The song is an anti-war song. I was thought that The original German lyrics were darker than the English version. In that version, a bunch of balloons is let go in the sky. Some people think they're UFO's. Generals who see them interpret them as enemy craft and start a giant war. It seems to be a commentary on how quick to the trigger armies can be without first finding out the fact of a situation. Belor are the translated lyrics, credited to Hyde Flippo (and if my rusty German can be relied on, they're pretty accurate):

lyrics

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