22 DECEMBER 1917, Page 2

The Prime Minister pleaded for steadiness and sanity. We must

not be too elated at successes or too downcast over a temporary set- back. The defection of Russia had unquestionably prolonged the war and assisted the enemy. But the entry of America into the field had transformed the situation. Russia, despite her bulk, was the worst organized State in Europe, and America was as powerful as any country in the world. This was the worst moment for us becinse, while Russia had stopped fighting, America was not ready to begin. We must prepare ourselves for greater sacrifices to increase our man-power at the front and in the munition works. But the most urgent problem was that of ships. " Victory is now a question of tonnage, and tonnage is victory." We must build more ships to transport the American armies and to provide food for ourselves and our Allies. We must also reduce our demands on tonnage by economizing in food and dress. There most be no "grousing." "The peace propaganda is fed on grumbles." Continual fault- finding plays the German game.