Even with the continual peril from plague and famine, the government does not encourage emigration, as you think would be considered a wise policy, but retards it by all sorts of regulations and restrictions, and it is difficult to drive the Hindus out of the wretched hovels in which they live and thrive and breed like rats or rabbits. The more wretched and comfortless a home, the more attached the natives are to it. The less they have to leave the more reluctant they are to leave it, but the same rule applies to every race and every nation in the south of Europe and the Turkish Empire, in Syria, Egypt, the East India Islands, and wherever the population is dense and wages are low. It is the semi-prosperous middle class who emigrate in the hope of bettering their condition.

There is less emigration from India than from any other country. During the last twenty years the total number of persons emigrating from the Indian Empire was only 316,349, less than come to the United States annually from Italy, and the statistics show that 138,660 of these persons returned to their former homes during that period, leaving the net emigration since 1882 only 177,689 out of 300,000,000 of population. And most of these settled in other British colonies. We have a few Hindu merchants and Parsees in the United States, but no coolies whatever. The coolies are working classes that have gone to British Guiana, Trinidad, Jamaica and other West Indies, Natal, East Africa, Fiji and other British possessions in the Pacific. There has been a considerable flow of workmen back and forth between India and Burma and Ceylon, for in those provinces labor is scarce, wages are high and large numbers of Hindus are employed in the rice paddies and tea plantations.

The government prevents irregular emigration. It has a "protectorate of emigrants" who is intrusted with the enforcement of the laws. Natives of India are not permitted to leave the country unless they are certain of obtaining employment at the place where they desire to go, and even then each intending emigrant must file a copy of his contract with the commissioner in order that he may be looked after in his new home, for the Indian government always sends an agent to protect the interests of its coolies to every country where they have gone in any considerable numbers. Every intending emigrant must submit to a medical examination also, for the navigation laws prohibit vessels from taking aboard any native who does not show a certificate from an official that he is in full possession of his health and faculties and physically fit to earn his living in a strange country. Vessels carrying emigrants are subject to inspection, and are obliged to take out licenses, which require them to observe certain rules regarding space occupied, ventilation, sanitation and the supply of food and water. Most of the emigrants leaving India go out under contract and the terms must be approved by the agent of the government.

The fact that the government and the benevolent people of Europe and America have twice within the last ten years been compelled to intervene to save the people of India from perishing of starvation has created an impression that they are always in the lowest depths of distress and continually suffering from any privations. This is not unnatural, and might under ordinary circumstances be accepted as conclusive proof of the growing poverty of the country and the inability of the people to preserve their own lives. Such a conclusion, however, is very far from the fact, and every visitor to India from foreign lands has a surprise awaiting him concerning its condition and progress. When three-fifths of a population of 300,000,000 have all their eggs in one basket and depend entirely upon little spots of soil for sustenance, and when their crops are entirely dependent upon the rains, and when for a succession of years the rains are not sufficient, there must be failures of harvest and a vast amount of suffering is inevitable. But the recuperative power of the empire is astonishing.

Although a famine may extend over its total length and breadth one season, and require all the resources of the government to prevent the entire population from perishing, a normal rainfall will restore almost immediate prosperity, because the soil is so rich, the sun is so hot, and vegetation is so rapid that sometimes three and even four crops are produced from the same soil in a single year. All the people want in time of famine is sufficient seed to replant their farms and food enough to last them until a crop is ripe. The fact that a famine exists in one part of the country, it must also be considered, is no evidence that the remainder of the empire is not abounding in prosperity, and every table of statistics dealing with the material conditions of the country shows that famine and plague have in no manner impeded their progress. On the other hand they demonstrate the existence of an increased power of endurance and rapid recuperation, which, compared with the past, affords ground for hope and confidence of an even more rapid advance in the future.

Comparing the material condition of India in 1904 with what it was ten years previous, we find that the area of soil under cultivation has increased 229,000,000 acres. What we call internal revenue has increased 17 per cent during the last ten years; sea borne foreign commerce has risen in value from £130,500,000 to £163,750,000; the coasting trade from £48,500,000 to £63,000,000, and the foreign trade by land from £5,500,000 to £9,000,000. Similar signs of progress and prosperity are to be found in the development of organized manufactures, in the increased investment of capital in commerce and industry, in dividends paid by various enterprises, in the extended use of the railways, the postoffice and the telegraph. The number of operatives in cotton mills has increased during the last ten years from 118,000 to 174,000, in jute mills from 65,000 to 114,000, in coal and other mines from 35,000 to 95,000, and in miscellaneous industries from 184,000 to 500,000. The railway employes have increased in number from 284,000 to 357,000 in ten years.

A corresponding development and improvement is found in all lines of investment. During the ten years from 1894 to 1904 the number of joint stock companies having more than $100,000 capital has increased from 950 to 1,366, and their paid up capital from £17,750,000 to £24,500,000. The paid in capital of banks has advanced from £9,000,000 to £14,750,000; deposits have increased from £7,500,000 to £23,650,000, and the deposits in postal savings banks from £4,800,000 to £7,200,000, which is an encouraging indication of the growth of habits of thrift. The passenger traffic on the railways has increased from 123,000,000 to 195,000,000, and the freight from 20,000,000 to 34,000,000 tons. The number of letters and parcels passing through the postoffice has increased during the ten years from 340,000,000 to 560,000,000; the postal money orders from £9,000,000 to £19,000,000, and the telegraph messages from 3,000,000 to 5,000,000 in number.

The income tax is an excellent barometer of prosperity. It exempts ordinary wage earners entirely--persons with incomes of less than 500 rupees, a rupee being worth about 33 cents of our money. The whole number of persons paying the income tax has increased from 354,594 to 495,605, which is about 40 per cent in ten years, and the average tax paid has increased from 37.09 rupees to 48.68 rupees. The proceeds of the tax have increased steadily from year to year, with the exception of the famine years.

There are four classifications of taxpayers, and the proportion paid by each during the last year, 1902, was as follows:

Per cent.
Salaries and pensions29.07
Dividends from companies and business7.22
Interest on securities4.63
Miscellaneous sources of income59.08