ht him into
conflict with his Democratic colleague Mr. Pribi[vc]evi['c], the most
prominent man in that party. It would have been well if Dr.
Davidovi['c], the gentle, tactful leader of the party, could have taken
into his own composition one-half of his lieutenant's excessive
combativeness. Pribi[vc]evi['c] and Proti['c] find it impossible to work
together, and we can sympathize with both of them. One day at a more
than usually disagreeable Cabinet meeting Pribi[vc]evi['c] reminded the
then Prime Minister that he was the first among equals, a point of view
which did not square with the methods of Proti['c], who gives his
support to those Ministers who bend before him. And as Pribi[vc]evi['c]
has hitherto insisted on being in every Cabinet, Proti['c] has withdrawn
and has started a newspaper, the _Radical_, in which he attacks him with
great violence and ability. One charge which he brings against this Serb
from Croatia is perfectly true, for he has succeeded in alienating the
Croats. Only two or three Democrat deputies come from Croatia, and they
are elected by the Serbs who live in that province. It would seem that
the Croats will remain in more or less active opposition so long as
Pribi[vc]evi['c], the arch-centralizer who scorns to wear the velvet
glove, stays in the Government. There is also much doubt as to whether
Proti['c] can break down their particularism, which, of course, is not
an anti-national movement. But luckily, through other men, it will be
stayed. For other reasons one regrets that Mr. Proti['c] is not now in
power; as the Finance Minister he knew how to introduce order,
preferring the interests of the State to those of his party. Both
Radicals and Democrats have been reluctant, for electoral purposes, to
tax the farmer; and Mr. Proti['c] would probably have the courage to
impose a direct tax, as the Radicals did, without losing popular favour,
in the old days. In this respect and concerning the numerous posts that
have been created for party reasons it is thought that Mr. Pa[vs]i['c]
has not displayed sufficient energy.

There was in Yugoslavia a heavy war deficit, both economic and
financial. Communications were out of order and the State, owing to the
adverse exchange (which was not justified by the economic potentialities
of the country, but was probably caused by the unsettled conditions both
internal and external), the State could not obtain the necessary raw
products for industrial undertaking