growth, can be made to persist in another country where nearly every essential condition of life is wholly different, and where every economic and political consideration demands readjustment and change. For such a theory there is no sufficient justification in experience. Indeed, there is no need to look beyond the present situation in New England, so far as the French Canadians are concerned, to see how little the theory actually works as it is intended to work. In spite of every effort to prevent it, the use of French as the language of common life is steadily giving way before the demands of industry, the desire for active political equality, and the influence of the free public schools. Among the younger native-born generation in particular, the desire to remain in any sense a peculiar people is very much weakened. That New England has any reason to apprehend the creation of an imperium in imperio, either social, political, or religious, I think there is exceedingly little ground for believing. Nor do I believe that such an idea, whatever its particular form, has at the present day the firm hold that it once had, even among the French Canadian leaders themselves. At the same time, the reactionary policy of which I have been speaking has a moral influence which should not be underestimated, and which is likely to retard, though it cannot prevent, the inevitable absorption of the race in the cosmopolitan American people.

Absorbed or not, however, the French Canadians are in New England to stay. When the emigration first began to assume considerable proportions, the threatened depopulation of Canadian parishes, and the probable loss to the Church of many who went, caused wide-spread alarm in ecclesiastical quarters; and bishops and clergy made every effort to discourage and check the movement. Failing in this, and the occasion for opposition being partially removed by the organization of French Canadian parishes among the emigrants, there was started the agitation

known as repatriation, having for its object the return of the French to Canada. In 1875 the legislature of Quebec appropriated $60,000 in aid of immigration, to encourage the opening and settlement of new lands. Part of this sum was used to induce French Canadians in New England to return, and an agent was appointed for the purpose; but the whole scheme failed almost completely, so far as the United States were concerned. To-day one hears nothing of repatriation. The Church in Canada no longer actively opposes emigration; and Father Hamon's book, with its outspoken championship of the policy of the French Canadian leaders in New England, is dedicated to Cardinal Taschereau. Of the thousands who have come, a very small number have ever gone back permanently to their old homes. Many have essayed to do so, only to find their former surroundings no longer attractive; and in a short time they have come again. The old people still cherish the idea of an ultimate return to the land of their fathers, but with the others such an idea has hardly the substantiality of a pleasing hope. They still speak of Canada with affection, but it is here that they will end their days.

In matters of every-day habit and appearance there is still much that is distinctive, and not a little that is picturesque, about the life of the French Canadians in a New England community. They are still much inclined to live by themselves, in a particular section of the town or city. In some larger places a few individuals and families have attained a measure of social equality with native Americans. For the most part, however, they are regarded as a class apart, and associate but little with persons not of their own race. Nowhere do they seem to be looked upon, as a class, with entire favor, and in private are often spoken of with contempt; but their work is necessary, their trade important, and their political support not to be despised. The women are fond

of dress, and in their early years are often unusually attractive; but, with hard work and many children, they fade quickly. The older people complain that the younger generation spends its money too freely, and that frugality and thrift are less general than formerly. Whether such is the case I have no means of knowing. All classes are fond of ceremonies, and make much of weddings, funerals, and church festivals. Even under untoward conditions the general tone of life is buoyant and friendly, as of those who take the world with a light heart.

What the immediate future of the French Canadians in New England is to be belongs rather to prophecy than to such a discussion as has been here attempted. It may be pointed out, however, in conclusion, that their permanent worth, as an element in the population, is pretty certain to be measured by the extent to which they contribute to the economic sanity and the good citizenship of which the country is just now particularly in need. Whether they have within themselves the ability to pass from the position of laborers, operatives, and small tradesmen into that of leaders of industry, only time can show. At present the indications are not altogether hopeful. Politically, they are too few in number to exercise more than local influence; and even that will assuredly be minimized, unless they identify themselves completely with the American spirit which they profess to love. The time for apprehension, if such there ever was, lest our institutions should be overborne by this "horde of industrial invaders," is past. The dangers of the future are for the French Canadians, not for us.

BOWDOIN College.

WILLIAM MACDONALD.

THE BANK-NOTE SYSTEM OF SWITZERLAND.

THE industrial activity of Switzerland does not rest on conditions as favorable as those of most other countries. Of its surface, small at best, a great part is occupied by mountains. It is surrounded by four great countries, all maintaining a policy of protection. It is shut off by the Alps from its neighbors on the south and east, and only within the last fifteen years has been enabled to carry on trade with Italy and Austria through the Gotthard and Arlberg tunnels. It has no mercantile marine and no colonies. Nevertheless, Switzerland has a flourishing trade and highly developed manufactures. Careful statistical inquiry indicates that, in proportion to population, its trade is threefold that of France and exceeds that of England by 40 per cent. Year by year development goes on and calls for new facilities. Such facilities private initiative is free to create; but the state often finds it difficult to act. Under the federal organization, each Canton regards with pride an independence which has endured for centuries. In a democracy, each citizen feels that he is sovereign, and habitually gives expression to his wishes through referendum and initiative. Interests are divergent, there are differences of language and religion, sometimes each valley has customs of its own: hence it is not easy to devise a policy satisfactory to all. The Swiss by no means lack national feeling. So much is proved by the keen attention given to such questions as the acquisition by the state of the railways, the establishment of general insurance against accident and sickness, the maintenance of public schools by the Confederation. It is true also that the average of intelligence is high. Nevertheless, it is inevitable that a large number of voters should have an insufficient understand

ing at least of the technical aspects of legislative propo

sals, and therefore should not be able to reach an intelligent and clear opinion on all questions presented to them. In the financial field, on the 28th of February, 1897, a new institution, the proposed Federal Bank, was rejected at the referendum. It is intended here to give the reader an account of this institution, of the grounds for its proposal and the causes of its rejection, and of the bank-note system of Switzerland in its historical relation to the new plan.

The Swiss bank-note system had its origin in the needs of trade. It arose from private initiative among the merchants, whose interests primarily it served. The rapid industrial development of the second third of this century called for a medium of exchange at once more convenient and cheaper than the bulky silver money. The Cantonal Bank of Bern, founded in 1834, was the first banking institution in Switzerland which undertook the issue of notes. Others shortly followed. At the close of 1862 there were sixteen banks, with a paid-in capital of 37,780,000 francs and an average circulation of 13,756,000 francs. In 1875 there were thirty-two banks, with a circulation of 77,300,000 francs; in 1881 thirty-six banks, with a circulation of 99,400,000 francs. At the present time there remain thirty-four banks, whose total issue exceeds the sum of two hundred millions, and will increase still further in the immediate future. As recently as 1871 the note circulation per head of population was no more than 9.25 francs. At the close of 1896 it had risen to 63.05 francs per head, and in coming years will unquestionably reach a still higher figure.

Before the federal act of 1881 there was no legal regulation, or only partial regulation, of the conditions of issue. The first banks of issue were in no way restricted by the Confederation. Until the year 1882 there was no question of supervision or control. From time to time the individual Cantons undertook legislation, but in entire independence each of the other. Hence all varieties of