an “invitation” to
-visit the Western Front! In the second place, Providence
-or, perhaps, an Allied spy intervened to thwart
-the German plans, for a great fire and a series of explosions
-(September 23–26, 1917) destroyed the entire port<span class="pagenum"><a name="Page_299" id="Page_299">299</a></span>
-and terminal of Haidar Pasha, together with all the munitions
-and supplies which had been accumulated there
-by months of patient effort. And finally, the spectacular
-campaign of Field Marshal Allenby in Palestine, which
-opened with the capture of Beersheba, on October 31,
-convinced even von Falkenhayn that an expedition in
-Mesopotamia, while Aleppo was in danger, would be the
-height of folly. German energies were thereupon diverted
-to the defence of the Holy Land.<a name="FNanchor_32_395" id="FNanchor_32_395"></a><a href="#Footnote_32_395" class="fnanchor">32</a></p>
-
-<p>During the autumn of 1917, Great Britain and France,
-to assure their possession of the territories assigned them
-by the Sykes-Picot Treaty, began a Syrian campaign
-which was not to terminate until Turkey had been put
-out of the war. Under Field Marshal Sir E. H. H.
-Allenby, British troops, reënforced by French units and
-assisted by the rebellious Arabs of the Hedjaz, captured
-Gaza (November 7), Jaffa (November 16), and Jerusalem
-(December 9). The triumphal entry of General
-Allenby into Jerusalem was hailed throughout Christendom
-as marking the success of a modern crusade to rid
-Palestine of Ottoman domination forever. Jericho was
-occupied, February 21, 1918, but Turkish resistance,
-under Marshal Liman von Sanders, stiffened for a time,
-and it was not until the autumn that large-scale operations
-were resumed. On October 1, Damascus was occupied
-by a combined Arab and British army; a week
-later Beirut was taken; and on October 25, Aleppo, the
-most important junction point on the Bagdad Railway,
-capitulated. Five days afterward, Turkey gave up the
-hopeless fight by signing the Mudros armistice, terminating
-hostilities.<a name="FNanchor_33_396" id="FNanchor_33_396"></a><a href="#Footnote_33_396" class="fnanchor">33</a></p>
-
-<p>Thus ended a Great Adventure for both Turkey and
-Germany. Germany lost all hope of retaining any economic
-or political influence in the Ottoman Empire; the
-dream of Berlin-to-Bagdad became a nightmare. Turke<span class="pagenum"><a name="Page_300" id="Page_300">300</a></span>y
-faced dismemberment. “The Bagdad Railway had
-proved to be the backbone of Turkish utility and power
-in the War. Were it not for its existence, the Ottoman
-resistance in Mesopotamia and in Syria could have been
-discounted as a practical consideration in the War,
-and the sending of Turkish reënforcements to the Caucasus
-would have been even more materially delayed than
-was in fact the case.”<a name="FNanchor_34_397" id="FNanchor_34_397"></a><a href="#Footnote_34_397" class="fnanchor">34</a> For Turkey, then, the war had
-come at a most inappropriate time. Had hostilities begun
-ten years later, after the completion of the Bagdad
-system, military operations in the Near East might have
-had an entirely different result. As it was, the Bagdad
-Railway—and the international complications arising
-from it—proved to be the ruination of the Ottoman
-Empire.</p>
-
-<h3><span class="smcap">To the Victors Belong the Spoils</span></h3>
-
-<p>During 1919, the Allied Governments set about possessing
-themselves of the spoils which were theirs by virtue
-of the secret treaties and by right of conquest. In
-April, Italian troops occupied Adalia and rapidly extended
-their lines into the interior as far as Konia. In
-November, French armies replaced the British forces
-in Syria and Cilicia. Great Britain began the “pacification”
-of the tribesmen of Mesopotamia and Kurdistan.
-And in the meantime there was plentiful evidence that
-German rights in the Near East would be speedily liquidated
-in the interest of the victorious Powers. For example,
-on March 26, the Interallied Commission on Ports,
-Waterways, and Railways announced at Paris the adoption
-of “a new transportation agreement designed to
-secure a route to the Orient by railway without passing
-through the territories of the Central Empires.” Accordingly,
-a fast train, the “Simplon-Orient Express,”
-was to be run regularly from Calais to Constantinople<span class="pagenum"><a name="Page_301" id="Page_301">301</a></span>
-<i>via</i> Paris, Lausanne, Milan, Venice, Trieste, Agram, and
-Vinkovce. Later this service was to be extended into
-Asiatic Turkey, over the lines of the Anatolian, Bagdad,
-and Syrian railways. To meet a changed situation one
-must provide new paths of imperial expansion, and the
-French press spoke glowingly of the prospect that the
-slogans “Hamburg to the Persian Gulf” and “Berlin to
-Bagdad” would be speedily replaced by “Calais to Cairo”
-and “Bordeaux to Bagdad”!<a name="FNanchor_35_398" id="FNanchor_35_398"></a><a href="#Footnote_35_398" class="fnanchor">35</a></p>
-
-<p>All German rights in the Bagdad Railway and other
-economic enterprises in the Near East were abrogated by
-the Treaty of Versailles, signed June 28, 1919. The German
-Government was obligated to obtain and to turn
-over to the Reparation Commission “any rights and interests
-of German nationals in any public utility undertaking
-or in any concession operating in ... Turkey,
-Austria, Hungary, and Bulgaria” and agreed, as well,
-“to recognize and accept all arrangements which the
-Allied and Associated Powers may make with Turkey
-and Bulgaria with reference to any rights, interests and
-privileges whatever which might be claimed by Germany
-or her nationals in Turkey and Bulgaria.”<a name="FNanchor_36_399" id="FNanchor_36_399"></a><a href="#Footnote_36_399" class="fnanchor">36</a></p>
-
-<p>The Treaty of Sèvres, August 10, 1920—together with
-the accompanying secret Tripartite Agreement of the same
-date between Great Britain, France, and Italy—carried
-still further the liquidation of German interests in the
-Near East. The Turkish Government was required to
-dispose of all property rights in Turkey of Germany,
-Austria, Hungary, Bulgaria, or their respective nationals
-and to turn over the proceeds of all purchases and sales to
-the Reparation Commission established under the treaties
-of peace with those Powers. The Anatolian and Bagdad
-Railways were to be expropriated by Turkey and all
-of their rights, privileges, and properties to be assigned—at
-a valuation to be determined by an arbitrator appoint<span class="pagenum"><a name="Page_302" id="Page_302">302</a></span>ed
-by the Council of the League of Nations—to a Franco-British-Italian
-corporation to be designated by the representatives
-of the Allied Powers. German stockholders
-were to be compensated for their holdings, but the
-amount of their compensation was to be turned over to
-the Reparation Commission; compensation due the
-Turkish Government was to be assigned to the Allied
-Governments toward the costs of maintaining their armies
-of occupation on Turkish soil. German and Turkish
-property in ceded territories of the Ottoman Empire was
-to be similarly liquidated. The Treaty of Versailles and
-the Treaty of Sèvres left hardly a vestige of German influence
-in the Near East.<a name="FNanchor_37_400" id="FNanchor_37_400"></a><a href="#Footnote_37_400" class="fnanchor">37</a></p>
-
-<p>The Sèvres settlement, furthermore, destroyed the
-Ottoman Empire and sought to give the Allies a stranglehold
-upon the economic life of Turkey. Great Britain
-and France received essentially the same territorial privileges
-as they had laid out for themselves in the Sykes-Picot
-Treaty, with the vague restrictions that they should
-exercise in Mesopotamia and Palestine and in Syria and
-Cilicia respectively only the rights of mandatory powers.
-Great Britain was confirmed in her oil and navigation
-concessions in Mesopotamia, France in her railway rights
-in Syria; in addition, the Hedjaz Railway was turned
-over outright to their joint ownership and administration.
-Italy received only a “sphere of influence” in southern
-Anatolia, including the port of Adalia, but, as a consequence
-of one of the most sordid of the transactions of
-the Paris Conference, she was deprived of the bulk of
-the privileges guaranteed her under the Treaty of London
-and the St. Jean de Maurienne Agreement.<a name="FNanchor_38_401" id="FNanchor_38_401"></a><a href="#Footnote_38_401" class="fnanchor">38</a> Greece
-was installed in Smyrna—the most important harbor in
-Asia Minor, a harbor the control of which was vital to
-the peasantry of Anatolia for the free export of their
-produce and for the unimpeded importation of farm <span class="pagenum"><a name="Page_303" id="Page_303">303</a></span>machinery
-and other wares of western industry. Constantinople
-was put under the jurisdiction of an international
-commission for control of the Straits, and the balance
-of the former Russian sphere of interest was assigned
-to the ill-fated Armenian Republic. The Hedjaz was
-declared to be an independent Arab state. The Ottoman
-Empire was no more.</p>
-
-<p>Even the Turkey that remained—a portion of Anatolia—enjoyed
-sovereignty in name only. The Capitulations,
-which the Sultan had terminated in the autumn
-of 1914, were reëstablished and extended. Concessions
-to Allied nationals were confirmed in all the rights which
-they enjoyed before Ottoman entry into the Great War.
-Because of the reparations, and because of the high cost
-of the Allied armies of occupation, the country was being
-loaded down with a still further burden of debt from
-which there appeared to be no escape—and debts not
-only mortgaged Turkish revenues but impaired Turkish
-administrative integrity. To assure prompt payment of
-both old and new financial obligations of the Turkish
-Government, an Interallied Financial Commission was
-superimposed upon the Ottoman Public Debt Administration.
-The Financial Commission had full supervision
-over taxation, customs, loans, and currency; exercised
-final control over the Turkish budget; and had the right
-to veto any proposed concession. In control of its domestic
-affairs the new Turkey was tied hand and foot.
-Here, indeed, was a Carthaginian peace! And all of
-this was done in order “to help Turkey, to develop her
-resources, and to avoid the international rivalries which
-have obstructed these objects in the past!”<a name="FNanchor_39_402" id="FNanchor_39_402"></a><a href="#Footnote_39_402" class="fnanchor">39</a></p>
-
-<h3>“<span class="smcap">The Ottoman Empire is Dead. Long Live Turkey!</span>”</h3>
-
-<p>In the meantime, however, while the Sèvres Treaty<span class="pagenum"><a name="Page_304" id="Page_304">304</a></span>
-was still in the making, there was a small handful of
-Turkish patriots who were determined at all costs to
-win that complete independence for which Turkey had
-entered the war. These Nationalists were outraged by
-the Greek occupation of Smyrna, in May, 1919, which
-they considered a forecast of the kind of peace to be
-dictated to Turkey. During the summer of 1919 they
-held two conferences at Erzerum and Sivas and agreed
-to reject any treaty which handed over Turkish populations
-to foreign domination, which would reduce Turkey
-to economic servitude to the victorious Powers, or which
-would impair the sovereignty of their country. Upon
-this program they won a sweeping victory in the parliamentary
-elections of 1919–1920. For leadership they
-depended largely upon that brilliant soldier and staunch
-Turk, Mustapha Kemal Pasha, who had distinguished
-himself by his quarrel with Liman von Sanders at the
-Dardanelles and his defiance of von Falkenhayn in
-Syria. Mustapha Kemal Pasha, who had bitterly contested
-the growth of German influence in Turkey during
-the war, was not likely to accept without a struggle the
-extension of Allied control over Turkish affairs.<a name="FNanchor_40_403" id="FNanchor_40_403"></a><a href="#Footnote_40_403" class="fnanchor">40</a></p>
-
-<p>In Constantinople, January 28, 1920, the Nationalist
-members of the Turkish Parliament signed the celebrated
-“National Pact”—frequently referred to as a Declaration
-of Independence of the New Turkey. “The Pact
-was something more than a statement of war-aims or a
-party programme. It was the first adequate expression
-of a sentiment which had been growing up in the minds
-of Western-educated Turks for three or four generations,
-which in a half-conscious way had inspired the reforms
-of the Revolution of 1908, and which may dominate
-Turkey and influence the rest of the Middle East for
-many generations to come. It was an emphatic adoption
-of the Western national idea.”<a name="FNanchor_41_404" id="FNanchor_41_404"></a><a href="#Footnote_41_404" class="fnanchor">41</a> It was based upon<span class="pagenum"><a name="Page_305" id="Page_305">305</a></span>
-principles which had received wide acceptance among
-peoples of the Allied nations during the war: self-determination
-of peoples, to be expressed by plebiscite;
-protection of the rights of minorities, but no further
-limitations of national sovereignty. As regards the Capitulations
-and the Ottoman Public Debt Administration,
-the Pact is explicit: “With a view to assuring our national
-and economic development,” it reads, “and with the
-end of securing to the country a more regular and more
-modern administration, the signatories of the present pact
-consider the possession of complete independence and
-liberty as the <i>sine qua non</i> of our national existence.
-In consequence, we oppose all juridical or financial restrictions
-of any nature which would arrest our national
-development.” Rather that Turkey should die free than
-live in slavery! Foreswearing any intention of recovering
-the Sultan’s former Arab possessions, the Pact proceeded
-to serve notice, however, that Cilicia, Mosul, and the
-Turkish portions of Thrace must be reunited with the
-fatherland. “The Ottoman Empire is dead! Long live
-Turkey!”<a name="FNanchor_42_405" id="FNanchor_42_405"></a><a href="#Footnote_42_405" class="fnanchor">42</a></p>
-
-<p>With this amazing program Mustapha Kemal Pasha
-undertook to liberate Turkey. In April, 1920, the government
-of the Grand National Assembly was instituted
-in Angora and proceeded to administer those portions of
-Anatolia which were not under Allied or Greek occupation.
-The proposed Treaty of Sèvres—which was handed
-to the Turkish delegates at Paris on May 11—was condemned
-as inconsistent with the legitimate national aspirations
-of the Turkish people. The Allies and the
-Constantinople Government were denounced—the former
-as invaders of the sacred soil of Turkey, the latter as
-tools of European imperialists. Then followed a series
-of successful military campaigns: by October, 1920, the
-French position in Cilicia had been rendered untenable,<span class="pagenum"><a name="Page_306" id="Page_306">306</a></span>
-the Armenian Republic had been obliterated, the British
-forces of occupation had been forced back into the Ismid
-peninsula, and the Italians had withdrawn their troops
-to Adalia. In the spring of 1921 separate treaties were
-negotiated with Russia, Italy, and France, providing for
-a cessation of military operations and for the evacuation
-of certain Turkish territories.<a name="FNanchor_43_406" id="FNanchor_43_406"></a><a href="#Footnote_43_406" class="fnanchor">43</a> Then came the
-long, bitter struggle against the Greeks, terminating with
-the Mudania armistice of October 10, 1922, which assured
-to the Turks the return of Smyrna and portions of
-Thrace. On November 1, the Sultanate was abolished,
-and Turkey became a republic. Four days later the
-Turkish Nationalists entered Constantinople in triumph.
-The struggle for the territorial and administrative integrity
-of a New Turkey seemed to be won.</p>
-
-<p>The victory of the Nationalists scrapped the Treaty
-of Sèvres and called for a complete readjustment of the
-Near Eastern situation. When the first Lausanne Conference
-for Peace in the Near East assembled on November
-20, 1922, there were high hopes that a just and lasting
-settlement might be arrived at. The conference was
-only a few days old, however, when the time-honored
-obstacles to peace in the Levant made their appearance:
-the rival diplomatic policies of the Great Powers; the
-desire of the West, by means of the Capitulations, to
-maintain a firm hold upon its vested interests in the
-East; the imperialistic struggle of rival concessionaires,
-supported by their respective governments, for possession
-of the raw materials, the markets, and the communications
-of Asiatic Turkey. Once more the Bagdad Railway, with
-its tributary lines in Anatolia and Syria, became one of
-the stakes of diplomacy!</p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_364" id="Footnote_1_364"></a><a href="#FNanchor_1_364"><span class="label">1</span></a> C. J. H. Hayes, <i>A Brief History of the Great War</i> (New
-York, 1920), pp. 71–72; “A Rival to the Bagdad Line,” in <i>The
-Near East</i>, May 25, 1917.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_365" id="Footnote_2_365"></a><a href="#FNanchor_2_365"><span class="label">2</span></a> <i>Supra</i>, Chapter V.</p>
-
-<p><span class="pagenum"><a name="Page_307" id="Page_307">307</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_366" id="Footnote_3_366"></a><a href="#FNanchor_3_366"><span class="label">3</span></a> Regarding the diplomatic situation at Constantinople during
-the critical months of July to November, 1914, <i>cf.</i> “Correspondence
-respecting events leading to the rupture of relations with
-Turkey,” <i>Parliamentary Papers</i>, No. Cd. 7628 (1914); C.
-Mehrmann, <i>Der diplomatische Krieg in Vorderasien</i> (Dresden,
-1916); J. Aulneau, <i>La Turquie et la Guerre</i> (Paris, 1916); C.
-Strupp, <i>Diplomatische Aktenstücke zur orientalischen Frage</i>
-(Berlin, 1916); Historicus, “Origines de l’alliance turco-germanique,”
-in <i>Revue</i>, 7 series, Volume III (Paris, 1915), pp.
-267 <i>et seq.</i>; Ostrorog, <i>op. cit.</i>, Chapters XII-XVI; footnote 40,
-Chapter X, <i>supra</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_367" id="Footnote_4_367"></a><a href="#FNanchor_4_367"><span class="label">4</span></a> Quoted from <i>Current History</i>, Volume I (New York, 1915),
-p. 1032.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_368" id="Footnote_5_368"></a><a href="#FNanchor_5_368"><span class="label">5</span></a> <i>Die deutsch-türkische Waffenbrüderschaft</i>, p. 30.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_369" id="Footnote_6_369"></a><a href="#FNanchor_6_369"><span class="label">6</span></a> Notably Dr. Ernst Jäckh and Dr. Hugo Grothe.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_370" id="Footnote_7_370"></a><a href="#FNanchor_7_370"><span class="label">7</span></a> The following list of books is given without any pretence
-that it is a complete bibliography of German publications on
-the Near Eastern question during the year 1914–1915: A. Ritter,
-<i>Berlin-Bagdad, neue Ziele mitteleuropäischer Politik</i> (Munich,
-1915) and <i>Nordkap-Bagdad, das politische Programm des
-Krieges</i> (Frankfort a. M., 1914); Hugo Grothe, <i>Die Türken
-und ihre gegnerkriegsgeographische Betrachtungen</i> (Frankfurt
-a. M., 1915), <i>Deutsch-türkische wirtschaftliche Interessengemeinschaft</i>
-(Munich, 1915), and <i>Deutschland, die Türkei und
-der Islam</i> (Leipzig, 1915); C. A. Schäfer, <i>Deutsch-türkische
-Freundschaft</i> (Stuttgart, 1915); Carl H. Becker, <i>Deutschland
-und der Islam</i> (Leipzig, 1914); J. Ritter von Riba, <i>Der türkische
-Bundesgenosse</i> (Berlin, 1915); J. Hall, <i>Der Islam und die
-abendländische Kultur</i> (Weimar, 1915); Ernst Marré, <i>Die
-Türken und wir nach dem Kriege</i> (Leipzig, 1916); Tekin Alp,
-<i>Türkismus und Pantürkismus</i> (Weimar, 1915); R. Schäfer,
-<i>Der deutsche Krieg, die Türkei, Islam und Christentum</i> (Leipzig,
-1915); W. T. Vela, <i>Die Zukunft der Türkei in Bundnis
-mit Deutschland</i> (Berlin, 1915); W. Blanckenburg, <i>Die Zukunftsarbeit
-der deutschen Schule in der Türkei</i> (Berlin, 1915);
-H. Schmidt, <i>Das Eisenbahnwesen in der asiatischen Türkei</i>
-(Berlin, 1914); H. Margulies, <i>Der Kampf zwischen Bagdad
-und Suez in Altertums</i> (Weimar, 1915); M. Horten, <i>Die islamische
-Geisteskultur</i> (Leipzig, 1915); Fritz Regel, <i>Die deutsche
-Forschung in türkische Vordasien</i> (Leipzig, 1915); M. Roloff,
-<i>Arabien und seine Bedeutung für die Erstärkung des Osmanenreiches</i>
-(Leipzig, 1915); A. Paquet, <i>Die jüdische Kolonien in
-Palästina</i> (Weimar, 1915); C. Nawratzki, <i>Die jüdische Kolonisation
-Palästinas</i> (Munich, 1914); D. Trietsch, <i>Die Juden der
-Türkei</i> (Leipzig, 1915). Two not<span class="pagenum"><a name="Page_308" id="Page_308">308</a></span>able magazine articles are:
-R. Hennig, “Der verkehrsgeographische Wert des Suez- und des
-Bagdad-Weges,” in <i>Geographische Zeitschrift</i>, 1916, pp. 649–656;
-A. Tschawisch, “Der Islam und Deutschland—Wie soll man sich
-die Zukunft des Islams denken?”, in <i>Deutsche Revue</i>, 1915,
-Volume III, pp. 249 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_371" id="Footnote_8_371"></a><a href="#FNanchor_8_371"><span class="label">8</span></a> See advertisements regarding the society and its work in a
-series of pamphlets <i>Länder und Völker der Turkei</i>, edited by
-Dr. Hugo Grothe (Leipzig, 1915, <i>et seq.</i>), and descriptions of
-similar organizations in a series <i>Orientbücherei</i>, edited by Dr.
-Ernst Jäckh (Stuttgart and Berlin, 1914, <i>et seq.</i>).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_372" id="Footnote_9_372"></a><a href="#FNanchor_9_372"><span class="label">9</span></a> “Report of the Commission Appointed by Act of Parliament
-to Enquire into the Operations of War in Mesopotamia,” <i>Parliamentary
-Papers</i>, 1917, No. Cd. 8610.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_373" id="Footnote_10_373"></a><a href="#FNanchor_10_373"><span class="label">10</span></a> W. S. Churchill, <i>The World Crisis, 1910–1915</i> (New York,
-1923), pp. 529–535; A. MacCallum Scott, <i>Winston Churchill in
-Peace and War</i> (London, 1916), Chapter X.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_374" id="Footnote_11_374"></a><a href="#FNanchor_11_374"><span class="label">11</span></a> C. C. Repington, <i>The First World War, 1914–1918</i> (2 volumes,
-London, 1920), Volume I, pp. 42, 51, etc. <i>ad lib.</i>; Churchill,
-<i>op. cit.</i>, pp. 537–538.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_375" id="Footnote_12_375"></a><a href="#FNanchor_12_375"><span class="label">12</span></a> The italics are mine. The proposed debarkation of troops,
-however, was certain to involve a breach of Persian neutrality.
-<i>Cf.</i> <i>Parliamentary Papers</i>, 1917, No. Cd. 8610.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_376" id="Footnote_13_376"></a><a href="#FNanchor_13_376"><span class="label">13</span></a> <i>Ibid.</i> Regarding the Franco-German agreement of February
-15, 1914, <i>cf.</i> <i>supra</i>, pp. 246–250.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_377" id="Footnote_14_377"></a><a href="#FNanchor_14_377"><span class="label">14</span></a> The text of the agreement between England, France and
-Russia regarding the disposition of Constantinople and other
-portions of Turkey is to be found in <i>Full Texts of the Secret
-Treaties as Revealed at Petrograd</i> (New York, <i>The Evening
-Post</i>, 1918); <i>cf.</i>, also, R. S. Baker, <i>Woodrow Wilson and World
-Settlement</i> (3 volumes, Garden City, 1922), Volume I, Chapter
-III. The text of the Treaty of London between Italy and the
-Allies is to be found in <i>Parliamentary Papers</i>, 1920, No. Cmd.
-671, Miscellaneous No. 7.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_378" id="Footnote_15_378"></a><a href="#FNanchor_15_378"><span class="label">15</span></a> The best single work on military operations in Turkey during
-the Great War is Edmund Dane’s <i>British Campaigns in the
-Nearer East, 1914–1918</i> (2 volumes, London, 1919). Regarding
-the Caucasus campaigns of 1914–1915 <i>cf.</i> M. P. Price, <i>War and
-Revolution in Asiatic Russia</i> (London, 1918), Chapter I; R.
-Machray, “The Campaign in the Caucasus,” in the <i>Fortnightly
-Review</i>, Volume 97 (1915), pp. 458–471. Excellent accounts of
-the first Turkish offensive against the Suez Canal are to be
-found in G. Douin, <i>Un épisode de la guerre mondiale: l’attaque
-du canal de Suez, 3 Fevrier, 1915</i> (Paris, 1922); C. Stiénon, “Sur
-le chemin de fer de Bagdad,” in <i>Revue des deux mondes</i>, 6 series,
-Volume 5 (1916), pp. 148–174; T. Wiegand, <i>Sinai</i> (Berlin, 1920);
-N. Moutran, <i>La Syrie de demain: France et Syrie</i> (Paris, 19<span class="pagenum"><a name="Page_309" id="Page_309">309</a></span>16);
-R. Hennig, <i>Der Kampf um den Suezkanal</i> (Stuttgart, 1915); E.
-Serman, <i>Mit den Türken an der Front</i> (Berlin, 1915); J. Walther,
-<i>Zum Kampf in der Wüste am Sinai und Nil</i> (Leipzig,
-1916); P. Schweder, <i>Im türkischen Hauptquartier</i> (Leipzig,
-1916); <i>Eine Geschichte der Türkei im Weltkriege</i> (Munich,
-1919). For the Mesopotamian expedition of 1914–1915 consult
-<i>Despatches Regarding Operations in the Persian Gulf and Mesopotamia</i>
-(London, the War Office, 1915); G. M. Chesney, “The
-Mesopotamian Breakdown,” in the <i>Fortnightly Review</i>, Volume
-102 (1917), pp. 247–256; H. B. Reynardson, <i>Mesopotamia, 1914–1915</i>
-(London, 1919); C. H. Barber, <i>Besieged in Kut and After</i>
-(Edinburgh, 1917). Of the great quantity of material available
-on the Dardanelles campaign, <i>cf.</i>, in particular, the following:
-<i>Gallipoli: der Kampf um den Orient, von einem Offizier aus dem
-Stab des Marschalls Liman von Sanders</i> (Berlin, 1916); General
-Sir Ian Hamilton, <i>Gallipoli Diary</i> (London, 1920); H. W. Nevinson,
-<i>The Dardanelles Campaign</i> (London, 1918); S. A. Moseley,
-<i>The Truth About the Dardanelles</i> (London, 1916); John Masefield,
-<i>Gallipoli</i> (London, 1916).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_379" id="Footnote_16_379"></a><a href="#FNanchor_16_379"><span class="label">16</span></a> <i>Parliamentary Papers</i>, 1917, No. Cd. 8610; C. V. F. Townshend,
-<i>My Campaign in Mesopotamia</i> (London, 1920).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_380" id="Footnote_17_380"></a><a href="#FNanchor_17_380"><span class="label">17</span></a> Regarding renewed German activity and interest in the Near
-East after the elimination of Serbia from the war seemed to
-bring the <i>Drang nach Osten</i> within the realm of practical politics,
-<i>cf.</i>: R. Zabel, <i>Im Kampfe um Konstantinopel und die wirtschaftliche
-Lage der Türkei während des Weltkrieges</i> (Leipzig, 1916);
-C. H. Müller, <i>Die wirtschaftliche Bedeutung der Bagdadbahn</i>
-(Hamburg, 1917); R. Junge, <i>Die deutsch-türkischen Wirtschaftsbeziehungen</i>
-(Weimar, 1916); E. Marré, <i>Die Türken und wir
-nach dem Kriege: ein praktisches Wirtschaftsprogramm</i> (Berlin,
-1916); H. Rohde, <i>Deutschland in Vorderasien</i> (Berlin, 1916);
-H. W. Schmidt, <i>Auskunftsbuch für den Handel mit der Türkei</i>
-(Leipzig, 1917); E. Mygind, <i>Anatolien und seine wirtschaftliche
-Bedeutung</i> (Berlin, 1916); C. V. Bichtligen, “<i>Die Bagdadbahn,
-eine Hochstrasse des Weltverkehrs in ihrer wirtschaftliche Bedeutung</i>,”
-in <i>Soziale Revue</i>, 16 year (1916), pp. 1–11, 123–139;
-F. C. Endres, <i>Die Türkei</i> (Munich, 1916); A. Philippsohn, <i>Das
-türkische Reich</i> (Weimar, 1916); H. Kettner, <i>Vom Goldenen Tor
-zum Goldenen Horn und nach Bagdad</i> (Berlin, 1917). For the
-point of view of Allied sympathizers, <i>cf.</i>: E. F. Benson, <i>Deutschland
-über Allah</i> (London, 1917), and <i>Crescent and Iron Cross</i>
-(New York, 1918); E. A. Martel, <i>L’emprise austro-allemande sur
-la Turquie et l’Asie Mineure</i> (Paris, 1918); H. C. Woods, <i>The
-Cradle of the War</i> (New York, 1919), and an article, “The
-Bagdad Railway in the War,” in the <i>Fortnightly Review</i>, Volume
-102 (1917), pp. 235–247; J. Thureau, “La pénétration allemande<span class="pagenum"><a name="Page_310" id="Page_310">310</a></span>
-en Asie Mineure,” in <i>Revue politique et parlementaire</i>, Volume
-86 (1916), pp. 19–44; R. Lane, “Turkey under Germany’s Tutelage,”
-in <i>Unpopular Review</i>, Volume 9 (1918), pp. 328 <i>et seq.</i>;
-N. Markovitch, <i>Le pangermanisme en Orient</i> (Nice, 1916); A. J.
-Toynbee, <i>Turkey, a Past and a Future</i> (New York, 1917).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_381" id="Footnote_18_381"></a><a href="#FNanchor_18_381"><span class="label">18</span></a> Quoted in <i>The Near East</i>, November 12, 1915. For other
-material regarding construction of the Bagdad Railway during
-the war and its utilization for military purposes, <i>cf.</i>: <i>Report of
-the Bagdad Railway Company</i>, 1914, pp. 6–7; 1915, pp. 3–6; <i>The
-Engineer</i>, February 4, 1915; “Transportation in the War—The
-Railways of Mesopotamia,” in <i>Modern Transport</i> (London),
-November, 1919; D. G. Heslop, “The Bagdad Railway,” in <i>The
-Engineer</i> (London), November 12 and 26 and December 3 and 17,
-1920; “Railways of Mesopotamia,” in the <i>Railway Gazette</i> (London),
-War Transportation Number, September 21, 1920, pp. 129–140;
-“Die Bagdadbahn und der Durchschlag des letzten grossen
-Tunnels,” in <i>Asien</i>, 14 year (1917), pp. 97–101.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_382" id="Footnote_19_382"></a><a href="#FNanchor_19_382"><span class="label">19</span></a> Dane, <i>op. cit.</i>, Volume I, Chapters VIII-XII, inclusive; “The
-German-Turkish Expedition Against the Suez Canal in 1916,” in
-<i>Journal of the United Service Institution</i>, Volume 65 (London,
-1920), pp. 353–357.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_383" id="Footnote_20_383"></a><a href="#FNanchor_20_383"><span class="label">20</span></a> Hayes, <i>op. cit.</i>, pp. 142–143.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_384" id="Footnote_21_384"></a><a href="#FNanchor_21_384"><span class="label">21</span></a> Quoted from the official text as given in E. E. Robinson and
-V. J. West, <i>The Foreign Policy of Woodrow Wilson, 1913–1917</i>
-(New York, 1917), pp. 403–405.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_385" id="Footnote_22_385"></a><a href="#FNanchor_22_385"><span class="label">22</span></a> <i>The New York Times</i>, November 13, 1917.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_386" id="Footnote_23_386"></a><a href="#FNanchor_23_386"><span class="label">23</span></a> <i>Supra</i>, p. 285.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_387" id="Footnote_24_387"></a><a href="#FNanchor_24_387"><span class="label">24</span></a> Baker, <i>op. cit.</i>, Volume I, Chapter IV, contains an excellent
-account of the inter-Allied negotiations of 1916–1917 regarding
-Asiatic Turkey, based upon the private papers of Woodrow Wilson.
-<i>Cf.</i>, also, <i>Full Texts of the Secret Treaties as Revealed at
-Petrograd</i>.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_388" id="Footnote_25_388"></a><a href="#FNanchor_25_388"><span class="label">25</span></a> The Treaty provided that the Bagdad Railway should not be
-extended southward from Mosul or northward from Samarra
-without the express consent of both France and Great Britain
-and in no case before the construction of a railway from Bagdad
-to Aleppo <i>via</i> the Euphrates Valley—the purpose being, as far as
-possible, to develop southern Mesopotamia and the Syrian coast
-rather than Kurdistan. By a subsequent agreement of December,
-1918, between Messrs. Lloyd George and Clémenceau, Mosul was
-transferred to Great Britain.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_389" id="Footnote_26_389"></a><a href="#FNanchor_26_389"><span class="label">26</span></a> W. L. Westermann, “The Armenian Problem and the Disruption
-of Turkey,” in <i>What Really Happened at Paris—The
-Story of the Peace Conference, 1918–1919, by American Delegates</i>,
-edited by E. M. House and C. Seymour (New York, 1921), pp.
-176–203. <i>Cf.</i> p. 183.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_390" id="Footnote_27_390"></a><a href="#FNanchor_27_390"><span class="label">27</span></a> The text of the Sykes-Picot Treaty was first published by<span class="pagenum"><a name="Page_311" id="Page_311">311</a></span>
-<i>The Manchester Guardian</i>, January 8, 1920, and was reprinted in
-<i>Current History</i>, Volume XI (1920), pp. 339–341. <i>Cf.</i>, also,
-Bowman, <i>The New World</i>, pp. 100–104; Baker, <i>op. cit.</i>, pp. 67–69.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_391" id="Footnote_28_391"></a><a href="#FNanchor_28_391"><span class="label">28</span></a> Baker, <i>op. cit.</i>, pp. 68–70. The negotiations concerning the
-St. Jean de Maurienne Agreement extended from the autumn of
-1916 to August, 1917. The agreement appears to have been
-negotiated with the Italians by Mr. Lloyd George, in April, 1917,
-while Mr. Balfour was in America with the British Mission. It
-was amended in August, as a result of the insistence of the
-Italians that they had not received an adequate share of the
-spoils.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_392" id="Footnote_29_392"></a><a href="#FNanchor_29_392"><span class="label">29</span></a> President Wilson’s address to a joint session of the Congress
-of the United States, January 8, 1918, setting forth the famous
-Fourteen Points of a durable peace. Quoted from James Brown
-Scott, <i>President Wilson’s Foreign Policy</i> (New York, 1918),
-pp. 354–363.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_393" id="Footnote_30_393"></a><a href="#FNanchor_30_393"><span class="label">30</span></a> Regarding General Maude’s brilliant campaign in Mesopotamia,
-<i>cf.</i>: Dane, <i>op. cit.</i>, Volume II, Chapters II, III, XII; E. F.
-Eagan, <i>The War in the Cradle of the World</i> (London, 1918);
-Kermit Roosevelt, <i>War in the Garden of Eden</i> (New York, 1919);
-Sir Charles Collwell, <i>Life of Sir Stanley Maude</i> (London, 1920);
-E. Betts, <i>The Bagging of Bagdad</i> (London, 1920); E. Candler,
-<i>The Long Road to Bagdad</i> (London, 1920); C. Cato (pseudonym),
-<i>The Navy in Mesopotamia</i> (London, 1917); F. Maurice,
-“The Mesopotamian Campaign,” in <i>Asia</i>, Volume 18 (New York,
-1918), pp. 933–936.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_394" id="Footnote_31_394"></a><a href="#FNanchor_31_394"><span class="label">31</span></a> British intrenchment in Mesopotamia, 1917–1920, is described
-in the following: “Review of the Civil Administration of Mesopotamia,”
-<i>Parliamentary Papers</i>, No. Cmd. 1061 (1920); R.
-Thomas, <i>Report on Cotton Experimental Work in Mesopotamia</i>
-(Bagdad, 1919); “Cotton Growing in Mesopotamia,” <i>Bulletin of
-the Imperial Institute</i>, Volume 18 (London, 1920), pp. 73–82;
-<i>Mesopotamia as a Country for Future Development</i> (Cairo,
-Ministry of Public Works, 1919); “Transportation and Irrigation
-in Mesopotamia,” <i>Commerce Reports</i>, No. 50 (Washington,
-1919), pp. 948–954; Sir H. P. Hewett, <i>Some Impressions of Mesopotamia</i>
-(London, 1919); C. R. Wimshurst, <i>The Wheats and
-Barleys of Mesopotamia</i> (Basra, 1920); <i>Review of the Civil
-Administration of the Occupied Territories of Irak</i> (Bagdad,
-1918); L. J. Hall, <i>Inland Water Transport in Mesopotamia</i> (London,
-1921); Sir Mark Sykes, <i>The Commercial Future of Bagdad</i>
-(London, 1917); “Turkish Rule and British Administration in
-Mesopotamia,” in The Quarterly <i>Review</i>, Volume 232 (1919),
-pp. 401 <i>et seq.</i>; W. Ormsby Gore, “The Organization of British
-Responsibilities in the Middle East,” in <i>Journal of the Central
-Asian Society</i>, Volume 7 (1920), pp. 83–105; I. A. Shah, “The<span class="pagenum"><a name="Page_312" id="Page_312">312</a></span>
-Colonization of Mesopotamia,” in <i>United Service Magazine</i>,
-Volume 179 (1919), pp. 350 <i>et seq.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_395" id="Footnote_32_395"></a><a href="#FNanchor_32_395"><span class="label">32</span></a> Townshend, <i>op. cit.</i>, pp. 375 <i>et seq.</i>; Djemal Pasha, <i>op. cit.</i>,
-Chapter VII; <i>Current History</i>, Volume XII (1920), pp. 117–118;
-A. D. C. Russell, <i>loc. cit.</i>, pp. 325 <i>et seq.</i>; F. C. Endres, <i>Der Weltkrieg
-der Türkei</i> (Berlin, 1919).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_396" id="Footnote_33_396"></a><a href="#FNanchor_33_396"><span class="label">33</span></a> Regarding General Allenby’s campaigns in Palestine and
-Syria, see: H. Pirie-Gordon, <i>A Brief Record of the Advance of
-the Egyptian Expeditionary Force</i> (London, 1919); W. T. Massey,
-<i>Allenby’s Final Triumph</i> (London, 1920); C. C. R. Murphy,
-<i>Soldiers of the Prophet</i> (London, 1921); H. O. Lock, <i>The Conquerors
-of Palestine Through Forty Centuries</i> (New York,
-1921); R. E. C. Adams, <i>The Modern Crusaders</i> (London, 1920);
-H. Dinning, <i>Nile to Aleppo: With the Light Horse in the Near
-East</i> (London, 1920); P. E. White, <i>The Disintegration of the
-Turkish Empire</i> (London, 1920); C. T. Atkinson, “General Liman
-von Sanders and His Experiences in Palestine,” <i>Army Quarterly</i>,
-Volume 3 (London, 1922), pp. 257–275; A. Aaronsohn, <i>Mit der
-türkischen Armee in Palästina</i> (Berne, 1918); J. Bourelly, <i>Campagne
-d’Égypte et de Syrie contre les Turcs</i> (Paris, 1919); G.
-Gautherot, <i>La France en Syrie et en Cilicie</i> (Paris, 1920); C.
-Stiénon, <i>Les campagnes d’Orient et les intérêts de l’entente</i> (Paris,
-1918), and <i>La défense de l’Orient et le rôle de l’Angleterre</i> (Paris,
-1918); A. Mandelstamm, <i>Le sort de l’Empire Ottoman</i> (Paris,
-1917); G. A. Schreiner, <i>From Berlin to Bagdad: Behind the
-Scenes in the Near East</i> (New York, 1918).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_397" id="Footnote_34_397"></a><a href="#FNanchor_34_397"><span class="label">34</span></a> H. Charles Woods, <i>The Cradle of the War</i>, p. 271.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_398" id="Footnote_35_398"></a><a href="#FNanchor_35_398"><span class="label">35</span></a> See a suggestive article by Hilaire Belloc, “Europe’s New
-Paths of Empire,” in <i>Our World</i> (New York), October, 1922,
-pp. 41–46; <i>The Evening Post</i> (New York), January 3 and March
-27, 1919.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_399" id="Footnote_36_399"></a><a href="#FNanchor_36_399"><span class="label">36</span></a> <i>The Treaty of Peace with Germany</i>, Articles 155, 258, 260,
-261, 297.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_400" id="Footnote_37_400"></a><a href="#FNanchor_37_400"><span class="label">37</span></a> “Treaty of Peace with Turkey, Signed at Sèvres August 10,
-1920,” <i>Parliamentary Papers</i>, No. Cmd. 964, Treaty Series No. 11,
-1920; “Tripartite Agreement Between the British Empire, France,
-and Italy, Respecting Anatolia, Signed at Sèvres, August 10,
-1920,” <i>Parliamentary Papers</i>, No. Cmd. 963, Treaty Series No. 12,
-1920. An official summary of the Sèvres treaty was published in
-<i>The Nation</i> (New York), International Relations Section, Volume
-111 (1920), pp. 21–28, and in <i>Current History</i>, Volume XIII
-(1921), pp. 164–184. An excellent discussion of the main provisions
-of the treaty and its probable effects is to be found in
-Bowman’s <i>The New World</i>, Chapters XXIV and XXVI.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_401" id="Footnote_38_401"></a><a href="#FNanchor_38_401"><span class="label">38</span></a> Regarding the negotiations at the Paris Conference by which
-the claims of Italy were disregarded in favor of those of Greece,
-<i>cf.</i> Baker, <i>op. cit.</i>, Volume II, Chapter XXXII, and Volum<span class="pagenum"><a name="Page_313" id="Page_313">313</a></span>e III,
-Documents Nos. 1, 31–41.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_402" id="Footnote_39_402"></a><a href="#FNanchor_39_402"><span class="label">39</span></a> Preamble to the Tripartite Agreement of August 10, 1920.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_403" id="Footnote_40_403"></a><a href="#FNanchor_40_403"><span class="label">40</span></a> Regarding the Turkish Nationalist movement, see: Major
-General James G. Harbord, “Mustapha Kemal Pasha and His
-Party,” in the <i>World’s Work</i>, Volume 36 (London, 1920), pp. 470–482;
-M. Paillarès <i>La kémalisme devant les Alliés</i> (Paris, 1922);
-“The Recovery of the Sick Man of Europe,” an excellent review,
-with a colored map, in the <i>Literary Digest</i>, November 11, 1922,
-pp. 17 <i>et seq.</i>; M. K. Zia Bey, “How the Turks Feel,” in <i>Asia</i>,
-Volume XXII (1922), pp. 857 <i>et seq.</i>, and “The New Turkish
-Democracy,” in <i>The Nation</i>, Volume 115 (New York, 1922), pp.
-546–548; Major General Sir Charles Townshend, “Great Britain
-and the Turks,” in <i>Asia</i>, Volume XXII (1922), pp. 949–953; Clair
-Price, “Mustapha Kemal and the Angora Government,” in <i>Current
-History</i>, Volume XVI (1922), pp. 790–800; Ludwell Denny,
-“The Turk Comes Back,” in <i>The Nation</i>, Volume 115 (1922), pp.
-575–577; “The New Epoch in Turkey,” in the <i>Muslim Standard</i>
-(London), November 9, 1922.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_404" id="Footnote_41_404"></a><a href="#FNanchor_41_404"><span class="label">41</span></a> A. J. Toynbee, <i>The Western Question in Greece and Turkey:
-A Study in the Contact of Civilizations</i> (New York, 1922), p. 190.
-Professor Toynbee’s book is the most noteworthy of recent contributions
-to the history of Turkey since the Great War.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_42_405" id="Footnote_42_405"></a><a href="#FNanchor_42_405"><span class="label">42</span></a> The text of the National Pact, as tra<span class="pagenum"><a name="Page_314" id="Page_314">314</a></span>nslated from the French,
-is to be found in <i>The Nation</i>, Volume 115 (1922), pp. 447–448, in
-<i>Current History</i>, Volume XVII (1922), pp. 280–281, and in Toynbee,
-<i>op. cit.</i>, pp. 207–211 (in both French and English).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_43_406" id="Footnote_43_406"></a><a href="#FNanchor_43_406"><span class="label">43</span></a> <i>Infra.</i>, pp. 316–317, 323–324.</p></div>
-
-<hr />
-
-<h2>CHAPTER XII<br />
-
-THE STRUGGLE FOR THE BAGDAD RAILWAY
-IS RESUMED</h2>
-
-<h3><span class="smcap">Germany is Eliminated and Russia Withdraws</span></h3>
-
-<p>The Great War has completely destroyed German influence
-in the Near East. In the way of any resumption
-of German enterprise in Turkey are formidable obstacles
-which are not likely to be removed for some time. To
-begin with, the Turks themselves will not encourage
-German attempts to recover the Bagdad Railway or other
-property rights which were liquidated by the Treaty of
-Versailles. Among Turkish Nationalists there is satisfaction
-that Turkey has “shaken off the yoke of the ambitious
-leaders who dragged the country into the general
-war on the side of Germany” and has got rid of the “arrogance”
-of the Germans who infested the Near East
-during the last years of the war. Resentment at German
-military domination of Turkey during 1917 and 1918
-will not soon disappear.<a name="FNanchor_1_407" id="FNanchor_1_407"></a><a href="#Footnote_1_407" class="fnanchor">1</a></p>
-
-<p>Furthermore, Germany possesses neither the disposition
-nor the power to regain her former preëminence in
-the Near East. The confiscation by the Treaty of Versailles
-of private property in foreign investments has
-set a precedent which will make German investors—as<span class="pagenum"><a name="Page_315" id="Page_315">315</a></span>
-well as prudent investors everywhere—extremely chary
-of utilizing their funds for the promotion of such enterprises
-as the Bagdad Railway. The surplus production
-and surplus capital of Germany may be absorbed by
-reparations payments or attracted to such enterprises as
-the reconstruction of the German merchant marine. But
-the <i>Drang nach Osten</i> has become a thing of the past.
-The dismemberment of the Austrian Empire and the
-erection of the Jugoslav Kingdom have shut off German
-access, through friendly states, to the Balkan Peninsula
-and Asiatic Turkey. Formidable customs barriers will
-stand in the way of overland trade with the Near East
-and render railway traffic from “Berlin to Bagdad” unprofitable.
-Defeat and disarmament have destroyed German
-prestige in the Moslem world. Democratization of
-both Germany and Turkey, it is hoped, will render increasingly
-difficult the kind of secret intrigue that characterized
-Turco-German relations during the régime of
-William II and of Abdul Hamid. If Germany returns to
-the Near East in the next generation or two, it is not
-likely to be in the rôle of an Imperial Germany promoting
-railway enterprises of great economic and strategic
-importance.</p>
-
-<p>Russian diplomatic policy toward Turkey has likewise
-undergone important changes. Imperial Russia had been
-a bitter opponent of Imperial Germany in the Bagdad
-Railway project. Imperial Russia had conspired with
-Great Britain and France to bring about the collapse and
-dismemberment of the Ottoman Empire. Imperial Russia
-was the “traditional enemy” of the Turk. But Imperial
-Russia was destroyed in 1917 by military defeat
-and social revolution. Regardless of the pronunciamentos
-of bourgeois imperialists like Professor Milyukov, revolutionary
-Russia was certain to look upon the Near
-Eastern question in a new light. Political and economic<span class="pagenum"><a name="Page_316" id="Page_316">316</a></span>
-disorganization incidental to the war and the revolution
-would have made it imperative for any government in
-Russia to curtail its imperialistic pretensions. And with
-the advent of Bolshevism the outcome was certain. A
-government which was anti-capitalist and anti-imperialist
-could not sanction Russian “spheres of interest” or Russian
-territorial aggrandizement at the expense of Turkey.
-A government which preached “self-determination of
-peoples” and “no annexations” could not confirm the
-secret treaties of 1915–1916. A government which was
-engaged in repelling foreign invasion and in resisting
-counter-revolutionary insurrections had to keep within
-strict limits its military liabilities. Therefore, Soviet
-Russia speedily foreswore any intention of occupying
-Constantinople, declared unreservedly for a free Armenia,
-and proceeded forthwith to withdraw its troops from
-Persia. These measures were considered “a complete
-break with the barbarous policy of bourgeois civilization
-which built the prosperity of the exploiters among the
-few chosen nations upon the enslavement of the laboring
-population in Asia,” as well as an expression of Bolshevist
-Russia’s “inflexible determination to wrest humanity
-from the talons of financial capital and imperialism,
-which have drenched the earth with blood in this most
-criminal of wars.”<a name="FNanchor_2_408" id="FNanchor_2_408"></a><a href="#Footnote_2_408" class="fnanchor">2</a></p>
-
-<p>Turkish Nationalist resistance to the Treaty of Sèvres
-met with a sympathetic response on the part of Bolshevist
-Russia, and on March 16, 1921, the Government of the
-Grand National Assembly and the Government of the
-Russian Socialist Federated Soviet Republic signed at
-Moscow a treaty to confirm “the solidarity which unites
-them in the struggle against imperialism.” By the terms
-of this treaty Russia refused to recognize the validity of
-the Treaty of Sèvres or of any other “international acts
-which are imposed by force.” Russia ceded t<span class="pagenum"><a name="Page_317" id="Page_317">317</a></span>o Turkey
-the territories of Kars and Ardahan, in the Caucasus
-region, as a manifestation of full accord with the principles
-of the National Pact. The Soviet Republic,
-“recognizing that the régime of the capitulations is incompatible
-with the national development of Turkey, as
-well as with the full exercise of its sovereign rights, considers
-null and void the exercise in Turkey of all functions
-and all rights under the capitulatory régime.” In
-particular, Russia freed Turkey “from any financial or
-other obligations based on international treaties concluded
-between Turkey and the Government of the Tsar.”
-As regards the construction of railways in Anatolia, the
-Soviet Government completely reversed the former policy
-of Imperial Russia, which was to oppose all such railways
-as a strategic menace.<a name="FNanchor_3_409" id="FNanchor_3_409"></a><a href="#Footnote_3_409" class="fnanchor">3</a> It was now provided that,
-“with the object of facilitating intercourse between their
-respective countries, both Governments agree to take in
-concert with each other all measures to develop and maintain
-within the shortest possible time, railway, telegraphic,
-and other means of communication,” as well as measures
-“to secure the free and unhampered traffic of passengers
-and commodities between the two countries.” Finally,
-both countries agreed to stand together in resisting all
-foreign interference in their domestic affairs: “Recognizing
-that the nationalist movements in the East,” reads
-the treaty, “are similar to and in harmony with the
-struggle of the Russian proletariat to establish a new
-social order, the two contracting parties assert solemnly
-the rights of these peoples to freedom, independence, and
-free choice of the forms of government under which
-they shall live.”<a name="FNanchor_4_410" id="FNanchor_4_410"></a><a href="#Footnote_4_410" class="fnanchor">4</a></p>
-
-<p>No more complete disavowal of Russian imperialism
-could be desired by the New Turkey. It is by no means
-certain, however, that Russia will continue indefinitely
-to pursue so magnanimous a policy in the Near Eas<span class="pagenum"><a name="Page_318" id="Page_318">318</a></span>t.
-With the development of her natural resources and the
-extension of industrialism, it is not improbable that Russia—in
-common with the other Great Powers—will once
-again feel the urge to imperialism. Raw materials, markets,
-the maintenance of unimpeded routes of commercial
-communication, and opportunities for profitable investment
-of capital are likely to be considered—in the present
-anarchic state of international relations—as essential to
-an industrial state under working-class government as
-to an industrial state under bourgeois administration. If
-such be the case, Russian economic penetration in Turkey
-and Persia may be resumed, and Russian eyes may once
-more be cast covetously at Constantinople. “In Mongolia
-and Tibet, in Persia and Afghanistan, in Caucasia and at
-Constantinople, the Russian has been pressing forward
-for three hundred years,” writes an eminent American
-geographer, “and no system of government can stand that
-denies him proper commercial outlets.”<a name="FNanchor_5_411" id="FNanchor_5_411"></a><a href="#Footnote_5_411" class="fnanchor">5</a></p>
-
-<p>Nevertheless, whatever be the future policy of Russia
-in the Near East, for the present the Russian Republic
-has no economic or strategic interests which are
-inconsistent with the national development of the Turkish
-people. Certainly Russia has neither the economic
-nor the political resources to demand a share in the Bagdad
-Railway or to seek for herself other railway concessions
-in Anatolia. And the Western Powers are little
-likely to heed the wishes of the Soviet Government until
-such time as those wishes are rendered articulate in a
-language the Western Powers understand—the language
-of power.</p>
-
-<h3><span class="smcap">France Steals a March and Is Accompanied by Italy</span></h3>
-
-<p>Those who believed that the defeat of Germany and
-the withdrawal of Russia would solve all problems o<span class="pagenum"><a name="Page_319" id="Page_319">319</a></span>f
-competitive imperialism in the Near East were destined
-to be disillusioned. For no sooner was the war over than
-France and Great Britain took to pursuing divergent
-policies regarding Turkey. The rivalry between these
-two powers—which had been terminated for a time by
-the Entente of 1904—was resumed in all its former intensity.
-The Entente, in fact, had been formed because
-of common fear of Germany, rather than because of coincidence
-of colonial interests; and with that fear removed,
-the foundation of effective coöperation had been
-undermined.<a name="FNanchor_6_412" id="FNanchor_6_412"></a><a href="#Footnote_6_412" class="fnanchor">6</a> The Great War may be said to have
-terminated the first episode of the great Bagdad Railway
-drama—the rise and fall of German power in the
-Near East; it opened a second episode, which promises
-to be equally portentous—an Anglo-French struggle for
-the right of accession to the exalted position which Germany
-formerly occupied in the realm of the Turks.</p>
-
-<p>Anglo-French rivalry in the Near East will not be
-an unprecedented phenomenon. “Since the Congress
-of Vienna in 1814, France and Great Britain have never
-fought in the Levant with naval and military weapons
-(though they have several times been on the verge of
-open war), but their struggle has been real and bitter
-for all that, and though it has not here gone the length
-of empire-building, it has not been confined to trade. Its
-characteristic fields have been diplomacy and culture,
-its entrenchments embassies, consulates, religious missions,
-and schools. It has flared up on the Upper Nile,
-in Egypt, on the Isthmus of Suez, in Palestine, in the
-Lebanon, at Mosul, at the Dardanelles, at Salonica, in
-Constantinople. The crises of 1839–41 and 1882 over
-Egypt and of 1898 over the Egyptian Sudan are landmarks
-on a road that has never been smooth, for conflicts
-[of one sort or another] have perpetually kept
-alive the combative instinct in French and English missi<span class="pagenum"><a name="Page_320" id="Page_320">320</a></span>onaries,
-schoolmasters, consuls, diplomatists, civil servants,
-ministers of state, and journalists. One cannot
-understand—or make allowances for—the post-war relations
-of the French and British Governments over the
-‘Eastern Question’ unless one realizes this tradition of
-rivalry and its accumulated inheritance of suspicion and
-resentment. It is a bad mental background for the individuals
-who have to represent the two countries. The
-French are perhaps more affected by it than the English,
-because on the whole they have had the worst of the
-struggle in the Levant as well as in India, and failure
-cuts deeper memories than success.”<a name="FNanchor_7_413" id="FNanchor_7_413"></a><a href="#Footnote_7_413" class="fnanchor">7</a></p>
-
-<p>French statesmen were dissatisfied with the division of
-the spoils of war in the Near East. They had a feeling
-that here, as elsewhere, Britain had obtained the lion’s
-share. They believed that Mr. Lloyd George had been
-guilty of sharp practice in his agreement of December,
-1918, with M. Clémenceau, by the terms of which Mosul
-and Palestine were to be turned over to Great Britain.<a name="FNanchor_8_414" id="FNanchor_8_414"></a><a href="#Footnote_8_414" class="fnanchor">8</a>
-Frenchmen were suspicious of British solicitude for the
-Arabs, which they believed was not based upon disinterested
-benevolence; in fact, self-determination for the
-Arabs came to be considered a political move to render
-precarious the French mandate for Syria. French
-patriots chafed at British emphasis upon the fact that
-“the British had done the fighting in Turkey almost without
-French help” and that “there would have been no
-question of Syria but for England and the million soldiers
-the British Empire had put in the field against the
-Turks.” French pride was hurt by the rapid rise of
-British prestige in a region where France had so many
-interests. And prestige—diplomatic, military, religious,
-cultural, and economic—has always been an important
-desideratum in Near Eastern diplomacy.<a name="FNanchor_9_415" id="FNanchor_9_415"></a><a href="#Footnote_9_415" class="fnanchor">9</a></p>
-
-<p>French dissatisfaction with the Turkish settlement was<span class="pagenum"><a name="Page_321" id="Page_321">321</a></span>
-one of the issues of the San Remo Conference of April,
-1920, at which were assigned the mandates for the territories
-of the former Ottoman Empire. Exclusive control
-by Great Britain of the oilfields of the Mosul district
-was so vigorously contested that M. Philippe Berthelot,
-of the French Foreign Office, and Professor Sir John
-Cadman, Director of His Majesty’s Petroleum Department,
-were instructed to work out a compromise. Thus
-came into existence the San Remo Oil Agreement of
-April 24, 1920, by which Great Britain, in effect, assigned
-to France the former German interest in the Turkish
-Petroleum Company’s concession for exploitation of the
-oilfields in the vilayets of Mosul and Bagdad.<a name="FNanchor_10_416" id="FNanchor_10_416"></a><a href="#Footnote_10_416" class="fnanchor">10</a> But the
-British drove a shrewd bargain, for it was provided, in
-consideration, that the French Government should agree,
-“as soon as application is made, to the construction of
-two separate pipe-lines and railways necessary for their
-construction and maintenance and for the transport of
-oil from Mesopotamia and Persia through French spheres
-of influence to a port or ports on the Mediterranean.”
-The oil thus transported was to be free of all French
-taxes.<a name="FNanchor_11_417" id="FNanchor_11_417"></a><a href="#Footnote_11_417" class="fnanchor">11</a></p>
-
-<p>French imperialists likewise were dissatisfied with the
-disposition of the Bagdad Railway as provided for by
-the unratified Sèvres Treaty. French bankers had held
-a thirty per cent interest in the Bagdad line while it
-was under German control,<a name="FNanchor_12_418" id="FNanchor_12_418"></a><a href="#Footnote_12_418" class="fnanchor">12</a> and they believed, for this
-reason, that they were entitled to a controlling voice in
-the enterprise when it should be reorganized by the
-Allies. Although the settlement at Sèvres—the Treaty
-of Peace with Turkey and the Tripartite Agreement between
-Great Britain, France, and Italy—recognized the
-special interests of France in the Bagdad Railway, and
-particularly in the Mersina-Adana branch, it provided,
-as has been seen, for international ownership, contro<span class="pagenum"><a name="Page_322" id="Page_322">322</a></span>l,
-and operation.<a name="FNanchor_13_419" id="FNanchor_13_419"></a><a href="#Footnote_13_419" class="fnanchor">13</a> Now, Frenchmen were suspicious of
-internationalization, particularly where British participation
-was involved. Had not the condominium in Egypt
-proved to be a step in the direction of an eventual British
-protectorate? Might not the history of the Suez Canal
-be repeated in the history of the Bagdad Railway?
-Would Great Britain look with any greater equanimity
-upon French, than upon German, interests in one of the
-great highways to India? To answer these questions was
-but to increase the French feeling of insecurity.</p>
-
-<p>French dissatisfaction with the distribution of the
-spoils in the Near East and French fear of British imperial
-power and prestige—these were factors in a new
-alignment of the diplomatic forces in Turkey during
-1920–1922. British imperialists were desirous of keeping
-Turkey weak. A weak Turkey could never again menace
-Britain’s communications in the Persian Gulf and at Suez;
-a weak Turkey could be of no moral or material assistance
-to restless Moslems in Egypt and India. To keep
-Turkey weak the Treaty of Sèvres had loaded down
-the Ottoman Treasury with an enormous burden of reparations
-and occupation costs (to which France could
-not object without repudiating the principle of reparations);
-had taken away Turkish administration of
-Smyrna and Constantinople, the two ports essential to
-the commercial life of Anatolia; and had made possible
-a Greek war of devastation and extermination in the
-homeland of the Turks. France, on the other hand,
-would have preferred to see Turkey reasonably strong.
-A strong, prosperous Turkey would the more readily
-pay off its pre-War debt, of which French investors held
-approximately sixty per cent; payment of this debt was
-more important to France than payment of Turkish reparations.
-A strong Turkey, furthermore, might fortify
-the French p<span class="pagenum"><a name="Page_323" id="Page_323">323</a></span>osition in the Near East. As Germany had
-utilized Ottoman strength against Russia and Great Britain,
-so France might utilize Nationalist Turkey against
-a Bolshevist Russia which would not pay its debts or
-an imperial Britain which might prove unfaithful to the
-Entente.<a name="FNanchor_14_420" id="FNanchor_14_420"></a><a href="#Footnote_14_420" class="fnanchor">14</a></p>
-
-<p>Anglo-French differences in the Near East were
-brought to a head by the rapid rise of the military power
-of the Angora Government, for it was against France
-that Mustapha Kemal’s troops launched their principal
-early attacks. General Gouraud—his hands tied by an
-Arab rebellion which had necessitated a considerable extension
-of his lines in Syria—was unable to repulse the
-Turkish invasion of Cilicia, which reached really serious
-proportions in the autumn of 1920. Time and again
-French units were defeated and French garrisons massacred
-by the victorious Nationalists. In these circumstances,
-France “had to choose between the two following
-alternatives: either to maintain her effectives and to
-continue the war in Cilicia, or to negotiate with the <i>de
-facto</i> authority which was in command of the Turkish
-troops in that region.” The French armies in Syria and
-Cilicia already numbered more than 100,000 men; to reënforce
-them would have been to flout the opinion of
-the nation and the Chamber, “which had vigorously expressed
-their determination to put an end to cruel bloodshed
-and to expenditure which it was particularly difficult
-to bear.” To negotiate with Mustapha Kemal was,
-to all intents and purposes, to scrap the unratified Treaty
-of Sèvres. The French Government chose the latter alternative.
-It is said that during the London Conference
-of February-March, 1921, “M. Briand declared to Mr.
-Lloyd George on several occasions, without the British
-Prime Minister making the slightest observation, that
-he would not leave England without having concluded
-an agreement with the Angora delegation. M. Briand
-pointed out that neither the Chamber nor French pu<span class="pagenum"><a name="Page_324" id="Page_324">324</a></span>blic
-opinion would agree to the prolongation of hostilities,
-involving as they did losses which were both heavy and
-useless.”<a name="FNanchor_15_421" id="FNanchor_15_421"></a><a href="#Footnote_15_421" class="fnanchor">15</a></p>
-
-<p>Accordingly, on March 9, 1921, there was signed at
-London a Franco-Turkish agreement terminating hostilities
-in Cilicia. The Turkish Nationalists recognized
-the special religious and cultural interests of France in
-Turkey and granted priority to French capitalists in the
-awarding of concessions in Cilicia and southern Armenia.
-French interests in the Bagdad Railway were confirmed.
-In return, France was to evacuate Cilicia, to readjust the
-boundary between Turkey and Syria, and to adopt a more
-friendly attitude toward the Government of the Grand
-National Assembly.<a name="FNanchor_16_422" id="FNanchor_16_422"></a><a href="#Footnote_16_422" class="fnanchor">16</a></p>
-
-<p>The Italian Government was only too glad to have so
-excellent an excuse for throwing over the Treaty of
-Sèvres, which had thoroughly frustrated Italian hopes
-in Asia Minor to the advantage of Greece. Italian
-troops, furthermore, had been driven out of Konia and
-were finding their hold in Adalia increasingly precarious;
-the Italian Government had neither the disposition nor
-the resources to wage war. Therefore, on March 13,
-1921, the Italian and Turkish ministers of foreign affairs
-signed at London a separate treaty, providing for “economic
-collaboration” between Turkey and Italy in the hinterland
-of Adalia, including part of the sanjaks of Konia,
-Aidin, and Afiun Karahissar, as well as for the award to
-an Italian group of the concession for the Heraclea coal
-mines.<a name="FNanchor_17_423" id="FNanchor_17_423"></a><a href="#Footnote_17_423" class="fnanchor">17</a> The Royal Italian Government pledged itself
-to “support effectively all the demands of the Turkish
-delegation relative to the peace treaty,” more especially
-the demands of Turkey for complete sovereignty and for
-the restitution of Thrace and Smyrna. Italian troops
-were to be withdrawn from Ottoman soil.<a name="FNanchor_18_424" id="FNanchor_18_424"></a><a href="#Footnote_18_424" class="fnanchor">18</a></p>
-<p><span class="pagenum"><a name="Page_325" id="Page_325">325</a></span></p>
-<p>During the summer of 1921 further negotiations were
-conducted between France and Turkey for the purpose
-of elaborating and confirming their March agreement.
-The outcome was the so-called Angora Treaty, signed
-October 20, 1921, by M. Henri Franklin-Bouillon, a
-special agent of the French Government, and Yussuf
-Kemal Bey, Minister of Foreign Affairs in the Government
-of the Grand National Assembly. This treaty
-formally brought to an end the state of war between the
-two countries, provided for the repatriation of all prisoners,
-defined new boundaries between Turkey and Syria,
-and awarded valuable economic privileges to French
-capitalists. It obligated the French Government “to make
-every effort to settle in a spirit of cordial agreement all
-questions relating to the independence and sovereignty of
-Turkey.”<a name="FNanchor_19_425" id="FNanchor_19_425"></a><a href="#Footnote_19_425" class="fnanchor">19</a></p>
-
-<p>The Bagdad Railway was given a great deal of consideration
-in the Angora Treaty. The Turks wanted
-possession of the line because of its great political and
-strategic value; French capitalists sought full recognition
-of their previous investments in the railway, together
-with a controlling interest in its operation. A solution was
-reached which fully satisfied both Turkish Nationalists
-and French imperialists. The Turco-Syrian boundary
-was so “rectified” that the Bagdad Railway from Haidar
-Pasha to Nisibin was to lie within Turkish territory,
-whereas formerly the sections from the Cilician Gates
-to Nisibin lay within the French mandate for Cilicia and
-Syria.<a name="FNanchor_20_426" id="FNanchor_20_426"></a><a href="#Footnote_20_426" class="fnanchor">20</a> In return for these territorial readjustments the
-Turkish Government assigned to a French group (to be
-nominated by the French Government) the <i>Deutsche
-Bank’s</i> concession for those sections of the railway, including
-branches, between Bozanti and Nisibin, “together
-with all the rights, privileges, and advantages attached to
-that concession.” The Government of the Grand National<span class="pagenum"><a name="Page_326" id="Page_326">326</a></span>
-Assembly, furthermore, declared itself “ready to
-examine in the most favorable spirit all other desires
-that may be expressed by French groups relative to mine,
-railway, harbor and river concessions, on condition that
-such desires shall conform to the reciprocal interest of
-Turkey and France.” In particular, the Turkish Government
-agreed to take under advisement the award to
-French capitalists of concessions for the exploitation of
-the Arghana copper mines and for the development of
-cotton-growing in Cilicia.<a name="FNanchor_21_427" id="FNanchor_21_427"></a><a href="#Footnote_21_427" class="fnanchor">21</a></p>
-
-<p>Thus France sought to make herself heir to the former
-German estate in Asiatic Turkey. Her capitalists became
-the recipients of the kilometric guarantee for which German
-concessionaires had been so freely criticized. And
-in some respects the conditions of French tenancy were
-questionable. The old Bagdad Railway concession had
-prohibited the Germans, under any and all circumstances
-to grant discriminatory rates or service to any passenger
-or shipper.<a name="FNanchor_22_428" id="FNanchor_22_428"></a><a href="#Footnote_22_428" class="fnanchor">22</a> The conditions of French control of the
-line, however, recognized only a limited application of
-the principle of the “open door”: “Over this section and
-its branches,” reads Article 10 of the Angora Treaty,
-“no preferential tariff shall be established <i>in principle</i>.
-Each Government, however, <i>reserves the right to study
-in concert with the other any exception to this rule which
-may become necessary. In case agreement proves impossible,
-each party will be free to act as he thinks
-best.</i>”<a name="FNanchor_23_429" id="FNanchor_23_429"></a><a href="#Footnote_23_429" class="fnanchor">23</a></p>
-
-<p>During the spring of 1922 the concession for the operation
-of the French sections of the Bagdad Railway, as
-defined by the Angora Treaty, was assigned to the
-Cilician-Syrian Railway Company (<i>La société d’exploitation
-des chemins de fers de Cilicie-Nord Syrie</i>.) The
-Mesopotamian sections of the line, from Basra to Bagdad
-and Samarra, were under the j<span class="pagenum"><a name="Page_327" id="Page_327">327</a></span>urisdiction of the British
-Civil Administration for Irak. From Haidar Pasha to
-the Cilician Gates the Railway was being operated by
-the Turkish Nationalist Government, although its utilization
-for commercial purposes was seriously curtailed
-by the Greco-Turkish War.<a name="FNanchor_24_430" id="FNanchor_24_430"></a><a href="#Footnote_24_430" class="fnanchor">24</a></p>
-
-<h3><span class="smcap">British Interests Acquire a Claim to the Bagdad
-Railway</span></h3>
-
-<p>The Angora Treaty met with a distinctly heated reception
-from the British Government. During November
-and December, 1921, Lord Curzon carried on a lengthy
-correspondence with the French Embassy at London, in
-which he made it perfectly plain that the British Government
-considered the Franklin-Bouillon treaty a breach
-of good faith on the part of France, in the light of which
-Great Britain must possess greater freedom of action
-than would otherwise be the case.<a name="FNanchor_25_431" id="FNanchor_25_431"></a><a href="#Footnote_25_431" class="fnanchor">25</a></p>
-
-<p>Lord Curzon called into question the moral right of
-the French Government to enter into separate understandings
-with Turkey or to recognize the Angora Assembly
-as the <i>de jure</i> government of the country. He insisted
-that a revision of the frontier of northern Syria “could
-not be regarded as the concern of France alone”:</p>
-
-<div class="blockquot2">
-
-<p>“It hands back to Turkey a large and fertile extent of territory
-which had been conquered from her by British forces and which
-constituted a common gage of allied victory, although by an
-arrangement between the Allies the mandate has been awarded to
-France. The mandate is now under consideration by the League
-of Nations, and this important and far-reaching modification of
-the territory to which it applies altogether ignores the League of
-Nations, while the return to Turkey of territory handed over
-to the Allies in common without previous notification to Great
-Britain and Italy is inconsistent with both the spirit and the letter
-of the treaties which all three have signed.</p>
-
-<p>“Further, the revision provides for handing back to Turkey the
-localities of Nisibin and Jezirit-ibn-Omar, both of which are of
-great strategic importance in relation to Mosul and Mesopotamia;
-the same consideration applies to the handing back to Turkey of
-th<span class="pagenum"><a name="Page_328" id="Page_328">328</a></span>e track of the Bagdad Railway between Tchoban Bey and
-Nisibin.... His Majesty’s Government cannot remain indifferent
-to the manifest strategic importance to their position in Irak of
-the return to Turkey of the Bagdad Railway or of the transfer
-to that power of the localities of Jezirit-ibn-Omar and Nisibin.”</p></div>
-
-<p>In addition to disputing the territorial readjustments
-contemplated by the Angora Treaty, the British Government
-challenged the transfer to French capitalists of the
-former German concession for the Bozanti-Nisibin sections
-of the Bagdad Railway. Lord Curzon pointed out
-that Great Britain would not recognize the Franco-Turkish
-treaty as overriding the Treaty of Sèvres,
-“whereby Turkey was herself to liquidate the whole
-Bagdad Railway on the demand of the principal Allies”;
-neither would the British Government assent to the award
-to France of “a large portion of the railway without regard
-to the claims of her other allies upon a concern
-which both under the Treaty of Versailles and the Treaty
-of Sèvres is the Allies’ common asset.”<a name="FNanchor_26_432" id="FNanchor_26_432"></a><a href="#Footnote_26_432" class="fnanchor">26</a></p>
-
-<div class="blockquot2">
-
-<p>“Apart from the immediate and premature advantage gained
-by France by this transfer of a large portion of the Bagdad line
-to a French company in advance—and therefore possibly to the
-prejudice—of the reciprocal allied arrangements contemplated by
-Article 294 of the Treaty of Sèvres and Article 4 of the Tripartite
-Agreement, it is necessary to point out that these stretches
-of the railway which were previously in Syria, but are now
-surrendered to Turkey, although placed in the French zone of
-economic interest, ought naturally to be divided among the Allies
-in accordance with the above mentioned treaties.... The transfer
-to a French company of that part of the railway which still
-remains in Syria does not in itself fulfil the provisions of the
-Treaty of Sèvres, which stipulates for liquidation by the mandatory
-and the assignment of the proceeds to the Financial Commission
-as an allied asset.”</p></div>
-
-<p>The correspondence was concluded by Lord Curzon
-with emphatic statements that “when peace is finally concluded
-the different agreements which have been negotiated<span class="pagenum"><a name="Page_329" id="Page_329">329</a></span>
-up to date, including the Angora Agreement, will
-require to be adjusted with a view to taking their place
-in a general settlement”; that he was obliged “explicitly
-to reserve the attitude of His Majesty’s Government with
-regard to the Angora Agreement”; and that there must
-especially be reserved for further discussion “all articles
-of the Agreement which appear to infringe the provisions
-of the Treaty of Sèvres and the Tripartite Agreement.</p>
-
-<p>Subsequent events did nothing to restore Anglo-French
-unity in the Near East. At the Washington Conference
-in December, 1921, Lord Lee and M. Briand engaged in
-a verbal war over submarines which created no little
-hard feeling and suspicion in both Great Britain and
-France. Differences of opinion regarding Russia and
-other questions discussed at the Genoa Conference, together
-with a clash over reparations in midsummer, 1922,
-strained relations still further. Charges by Greeks and
-Englishmen that France and Italy were supplying munitions
-to the Turkish Nationalists were received with
-counter-charges that British officers were aboard Greek
-warships and that British “observers” were directing
-Greek military operations in Asia Minor.<a name="FNanchor_27_433" id="FNanchor_27_433"></a><a href="#Footnote_27_433" class="fnanchor">27</a> Feeling ran
-high in September, 1922, when—seeking to avoid a Near
-Eastern war—the French and Italian Governments withdrew
-their troops from the Neutral Zone of the Straits,
-leaving the British forces to face, alone, the victorious
-Nationalist army of Mustapha Kemal Pasha. British
-patriots were further irritated by the mysterious activities
-of M. Henri Franklin-Bouillon in the negotiations
-preceding the Mudania armistice and by the claims of
-the Paris press to a great victory thereby for French
-prestige at Angora and Constantinople. Fundamental
-differences of opinion regarding reparations—culminating
-in the French invasion of the Ruhr in January, 1923—made
-still more difficult coöperation by the former Allies
-in the Near East. In fact, it might be questioned wheth<span class="pagenum"><a name="Page_330" id="Page_330">330</a></span>er
-the Entente Cordiale any longer existed.</p>
-
-<p>This situation was brought into sharp relief at the
-first Lausanne Conference for Peace in the East.<a name="FNanchor_28_434" id="FNanchor_28_434"></a><a href="#Footnote_28_434" class="fnanchor">28</a>
-Great Britain’s interests were chiefly territorial. She
-had abandoned all hope of destroying Turkish power by
-creating a Greek empire in Asia Minor; Greece was gone
-from Smyrna for good. But England was determined to
-maintain her hold in Mesopotamia—particularly in the
-oilfields of Mosul—and to hold out for neutralization of
-the Straits. These territorial questions occupied the
-major part of the first six weeks of the Conference.
-France had no interest in the decisions regarding the
-Straits and Mosul; therefore she supported the Turks
-and placed Lord Curzon in the position of appearing to
-be the real opponent of Turkish Nationalist ambitions
-and the principal obstacle in the way of an equitable
-settlement. Lord Curzon himself strengthened this impression,
-for many of his utterances were provocative
-and bombastic in the extreme—apparently he would not
-give up the idea that the Turks could be bluffed and
-bullied into submission.</p>
-
-<p>While the conference as a whole was debating territorial
-questions and problems concerning the rights of
-minorities, a member of the French delegation was presiding
-over the sessions of the all-important Committee
-on Financial and Economic Issues. It was in this committee
-that questions of the Ottoman Public Debt and
-of concessions were to be threshed out; therefore it was
-in this committee that French imperialists hoped to
-achieve real successes. And while France was framing
-the economic sections of the treaty, her co-worker Italy
-was supervising the work of the Committee on the Status
-of Foreigners in Turkey, to determine the conditions
-upon which French and Italian schools and missions
-should continue their activities in Asia Minor. In <span class="pagenum"><a name="Page_331" id="Page_331">331</a></span>this
-manner France hoped to protect adequately her economic
-and cultural interests in the Near East.</p>
-
-<p>As the work of these committees progressed, the Turks
-became more and more suspicious of French aims. The
-Nationalist delegates—including Djavid Bey—were
-mindful of the price which their country had had to pay
-because of its economic exploitation by Germany, and
-they were determined not to permit another European
-Power to succeed to the position which Germany had
-left vacant. Friction developed, therefore, as soon as
-concessions came up for consideration. The French
-delegation asked for the incorporation in the treaty of
-provisions confirming all concessions to Allied nationals
-whether granted by the old Ottoman Government before
-the War, or by the Constantinople Government after the
-armistice, or by mandatory powers in territory subsequently
-evacuated (as in Cilicia, Smyrna, and Adalia).
-The Turks objected that they were not aware of the
-nature, the number and extent, or the beneficiaries of the
-concessions coming within the last two categories; confirmation
-of such would have to be the subject of independent
-investigation and negotiation, for the Turks
-would not sign any blank checks at Lausanne. They
-doubted whether they could accept the financial burden
-which would be involved in validating concessions granted
-by the Sultan’s Government before the War, especially
-if the National Assembly was to be obliged to honor Ottoman
-pre-War debts in full. In any case, the Turkish
-delegates insisted, no concessions would be confirmed if
-they in any way limited the sovereignty of Turkey or
-infringed upon its financial and administrative integrity.
-Between the French and Turkish views was a chasm
-which it would be difficult, indeed, to bridge. The French
-stood upon the rock of the old imperialism; the Turks
-were fortified in their new nationalism. The French we<span class="pagenum"><a name="Page_332" id="Page_332">332</a></span>re
-seeking to intrench certain important vested interests; the
-Turks were striving to preserve a precious independence,
-recently won at great price.</p>
-
-<p>In these circumstances, it was to be expected that the
-British and the Turks should seek to effect an understanding.
-The claims of Great Britain, it appeared, were
-more easily reconcilable with the Turkish program than
-were the claims of France. Concessions obtained by
-British nationals between 1910 and 1914 were largely in
-areas detached from Turkey during the War—chiefly in
-Mesopotamia—whereas many of the most important
-French concessions were in Anatolia, the stronghold of
-the Turkish Nationalists.<a name="FNanchor_29_435" id="FNanchor_29_435"></a><a href="#Footnote_29_435" class="fnanchor">29</a> To Great Britain, therefore,
-it was a matter of comparative indifference whether all
-concessions within Turkey were specifically confirmed;
-to France it was a matter of the utmost importance. According
-to the proposed Lausanne treaty the Turkish
-Government was to expropriate the former German railways
-in Turkey, with a view to incorporating them into a
-state-owned system, and was to pay therefor to the
-Financial Commission, on reparations account, a sum to
-be fixed by an arbitrator appointed by the League of
-Nations.<a name="FNanchor_30_436" id="FNanchor_30_436"></a><a href="#Footnote_30_436" class="fnanchor">30</a> It suited British interests thus to prevent a
-rival Power from obtaining control of the former Bagdad
-line; it suited French interests not at all to be deprived
-of a considerable share in a highly important
-enterprise. In the settlement of questions regarding the
-Ottoman Public Debt, likewise, the French were more
-obdurate than the British.</p>
-
-<p>In the closing days of the conference, the question of
-Mosul and its oilfields—the last question which stood in
-the way of an Anglo-Turkish agreement—was temporarily
-settled by a decision to make it the subject of
-“direct and friendly negotiations between the two intereste<span class="pagenum"><a name="Page_333" id="Page_333">333</a></span>d
-Powers.” But no agreement was possible between
-Turkey and France on concessions and capitulations.
-When the first Lausanne Conference broke up, therefore,
-it was because of the determination of the Turks not to
-accept economic, financial, and judicial clauses which they
-believed menaced their independence. “The treaty,” said
-Ismet Pasha, head of the Turkish delegation, “would
-strangle Turkey economically. I refuse to accept economic
-slavery for my country, and the demands of the
-Allies remove all possibility of economic rehabilitation
-and kill all our hopes.” On the other hand, the refusal
-of the Turks to sign was characterized by the chief of
-the French delegates as “a crime.”<a name="FNanchor_31_437" id="FNanchor_31_437"></a><a href="#Footnote_31_437" class="fnanchor">31</a></p>
-
-<p>During the interim between the first and second Lausanne
-conferences French prestige in the Near East was
-dealt some severe blows. The Turkish press attacked
-the French Government for having insisted upon concessions
-and capitulations which were designed to keep
-Turkey under foreign domination in the interest of bondholders
-and promoters. Such conduct, it was pointed
-out, was altogether inconsistent with the terms of the
-Angora Treaty by which France agreed “to make every
-effort to settle in a spirit of cordial agreement all questions
-relating to the independence and sovereignty of
-Turkey.”<a name="FNanchor_32_438" id="FNanchor_32_438"></a><a href="#Footnote_32_438" class="fnanchor">32</a> In the National Assembly hostility to
-French claims was so pronounced that no further action
-was taken toward the ratification of the Angora Treaty—and
-without such ratification the French title to certain
-sections of the Bagdad Railway would be invalid. The
-Turkish army on the Syrian frontier was reënforced
-for the purpose of bringing home to France the determination
-of the Angora Government to tolerate no foreign
-interference in its domestic affairs. The situation in
-Syria became so serious that M. Poincaré saw fit to
-despatch to Beirut one of Marshal Foch’s right-hand men,
-General Weygand, as commander-in-chief in Syria.</p>
-
-<p><span class="pagenum"><a name="Page_334" id="Page_334">334</a></span></p>
-
-<p>The breach between France and Turkey was widened
-when, on April 10, 1923, the Angora Government
-awarded to an American syndicate headed by Admiral
-Colby M. Chester, a retired officer of the United States
-Navy, concessions for almost three thousand miles of
-railway, together with valuable rights to the exploitation
-of the mineral resources of Anatolia.<a name="FNanchor_33_439" id="FNanchor_33_439"></a><a href="#Footnote_33_439" class="fnanchor">33</a> The Chester
-concessions conflicted with certain French claims which
-had been under discussion at the first Lausanne Conference:
-the concession for a Black Sea railway system,
-which had been conferred upon French capitalists in
-1913; and rights to the Arghana copper mines, to which a
-French group had been given a kind of priority under the
-Angora Treaty of 1921.<a name="FNanchor_34_440" id="FNanchor_34_440"></a><a href="#Footnote_34_440" class="fnanchor">34</a> In part, at least, the award
-of the Chester concessions at this particular time was a
-shrewd political move on the part of the Nationalist Government.
-It was designed to serve notice on France that
-no treaty would be acceptable to Turkey which would
-require complete confirmation of pre-War concessions;
-from this decision there could be no departure without
-infringing upon American rights and without recognizing
-the acts of a former Sultan as superior to acts of the
-new government of Turkey. It was intended, also, to
-win for the Turks a measure of American diplomatic
-support. That the French Government understood the
-implications of the Chester concessions is evidenced by
-the fact that the Foreign Office despatched to Angora a
-note which characterized the award as “a deliberately
-unfriendly act, of a nature to influence adversely the coming
-negotiations at Lausanne.”<a name="FNanchor_35_441" id="FNanchor_35_441"></a><a href="#Footnote_35_441" class="fnanchor">35</a></p>
-
-<p>When the second Lausanne Conference convened on
-April 22, 1923, therefore, it was France, not Great Britain,
-which was on the defensive. And the French position
-became steadily worse, rather than better. On May<span class="pagenum"><a name="Page_335" id="Page_335">335</a></span>
-15, it was announced that a syndicate of British banks
-had purchased a controlling interest in the <i>Bank für
-orientalischen Eisenbahnen</i>, of Zurich, the <i>Deutsche
-Bank’s</i> holding company for the Anatolian and Bagdad
-Railway Companies. Ismet Pasha, it was said, was kept
-fully informed of the British plans and expressed his
-pleasure at the consummation of the transaction. Thus,
-after twenty years of diplomatic bargaining, British imperialists
-had won possession of the “short cut to
-India”!<a name="FNanchor_36_442" id="FNanchor_36_442"></a><a href="#Footnote_36_442" class="fnanchor">36</a> Should Great Britain succeed in establishing
-her point that the <i>Bank für orientalischen Eisenbahnen</i>
-is a neutral Swiss, rather than enemy German, corporation
-and therefore exempt from seizure under the reparations
-provisions of the Treaty of Versailles; and should
-the Chester concessions be recognized as superseding the
-rights of the Black Sea Railways, French interests in
-the Levant will face a powerful Anglo-American competition
-which it will be very difficult for them to combat
-with any degree of success.<a name="FNanchor_37_443" id="FNanchor_37_443"></a><a href="#Footnote_37_443" class="fnanchor">37</a> And the power of the
-French Government is so heavily invested in the Ruhr
-occupation that it is doubtful if it can do anything at
-all to coerce the Turks into full recognition of French
-claims.</p>
-
-<p>Kaleidoscopic indeed have been the changes in the
-Near East since the outbreak of the Great War in 1914.
-The economic and political power of Germany in Anatolia,
-Syria, and Mesopotamia has been completely destroyed.
-The Ottoman Empire has disappeared, and in its place
-has risen a republican Nationalist Turkey. Tsarist Russia,
-with its consuming desire for aggrandizement in the
-Caucasus, in Asia Minor, and at the Straits, has given
-way to a proletarian Russia which foreswears imperialist
-ambition. Italy, which sought to transform the Adriatic
-and the Ægean into Italian lakes, has finally been compelled
-to recognize that she assumed imperial liabilities<span class="pagenum"><a name="Page_336" id="Page_336">336</a></span>
-out of all proportion to her economic resources. France,
-after achieving a temporary victory in the New Turkey,
-has had to surrender her position to more powerful competitors.
-But Great Britain has emerged from the conflict
-in all her glory. She has obtained possession of another
-highway to the East. Alongside the Suez Canal, in the
-collection of British imperial jewels, will be placed the
-Bagdad Railway; alongside of Malta and Gibraltar and
-Cyprus must be placed Jerusalem and Basra and Bagdad.</p>
-
-<p>No less remarkable than all these changes, however, is
-the entry of American interests into the tangled problem
-of the Near East.</p>
-
-<h3><span class="smcap">America Embarks upon an Uncharted Sea</span></h3>
-
-<p>The Great War was accompanied by a definite growth
-of American prestige in the Near East. After the entry
-of Turkey into the war against the Allied Powers, American
-schools and missions were left practically a free
-hand in the Ottoman Empire; and inasmuch as the
-United States did not declare war against Turkey, American
-institutions were not disturbed even after 1917.
-Carrying on their work under the most trying circumstances,
-these educational and philanthropic enterprises
-established a still greater reputation than they formerly
-possessed for efficient and disinterested service. In consequence,
-an American official mission to the Near East
-in 1919 was able to report that the moral influence of the
-United States in that region of the world was greater
-than that of any other Power. President Wilson was
-looked upon as the champion of small nations and oppressed
-peoples. Americans were considered to be charitable
-and generous to a fault. The United States was
-hailed as the only nation which had entered the war for
-unselfish purposes.<a name="FNanchor_38_444" id="FNanchor_38_444"></a><a href="#Footnote_38_444" class="fnanchor">38</a></p>
-<p><span class="pagenum"><a name="Page_337" id="Page_337">337</a></span></p>
-<p>Since the armistice of 1918 events have not materially
-decreased the prestige which the War built up.
-“From Adrianople to Amritsar, and from Tiflis to Aden,
-America is considered a friend. It has become a tradition
-in the Near East to interpret every action of the
-European Powers as an attempt at political domination.
-America is the only power considered strong enough to
-provide the Orient with the capital and expert knowledge
-for its industrial development, without aiming at
-more than a legitimate profit. The Oriental feels that
-he needs coöperation with the West; but he is anxious
-to restrict that coöperation to the economic field. And
-he considers the United States the only power which
-would replace Europe’s political ambitions by a sound,
-matter-of-fact, and sincere economic policy.”<a name="FNanchor_39_445" id="FNanchor_39_445"></a><a href="#Footnote_39_445" class="fnanchor">39</a></p>
-
-<p>During the Great War the economic situation of the
-United States underwent certain fundamental changes
-which seem to forecast increasing American interest in
-imperialism. Before the War, America was practically
-self-sufficient in raw materials; its export trade was composed
-very largely of foodstuffs and raw materials which
-found a ready market in the great industrial nations of
-Europe; financially, it was a debtor, not a creditor, nation.
-The enormous industrial expansion of the United States
-during the Great War, however, has changed these conditions.
-Raw materials have become an increasingly
-greater proportion of the nation’s import trade, and
-American business men are becoming concerned about
-foreign control of certain essential commodities such as
-rubber, nitrates, chrome, and petroleum. American export
-trade has experienced an unparalleled period of expansion,
-and American manufactured articles are competing
-in world markets which formerly were the exclusive
-preserves of European nations. Furthermore, the
-export of American capital has almost kept pace with the<span class="pagenum"><a name="Page_338" id="Page_338">338</a></span>
-export of American goods, so that by 1920 the United
-States had taken its place alongside Great Britain and
-France as one of the great creditor nations of the world.
-As time goes on American business will be reaching out
-over the world for a fair share of the earth’s resources
-in raw materials, for new markets capable of development,
-and for opportunities for the profitable investment
-of capital.<a name="FNanchor_40_446" id="FNanchor_40_446"></a><a href="#Footnote_40_446" class="fnanchor">40</a></p>
-
-<p>These new tendencies were quickly reflected in American
-relations with the Near East. As early as the spring
-of 1920 the Government of the United States was engaged
-in a lengthy correspondence with His Britannic
-Majesty’s Government regarding the right of American
-capital to participate in the exploitation of the oil resources
-of Mesopotamia.<a name="FNanchor_41_447" id="FNanchor_41_447"></a><a href="#Footnote_41_447" class="fnanchor">41</a> About the same time the
-Guaranty Trust Company of New York—the second
-largest bank in the United States—established a branch
-in Constantinople and proceeded to inform American
-business men regarding the opportunities for commercial
-expansion in the Near East. In a booklet entitled <i>Trading
-with the Near East—Present Conditions and Future
-Prospects</i>, the bank had this to say:</p>
-
-<div class="blockquot2">
-
-<p>“The establishing of a Constantinople branch of the Guaranty
-Trust Company of New York brings forcibly to mind the growing
-importance of the Near East to American foreign trade.
-Up to the present time American business in Constantinople has
-been seriously handicapped by the absence of American banking
-facilities. Our traders were forced to rely on British, French, or
-other foreign banks for their financial transactions. This was
-not only inconvenient, but it was devoid of that business secrecy
-which is so necessary in exploiting new fields.</p>
-
-<p>“Before the war merchandise from the United States was a
-negligible factor in the business life of Constantinople, and a
-vessel flying the Stars and Stripes was a rare sight. Today one
-will find four or five American liners in the Golden Horn at all
-times.... Today a dozen important American corporations have
-permanent offices there, and many other American concerns are
-represented by local agents.</p>
-
-<p>“T<span class="pagenum"><a name="Page_339" id="Page_339">339</a></span>he future possibilities of imports from and exports to the
-Eastern Mediterranean, the Sea of Marmora, and the Black Sea
-ports from the United States are of almost unbelievable proportions.
-These entire sections must be fed, clothed, and largely
-rehabilitated. Roads, ports, railways, and public works of all
-kinds are needed everywhere. The merchants of the Near East
-have valuable raw products to send us in exchange for the manufactured
-goods which they so urgently need.“</p></div>
-
-<p>This estimate of the situation was confirmed by the
-American Chamber of Commerce for the Levant when,
-in urging upon the Department of State the vigorous defence
-of the “open door” in Turkey, it said: “The opportunities
-for the expansion of American interests in
-the Near East are practically unlimited, provided there is
-a fair field open for individual enterprise.... In fact,
-with the conclusion of peace, there is the economic structure
-of an empire to be developed.”<a name="FNanchor_42_448" id="FNanchor_42_448"></a><a href="#Footnote_42_448" class="fnanchor">42</a></p>
-
-<p>The rapid development of American economic interests
-in Turkey can be most effectively presented by reference
-to the trade statistics. American exports to Turkey
-at the opening of the twentieth century amounted to only
-$50,000. In 1913 they had risen to $3,500,000. But between
-1913 and 1920 they showed a phenomenal increase
-of over twelve hundred per cent, reaching the sum of
-$42,200,000. Nor was this trade one sided, for during
-the period 1913–1920, American imports from Turkey
-increased from $22,100,000 to $39,600,000.<a name="FNanchor_43_449" id="FNanchor_43_449"></a><a href="#Footnote_43_449" class="fnanchor">43</a></p>
-
-<p>The Chester concessions are another important step in
-the development of a new American policy in the Near
-East. They provide for the construction by the Ottoman-American
-Development Company—a Turkish corporation
-owned and administered by Americans—of approximately
-2800 miles of railways, of which the following are the
-most important:</p>
-
-<div class="blockquot2">
-
-<p>1. An extension of the old Anatolian Railway from
-Angora to Sivas, with a branch to the port of Samsun,
-on<span class="pagenum"><a name="Page_340" id="Page_340">340</a></span> the Black Sea.</p>
-
-<p>2. A line from<span class="pagenum"><a name="Page_341" id="Page_341">341</a></span> Sivas to Erzerum and on to the Persian
-and Russian frontiers, with branches to the Black
-Sea ports of Tireboli and Trebizond.</p></div>
-
-<div class="figcenter">
-<img src="images/i_p340.jpg" alt="THE CHESTER CONCESSIONS" width="500" height="330" />
-<div class="caption">THE CHESTER CONCESSIONS<br />
-
-<p><a href="images/i_p340.jpg"><small>Larger image</small></a></p>
-</div></div>
-
-<div class="blockquot2">
-
-<p>3. A line from Oulu Kishla, on the Bagdad Railway,
-to Sivas <i>via</i> Kaisarieh.</p>
-
-<p>4. A trans-Armenian railway from Sivas to Kharput,
-Arghana, Diarbekr, Mosul, and Suleimanieh, including
-branches to Bitlis and Van.</p>
-
-<p>5. A railway from Kharput to Youmourtalik, a port
-on the Gulf of Alexandretta.</p></div>
-
-<p>No more elaborate project for railway construction in
-Asiatic Turkey has ever been incorporated in a definitive
-concession. That it should be entrusted to American promoters
-and American engineers is one of the most significant
-developments in the long and involved history of the
-Eastern Question.</p>
-
-<p>But the Chester concessions do not stop at railway construction
-alone. As in the case of the Bagdad Railway,
-the Turkish Government is obliged to offer the financiers
-powerful inducements to the investment of capital in railway
-enterprises which, in themselves, may be unremunerative
-for a time. The German promoters of the Bagdad
-Railway obtained a kilometric guarantee, or subsidy; the
-American promoters of the Chester lines are granted exclusive
-rights to the exploitation of all mineral resources,
-including oil, lying within a zone of twenty kilometres on
-each side of the railway lines. The Bagdad Railway
-mortgaged the revenues of Imperial Turkey; the Chester
-concessions mortgage the natural resources of Nationalist
-Turkey. The Ottoman-American Development Company,
-furthermore, is authorized to carry out important enterprises
-subsidiary to the construction of the railway lines<span class="pagenum"><a name="Page_342" id="Page_342">342</a></span>
-and the exploitation of the mines aforementioned. It may,
-for example, lay such pipe lines as are necessary to the
-proper development of the petroleum wells lying within its
-zone of operations. It is permitted to utilize water-power
-along the line of its railways and to install hydro-electric
-stations for the service of its mines, ports, or railways.
-It is required to construct elaborate port and terminal
-facilities at Samsun, on the Black Sea, and at Youmourtalik,
-on the Gulf of Alexandretta.</p>
-
-<p>There are other respects in which the terms of the
-Chester grant are strikingly similar to those of the Bagdad
-Railway concession of March 5, 1903.<a name="FNanchor_44_450" id="FNanchor_44_450"></a><a href="#Footnote_44_450" class="fnanchor">44</a> Lands owned by
-the Turkish Government and needed for right-of-way,
-terminal facilities, or exploitation of mineral resources are
-transferred to the Ottoman-American Development Company,
-free of charge, for the period of the concession
-(ninety-nine years). Public lands required for construction
-purposes—including sand-pits, gravel-pits, and quarries—may
-be utilized without rental, and wood and timber
-may be cut from State-owned forests without compensation.
-As public utilities, the Chester enterprises are
-granted full rights of expropriation of such privately
-owned land as may be necessary for purposes of construction
-or operation. Like the <i>Deutsche Bank</i>, the Ottoman-American
-Development Company is granted sweeping
-exemption from taxation, as follows: “The materials, machines,
-coal, and other commodities required for the construction
-operations of the Company, whether purchased
-in Turkey or imported from abroad, shall be exempt from
-all customs duties or other tax. The coal imported for the
-operation of the [railway] lines shall be exempt from
-customs duties for a period of twenty years, dating from
-the ratification of the present agreement. For the entire
-duration of the concession the lines and ports constructed
-by the Company, as well as its capital and revenues, shall
-be exempt from all imposts.”<a name="FNanchor_45_451" id="FNanchor_45_451"></a><a href="#Footnote_45_451" class="fnanchor">45</a></p>
-
-<p><span class="pagenum"><a name="Page_343" id="Page_343">343</a></span></p>
-
-<p>From the Turkish point of view, the Chester concessions
-may be justified on the grounds that the new railways will
-bring political stability to Anatolia<a name="FNanchor_46_452" id="FNanchor_46_452"></a><a href="#Footnote_46_452" class="fnanchor">46</a> and will initiate an
-era of unprecedented economic progress. From the point
-of view of those American interests which believe in the
-stimulation of foreign trade, likewise, the Chester project
-has much to commend it. Exploitation of the oilfields of
-the vilayets of Erzerum, Bitlis, Van, and Mosul, and the
-development of the mineral resources of Armenia—including
-the valuable Arghana copper mines—will provide rich
-sources of supply of raw materials. In the construction
-of railways, ports, and pipe lines there will be a considerable
-demand for American steel products. Economic development
-of the vast region through which the new railways
-will pass promises to furnish a market for American
-products, such as agricultural machinery, and to offer
-ample opportunity for the profitable investment of American
-capital. The Chester project may well become an
-imperial enterprise of the first rank.</p>
-
-<p>With the exception of the temporary advantage which
-they hoped to gain at the second Lausanne Conference, the
-Turkish Government wished no political importance to be
-attached to the Chester concessions. As Abdul Hamid had
-awarded the Anatolian and Bagdad Railway concessions to
-a German company because he believed Germans would be
-less likely to associate political aims with their economic
-privileges, so the Government of the National Assembly
-has awarded the Chester concessions to an American syndicate
-because Turkish Nationalists are convinced that
-Americans have no political interests in Turkey. This was
-made clear by Dr. I. Fouad Bey, a member of the National
-Assembly, in a semi-official visit to the United States during
-April, 1923. “We Turks wish to develop our country,”
-he said. “We need foreign coöperation to develop<span class="pagenum"><a name="Page_344" id="Page_344">344</a></span>
-it. We cannot do without this coöperation. Now, there
-are two kinds of foreign coöperation. There is the foreign
-coöperation that is coupled with foreign political
-domination—coöperation that brings profit only to the
-foreign investor. We have had enough of that kind.
-There is another kind of coöperation—the kind we conceive
-the Chester project and other American enterprises
-to be. This kind of coöperation is a business enterprise
-and has no imperialistic aim. It is a form of coöperation
-designed to profit both America and Turkey, and not to
-invade Turkish sovereignty and Turkish political interests
-in any way. That is why we prefer American coöperation.
-That is why the Grand National Assembly at Angora is
-prepared to welcome American capital with open arms and
-secure it in all its rights.”<a name="FNanchor_47_453" id="FNanchor_47_453"></a><a href="#Footnote_47_453" class="fnanchor">47</a></p>
-
-<p>These sentiments found a ready echo among American
-merchants. At a dinner given in honor of Dr. Fouad Bey
-by the American Federated Chambers of Commerce for
-the Near East, one of the speakers said: “Turkey, in our
-opinion, is destined to have a magnificent future. It is on
-the threshold of a new and great era. Its extraordinary
-resources, amazingly rich, are practically untouched.
-Although in remote ages of antiquity these vast regions
-played a great rôle in history, they have for many centuries
-lain practically fallow. The tools, appliances, machinery
-and methods which have been so highly perfected
-in the United States are appropriate to and will be needed
-for the development of this marvelous latent wealth. Our
-capital likewise can be very helpful. The members of our
-Chamber of Commerce have a keen interest in the furtherance
-of trade relations between Turkey and the United
-States. We want both to increase the imports of its raw
-materials into our country and to stimulate the export of
-our manufactured articles to Turkey. We are inspired by
-no political aims. We s<span class="pagenum"><a name="Page_345" id="Page_345">345</a></span>eek no annexation of territory.
-We desire no exclusive privileges. Our motto, if we had
-one, would be ‘A fair field and no favors.’ In the development
-of commercial relations with Turkey, in seeking the
-investment of our capital there, we ask for nothing more
-than an open door.”<a name="FNanchor_48_454" id="FNanchor_48_454"></a><a href="#Footnote_48_454" class="fnanchor">48</a></p>
-
-<p>The American press, likewise, is in accord with a policy
-of governmental non-intervention in the ramifications of
-the Chester project. The following editorial from the new
-York <i>World</i> of April 23, 1923, is perhaps representative:</p>
-
-<div class="blockquot2">
-
-<p>“There is no reason why the State Department should make
-itself the attorney for or the promoter of the Chester business
-enterprises. If the Angora Government has granted privileges
-to the Admiral’s company, then the Admiral’s business is with
-Angora and not with Washington.</p>
-
-<p>“Certainly the American people have no more interest in taking
-up the Chester concessions diplomatically than they would
-have if the Admiral were proposing to open a candy store in
-Piccadilly, a dressmaking establishment in the Rue de la Paix,
-or a beauty parlor on the Riviera. If the Admiral and his
-friends wish to invest money in Turkey, they no doubt know
-what they are doing. They will expect profits commensurate
-with the risks, and they should not expect the United States
-Government, which will enjoy none of the profits, to insure them
-against the risks.”</p></div>
-
-<p>It is difficult, nevertheless, to see how the Chester concessions,
-and their affiliated enterprises can be kept scrupulously
-free from political complications. The French
-Government, in defence of the interests of its nationals,
-has announced semi-officially that American support of the
-concessions might lead to “a diplomatic incident of the
-first importance.”<a name="FNanchor_49_455" id="FNanchor_49_455"></a><a href="#Footnote_49_455" class="fnanchor">49</a> Furthermore, the United States
-Navy is said to be vitally interested in the Chester project.
-The oilfields to which Admiral Chester’s Ottoman-American
-Development Company obtain rights of exploitation
-may prove to be important sources of fuel supply to
-American destroyers operating in the Mediterranean—Mr.<span class="pagenum"><a name="Page_346" id="Page_346">346</a></span>
-Denby, Secretary of the Navy, said apropos of the
-concessions that the Navy “is always concerned with the
-possibility of oil supplies.”<a name="FNanchor_50_456" id="FNanchor_50_456"></a><a href="#Footnote_50_456" class="fnanchor">50</a> Furthermore, an American-built
-port at Youmourtalik, on the Gulf of Alexandretta,
-might conceivably be utilized as an American naval base.
-Such a station, less than 150 miles from Cyprus and less
-than 400 miles from the Suez Canal, could hardly be expected
-to increase the British sense of security in the
-Eastern Mediterranean.</p>
-
-<p>The American Navy has already been very active in the
-Near East. “Soon after the armistice, Rear Admiral
-Bristol was sent to Constantinople to command the small
-American naval forces there. A large part of his efforts
-was immediately devoted to the promotion of American
-business in that unsettled region, including the countries
-bordering on the Black Sea. He soon established for himself
-such an influential position by sheer force of character
-and by his intelligent grasp of both the political and
-economic situations that he was appointed high commissioner
-by the State Department.</p>
-
-<p>“Early in 1919 several American destroyers were ordered
-to Constantinople for duty in the Near East. Although
-these destroyers are good fighting ships, it costs
-some $4,000,000 a year to maintain them on this particular
-duty, which does not train the crews for use in battle....
-The possible development of the economic resources of this
-part of the world was carefully investigated by representatives
-of American commercial interests. These representatives
-were given every assistance by the Navy, transportation
-furnished them to various places, and all information
-of commercial activities obtained by naval officers in their
-frequent trips around the Black Sea given them. The
-competition for trade in this part of the world is very keen,
-the various European countries using every means at their
-disposal to obtain preferential rates. The Navy not only<span class="pagenum"><a name="Page_347" id="Page_347">347</a></span>
-assists our commercial firms to obtain business, but when
-business opportunities present themselves, American firms
-are notified and given full information on the subject.
-One destroyer is kept continuously at Samsun, Turkey,
-to look after the American tobacco interests at that port.
-... The present opportunities for development of American
-commerce in the Near East are very great, and its
-permanent success will depend largely upon the continued
-influence of the Navy in that region.”<a name="FNanchor_51_457" id="FNanchor_51_457"></a><a href="#Footnote_51_457" class="fnanchor">51</a> This is the situation
-as diagnosed by the Navy Department itself.</p>
-
-<p>“With the assistance of a small force of destroyers based
-on Constantinople,” according to an instructor in the
-United States Naval Academy, “our commercial representatives
-are establishing themselves firmly in a trade
-which means millions of dollars to the farmers of the
-American Middle West. By utilizing the wireless of destroyers
-in Turkish ports, at Durazzo, and elsewhere, commercial
-messages have been put through without delay....
-Destroyers are entering Turkish ports with ‘drummers’
-as regular passengers, and their fantails piled high
-with American samples. An American destroyer has made
-a special trip at thirty knots to get American oil prospectors
-into a newly opened field.” Here is “dollar diplomacy”
-with a vengeance! “If this continues, we shall
-cease to take a purely academic interest in the naval problems
-of the Near East. These problems are concerned
-with the protection of commerce, the control of narrow
-places in the Mediterranean waterways, and the naval
-forces which the interested nations can bring to bear.
-They cannot be discussed without constant reference to
-political and commercial aims.”<a name="FNanchor_52_458" id="FNanchor_52_458"></a><a href="#Footnote_52_458" class="fnanchor">52</a></p>
-
-<p>Americans would do well to take stock of this Near
-Eastern situation. Mustapha Kemal Pasha invites the
-participation of American capital in railway construction
-in Anatolia for substantially the same reasons which<span class="pagenum"><a name="Page_348" id="Page_348">348</a></span>
-prompted Abdul Hamid to award the Bagdad Railway
-concession to German bankers. In 1888, Abdul Hamid
-considered Germany economically powerful but politically
-disinterested. Today, Mustapha Kemal Pasha believes
-that American promoters, engineers, and industrialists
-possess the resources and the technical skill which are
-required to develop and modernize Asia Minor. And,
-from the Turkish point of view, the political record of the
-United States in the Near East is a good record. America
-never has annexed Ottoman territory or staked out spheres
-of interest on Turkish soil; America has not participated
-in the Ottoman Public Debt Administration; America has
-few Mohammedan subjects and therefore is not fearful
-of the political strength of Pan-Islamism; America did not
-declare war on Turkey during the European struggle;
-America was not a party to the hated treaty of Sèvres.
-America alone among the Western Powers seems capable
-of becoming a sincere and disinterested friend of Turkey.<a name="FNanchor_53_459" id="FNanchor_53_459"></a><a href="#Footnote_53_459" class="fnanchor">53</a>
-The avowed foreign policies of the United States appear
-to confirm the opinion of the Turks that Americans can
-be depended upon not to infringe upon Turkish sovereignty.
-America must be kept scrupulously free from
-all “foreign entanglements”; therefore an American mandate
-for Armenia has been firmly declined. Splendid isolation
-is declared to be the fundamental American principle
-in international affairs.</p>
-
-<p>The political theory of isolation, however, is not altogether
-in harmony with the economic fact of American
-world power. The enormous expansion of American
-commercial and financial interests during and since the
-Great War brings the United States face to face with new,
-difficult, and complicated international problems. American
-business men will be increasingly interested in the
-backward countries of the world, in which they can purchase
-raw materials, to which they can sell their f<span class="pagenum"><a name="Page_349" id="Page_349">349</a></span>inished
-products, and in which they can invest their capital.
-American financiers, manufacturers, and merchants will
-look to their government for assistance in the extension of
-foreign markets and for protection in their foreign investments.
-Already there is grave danger that the United
-States may “plunge into national competitive imperialism,
-with all its profits and dangers, following its financiers
-wherever they may lead.”<a name="FNanchor_54_460" id="FNanchor_54_460"></a><a href="#Footnote_54_460" class="fnanchor">54</a></p>
-
-<p>The situation is not unlike that which faced the German
-Empire in 1888. When the <i>Deutsche Bank</i> initiated its
-Anatolian railway enterprises, it inquired of the German
-Government whether it might expect protection for its
-investments in Turkey. Bismarck—who desired to avoid
-imperialistic entanglements and to limit German political
-interests, as far as possible, to the continent of Europe—replied
-with a warning that the risk involved “must be
-assumed exclusively by the entrepreneurs” and that the
-Bank must not count upon the support of the German
-Government in “precarious enterprises in foreign countries.”
-But Bismarck’s policy did not take full cognizance
-of the phenomenal industrial and commercial expansion of
-the German Empire, whose nationals were acquiring economic
-interests in Asia and in Africa and on the Seven
-Seas. William II was more sensitive than Bismarck to the
-demands of German industrial, commercial, and financial
-interests that they be granted active governmental support
-and protection abroad. Bismarck tolerated German enterprises
-in Turkey; William II sponsored them. It was
-under William II, not under Bismarck, that Germany definitely
-entered the arena of imperial competition.<a name="FNanchor_55_461" id="FNanchor_55_461"></a><a href="#Footnote_55_461" class="fnanchor">55</a></p>
-
-<p>The development of American interests in Turkey puts
-the Government of the United States to a test of statesmanship.
-The temptations will be numerous to lend governmental
-assistance to American business men against
-their European competitors; to utilize the new American<span class="pagenum"><a name="Page_350" id="Page_350">350</a></span>
-economic position in Turkey for the acquisition of political
-influence; to use diplomatic pressure in securing additional
-commercial and financial opportunities; to emphasize
-the economic, at the expense of the moral, factors in Near
-Eastern affairs. To yield to these temptations will be to
-destroy the great prestige which America now possesses in
-the Levant by reason of disinterested social and educational
-service. To yield will be to forfeit the trust which
-Turkish nationalists have put in American hands. To
-yield will be to intrench the system of economic imperialism
-which has been the curse of the Near East for half
-a century. To yield will be to involve the United States
-in foreign entanglements more portentous than those connected
-with the League of Nations, or the International
-Court of Justice, or any other plan which has yet been
-suggested for American participation in the reconstruction
-of a devastated Europe and a turbulent Asia.</p>
-
-<p>The Chester concessions may be either promise or
-menace. They will give promise of a new era in the Near
-East insofar as they contribute to the development and the
-prosperity of Asia Minor, without infringing upon the
-integrity and sovereignty of democratic Turkey, and without
-involving the Government of the United States in
-serious diplomatic controversies with other Great Powers.
-They will be a menace—to Turkey, to the United States,
-and to the peace of the world—if, unhappily, they should
-lead republican America in the footsteps of imperial
-Germany.</p>
-
-<h3>BIBLIOGRAPHICAL AND EXPLANATORY NOTES</h3>
-
-<div class="footnote">
-
-<p><a name="Footnote_1_407" id="Footnote_1_407"></a><a href="#FNanchor_1_407"><span class="label">1</span></a> Mufty-Zade Zia Bey, “How the Turks Feel,” in <i>Asia</i>, Volume
-XXII (1922), p. 857.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_2_408" id="Footnote_2_408"></a><a href="#FNanchor_2_408"><span class="label">2</span></a> “Declaration of the Rights of the Toiling and Exploited
-People,” Article III. Available in English translation in <i>International
-Conciliation</i>, No. 136 (New York, 1919).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_3_409" id="Footnote_3_409"></a><a href="#FNanchor_3_409"><span class="label">3</span></a> <i>Supra</i>, Chapter VII.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_4_410" id="Footnote_4_410"></a><a href="#FNanchor_4_410"><span class="label">4</span></a> The text of the Russo-Turkish Treaty of March 16, 1921, is
-given as an appendix to an article by A. Nazaroff, “Russia’s
-Treaty with Turkey,” in <i>Current History</i>, Volume XVII (1922),
-pp. 276–279.</p>
-
-<p><span class="pagenum"><a name="Page_351" id="Page_351">351</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_5_411" id="Footnote_5_411"></a><a href="#FNanchor_5_411"><span class="label">5</span></a> Bowman, <i>op. cit.</i>, p. 398.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_6_412" id="Footnote_6_412"></a><a href="#FNanchor_6_412"><span class="label">6</span></a> <i>Cf.</i> <i>supra</i>, pp. 202–203. Professor Toynbee now speaks of this
-feature of the Entente in terms of contempt: “Its direct motive
-was covetousness, and it rested locally on nothing more substantial
-than the precarious honor among thieves who find their business
-threatened by a vigorous and talented competitor. Some of the
-thieves, at any rate, never got out of the habit of picking their
-temporary partners’ pockets.“ <i>Op. cit.</i>, p. 46.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_7_413" id="Footnote_7_413"></a><a href="#FNanchor_7_413"><span class="label">7</span></a> <i>Ibid.</i>, pp. 45–46.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_8_414" id="Footnote_8_414"></a><a href="#FNanchor_8_414"><span class="label">8</span></a> It seems to be established that Mr. Lloyd George compelled a
-readjustment of the terms of the Sykes-Picot Treaty by threatening
-M. Clémenceau with a complete exposure and repudiation of
-all of the secret treaties. <i>Cf.</i> Baker, <i>op. cit.</i>, Volume I, pp. 70–72.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_9_415" id="Footnote_9_415"></a><a href="#FNanchor_9_415"><span class="label">9</span></a> See Minutes of the Council of Four, March 20, 1919, reported
-in full by Baker, <i>op. cit.</i>, Volume III, Document No. 1.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_10_416" id="Footnote_10_416"></a><a href="#FNanchor_10_416"><span class="label">10</span></a> Regarding the claims of the Turkish Petroleum Company, <i>cf.</i>
-<i>supra</i>, p. 261.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_11_417" id="Footnote_11_417"></a><a href="#FNanchor_11_417"><span class="label">11</span></a> <i>Parliamentary Papers</i>, No. Cmd. 675 (1920). <i>Cf.</i>, also, the
-“Franco-British Convention of December 23, 1920, on Certain
-Points Connected with the Mandates for Syria, the Lebanon,
-Palestine, and Mesopotamia,” <i>Parliamentary Papers</i>, No. Cmd.
-1195 (1921). For a general discussion of the oil situation, see:
-H. Bérenger, <i>La politique du pétrole</i> (Paris, 1920); F. Delaisi, <i>Le
-pétrole—La politique de la production</i> (Paris, 1921); A. Apostol
-and A. Michelson, <i>La lutte pour le pétrole</i> (Paris, 1922).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_12_418" id="Footnote_12_418"></a><a href="#FNanchor_12_418"><span class="label">12</span></a> <i>Cf.</i> <i>supra</i>, Chapter X, Note 18.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_13_419" id="Footnote_13_419"></a><a href="#FNanchor_13_419"><span class="label">13</span></a> <i>Supra</i>, pp. 301–302.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_14_420" id="Footnote_14_420"></a><a href="#FNanchor_14_420"><span class="label">14</span></a> Interesting sidelights on these points will be found in the
-correspondence between the French and British Governments regarding
-the Angora Treaty of October 20, 1921, <i>Parliamentary
-Papers</i>, No. Cmd. 1571, Turkey No. 1 (1922). <i>Cf.</i>, also,
-Toynbee, <i>op. cit.</i>, Chapter III, “Greece and Turkey in the Vicious
-Circle”; Jean Lescure, “Faut-il détruire la Turquie?” in <i>Revue
-politique et parlementaire</i>, Volume 103 (1920), pp. 42–48; “Where
-Diplomacy Failed,” <i>The Daily Telegraph</i> (London), September
-19, 1922.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_15_421" id="Footnote_15_421"></a><a href="#FNanchor_15_421"><span class="label">15</span></a> M. de Montille to the Marquess Curzon of Kedleston, November
-17, 1921, in the official correspondence cited in Note 14.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_16_422" id="Footnote_16_422"></a><a href="#FNanchor_16_422"><span class="label">16</span></a> <i>Cf.</i> a statement by M. Briand regarding the purposes and the
-scope of the agreement, <i>Journal officiel, Débats parlementaires,
-Chambre des députés</i>, March 16, 1921, pp. 1272–1273. The text of
-the agreement is available in <i>Current History</i>, Volume XIV
-(1921), pp. 203–204, and in the <i>Contemporary Review</i>, Volume
-119 (1921), pp. 677–679.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_17_423" id="Footnote_17_423"></a><a href="#FNanchor_17_423"><span class="label">17</span></a> Regarding the Heraclea coal mines <i>cf.</i> <i>supra</i><span class="pagenum"><a name="Page_352" id="Page_352">352</a></span>, p. 14. During
-the War the mines were operated by Hugo Stinnes.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_18_424" id="Footnote_18_424"></a><a href="#FNanchor_18_424"><span class="label">18</span></a> For the text of the Turco-Italian treaty see <i>L’Europe Nouvelle</i>
-(Paris), May 28, 1921, or <i>The Nation</i>, Volume 113 (New
-York, 1921), p. 214. <i>The New York Times</i>, April 13, 1921, contains
-a good summary of the treaty and the circumstances of its
-negotiation.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_19_425" id="Footnote_19_425"></a><a href="#FNanchor_19_425"><span class="label">19</span></a> The text of the Angora Treaty is given in <i>Parliamentary
-Papers</i>, No. Cmd. 1556, Turkey No. 2 (1921). It has been reprinted
-in Current History, January, 1922. For a statement by
-M. Briand regarding the purposes and scope of the treaty, <i>cf.</i>
-<i>Journal officiel, Débats parlementaires, Sénat</i>, October 28, 1921,
-pp. 818–819.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_20_426" id="Footnote_20_426"></a><a href="#FNanchor_20_426"><span class="label">20</span></a> Aleppo remained within the French mandate for Syria, so
-that for a time—until the Turks construct a substitute line—through
-trains will have to pass through French territory for a
-short distance. Guarantees against interruption of either military
-or commercial traffic were exacted by the Turks, however. In
-addition, Turkey was guaranteed full use of the port of Alexandretta
-on a basis of absolute equality with Syria.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_21_427" id="Footnote_21_427"></a><a href="#FNanchor_21_427"><span class="label">21</span></a> Most of the supplementary economic concessions are provided
-for in a covering letter of Yussuf Kemal Bey and in an exchange
-of notes which coincided with the signature of the treaty. These
-were kept absolutely secret until December, when their contents
-were made known to the British Government.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_22_428" id="Footnote_22_428"></a><a href="#FNanchor_22_428"><span class="label">22</span></a> <i>Supra</i>, p. 83.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_23_429" id="Footnote_23_429"></a><a href="#FNanchor_23_429"><span class="label">23</span></a> The italics are mine. Discrimination against British trade
-from Mosul to Alexandretta, for example, might be used to force
-Great Britain to abandon many of her claims in northern Mesopotamia.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_24_430" id="Footnote_24_430"></a><a href="#FNanchor_24_430"><span class="label">24</span></a> <i>The Times</i> (London), August 2, 1922; <i>Manchester Guardian
-Commercial</i>, August 31, 1922; <i>Chicago Tribune</i>, Paris edition,
-August 21, 1922.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_25_431" id="Footnote_25_431"></a><a href="#FNanchor_25_431"><span class="label">25</span></a> For the text of the correspondence, <i>cf.</i> <i>Parliamentary Papers</i>,
-No. Cmd. 1571, Turkey No. 1 (1922).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_26_432" id="Footnote_26_432"></a><a href="#FNanchor_26_432"><span class="label">26</span></a> <i>Cf.</i> <i>supra</i>, pp. 301–302.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_27_433" id="Footnote_27_433"></a><a href="#FNanchor_27_433"><span class="label">27</span></a> A not unrepresentative Greek view is the following:
-“Nationalist Turkey became, in a military sense, French territory.
-Political missions, military missions, propaganda missions, financial
-missions, found their way from Paris to Angora. The entire
-credit of the French Republic was placed behind Kemal. The
-warships of France and the liners of the <i>Messageries Maritimes</i>
-became Turkish transports, and the French arsenals were placed
-at the disposal of the Turks. Once the ally of Kemal, France
-supported him to the fullest extent of its ability and its resources.”
-A. T. Polyzoides, “The Greek Collapse in Asia Minor,” in <i>Current
-History</i>, Volume XVII (1923), p. 35.</p>
-
-<p><span class="pagenum"><a name="Page_353" id="Page_353">353</a></span></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_28_434" id="Footnote_28_434"></a><a href="#FNanchor_28_434"><span class="label">28</span></a> Material regarding the Lausanne Conference is scattered and
-fragmentary. The text of the proposed treaty is to be found in
-<i>L’Europe Nouvelle</i> (Paris), February 24 and March 10, 1923; a
-summary is given in <i>The Times</i> (London), February 1, 1923. The
-newspaper accounts which I have used are those of <i>The New
-York Times</i>, <i>The Times</i> (London), <i>The Manchester Guardian</i>,
-<i>The World</i> (New York), and the <i>Christian Science Monitor</i>
-(Boston). For reports and editorial comment in weekly periodicals
-I have consulted <i>The Near East</i>, <i>L’Europe Nouvelle</i>, <i>Journal
-des Débats</i>, <i>The New Statesman</i> (London), <i>The Nation</i> (New
-York). The following magazine articles have proved useful:
-“The Lausanne Conference,” in <i>Current History</i>, Volume XVII
-(1923), pp. 531–537, 743–748, 929–930; Saint-Brice, “De la Ruhr à
-Lausanne,” in <i>Correspondance d’Orient</i> (Paris), February, 1923;
-“The Oriental Labyrinth at Lausanne,” in the <i>Literary Digest</i>,
-April 21, 1923, pp. 19–20; H. Froidevaux, “Les négociations de
-Lausanne et leur suspension,” in <i>L’Asie Française</i>, 33 year, No.
-208 (Paris, 1923), pp. 8–10; J. C. Powell, “Italy at Lausanne,” in
-<i>The New Statesman</i>, Volume XX (1922), pp. 291–292; A. J.
-Toynbee, “The New Status of Turkey,” in the <i>Contemporary
-Review</i>, Volume 123 (1923), pp. 281–289; P. Bruneau, “La question
-de Mossoul,” in <i>L’Europe Nouvelle</i>, February 3, 1923, pp.
-138–140. For some of my information regarding the Lausanne
-Conference I am indebted to Djavid Bey.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_29_435" id="Footnote_29_435"></a><a href="#FNanchor_29_435"><span class="label">29</span></a> <i>Cf.</i> <i>supra</i>, Chapters IX and X, <i>ad lib.</i></p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_30_436" id="Footnote_30_436"></a><a href="#FNanchor_30_436"><span class="label">30</span></a> Compare with the provisions of the Treaty of Sèvres, <i>supra</i>,
-pp. 301–302.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_31_437" id="Footnote_31_437"></a><a href="#FNanchor_31_437"><span class="label">31</span></a> <i>The New York Times</i>, February 5, 1923.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_32_438" id="Footnote_32_438"></a><a href="#FNanchor_32_438"><span class="label">32</span></a> <i>Cf.</i> <i>supra</i>, pp. 324–325.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_33_439" id="Footnote_33_439"></a><a href="#FNanchor_33_439"><span class="label">33</span></a> The Chester concessions will be treated more fully in the
-succeeding pages.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_34_440" id="Footnote_34_440"></a><a href="#FNanchor_34_440"><span class="label">34</span></a> <i>Supra</i>, pp. 245–249, 325–326. It was the Turkish contention
-that the Black Sea concessions were invalid for the following
-reasons: they were negotiated by a government for the acts of
-which the National Assembly assumed no responsibility; they
-never had been ratified by the Turkish Parliament; the French
-bankers had not fulfilled all the conditions upon which the concessions
-were predicated.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_35_441" id="Footnote_35_441"></a><a href="#FNanchor_35_441"><span class="label">35</span></a> <i>The New York Times</i>, April 12, 1923.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_36_442" id="Footnote_36_442"></a><a href="#FNanchor_36_442"><span class="label">36</span></a> Regarding the <i>Bank für orientalischen Eisenbahnen</i>, <i>cf.</i> <i>supra</i>,
-p. 32. Accounts of the purchase by British interests are to be
-found in <i>The New York Times</i>, April 28, May 15 and 16, 1923,
-and <i>The Times</i> (London), May 18, 1923.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_37_443" id="Footnote_37_443"></a><a href="#FNanchor_37_443"><span class="label">37</span></a> The Chester concessions conflict, to a degree, with the rights
-of the British-owned Turkish Petroleum Company (<i>cf.</i> <i>supra</i>,
-Chapter X) in the vilayet of Mosul. The area in conflict is<span class="pagenum"><a name="Page_354" id="Page_354">354</a></span>
-so small, compared to the total of the two concessions, however,
-that it is extremely doubtful if there will be any serious difficulty
-in reaching a satisfactory adjustment.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_38_444" id="Footnote_38_444"></a><a href="#FNanchor_38_444"><span class="label">38</span></a> “Report of the King-Crane Mission to the Near East,” published
-as a supplement to the <i>Editor and Publisher</i>, Volume 55
-(New York, 1922), pp. I-XXVIII. <i>Cf.</i>, also, “Report of the
-American Military Mission to Armenia,” Senate Document No.
-266, Sixty-sixth Congress, First Session (Washington, 1920).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_39_445" id="Footnote_39_445"></a><a href="#FNanchor_39_445"><span class="label">39</span></a> E. J. Bing, “Chester and Turkey, Inc.,” in <i>The New Republic</i>,
-Volume XXXIV (New York, 1923), pp. 290–292.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_40_446" id="Footnote_40_446"></a><a href="#FNanchor_40_446"><span class="label">40</span></a> <i>Cf.</i> E. M. Earle, “The Outlook for American Imperialism,” in
-the <i>Annals of the American Academy of Political and Social
-Science</i>, Volume CVIII (Philadelphia, 1923).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_41_447" id="Footnote_41_447"></a><a href="#FNanchor_41_447"><span class="label">41</span></a> For the text of this correspondence, <i>cf.</i> <i>Parliamentary Papers</i>,
-No. Cmd. 675 (1921).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_42_448" id="Footnote_42_448"></a><a href="#FNanchor_42_448"><span class="label">42</span></a> <i>The New York Times</i>, October 29, 1922.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_43_449" id="Footnote_43_449"></a><a href="#FNanchor_43_449"><span class="label">43</span></a> <i>Statistical Abstract of the United States</i>, 1921, <i>passim</i>; “The
-Trade of Turkey During 1920,” <i>Commerce Reports</i>, Special Supplement
-(Washington, 1921).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_44_450" id="Footnote_44_450"></a><a href="#FNanchor_44_450"><span class="label">44</span></a> Compare with the terms of the Bagdad Railway concession,
-<i>supra</i>, pp. 70–71, 77–84.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_45_451" id="Footnote_45_451"></a><a href="#FNanchor_45_451"><span class="label">45</span></a> The text of the Chester concessions—in an English translation
-which leaves much to be desired—is to be found in <i>Current
-History</i>, Volume XVIII (1923), pp. 485–489. For an official
-copy of the concessions, with a map, I am indebted to Mr. M.
-Zekeria, Secretary of the Turkish Information Service in New
-York.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_46_452" id="Footnote_46_452"></a><a href="#FNanchor_46_452"><span class="label">46</span></a> The Chester concessions contain the usual provisions for the
-utilization of the railways by the gendarmerie and the military,
-both in time of peace and in time of war.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_47_453" id="Footnote_47_453"></a><a href="#FNanchor_47_453"><span class="label">47</span></a> <i>The World</i> (New York), April 10, 1923.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_48_454" id="Footnote_48_454"></a><a href="#FNanchor_48_454"><span class="label">48</span></a> The remarks are those of Mr. Ernest Filsinger, of the firm
-of Lawrence &amp; Company, exporters. Mr. Filsinger has been good
-enough to supply me with a copy of his speech.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_49_455" id="Footnote_49_455"></a><a href="#FNanchor_49_455"><span class="label">49</span></a> <i>The New York Times</i>, April 12, 1923.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_50_456" id="Footnote_50_456"></a><a href="#FNanchor_50_456"><span class="label">50</span></a> <i>Ibid.</i>, April 23, 1923.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_51_457" id="Footnote_51_457"></a><a href="#FNanchor_51_457"><span class="label">51</span></a> <i>The United States Navy as an Industrial Asset</i> (Washington,
-Office of Naval Intelligence, 1923). <i>Cf.</i>, also, C. Merz, “Bristol,
-Quarterdeck Diplomat,” in <i>Our World</i>, December, 1922.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_52_458" id="Footnote_52_458"></a><a href="#FNanchor_52_458"><span class="label">52</span></a> Allen Westcott, “The Struggle for the Mediterranean,” in
-<i>Our World</i>, February, 1923, pp. 11–17.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_53_459" id="Footnote_53_459"></a><a href="#FNanchor_53_459"><span class="label">53</span></a> <i>Cf.</i>, <i>supra</i>, pp. 63–65.</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_54_460" id="Footnote_54_460"></a><a href="#FNanchor_54_460"><span class="label">54</span></a> <i>Cf.</i> W. E. Weyl, <span class="pagenum"><a name="Page_355" id="Page_355">355</a></span><i>American World Policies</i> (New York, 1917),
-Chapter V; A. Demangeon, <i>America and the Race for World
-Dominion</i> (Garden City, 1921), a translation of <i>Le Déclin de
-l’Europe</i> (Paris, 1920).</p></div>
-
-<div class="footnote">
-
-<p><a name="Footnote_55_461" id="Footnote_55_461"></a><a href="#FNanchor_55_461"><span class="label">55</span></a> <i>Supra</i>, pp. 40–42.</p></div>
-
-<hr />
-
-<h2>INDEX</h2>
-<ul class="index">
-<li class="ifrst">Abdul Hamid, Sultan, <a href="#Page_5">5</a>, <a href="#Page_23">23</a>, <a href="#Page_198">198</a>;</li>
-<li class="isub1">problems of, <a href="#Page_9">9</a>;</li>
-<li class="isub1">interest in railway construction, <a href="#Page_20">20</a>, <a href="#Page_30">30</a>;</li>
-<li class="isub1">deposition of, <a href="#Page_97">97</a>.</li>
-
-<li class="indx">Adaban Island, <a href="#Page_283">283</a>.</li>
-
-<li class="indx">Adalia, <a href="#Page_267">267</a>, <a href="#Page_285">285</a>, <a href="#Page_302">302</a>, <a href="#Page_324">324</a>.</li>
-
-<li class="indx">Adana, <a href="#Page_22">22</a>, <a href="#Page_72">72</a>. (<i>See also</i> Mersina-Adana Railway.)</li>
-
-<li class="indx">Adrianople, <a href="#Page_29">29</a>.</li>
-
-<li class="indx">Afiun Karahissar, <a href="#Page_34">34</a>, <a href="#Page_53">53</a>, <a href="#Page_324">324</a>.</li>
-
-<li class="indx">Agadir crisis, <a href="#Page_170">170</a>, <a href="#Page_253">253</a>.</li>
-
-<li class="indx">Agriculture in Turkey. (<i>See</i> Turkey, agricultural conditions.)</li>
-
-<li class="indx">Aidin, <a href="#Page_324">324</a>. (<i>See also</i> Smyrna-Aidin Railway.)</li>
-
-<li class="indx">Alashehr, <a href="#Page_34">34</a>.</li>
-
-<li class="indx">Aleppo, <a href="#Page_2">2</a>, <a href="#Page_22">22</a>, <a href="#Page_62">62</a>, <a href="#Page_71">71</a>, <a href="#Page_73">73</a>, <a href="#Page_281">281</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Alexandretta, <a href="#Page_19">19</a>, <a href="#Page_62">62</a>, <a href="#Page_73">73</a>, <a href="#Page_110">110</a>, <a href="#Page_112">112</a>, <a href="#Page_151">151</a>.</li>
-
-<li class="indx">Allenby, Field Marshal Sir E. H. H., <a href="#Page_298">298</a>-299.</li>
-
-<li class="indx"><i>Alliance Israélite Universelle</i>, <a href="#Page_133">133</a>.</li>
-
-<li class="indx">Amanus Mountains, <a href="#Page_22">22</a>, <a href="#Page_72">72</a>, <a href="#Page_94">94</a>, <a href="#Page_234">234</a>, <a href="#Page_277">277</a>, <a href="#Page_289">289</a>;</li>
-<li class="isub1">Bagdad Railway tunnels through, <a href="#Page_113">113</a>, <a href="#Page_119">119</a>, <a href="#Page_289">289</a>.</li>
-
-<li class="indx">Amara, <a href="#Page_286">286</a>.</li>
-
-<li class="indx">America. (<i>See</i> United States of America.)</li>
-
-<li class="indx">American Federated Chambers of Commerce for the Near East, <a href="#Page_344">344</a>.</li>
-
-<li class="indx">Anatolia, <a href="#Page_280">280</a>, <a href="#Page_302">302</a>, <a href="#Page_305">305</a>;</li>
-<li class="isub1">geography of, <a href="#Page_10">10</a>;</li>
-<li class="isub1">natural resources of, <a href="#Page_13">13</a>-14;</li>
-<li class="isub1">railways of, <a href="#Page_29">29</a>-30.</li>
-<li class="isub1">(<i>See also</i> Anatolian Railway, Smyrna-Cassaba Railway, Smyrna-Aidin Railway, Black Sea Railways, etc.)</li>
-
-<li class="indx">Anatolian Railway, <a href="#Page_34">34</a>, <a href="#Page_53">53</a>, <a href="#Page_61">61</a>, <a href="#Page_63">63</a>, <a href="#Page_224">224</a>, <a href="#Page_248">248</a>, <a href="#Page_339">339</a>;</li>
-<li class="isub1">concession of 1888, <a href="#Page_32">32</a>;</li>
-<li class="isub1">concession of 1893, <a href="#Page_33">33</a>;</li>
-<li class="isub1">agreement with Smyrna-Cassaba Railway, <a href="#Page_59">59</a>-60;</li>
-<li class="isub1">board of directors, <a href="#Page_85">85</a>;</li>
-<li class="isub1">irrigation enterprises, <a href="#Page_98">98</a>, <a href="#Page_117">117</a>;</li>
-<li class="isub1">economic achievements of, <a href="#Page_230">230</a>-232;</li>
-<li class="isub1">concessions of 1914, <a href="#Page_248">248</a>-249, <a href="#Page_272">272</a>.</li>
-
-<li class="indx">Andrew, Sir William, <a href="#Page_176">176</a>-177.</li>
-
-<li class="indx">Anglo-French Entente. (<i>See</i> Entente Cordiale.)</li>
-
-<li class="indx">Anglo-French rivalry in the Near East, <a href="#Page_318">318</a>-329.</li>
-
-<li class="indx">Anglo-German Agreement of June 15, 1914, <a href="#Page_261">261</a>-265.</li>
-
-<li class="indx">Anglo-German rivalry, <a href="#Page_138">138</a>, <a href="#Page_179">179</a>-180, <a href="#Page_203">203</a>.</li>
-
-<li class="indx">Anglo-Japanese Alliance, <a href="#Page_204">204</a>.</li>
-
-<li class="indx">Anglo-Persian Oil Company, <a href="#Page_259">259</a>, <a href="#Page_261">261</a>, <a href="#Page_283">283</a>, <a href="#Page_286">286</a>.</li>
-
-<li class="indx">Anglo-Russian Agreement (1907), <a href="#Page_204">204</a>.</li>
-
-<li class="indx">Anglo-Turkish Agreements (1913), <a href="#Page_254">254</a>-258, <a href="#Page_263">263</a>-264.</li>
-
-<li class="indx">Angora, <a href="#Page_31">31</a>, <a href="#Page_32">32</a>, <a href="#Page_33">33</a>, <a href="#Page_34">34</a>, <a href="#Page_305">305</a>, <a href="#Page_339">339</a>.</li>
-
-<li class="indx">Angora Government. (<i>See</i> Grand National Assembly.)</li>
-
-<li class="indx">Angora Treaty (October 20, 1921), <a href="#Page_324">324</a>-325, <a href="#Page_333">333</a>, <a href="#Page_352">352</a>.</li>
-
-<li class="indx">Arabs, <a href="#Page_9">9</a>-10, <a href="#Page_15">15</a>, <a href="#Page_87">87</a>, <a href="#Page_196">196</a>, <a href="#Page_207">207</a>, <a href="#Page_282">282</a>-284, <a href="#Page_294">294</a>, <a href="#Page_297">297</a>, <a href="#Page_299">299</a>, <a href="#Page_302">302</a>, <a href="#Page_305">305</a>, <a href="#Page_320">320</a>.</li>
-
-<li class="indx">Ardahan, <a href="#Page_316">316</a>.</li>
-
-<li class="indx">Arghana, <a href="#Page_246">246</a>, <a href="#Page_340">340</a>;</li>
-<li class="isub1">copper mines of, <a href="#Page_326">326</a>, <a href="#Page_334">334</a>, <a href="#Page_343">343</a>.</li>
-
-<li class="indx">Armenia, <a href="#Page_2">2</a>, <a href="#Page_9">9</a>, <a href="#Page_44">44</a>;</li>
-<li class="isub1">republic of, <a href="#Page_302">302</a>, <a href="#Page_305">305</a>;</li>
-<li class="isub1">proposed American mandate, <a href="#Page_348">348</a>.</li>
-
-<li class="indx">Asia Minor. (<i>See</i> Anatolia.)</li>
-
-<li class="indx">Atlas Line, <a href="#Page_107">107</a>.</li>
-
-<li class="indx">Auguste Victoria, Kaiserin, <a href="#Page_132">132</a>.</li>
-
-<li class="indx">Austria-Hungary, policies in Near East, <a href="#Page_11">11</a>;</li>
-<li class="isub1">railways in Turkey, <a href="#Page_58">58</a>;</li>
-<li class="isub1">trade with Turkey, <a href="#Page_105">105</a>-106;</li>
-<li class="isub1">annexation of Bosnia-Herzegovina, <a href="#Page_218">218</a>;</li>
-<li class="isub1">relations with Germany in Near East, <a href="#Page_129">129</a>-130.</li>
-<li class="isub1">(<i>See also Drang nach Osten.</i>)</li>
-
-<li class="ifrst"><i>Backshish</i>, <a href="#Page_94">94</a>.</li>
-
-<li class="indx">Bagdad, <a href="#Page_2">2</a>, <a href="#Page_31">31</a>, <a href="#Page_32">32</a>, <a href="#Page_62">62</a>, <a href="#Page_71">71</a>, <a href="#Page_73">73</a>-74, <a href="#Page_261">261</a>, <a href="#Page_281">281</a>, <a href="#Page_286">286</a>, <a href="#Page_296">296</a>, <a href="#Page_336">336</a>.</li>
-
-<li class="indx">Bagdad Railway, <a href="#Page_3">3</a>, <a href="#Page_7">7</a>, <a href="#Page_21">21</a>, <a href="#Page_34">34</a>;</li>
-<li class="isub1">factor in Great War, <a href="#Page_4">4</a>, <a href="#Page_172">172</a>, <a href="#Page_278">278</a>, <a href="#Page_288">288</a>-289, <a href="#Page_291">291</a>, <a href="#Page_299">299</a>-300;</li>
-<li class="isub1">strategic importance to Turkey, <a href="#Page_22">22</a>, <a href="#Page_152">152</a>-153;</li>
-<li class="isub1">mileage, <a href="#Page_90">90</a>;</li>
-<li class="isub1">construction, <a href="#Page_94">94</a>-95, <a href="#Page_113">113</a>-114, <a href="#Page_289">289</a>;</li>
-<li class="isub1">political importance to Germany, <a href="#Page_126">126</a>-131;</li>
-<li class="isub1">opponents and friends of enterprise in Germany, <a href="#Page_137">137</a>-142;</li>
-<li class="isub1">economic success, <a href="#Page_233">233</a>-234;</li>
-<li class="isub1">disposition of by Allies, <a href="#Page_301">301</a>;</li>
-<li class="isub1">Angora Treaty, <a href="#Page_325">325</a>-326;</li>
-<li class="isub1">status in 1922, <a href="#Page_326">326</a>;</li>
-<li class="isub1">purchase by British bankers, <a href="#Page_334">334</a>.</li>
-<li class="isub1">(<i>See also</i> Germany, Great Britain, France, Russia.)</li>
-
-<li class="indx">Bagdad Railway Company, incorporation of, <a href="#Page_70">70</a>, <a href="#Page_92">92</a>;</li>
-<li class="isub1">concession of 1903, <a href="#Page_22">22</a>, <a href="#Page_70">70</a>-75, <a href="#Page_77">77</a>-84, <a href="#Page_219">219</a>;</li>
-<li class="isub1">attempt to internationalize (1903), <a href="#Page_92">92</a>-93;</li>
-<li class="isub1">board of directors, <a href="#Page_93">93</a>, <a href="#Page_115">115</a>, <a href="#Page_256">256</a>, <a href="#Page_263">263</a>;</li>
-<li class="isub1">preliminary concession of 1899, <a href="#Page_61">61</a>-65, <a href="#Page_68">68</a>;</li>
-<li class="isub1">financing concession of 1903, <a href="#Page_77">77</a>, <a href="#Page_91">91</a>, <a href="#Page_93">93</a>-94, <a href="#Page_116">116</a>;</li>
-<li class="isub1">concession of 1908, <a href="#Page_96">96</a>-97;</li>
-<li class="isub1">convention of March, 1911, <a href="#Page_111">111</a>-112, <a href="#Page_228">228</a>-229, <a href="#Page_252">252</a>;</li>
-<li class="isub1">Franco-German agreement of 1914, <a href="#Page_170">170</a>, <a href="#Page_247">247</a>-252;</li>
-<li class="isub1">contracts with Lord Inchcape, <a href="#Page_259">259</a>-260, <a href="#Page_264">264</a>;</li>
-<li class="isub1">agreement with Smyrna-Aidin Railway Company, <a href="#Page_260">260</a>, <a href="#Page_264">264</a>;</li>
-<li class="isub1">proposed liquidation, <a href="#Page_301">301</a>.</li>
-
-<li class="indx">Bagtché tunnel, <a href="#Page_289">289</a>.</li>
-
-<li class="indx">Bahrein Island, <a href="#Page_283">283</a>.</li>
-
-<li class="indx">Balfour, A. J. (Earl Balfour), <a href="#Page_93">93</a>, <a href="#Page_180">180</a>-185, <a href="#Page_202">202</a>.</li>
-
-<li class="indx">Balfour of Burleigh, Lord, <a href="#Page_117">117</a>.</li>
-
-<li class="indx">Balkan States, <a href="#Page_11">11</a>, <a href="#Page_152">152</a>;</li>
-<li class="isub1">nationalism of, <a href="#Page_7">7</a>.</li>
-
-<li class="indx">Balkan Wars, <a href="#Page_246">246</a>-275.</li>
-
-<li class="indx">Ballin, Albert, <a href="#Page_141">141</a>, <a href="#Page_281">281</a>.</li>
-
-<li class="indx">Banditry, <a href="#Page_9">9</a>, <a href="#Page_12">12</a>.</li>
-
-<li class="indx"><i>Bank für Handel und Industrie</i>, <a href="#Page_101">101</a>, <a href="#Page_116">116</a>.</li>
-
-<li class="indx"><i>Bank für orientalische Eisenbahnen</i>, <a href="#Page_32">32</a>, <a href="#Page_334">334</a>.</li>
-
-<li class="indx"><i>Banque d’Orient</i>, <a href="#Page_99">99</a>.</li>
-
-<li class="indx">Barrow, General Sir Edmond, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Basra, <a href="#Page_2">2</a>, <a href="#Page_19">19</a>, <a href="#Page_62">62</a>, <a href="#Page_74">74</a>, <a href="#Page_255">255</a>, <a href="#Page_263">263</a>, <a href="#Page_282">282</a>, <a href="#Page_284">284</a>, <a href="#Page_336">336</a>.</li>
-
-<li class="indx">Bassermann, Herr, <a href="#Page_120">120</a>, <a href="#Page_129">129</a>, <a href="#Page_170">170</a>, <a href="#Page_256">256</a>.</li>
-
-<li class="indx">Beersheba, <a href="#Page_298">298</a>.</li>
-
-<li class="indx">Beirut, <a href="#Page_30">30</a>, <a href="#Page_62">62</a>, <a href="#Page_72">72</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Belgium. Railway concessions of Belgians in Turkey, <a href="#Page_30">30</a>.</li>
-
-<li class="indx">Berger, Léon, <a href="#Page_91">91</a>, <a href="#Page_115">115</a>.</li>
-
-<li class="indx">Bergmann, Dr. Carl, <a href="#Page_260">260</a>.</li>
-
-<li class="indx">Berthelot, Philippe, <a href="#Page_320">320</a>.</li>
-
-<li class="indx">Bethmann-Hollweg, von, <a href="#Page_249">249</a>.</li>
-
-<li class="indx">Beyens, Baron, <a href="#Page_249">249</a>.</li>
-
-<li class="indx">Bieberstein, Baron Marschall von, <a href="#Page_43">43</a>, <a href="#Page_55">55</a>, <a href="#Page_170">170</a>, <a href="#Page_218">218</a>, <a href="#Page_254">254</a>.</li>
-
-<li class="indx">Bismarck, <a href="#Page_40">40</a>-42, <a href="#Page_54">54</a>-55, <a href="#Page_349">349</a>.</li>
-
-<li class="indx">Bitlis, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Black Sea Basin Agreement, <a href="#Page_65">65</a>, <a href="#Page_149">149</a>.</li>
-
-<li class="indx">Black Sea Railways, <a href="#Page_245">245</a>-246, <a href="#Page_248">248</a>-249.</li>
-
-<li class="indx">Boer War, <a href="#Page_61">61</a>, <a href="#Page_179">179</a>, <a href="#Page_203">203</a>.</li>
-
-<li class="indx">Boli, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Bowles, Gibson, <a href="#Page_190">190</a>, <a href="#Page_210">210</a>.</li>
-
-<li class="indx">Bozanti, <a href="#Page_325">325</a>.</li>
-
-<li class="indx"><i>Breslau</i> (Cruiser), <a href="#Page_278">278</a>, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Briand, Aristide, <a href="#Page_329">329</a>.</li>
-
-<li class="indx">Brusa, <a href="#Page_14">14</a>.</li>
-
-<li class="indx">Bulgaria, <a href="#Page_288">288</a>, <a href="#Page_290">290</a>.</li>
-
-<li class="indx">Bulgurlu, <a href="#Page_94">94</a>, <a href="#Page_96">96</a>.</li>
-
-<li class="indx">Bülow, Prince von, <a href="#Page_48">48</a>, <a href="#Page_135">135</a>.</li>
-
-<li class="ifrst">Cadman, Sir John, <a href="#Page_321">321</a>.</li>
-
-<li class="indx">Caillard, Sir Vincent, <a href="#Page_31">31</a>, <a href="#Page_32">32</a>.</li>
-
-<li class="indx">Caliphate, <a href="#Page_27">27</a>, <a href="#Page_64">64</a>, <a href="#Page_278">278</a>-279, <a href="#Page_296">296</a>.</li>
-
-<li class="indx">Cambon, Jules, <a href="#Page_268">268</a>.</li>
-
-<li class="indx">Cambon, Paul, <a href="#Page_225">225</a>.</li>
-
-<li class="indx">Capitulations, <a href="#Page_10">10</a>-11, <a href="#Page_82">82</a>, <a href="#Page_153">153</a>-154, <a href="#Page_276">276</a>, <a href="#Page_303">303</a>-306, <a href="#Page_316">316</a>, <a href="#Page_332">332</a>.</li>
-
-<li class="indx">Carden, Admiral, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Cassel, Sir Ernest, <a href="#Page_209">209</a>, <a href="#Page_220">220</a>-221, <a href="#Page_225">225</a>.</li>
-
-<li class="indx">Chamberlain, Austen, <a href="#Page_287">287</a>.</li>
-
-<li class="indx">Chamberlain, Joseph, <a href="#Page_67">67</a>, <a href="#Page_178">178</a>-179, <a href="#Page_185">185</a>.</li>
-
-<li class="indx">Chéradame, André, <a href="#Page_155">155</a>, <a href="#Page_215">215</a>.</li>
-
-<li class="indx">Chesney, Francis R., <a href="#Page_176">176</a>.</li>
-
-<li class="indx">Chester, Rear Admiral Colby M., <a href="#Page_15">15</a>, <a href="#Page_333">333</a>.</li>
-
-<li class="indx">Chester concessions, <a href="#Page_334">334</a>, <a href="#Page_339">339</a>, <a href="#Page_353">353</a>;</li>
-<li class="isub1">compared with Bagdad Railway concessions, <a href="#Page_340">340</a>-343;</li>
-<li class="isub1">political significance of, <a href="#Page_350">350</a>.</li>
-
-<li class="indx">Chrome, <a href="#Page_13">13</a>, <a href="#Page_337">337</a>.</li>
-
-<li class="indx">Churchill, Winston, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Cilicia, <a href="#Page_305">305</a>, <a href="#Page_325">325</a>-326, <a href="#Page_331">331</a>;</li>
-<li class="isub1">French mandate for, <a href="#Page_302">302</a>, <a href="#Page_325">325</a>.</li>
-<li class="isub1">(<i>See also</i> Mersina-Adana Railway.)</li>
-
-<li class="indx">Cilician Gates of the Taurus, <a href="#Page_72">72</a>, <a href="#Page_113">113</a>, <a href="#Page_149">149</a>, <a href="#Page_325">325</a>.</li>
-
-<li class="indx">Cilician-Syrian Railway Company, <a href="#Page_326">326</a>.</li>
-
-<li class="indx">Clémenceau, Georges, <a href="#Page_310">310</a>, <a href="#Page_320">320</a>, <a href="#Page_351">351</a>.</li>
-
-<li class="indx">Coal, Heraclea mines, <a href="#Page_14">14</a>, <a href="#Page_324">324</a>.</li>
-
-<li class="indx">Colonization, <a href="#Page_84">84</a>, <a href="#Page_123">123</a>-125.</li>
-
-<li class="indx">Combes, Émile, <a href="#Page_167">167</a>.</li>
-
-<li class="indx">Commercial Revolution, <a href="#Page_1">1</a>, <a href="#Page_3">3</a>-4, <a href="#Page_73">73</a>. (<i>See also</i> Trade routes.)</li>
-
-<li class="indx">Committee of Union and Progress, <a href="#Page_217">217</a>, <a href="#Page_219">219</a>.</li>
-
-<li class="indx">Constans, M., <a href="#Page_60">60</a>, <a href="#Page_155">155</a>.</li>
-
-<li class="indx">Constantinople, <a href="#Page_2">2</a>, <a href="#Page_10">10</a>, <a href="#Page_23">23</a>, <a href="#Page_281">281</a>, <a href="#Page_302">302</a>.</li>
-
-<li class="indx">Cotton, <a href="#Page_16">16</a>, <a href="#Page_50">50</a>-51, <a href="#Page_294">294</a>, <a href="#Page_297">297</a>, <a href="#Page_326">326</a>.</li>
-
-<li class="indx">Cox, Sir Percy, <a href="#Page_283">283</a>-284, <a href="#Page_286">286</a>.</li>
-
-<li class="indx">Cranborne, Lord, <a href="#Page_69">69</a>.</li>
-
-<li class="indx">Crawford, Sir Richard, <a href="#Page_221">221</a>.</li>
-
-<li class="indx"><i>Crédit Lyonnais</i>, <a href="#Page_158">158</a>.</li>
-
-<li class="indx">Crewe, Lord, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Crowe, Sir Eyre, <a href="#Page_259">259</a>.</li>
-
-<li class="indx">Ctesiphon, <a href="#Page_287">287</a>.</li>
-
-<li class="indx">Curzon, Lord, <a href="#Page_23">23</a>, <a href="#Page_113">113</a>, <a href="#Page_192">192</a>, <a href="#Page_197">197</a>-198, <a href="#Page_199">199</a>, <a href="#Page_212">212</a>-213, <a href="#Page_283">283</a>, <a href="#Page_327">327</a>.</li>
-
-<li class="indx">Customs duties of Ottoman Empire, <a href="#Page_95">95</a>, <a href="#Page_111">111</a>, <a href="#Page_180">180</a>, <a href="#Page_226">226</a>-228, <a href="#Page_256">256</a>, <a href="#Page_262">262</a>.</li>
-
-<li class="ifrst">Damascus, <a href="#Page_12">12</a>, <a href="#Page_21">21</a>, <a href="#Page_30">30</a>, <a href="#Page_62">62</a>, <a href="#Page_72">72</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Damascus-Homs-Aleppo Railway, <a href="#Page_34">34</a>, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">D’Arcy Exploration Company, <a href="#Page_259">259</a>, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Dardanelles, <a href="#Page_245">245</a>, <a href="#Page_280">280</a>, <a href="#Page_282">282</a>, <a href="#Page_285">285</a>, <a href="#Page_288">288</a>-289.</li>
-
-<li class="indx">Dawkins, Sir Clinton, <a href="#Page_186">186</a>.</li>
-
-<li class="indx">Deir, province of, <a href="#Page_294">294</a>.</li>
-
-<li class="indx">Deir es Zor, <a href="#Page_248">248</a>.</li>
-
-<li class="indx">Delamain, General, <a href="#Page_283">283</a>-284.</li>
-
-<li class="indx">Delcassé, Théophile, <a href="#Page_66">66</a>, <a href="#Page_68">68</a>, <a href="#Page_155">155</a>-157, <a href="#Page_168">168</a>-169.</li>
-
-<li class="indx">De Lesseps, Ferdinand, <a href="#Page_177">177</a>.</li>
-
-<li class="indx">Denby, Charles, <a href="#Page_345">345</a>.</li>
-
-<li class="indx">Deschanel, Paul, <a href="#Page_159">159</a>, <a href="#Page_172">172</a>.</li>
-
-<li class="indx"><i>Dette Publique.</i> (<i>See</i> Ottoman Public Debt Administration.)</li>
-
-<li class="indx"><i>Deutsche Bank</i>, <a href="#Page_32">32</a>-33, <a href="#Page_36">36</a>, <a href="#Page_99">99</a>, <a href="#Page_140">140</a>, <a href="#Page_141">141</a>, <a href="#Page_184">184</a>-185, <a href="#Page_261">261</a>;</li>
-<li class="isub1">negotiations of 1899 with Imperial Ottoman Bank, <a href="#Page_59">59</a>-60, <a href="#Page_155">155</a>;</li>
-<li class="isub1">influential position in German industry, <a href="#Page_100">100</a>-101;</li>
-<li class="isub1">loans to Young Turks, <a href="#Page_225">225</a>;</li>
-<li class="isub1">negotiations of 1913–1914 with Imperial Ottoman Bank, <a href="#Page_170">170</a>, <a href="#Page_247">247</a>-252.</li>
-<li class="isub1">(<i>See also</i> Anatolian Railway, Bagdad Railway Company, etc.)</li>
-
-<li class="indx"><i>Deutsche Levante Linie</i>, <a href="#Page_36">36</a>, <a href="#Page_107">107</a>.</li>
-
-<li class="indx"><i>Deutsche Mittelmeer Levante Linie</i>, <a href="#Page_108">108</a>.</li>
-
-<li class="indx"><i>Deutsche Orientbank</i>, <a href="#Page_99">99</a>.</li>
-
-<li class="indx"><i>Deutsche Orient Mission</i>, <a href="#Page_132">132</a>.</li>
-
-<li class="indx"><i>Deutsche Palästina Bank</i>, <a href="#Page_37">37</a>, <a href="#Page_99">99</a>, <a href="#Page_158">158</a>.</li>
-
-<li class="indx"><i>Deutsch-türkische Vereinigung</i>, <a href="#Page_281">281</a>.</li>
-
-<li class="indx"><i>Deutsches Vorderasienkomitee</i>, <a href="#Page_281">281</a>.</li>
-
-<li class="indx"><i>Deutschtum, das</i>, <a href="#Page_135">135</a>.</li>
-
-<li class="indx">Diarbekr, <a href="#Page_12">12</a>, <a href="#Page_14">14</a>, <a href="#Page_31">31</a>, <a href="#Page_73">73</a>, <a href="#Page_246">246</a>, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Disraeli, Benjamin (Earl of Beaconsfield), <a href="#Page_3">3</a>, <a href="#Page_178">178</a>, <a href="#Page_215">215</a>.</li>
-
-<li class="indx">Djavid Bey, <a href="#Page_95">95</a>, <a href="#Page_219">219</a>-220, <a href="#Page_224">224</a>-229, <a href="#Page_235">235</a>-236, <a href="#Page_247">247</a>, <a href="#Page_275">275</a>, <a href="#Page_278">278</a>, <a href="#Page_331">331</a>.</li>
-
-<li class="indx">Djemal Pasha, <a href="#Page_278">278</a>, <a href="#Page_285">285</a>, <a href="#Page_298">298</a>.</li>
-
-<li class="indx">Dodecanese Islands, <a href="#Page_267">267</a>.</li>
-
-<li class="indx">Downing Street, <a href="#Page_185">185</a>, <a href="#Page_201">201</a>, <a href="#Page_210">210</a>, <a href="#Page_254">254</a>.</li>
-
-<li class="indx"><i>Drang nach Osten</i>, <a href="#Page_51">51</a>, <a href="#Page_123">123</a>, <a href="#Page_129">129</a>-130, <a href="#Page_139">139</a>, <a href="#Page_141">141</a>-142, <a href="#Page_315">315</a>.</li>
-
-<li class="indx"><i>Dresdner Bank</i>, <a href="#Page_101">101</a>, <a href="#Page_116">116</a>.</li>
-
-<li class="ifrst">Eastern Bank, The, <a href="#Page_117">117</a>.</li>
-
-<li class="indx">Egypt, <a href="#Page_3">3</a>, <a href="#Page_7">7</a>, <a href="#Page_21">21</a>, <a href="#Page_195">195</a>, <a href="#Page_201">201</a>, <a href="#Page_278">278</a>, <a href="#Page_319">319</a>.</li>
-
-<li class="indx">El Helif, <a href="#Page_96">96</a>.</li>
-
-<li class="indx">Ellenborough, Lord, <a href="#Page_102">102</a>, <a href="#Page_197">197</a>.</li>
-
-<li class="indx">Entente Cordiale, <a href="#Page_188">188</a>, <a href="#Page_203">203</a>-204, <a href="#Page_319">319</a>.</li>
-
-<li class="indx">Enver Pasha, <a href="#Page_275">275</a>, <a href="#Page_278">278</a>, <a href="#Page_285">285</a>, <a href="#Page_297">297</a>.</li>
-
-<li class="indx">Eregli, <a href="#Page_72">72</a>.</li>
-
-<li class="indx">Erzerum, <a href="#Page_12">12</a>, <a href="#Page_246">246</a>, <a href="#Page_303">303</a>, <a href="#Page_339">339</a>.</li>
-
-<li class="indx">Eski Shehr, <a href="#Page_14">14</a>, <a href="#Page_33">33</a>.</li>
-
-<li class="indx">Euphrates River, <a href="#Page_2">2</a>, <a href="#Page_74">74</a>, <a href="#Page_81">81</a>.</li>
-<li class="isub1">(<i>See also</i> Lynch Brothers.)</li>
-
-<li class="indx">Euphrates Valley Railway Company, <a href="#Page_176">176</a>.</li>
-
-<li class="indx">Euphrates &amp; Tigris Steam Navigation Company, Ltd. (<i>See</i> Lynch Brothers.)</li>
-
-<li class="ifrst">Falkenhayn, General von, <a href="#Page_298">298</a>-299.</li>
-
-<li class="indx">Fashoda incident, <a href="#Page_61">61</a>, <a href="#Page_203">203</a>.</li>
-
-<li class="indx">Fouad Bey, Dr. I., <a href="#Page_343">343</a>.</li>
-
-<li class="indx">France, <a href="#Page_7">7</a>, <a href="#Page_23">23</a>, <a href="#Page_276">276</a>, <a href="#Page_293">293</a>;</li>
-<li class="isub1">French railways in Turkey, <a href="#Page_30">30</a>, <a href="#Page_34">34</a>, <a href="#Page_53">53</a>, <a href="#Page_59">59</a>, <a href="#Page_165">165</a>-166, <a href="#Page_245">245</a>-246, <a href="#Page_248">248</a>-249.</li>
-<li class="isub2">(<i>See also</i> Smyrna-Cassaba Railway, Damascus-Homs-Aleppo Railway, etc.);</li>
-<li class="isub1">trade with Turkey, <a href="#Page_104">104</a>-106;</li>
-<li class="isub1">imperialism, <a href="#Page_122">122</a>, <a href="#Page_294">294</a>, <a href="#Page_300">300</a>, <a href="#Page_330">330</a>;</li>
-<li class="isub1">attitude toward Bagdad Railway, <a href="#Page_66">66</a>, <a href="#Page_94">94</a>, <a href="#Page_153">153</a>-169;</li>
-<li class="isub1">investments in Turkey, <a href="#Page_154">154</a>-155;</li>
-<li class="isub1">spheres of interest in Near East, <a href="#Page_293">293</a>-294, <a href="#Page_302">302</a>;</li>
-<li class="isub1">mandate for Syria and Cilicia, <a href="#Page_302">302</a>, <a href="#Page_320">320</a>, <a href="#Page_325">325</a>;</li>
-<li class="isub1">rivalry with Great Britain in Near East, <a href="#Page_318">318</a>-329;</li>
-<li class="isub1">treaty of March 9, 1921, with Turkish Nationalists, <a href="#Page_323">323</a>-324;</li>
-<li class="isub1">Angora Treaty, <a href="#Page_324">324</a>-326;</li>
-<li class="isub1">policy at Lausanne Conferences, <a href="#Page_329">329</a>-335;</li>
-<li class="isub1">attitude toward Chester concessions, <a href="#Page_333">333</a>-334, <a href="#Page_345">345</a>.</li>
-
-<li class="indx">Francis I, <a href="#Page_154">154</a>.</li>
-
-<li class="indx">Franco-German convention of 1914, <a href="#Page_247">247</a>-252, <a href="#Page_272">272</a>.</li>
-
-<li class="indx">Franco-Russian Alliance, <a href="#Page_153">153</a>, <a href="#Page_158">158</a>-159, <a href="#Page_168">168</a>.</li>
-
-<li class="indx">Franco-Turkish Treaty of March, 1921, <a href="#Page_323">323</a>-324.</li>
-
-<li class="indx">Franco-Turkish Treaty of October, 1921. (<i>See</i> Angora Treaty.)</li>
-
-<li class="indx">Franklin-Bouillon, Henri, <a href="#Page_324">324</a>, <a href="#Page_329">329</a>.</li>
-
-<li class="ifrst">Gallipoli, <a href="#Page_8">8</a>, <a href="#Page_280">280</a>, <a href="#Page_285">285</a>.</li>
-
-<li class="indx">Gaza, <a href="#Page_288">288</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Genoa Conference, <a href="#Page_329">329</a>.</li>
-
-<li class="indx">George V, of Great Britain, <a href="#Page_258">258</a>.</li>
-
-<li class="indx">Germany, railways in Turkey. (<i>See</i> Anatolian Railway, Bagdad Railway, <i>Deutsche Bank</i>);</li>
-<li class="isub1">trade with Turkey, <a href="#Page_101">101</a>-106, <a href="#Page_109">109</a>, <a href="#Page_118">118</a>;</li>
-<li class="isub1">banks in the Near East, <a href="#Page_98">98</a>-101;</li>
-<li class="isub1">steamship lines in the Near East, <a href="#Page_36">36</a>, <a href="#Page_107">107</a>-110;</li>
-<li class="isub1">military missions to Turkey, <a href="#Page_38">38</a>, <a href="#Page_269">269</a>, <a href="#Page_288">288</a>, <a href="#Page_297">297</a>-298;</li>
-<li class="isub1">Near Eastern policies, <a href="#Page_38">38</a>-45, <a href="#Page_64">64</a>-65, <a href="#Page_120">120</a>-131, <a href="#Page_261">261</a>-265, <a href="#Page_276">276</a>-279, <a href="#Page_287">287</a>-292, <a href="#Page_297">297</a>-300;</li>
-<li class="isub1">schools and missions, <a href="#Page_131">131</a>-136, <a href="#Page_145">145</a>;</li>
-<li class="isub1">imperialism, <a href="#Page_39">39</a>-40, <a href="#Page_44">44</a>-52, <a href="#Page_56">56</a>, <a href="#Page_114">114</a>, <a href="#Page_125">125</a>-135, <a href="#Page_277">277</a>, <a href="#Page_280">280</a>-281, <a href="#Page_292">292</a>;</li>
-<li class="isub1">anti-imperialism, <a href="#Page_137">137</a>-138;</li>
-<li class="isub1">rivalries with Great Britain, <a href="#Page_138">138</a>, <a href="#Page_179">179</a>-180, <a href="#Page_203">203</a>;</li>
-<li class="isub1">alliance with Turkey, <a href="#Page_271">271</a>;</li>
-<li class="isub1">propaganda, <a href="#Page_281">281</a>-282;</li>
-<li class="isub1">military campaigns in Turkey, <a href="#Page_285">285</a>-290, <a href="#Page_296">296</a>-299;</li>
-<li class="isub1">destruction of interests in Near East, <a href="#Page_301">301</a>-302, <a href="#Page_314">314</a>-315.</li>
-
-<li class="indx"><i>Goeben</i> (cruiser), <a href="#Page_278">278</a>, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Golden Horn, <a href="#Page_29">29</a>, <a href="#Page_338">338</a>.</li>
-
-<li class="indx">Goltz, Field Marshal von der, <a href="#Page_21">21</a>, <a href="#Page_38">38</a>-39, <a href="#Page_153">153</a>, <a href="#Page_223">223</a>, <a href="#Page_282">282</a>, <a href="#Page_288">288</a>, <a href="#Page_289">289</a>, <a href="#Page_296">296</a>.</li>
-
-<li class="indx">Gouraud, General, <a href="#Page_323">323</a>.</li>
-
-<li class="indx">Grand National Assembly, <a href="#Page_305">305</a>, <a href="#Page_316">316</a>, <a href="#Page_323">323</a>, <a href="#Page_325">325</a>, <a href="#Page_331">331</a>, <a href="#Page_333">333</a>-334, <a href="#Page_343">343</a>.</li>
-
-<li class="indx">Great Britain, Near Eastern policies, <a href="#Page_11">11</a>, <a href="#Page_23">23</a>, <a href="#Page_66">66</a>-67, <a href="#Page_68">68</a>-69, <a href="#Page_111">111</a>, <a href="#Page_195">195</a>-208, <a href="#Page_225">225</a>-228, <a href="#Page_252">252</a>-265, <a href="#Page_282">282</a>-287, <a href="#Page_297">297</a>, <a href="#Page_322">322</a>;</li>
-<li class="isub1">attitude toward Bagdad Railway, <a href="#Page_66">66</a>-67, <a href="#Page_69">69</a>, <a href="#Page_182">182</a>-201, <a href="#Page_205">205</a>-209, <a href="#Page_261">261</a>-265;</li>
-<li class="isub1">imperialism, <a href="#Page_122">122</a>, <a href="#Page_195">195</a>-197, <a href="#Page_200">200</a>, <a href="#Page_277">277</a>, <a href="#Page_282">282</a>, <a href="#Page_294">294</a>, <a href="#Page_300">300</a>;</li>
-<li class="isub1">trade with Turkey, <a href="#Page_105">105</a>-106;</li>
-<li class="isub1">economic enterprises in Near East, <a href="#Page_30">30</a>, <a href="#Page_53">53</a>, <a href="#Page_60">60</a>, <a href="#Page_117">117</a>, <a href="#Page_189">189</a>-192, <a href="#Page_220">220</a>, <a href="#Page_261">261</a></li>
-<li class="isub2">(<i>see also</i> Lynch Brothers, Anglo-Persian Oil Company, Inchcape, etc.);</li>
-<li class="isub1">spheres of interest in Ottoman Empire, <a href="#Page_294">294</a>, <a href="#Page_302">302</a>;</li>
-<li class="isub1">acquisition by Bagdad Railway, <a href="#Page_334">334</a>-335;</li>
-<li class="isub1">military campaigns in Near East, <a href="#Page_283">283</a>-285, <a href="#Page_286">286</a>-287, <a href="#Page_296">296</a>-297, <a href="#Page_298">298</a>-299.</li>
-<li class="isub2">(<i>See also</i> headings under “Anglo,” Persian Gulf, Mesopotamia, Suez Canal, etc.)</li>
-
-<li class="indx">Great War, <a href="#Page_234">234</a>, <a href="#Page_275">275</a>-276;</li>
-<li class="isub1">rôle of Bagdad Railway in, <a href="#Page_285">285</a>-290, <a href="#Page_296">296</a>-299.</li>
-
-<li class="indx">Greece, <a href="#Page_11">11</a>, <a href="#Page_302">302</a>, <a href="#Page_303">303</a>, <a href="#Page_306">306</a>.</li>
-
-<li class="indx">Greco-Turkish War (1920–1922), <a href="#Page_306">306</a>, <a href="#Page_329">329</a>.</li>
-
-<li class="indx">Grey, Sir Edward (Viscount Grey), <a href="#Page_111">111</a>, <a href="#Page_198">198</a>, <a href="#Page_225">225</a>-227, <a href="#Page_228">228</a>, <a href="#Page_243">243</a>, <a href="#Page_255">255</a>, <a href="#Page_261">261</a>-262, <a href="#Page_282">282</a>-283.</li>
-
-<li class="indx">Grothe, Dr. Hugo, <a href="#Page_281">281</a>, <a href="#Page_307">307</a>.</li>
-
-<li class="indx">Guaranty Trust Company of New York, <a href="#Page_338">338</a>.</li>
-
-<li class="indx">Gwinner, Dr. Arthur von, <a href="#Page_114">114</a>-115, <a href="#Page_121">121</a>, <a href="#Page_125">125</a>, <a href="#Page_129">129</a>, <a href="#Page_141">141</a>, <a href="#Page_184">184</a>, <a href="#Page_186">186</a>, <a href="#Page_221">221</a>, <a href="#Page_236">236</a>, <a href="#Page_247">247</a>, <a href="#Page_281">281</a>.</li>
-
-<li class="ifrst">Haidar Pasha, <a href="#Page_298">298</a>, <a href="#Page_325">325</a>.</li>
-
-<li class="indx">Haidar Pasha-Ismid Railway, <a href="#Page_30">30</a>, <a href="#Page_31">31</a>, <a href="#Page_80">80</a>.</li>
-
-<li class="indx">Haidar Pasha Port Company, <a href="#Page_86">86</a>, <a href="#Page_112">112</a>.</li>
-
-<li class="indx">Haifa, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Hakki Bey, Ismail, <a href="#Page_219">219</a>.</li>
-
-<li class="indx">Hakki Pasha, <a href="#Page_254">254</a>-255, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Haldane, Lord, <a href="#Page_198">198</a>, <a href="#Page_254">254</a>.</li>
-
-<li class="indx">Hama, <a href="#Page_72">72</a>.</li>
-
-<li class="indx">Hamburg-American Line, <a href="#Page_108">108</a>-109, <a href="#Page_141">141</a>.</li>
-
-<li class="indx">Hanotaux, Gabriel, <a href="#Page_241">241</a>-242.</li>
-
-<li class="indx">Hatzfeld, Count, <a href="#Page_38">38</a>.</li>
-
-<li class="indx">Hedjaz, <a href="#Page_284">284</a>, <a href="#Page_299">299</a>, <a href="#Page_302">302</a>.</li>
-
-<li class="indx">Hedjaz Railway, <a href="#Page_21">21</a>, <a href="#Page_27">27</a>, <a href="#Page_246">246</a>, <a href="#Page_302">302</a>.</li>
-
-<li class="indx">Helfferich, Dr. Karl, <a href="#Page_52">52</a>, <a href="#Page_97">97</a>, <a href="#Page_141">141</a>, <a href="#Page_225">225</a>, <a href="#Page_236">236</a>, <a href="#Page_247">247</a>, <a href="#Page_249">249</a>.</li>
-
-<li class="indx">Heraclea, <a href="#Page_246">246</a>;</li>
-<li class="isub1">coal mines of, <a href="#Page_14">14</a>, <a href="#Page_324">324</a>.</li>
-
-<li class="indx"><i>Hilfsverein der deutschen Juden</i>, <a href="#Page_136">136</a>.</li>
-
-<li class="indx">Hirsch, Baron, <a href="#Page_32">32</a>.</li>
-
-<li class="indx">Hittites, <a href="#Page_12">12</a>.</li>
-
-<li class="indx">Holy Land, <a href="#Page_6">6</a>, <a href="#Page_299">299</a>.</li>
-<li class="isub1">(<i>See also</i> Palestine.)</li>
-
-<li class="indx">Holy War, <a href="#Page_278">278</a>-279, <a href="#Page_281">281</a>.</li>
-
-<li class="indx">Homs, <a href="#Page_72">72</a>, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Huguenin, M., <a href="#Page_63">63</a>.</li>
-
-<li class="ifrst">Immigration, <a href="#Page_234">234</a>.</li>
-
-<li class="indx">Imperial Ottoman Bank, <a href="#Page_59">59</a>, <a href="#Page_93">93</a>, <a href="#Page_117">117</a>, <a href="#Page_245">245</a>, <a href="#Page_246">246</a>-248.</li>
-
-<li class="indx">Imperialism, <a href="#Page_3">3</a>, <a href="#Page_5">5</a>-8, <a href="#Page_11">11</a>-12, <a href="#Page_45">45</a>-52, <a href="#Page_114">114</a>, <a href="#Page_235">235</a>-236, <a href="#Page_267">267</a>, <a href="#Page_279">279</a>-280, <a href="#Page_292">292</a>-296, <a href="#Page_306">306</a>, <a href="#Page_316">316</a>-318, <a href="#Page_331">331</a>, <a href="#Page_337">337</a>-338, <a href="#Page_350">350</a>.</li>
-<li class="isub1">(<i>See also</i> Imperialism as sub-topic under France, Germany, Great Britain, Italy, Russia, United States.)</li>
-
-<li class="indx">Inchcape, Lord, <a href="#Page_109">109</a>, <a href="#Page_192">192</a>, <a href="#Page_256">256</a>, <a href="#Page_258">258</a>-260.</li>
-
-<li class="indx">India, <a href="#Page_7">7</a>, <a href="#Page_126">126</a>, <a href="#Page_178">178</a>, <a href="#Page_195">195</a>, <a href="#Page_196">196</a>, <a href="#Page_282">282</a>, <a href="#Page_283">283</a>.</li>
-
-<li class="indx">Industrial Revolution, <a href="#Page_13">13</a>, <a href="#Page_45">45</a>-46.</li>
-
-<li class="indx">Industry in Turkey. (<i>See</i> Turkey, industrial backwardness.)</li>
-
-<li class="indx">Interallied Commission on Ports, Waterways, and Railways, <a href="#Page_300">300</a>.</li>
-
-<li class="indx">Interallied Financial Commission, <a href="#Page_303">303</a>.</li>
-
-<li class="indx">International Court of Justice, <a href="#Page_350">350</a>.</li>
-
-<li class="indx">Irak, <a href="#Page_16">16</a>, <a href="#Page_108">108</a>, <a href="#Page_277">277</a>, <a href="#Page_326">326</a>.</li>
-<li class="isub1">(<i>See also</i> Mesopotamia.)</li>
-
-<li class="indx">Irrigation, <a href="#Page_16">16</a>-17, <a href="#Page_98">98</a>, <a href="#Page_117">117</a>, <a href="#Page_205">205</a>, <a href="#Page_221">221</a>, <a href="#Page_256">256</a>, <a href="#Page_263">263</a>, <a href="#Page_297">297</a>.</li>
-
-<li class="indx">Ismet Pasha, <a href="#Page_333">333</a>-334.</li>
-
-<li class="indx">Ismid, <a href="#Page_14">14</a>, <a href="#Page_305">305</a>.</li>
-
-<li class="indx">Italy, trade with Turkey, <a href="#Page_105">105</a>-107;</li>
-<li class="isub1">imperialism, <a href="#Page_11">11</a>, <a href="#Page_173">173</a>-174, <a href="#Page_218">218</a>, <a href="#Page_295">295</a>, <a href="#Page_300">300</a>, <a href="#Page_330">330</a>;</li>
-<li class="isub1">Tripolitan War, <a href="#Page_246">246</a>;</li>
-<li class="isub1">economic interests in Turkey, <a href="#Page_266">266</a>-267;</li>
-<li class="isub1">spheres of interest in Near East as defined by secret treaties, <a href="#Page_285">285</a>, <a href="#Page_295">295</a>, <a href="#Page_302">302</a>, <a href="#Page_305">305</a>;</li>
-<li class="isub1">treaty of 1921 with Turkish Nationalists, <a href="#Page_324">324</a>.</li>
-
-<li class="ifrst">Jäckh, Ernst, <a href="#Page_204">204</a>-205, <a href="#Page_279">279</a>, <a href="#Page_281">281</a>, <a href="#Page_307">307</a>.</li>
-
-<li class="indx">Jaffa, <a href="#Page_30">30</a>, <a href="#Page_72">72</a>, <a href="#Page_246">246</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Jagow, Gottlieb von, <a href="#Page_254">254</a>, <a href="#Page_268">268</a>.</li>
-
-<li class="indx">Jastrow, Morris, <a href="#Page_142">142</a>.</li>
-
-<li class="indx">Jaurès, Jean, <a href="#Page_242">242</a>.</li>
-
-<li class="indx">Jericho, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Jerusalem, <a href="#Page_30">30</a>, <a href="#Page_72">72</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx"><i>Jerusalems-Verein</i>, <a href="#Page_132">132</a>, <a href="#Page_135">135</a>.</li>
-
-<li class="indx">Jezirit-ibn-Omar, <a href="#Page_327">327</a>.</li>
-
-<li class="indx">Joffre, Marshal, <a href="#Page_268">268</a>-269.</li>
-
-<li class="indx">Johnston, Sir Harry H., <a href="#Page_205">205</a>-206, <a href="#Page_215">215</a>, <a href="#Page_254">254</a>.</li>
-
-<li class="ifrst">Kaisarieh, <a href="#Page_272">272</a>, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Kapnist, Count Vladimir I., <a href="#Page_58">58</a>.</li>
-
-<li class="indx">Kapp, Wolfgang, <a href="#Page_141">141</a>.</li>
-
-<li class="indx">Karaman, <a href="#Page_72">72</a>.</li>
-
-<li class="indx">Kars, <a href="#Page_316">316</a>.</li>
-
-<li class="indx">Kaulla, Dr. Alfred von, <a href="#Page_31">31</a>.</li>
-
-<li class="indx">Kemal Bey, Yussuf, <a href="#Page_325">325</a>.</li>
-
-<li class="indx">Kemal Pasha, Mustapha, <a href="#Page_298">298</a>, <a href="#Page_303">303</a>, <a href="#Page_323">323</a>, <a href="#Page_347">347</a>.</li>
-
-<li class="indx">Khanikin, <a href="#Page_58">58</a>, <a href="#Page_75">75</a>, <a href="#Page_240">240</a>.</li>
-
-<li class="indx">Kharput, <a href="#Page_73">73</a>, <a href="#Page_246">246</a>, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Kiderlen-Waechter, von, <a href="#Page_239">239</a>.</li>
-
-<li class="indx">Kilometric guarantees, <a href="#Page_31">31</a>, <a href="#Page_33">33</a>, <a href="#Page_77">77</a>-78, <a href="#Page_85">85</a>, <a href="#Page_90">90</a>, <a href="#Page_245">245</a>.</li>
-
-<li class="indx">Kipling, Rudyard, <a href="#Page_137">137</a>.</li>
-
-<li class="indx">Kitchener, Lord, <a href="#Page_283">283</a>.</li>
-
-<li class="indx">Klapka, M. de, <a href="#Page_247">247</a>, <a href="#Page_249">249</a>.</li>
-
-<li class="indx">Konia, <a href="#Page_14">14</a>, <a href="#Page_33">33</a>, <a href="#Page_62">62</a>, <a href="#Page_72">72</a>, <a href="#Page_281">281</a>.</li>
-
-<li class="indx">Koweit, <a href="#Page_4">4</a>, <a href="#Page_180">180</a>, <a href="#Page_197">197</a>-198, <a href="#Page_255">255</a>;</li>
-<li class="isub1">Sheik of, <a href="#Page_181">181</a>, <a href="#Page_223">223</a>, <a href="#Page_255">255</a>, <a href="#Page_284">284</a>.</li>
-
-<li class="indx">Kühlmann, Herr von, <a href="#Page_255">255</a>, <a href="#Page_259">259</a>, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Kurds, <a href="#Page_9">9</a>.</li>
-
-<li class="indx">Kurna, <a href="#Page_284">284</a>.</li>
-
-<li class="indx">Kut-el-Amara, <a href="#Page_226">226</a>, <a href="#Page_261">261</a>, <a href="#Page_286">286</a>, <a href="#Page_289">289</a>-291.</li>
-
-<li class="ifrst">Land of the Two Rivers. (<i>See</i> Mesopotamia.)</li>
-
-<li class="indx">Langénieux, Cardinal, <a href="#Page_162">162</a>-163.</li>
-
-<li class="indx">Lansdowne, Lord, <a href="#Page_69">69</a>, <a href="#Page_93">93</a>, <a href="#Page_122">122</a>, <a href="#Page_184">184</a>, <a href="#Page_197">197</a>.</li>
-
-<li class="indx">Lausanne Conferences (1922–1923), <a href="#Page_306">306</a>, <a href="#Page_329">329</a>-333, <a href="#Page_334">334</a>-343.</li>
-
-<li class="indx">League of Nations, <a href="#Page_327">327</a>, <a href="#Page_350">350</a>.</li>
-
-<li class="indx">Ledochowski, Cardinal M. H., <a href="#Page_144">144</a>.</li>
-
-<li class="indx">Lee, Lord, <a href="#Page_329">329</a>.</li>
-
-<li class="indx">Lichnowsky, Prince, <a href="#Page_139">139</a>-140, <a href="#Page_146">146</a>, <a href="#Page_255">255</a>, <a href="#Page_262">262</a>.</li>
-
-<li class="indx">Lloyd George, David, <a href="#Page_199">199</a>, <a href="#Page_242">242</a>-243, <a href="#Page_310">310</a>, <a href="#Page_320">320</a>, <a href="#Page_351">351</a>.</li>
-
-<li class="indx">Ludwig Loewe &amp; Company, <a href="#Page_37">37</a>, <a href="#Page_101">101</a>.</li>
-
-<li class="indx">Lynch Brothers, <a href="#Page_74">74</a>, <a href="#Page_81">81</a>, <a href="#Page_82">82</a>, <a href="#Page_111">111</a>, <a href="#Page_190">190</a>-191, <a href="#Page_210">210</a>-211, <a href="#Page_256">256</a>, <a href="#Page_260">260</a>.</li>
-
-<li class="ifrst">McMahon, Sir Arthur H., <a href="#Page_284">284</a>.</li>
-
-<li class="indx">Macedonian Railways Company, <a href="#Page_113">113</a>.</li>
-
-<li class="indx">Mackensen, Dr., <a href="#Page_34">34</a>.</li>
-
-<li class="indx">Mackensen, Field Marshal von, <a href="#Page_297">297</a>.</li>
-
-<li class="indx">Mahmoud Pasha, <a href="#Page_60">60</a>.</li>
-
-<li class="indx">Mandates, <a href="#Page_302">302</a>, <a href="#Page_320">320</a>, <a href="#Page_325">325</a>, <a href="#Page_327">327</a>, <a href="#Page_348">348</a>.</li>
-
-<li class="indx">Manissa, <a href="#Page_30">30</a>.</li>
-
-<li class="indx">Maude, General Sir Stanley, <a href="#Page_296">296</a>, <a href="#Page_297">297</a>.</li>
-
-<li class="indx">Meade, Colonel, <a href="#Page_198">198</a>.</li>
-
-<li class="indx">Mecca, <a href="#Page_21">21</a>, <a href="#Page_62">62</a>.</li>
-
-<li class="indx">Medina, <a href="#Page_21">21</a>.</li>
-
-<li class="indx">Mendeli, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Mersina, <a href="#Page_19">19</a>, <a href="#Page_72">72</a>, <a href="#Page_110">110</a>.</li>
-
-<li class="indx">Mersina-Adana Railway, <a href="#Page_30">30</a>, <a href="#Page_109">109</a>, <a href="#Page_321">321</a>.</li>
-
-<li class="indx">Mesopotamia, <a href="#Page_32">32</a>, <a href="#Page_35">35</a>, <a href="#Page_51">51</a>, <a href="#Page_124">124</a>, <a href="#Page_140">140</a>, <a href="#Page_147">147</a>, <a href="#Page_152">152</a>, <a href="#Page_176">176</a>, <a href="#Page_180">180</a>-181, <a href="#Page_226">226</a>, <a href="#Page_234">234</a>, <a href="#Page_256">256</a>, <a href="#Page_262">262</a>-266, <a href="#Page_277">277</a>, <a href="#Page_280">280</a>, <a href="#Page_282">282</a>, <a href="#Page_284">284</a>, <a href="#Page_288">288</a>, <a href="#Page_327">327</a>;</li>
-<li class="isub1">trade routes, <a href="#Page_1">1</a>-2;</li>
-<li class="isub1">natural resources, <a href="#Page_14">14</a>-17;</li>
-<li class="isub1">Bagdad Railway in, <a href="#Page_73">73</a>-75;</li>
-<li class="isub1">German steamship service, <a href="#Page_108">108</a>-109;</li>
-<li class="isub1">military campaigns, <a href="#Page_286">286</a>-287, <a href="#Page_289">289</a>-290, <a href="#Page_296">296</a>-299;</li>
-<li class="isub1">British sphere of interest, <a href="#Page_294">294</a>-295;</li>
-<li class="isub1">British mandate for, <a href="#Page_302">302</a>, <a href="#Page_320">320</a>;</li>
-<li class="isub1">British Civil Administration, <a href="#Page_297">297</a>, <a href="#Page_326">326</a>.</li>
-<li class="isub1">(<i>See also</i> Persian Gulf, Shatt-el-Arab, Koweit, Irak.)</li>
-
-<li class="indx">Metternich, <a href="#Page_295">295</a>.</li>
-
-<li class="indx">Middle East, <a href="#Page_3">3</a>, <a href="#Page_178">178</a>, <a href="#Page_196">196</a>.</li>
-
-<li class="indx">Militarism, <a href="#Page_268">268</a>-271, <a href="#Page_275">275</a>-276.</li>
-
-<li class="indx">Milyoukov, Professor, <a href="#Page_315">315</a>.</li>
-
-<li class="indx">Minerals in Turkey, <a href="#Page_13">13</a>-15, <a href="#Page_50">50</a>-51, <a href="#Page_280">280</a>, <a href="#Page_340">340</a>.</li>
-<li class="isub1">(<i>See also</i> Chrome, Oil, Turkey, mineral resources.)</li>
-
-<li class="indx">Missions and missionaries, effect on Turkey, <a href="#Page_6">6</a>;</li>
-<li class="isub1">in support of the Bagdad Railway, <a href="#Page_131">131</a>-133, <a href="#Page_141">141</a>;</li>
-<li class="isub1">German, <a href="#Page_132">132</a>-133;</li>
-<li class="isub1">French, <a href="#Page_133">133</a>, <a href="#Page_135">135</a>, <a href="#Page_160">160</a>-165;</li>
-<li class="isub1">Italian, <a href="#Page_133">133</a>, <a href="#Page_173">173</a>-174;</li>
-<li class="isub1">American, <a href="#Page_336">336</a>.</li>
-
-<li class="indx"><i>Mittel-Europa</i>, <a href="#Page_277">277</a>, <a href="#Page_290">290</a>, <a href="#Page_292">292</a>.</li>
-
-<li class="indx">Mocha, <a href="#Page_10">10</a>.</li>
-
-<li class="indx">Moltke, General H. K. B., <a href="#Page_145">145</a>, <a href="#Page_176">176</a>.</li>
-
-<li class="indx">Morgen, Major, <a href="#Page_34">34</a>.</li>
-
-<li class="indx">Morley, Viscount, <a href="#Page_207">207</a>-208.</li>
-
-<li class="indx">Mosul, <a href="#Page_2">2</a>, <a href="#Page_12">12</a>, <a href="#Page_62">62</a>, <a href="#Page_73">73</a>, <a href="#Page_261">261</a>, <a href="#Page_305">305</a>, <a href="#Page_321">321</a>, <a href="#Page_327">327</a>, <a href="#Page_332">332</a>.</li>
-
-<li class="indx">Mount Stephen, Lord, <a href="#Page_184">184</a>, <a href="#Page_209">209</a>.</li>
-
-<li class="indx">Mudania armistice, <a href="#Page_306">306</a>.</li>
-
-<li class="indx">Mudros armistice, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">Mutius, Herr von, <a href="#Page_109">109</a>.</li>
-
-<li class="ifrst">National Bank of Turkey, <a href="#Page_220">220</a>, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">National Pact, <a href="#Page_304">304</a>-305, <a href="#Page_316">316</a>.</li>
-
-<li class="indx">Nationalism, <a href="#Page_267">267</a>-268;</li>
-<li class="isub1">Balkan, <a href="#Page_7">7</a>;</li>
-<li class="isub1">German, <a href="#Page_136">136</a>-137, <a href="#Page_163">163</a>;</li>
-<li class="isub1">French, <a href="#Page_136">136</a>, <a href="#Page_163">163</a>;</li>
-<li class="isub1">Italian, <a href="#Page_173">173</a>-174;</li>
-<li class="isub1">English, <a href="#Page_211">211</a>;</li>
-<li class="isub1">Turkish, <a href="#Page_222">222</a>, <a href="#Page_275">275</a>, <a href="#Page_278">278</a>, <a href="#Page_303">303</a>-304, <a href="#Page_314">314</a>.</li>
-<li class="isub2">(<i>See also</i> Young Turks, Pan-Turanianism, Kemal Pasha, etc.)</li>
-
-<li class="indx">Naumann, Friederich, <a href="#Page_127">127</a>.</li>
-
-<li class="indx">Near East. (<i>See</i> Ottoman Empire, Turkey, Middle East.)</li>
-
-<li class="indx">Neuflize, Baron de, <a href="#Page_247">247</a>.</li>
-
-<li class="indx">Neutral Zone of the Straits, <a href="#Page_329">329</a>.</li>
-
-<li class="indx">Nicholas, Grand Duke, <a href="#Page_290">290</a>, <a href="#Page_293">293</a>.</li>
-
-<li class="indx">Nicholas II, Tsar of Russia, <a href="#Page_239">239</a>.</li>
-
-<li class="indx">Nineveh, <a href="#Page_73">73</a>, <a href="#Page_137">137</a>.</li>
-
-<li class="indx">Nisibin, <a href="#Page_73">73</a>, <a href="#Page_246">246</a>, <a href="#Page_325">325</a>, <a href="#Page_327">327</a>.</li>
-
-<li class="indx">Nixon, General J. E., <a href="#Page_286">286</a>.</li>
-
-<li class="indx">Northcote, Sir Stafford, <a href="#Page_178">178</a>.</li>
-
-<li class="indx">North German Lloyd Steamship Company, <a href="#Page_107">107</a>.</li>
-
-<li class="ifrst">O’Connor, Sir Nicholas, <a href="#Page_60">60</a>.</li>
-
-<li class="indx">Oil, <a href="#Page_14">14</a>-15, <a href="#Page_50">50</a>-51, <a href="#Page_147">147</a>, <a href="#Page_261">261</a>, <a href="#Page_282">282</a>-283, <a href="#Page_286">286</a>, <a href="#Page_294">294</a>, <a href="#Page_321">321</a>, <a href="#Page_332">332</a>, <a href="#Page_338">338</a>, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Open Door, <a href="#Page_83">83</a>, <a href="#Page_125">125</a>, <a href="#Page_263">263</a>, <a href="#Page_326">326</a>, <a href="#Page_339">339</a>.</li>
-
-<li class="indx">Oriental Railways, <a href="#Page_18">18</a>, <a href="#Page_29">29</a>, <a href="#Page_32">32</a>, <a href="#Page_113">113</a>.</li>
-
-<li class="indx">Osmanie, <a href="#Page_111">111</a>.</li>
-
-<li class="indx">Ottoman-American Development Company. (<i>See</i> Chester concessions.)</li>
-
-<li class="indx">Ottoman Civil List, <a href="#Page_15">15</a>.</li>
-
-<li class="indx">Ottoman Empire, economic, strategic, and religious importance, <a href="#Page_4">4</a>-17;</li>
-<li class="isub1">military system, <a href="#Page_26">26</a>;</li>
-<li class="isub1">partition of, <a href="#Page_285">285</a>, <a href="#Page_293">293</a>-295, <a href="#Page_302">302</a>-303;</li>
-<li class="isub1">abolition of Sultanate, <a href="#Page_306">306</a>.</li>
-<li class="isub1">(<i>See also</i> Turkey, Abdul Hamid, Ottoman Public Debt Administration, etc.)</li>
-
-<li class="indx">Ottoman General Staff, <a href="#Page_22">22</a>.</li>
-
-<li class="indx">Ottoman Ministry of Public Works, <a href="#Page_31">31</a>, <a href="#Page_32">32</a>, <a href="#Page_81">81</a>, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Ottoman Ports Company, <a href="#Page_260">260</a>.</li>
-<li class="isub1">(<i>See also</i> Inchcape.)</li>
-
-<li class="indx">Ottoman Public Debt Administration, <a href="#Page_11">11</a>, <a href="#Page_31">31</a>, <a href="#Page_32">32</a>, <a href="#Page_81">81</a>, <a href="#Page_303">303</a>, <a href="#Page_305">305</a>;</li>
-<li class="isub1">railway policies, <a href="#Page_17">17</a>-20, <a href="#Page_29">29</a>.</li>
-
-<li class="indx">Ottoman River Navigation Company, <a href="#Page_258">258</a>.</li>
-<li class="isub1">(<i>See also</i> Inchcape.)</li>
-
-<li class="indx">Oulu Kishla, <a href="#Page_340">340</a>.</li>
-
-<li class="ifrst"><i>Palästinaverein</i>, <a href="#Page_133">133</a>.</li>
-
-<li class="indx">Palestine, <a href="#Page_280">280</a>, <a href="#Page_294">294</a>, <a href="#Page_298">298</a>, <a href="#Page_319">319</a>-320;</li>
-<li class="isub1">British mandate, <a href="#Page_302">302</a>.</li>
-
-<li class="indx">Palmerston, Viscount, <a href="#Page_176">176</a>-177.</li>
-
-<li class="indx">Panderma, <a href="#Page_221">221</a>, <a href="#Page_245">245</a>.</li>
-
-<li class="indx">Pan-Germanism, <a href="#Page_35">35</a>, <a href="#Page_103">103</a>, <a href="#Page_281">281</a>;</li>
-<li class="isub1">support of Bagdad Railway, <a href="#Page_136">136</a>-137.</li>
-
-<li class="indx">Pan-Islamism, <a href="#Page_64">64</a>, <a href="#Page_87">87</a>, <a href="#Page_222">222</a>, <a href="#Page_276">276</a>.</li>
-
-<li class="indx">Pan-Slavism, <a href="#Page_164">164</a>.</li>
-
-<li class="indx">Pan-Turanianism, <a href="#Page_222">222</a>, <a href="#Page_237">237</a>.</li>
-
-<li class="indx">Parker, Alwyn, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Peninsular &amp; Oriental Steam Navigation Company, <a href="#Page_192">192</a>, <a href="#Page_256">256</a>.</li>
-
-<li class="indx">Persia, <a href="#Page_73">73</a>, <a href="#Page_122">122</a>, <a href="#Page_196">196</a>, <a href="#Page_239">239</a>-240, <a href="#Page_255">255</a>.</li>
-
-<li class="indx">Persian Gulf, <a href="#Page_2">2</a>, <a href="#Page_74">74</a>, <a href="#Page_255">255</a>, <a href="#Page_263">263</a>, <a href="#Page_280">280</a>, <a href="#Page_282">282</a>, <a href="#Page_322">322</a>;</li>
-<li class="isub1">British strategic interests, <a href="#Page_196">196</a>-199, <a href="#Page_211">211</a>-212.</li>
-<li class="isub1">(<i>See also</i> Koweit, Shatt-el-Arab, Anglo-Persian Oil Company.)</li>
-
-<li class="indx">Petroleum. (<i>See</i> Oil.)</li>
-
-<li class="indx">Pichon, Stephen, <a href="#Page_224">224</a>, <a href="#Page_243">243</a>.</li>
-
-<li class="indx">Pobêdonostsev, <a href="#Page_58">58</a>.</li>
-
-<li class="indx">Poincaré, Raymond, <a href="#Page_333">333</a>.</li>
-
-<li class="indx">Ponsot, M., <a href="#Page_249">249</a>.</li>
-
-<li class="indx">Potsdam Agreement, <a href="#Page_199">199</a>, <a href="#Page_239">239</a>-244.</li>
-
-<li class="indx">Pressel, Wilhelm von, <a href="#Page_18">18</a>, <a href="#Page_26">26</a>, <a href="#Page_30">30</a>.</li>
-
-<li class="indx">Propaganda, <a href="#Page_281">281</a>-282.</li>
-
-<li class="ifrst"><i>Quai d’Orsay</i>, <a href="#Page_169">169</a>, <a href="#Page_245">245</a>, <a href="#Page_247">247</a>.</li>
-
-<li class="ifrst">Radek, Karl, <a href="#Page_130">130</a>.</li>
-
-<li class="indx">Railways, military value of, <a href="#Page_22">22</a>, <a href="#Page_176">176</a>.</li>
-<li class="isub1">(<i>See</i> Abdul Hamid, Anatolia, Cilicia, Syria, Mesopotamia, Anatolian Railway, Bagdad Railway, etc.)</li>
-
-<li class="indx">Ras el Ain, <a href="#Page_114">114</a>.</li>
-
-<li class="indx">Rathmore, Lord, <a href="#Page_260">260</a>.</li>
-
-<li class="indx">Rechnitzer, Ernest, <a href="#Page_60">60</a>, <a href="#Page_85">85</a>-86, <a href="#Page_87">87</a>.</li>
-
-<li class="indx">Reparation Commission, <a href="#Page_301">301</a>-302.</li>
-
-<li class="indx">Repington, Colonel, <a href="#Page_283">283</a>.</li>
-
-<li class="indx">Revelstoke, Lord, <a href="#Page_184">184</a>, <a href="#Page_209">209</a>.</li>
-
-<li class="indx">Reventlow, Count zu, <a href="#Page_140">140</a>-141.</li>
-
-<li class="indx">Rhodes, Cecil, <a href="#Page_67">67</a>, <a href="#Page_178">178</a>.</li>
-
-<li class="indx">Richelieu, <a href="#Page_295">295</a>.</li>
-
-<li class="indx">Rohrbach, Dr. Paul, <a href="#Page_15">15</a>, <a href="#Page_16">16</a>, <a href="#Page_27">27</a>, <a href="#Page_120">120</a>, <a href="#Page_125">125</a>, <a href="#Page_127">127</a>, <a href="#Page_128">128</a>, <a href="#Page_136">136</a>, <a href="#Page_213">213</a>, <a href="#Page_218">218</a>, <a href="#Page_287">287</a>.</li>
-
-<li class="indx">Roosevelt, Theodore, <a href="#Page_243">243</a>.</li>
-
-<li class="indx">Rosenberg, Baron von, <a href="#Page_249">249</a>.</li>
-
-<li class="indx">Rouvier, M., <a href="#Page_157">157</a>, <a href="#Page_167">167</a>, <a href="#Page_169">169</a>.</li>
-
-<li class="indx">Royal Dutch Petroleum Company, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Russia, Near Eastern policies, <a href="#Page_7">7</a>, <a href="#Page_11">11</a>, <a href="#Page_23">23</a>, <a href="#Page_42">42</a>, <a href="#Page_147">147</a>-153, <a href="#Page_239">239</a>-244,</li>
-<li class="isub2">315–318;</li>
-<li class="isub1">attitude toward Bagdad Railway, <a href="#Page_65">65</a>-66, <a href="#Page_147">147</a>-153;</li>
-<li class="isub1">Potsdam Agreement with Germany, <a href="#Page_199">199</a>, <a href="#Page_239">239</a>-244;</li>
-<li class="isub1">entente with Great Britain and France, <a href="#Page_153">153</a>, <a href="#Page_158">158</a>-159, <a href="#Page_168">168</a>, <a href="#Page_204">204</a>;</li>
-<li class="isub1">imperialism, <a href="#Page_7">7</a>, <a href="#Page_9">9</a>, <a href="#Page_15">15</a>, <a href="#Page_23">23</a>, <a href="#Page_61">61</a>, <a href="#Page_65">65</a>, <a href="#Page_127">127</a>, <a href="#Page_151">151</a>-153, <a href="#Page_166">166</a>-168, <a href="#Page_177">177</a>, <a href="#Page_183">183</a>, <a href="#Page_212">212</a>, <a href="#Page_240">240</a>-241, <a href="#Page_269">269</a>, <a href="#Page_276">276</a>, <a href="#Page_278">278</a>-279;</li>
-<li class="isub1">spheres of interest defined by secret treaties, <a href="#Page_285">285</a>, <a href="#Page_293">293</a>;</li>
-<li class="isub1">Soviet Republic and the Near East, <a href="#Page_315">315</a>-318.</li>
-
-<li class="indx">Russo-Japanese War, <a href="#Page_3">3</a>, <a href="#Page_153">153</a>.</li>
-
-<li class="indx">Russo-Turkish War of 1877, <a href="#Page_150">150</a>, <a href="#Page_152">152</a>.</li>
-
-<li class="ifrst">Sadijeh, <a href="#Page_73">73</a>, <a href="#Page_75">75</a>, <a href="#Page_114">114</a>, <a href="#Page_240">240</a>.</li>
-
-<li class="indx">Samarra, <a href="#Page_73">73</a>, <a href="#Page_297">297</a>.</li>
-
-<li class="indx">Samsun, <a href="#Page_31">31</a>, <a href="#Page_246">246</a>, <a href="#Page_339">339</a>.</li>
-
-<li class="indx">Sanders, Field Marshal Liman von, <a href="#Page_269">269</a>, <a href="#Page_278">278</a>, <a href="#Page_299">299</a>.</li>
-
-<li class="indx">San Remo Conference, <a href="#Page_320">320</a>.</li>
-
-<li class="indx">San Remo Oil Agreement, <a href="#Page_321">321</a>.</li>
-
-<li class="indx">Sarolea, Charles, <a href="#Page_131">131</a>.</li>
-
-<li class="indx">Sazonov, <a href="#Page_239">239</a>.</li>
-
-<li class="indx">Sazonov-Paléologue Treaty, <a href="#Page_293">293</a>.</li>
-
-<li class="indx">Scheidemann, Philip, <a href="#Page_130">130</a>, <a href="#Page_137">137</a>, <a href="#Page_214">214</a>.</li>
-
-<li class="indx">Schoen, Baron von, <a href="#Page_93">93</a>, <a href="#Page_101">101</a>-102, <a href="#Page_120">120</a>, <a href="#Page_125">125</a>, <a href="#Page_130">130</a>-131.</li>
-
-<li class="indx">Seljuk Turks, <a href="#Page_72">72</a>.</li>
-
-<li class="indx">Sericulture. (<i>See</i> Silk.)</li>
-
-<li class="indx">Shatt-el-Arab, <a href="#Page_2">2</a>, <a href="#Page_74">74</a>, <a href="#Page_81">81</a>, <a href="#Page_264">264</a>.</li>
-
-<li class="indx">Sherif of Mecca, <a href="#Page_87">87</a>, <a href="#Page_284">284</a>.</li>
-
-<li class="indx">Siemens, Carl von, <a href="#Page_141">141</a>.</li>
-
-<li class="indx">Siemens, George von, <a href="#Page_31">31</a>, <a href="#Page_41">41</a>, <a href="#Page_68">68</a>, <a href="#Page_121">121</a>.</li>
-
-<li class="indx">Silk, <a href="#Page_20">20</a>, <a href="#Page_158">158</a>, <a href="#Page_294">294</a>.</li>
-
-<li class="indx">Simplon-Orient Express, <a href="#Page_300">300</a>.</li>
-
-<li class="indx">Sinai Peninsula, <a href="#Page_4">4</a>, <a href="#Page_21">21</a>, <a href="#Page_27">27</a>, <a href="#Page_285">285</a>.</li>
-
-<li class="indx">Sivas, <a href="#Page_31">31</a>, <a href="#Page_246">246</a>, <a href="#Page_303">303</a>, <a href="#Page_339">339</a>, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Slav Peril, <a href="#Page_242">242</a>.</li>
-
-<li class="indx">Smith, Sir Henry Babington, <a href="#Page_188">188</a>, <a href="#Page_209">209</a>, <a href="#Page_227">227</a>.</li>
-
-<li class="indx">Smyrna, <a href="#Page_4">4</a>, <a href="#Page_19">19</a>, <a href="#Page_110">110</a>, <a href="#Page_302">302</a>, <a href="#Page_303">303</a>, <a href="#Page_306">306</a>, <a href="#Page_324">324</a>.</li>
-
-<li class="indx">Smyrna-Aidin Railway, <a href="#Page_30">30</a>, <a href="#Page_84">84</a>, <a href="#Page_189">189</a>, <a href="#Page_260">260</a>, <a href="#Page_264">264</a>.</li>
-
-<li class="indx">Smyrna-Cassaba Railway, <a href="#Page_30">30</a>, <a href="#Page_34">34</a>, <a href="#Page_53">53</a>, <a href="#Page_59">59</a>-60, <a href="#Page_245">245</a>.</li>
-
-<li class="indx"><i>Société d’exploitation des chemins de fer de Cilicie-Nord Syrie</i>, <a href="#Page_326">326</a>.</li>
-
-<li class="indx"><i>Société du chemin de fer de Damas-Hama et prolongements</i>, <a href="#Page_34">34</a>, <a href="#Page_246">246</a>.</li>
-
-<li class="indx"><i>Société du chemin de fer ottomane d’Anatolie.</i> (<i>See</i> Anatolian Railway.)</li>
-
-<li class="indx"><i>Société française de Heraclée</i>, <a href="#Page_14">14</a>.</li>
-
-<li class="indx"><i>Société impériale ottomane du chemin de fer de Bagdad.</i> (<i>See</i> Bagdad Railway Company.)</li>
-
-<li class="indx"><i>Société pour la construction et l’exploitation du réseau de la Mer Noire.</i> (<i>See</i> Black Sea Railways.)</li>
-
-<li class="indx"><i>Société pour enterprises électriques en Orient</i>, <a href="#Page_99">99</a>.</li>
-
-<li class="indx">Soma, <a href="#Page_30">30</a>, <a href="#Page_245">245</a>.</li>
-
-<li class="indx">Soma-Panderma Railway, <a href="#Page_221">221</a>, <a href="#Page_245">245</a>.</li>
-
-<li class="indx">Speyer, Edward B. von, <a href="#Page_141">141</a>.</li>
-
-<li class="indx">Spheres of influence, <a href="#Page_277">277</a>, <a href="#Page_294">294</a>, <a href="#Page_295">295</a>, <a href="#Page_302">302</a>.</li>
-
-<li class="indx">St. Jean de Maurienne Agreement, <a href="#Page_295">295</a>, <a href="#Page_302">302</a>, <a href="#Page_311">311</a>.</li>
-
-<li class="indx"><i>Stahlwerksverband</i>, <a href="#Page_103">103</a>.</li>
-
-<li class="indx">Standard Oil Company, <a href="#Page_15">15</a>, <a href="#Page_232">232</a>.</li>
-
-<li class="indx">Stemrich, Herr, <a href="#Page_34">34</a>.</li>
-
-<li class="indx">Sublime Porte, <a href="#Page_43">43</a>, <a href="#Page_55">55</a>, <a href="#Page_149">149</a>, <a href="#Page_247">247</a>, <a href="#Page_252">252</a>, <a href="#Page_261">261</a>.</li>
-
-<li class="indx">Subsidies, railroad, <a href="#Page_75">75</a>-80.</li>
-
-<li class="indx">Suez Canal, <a href="#Page_2">2</a>, <a href="#Page_3">3</a>, <a href="#Page_4">4</a>, <a href="#Page_21">21</a>, <a href="#Page_27">27</a>-28, <a href="#Page_177">177</a>, <a href="#Page_178">178</a>, <a href="#Page_192">192</a>, <a href="#Page_195">195</a>, <a href="#Page_204">204</a>, <a href="#Page_259">259</a>, <a href="#Page_277">277</a>, <a href="#Page_282">282</a>, <a href="#Page_283">283</a>, <a href="#Page_285">285</a>, <a href="#Page_290">290</a>.</li>
-
-<li class="indx">Suleiman the Magnificent, <a href="#Page_7">7</a>.</li>
-
-<li class="indx">Suleimanieh, <a href="#Page_340">340</a>.</li>
-
-<li class="indx">Sykes, Sir Mark, <a href="#Page_251">251</a>, <a href="#Page_272">272</a>-273, <a href="#Page_295">295</a>.</li>
-
-<li class="indx">Sykes-Picot Treaty, <a href="#Page_293">293</a>-294, <a href="#Page_310">310</a>.</li>
-
-<li class="indx">Syria, <a href="#Page_2">2</a>, <a href="#Page_11">11</a>, <a href="#Page_280">280</a>, <a href="#Page_288">288</a>, <a href="#Page_302">302</a>, <a href="#Page_320">320</a>, <a href="#Page_323">323</a>, <a href="#Page_328">328</a>;</li>
-<li class="isub1">railways of, <a href="#Page_30">30</a>, <a href="#Page_34">34</a>, <a href="#Page_245">245</a>-246, <a href="#Page_248">248</a>-249, <a href="#Page_326">326</a>;</li>
-<li class="isub1">military campaigns, <a href="#Page_299">299</a>;</li>
-<li class="isub1">French sphere of interest, <a href="#Page_293">293</a>-294;</li>
-<li class="isub1">French mandate, <a href="#Page_302">302</a>, <a href="#Page_320">320</a>, <a href="#Page_325">325</a>.</li>
-
-<li class="ifrst">Tardieu, André, <a href="#Page_169">169</a>-170, <a href="#Page_203">203</a>, <a href="#Page_214">214</a>, <a href="#Page_267">267</a>-268.</li>
-
-<li class="indx">Taurus Mountains, <a href="#Page_72">72</a>, <a href="#Page_94">94</a>, <a href="#Page_113">113</a>, <a href="#Page_149">149</a>, <a href="#Page_288">288</a>.</li>
-
-<li class="indx">Tchoban Bey, <a href="#Page_327">327</a>.</li>
-
-<li class="indx">Teheran, <a href="#Page_75">75</a>, <a href="#Page_240">240</a>.</li>
-
-<li class="indx">Tekrit, <a href="#Page_73">73</a>, <a href="#Page_294">294</a>.</li>
-
-<li class="indx">Thrace, <a href="#Page_305">305</a>, <a href="#Page_306">306</a>, <a href="#Page_324">324</a>.</li>
-
-<li class="indx">Tigris River, <a href="#Page_2">2</a>, <a href="#Page_74">74</a>, <a href="#Page_81">81</a>.</li>
-<li class="isub1">(<i>See also</i> Lynch Brothers.)</li>
-
-<li class="indx">Tireboli, <a href="#Page_239">239</a>.</li>
-
-<li class="indx">Townshend, General Sir Charles, <a href="#Page_286">286</a>, <a href="#Page_287">287</a>, <a href="#Page_289">289</a>, <a href="#Page_290">290</a>.</li>
-
-<li class="indx">Trade routes, <a href="#Page_2">2</a>, <a href="#Page_71">71</a>.</li>
-
-<li class="indx">Trans-Caspian Railway, <a href="#Page_2">2</a>, <a href="#Page_150">150</a>.</li>
-
-<li class="indx">Trans-Caucasian Railways, <a href="#Page_2">2</a>, <a href="#Page_150">150</a>.</li>
-
-<li class="indx">Trans-Persian Railway, <a href="#Page_2">2</a>, <a href="#Page_147">147</a>.</li>
-
-<li class="indx">Trans-Siberian Railway, <a href="#Page_2">2</a>, <a href="#Page_3">3</a>, <a href="#Page_4">4</a>, <a href="#Page_147">147</a>, <a href="#Page_150">150</a>.</li>
-
-<li class="indx">Treaty of Berlin (1878), <a href="#Page_149">149</a>, <a href="#Page_162">162</a>-163.</li>
-
-<li class="indx">Treaty of Bucharest (1913), <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Treaty of Lausanne (1912), <a href="#Page_267">267</a>.</li>
-
-<li class="indx">Treaty of London (1915), <a href="#Page_285">285</a>, <a href="#Page_302">302</a>.</li>
-
-<li class="indx">Treaty of Sèvres (1920), <a href="#Page_301">301</a>, <a href="#Page_305">305</a>, <a href="#Page_306">306</a>.</li>
-
-<li class="indx">Treaty of Versailles (1919), <a href="#Page_301">301</a>.</li>
-
-<li class="indx">Trebizond, <a href="#Page_246">246</a>, <a href="#Page_339">339</a>.</li>
-
-<li class="indx">Tripartite Agreement (Great Britain, France, Italy, 1920), <a href="#Page_301">301</a>.</li>
-
-<li class="indx">Triple Alliance, <a href="#Page_107">107</a>, <a href="#Page_271">271</a>.</li>
-
-<li class="indx">Triple Entente, <a href="#Page_275">275</a>.</li>
-
-<li class="indx">Tripoli-in-Syria, <a href="#Page_72">72</a>, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Tripolitan War, <a href="#Page_246">246</a>.</li>
-
-<li class="indx">Turco-Italian Treaty (March, 1921), <a href="#Page_324">324</a>.</li>
-
-<li class="indx">Turkey, agricultural conditions, <a href="#Page_5">5</a>, <a href="#Page_12">12</a>, <a href="#Page_13">13</a>, <a href="#Page_15">15</a>-16, <a href="#Page_18">18</a>, <a href="#Page_20">20</a>, <a href="#Page_230">230</a>-232;</li>
-<li class="isub1">industrial backwardness, <a href="#Page_12">12</a>-13;</li>
-<li class="isub1">general economic conditions, <a href="#Page_12">12</a>-17, <a href="#Page_233">233</a>-234;</li>
-<li class="isub1">finances (<i>see</i> Ottoman Public Debt Administration);</li>
-<li class="isub1">mineral resources, <a href="#Page_13">13</a>-15, <a href="#Page_50">50</a>-51, <a href="#Page_280">280</a>, <a href="#Page_340">340</a>;</li>
-<li class="isub1">foreign trade, <a href="#Page_36">36</a>, <a href="#Page_104">104</a>-107, <a href="#Page_339">339</a>;</li>
-<li class="isub1">alliance with Germany and Austria, <a href="#Page_271">271</a>;</li>
-<li class="isub1">entry into Great War, <a href="#Page_275">275</a>-278;</li>
-<li class="isub1">as spoils of war, <a href="#Page_280">280</a>-281, <a href="#Page_285">285</a>, <a href="#Page_292">292</a>-295, <a href="#Page_301">301</a>-302;</li>
-<li class="isub1">military campaigns of 1920–1922, <a href="#Page_305">305</a>-306;</li>
-<li class="isub1">a republic, <a href="#Page_306">306</a>.</li>
-<li class="isub1">(<i>See also</i> Ottoman Empire, Anatolia, Cilicia, Syria, Mesopotamia, Grand National Assembly, Angora Treaty, Lausanne Conferences, etc.)</li>
-
-<li class="indx">Turkish Petroleum Company, <a href="#Page_261">261</a>, <a href="#Page_321">321</a>, <a href="#Page_353">353</a>.</li>
-
-<li class="ifrst">Union and Progress, Committee of, <a href="#Page_217">217</a>, <a href="#Page_219">219</a>.</li>
-
-<li class="indx">United States of America, railroad subsidies, <a href="#Page_79">79</a>;</li>
-<li class="isub1">economic changes since the Great War, <a href="#Page_337">337</a>-338;</li>
-<li class="isub1">American interests in the Near East, <a href="#Page_336">336</a>, <a href="#Page_337">337</a>-338</li>
-<li class="isub2">(<i>see also</i> Chester concessions);</li>
-<li class="isub1">naval activity in Near East, <a href="#Page_346">346</a>-347;</li>
-<li class="isub1">outlook for American imperialism, <a href="#Page_337">337</a>-338, <a href="#Page_347">347</a>-350.</li>
-
-<li class="ifrst">Van, <a href="#Page_246">246</a>, <a href="#Page_340">340</a>.</li>
-
-<li class="ifrst">Wangenheim, Baron von, <a href="#Page_43">43</a>, <a href="#Page_270">270</a>, <a href="#Page_278">278</a>, <a href="#Page_282">282</a>.</li>
-
-<li class="indx">Washington Conference (1921), <a href="#Page_329">329</a>.</li>
-
-<li class="indx">Weygand, General, <a href="#Page_333">333</a>.</li>
-
-<li class="indx"><i>Wilhelmstrasse</i>, <a href="#Page_121">121</a>, <a href="#Page_133">133</a>, <a href="#Page_142">142</a>, <a href="#Page_201">201</a>, <a href="#Page_236">236</a>, <a href="#Page_247">247</a>, <a href="#Page_254">254</a>.</li>
-
-<li class="indx">Willcocks, Sir William, <a href="#Page_16">16</a>, <a href="#Page_205">205</a>, <a href="#Page_214">214</a>-215, <a href="#Page_220">220</a>-221.</li>
-
-<li class="indx">William II, German Emperor, <a href="#Page_142">142</a>, <a href="#Page_198">198</a>, <a href="#Page_298">298</a>, <a href="#Page_349">349</a>;</li>
-<li class="isub1">imperialistic policies of, <a href="#Page_39">39</a>-40, <a href="#Page_44">44</a>-52, <a href="#Page_349">349</a>;</li>
-<li class="isub1">visits to Turkey, <a href="#Page_41">41</a>, <a href="#Page_43">43</a>-44, <a href="#Page_55">55</a>, <a href="#Page_134">134</a>-135;</li>
-<li class="isub1">and Bagdad Railway concession of 1899, <a href="#Page_68">68</a>.</li>
-
-<li class="indx">Wilson, Woodrow, <a href="#Page_291">291</a>, <a href="#Page_336">336</a>.</li>
-
-<li class="indx">Witte, Count, <a href="#Page_58">58</a>, <a href="#Page_68">68</a>, <a href="#Page_149">149</a>-150.</li>
-
-<li class="indx"><i>Württembergische Vereinsbank</i>, <a href="#Page_31">31</a>.</li>
-
-<li class="ifrst"><i>Young Turks</i>, <a href="#Page_5">5</a>, <a href="#Page_13">13</a>, <a href="#Page_17">17</a>, <a href="#Page_110">110</a>-111, <a href="#Page_217">217</a>-218;</li>
-<li class="isub1">hostility to Germans, <a href="#Page_220">220</a>-224;</li>
-<li class="isub1">financial difficulties, <a href="#Page_224">224</a>-229;</li>
-<li class="isub1">efforts to conciliate France and Great Britain, <a href="#Page_244">244</a>, <a href="#Page_252">252</a>-261;</li>
-<li class="isub1">hostility to imperialism, <a href="#Page_267">267</a>.</li>
-
-<li class="indx">Young Turk Revolution, <a href="#Page_27">27</a>, <a href="#Page_96">96</a>.</li>
-
-<li class="indx">Youmourtalik, <a href="#Page_340">340</a>-341.</li>
-
-<li class="ifrst">Zander, Dr. Kurt, <a href="#Page_68">68</a>.</li>
-
-<li class="indx">Zihni Pasha, <a href="#Page_68">68</a>.</li>
-
-<li class="indx">Zinoviev, M., <a href="#Page_65">65</a>, <a href="#Page_149">149</a>.</li>
-
-<li class="indx">Zubeir, <a href="#Page_75">75</a>.</li>
-</ul>
-
-<div style='display:block; margin-top:4em'>*** END OF THE PROJECT GUTENBERG EBOOK TURKEY, THE GREAT POWERS, AND THE BAGDAD RAILWAY ***</div>
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