It cannot be denied that, as England is the principal competitor with native manufactures, and the only European country from which immigration on a large scale is likely to arise, some of the working men entertain a feeling of hostility towards the Mother Country. Ill-feeling is also promoted by the condition of financial dependence. Australians are inclined to complain, however unreasonably, that, had it not been for the temptations to which they were exposed by British capitalists, their Provinces could not have incurred the extravagant expenditure under which they are suffering and must continue to suffer. Australia, it has been said, owes to England merely the gratitude of the poor man toward his pawnbroker. I should not have mentioned the existence of these views, which are confined to a small section of the community, were it not that they seem ominous for the future, when we remember the principal cause of the estrangement between the Eastern and Western States of America. In spite of inquiries and {297} observation, I have been unable to form an opinion as to the general attitude, which is being modified year by year by the increase in the proportion of native-born Australians. At one extreme of the social scale are those who bask in the sunshine of titled vice-royalty, at the other those in whom the continual struggle for existence precludes the possibility of national, not to mention Imperial, ideals. The large intermediate classes, which will control the future, appear to be animated by great sympathy with the English people. I am led to believe that the boisterous loyalty of the past has been replaced by a deeper feeling of kinship, which was displayed in marked fashion on the occasion of the German Emperor's telegram after the Transvaal raid. On the other hand, the growing independence of a young nation and the sentimental, but none the less real, objection to the term "Colonial," which is regarded as a mark of inferiority, have convinced some Imperialistic Australians that the shortest road to Federation lies through separation. Others, I have been surprised to note, do not consider that permanence of friendly relations necessarily implies continuance under one flag. Englishmen will be disappointed to learn that there is little general appreciation, especially among native-born Australians, of the benefits accruing from the protection of the British fleet. Never having known the horrors of war and removed from the area of great armaments, they are not aware of the dangers {298} against which they are guarded. In fact, many of them grudge the "contributions without representation" that are given towards the maintenance of the Australian squadron. In foreign politics Australians are strongly Imperialistic, and will respect Great Britain as long as she maintains the dignity of her position. In domestic affairs they resent the interference of the Colonial Office, rarely