We visited other workshops to see fine carving of ivory and jade, and everywhere were impressed by the infinite patience and endurance of the workmen. They certainly rank higher as a class than in any other country. One-fourth of the population of China are labourers and they are sober, laborious, reliable and contented, living on the meanest wages and asking for no holidays, except the rare national ones. Naturally no white people can compete with them, so they are rigorously excluded from most countries. The problem is a difficult one to solve, but the main thing that should be done is to safeguard their own country and to preserve the northern part of Asia from being invaded by non-Asiatic colonists. If Japan and China became friends and had a just settlement of their mutual claims, granting room for expansion for their rapidly increasing population, there would be an unexampled area of prosperity before both countries. Railway communication is confined to seven thousand miles in China: it has been more remunerative than in any other country, and what was started by British enterprise should be carried forward by British tenacity. There is scope enough for all countries in this matter, but we are singularly slow to seize our opportunities; perhaps it is owing to the discouragement of our own railway system. There is a railway line connecting Canton with Hong Kong, and we enjoyed the three hours’ journey back by it through lovely scenery. When Canton is linked up with Hankow by rail, it will be a great help to the unifaction of the empire, as well as to the expansion of commerce. One of the last duties before leaving China was of course to visit the Bank, and this brings me to the last problem I should mention of all China’s changes—the question of currency. It seems extraordinary that every province and almost every city of importance still has its own coinage. Long ago, I was told, this would have been altered, had it not been for the native banker, who profited amazingly on the system. The Chinese bankers, however, have had much to endure of late years, and were heavily looted by Yuan Shi Kai and other Government officials. They are always in danger of being pounced on, so at last they have decided to initiate a wholly new policy. The new spirit of initiative and organization has entered into them with startling results.