In 1938–1939, there were three factions within the French government. One, led by Bonnet, felt that France could not afford an arms race with Nazi Germany and sought a détente with the "Reich". As an expert in financial matters and a former Finance minister, Bonnet was acutely aware of the damages inflicted by the arms race on an economy already weakened by the Great Depression. A second faction, led by Paul Reynaud, Jean Zay, and Georges Mandel, favored a policy of resistance to German expansionism. A third faction, led by Daladier, stood halfway between the other two and favored appeasement of Germany to buy time to re-arm.