War Fear Grips World As New Year Arrives Rumble of Guns and Blasting Bombs Signal Advent of 38, With Nations Girding For Possibility of New and Greater Strife Jan 10 1938 By Associated Press Guns shot out the old year and bombs blew in the new. Three nations are at war and most of the universe is sharpening swords. They go into 1938 with fear of another, greater world war. Yet with the arms race on, millions of men in armies and billions being spent in munitions, the world stands shocks that some years ago would have had a dozen countries fighting. Statesmen are puzzled to know whether it is safer to play peaceful parts and stay off their neighbors toes or furbish their weapons. They remember the military adage that attack in the best defense. The Fuel Is Ready Whether 1938 brings a big war or continues in noisy, truculent peace, none can doubt there is fuel ready for any sort of conflagration. This is the fifth year of the armament race. There was spent during 1937 alone nearly 13,000,000,000, or more than the value of half of all the monetary gold in the world. There was spent three times as much as four years ago. Each year, war or national defense expense has gone up. Many nations thought it vital to be well armed and nowhere has there been great apparent opposition by the bulk of people who pay the bill in blood and taxes. Britain Typical Typical of the times is Great Britain which appropriated 7,500,000,000 early in 1937 for a five year program for enough airplanes to defend the empire, a navy to control the seas and protection from death that rides the skies. Great Britain wants gas masks for every man, woman and child. There are more than 20,000,000 ready and half a million are added each week. Wars without declarations of war are still the style. Japan invaded China in July, swept north China and the Shanghai Nanking area (Continued on Page Two) (Column Two)