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 By this means Russian policy set itself an aim which could not be realized without a universal war.

The attempt at arbitration with England also strengthened the military party in Russia. The more the chance increased of finding a wav out of the Anglo-German opposition, the more did Russia attempt to render the relation within the Entente more intimate and to destroy the possibility of bridging relations between London and Berlin. Iswolski attempted to conclude a proper alliance with England in April, 1914. Negotiations were also begun in connection with a naval convention. Even the statesmen of France were surprised how much Grey was inclined to enter into a relation with Russia similar to the one with France. The competition in armaments increased everywhere enormously. In 1913 Germany made tremendous efforts to increase her power by internal development. France took refuge in the adoption of three years military service. Austria and Hungary developed their military power.

Such, then, was the position of the world at the time of the murder in Serajevo. This murder was not an isolated assassination, but it was the final link in a long chain of events. The air was charged, and the explosion took place. In this atmosphere of mutual distrust a question had to be solved which would have presented considerable difficulties even if the greatest confidence had existed; for the nature of the controversv was that Serbia demanded, on the basis of her nationality principle, that which was our undoubted