He trusted that no demands would be made which would appear excessive, and that something would be done to recognize effectually the obligation of all to contribute to the common weal. Lord Selborne for the Admiralty followed by urging contributions of money as well as of men to the navy. And Mr Brodrick for the War Office proposed that one-fourth of the existing colonial militias should be specially trained {201} and earmarked for service overseas in case of war.

These suggestions met with a limited measure of success. Cape Colony agreed to grant 50,000 a year and Natal 35,000 to the maintenance of the navy, while Australia[3] and New Zealand increased their grants for the maintenance of the Australasian squadron respectively to 200,000 and 60,000 a year. Canada declined to make any grant or promise of the kind desired. Her representatives stated that their objections arose, not so much from the expense involved, as from a belief that acceptance of the proposals would entail an important departure from the principles of colonial self-government, which had proved so great a factor in the promotion of imperial unity. They recognized, however, the need of making provision for defence in proportion to the increasing wealth and population of the country. They were prepared, in the development of their own militia system, to take upon Canada the services formerly borne by the Imperial Government, and would consider the {202} possibility of organizing a naval reserve on the coasts.

Mr Brodrick's proposal to have a special body of troops earmarked for imperial service was endorsed by the small states, New Zealand, the Cape, and Natal, but strongly rejected by the nation-states, Australia and Canada. The latter countries were of the opinion 'that the best course to pursue was to endeavour to raise the standard of training for the general body of their forces, leaving it to the colony, when the need arose, to determine how and to what extent it should render a.s.sistance.... To establish a special force, set apart for general imperial service, and practically under the absolute control of the Imperial Government, was objectionable in principle, as derogating from the powers of self-government enjoyed by them, and would be calculated to impede the general improvement in training and organization of their defence forces.'

Thus, so far as the Dominions had awakened to the need of greater outlay for defence, they desired to make that outlay as they made all other expenditure, under the direction and control of their own Governments. It may be asked, Why then did not Canada, in the succeeding decade, make better progress along {203} this line? The reasons were many. One was the engrossment in the tremendous task of opening up and subduing vast continental wildernesses, a task more costly than outside opinion often realized, a task which rose to such proportions that the per capita burden of taxation on the Canadian became decidedly greater than that borne by the Englishman for navy, army, social reform, and all other expenditure. Then, too, there was the old colonialism, the habits of thought acquired under different conditions, which, by force of momentum, persisted after these conditions had pa.s.sed away. Though Canada had ceased to be a 'possession' and was emerging into nationhood, she awoke but slowly to the idea of taking up her own burden of defence. There was the lack of any pressing danger. The British navy was still unchallenged in its supremacy. Canada had only one near neighbour; and with that neighbour war was fast becoming unthinkable. In fact, the United States was regarded by some as being as much a protection in case of German or j.a.panese attack as a menace in itself, though doubtless most Canadians, if put to the test, would have refused to accept such patronizing protection as that afforded by the Monroe Doctrine; the {204} day had not yet come, however, when the similar refusal of the South American states to be taken under any eagle's wing, however benevolent, was to lead to the transformation of that relationship into a self-respecting quasi-alliance of pan-American republics. There was the view strongly advanced by Sir Charles Tupper and others, that if Canada were independent the United Kingdom would require not a ship the less to protect its world-wide trade. True; and few Canadians saw the equal truth that in such a case Canada would require many a ship the more.

And if it seemed probable, or even as certain as reasoning from the experience of others could make it, that an independent Canada would have been involved in wars of her own, it was also certain, as an actual fact, that through her connection with Britain she had been involved in wars that were not her own. All such ideas and forces not only ran counter to Mr Chamberlain's new imperialism, but set a stumbling-block in the path of any rapid progress in defence upon national lines. The unwillingness of the British authorities to sanction Dominion fleets equally blocked progress along the most promising path.

As to commercial relations, Mr Chamberlain {205} stated that his ideal was 'free trade within the Empire,' presumably with a common customs tariff against all foreign countries. This proposal met with no support. None of the colonies was prepared to open its markets to the manufacturers of the United Kingdom. For the present, protection was their universal policy. It was recommended, however, that those colonies which had not done so should follow Canada's example in giving a preference to British goods, and that the United Kingdom should in turn grant a preference to the colonies by exemption from or reduction of duties then or thereafter imposed. Mr Chamberlain belittled the value of the preference already given by Canada. The Canadian ministers had no difficulty in showing the unfairness of his conclusion. The preference, which had been increased to thirty-three and a third per cent, and made to apply specifically to Great Britain and to such other parts of the Empire as would reciprocate, had not only arrested the previous steady decline in imports from Great Britain, but had led to a substantial growth in these imports. Canada would agree, however, to go further, and grant some increased preference if Britain would reciprocate. These proposals for reciprocal {206} preference turned upon the fact that, as a war revenue measure, the British Government had recently imposed a duty of a shilling a quarter upon wheat. A few months later the tax was abolished, and reciprocal preference again became merely an academic topic.

Canada, still leading the way in the matter of commercial relations, secured the pa.s.sing of a resolution favouring cheap postage rates on newspapers and periodicals between different parts of the Empire.

Already in 1898, Canada had lowered the rates on letters to any part of the Empire from five to two cents per half-ounce, and her example had been widely followed.

For the much cry there was little wool. Neither in trade nor in political relations had Mr Chamberlain's proposals received any encouragement, and in defence matters only small and precarious advance had been made towards centralization. Mr Chamberlain did not conceal his disappointment. In Sir Wilfrid Laurier he had met a man of equally strong purposes and beliefs, equally adroit in argument, and much better informed than himself in the lessons of the Empire's past and in the public opinion overseas on questions of the day. He was plainly inclined to attribute {207} the policy of the Canadian prime minister to his French descent. Divining this, Sir Wilfrid suggested that he should invite the other Canadian ministers to a private conference. Mr Chamberlain accepted the suggestion with alacrity; a dinner was arranged; and hours of discussion followed. To his surprise Mr Chamberlain soon found that the four responsible Canadian ministers of the Crown, all of British stock, two of Nova Scotia and two of Ontario, took precisely the same stand that their French-Canadian leader had maintained. They were as loyal to the king as any son of England, and were all determined to retain Canada's connection with the Empire.

But, as Canadians first, they believed, as did Mr Chamberlain himself, that the Empire, like charity, began at home. The outcome was that the colonial secretary perceived the hopelessness of endeavour along the lines of political or military centralization, and henceforth concentrated upon commerce. The Chamberlain policy of imperial preferential trade, which eventually took shape as a campaign for protection, was a direct result of the Conference of 1902.

It is not without interest to note that the policy of the Canadian prime minister as to {208} political and defence relations was not once called in question by the leader of the Opposition when parliament next met. Sir Wilfrid Laurier had faithfully voiced the prevailing will of the people of Canada, whether they willed aright or erringly.

We must now turn to see what relations existed during these years between Canada and the neighbouring land which Canadians knew so well.

In 1896, when the Liberal Government took office, there still remained the disputes which had long made difficult friendly intercourse with this neighbour; and as yet there seemed few grounds for hope that they could be discussed in an amicable temper. In the same year the Republicans came again to power, and presently their new tariff out-M'Kinleyed the M'Kinley Act of 1890, raising the duties, which the Democrats had lowered, to a higher level than formerly. Little had yet occurred to change the provincial b.u.mptiousness of the American att.i.tude towards other nations--though there had been a reaction in the country from President Cleveland's fulminations of 1895 on the Venezuelan question--or to arouse towards Great Britain or Canada the deeper feelings of friendship {209} which common tongue and common blood should have inspired. Moreover, the special difficulty that faces all negotiations with the United States, the division of power between President and Congress, remained in full intensity, for President M'Kinley made the scrupulous observance of the const.i.tutional limits of his authority the first article in his political creed. In Canada a still rankling antagonism bred of the Venezuelan episode made the situation all the worse. Yet the many issues outstanding between the two countries made negotiation imperative.

A Joint High Commission was appointed, which opened its sessions at Quebec in August 1898. Lord Hersch.e.l.l, representing the United Kingdom, acted as chairman. Sir Wilfrid Laurier, Sir Richard Cartwright, Sir Louis Davies, and John Charlton represented Canada.

Sir James Winter sat for Newfoundland and Senator Fairbanks, Senator Gray, Congressman Dingley, General Foster, Mr Ka.s.son, and Mr Coolidge for the United States. The Commission sat at Quebec until October and adjourned to meet at Washington in November. There it continued its sessions and approached a solution of most of the difficulties. It seemed possible to give {210} permanence to the existing unstable arrangements for shipping goods through in bond, to abolish the unneighbourly alien labour laws, to provide that Canadian sealers should give up their rights in Bering Sea for a money payment, and to arrange for a measure of reciprocity in natural products and in a limited list of manufactures. But the question of the Alaskan boundary proved insoluble, and the Commission broke up in February 1899.

Step by step the long and often uncertain border between Canada and the United States proper had been defined and accepted. Only the boundary between Canada and Alaska remained in dispute. There was a difference of opinion as to the meaning of certain words in the treaty of 1825 which defined, or purported to define, the boundary between British and Russian America on the Pacific. That treaty gave Russia a panhandle strip of coast half-way down what is now British Columbia; and, when the United States bought Alaska in 1867, the purchase of course included this strip of coast. As British Columbia grew, the disadvantage of this barrier became seriously felt, and repeated attempts were made to have the boundary defined and, if possible, a port awarded to Canada. The discovery of gold {211} in the Klondike in 1896 made this all the more urgent. The treaty of 1825 provided that north of Portland Channel the boundary should follow the summit of the mountains parallel to the coast, and where these mountains proved to be more than ten marine leagues from the coast, the line was to be drawn parallel to the windings of the coast at ten leagues' distance. Canada contended for an interpretation of this wording which would give her a harbour at the head of one of the fiords which ran far inland, while the United States, following the usual international doctrine that a disadvantage to your neighbour must be an advantage to yourself, insisted that its spite fence should be as high and as gateless as possible.

The main point of difference between the two countries was as to the way of settling the dispute. The United States proposed a commission of three representatives from each side. Given a desire for fair dealing, such a commission is perhaps most satisfactory, at least for a permanent body, as the experience of the Waterways Commission has since shown. But for a temporary purpose, and in the spirit which then existed, the Canadian negotiators knew too well that such a board {212} could reach a decision only by the weakening of one of the British members. They urged, therefore, that a board of three arbitrators should be appointed, one of them an international jurist of repute who should act as umpire. This was the course which the United States had insisted upon in the case of Venezuela, but what was sauce for the Venezuelan goose was not sauce for the Alaskan gander. The United States a.s.serted that the Canadian case had been trumped up in view of the Klondike discoveries, and would not accept any medium of settlement which did not make it certain beforehand that, right or wrong, the claim of Canada would be rejected.

The deadlock in this issue proved hopeless, and the Commission's labours ended without definite result upon any point for the time. Yet the months of conference had done good in giving the statesmen of each country a better idea of the views and problems of the other, and had contributed not a little to the final solution or the final forgetting that the problems existed. Later, during Mr, now Lord, Bryce's term of office as amba.s.sador at Washington, most of the provisional arrangements agreed upon were taken up and embodied in separate agreements, accepted by {213} both countries. When the new era of neighbourliness dawned, a few years later, some of the difficulties which had long loomed large and boding ceased to have any more importance than the yard or two of land once in dispute between farmers who have since realized the folly of line-fence lawsuits.

After the adjournment of the Joint High Commission in 1899 the two countries agreed upon a temporary Alaskan boundary-line for purposes of administration, and it was not until early in 1903 that a treaty for the settlement of the dispute was arranged between Great Britain and the United States and accepted by Canada.

By this treaty the American proposal of a commission of three members from each side was adopted. The Canadian Government agreed to this plan with the greatest reluctance, urging to the last that arbitration with an outside umpire was preferable. Seemingly, however, fairness was secured by a clause in the treaty which provided that the members should be 'impartial jurists of repute, who shall consider judicially the questions submitted to them, and each of whom shall first subscribe an oath that he will impartially consider the arguments and evidence {214} submitted to the tribunal and will decide thereupon according to his true judgment.' Further, the United States now agreed to abandon its former position, that in any case territory then settled by Americans should not be given up. That the United States risked nothing by withdrawing this safeguard became clear when the American commissioners were named--Elihu Root, a member of President Roosevelt's Cabinet, which had declined to make any concession, Senator Lodge, who had only a few months before declared the Canadian contention a manufactured and baseless claim, and Senator Turner from Washington, the state which was eager to retain a monopoly of the Klondike trade.

Undoubtedly these were able men, but not impartial jurists. In the words of an American newspaper, 'the chances of convincing them of the rightfulness of Canada's claim are about the same as the prospect of a thaw in Hades.'

The Dominion Government at once protested against these appointments.

The British Government expressed surprise, but held that it would be useless to protest, and suggested that it was best to follow this example and appoint British representatives {215} of a similar type.

Canada, however, declined the suggestion, and carried out her part honourably by nominating as arbitrators, to sit with the lord chief justice of England, Lord Alverstone, Mr Justice Armour of the Canadian Supreme Court, and Sir Louis Jette, formerly a judge of the Superior Court of Quebec. Later, on the death of Mr Justice Armour, Mr (now Sir Allen) Aylesworth, K.C., was appointed in his place.

The case was admirably presented by both sides, and all the evidence clearly marshalled. Late in October the decision of the tribunal was announced. A majority, consisting of Lord Alverstone and the three American members, had decided substantially in favour of the United States. Sir Louis Jette and Mr Aylesworth declined to sign the award, and declared it in part a 'grotesque travesty of justice.'

In Canada the decision met with a storm of disapproval which was much misunderstood abroad, in Great Britain and still more in the United States. It was not the petulant outburst of a disappointed litigant.

Canada would have acquiesced without murmur if satisfied that her claims had been disproved on judicial grounds. But of this essential {216} point she was not satisfied, and the feeling ran that once more Canadian interests had been sacrificed on the altar of American friendship. The deep underlying anti-American prejudice now ran counter to pro-British sentiment, rather than, as usual, in the same direction. Had Mr Aylesworth, on his return, given a lead, a formidable movement for separation from Great Britain would undoubtedly have resulted. But while repeating strongly, in a speech before the Toronto Canadian Club, his criticism of the award, and making it clear that the trouble lay in Lord Alverstone's idea that somehow he was intended to act as umpire between Canada and the United States, Mr Aylesworth concluded by urging the value to Canada of British connection; and the sober second thought of the country echoed his eloquent exhortation. While Canada had shown unmistakably at the Colonial Conference that the Chamberlain imperialists would have to reckon with the strong and rising tide of national feeling, she showed now that, strong as was this tide, it was destined to find scope and outlet within the bounds of the Empire. Now imperial sentiment, now national aspirations, might be uppermost, but consciously or unconsciously {217} the great ma.s.s of Canadians held to an idea that embraced and reconciled both, the conception of the Empire as a free but indissoluble league of equal nation-states.

When the terms of the treaty were first announced Mr Borden declared that it should have been made subject to ratification by the Canadian parliament. After the award Sir Wilfrid Laurier went further, contending that the lesson was that Canada should have independent treaty-making power. 'It is important,' he said, 'that we should ask the British parliament for more extensive powers, so that if ever we have to deal with matters of a similar nature again, we shall deal with them in our own way, in our own fashion, according to the best light we have.' The demand was not pressed. The change desired, at least in respect to the United States, did come in fact a few years later, though, as usual in British countries, much of the old forms remained.

[1] Shortly after arriving in England Mr Laurier had been made a Knight Grand Cross of the Order of St Michael and St George. Though on personal grounds sincerely reluctant to accept such honours, he had bowed to circ.u.mstance and the wishes of his friends.

[2] The reason for the Government's action was clearly stated by Mr David Mills, minister of Justice, as follows: 'There were two things that presented themselves to the minds of the administration. One was to call parliament together and obtain its sanction for a proposition to send troops to South Africa. The other was to await such a development of public opinion as would justify them in undertaking to send the contingent ... the general sanction of the political sovereignty of this country from which parliament derives its existence. Now there was such an expression of opinion in this country as to justify the government in the course which they took.'--Senate Debate, February 6, 1900.

[3] The Australian representatives afterwards met with much difficulty in securing the consent of the Commonwealth parliament to this arrangement. A majority of the members who took part in the debate expressed the opinion that an Australian navy must sooner or later take the place of direct contributions.

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CHAPTER XI

THE COMING OF PROSPERITY

The opening of the west--Railway expansion--State aids to production--New provinces and old cries--Party fortunes

We have seen that in the early years of the Laurier regime Canada attained a new international status and came to play no small part in the affairs of the Empire. No less notable in the succeeding years was the remarkable industrial expansion at home, the sunrise of prosperity which followed the long night of depression. This expansion touched every corner of the far-flung Dominion, and was based on the exploitation of resources and possibilities of the most varied kind.

Yet the central fact, the development which caused and conditioned all the rest, was the settlement of the great western plains.

For years 'Canada's unequalled western heritage' had given many an after-dinner speaker a peroration, but it had given very few new settlers a living. The Conservative Government had achieved one great task of constructive patriotism, in providing for the {219} building of a railway across the vast wilderness to the Pacific. Over thirty million acres of the choicest lands of the West had been given to this and other railways to encourage settlement. A liberal homestead policy had been adopted. And still the settlers came not, or if they came they did not stay. Barely three thousand homestead entries a year were made in the early nineties. By 1896 the number had fallen to eighteen hundred. Canadians themselves seemed to have lost faith in the West, for in this year the applicants for homesteads included only five hundred and seventy settlers from the older Canada. The stock of the railway which had been built with such national effort had fallen to fifty. West of Lake Superior, after thirty years of Confederation, there were little more than three hundred thousand people, of whom nearly one-third were Indians. And, in the phrase of a western Conservative newspaper, 'the trails from Manitoba to the States were worn bare and brown by the waggon wheels of departing settlers.'

In the remarkable development of the West which now began, and which profoundly changed the whole outlook and temper of Canadian life, there were some general factors {220} with which statesmen or business men had nothing to do. The prices of farm products began to rise the world over, due in part to the swing of population in every land from country to city, and in part to the flooding supplies of new gold. The lessening of the supply of fertile free lands in the United States gave new value to Canada's untouched acres. Yet these factors alone would not have wrought the transformation. In the past, when Canada's West called in vain, low prices had not prevented millions of settlers swarming to the farms of the United States. Even of the Canadians who had migrated to the Republic, half, contrary to the general impression, had gone on the land. Nor was Canada now the only country which had vacant s.p.a.ces to fill. Australia and the Argentine and the limitless plains of Siberia could absorb millions of settlers. In the United States itself the 'Great American desert' was being redeemed, while American railways still had millions of western acres to sell. Canada had the goods, indeed, but they needed to be advertised.

The new ministers at Ottawa rose to the occasion. They were not content to be 'merely flies on the wheel,' in Sir Richard {221} Cartwright's unlucky phrase of 1876. They adopted a vigorous and many-sided policy for the development of the West and of all Canada.

The preferential tariff and the prime minister's European tour admirably prepared the way. The British people now regarded Canada with lively interest, and for the first time the people of the Continent began to realize the potentialities of this new northern land. The general impression thus created was followed up by more specific measures, aiming to bring in men and capital, to extend and cheapen transportation, and to facilitate production.

The call for settlers came first. Never has there been so systematic, thorough, and successful a campaign for immigrants as that which was launched and directed by the minister of the Interior, Mr, now Sir Clifford, Sifton. He knew the needs and the possibilities of the West at first hand. He brought to his office a businesslike efficiency and a constructive imagination only too rare at Ottawa. Through Continental Europe, through the United States, through the United Kingdom, with an enthusiasm unparalleled and an insistence which would not be denied, he sent forth the summons for men and women and {222} children to come and people the great plains of the Canadian West.

It was from Continental Europe that the first notable accessions came.

Western Europe, which in earlier decades had sent its swarms across the sea, now had few emigrants to give. Falling birth-rates, industrial development, or governments' desire to keep at home as much food for powder as might be, had slackened the outward flow. But the east held uncounted millions whom state oppression or economic leanness urged forth. From Russia the Doukhobors or Spirit-Wrestlers, eager to escape from the military service their Quakerlike creed forbade, turned to Canada, and by 1899 over seven thousand of these people were settled in the West. Austrian Poland sent forth each year some four to six thousand Ruthenians, more familiarly known as Galicians. Both contingents brought their problems, but they brought also notable contributions to the western melting-pot. Their clannishness, their differing social ideals, the influence of religious leaders who sought to keep them a people apart, created political and educational difficulties of undoubted seriousness. But they turned to farm production, not to selling real {223} estate, and in a few years many came to appreciate and follow Canadian ways, for good or for ill. And if Doukhobor communistic practices or religious frenzy had their drawbacks, they served to balance the unrestrained individualism and the materialism of other sections of the community, and to add vast potentialities of idealism to the nation's store.

Much more significant, however, was the influx of American settlers, which reached a great height soon afterwards. Mr Sifton knew that no settlers could be had anywhere with more enterprise, capital, and practical experience of western needs than the farmers of the western and mid-western states. As these states became settled, many farmers who desired larger scope for their energy or farms for their growing sons were in the mood to listen to tales of pastures new. Among these Americans, then, the minister prepared to spread his glad tidings of the Canadian plains. Agents were appointed for each likely state, with sub-agents who were paid a commission for every settler who came. The land of promise was pictured in attractive, compelling booklets, and in advertis.e.m.e.nts inserted in seven or eight thousand farm and weekly papers. All inquiries were {224} systematically followed up. In co-operation with the railways, free trips were arranged for parties of farmers and for press a.s.sociations, to give the personal touch needed to vitalize the campaign. State and county fairs were utilized to keep Canada to the fore. Every a.s.sistance was given to make it easy for the settler to transport his effects and to select his new home.

As a result of these aggressive efforts, the ranks of incoming Americans, negligible in the earlier years, rose to astounding proportions--from seven hundred in 1897 to fifteen thousand in 1900 and one hundred thousand in 1911. This influx had a decisive effect on the West. It was not only what these well-to-do, progressive settlers achieved themselves that counted, but the effect of their example upon others. Every American who preferred Canada to his own land persuaded an Englishman or a Scotsman that the star of empire was pa.s.sing to the north.

Backed by this convincing argument, Mr Sifton now turned to the United Kingdom. For many years his predecessors had directed their chief efforts to this field. Early in the eighties a large influx of British and Irish immigrants had come, but most of them had quickly pa.s.sed to the United States. In the {225} nineties scarcely ten thousand a year crossed from the crowded British Isles to Canada, while the United States secured thirty or forty thousand. Now conditions were soon reversed. The immigration campaign was lifted out of the routine and dry rot into which it had fallen. Advertis.e.m.e.nts of a kind new to British readers were inserted in the press, the schools were filled with attractive literature, and patriotic and philanthropic agencies were brought into service. Typical of this activity was the erection of a great arch of wheat in the Strand, London, during the Coronation ceremonies of 1902. Its visible munificence and its modest mottoes, 'Canada the granary of the Empire' and 'Canada offers 160 acres free to every man,' carried a telling message to millions. From nine or ten thousand in the nineties British immigration into Canada rose to fifty thousand in 1904 and over a hundred and twenty thousand in 1911.

Australia soon followed Canada's example, with the result that whereas in 1900 only one of every three emigrants who left the British Isles remained under the flag, a dozen years later the proportions had grown to four out of every five. This was empire-building of the most practical kind.

{226}

This incoming of English-speaking peoples also brought its problems.

The Americans contributed largely to the rise of the 'subdivision expert,' though in this matter of land speculation the native sons soon bettered their instructors. The British immigrants at first included too many who had been a.s.sisted by charitable societies, and always they flocked more to the towns than to the land. Yet these immigrants were in the main the best of new citizens.

During the fifteen years of Liberal administration (1896-1911) the total immigration to Canada exceeded two millions. Of this total about thirty-eight per cent came from the British Isles, twenty-six from Continental Europe, and thirty-four from the United States. This increase was not all net. There was a constant ebb as well as flow, many returning to their native land, whether to enjoy the fortune they had gained or to lament that the golden pavements they had heard of were nowhere to be seen. The exodus of native-born to the United States did not wholly cease, though it fell off notably and was far more than offset by the northward flow. After all deductions, the population of Canada during this period grew from barely over five to seven {227} and a quarter millions, showing a rate of increase for the last decade (1901-11) unequalled elsewhere in the world.

Closely connected with the immigration campaign was the Government's land policy. The old system of giving free homesteads to all comers was continued, but with a simplified procedure, lower fees, and greater privileges to the settler. No more land was tied up in railway grants, and in 1908 the odd sections, previously reserved for railway grants and sales, were opened to homesteaders. The pre-emption regulations were revised for the semi-arid districts where a hundred and sixty acres was too small a unit. Sales of farm lands to colonization companies and of timber limits were continued, with occasional excessive gains to speculators, which the Opposition vigorously denounced. Yet the homesteader remained the chief figure in the opening of the West. The entries, as we have seen, were eighteen hundred in 1896. They were forty-four thousand in 1911. Areas of land princely in their vastness were thus given away. Each year the Dominion granted free land exceeding in area and in richness coveted territories for whose possession European nations stood ready to set the world at war. In 1908, for {228} example, a Wales was given away; in 1909, five Prince Edward Islands; while in 1910 and 1911, what with homesteads, pre-emptions, and veteran grants, a Belgium, a Holland, a Luxemburg and a Montenegro pa.s.sed from the state to the settler.[1]

After and with the settler came the capitalist. The vast expansion of these years was made possible by borrowing on a scale which neither credit nor ambition had ever before made possible. Especially from Britain the millions poured in as soon as Canadians themselves had given evidence of the land's limitless possibilities. The yearly borrowings from the mother country, made chiefly by national and local governments and by the railways, rose to a hundred and fifty millions.