NEWS OF THE WEEK.
rEnews from South-Eastern Europe on Friday morning was, on the whole, more favourable. But we would remark that it is apparently as easy for the various capitals to be unduly optimistic as to be unduly pessimistic. The momentous question for several days has been what answer Servia would return to M. Isvolsky's unpalatable but wise advice that she should withdraw her demands on Austria-Hungary for territorial compensation and for the autonomy of Bosnia and Herzegovina. The special corre- spondent of the Times at Belgrade states that the substance of the Servian reply, which is being communicated to the Powers, is as follows :—" If, in the opinion of the European Powers, the annexation of Bosnia and Herzegovina was an internal affair, affecting only the Dual Monarchy and Turkey, and if, accordingly, the Great Powers deem the question closed by the signature of the protocol, then Servia realises that she has no just claims. But if, on the other hand, the Powers consider it an international question, affecting Europe as a whole, then she must claim to have her case adjudicated upon by a Conference of the European Powers. She will then abide by Europe's decision, in face of which she will relinquish all claims, territorial, racial, economic, only requiring an assurance that, when she relinquishes her defensive preparations, Austria will not take the offensive."
