The unsettled state of Europe, aggravated through the occu pation of the Ruhr, was a primary cause of distress and unem ployment in Britain. British prestige had fallen low: relations between Britain and France were bad, between France and Ger many threatening. The reparations question blocked the way. In letters to Poincare, published on Feb. 4 and March 3, Mac Donald, with firm friendliness, set out the British point of view, and had soon created a new atmosphere, one of confidence and hope. When, on April 13, the experts committee on reparations issued a unanimous report, he at once accepted it on the part of Britain as a basis for settlement. In May, Poincare was replaced by the Radical Herriot, who in June came over to Lon don to discuss the European position with MacDonald. Friend ship with Italy had been assisted by the handling of Jubaland.
On July 16, 1924, an allied conference assembled in London, over which he presided, for the specific purpose of putting the experts' report into operation. Within a fortnight, agreement had been reached and the German delegates called in. On Aug. 16 the London Settlement, the first negotiated agreement since the war, was initialled. By mutual consent, the experts' plan was put in effect, and the reparation problem thus lifted out of the political sphere. France, at the same time, agreed to evacuate the Ruhr within a year and certain towns at once. Negotiations for an Anglo-German commercial treaty, since signed, were in itialled. In September MacDonald and Herriot attended the fifth assembly of the League of Nations at Geneva, and there submitted a plan, the Protocol, for the elimination of private war and the submission of all disputes to arbitration, after gen eral mutual disarmament.
In the House of Commons, meantime, the difficulties of the government's minority position were growing. Philip Snow den's budget met with general approval ; a housing act was passed, and the machinery for the relief of unemployment improved. But when MacDonald sought to complete his peace work by making treaties with Russia, whose de jure recognition had been an early act as foreign secretary, the Liberals broke away. In October the Government was defeated on a motion, calling for a select committee, on their dropping of the prosecution of J. R. Campbell, editor of the Communist Workers' Weekly. In the general election, then declared, the press was exceedingly hostile, and Labour was identified with Bolshevism. Polling took place on Oct. 29; as a result the Conservatives came back with a great majority. The Labour vote went up by over a million, but its representation was reduced to 15o. On Nov. 4 MacDonald re signed, and resumed his leadership of the opposition. His party, in conference in 1925, confirmed his leadership.
The confidence of the Party was justified by the results of the general election of May 1929. The final results gave Labour 290 seats as against 259 Conservative, 57 Liberals and 9 Independ ents. Baldwin resigned and the King sent for MacDonald. His cabinet included : Sankey (lord chancellor), Parmoor (lord presi dent), J. H. Thomas (Privy seal and deputy leader in House of Commons), P. Snowden (exchequer), A. Henderson (foreign af fairs), J. R. Clynes (home office), Sidney Webb (Lord Passfield) (colonies and dominions), Shaw (war), Wedgwood Benn (India), Thomson (air), A. V. Alexander (admiralty), W. Graham (board
of trade), C. P. 7.7revelyan (education), A. Greenwood (health), Noel-Buxton (agriculture), Margaret Bondfield (labour), G. Lansbury (first Comm. of Works), W. Adamson (Scotland) and 0. Mosley (Duchy of Lancaster).
A year later, in June 193o, Mr. Thomas was transferred to the Dominions Office which in view of the approaching Imperial Conference was separated from the Colonies: Mr. Hartshorn becoming Lord Privy Seal, and Dr. Addison Minister of Agri culture.
MacDonald at once resumed the peace work begun in 1924. The Optional Clause was signed in Sept. 1929 and the evacuation of the Rhineland secured, while normal relations with Russia were resumed. His visit to the U.S.A. paved the way for the Naval Treaty of April 193o, carrying out limitation of all cate gories, as between Britain, the U.S. and Japan, and reaching agreement on many points also with France and Italy. Work at home—a new Pensions Act, a new Unemployment Insurance Act, a Coal Mines Bill—was overshadowed by the mounting un employment figures due to the world-wide slump. To help in dealing with this great issue MacDonald appointed an Economic Advisory Committee, and, in the summer of 193o, invited the "emergency" co-operation of the other parties.
MacDonald's contribution to British political history cannot he measured unless it is noted that he made the Labour Party, which he assisted to create, the vehicle of a new political philos ophy. His socialism has modified opinion over a wider range than that of professed adherents.
On the formation of the National Government in 1931, when most of his socialistic colleagues resigned, MacDonald remained prime minister, retaining this office after the general election of that year. He presided over the Lausanne Conference, 1932, and the World Economic Conference, 1933. In June 1935, for reasons of health, he resigned the premiership to Stanley Baldwin, but remained in the cabinet as lord president of the council. He died Nov. 9, 1937 in mid-Atlantic enroute to South America for a rest.
MacDonald's views on socialism can best be studied in his books. Among them the more important are: Socialism and Society (1905) ; Socialism and Government (1909) ; The Awakening of India (191i); The Socialist Movement 0910 ; Syndicalism (1912) ; The Social Unrest (1913) ; National Defence (1917) ; Parliament and Revolution (1959) ; Parliament and Democracy (1919) ; The Government of India (1919) ; A Policy for the Labour Party (192o) ; and Socialism, Critical and Constructive (1921). In addition, his biography of his wife, Mar garet Ethel MacDonald (1912) ; and a volume of essays and travel pictures, Wanderings and Excursions (1925) may also be mentioned. See C. W. Mullins, The Patriotism of Ramsay MacDonald and Others (1916) ; L. N. Le Roux, J. Ramsay MacDonald, Sa vie, son oeuvre et sa pensie (1919) ; "Iconoclast" (M. A. Hamilton) The Man of Tomor row, J. Ramsay MacDonald (1923) ; J. Ramsay MacDonald, 1923-25 (1925) ; H. Tracey, From Doughty Street to Downing Street. The Rt. Hon. J. Ramsay MacDonald, M.P. (1924) ; J. Bardoux, J. Ramsay MacDonald (1924) ; G. Glasgow, MacDonald as Diplomatist (1924); U. D. C. The Diplomacy of Ramsay MacDonald (1925). (M. A. H.)