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directed almost wholly at the ambitious chieftains, the warlikestatesmen, and the thrifty munitions barons who are supposed to bebehind it. They are, of course, behind it. But they would not getvery far were it not for the fact that a large military establishmentdraws countless thousands annually out of the overstocked labormarket while it enables the government to set up and support alarge industry which employs even more men than are in the army.Among all the means for producing government-created incomenone is so successful as militarism.In 1895 Italy was spending five times as much on the army andnavy as on public works. To ask an Italian statesman to agree todisarmament before the Great War would have been to ask him toliquidate the largest industry in Italy. Nothing could have beenmore futile than to offer such a proposal to an Italian governmentalways on the edge of the precipice of economic disaster. And whilethere was always a certain amount of agitation against militarismand conscription in Italy, the system in fact always had the approvalof the liberal and labor leaders. The aggressive supporters of largemilitary expenditures, however, were the conservatives, also themost aggressive enemies of the policy of spending. Thus it was becausethe government could get public agreement for loans for thispurpose and because such loans were essential to the policy of spendingwhich kept the floundering economic system going that themilitaristic policy remained so vital and vigorous an institution inItaly—and in every other continental country. It is estimated thatthe costs of the army and navy plus the indirect costs arising outof debt charges incurred for this purpose accounted for 63 per centof all the costs of government.I must not leave this whole subject of spending and the meansemployed to spend, including militarism, without observing thatthere is nothing new in it. It is as old as civilized government. And,what is more, the protagonists of it have understood precisely whatthey are doing. 1*The following excerpts from Plutarch's Pericles in the Lives make very clear how wellthese two instruments of state policy were understood by that early republican statesman."Pericles, finding himself come short of his competitors in wealth and money, by whichadvantages the other was enabled to take care of the poor, inviting every day some one orother of the citizens that was in want to supper and bestowing clothes on the ancient19