Please cite your source. If he said that, I disagree with him. Context, however, is everything.
On the other questions coming up in this thread: hey, guys, I went to the gym and now I gotta go to work. Will answer later.
That "sue for peace" may have been an exaggeration but not by much.
"Even if our nation is directly attacked by another, justice for those who look askance upon war efforts and levies still requires that the scope of state action be kept within responsible limits. The goal of all state action at such times must be a negotiated peace, so that the burden of destruction and taxes will cease. The state should do its best to put limits and rules on the war, and to outlaw as many weapons of destruction as possible – starting with the worst. Furthermore, so long as the emergency endures, all efforts should be kept voluntary – without conscription, economic controls, or inflation."
http://www.lewrockwell.com/rothbard/rothbard7.html