-6- strategic place. I had gained the impression that the Italian Government believed that if a "real war" broke out its own position would become increagingly precarious with every week that passed. Its economic situation would become prejudiced because of the greatly increased difficulties under such conditions of obtaining the raw materials, such as coal, which were indispensable to its national economy. The military pressure w.hlch would undoubtedly be brought to bear upon Italy from one side or the other, or from both, would result in serious disquiet on the part of the Italian people, and it was therefore my Judgment that Italy desired to do what she could to further peace, although of course always taking it for granted that in the negotiation of any agreement which might result in peace Italy would be out to get for herself everything that could be obtained. M. Daladier then went on to a discussion of French peace objectives. He said that obviously neither France nor England could agree, from the political standpoint, to any peace which dld not provide for the restoration of an independent Poland and for the independence of the Czech people. He said that in his own Judgment there was every reason why the really German peoples of Central Europe should live under German rule, provided they so desired. The City of Danzig was clearly a German city, and it was equally obvious that the Germans of the Sudetenland or of Western Poland should be afforded the opportunity of uniting with the Reich if they so desired. That, he said, had been his point of view at the time of the Munich Agreement. But |