The attitude of Uruguay was always pro-Ally. The Government of that country issued a noteworthy decree in defining its position: that "no American country, which, in defence of its own rights, should find itself in a state of war with nations of other continents will be treated as a belligerent." It may be said in general terms that the attitude of all these States proclaimed the principle of "American solidarity," or Pan-Americanism. The considerable element of British whose homes or occupations are in Latin America followed the varying fortunes of the war with eagerness, for the name and fame of England is dear to these exiled sons. Their hearts were broken with the Tarapacá disaster to the British squadron, but resuscitated by the great victory of the Falkland Isles. It must not be forgotten that they, in considerable number, left their homes and occupations and came to England as volunteers early in the war. They were not grouped together as a separate force, being of so scattered an origin. But the King approved a special badge for them, and England should be grateful for their noble effort--we trust she was and is! The effect of the war upon the Latin American States--whilst it cut off supplies at first of European manufactured goods and disorganized exchange and currency--was to cause an enormous demand for their raw materials, with corresponding increase of wealth. Even the first-named condition was a benefit in disguise, causing a development of home manufacture. German trade in South America, for the time being, was ruined--a severe blow--a result of the British blockade. British and French trade of course suffered temporarily. The trade of the United States, on the other hand, increased: American goods replaced European, and it seemed at one time that the change might be permanent; but it was found that their goods were inferior, or at any rate less acceptable, than those of the older exporters. However, new horizons--trade, banking and so forth--opened in Latin America for the United States.