A.— 4

18

Present Situation in Canada. The Prime Minister referred to conditions in the British Isles, which, of course, we all from the various Dominions watch with great interest. The words of encouragement which he gave were very welcome to my ears. In Canada we do not suffer in the same degree from unemployment, but none the less we have much more than the normal. The extent and proportion of our agricultural population is such that we have in our belief less unrest than in most countries, and we feel also that our comprehensive and reasonably generous policy towards returned men, particularly to those entering upon agriculture, has reduced the evil in that respect The information that the Prime Minister has given as to the progress of peace negotiations, or rather the re-establishment of actual peace upon the basis of the peace treaties, is indeed encouraging. I feared myself that he would not be able to make quite so gratifying a report. Canadian Opinion on Japanese Treaty. As to the observations he made on the principles to be kept in mind in our deliberations on the Japanese Treaty and its renewal, we cannot overestimate their importance. Possibly in the outlying Dominions we are not disposed to give the same attention to one feature which he draws attention to, the paramount necessity of seeing to it that no step is taken that leaves out of mind the importance of mitigating racial divisions. What I have to say as to this subject will, of course, be more appropriate later. All I can do now is to assure you that I, representing Canada, approach this question with a full sense of responsibility, and seeking to interpret what I believe is the prevailing opinion of my country on the subject, I do so with a firm resolve to reach, if it can be reached, common ground with all representatives here. Canada satisfied with Constitutional Progress. The Prime Minister referred to suspicions that had been generated of designs on the autonomy of the Dominions, conspiracies to bring about revolutionary changes in our constitutional relations. I may say that Ido not think any responsible representative of any Dominion —I am quite certain of Canada —requires to have his mind cleansed of evil thought in that respect. Acknowledgment of Tribute of Prime Minister to Services rendered by Dominions. It is due to the Conference, and particularly the Prime Minister, that I should gratefully acknowledge here his striking and memorable words in referring to the services rendered by the British Dominions and India during the late war. No finer expression of the feelings of the people of the British Isles has been uttered, and I feel that his valued tribute will be long remembered throughout the length and breadth of the Empire. Value of Imperial Conferences. There can be no doubt as to the value of conferences such as this. The whole progress of the world, particularly since the war, has emphasized the value of conferences. Indeed, it is the method that has been incorporated as the very basis of the new order which the world is seeking to establish, whether under the name of the League of Nations or under some other name, or under no name at all. For ourselves, of course, for this Britannic Commonwealth of nations, this method or principle has a peculiar significance. We are united by the history of our being, by a mutual trust, and by a fundamental intention to preserve a common allegiance. We therefore confer under conditions particularly favourable to free and open communication one with another, and in an atmosphere of complete mutual confidence. Value of publishing Proceedings, and Need for Frequent Conferences. There are two conditions of success that I think of importance, though perhaps they are only partly under our control. If our conclusions are to be sound, and, being sound, to be acted upon, they must be accorded not only general support