"China has, through centuries, been in a sense loosely governed. We have had what might be termed a crude or patriarchal form of monarchy, the slackness of the governing body resulting in the people developing little respect for government and very little understanding of the responsibilities of a people toward a government. The present agitation for a Republic has carried to the people as a mass only the idea that popular government means no taxes and no government. I can see in it, under existing conditions, no promise of stability, at least not for several tens of years. Among the progressives of the Empire there are now two schools of thought, one favouring a Republic and the other a constitutional monarchy. I doubt whether the people of China are at the present time ripe for a Republic or whether under present conditions a Republic is adapted to the Chinese people. The situation in China is complicated by a number of different factors perhaps not understood abroad.

"In the first place there still exists among the masses a strong sectional and provincial feeling. While this has undoubtedly died out among those educated on modern lines, still this is only a comparatively small element of the country's vast population. In considering the form of government to give stability it is necessary to consider the vast majority of the people rather than the small minority.

"It is already manifest that the interests of the different sections of the country are very diverse. We find the advocates of Republicanism splitting among themselves. The educational, army, local gentry, and commercial parties have all divergent views. Small groups are being formed and struggling for ascendancy. If that is permitted to develop on a large scale, there will be a split-up and this evidently will bring foreign interference and partition. Although the Manchu government has done nothing that has drawn to it the hearts of the people, yet with the power of the people restricted as provided by the nineteen articles forming the constitutional bill of rights, the real governing power would be in the hands of the people.

"The adoption of the limited monarchy would bring conditions back to the normal, would bring stability, much more rapidly than that end could be attained through any experimental form of government unsuited to the genius of the people or to conditions as they are found in China.

"My love for China and the Chinese people is certainly as great as that of any of those who are advocating the radical step of establishing a Republic. My sincerity in the cause of reform has been demonstrated. I have undertaken what is really a stupendous task, not through any desire for power, nor love of fame but solely in the hope of being able to restore order out of chaos and to do some good for China.

"I am still hopeful of reaching some compromise that will satisfy all elements of the people sincerely desirous of preserving the integrity of the country and restoring peace and stable government throughout the land. I believe the Chinese to be a reasonable people and that there is no desire on the part of any considerable element to see the country disrupted and destroyed. What I am working for is a compromise with the advanced or Republican party with a view to ending the suffering and removing the troubles and complications with which this country is beset and threatened.

"With regard to the character and magnitude of the 'independence' movements. I do not regard the situation to have been carried beyond the possibility of compromise. Governmental authority has, it is true, been overthrown in the capitals of most of the provinces and a few men in each have framed something similar to a declaration of independence, but this does not seem to me to imply absolute secession of these provinces. In most of these capitals, the control is in the hands of conservative citizens who are holding the situation on something like a neutral basis. Their object is primarily to keep down anarchy. They desire to preserve order, to protect life and the property of the people. While the more radical elements are insisting upon a republic the better elements seem to me to be neutral. I have favoured a project to gather together from the different provinces the men who enjoy the confidence of the people in order that there may be a thorough discussion of the great question of what the form of China's government shall be.

"I believe that question should be discussed sanely and soberly. It is too big a question to be discussed in heat and passion.

"My only reason in favouring the retention of the present Emperor is that I believe in a constitutional monarchy. If we are to have that form of government, there is nobody else whom the people would agree upon for his place.

"Of course the reforms wiping out the distinctions between Chinese and Manchus must be made effective in any event.