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What made the loan big was not the sum-the same as the Finnish loan-nor Chinese needs for the road-builders, trucks and other U. S. goods (exclusive of implements of war) which China will buy with it. What made it big was the tremendous leverage that U. S. currency exerts in terms of Far Eastern money, the tremendous boost that 20,000,000 hard U. S. dollars (worth $140,000,000 soft Chinese) give to the Chinese economic system, which for four years has been besieged in a currency war almost as economically devastating as the Japanese invasion...
Thursday. Finnish Minister to the Court of St. James's Georg Achates Gripenberg was summoned to the Foreign Office and asked what he knew about the peace negotiations. London was naturally anxious. If peace were concluded, Germany's northern flank would be secure, the southern made more secure. The important Scandinavian neutrals-"Norway points like a pistol at the heart of England," wrote Leslie Hore-Belisha recently -would fall deep into Russo-German influence...
...Helsinki, the Finnish Government tentatively issued the following announcement: "The Soviet Government is believed to have planned the presentation of demands to Finland more far-reaching in character than those presented last autumn." Paris-Soir printed rumored Russian demands as telephoned from Stockholm: 1) the whole Karelian Isthmus, including Viipuri; 2) all territory northeast of Lake Laatokka, including Sortavala; 3) the northern part of Finnish Lapland, including Petsamo; 4) a naval base at Hanko, plus the whole Hanko peninsula. The demands were said to have been presented in the form of a 24-hour ultimatum. For that piece of reportage...
These terms were indeed stiffer than the pre-war demands. Before the war Russia asked only enough of Karelia to put Leningrad out of Finnish artillery range; she said nothing about the Laatokka region, which controls the biggest lake in Europe; and all she wanted was to lease Hanko. Said Foreign Minister Vaino Alfred Tanner, who made quite a name for himself as a phrasemaker as the week wore on: "There is no reason for the Finnish Government to occupy itself with mere talk. Let those talk who like to talk." Across the Baltic in Stockholm, Dr. Juho Paasikivi...
Former Premier Paasikivi headed the un successful Finnish delegations to Moscow before war broke out. The Russians liked him, partly because he said publicly that he liked Stalin the man, partly because he talked back to Stalin the diplomat...