Volume 53 (1913), p. 368.

[12] _Société Impériale Ottomane du Chemin de fer de Bagdad—Convention Additionelle_ (Constantinople, 1908); _Parliamentary Papers_, No. Cd. 5636, Volume CIII (1911); _Report of the Bagdad Railway Company_, 1908, pp. 4–5; 1909, p. 4; _Bagdad Railway Loan Contract, Second and Third Series_, June 2, 1908; _Report of the Deutsche Bank_, 1909, p. 12.

[13] _Report of the Deutsche Bank_, 1909, p. 12.

[14] _Report of the Bagdad Railway Company_, 1906, p. 4; K. Helfferich, _Die Vorgeschichte des Weltkrieges_, pp. 131–132; Dr. Helfferich’s reputation was based largely upon his writings on two important subjects: the gold monetary standard; government promotion of foreign trade. _Cf._ _Germany and the Gold Standard_ (London, 1896); _Beiträge zur Geschichte der deutschen Geldreform_ (Leipzig, 1901). See the enthusiastic appreciation of Dr. Helfferich’s services voiced by his associates of the _Deutsche Bank_ upon the occasion of his appointment as Secretary of State for the Imperial Treasury, January, 1915. _Report of the Deutsche Bank_, 1915, pp. 11–12; _Report of the Bagdad Railway Company_, 1914, p. 8.

[15] _The Times_, October 25, 1905, commenting upon the proposed appointment of Helfferich.

[16] _Report of the Anatolian Railway Company_, 1907, p. 7; H. C. Woods, “The Bagdad Railway and Its Tributaries,” in _The Geographical Journal_, Volume 50 (1917), pp. 32 _et seq._; _Parliamentary Papers_, No. Cmd. 964 (1920). The irrigation system thus planned was completed before the outbreak of the Great War. It justified the sanguine expectations of its promoters, for the agricultural yield of the irrigated lands increased from five to fifteen fold over the former production. In 1911 a similar irrigation project was gotten under way in Cilicia. _Diplomatic and Consular Reports_, No. 4835 (1911), pp. 18–19.

[17] _Cf._ _supra_, p. 37.

[18] Riesser, _op. cit._, p. 454; _Report of the Dresdner Bank_, 1905, p. 6; _Diplomatic and Consular Reports_, No. 3553 (1905), p. 29; _Report of the Deutsche Bank_, 1908, p. 10. The Bagdad office of the _Deutsche Bank_ was not established until 1914, just before the outbreak of the War. _Ibid._, 1914, p. 9.

[19] The principal bank in Turkey before the War was the Imperial Ottoman Bank. This institution was owned by French and British capitalists, the French interest being predominant and in control. It was a quasi-public bank, founded in 1863, and enjoying since then a monopoly of bank-note issues. Its central office was at Constantinople, but it maintained a branch in practically every important city of Asiatic Turkey, including Smyrna, Jerusalem, Jaffa, Aleppo, Alexandretta, Beirut, Damascus, Basra, Bagdad, and Mosul. The capital stock of the Imperial Ottoman Bank was £10,000,000 sterling. A British bank of some importance was The Eastern Bank, Ltd., of which the Right Honorable Lord Balfour of Burleigh was chairman—the same Lord Balfour who was Secretary for Scotland in the ministry of his namesake, Arthur J. Balfour, in 1903, when the British Government quashed the participation of English capitalists in the Bagdad Railway. The head office of the Eastern Bank was in London, and it maintained branches in Basra and Bagdad, although its principal sphere of activity was India. Sir Ernest Cassell’s National Bank of Turkey was not established until 1909. _Cf._ Caillard, _loc. cit._, p. 439; weekly advertisements of these banks in _The Near East; Parliamentary Debates_, Index for 1903, p. v; _Turkey in Europe_, p. 36.

[20] D. S. Jordan, “The Interlocking Directorates of War,” in _The World’s Work_, July, 1913, p. 278; H. Hauser, _Les Méthodes Allemandes d’Expansion Économique_, seventh edition (Paris, 1917), _passim_; Riesser, _op. cit._, pp. 366–367.

[21] Riesser, _op. cit._, pp. 373–375, 432, 474, 745–746.

[22] _Verhandlungen des Reichstages, Stenographische Berichte, XII Legislaturperiode, 1 Session_, Volume 231 (1908), p. 4253c. The speech of the Secretary was followed by “Bravos” from the National Liberals.

[23] _Parliamentary Debates, House of Lords_, fourth series, Volume 121 (1903), p. 1340.

[24] _Diplomatic and Consular Reports_, No. 3140 (1903), p. 40.

[25] _Supra_, pp. 98–99, _Report of the Deutsche Bank_, 1909, p. 12; _Stenographische Berichte, XII. Legislaturperiode, 2 Session_, Volume 260 (1910), p. 2181d, statement by Baron von Schoen.

[26] Fraser, _op. cit._, pp. 16–17, 18–20. _Cf._, also, _Report of the Bagdad Railway Company_, 1911, p. 4.

[27] _Staatsbürger Zeitung_ (Berlin), March 3, 1912.

[28] Compiled from the _Statistisches Jahrbuch für das deutsche Reich_, 1900–1914, as corrected for 1900–1905 according to the _Statistisches Handbuch für das deutsche Reich_, Volume 2, pp. 506–510. A remarkable increase of German exports to Turkey—an increase of 50%—is to be noted in the year 1904, during which the first section of the Bagdad Railway was constructed. Undoubtedly this increase is to be partially accounted for by the purchase in Germany of materials for right of way as well as rolling stock for the railway. This factor should not be over-estimated, however, as a glance at the following tables will show that imports into Turkey from other European countries during the same year likewise showed increases, without exception. The general falling off in trade during 1908 may be attributed, in part, at any rate, to the Young Turk Revolution of that year.

[29] Compiled from _Diplomatic and Consular Reports_, Nos. 2950 (1902), 3533 (1905), 4188 (1908), and 4835 (1910–1911).

[30] _Supra_, p. 36.

[31] _Diplomatic and Consular Reports_, No. 3533 (1905), p. 27; _Turkey in Europe_, pp. 86–87.

[32] _Mesopotamia_, pp. 99–101; Schaefer, _op. cit._, p. 22. Regarding British interests in the Persian Gulf, _cf._, a detailed statement by Lord Lansdowne to the House of Lords, May 5, 1903. _Parliamentary Debates, House of Lords_, fourth series, Volume 121 (1903), pp. 1347–1348.

[33] “Bagdad: Handelsbericht des kaiserlichen Konsulats für das Jahr 1908–1909,” in _Deutsches Handels-Archiv_, 1910, part 2, pp. 27–35; also, “Bericht über den Handel in Basra und Bagdad für das Jahr 1910,” _ibid._, 1912, part 2, pp. 263–270; _Mesopotamia_, p. 108.

[34] _Cf._ _supra_, pp. 59–60; _Report of the Bagdad Railway Company_, 1906, p. 4, 1908, pp. 7–8; _Diplomatic and Consular Reports_, No. 3533 (1905), p. 29. The Mersina-Adana line was formally incorporated in the Bagdad system in 1908. _Cf._ _Deuxième convention additionelle à la convention du chemin de fer de Bagdad_ (Constantinople, 1910).

[35] _Parliamentary Debates, House of Commons_, fifth series, Volume 22 (1911), pp. 1284–1285.

[36] _Quatrième convention additionelle à la convention du 5 Mars, 1903, relative au chemin de fer de Bagdad_ (Constantinople, 1911). H. F. B. Lynch (of the firm of Lynch Brothers), “The Bagdad Railway: the New Conventions,” in the _Fortnightly Review_, new series, Volume 89 (1911), pp. 773–780. Mr. Lynch explains that his summary of the Alexandretta port concessions is based upon an authentic article appearing in _La Turquie_, a Constantinople newspaper, of March 21, 1911. _Diplomatic and Consular Reports_, No. 4835 (1911), p. 16; _The Times_ (London), March 23, 1911.

[37] _Stenographische Berichte, XII. Legislaturperiode, 2 Session_,