from the terrible economic difficulties and
dangers which surround us. I venture to insist on that now, because
there are a large number of people who have not abandoned that view.
There are still a number of people who think the real failure that has
been committed is not that we went wrong, as I think, in our
negotiations at Versailles, but that we have not exerted enough force,
and that the remedy for the present situation is more threats of force.
I am sure it won't answer. I want to say that that doctrine is just as
pernicious when applied to France as when applied to Germany. You have
made an agreement. You have signed and ratified a treaty; you are
internationally bound by that treaty. It is no use turning round and
with a new incarnation of the policy of the mailed fist threatening one
of your co-signatories that they are bound to abandon the rights which
you wrongly and foolishly gave to them under that treaty.

I am against a policy based on force as applied to Germany. I am equally
opposed to a policy based on force as applied to France. If we really
understand the creed for which we stand, we must aim at co-operation all
round. If we have made a mistake we must pay for it. If we are really
anxious to bring peace to the world, and particularly to Europe, we must
be prepared for sacrifices. We have got to establish economic peace, and
if we don't establish it in a very short time we shall be faced with
economic ruin. In the strictest, most nationalistic interests of this
country, we have to see that economic war comes to an end. We have got
to make whatever concessions are necessary in order to bring that peace
into being.

ECONOMIC PEACE

That is true not only of the reparation question; it is true of our
whole economic policy. We have been preaching to Europe, and quite
rightly, that the erection of economic barriers between countries is a
treachery to the whole spirit of the League of Nations, and all that it
means, and yet with these words scarcely uttered we turn round and pass
through Parliament a new departure in our economic system which is the
very contradiction of everything we have said in international
conference.

The Safeguarding of Industries Act is absolutely opposed to the whole
spirit and purpose which the League of Nations has in view. A reference
was made by your chairman to Lord Grey, and I saw in a very
distinguished organ of the Coalition an attack on his recent speech. We
are tol