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CANADIAN PREFERENCE. because I believe it would tend, though perhaps not to the extent that we all hope, to diminish the decline of our agricultural population; and because I am satisfied, for reasons which I will give before I sit down, that it must certainly tend to the consolidation of the Empire.

Mr. Asquith, in his speech at Cinderford on October 8th, referred to Mr. Chamberlain's assertion that unless Policy we were prepared to establish preferential tariffs the future of the Empire would be jeopardised as an assertion we are asked to accept and act on without a shadow of proof or a scintilla of evidence. I will give you my own reason for making the same assertion as Mr. Chamberlain. There has been for the last two or three years a very large influx of farmers from the United States into the north-west of Canada. I have been afraid that that influx might lead to a demand for reciprocity with the United States, and if reciprocity were once established, political union with the United States would soon follow. But there is an even greater justification for this opinion. Canada was the first of our Colonies to institute the policy of preferential trade. In the year 1897 Canada gave to British products in the Canadian markets a preference of twenty-five per cent., subsequently increased to thirty-three per cent. What took place last year at the Conference of Colonial Premiers from our self-governing Colonies all over the world? It was unanimously resolved, on the motion of Canada, 'that the principle of preferential trading would, by promoting the development of the resources and industries of the several parts, strengthen the Empire; that it was desirable that those Colonies which had not already adopted such a policy should, 173