Secondly, such offers must be unambiguous and must be precise and clear.

Thirdly, they must accept the categories and the Reparation clauses as matters settled beyond discussion." The offer, as made, does not appear to contemplate any opening up of the problem of Germany's capacity to pay.

It is only concerned with the establishment of the total bill of claims as defined in the Treaty--whether (_e.g._) it is $35,000,000,000, $40,000,000,000, or $50,000,000,000.

"The questions," the Allies' reply adds, "are bare questions of fact, namely, the amount of the liabilities, and they are susceptible of being treated in this way." If the promised negotiations are really conducted on these lines, they are not likely to be fruitful.

It will not be much easier to arrive at an agreed figure before the end of 1919 that it was at the time of the Conference; and it will not help Germany's financial position to know for certain that she is liable for the huge sum which on any computation the Treaty liabilities must amount to.