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By the end of June, 9 out of 10 who were serving in the armed forces on VE-day will have been released. Demobilization will continue thereafter, but at a slower rate, determined by our military responsibilities. Our national safety and the security of the world will require substantial armed forces, particularly in overseas service.

"Died when I was a little chap. No brothers or sisters. Well, if I had written him or wired him when I first arrived, he would have had a week of the most damnable suspense, because, owing to the uncertainty of the exact date of our demobilization, I could not have informed him of the exact time of my arrival home.

Such measures are necessary stopgaps-but only stopgaps. This emergency action, taken alone, is good but not enough. The housing shortage did not start with the war or with demobilization; it began years before that and has steadily accumulated.

Germany, however, stood pat and on January 10 negotiations were resumed, continuing at intervals for several weeks. In the middle of February the Bolshevik government announced that it had withdrawn Russia from the war with the Central Empires and had ordered the demobilization of the Russian armies, but refused to sign a formal treaty of peace with Germany.

Although the first great shock of demobilization and war-work termination has thus been met better than many observers expected, specific industries and specific regions show much unevenness in the progress of reconversion.

It is probable that one result of demobilization will be an enormous accession of strength to the ranks of the Socialist and Labour parties. The "class war" with which society was threatened before the European War broke out is not likely to be a less present danger when "that which now restraineth" is removed by the conclusion of peace.

But gradually the fact that demobilization would take a long time was becoming a fixed idea in the girls' minds. Letters came from Tom Cameron one each for the two girls and one for Mr. Cameron. Instead of being on his way home, Captain Cameron had been sent even farther from the French port to which he had originally sailed in the huge transport from New York.

The war nationalization of railways and shipping are our two greatest problems in governmental control awaiting demobilization. There are many fundamental objections to continuation of these experiments in socialism necessitated by the war. They lie chiefly in their destruction of initiative in our people and the dangers of political domination that can grow from governmental operation.

In the present period of transition we must deal with such temporary unemployment as results from the fact that demobilization will proceed faster than reconversion or industrial expansion. Such temporary unemployment is probably unavoidable in a period of rapid change. The unemployed worker is a victim of conditions beyond his control.

It is clear therefore that the failure of Congress to act upon the suggestion contained in my message of the twentieth of May, 1919, asking for a repeal of the Act of November 21, 1918, so far as it applies to wines and beers makes it impossible to act in this matter at this time. When demobilization is terminated my power to act without congressional action will be exercised.