19 DECEMBER 1947, Page 2

Communist Setbacks

Signor de Gasperi, like M. Schuman, has surmounted his imme- diate crisis. The General Strike in Italy never became general and was called off on the second day, the one side claiming that most of its demands had been granted while the other, the Government, had demonstrated its capacity to stand firm against intimidation. In 'both countries the Communist threat has been successfully repelled, but not so decisively as to leave either Government any excuse for false confidence. In France the financial loss due to coal-mine and trans- port stoppages has been catastrophic, and the negotiations now going forward for wage increases will make the situation worse still. The whole basis of the Monnet Plan has been undermined, and the fight to keep inflation in check will be desperate. Emergency aid from the United States will do something, and its effect will be psycho- logical as well as practical. But France has a stern fight before her. Italy's plight was never so serious, but the withdrawal of one element of stability, the last American occupation troops, has caused some anxiety, in spite of President Truman's assurance that he will never allow Italian independence to be jeopardised. Politically Signor de Gasperi has considerably broadened his Cabinet, leaving only the Communists and the Left Wing Socialists in opposition. Signor Saragat, the moderate Socialist leader, will add considerable strength to the administration ; so will Signor Pacciardi, the Republican. Elections are due in the spring, so no more will be asked of the Government that that it holds together till then. Here too, as in France, American emergency aid will strengthen the administration against its critics. But for both countries the development of mutual aid in Europe is as necessary as financial help from America.