In the two next letters Mr. Lloyd George and Sir
James Craig discussed this alternative proposal by Ulster. Mr. Lloyd George declared that there " was no room for two Irelands " in the Assembly of the League of Nations, or in the ImperialConference, and the proposed Ulster unit would be too small for a Dominion. (By the way, would it not have five times the population of New- foundland ?) Mr. Lloyd George then went on to point out what serious disadvantages North-East Ulster would be under commer- cially and financially through having an unnecessary frontier. Sir James Craig neatly retorted that the argument that.Ulster would be ruined by economic separation from South Ireland overlooked the fact that the Government themselves were proposing to separate Ulster fiscally from Great Britain—from Great Britain, with which ninety per cent. of the Ulster trade is conducted !
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