Germany and Lausanne
The battle for the control of Prussia, with all the reper- cussions that it will have on the Government of the Reich, is now joined, literally as well as metaphorically. The Diet met on Tuesday, with the numerical predominance of the Nazis arrestingly demonstrated. But Herr Hitler's friends have no majority, and unless they can strike alliance with the Centre, on the latter's terms, or gain the momentary and capricious support of the Communists, Dr. Braun will remain master of the situation, for though he has actually resigned he continues to act till another administration is formed, and an efficient use of the rules of procedure may prevent that from happening for some time. In the Reich Dr. Bruning seems safe till Lausanne, for the Reichstag is not to meet in the interval, and if it did lie could make. sufficient use of emergency powers to save himself from serious embarrassment. But with still more taxation and still more economies in prospect a failure to secure any satis- faction for the German case at Lausanne and Geneva would be fatal to this or any other administration. The foreign exchange Germany needs to meet the service of her commercial obligations is enormous, and the prospect of being able to find anything for reparations on top of that increasingly remote. The best service the British Delegation at Lausanne can render is to press for a com- plete cancellation of reparations, independent of a subse- quent debt settlement. Sonic compromise may have to be made to meet French exigencies, but the right policy should be tried first.
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