Australia and New Zealand have, to an even greater extent than the American frontier, secured their labor and capital from another section of the same empire. The relations between the sections, however, are quite different. The local organization of the debtor communities resembles that of the American states; in fact, the scope of their power is much broader, but they do not possess that inviolability to legal attack which sovereignty gives, and have not been represented in the central government. Credit, therefore, has been a matter of neither politics nor diplomacy, but has been as firmly controlled by the lending section, England, as that of Siberia has been by Russia. Judicial unity, which has been the only organic bond of empire, makes the sovereign, like the Crown, identical in Brisbane and in London. There is no chance of reducing debts save by a separation, which other considerations have rendered furthest from the wishes of the debtors. General diplomacy also has been largely excluded from local consideration. The creditor-debtor relationship was almost exclusively one within the empire, and the handling of other diplomatic questions was in the hands of the British government in which the frontier sections were represented only by influence. The attempts to arouse an imperial, not to say international, mind found hard sledging during the real development period, and only partially succeeded just before the Great War. On the other hand, the locality has been absolute master of the expenditure of its borrowings. No subordinate communities in the world, most decidedly not the states of our Union, have been left so entirely free to control their development, not only to plan their transportation and allot their natural resources, but even to regulate their tariffs. It is not surprising that these governments, with credit carefully maintained by outside and unquestionable forces, found their politics in the working out of such development, and that, in large measure, borrowing has been done by the local governments, which have themselves spent the money borrowed. There can be no better security than that of a government incapacitated from repudiation. Creditors have lost comparatively little money to these frontiers, and so Australia and New Zealand have received their needed capital upon better terms, perhaps, than any of the other regions treated. How wisely they have spent it, is a matter of the most violent dispute.