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Pace Quickened. Germany's 700,000 Jews have been tortured physically, robbed of homes and properties, denied a chance to earn a living, chased off the streets. Now they are being held for "ransom," a gangster trick through the ages. But not only Jews have suffered. Out of Germany has come a steady, ever-swelling stream of refugees, Jews and Gentiles, liberals and conservatives, Catholics as well as Protestants, who could stand Naziism no longer. TIME'S cover, showing Organist Adolf Hitler playing his hymn of hate in a desecrated cathedral while victims dangle on a St. Catherine's wheel and the Nazi hierarchy looks on, was drawn by Baron Rudolph Charles von Ripper (see p. 20), a Catholic who found Germany intolerable. Meanwhile, Germany has become a nation of uniforms, goose-stepping to Hitler's tune, where boys of ten are taught to throw hand grenades, where women are regarded as breeding machines. Most cruel joke of all, however, has been played by Hitler & Co. on those German capitalists and small businessmen who once backed National Socialism as a means of saving Germany's bourgeois economic structure from radicalism. The Nazi credo that the individual belongs to the state also applies to business. Some businesses have been confiscated outright, on others what amounts to a capital tax has been levied. Profits have been strictly controlled. Some idea of the increasing Governmental control and interference in business could be deduced from the fact that 80% of all building and 50% of all industrial orders in Germany originated last year with the Government. Hard-pressed for foodstuffs as well as funds, the Nazi regime has taken over large estates and in many instances collectivized agriculture, a procedure fundamentally similar to Russian Communism.
When Germany took over Austria she took upon herself the care and feeding of 7,000,000 poor relations. When 3,500,000 Sudetens were absorbed, there were that many more mouths to feed. As 1938 drew to a close many were the signs that the Nazi economy of exchange control, barter trade, lowered standard of living, "self-sufficiency," was cracking. Nor were signs lacking that many Germans disliked the cruelties of their Government, but were afraid to protest them. Having a hard time to provide enough bread to go round, Führer Hitler was being driven to give the German people another diverting circus. The Nazi controlled press, jumping the rope at the count of Propaganda Minister Paul Joseph Goebbels, shrieked insults at real and imagined enemies. And the pace of the German dictatorship quickened as more & more guns rolled from factories and little more butter was produced.