English Translation

1a - 2 - Here it should be specifically pointed out that the difference between the economic conditions of the Protectorate and those of the Empire for the time being is that Bohemia and Moravia are a typical export area. The level of national income, the level of employment and thus social peace depend here on exports, to a much greater extent than in Germany. Export is also indispensable for us to obtain the necessary foreign resources which are needed to start up the absolutely indispensable raw materials: cotton, wool, fats, ores, etc. Now, however, the possibility of export and, in particular, the competitiveness of the local products on the foreign markets is given only on the condition of a certain level of prices, wages and customs protection. This level is different here than in the rich. The economy of the protectorate is so far better adapted to the world price level. In this situation, the export of Bohemia and Moravia is no longer just a matter for the Protectorate, but also a genuine interest of the R e c h e s ; the loss of export markets in the absence of stocks would be not only the damage of the Protectorates, but a great and direct damage to the economy of the Empire. In this context, particular attention is given to the importance of the employment of the export industry for the social peace of the Protectorate. the Bohemian-Marian economy and its expanded trade links with foreign countries are of particular importance for the reduced stocks of raw materials. However, all these conditions of export possibility would be largely destroyed if the customs border between the Reich and the Protectorate were to be lifted. 41112 For the time being, exportability would be damaged by the rise in price and wage levels, and internal economic disturbances would also be caused by the non-regulated competition of industry in both areas. The deterioration of customs revenue and the reduction of other tax receipts would also affect the state finance of the Protectorate - only the departure of government revenue on the occasion of the unification of customs duties and charges - 3 -