Without the necessary funds and facing a collapse in South Vietnamese troop and civilian morale, it was becoming increasingly difficult for the ARVN to achieve a victory against the PAVN. Moreover, the withdrawal of U.S. aid encouraged North Vietnam to begin a new military offensive against South Vietnam. This resolve was strengthened when the new American administration did not think itself bound to this promise Nixon made to Thieu of a "severe retaliation" if Hanoi broke the 1973 Paris Peace Accords.