Professor Jenks, the well known American economist, contributes 10 the "Par Eastern Fortnightly" some useful reflexions upon the financial situation in Japan. After pointing out the development of the country's trade during the war years. with which we are all familiar. he mentions that the end of the war found Japan with depleted supplies in such things as machinery and—senfi-manufactured goods required for fabrication. In the years under consideration the cost of living in Japan had soared, and the high level of prices consequently made the market for imports exceedingly attractive. Here, accordingly, we have the first noteworthy cause leading to the reversal of her favourable balance of trade. Then as regards her exports. the high prices ruling in the country proved naturally an unfavourable factor, and this combined with a revival in foreign competition in markets where Japan had done much business during the war, caused a serious setback. Professor Jenks then goes on to deal with another very important factor, and his remarks should receive the utmost consideration front Japanese of all political creeds. Ho says:—Japan is reaping the accumulated of her foreign policy in several markets—notably in China, less important degree, Siberia. While the fall story of the Chinese boycott, in so far as its economic effects go, cannot yet be told, it is evident that Japanese trade has suffered—materiall; This has been serious enough to elicit protest from the Japanese government. the Japanese Consul-General at Tientsin, Mr. Funatsa, even going so far as to "Our country has suffered inestimable damage from the Chinese boycott, which has also injured some Chinese' merchants," and urging that the boycott. was violation of treaties providing for freedom of commerce. Moreover, it has cut down the shipping business of Japan, reducing her financial strength accordingly. Again, the difficulties in Siberia which the Japanese policy of intervention have produced. are creating there a repetition of the Chinese boycott, Business is at a standstill because of the strong anti-Japanese sentiment wherever the Jupanese are in occupation, and their withdrawal from any territory has been followed by the loss of the market and retirement of the Japanese merchants.
Although reports speak of the boycott in China as practically at an end. the moral of the tale can hardly be missed by even the most bigoted of militarists.
Text read from the printed page and cleaned; old type leaves the occasional error.