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CZECHO-SLOVAKIA the conservative policy of the Premier proved unpopular among the representatives of the people as a whole. In July, 1919, Kramarz and his Cabinet resigned in favor of the Socialists, who established a new government, with Vlastimil Tusar as Premier, Dr. Benes remaining as Foreign Minister. The Social Democrats and the Agrarians remained the dominating parties, the first leading. This change was fully ratified by the popular elections, which took place at this time in Bohemia. On Oct. 28, 1919, President Masaryk made a memorable speech before the national Assembly, in which he formulated the policies of the Government. He expressed himself very strongly against Bolshevism, considering it only the frantic remedy of a desperate people beset by economic ills that had become unbearable, but at the same time, he declared, the Government would countenance no policy of intervention either in Russia or Hungary, and Czecho-Slovakia would, therefore, not join in any of the Allied efforts in that direction. He proclaimed the Government's policy to be that of peaceful evolution toward high ideals, which might eventually demand many radical changes, but these must be brought about gradually and without bloodshed. He was convinced that the ideals of the Bolsheviki were not at fault; he deplored only their methods. For his Government also had as its ultimate ideal the socialization of the big industries. He plainly enunciated a moderate socialist program, a startling fact, since the President had never before been associated with Socialistic principles. “This policy,” he said, finally, “may be termed crass materialism, but the materialism of the hungry is worthy of more consideration than the materialism of the overfed.” The words of its chief executive plainly indicated that Czecho-Slovakia had joined those nations which have definitely set out on the path toward political Socialism.

During the first year the Czecho-Slovak Government had already begun the formation of a strong national army. This was later augmented by the seasoned troops which arrived in small contingents from Siberia. Already, before the frontiers of the Republic had been definitely fixed by the international boundary commissions of the Paris Peace Conference there developed difficulties with the neighboring states of Poland and Hungary, which on several occasions culminated in actual hostilities and military operations. In January, 1919, there had been serious operations against the Poles in western Galicia,

over the Teschen district, which was still disputed territory important on account of its valuable coal deposits and the sovereignty of which was still to be decided by plebiscite. A month later the Czecho-Slovak troops advanced against the forces of the Hungarian Communist Government, and open warfare continued until July, when the Czecho-Slovaks were badly defeated, and were only saved from disaster by the action of the Peace Conference, in Paris, which intervened in their behalf. Great satisfaction was felt throughout the Republic when the publication of the Peace Treaty between the Allies and Germany announced the provisions in favor of Czecho-Slovakia. By its terms it was assured of an economic outlet to the Adriatic, special rights being granted in the matter of railroad transportation to Fiume and Trieste. Furthermore, Germany was also bound to lease to Czecho-Slovakia, for a period of 99 years, terminal and shipping space in Hamburg and Stettin, the details of which were to be worked out by a special commission on which Germany, Great Britain, and Czecho-Slovakia were to be equally represented. A favorable outcome of the Teschen dispute with Poland was also obtained when, in August, 1920, the Council of Ambassadors in Paris, which had been arbitrating the difficulty, awarded Czecho-Slovakia the western district of the territory in question, containing the coal mines, Poland being awarded the city of Teschen.

In July, 1920, the popularly elected National Assembly was installed, the First National Assembly being dissolved in April. The legislative body consisted of two chambers; a Senate, of 150 members, and the Chamber of Deputies, of 300 members, the members of the former being elected for eight years and the members of the latter for six years. The preponderance of power is, however, with the lower house, the Senate having little more than the veto power. At the same time President Masaryk was re-elected to office for a term of seven years. Following this there was a reorganization of the Cabinet, formal rather than real, since the personnel of the Cabinet remained practically the same, the Social Democrats and Agrarians retaining their power. Signs of future stability were in evidence, for while food was still scarce in the larger cities in 1920, on account of poor railroad transportation, the crops of 1919 had been unusually good, and those of 1920 promised to be equally abundant. In his speech before the National Assembly, after his election, the President