Enclosure No. 1 Address delivered by Ambassador William E. Dodd at Luncheon of American Chamber of Commerce in Germany, Berlin, October 12, 1933. ECONOMIC NATIONALISM I. In times of great stress men are too apt to abandon too much of their past social devices and venture too far upon unchartered courses. And the consequence has always been reaction, sometimes disaster. With the breakdown of the old Roman democracy after the enormous success of the Punic Wars, great group leaders contending for personal and group advantages brought the Republic to the verge of col- lapse. Then a Caesar rose, asserted autocratic powers and for a time stabilized society. The great fact so appealed to Gibson that he wrote the masterpiece of all historical work. He overlooked or under-emphasized the cruelties and the outside exploitation of his golden empire. I allude to this because human governmental and economic combina- tions have always appeared under a few patterns and both philosophers and politicians waver and hesitate between the models offered in a Cato, a Gracchus or a Julius Cae- sar and the ideals which these figures connote. There are not many forms of human association- though many new names have been invented from time to time. Half-educated states- men today swing violently away from the ideal purpose of the first Gracchus and think they find salvation for their troubled fellows in the arbitrary modes of the man who fell an easy victim to the cheap devices of the lewd Cleo- patra. They forget that the Gracchus democracy failed upon the |