America has performed great service for the Orient and especially for China. If, however, the people of the latter country were asked to express their candid opinion on the matter, the verdict would not be altogether pleasant, but would be given with mixed feelings of gratitude and regret. Since the formal opening of China to foreign trade and commerce, people of all nationalities have come here, some to trade, some for pleasure, some to preach Christianity, and others for other purposes. Considering that the Chinese have a civilization of their own, and that their modes of thoughts, ideas, and habits are, in many respects, different from those of the western people, it is not surprising that frictions and disputes have occasionally occurred and that even foreign wars have been waged between China and the Occident, but it is gratifying to observe that no force has ever been resorted to against China by the United States of America. Now and then troublesome questions have arisen, but they have always been settled amicably. Indeed the just and friendly attitude taken by the American officials in China had so won the esteem and confidence of the Chinese Government that in 1867, on the termination of Mr. Anson Burlingame's term as American Minister to Peking, he was appointed by the Manchu Government as Chief of a special mission to America and Europe. In that capacity he performed valuable services for China, although his work was unfortunately cut short by his untimely death. The liberal and generous treatment accorded to the Chinese students in America is another source of satisfaction. They have been admitted freely to all educational institutions, and welcomed into American families. In whatever school or college they enter they are taught in the same way as the American boys and girls, and enjoy equal opportunities of learning all that the American students learn.[1] That America has no desire for territorial acquisition in China is well known. During the Boxer movement the American Government took the lead in initiating the policy of maintaining the open door, and preserving the integrity of China, a policy to which the other great powers readily consented. It was well known at the time, and it is no breach of confidence to mention the fact here, that Mr. John Hay, American Secretary of State, with the permission of President McKinley, was quite willing that America's indemnity demanded from China as her share of the compensation for losses sustained during the Boxer upheaval, should be reduced by one-half, provided the other powers would consent to similar reductions. Unfortunately, Mr. Hay's proposal could not be carried out for want of unanimity. However, to show the good faith, and the humane and just policy of America, she has since voluntarily refunded to China a considerable portion of her indemnity, being the surplus due to her after payment of the actual expenses incurred. This is the second occasion on which she has done this, although in the previous case the refund was smaller. These are some of the instances for which the people of China have good reasons to be grateful to America and her people.
There is, however, another side to the picture; the Chinese students in America, who may be roughly calculated by the thousands, and whose number is annually increasing, have been taught democratic principles of government. These could not but be detrimental to the welfare of the late Manchu Government. They have read the history of how the American people gained their independence, and naturally they have been imbued with the idea of inaugurating a similar policy in China. Chinese merchants, traders, and others who have been residing in America, seeing the free and independent manner in which the American people carry on their government, learned, of course, a similar lesson. These people have been an important factor in the recent overthrow of the Manchu dynasty. Added to this, the fact that America has afforded a safe refuge for political offenders was another cause of dissatisfaction to the Manchus. Thus it will be seen that the Manchu Government, from their point of view, have had many reasons for entertaining unfavorable sentiments toward America.
This view I need hardly say is not shared by the large majority of Chinese. Persons who have committed political offenses in their own country find protection not only in America but in all countries in Europe, Japan, and other civilized lands. It is an irony of fate that since the establishment of the Chinese Republic, Manchu and other officials under the old regime, now find secure asylums in Hongkong, Japan, and Tsingtao, while hundreds of ex-Manchu officials have fled to the foreign settlements of Shanghai, Tientsin, and other treaty ports, so reluctantly granted by the late Manchu Government. Thus the edge of their complaint against America's policy in harboring political refugees has been turned against themselves, and the liberality against which they protested has become their protection.
The more substantial cause for dissatisfaction with the United States is, I grieve to say, her Chinese exclusion policy. As long as her discriminating laws against the Chinese remain in force a blot must remain on her otherwise good name, and her relations with China, though cordial, cannot be perfect. It is beyond the scope of this chapter to deal with this subject exhaustively, but in order to enable my readers to understand the exact situation it is necessary to supply a short historical summary. In 1868, on account of the pressing need of good laborers for the construction of railways and other public works in America, the Governments of China and the United States, concluded a treaty which provided that "Chinese subjects visiting or residing in the United States shall enjoy the same privileges, immunities, and exemptions in respect to travel or residence as may be enjoyed by the citizens or subjects of the most favored nation." It was a treaty negotiated by that great American statesman, Secretary Seward, and announced by the President of the United States to Congress as a "liberal and auspicious treaty". It was welcomed by the United States as a great advance in their international relations. It had also the double significance of having been negotiated by a Chinese special embassy, of which a distinguished American diplomat, Mr. Anson Burlingame, who was familiar with the wishes and interests of the American people, was the head.
But within a few years the labor unions on the Pacific coast began to object to the competition of Chinese laborers. Soon afterward the Chinese Government, to its intense surprise, was informed that the President of the United States had delegated a commission to come to Peking to solicit an abrogation of the treaty clause to which reference has been made. The Chinese Government was naturally unwilling to abrogate a treaty which had been urged on her by the United States with so much zeal, and which had so lately been entered upon on both sides with such high hopes. Long and tedious negotiations ensued, and finally a short treaty was concluded, the first and second Articles of which are as follows:
"Whenever in the opinion of the Government of the United States, the coming of Chinese laborers to the United States, or their residence therein, affects or threatens to affect the interests of that country, or to endanger the good order of the said country or of any locality within the territory thereof, the Government of China agrees that the Government of the United States may regulate, limit, or suspend such coming or residence, but may not absolutely prohibit it. The limitation or suspension shall be reasonable and shall apply only to Chinese who may go to the United States as laborers, other classes not being included in the limitations. Legislation taken in regard to Chinese laborers will be of such a character only as is necessary to enforce the regulation, limitation, or suspension of immigration, and immigrants shall not be subject to personal maltreatment or abuse."
"Chinese subjects, whether proceeding to the United States as teachers, students, merchants, or from curiosity, together with their body and household servants, and Chinese laborers who are now in the United States shall be allowed to go and come of their own free will and accord, and shall be accorded all the rights, privileges, immunities, and exceptions which are accorded to the citizens and subjects of the most favored nations."
It would seem reasonable to expect that in yielding so fully to the wishes of the United States in this second negotiation the Chinese Government would not be called upon to make any further concessions in the interests or at the demand of the labor unions on the Pacific coast, but in this China was disappointed. Within a period of less than ten years an urgent application was made by the American Secretary of State for a new treaty amended so as to enable the Congress of the United States to still further restrict the privileges of Chinese laborers who had come to the United States. And when the Chinese Government hesitated to consent to the withdrawal of rights which the United States granted to the subjects of other Governments, Congress passed the Scott Act of 1888 prohibiting any Chinese person from entering the United States except Chinese officials, teachers, students, merchants or travellers for pleasure or curiosity and forbidding also Chinese laborers in the United States, after having left, from returning thereto. This, in the words of Hon. J. W. Foster, ex-Secretary of State and a distinguished international lawyer, "was a deliberate violation of the Treaty of 1880 and was so declared by the Supreme Court of the United States." In order to save the Executive of the United States from embarrassment, the Chinese Government, contrary to its own sense of justice, and of international comity, for a third time yielded to the wishes of the United States, and concluded the amended treaty of 1894 which gave Congress additional power of legislation respecting Chinese laborers. By Article I of this treaty it was agreed that for a term of ten years the coming of Chinese laborers to the United States should be absolutely prohibited. Article III distinctly provided that "the provisions of this convention shall not affect the right at present enjoyed of Chinese subjects, being officials, teachers, students, merchants, or travellers for curiosity or pleasure, but not laborers, of coming to the United States and residing therein." Thus it is clear that the prohibition affects only laborers, and not the other classes of Chinese. For a few years after the signing of this convention this was the view adopted and acted upon by the immigration officials, but afterward they changed their attitude, and the foregoing Article has since been interpreted to mean that only the above-mentioned five classes can be admitted into the United States, and that all the other classes of Chinese, however respectable and honorable, must be refused admission. Will my readers believe that a Chinese banker, physician, lawyer, broker, commercial agent, scholar or professor could all be barred out of the United States of America under the provisions of this convention? In the face of the plain language of the text it seems too absurd and unreasonable to be contemplated, and yet it is a fact.
This convention was proclaimed in December, 1894. According to its provisions, it was to remain in force only for a period of ten years, but that if six months before the end of that period neither Power should give notice of denunciation it should be extended for a similar period. Such notice was, however, given by China to the United States and accordingly the convention expired in December, 1904, and is now no longer in force. No serious attempt has since been made by the United States Government to negotiate a new treaty regarding Chinese laborers, so the customs and immigration officials continue to prohibit Chinese laborers from coming to America by virtue of the law passed by Congress. It will be seen that by the treaty of 1868, known as the "Burlingame Treaty", the United States Government formally agreed that Chinese subjects, visiting or residing in the United States, should enjoy the same privileges and immunities as were enjoyed by the citizens or subjects of the most favored nation; that being so, and as the convention of 1894 has expired, according to the legal opinion of Mr. John W. Foster, and other eminent lawyers, the continuation of the exclusion of Chinese laborers and the restrictions placed upon Chinese merchants and others seeking admission to the United States are not only without international authority but in violation of treaty stipulations.
The enforcement of the exclusion laws against Chinese in the Hawaiian and Philippine Islands is still more inexcusable. The complaint in America against the immigration of Chinese laborers was that such immigration was detrimental to white labor, but in those Islands there has been no such complaint; on the contrary the enforcement of the law against the Chinese in Hawaii has been, and is, contrary to the unanimous wish of the local Government and the people. Free intercourse and immigration between those Islands and China have been maintained for centuries. What is most objectionable and unfair is that the Chinese should be singled out for discrimination, while all other Asiatics such as Japanese, Siamese, and Malays are allowed to enter America and her colonies without restraint. It is my belief that the gross injustice that has been inflicted upon the Chinese people by the harsh working of the exclusion law is not known to the large majority of the American people, for I am sure they would not allow the continuation of such hardships to be suffered by those who are their sincere friends. China does not wish special treatment, she only asks that her people shall be treated in the same way as the citizens or subjects of other countries. Will the great American nation still refuse to consent to this?
To solve the problem of immigration in a manner that would be satisfactory to all parties is not an easy task, as so many conflicting interests are involved. But it is not impossible. If persons interested in this question be really desirous of seeing it settled and are willing to listen to reasonable proposals, I believe that a way may be found for its solution. There is good reason for my optimistic opinion. Even the Labor Unions, unless I am mistaken, would welcome an amicable settlement of this complicated question. In 1902, while at Washington, I was agreeably surprised to receive a deputation of the leaders of the Central Labor Union of Binghamton, New York, inviting me to pay a visit there and to deliver an address. As I did not wish to disappoint them I accepted their invitation. During my short stay there, I was very cordially and warmly received, and most kindly treated not only by the local authorities and inhabitants, but by the members of the Labor Union and the working men also. I found that the Union leaders and the working men were most reasonable, their platform being, as far as I could learn, to have no cheap labor competition but not necessarily discrimination against any race. If the United States Government would appoint a commission composed of members representing the Labor Unions, manufacturers and merchants, to treat with a similar commission nominated by the Chinese Government, the whole question in all its bearings could be discussed, and I feel certain that after free and candid exchange of views, the joint Commissioners would be able to arrive at a scheme which would put at rest once for all the conflicting claims, and settle the matter satisfactorily to both China and the United States.
When this disagreeable difference has been removed, the friendly relations between the two Republics, cordial even while one was yet an Empire, will leave nothing to be desired and cannot but help to largely affect the trade between the two countries and to contribute to the peace of the Far East.
[1] I need hardly say that our students are also well treated in England, France, Germany, Japan, and other countries in Europe, but I am dealing in this chapter with America.
Out of a total population of 91,972,266 in the United States there were, in 1910, 17,506,175 pupils enrolled. Few nations can show such a high percentage of school students. The total number of teachers was 506,040. Educational efficiency on such a scale can be maintained only by a large expenditure of money, and from the statistics of education I find that the sum received from tuition fees was $14,687,192 gold, from productive funds $11,592,113 gold, and from the United States Government $4,607,298 gold, making a total of $70,667,865 gold.[1] I question whether any other nation can produce such an excellent example in the cause of education.
In every state there are very many schools, both public and private. There are public schools in every town, and even the smallest village has its school, while in some agricultural states, such as Wyoming, where the population is very scattered, teachers are provided by the government to teach in the farmers' homes wherever three or four children can be gathered together. The public schools are free and open to all, but in some towns in the Southern States special schools are provided for the colored people. Having such facilities for gaining knowledge, it naturally follows that the Americans, as a whole, are an educated people. By this I mean the native American, not the recent immigrants and negroes, but even as regards the latter a reservation should be made, for some of the negroes, such as Booker T. Washington and others, have become eminent through their learning and educational work.
The distinguishing feature of the school system is that it is cheap and comprehensive. In the primary and high schools the boys and girls, whether they come from the wealthy or aristocratic families, or from more straitened homes, are all studying together in the same class-room, and it is known that a President sent his son to study in a public school. There is, therefore, no excuse for even the poorest man in America being an illiterate. If he wishes he can obtain a degree in a university without difficulty. Many of the state universities admit the children of citizens of the state free, while their tuition fees for outsiders are exceptionally low, so that it is within the power of the man of the most moderate means to give his son a university education. Many of the college or university students, in order to enable them to go through their courses of study, do outside jobs after their lecture hours, and perform manual, or even menial work, during the vacations. I frequently met such students in summer resorts acting as hotel waiters and found them clean, attentive, and reliable. During a visit to Harvard University, President Eliot took me to see the dining-hall. Many students were taking their lunch at the time. I noticed that the waiters were an unusually clean set of young men, and upon inquiry was informed that they were students of the University, and that when a waiter was wanted many students applied, as the poorer students were glad to avail themselves of the opportunity to earn some money.
Honest labor, though menial, is not considered degrading, and no American of education and refinement is above doing it. In some of the states in the East, owing to the scarcity of servants, families do their own cooking and other household work. Some few years ago I was on a visit to Ashburnham, Massachusetts, and was surprised to find that my hostess not only did the cooking but also cleaned my room. I was invited to a formal luncheon by a professor, and to my astonishment his two daughters waited at the table. This is not unlike what occurs in some parts of China in the interior. The members of families, although in good circumstances, do their own household work. In some towns, not far from Canton, wealthy farmers and country gentlemen hire out their sons as menials, so that these youngsters, when they have grown up, shall know the value of money and not squander the family wealth. I cite a typical case of a millionaire who had only one son. In order to make him appreciate the worth of money he took his boy to Canton, and allowed him to be hired out as an ordinary servant. The boy was ordered by his master to look after a certain part of the house, and also to take care of a little garden. One day he carelessly broke a valuable gold-fish jar much prized by the family. His master naturally became enraged and reproached him for his negligence. The young man coolly told him that if he would come to his father's house he could replace the broken vessel by making his own selection from his father's collection of gold-fish jars. This irritated the master, who thought that the lad was adding insult to injury. However, ultimately, his master was persuaded to go with him to his father's house, and to his great astonishment he found there many gold-fish jars which were more precious than that which the lad had broken. Household work, however mean it may be, is not considered degrading in China, but the difference between China and America is that in America the people are compelled to do it from necessity, while in China it is resorted to as a matter of policy to make the young men realize the value of money, and not spend it wastefully.
The curriculum prescribed in the schools covers a wide range of subjects, and the graduates are well equipped to face the battle of life. Not only are drawing, sketching and other fine arts taught, but also carpentry and other trades. I was once shown a fairly made box which was the product of a very small boy. I did not at first perceive the use of teaching a boy to do such work in school, but I learned that its object was to instruct the pupil how to think and arrange his materials systematically.
With the exception of those schools established by Christian societies, or endowed by religious sects, all educational institutions, especially those established by the state authorities, are secular. Religion is not taught. Neither the Bible nor any other religious work is used in the schoolroom. The presidents, professors, and tutors may be strict churchmen, or very religious people, but, as a rule, they are not permitted to inculcate their religious views on the students. The minds of the young are most susceptible, and if no moral principles are impressed upon them at school or college they are apt to go astray. It should be remembered that men of education without moral principles are like a ship without an anchor. Ignorant and illiterate people infringe the law because they do not know any better, and their acts of depredation are clumsy and can be easily found out, but when men of education commit crimes these are so skilfully planned and executed that it is difficult for the police to unravel and detect them. It has been known that frauds and forgeries perpetrated by such unscrupulous persons were so cleverly designed that they bore the evidence of superior education, and almost of genius. The more a man is educated the more is it necessary, for the welfare of the state, to instruct him how to make a proper use of his talents: Education is like a double-edged sword. It may be turned to dangerous usages if it is not properly handled.
As there is no established church in the United States, and in view of the numberless different sects, it is not advisable to permit any particular phase of religion to be taught. But why not consent to allow the cardinal principles of morality to be taught in every school? The following may serve as examples:
(1) Honesty is the best policy.(2) Honor thy father and thy mother.(3) Universal brotherhood.(4) Love of mankind.(5) Charity to all.(6) Purity in thought and action.(7) Pure food makes a pure body.(8) Happiness consists of health and a pure conscience.(9) Live and let live.(10) Respect a man for his virtues, not for his money or position.(11) 'Fiat justitia, ruat coelum' (Let justice be done, though the Heavens should fall).(12) Bear no malice against anyone.(13) Be equitable and just to all men.(14) Liberty and freedom but not license.(15) Do not unto others what ye would not that others should do unto you.
I have jotted down the above just as they occurred to me while writing. They can easily be amplified, and be made the basis of an ethical instruction in all the schools. In any case, every nation should aim at the highest standard of morals.
Co-education in the United States is not so unpopular as in some other countries, and it is increasing in favor. In all the primary schools, and in most of the high schools, boys and girls study in the same class-room, and girls are admitted as students even in some colleges and universities. This principle of admitting the fair sex to equal educational privileges is slowly but surely being recognized everywhere. In some universities the authorities have gone half-way; lectures are given to the girl students in separate rooms, or separate buildings, or halls, are provided for the girl students. With regard to the teaching staff, in the primary schools nearly all the teachers are women, and in the high schools their number is at least half, if not more. In some of the universities there are lady professors or tutors. It goes without saying that girls have the natural talent for learning everything that boys can learn. The objections raised by the opponents of co-education seem to rest chiefly upon the danger of the intellectual or physical overstrain of girls during adolescence, and upon the unequal rate of development of boys and girls during the secondary school period. It is further alleged that in mixed schools the curriculum is so prescribed that the girls' course of study is more or less adapted to that of the boys, with the result that it cannot have the artistic and domestic character which is suitable for the majority of girls; but why should not the curriculum be arranged in such a way as to suit both sexes? Is it not good for both to learn the same subjects? That which is good for a boy to learn is it not equally advisable for a girl to know, and vice versa? Will not such a policy create mutual sympathy between the sexes? The opponents of the co-education policy assert that it makes the girls masculine, and that it has a tendency to make the boys a little feminine. It cannot, however, be doubted that the system reduces the cost of education, such as the duplication of the teaching staff, laboratories, libraries, and other equipment.
It is objected that the system has done more than anything else to rob marriage of its attractions, by divesting man of most of his old-time glamour and romance. It is claimed that this early contact with the other sex, on a footing of equality, and the manner in which the majority of the girl students more than maintain their intellectual standing with the boys, has tended to produce that contempt of the much-vaunted superiority of man, that, as a rule, is reserved for those post-nuptial discoveries which make marriage such an interesting venture. But they forget that marriages are frequently contracted in places where girls and boys are taught together, and where they have had ample opportunities for knowing each other intimately, and that experience proves that such marriages are happy and lasting unions. It is interesting to observe, however, that as the number of educational institutions has increased, the number of unmarried women has been correspondingly augmented. It is easy to explain this by the fact that a large number of women earn their own livelihood by going into business and the professions. As they become more educated, and are allowed to participate in many of the same privileges as men, it is only natural that they should show their independence by remaining single. The same thing would occur in any country, and we may expect a like state of things in China as greater facilities for instruction are afforded to women. I do not feel alarmed at the prospect; indeed, I would welcome it if I could see my country-women acting as independently and as orderly as their American sisters.
The games and sports sanctioned and encouraged in schools and universities are useful, in that they afford diversion of the pupils' minds from their school work. They should not, however, be indulged in in such a way as to interfere with their studies. Take, as an example, boat racing; several months of preparation are necessary before the event takes place, and during a great portion of this time the students do not think much of their studies; they are all mad with excitement. The contest between the two rival parties is very keen; they have but one thought, and that is to win the race. In this way, at least so it seems to me, the main object of recreation is entirely lost sight of; it becomes no longer an amusement, but labor and work. I am told that the coxswain and the other members of the boat race generally have to take a long rest when the race is over, which clearly shows that they have been overworking. I favor all innocent games and sports which mean recreation and diversion, but if it be thought that without a contest games would lose their relish and their fun, then I would suggest that the aim should be the exhibition of a perfect body and absolute health. Let the students, when they come to the recreation ground, indulge in any sport they please, but make them feel that it is "bad form" to overstrain, or do anything which, even temporarily, mars the perfect working of their physical organisms. Let each student so train himself as to become healthy and strong both physically and mentally, and the one who, through reasonable and wholesome exercises, is able to present himself in the most perfect health should be awarded the highest prize.
[1] There appears to be $39,781,262 missing from these figures. Possibly Wu Tingfang's figures are incorrect, but it seems more likely that he neglected to include expenditures by state and local governments.—A. R. L., 1996.
If I should be asked what is most essential for the successful carrying on of business in America I would say advertising. A business man in America who intends to succeed must advertise in the daily, weekly, and monthly papers, and also have big posters in the streets. I do not believe any up-to-date merchant in America fails to do this. Every book and magazine contains many advertisements; sometimes fully half of a big magazine is covered with notices or pictures of articles for sale. Wherever you go the inevitable poster confronts you; and even when you look out of the window of the train you see large sign-boards announcing some article of trade. The newer the brand the bigger the picture. If when you get into a street-car you look around you will see nothing but advertisements of all kinds and sorts, and if you answer an advertisement you will keep on receiving notices of the matter about which you inquired. Even now I receive letters urging me to buy something or other about which I sent a letter of inquiry when I was in America. At night, if you stroll round the town you will be amazed by the ingenious and clever signs which the alert minds of the trades people have invented, such as revolving electric lights forming the name of the advertiser with different colors, or a figure or shape of some sort illustrating his wares. But even this is not thought sufficient. Circulars are often sent to everyone, making special offers, setting forth forceful reasons why the commodity advertised is indispensable. Certain stores make it a point to announce cheap sales once or twice a year, with from 10 to 25 per cent. reduction. It should be noted that no tradesman voluntarily sells his goods at a loss, so that if during a sale he can give as much as 25 per cent. discount we can easily calculate the percentage of profit he generally makes. There are cases where men who started as petty dealers have, after a few years, become millionaires.
To show the importance of advertising I cite the well-known sanitary drink which is a substitute for tea and coffee, and which by extensive advertising in almost every paper published in every country has now become a favorite beverage. The proprietor is now a multi-millionaire and I am told that he spends more than a million dollars a year in advertising.
Another thing inseparable from American business is the telephone. A telephone is a part of every well-appointed house, every partner's desk is provided with a telephone, through which he talks to his clients and transacts business with them. In all official departments in Washington scores of telephones are provided; even the secretary of the department and the chief of the bureau give orders by telephone. It goes without saying that this means of communication is also found in the home of almost every well-to-do family. The invention of a telephone is a great blessing to mankind; it enables friends to talk to each other at a distance without the trouble of calling.[1] Sweethearts can exchange their sweet nothings, and even proposals of marriage have been made and accepted through the telephone. However, one is subjected to frequent annoyances from wrong connections at the Central Office, and sometimes grave errors are made. Once, through a serious blunder, or a mischievous joke, I lost a dinner in my Legation in Washington. My valet received a telephone message from a lady friend inviting me to dine at her house. I gladly accepted the invitation, and at the appointed time drove to her home, only to find that there was no dinner-party on, and that I should have to go hungry.
With some trades, in order to create a new market, commercial travellers or "drummers" give their goods away for nothing. Experience has proved that what they lose at the start they recover in the course of time, receiving in addition triple or tenfold more business than the cost of the original outlay. These commercial agents travel through all sections of the country to solicit business; they call upon those who can give them orders; they look up those who are engaged in similar businesses to their own, and, if they are retailers, they invite their orders, or ask them to become sub-agents. These gentlemen practically live on the trains: they eat, sleep, and do their business while travelling. One of them told me that in one month he had covered 38,000 miles, and that he had not been back to his firm for three months.
There is no doubt that the American people are active, strenuous workers. They will willingly go any distance, and undertake any journey, however arduous, if it promises business; they seem to be always on the go, and they are prepared to start anywhere at a moment's notice. An American who called on me a short time ago in Shanghai told me that when he left his house one morning at New York, he had not the slightest notion he was going to undertake a long journey that day; but that when he got to his office his boss asked him if he would go to China on a certain commission. He accepted the responsibility at once and telephoned to his wife to pack up his things. Two hours later he was on a train bound for San Francisco where he boarded a steamer for China. The same gentleman told me that this trip was his second visit to China within a few months.
American salesmen are clever and capable, and well know how to recommend whatever they have to sell. You walk into a store just to look around; there may be nothing that you want, but the adroit manner in which the salesman talks, and the way in which he explains the good points of every article at which you look, makes it extremely difficult for you to leave the store without making some purchases. Salesmen and commercial travellers in the United States have certainly learned the art of speaking. I once, however, met a remarkable exception to this rule in the person of an American gentleman who was singularly lacking in tact; he was in China with the intention of obtaining a concession, and he had nearly accomplished his object when he spoilt everything by his blunt speech. He said he had not come to China for any philanthropic purposes, but that he was in the country to make money. We all know that the average business man is neither a Peabody nor a Carnegie, but it was quite unnecessary for this gentleman to announce that his sole object was to make money out of the Chinese.
Up to a few years ago business men in America, especially capitalists, had scarcely any idea of transacting business in China. I well remember the difficulty I had in raising a railway loan in America. It was in 1897. I had received positive instructions from my government to obtain a big loan for the purpose of constructing the proposed railway from Hankow to Canton. I endeavored to interest well-known bankers and capitalists in New York City but none of them would consider the proposals. They invariably said that their money could be just as easily, and just as profitably, invested in their own country, and with better security, than was obtainable in China. It was only after nearly twelve months of hard work, of careful explanation and much persuasion, that I succeeded in finding a capitalist who was prepared to discuss the matter and make the loan. Conditions have now changed. American bankers and others have found that investments in China are quite safe. They have sent agents to China to represent them in the matter of a big international loan, and they are now just as ready to lend money in China as in Europe, and on the same terms. In conjunction with the representatives of some large European capitalists they even formed a powerful syndicate in China, for the purpose of arranging loans to responsible Chinese investors. In the spring of 1913, however, they withdrew from the syndicate.
The opportunities to make money in America are great and a young man with only fair ability, but an honest purpose, will always get something to do; and if he is industrious and ready for hard work, if he possess courage and perseverance, he will most surely go forward and probably in time become independent. There are hundreds of millionaires and multi-millionaires in America who, in their younger days, were as poor as sparrows in a snowstorm, but through perseverance, combined with industrious and economical habits they have prospered far beyond their own expectations. The clever methods they adopt in the carrying on of their business cannot but arouse our admiration, and Chinese merchants would do well to send some of their sons to America to study the various systems practised there. But no nation or any class of people is perfect, and there is one money-making device which seems to me not quite sound in principle. To increase the capital of a corporation new shares are sometimes issued, without a corresponding increase in the actual capital. These new shares may represent half, or as much of the actual capital as has been already subscribed. Such a course is usually defended by the claim that as the property and franchises have increased in value since the formation of the corporation the increase of the stock is necessary in order to fairly represent the existing capital. It is said that some railway stock has been "watered" in this way to an alarming extent, so that a great deal of it is fictitious, yet though it exists only on paper it ranks as the equal of the genuine stock when the dividends are paid. Whether or not such an action really is justifiable, or even moral, I leave to the Christian clergy and their followers to decide. The promoters and directors of such concerns have at least hit upon a very clever method for becoming rich, and if the securities of the original shareholders are not injured, and the holders of the genuine and the watered stock can share equally without endangering the interests of all, perhaps such an action may be less blamable, but it is a new kind of proceeding to Orientals.
I must not omit to mention, however, the confidence which is placed in the honesty of the people in general; for example, you enter an omnibus, you will find the driver, but no conductor to collect the fare. "It is up to you" to put the fare into a box, and if you do not pay no one will ask for it. Yet every fare is paid. I have never seen a dishonest man who omitted to pay. This is a remarkable fact which I have noticed nowhere but in America. I suppose it is because the people are not poor, and as they are always able to pay the fare they do so. They are too honest to cheat. It is certainly a good way to encourage people to be honest, to put them on their honor and then rely on their own sense of uprightness.
The most curious sight I have ever seen was the Stock Exchange in New York. It is used as a market for the purchase and sale of various articles, but there were no goods exposed for sale. I saw a good many people running about talking, yelling and howling, and had I not been informed beforehand what to expect I should have thought that the men were getting ready, in their excitement, for a general all round fight. However, I did not see any exchange of blows, and I did not hear that any blood was shed.
Another remarkable feature of the scene was that I did not see a single woman there; she was conspicuous by her absence. Whether or not the rules of the Exchange allow her to become a member I do not know; that is a question for the woman suffragists to investigate, but I learned that it is a wealthy association consisting of 1,100 members, and that to become a member one must be a citizen of the United States of 21 years of age or more. The number of members is limited. Persons obtain membership by election, or by the transfer of the membership of a member who has resigned or died. A new member who is admitted by transfer pays an initiation fee of 2,000 gold dollars, in addition to a large fee to the transferrer, for his "seat in the House". A member may transfer his seat to his son, if the Committee of the Exchange approve, without charging for it; but in all cases the transferree pays the above-mentioned initiation fee of 2,000 gold dollars.
The prices for these seats vary, the fluctuations being due to the upward or downward trend of the stock market. Within recent years the price has risen considerably, and as much as 95,000 gold dollars has been paid to the transferrer. This is much higher than the price usually paid by new members in Stock Exchanges in Europe, yet when a seat becomes vacant there is no lack of purchasers. It is clear that a seat in the "House" is very valuable to the holder. In the building each member has a stall allotted to him where he has a telephone for his exclusive use; this enables him to communicate every transaction done in the Exchange to his business house, and to keep up connections with his constituents in other cities. When one of his constituents, say in Washington, D.C., desires to buy a certain security the order is conveyed to him direct, and executed without delay. I have seen a transaction of this kind executed in ten minutes, though there was a distance of several hundred miles between client and broker. The amount of business transacted in the "House" every day is enormous, aggregating many millions of dollars. New York also has other Exchanges, where different articles of merchandise are purchased and sold, such as corn, coffee, cotton, etc., and the volume of business transacted daily in that "Empire City" must be immense, and almost beyond calculation.
Of course there are Exchanges in Chicago, Boston, Cincinnati, St. Louis, Philadelphia, Baltimore, Washington and other cities, all conducted on similar lines, but the prices are always governed by the quotations from New York. This skilful and systematic way of doing business is remarkable, and I am inclined to believe that New York is ahead of many cities in South America and in Europe. No wonder that the services of Americans are required by other countries in industrial and technical concerns. Some years ago, when I was in Madrid, I noticed that the street tram-car was running according to the American system, and upon inquiry I was told it was controlled by an American syndicate.
The pursuit of wealth in America is intense; it is apparent everywhere and seems to be the chief aim of the American people. Because of their eagerness to become rich as soon as possible they are all in a constant hurry. You may see people in the streets almost running to their offices, at luncheon they do not masticate their food, they bolt it, and in less than ten minutes are on their way back to their office again. Everyone is urged on by this spirit of haste, and you frequently hear of sudden deaths which doctors attribute to heart failure, or some other malady, but which I suspect are caused by the continual restless hurry and worry. People who are so unnaturally eager to get rich naturally suffer for it.
It is the general belief that Americans do not live as long as Europeans. They make money easily and their expectations are high. I have known many Americans who, in my opinion, were wealthy people, but they themselves did not think so; in fact, they said they were poor. Once I asked a gentleman, who was known to be worth half a million of gold dollars, whether it was not time for him to retire. He pooh-poohed the idea and said that he could not afford to give up his work. In reply to my inquiries he informed me that he would not call a man wealthy unless he should be possessed of one or two millions of dollars. With such extravagant ideas, it is no wonder that Americans work so hard. I grant that a man's mission in this world is to attain happiness. According to Webster, happiness is "that state of being which is attended with enjoyment," but it is curious to observe what different notions people have as to what happiness is. I know an Englishman in China who by his skilful business management, combined with good luck, has amassed immense wealth; in fact, he is considered the richest man in the port where he resides. He is a bachelor, over seventy years old, and leads a very simple life. But he still goes to his office every day, and toils as if he had to work for a living. Being told that he should discontinue his drudgery, as at his death he would have to leave his large fortune to relatives who would probably squander it, he gave an answer which is characteristic of the man. "I love," he said, "accumulating dollars and bank notes, and my enjoyment is in counting them; if my relatives who will inherit my fortune, take as much pleasure in spending it as I have had in making it, they will be quite welcome to their joy." Not many people, I fancy, will agree with the old bachelor's view of life. I once suggested to a multi-millionaire of New York that it was time for him to retire from active work, leaving his sons to carry on his business. He told me that he would be unhappy without work and that he enjoyed the demands his business made on him each day.
Many a man's life has been shortened by his retiring from business. It is the mind rather than the body that lives, and apart from their business these men have no thoughts and therefore no life. A man's idea of happiness is greatly governed by his personal tastes, and is influenced by his environment, his education and the climate. The form which it is to assume may vary with persons of different tastes and positions, but it should not be carried out for his own benefit solely and it should not be injurious to his health or to his intellectual and spiritual improvement, nor should it be detrimental to the interests of other people.