(b) A part of the saving in distance effected by using a Nicaragua canal instead of one at Panama would be offset by the longer time of transit at Nicaragua. An average steamer would require twelve hours to make the passage through the Panama Canal, and thirty-three through one across Nicaragua. For a 10-knot steamer this difference of twenty-one hours would be equivalent to 210 knots difference in distance, and for a 13-knot steamer, the difference in time of transit would be equivalent to 273 knots. (c) The Nicaragua route would be the more favorable one for sailing vessels because of the uncertain winds in the bay of Panama. It would not be impossible for sailing vessels to use the Panama Canal, but for average voyages between the two seaboards of the United States, a sailing vessel would require about nine days additional time to make the passage by way of the Panama Canal. However, neither route would be much used by sailing vessels, because of their inability to compete with steamers. They would certainly not be able to compete with steamers, both using the Panama Canal. (d) For the promotion of the domestic trade of the United States, the Nicaragua route would possess advantages over the Panama route, because the distance between our two seaboards is less. For our trade with Japan, China, the Philippines, and Australia, the advantages of the two routes are nearly equal, the distance by way of the Nicaragua route being slightly less. For our trade with South America the Panama route is shorter and more direct. (e) The industrial changes which the Nicaragua Canal would produce in the countries through which it will pass would be great. Nicaragua and Costa Rica comprise a region capable of producing a large amount of tropical products for which there is a demand in Europe and the United States. A canal across their territory would give a great impetus to their economic development.