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18.

political questions.

Practical measures to improve the condi-

tions of living are ore valuable to them then theories of

government. The Chinese are of course the most numerous. Given

any sort of opportunity the chinese merchant can give points and

a beating to most other traders. The Chinese farmer has quali-

ties of endurance that are unrivalled. The average

orean fa T'M-

er is also docile and hard-working. None of these elements,

therefore, presents any acute problem.

46. Cho Mongol who is by nature a nomad and impatient of

restraint requires more careful treatment but he lives almost

entirely in the west which has been divided into new provinces

in the administration of which a certain proportion of ongols

is employed. The Mongol, however, shows few signs of adapting

himself to modern conditions. Fifty years ago Inner Mongolia

reached to within a few miles of the present Harbin and Hainking.

Since then the political frontier has receded two or three hun-

dred miles under the peaceful penetration of the Chinese settler.

This year the princes who still enjoyed vestiges of their form-

er feudal powers have handed over their lands to the government

in return for bonds the intereat on which will be paid them

annually. No doubt these lands will be settled end brought

under more intensive cultivation.

47. The main role of the Japanese, apart from officials,

is big scale manufacturing and trading for which their restless

energy well fits them. There is room then for all and so long

as the individual Japanese refrain from provocative conduct,

the racial dislike that undoubtedly exists need not be brought

to the surface.

48.

Friction there is bound to be. The higher Japanese

civil officer has a strong sense of duty and takes a pride in

the efficient working of his department. The lower official is

on the whole equally zealous but the less important his office

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