We are hopeful that conditions in China may become such that the Chinese people themselves may be encouraged to put their money into productive enterprise and participate in the larger developments. We are hopeful that the day is not far distant when the Chinese Government may be able actively to interest itself in the encouragement of native industry to the end that native capital of which there is a very considerable quantity, may be induced to lend itself to productive enterprises, because of a Confidence in constructive policy on the part of the government. If you will permit a suggestion, I would be inclined to reduce your admirable program to one which would be in closer keeping with the limits of the present world's resources in capital. As we all know devastated Europe is calling for capital for rehabilitation and other nations want capital for development programs of considerable proportions. Thus it would seem that China's program of development must of necessity take cognizance of her most immediate and most pressing needs. We are all united in that transportation occupies a prominent place in such a program. 50,000 miles of railway and 100,000 miles of good roads would seem to be sufficient to engage our attention for any plans for the immediate future. This would allow ample opportunity to penetrate the great rich unoccupied regions in the North and West, which should be opened to colonization and development as soon as possible in order to relieve the economic pressure of over population in sections along the coasts and waterways, and to accord opportunities to bring the rich regions of West China into contact with the trade of the rest of China and the world at large. Along with transportation, China needs to develop its resources in iron and coal, the two great essentials to modern industrialism. Arrangements should be made whereby foreign capital can come to China's assistance in these two important industries, but care should be exercised so as to preserve to China the iron and coal necessary for its own uses, and prevent China's steel industry being mortgaged to foreign interests, in a way so as to jeopardize China's future in this important industry. The reform of the currency and reforms in internal tax administrations are questions of immediate importance to China's economic and industrial development.