The cabinet resigned..it was a coalition government that included social democrats (basically, communists under new name) and was considered pacifist and unwilling to fund the army properly.
Funny how the NYT thought the new cabinet was one that would pursue peace at any price. They didn’t know the Finns very well. The Finns were the toughest and best soldiers of WW2; they made the Soviets look pathetic, and they laughed at the Germans.
This war, the “Winter War,” will go a long way towards convincing Hitler to launch Barbarossa in 1941.
More on the Allied reaction later when I have some time.