Social intelligence does of course produce a finer fruit than the type of prudence which characterizes the international policy of modern states. There is a whole class of social idealists who understand the economic basis of most international difficulties and who would bring peace to the warring classes and nations by an economic reorganization of modern society. Since modern industrialism and capitalism have materially complicated the ancient feuds between races and classes, it is evident that no amount of moral and spiritual goodwill can produce an ordered and stable international society if the economic roots of war are not clearly discerned and finally eliminated. However the same intelligence which is capable of such discernment easily drifts into a cynicism which discounts all moral and personal factors in social reconstruction and places its hope entirely in a new social strategy. Loyalty to the class is substituted for loyalty to the state, and class conflict is expected to issue in a lasting peace for both classes and nations. Economic determinists show a superior discernment in recognizing that in a civilization which is forced to organize its economic life across national boundaries the conflict of interest between classes does become more significant than the conflict between states, particularly since the latter conflict is due either to economic or to fantastic and imaginary causes. But their very realism betrays them into a cynicism which finally issues in the most romantic and unrealistic dreams. They imagine that social peace will result from the victory of one class over all other classes. They have not taken into account that modern capitalism produces a formidable middle class the interests of which are not identical with the proletarians. Moral and spiritual considerations may conceivably prompt this class to make common cause with the workers in the attainment of ethical social ends, but it will never be annihilated even by the most ruthless class conflict nor will it be persuaded by the logic of economic facts that its interests are altogether identical with those of the workers. Even if one class were able to eliminate all other classes, which is hardly probable, it would require some social grace and moral dynamic to preserve harmony between the various national groups by which this vast mass would be organized and into which it would disintegrate. Even within one national unit any economic class will dissolve into various groups, according to varying and sometimes conflicting interests, as soon as its foes are eliminated. The Russian communists were not long able to preserve their absolute solidarity after their revolution was firmly established. The dominant group soon learned that no amount of ruthlessness was able to prevent the gradual formation of a minority group under Trotzky and Zinoviev. Significantly, the conflict of interest between peasants and industrial workers is the real basis of