Many arguments might be urged, and many reasons given, to show the entire justice of this opinion, but it will be sufficient to state that where a native population exists, and is rightly governed, an influence is insensibly acquired and strengthened, not only over those immediately protected, but also over the neighbouring tribes, and that on the occasion of any disturbance or collision with other powers, the means of resistance or the punishment of aggression are at hand. A commercial post, on the contrary, though advantageously situated, is liable to the fluctuations and distractions of its neighbours, its means of attack or defence are necessarily limited, and whilst it fails to command respect, the natives are rather injured than benefited by its existence. The chief consideration, however, seems to be that territorial power is constantly opening new sources of traffic, and extending those already established, by disembarrassing trade of the intermediate clogs which tend to limit exports, from the small amount of benefit to the original dealer—and to lessen the demand—from the increased price attendant on passing through various hands. The insular situation of Singapore may be adduced as a proof of this, for all articles of Straits produce, before coming into the possession of the British merchant, afford profits to several classes of natives, in a very unequal degree; and little hope can be entertained of the favourable progress of a trade wherein the original producer or proprietor participates to so trifling an extent in its advantages. It may, indeed, be considered a monopoly by the natives inhabiting the coasts, as severe on the interior tribes as the Dutch restrictions on themselves. For these and many other causes which readily occur, it would seem that territorial possession is the best, if not the only means, by which to acquire a direct and powerful influence in the Archipelago, but any government instituted for the purpose must be directed to the advancement of the native interests and the development of native resources rather than by a flood of European colonization, to aim at possession only, without reference to the indefeasible rights of the Aborigines. On the second head, viz., the Commercial Prosperity, nothing need be added save that, being dependent on the right working of the first principle, it must unavoidably, in its progress, present a striking contrast to the commercial monopolies of the Dutch, and be the means of bringing the English merchant in contact with the original native dealer. The advantages, political and commercial, accruing from a well-managed territory need only be alluded to, as everyone in the slightest degree acquainted with the country is well aware of its vast capability.