Madrid has always been a city of craftworkers and small traders, and even to-day there are very few large industries or factories. There are many small employers of labour and many persons trading with their own plant and stock, and finding employment for their own families. The number of well-appointed shops is steadily increasing, and there is an effort to compete with the large shops of Paris and London, as will be seen during a stroll through the chief thoroughfares radiating from the Puerta del Sol. The arms of the city are a tree in leaf, with a bear climbing up the stem, and the escutcheon is surmounted by a crown. Madrid bears the title, “Imperial y coronada, muy noble y muy leal y muy heroica.” III THE COURT AND SOCIETY IN MADRID Since the reign of Philip II. Madrid has been the _unica Corte_, or seat of the Court of Spain. Before the twelfth century, a Moorish Alcázar stood on the site of the present royal palace, which was built by Henry IV., added to by succeeding monarchs, and considerably enlarged by Philip III. The original architects were Herrera, Toledo, and other famous designers of the day; but this structure was burned down, and, in 1738, Giovanni Sachetti planned a still larger palace, which is said to have cost £3,000,000 in the building and embellishment. The modern Palacio Real is rectangular, and stands on an eminence commanding a wide view of the undulating tableland and the distant mountains of Castile. It is built of granite and has wide wings. The chief façade is on the south side. The Princes’ Entrance is one of the several doorways of the fine façade. On the north is another portal of admirable design, leading to the great _patio_ or inner court. The court is surrounded by a piazza on thirty-six arches with the same number of arches above, forming a gallery; and in the square are statues of the Roman Emperors who ruled in Spain. The grand staircase is of white and black marble, with an allegorical ceiling painting by the Italian Giacinto. In the sumptuous Throne-Room the appointments and decorations are resplendent, and on the ceiling is a picture representing the Majesty of Spain, painted by Tiepolo. Gasparini designed the beautiful hall that bears his name, where the ceiling is of porcelain, and the walls decked with satin upon which flowers are worked. The State Dining-Room of marble contains fresco paintings. The Royal Chapel has columns of marble, and above the altar is a painting by Mengs. Near the Sacristy are stored the holy relics; and in the Tapiceria there is a very fine collection of tapestries after Dutch artists. Attached to the Royal Palace are the Armoury, of which something will be said later, the Royal Stables, excellently appointed, and the sequestered and beautiful gardens.