From time immemorial the cultivator of the soil in India has lived from hand to mouth, and when his hand could not supply his mouth from the stores of the last harvest he has been driven to the local saukar or money-lender to obtain the means of existence. This is the first great cause of India's poverty. The second is akin to it, for it exists in the infinite divisibility of property which arises under the Hindu system of succession, and which throws insuperable obstructions to the growth of capital. The rule as to property in Hindu life is that all the members of a family, father, grandfather, children, and grandchildren, constitute an undivided partnership, having equal shares in the property, although one of them, generally the eldest, is recognised as the manager. It is in the power of any member to sever himself from the family group, and the tendency of our Government has been to encourage efforts of what may be called individualism. But the new stock is but the commencement of another undivided family, so strong is the Hindu feeling in favour of this time-honoured custom. It is obvious that where the skill, foresight, and thriftiness required for the creation of capital may be thwarted by the extravagance or carelessness of any one of a large number of partners, its growth must be seriously impeded. It will be seen, if the above arguments are sound, that the obstructions which oppose themselves to the formation of capital arise out of immemorial usages, and are irremediable by any direct interference of Government. But whatever may be the causes of this national poverty, the fact is undoubted, and it cannot be too steadily contemplated by those who desire to rely on fresh taxation for their favourite projects, whether it be for improved administration, for magnificent public works, or for the extension of our dominions. Mr. Hyndman also points out the great expensiveness of a foreign government, and his remarks on this subject are undoubtedly true. The high salaries required to tempt Englishmen of suitable qualifications to expatriate themselves for the better part of their lives, and the heavy dead weight of pensions and furlough charges for such officials, form, no doubt, a heavy burden on the resources of India. The costliness of a European army is, of course, also undoubtedly great. But these are charges which, to a less or greater degree, are inseparable from the dominion of a foreign government. The compensation for them is to be found in the security they provide against a foreign invader or against internal disturbances, and the protection they afford, in a degree hitherto unknown in India, to life, property, and character. But Mr. Hyndman's diatribes are useful in pointing to the conclusion that all the efforts of Government should be directed towards the diminution of these charges, where compatible with efficiency, and his striking contrast of the home military charges in 1862-63, which then amounted to 28_l._