This song is about war, and its effects. The lyrics, "Marching alone, like a good soldier does" indicates the loneliness associated with being a soldier in the war.
The very impossible concept of a boat with sails made of lead and an anchor which is made of paper indicates role reversal and a general impossibility - the knowledge that victory is elusive, and in no way can anybody win. "Sinking my heart turns to stone" - This is representative of what war can do to you, physically and psychologically.
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