But far above all these material results must be placed the magnificent burst of earnest patriotism pervading all ranks of society which was occasioned by the war. The whole nation felt and acted like one man; political parties, so violent in ordinary times, were silent during the war and all vied in self-sacrifice and patriotism. A country which has shown such sentiments possesses the chief element of national greatness.

The practical results of the war are very important for Japan the Pescadores give her a fine strategical position, commanding maritime access to China, and the Island of Formosa, with its rich produce of tea, sugar and camphor, gives her a territorial increase which will greatly develop her trade. She now forms a splendid island empire stretching for nearly 30° of latitude up to Kamschatka, along the eastern shores of the Asiatic continent over which she is destined to exert great influence. The indemnity of 200 millions of taels * will increase the national capital, and under the skilful management of her financiers it will probably produce a commercial and industrial expansion which will astonish the world as much as her military successes.

If the future of Japan promises to be bright, it must be confessed that she deserves it. For the last thirty years the best part of the nation has been quietly but steadfastly studying and working to rise to the level of the foremost nations of the earth.

*Over thirty million sterling.

The youth of Japan have been exploring the whole world in search of everything which might contribute to the welfare and greatness of their country. Every steamer to Europe and America had Japanese passengers of every class, all bent on study and selfimprovement. No branch of human activity has been neglected, and each nation has had to yield its best knowledge to the acquisitive curiosity of the Japanese; even Ceylon has been visited by Japanese zealous to improve their knowledge of Buddhism. During the last generation Japan has been like a vast bee-hive, whose inmates were busy everywhere gathering the essence of the best they saw, and it is just they should now begin to enjoy the fruits of their industry.

This phenomenon is not a new one in the history of Japan in the past she assimilated the learning of China so thoroughly, that at present Chinese literature is better cultivated in Japan than in the land of its origin. If the same success attends her present attempt to absorb the science and culture of Europe and America, Japan may become a crucible in which the knowledge accumulated by the secular experience of the East and the West will be fused and amalgamated, giving forth as its product a new form of civilisation on a wider basis.

The severe lesson of the war ought to produce a beneficial effect on China, but unfortunately there are no signs of it at present. The blow, materially, has been a very trifling one to the huge empire: the

loss of territory is insignificant, and the war indemnity only appears large owing to the want of financial organisation in the country. If we take the popula-. tion of China at the lowest estimate, 200 millions, the indemnity amounts to less than 3 of what was paid by France in 1871 without its affecting her national prosperity. Though the wealth and resources of China are probably exaggerated, yet she can pay the sum without feeling any inconvenience. Her defeat has deeply wounded her pride, but this should produce a healthy reaction and the resolution to reform her institutions and national life. Unless this resolution is carried out and China succeed in imitating the material progress of Japan, and most of all in adopting her civic and military virtues, her future looks very dark.

APPENDICES.

APPENDIX A.

PROGRAMME OF REFORMS PRESENTED TO THE COREAN GOVERNMENT BY THE JAPANESE MINISTER OTORI.

I-Reform in central and provincial governments and appointment of able officials.

1. To define clearly the duties of all officials. All domestic and foreign affairs are to be under the control of the Giseifu (administrative council), and at the heads of the departments are to be placed the six Sohausho (ministers) as hitherto. Palace officials are to be distinguished from administrative officials, and the former should under no circumstances be connected with national administrative affairs.

2. As diplomatic and commercial relations with foreign countries are of the greatest importance they should be dealt with circumspectly, and a responsible minister be entrusted with them.

3. Offices which are necessary to carry out administrative orders should be retained, but all sinecure offices should be abolished. Offices should be amalgamated to simplify matters as much as possible.

4. The present provincial districts are too numerous. They should be reduced in number so as to diminish expenses ; but special care should be taken not to interfere with administrative efficiency.

5. All officials should have fixed duties. Only those whose offices are absolutely necessary should be retained, and superfluous officials should be dismissed.

6. Appointment through family descent, position, or precedent should be abolished, and all offices should be opened to talent.

7. Appointment by payment of money should be abolished, as it is liable to gross evils.

8. All officials' salaries should be clearly fixed at such sums as may enable them to live honestly.

9. The acceptance by officials of pecuniary and other bribes should be strictly prohibited by law.

10. Private trading by all officials of the central and provincial governments should be strictly prohibited by law. II. To increase national wealth by financial reorganisation. 11. The national revenue and expenditure should be examined and clearly defined by a fixed system.

12. All affairs relating to public accounts should be strictly managed.

13. The monetary system should be immediately reorganised.

14. The agricultural products of the provincial divisions should be ascertained and the rate of taxation reformed.

15. All taxes should be reformed by law and new sources of revenue opened.

16. Where expenditure is not absolutely necessary reductions should be made, and where increase is necessary every effort should be made to meet it.

17. The government roads should be level and wide. Railways should be constructed between Seoul and the treaty ports; and there should be telegraphic communication with the cities, district offices, and garrisons, so as to increase the facilities of communication.

18. The business of the custom-houses at the treaty ports should be entirely managed by Corea, without any external interference.