[Geist, Raymond], Berlin. To Jay Pierrepont Moffat, Washington.
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University of Delaware Library, Museums and Press
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Copy to Messersmith. Continuing the reports previously sent by [G. S.] Messersmith; Germany getting more deeply into financial hole; Communism increasing; workers disillusioned with present regime, which they now believe will not last and will be succeeded by military government; unemployment decreased, but no indication of prosperity; women removed from jobs to make way for men; thousands employed by public works, and business and industry practically forced to take additional employees at the expense of the wage scale; Germans who have money are panic buying now for fear of later shortages; according to report, leaders of Reichwehr met recently at Bad Neuheim and laid plans for taking over government when situation becomes critical; Goering, who is against radical tendencies shown by other Party leaders, is expected to go over to the military; struggle between [Ernst] Roehm and Reichswehr; Roehm wishes S.A. incorporated in army, but Reichswehr opposes and has so far been successful; doubts military will take over; it would have situation too precarious to deal with; fanatical enthusiasm of youth is Nazi's most stable asset; staying power of regime depends upon economic recovery, but leaders may make desperate military effort to break Germany's boundaries; importation of rawstuffs a government monopoly; shortage of raw materials a handicap to industry; if regime can create a strong Germany it will rearm and wage war against Europe; Nazis bending every effort to combat depression; conservative leaders [Kurt] Schmitt, [Ludwig] von Krosigk, and [Konstantin] von Neurath fighting to stop radicalism and to keep Jewish question in background; gravity of situation reflected in treatment of prisoners; German people as a whole do not share anti-Semitism which Nazis advocate; everything going well in office; has loyal support of colleagues and staff; enjoys splendid relations with Ambassador [William E. Dodd] and Embassy staff; separation from [G. S.] Messersmith a blow; had become devoted friends.