In America, China, and Britain alike there is a recognition--weak and partial though it is--of this great opportunity. The return of the Boxer indemnity, already partially repaid by America, and soon to be repaid by Britain, ear-marked for educational purposes, is an unprecedented and most significant thing in international relationships. Part of the American money has gone to educate Chinese students in English and so prepare them to become students in the American Universities. The rest is to be devoted to the development of a modern library in Pekin University. The British money is not yet apportioned, but Dr. Tsai, the Chancellor of the National University at Pekin, has recently been in London to urge the paramount need of a museum and a properly equipped system of scientific laboratories in China. I saw Dr. Tsai giving an address to the China Society in the London School of Oriental Studies upon these new developments of Chinese education. It was one of the most reassuring things I have witnessed for some time, that little gathering of Chinese students and of a few interested English friends, in the steep little lecture theatre in Finsbury Circus, to discuss the making-over of the Chinese mind that is now in progress. We are still in the day of comparatively small things; sums like ten million pounds are dwarfed by such figures as four hundred million people; yet they are not too small to be perceptible and significant. A growing number of Chinese are making themselves thoroughly well acquainted with all the West has to teach them; they are not simply learning and accepting, they are criticising. The perennial vigour and originality of the Chinese mind is manifested by a prompt repercussion to British and American ideas. I have before me as I write, for example, a memorandum on _Chinese Politics and Professionalism_, by Mr. S. C. Chang, which is one of the ablest criticisms of the Anglo-American panacea of “democracy” that I have ever read. It is one of the most remarkable and admirable things about China that in a time of great political confusion whole provinces, almost without government, go on in an orderly fashion and that arts flourish and reading and teaching spread. The nucleus of the mental organisation of a new China, in close touch and sympathy with the Atlantic peoples, appears. Before a generation has passed it may have gathered sufficient power to undertake the general education of the whole Chinese people. It already inspires a considerable Press. These new relationships of study and discussion between the English-speaking and Chinese worlds will, I hope, increase, intensify, and develop. At present it is a very extraordinary thing that, while the young Chinese students in Britain and America can be counted by hundreds, there is still no system of sending English and American students, by way of scholarships, to study Chinese life and literature in China.