[10] The Arbitrator, 1890, April.

[11] The Japanese Government demanded redress, which was at first refused by China. This led to a stormy correspondence, which at last became so bitter that both sides prepared for war. The Japanese troops had already taken possession of Formosa. During this dangerous juncture, the British minister in Pekin, Sir Thomas Wade, offered to mediate as an arbiter. The offer was accepted, and led to an agreement between the Chinese Government and the Japanese ambassador in Pekin, by which China was to pay Japan 50,000 taels, and the Japanese troops were to evacuate Formosa. When Lord Derby, who was at that time Foreign Secretary of Great Britain, received a telegram from Sir Thomas Wade respecting this happy result, he answered him: "It is a great pleasure to me to present to you the expression of the high esteem with which her Majesty's Government regards you for the service you have rendered in thus peaceably adjusting a dispute which otherwise might have had unhappy consequences, especially to the two countries concerned, but also for the interests of Great Britain and other parties to treaties." Sir Harry Parkes, the English minister in Japan, wrote to Lord Derby, that the Mikado, the Emperor of that land, had invited him to an interview for the purpose of expressing his satisfaction at the result, and through him to present his warm thanks for his brave and efficient service. The Japanese minister in London also called upon Lord Derby and expressed the thanks of his Government to Mr. Wade. "He could assure me," said Lord Derby, when he repeated the words of his excellency, "that the service which has thus been rendered will remain in grateful remembrance among his countrymen."

[12] This dispute had assumed quite a serious and menacing character when the ex-president Grant, on his journey round the world, came to China. When his arrival became known, the Chinese prince, Kung, submitted to him that he should use his great influence in mediating between the two countries. A specially interesting conversation followed: "We have," said Prince Kung, "studied international law as it is set forth by English and American authors, whose works are translated into Chinese. If any value is to be set upon principles of international right, as set forth by the authors of your nation, the doing away with the independence of the Liu Kiu Islands is an injustice." Grant reminded him that he was there only as a private individual, but added, "It would be a true joy to me if my advice or efforts could be the means of preserving peace, especially between two nations for whom I cherish such interest as for China and Japan." Immediately afterwards he returned to Tokio, the capital of Japan, called upon the Emperor and his Minister, and advocated a peaceable settlement of the dispute. He wrote to Prince Kung the result of his mediation, and produced a scheme for a Court of Arbitration.

[13] At the Peace of Utrecht, 1713, it was decided that the course of the river Maronis was the boundary. But that river divides itself into two branches which embrace a large tract of land, almost a fifth part of French Guiana. Neither France nor Holland had claimed that land until gold beds were discovered there, and it had to be decided which of the two arms of the river was to be considered as the Maronis, and which as a tributary.

[NEUTRALITY.]

Side by side with the idea of arbitration, another pacific idea, already powerful, is pressing forward, and growing into an International Law, namely, the Law of Neutrality.

He is neutral, who neither takes part for, nor against, in a dispute. Neutrality is the impartial position which is not associated with either party. The State is called neutral which neither takes part in a war itself, nor in time of war sides with any of the warring parties.

In ancient times neutrality was not understood as a national right. Neither the Greek nor the Latin language has any word to express the idea. In the days when Roman policy was seeking to drag all the nations of the earth into its net, the Romans saw in other peoples only tributaries who had been subdued by their armies, subject nations who had submitted to the Roman yoke, allies who were compelled to join in their policy of conquest, or lastly enemies, who sooner or later would have to bow before their victorious legions. Neutral States there were none.

The centuries immediately following the dissolution of the Western Roman Empire were filled with constant strife. This continued long before the refining power which exists in the heart of Christianity began to show itself in the foreign relations of States.

The foundations of modern Europe were laid in war.