The variation of the compass was first observed by this celebrated man, though Ferdinand Columbus in the life of his father, printed at Venice, in Italian, in 1571, asserts, that the admiral first noticed it on the 14th of September 1492. Cabot published a large map of his discoveries in North America, which was hung up in the gallery at Whitehall. He also wrote an account of his voyage in the North American seas, in Italian, which was printed at Venice in 1583 in one volume folio; and is very scarce.

Juan de Ayolas followed up the discoveries of Cabot in Paraguay, having had a commission, troops, and stores given him, in 1536, for that purpose, by Don Pedro de Mendoza, the first governor of Buenos Ayres.

By the orders of Ayolas, Juan de Salinas founded the city of Asuncion, but the conquest of the natives being attended with much difficulty, and Ayolas and his party having been murdered by them, Alvar Nuñez Cabeza de Vaca, the second governor of Buenos Ayres, undertook their subjugation in person. He had arrived with 400 men to take the chief command, in case of the death of Ayolas, and finding that this event had happened, he collected all the settlers in Buenos Ayres, and detaching Irala, who had acted as governor before his arrival, into the interior, with ninety men, to report on the state of the country, was so satisfied with what he had seen, that he set out with 200 Spaniards, and 1200 Guarani Indians, and entered Paraguay; but meeting with reverses, owing to the mutinous conduct of his troops, who were corrupted by Irala, he was forced to return, when he was deposed and sent to Spain; Irala then assumed the chief command, and by his conduct soon reduced the natives, and rendered the Spanish settlements secure.

The Indians were parcelled out to the conquerors, and in 1547, the city of Asuncion was erected into a bishopric.

Much cruelty was practised towards the unfortunate natives, till the arrival of the first bishop of Paraguay, in 1554, who brought with him laws and regulations for their protection; but however wise and humane these ordinances were, they did not totally restrain the colonists from ill using their vassals; and it being found that Paraguay and the territories then discovered, were not sufficient to supply Indians enough to work in the plantations, Parana or Guayra was conquered, and the city of Ciudad Real being founded, 40,000 of the natives were reduced to slavery; and in a few years after, the Spanish power was extended over Chiquitos, on the left of Paraguay, where 60,000 of the natives were compelled to labour for the profit of their employers.

The year 1556 was a new era for the aborigines, as in that epoch the Jesuits made their appearance in Paraguay, and taking a method directly contrary to that of the conquerors, they reduced the natives by the arts of persuasion alone. They showed them how industry would conduce to their comfort; and having, by an uniform course of mildness and conciliation, reclaimed them from their native woods and wandering way of life, they settled them in towns and villages, which soon increased and flourished under their guidance.

The number of these settlements was astonishing, and so completely had these priests gained the affections of the natives, that their government and power was absolute and unlimited. The principal missions of the Jesuits, or rather the Jesuit government, was not however in Paraguay, but in Uruguay, an immense district of Buenos Ayres, on the south of the Parana; and in describing that country, some further account of their possessions will be given.

Their order being expelled from the Spanish dominions, in 1767, the countries they possessed in South America were divided into governments, and priests of other orders were appointed to take charge of the ecclesiastical affairs.

Climate, productions, features, &c.—The climate of Paraguay is in general moist and temperate, though in some parts it is cold, and white frosts are common in those places in July and August.