ments, the rattling of swords when diplomacy ran into a deadlock. Before the Great War that process was running a dangerous course in China. Here, you were in a British “sphere of influence”; in general non-British capital was not wanted, could not get a foothold. Here, the influence was German; here, French. And the nations were jockeying to extend their sphere further and further into China—without regard of course for the feelings of the inhabitants.
Some internationalization of export capital seems necessary to permanent peace. This may come through an association of nations; it may come before that association is effective through action of the great flotation houses. Most banking men want peace; war is too disturbing, armaments are too costly. But in strategic control of the world’s financial interests before the war were too many ruthless adventurers allied with the military and financial adventurers. Banking also was caught in a wheel. There are the signs that sober sense is coming into this business. The “Chinese consortium” is an association of the capital of many nations for investment in China. It may be open to criticism on some grounds; but let us give credit where credit is earned. Such an arrangement tends to do away with “spheres of influence,” with the seeming necessity for keeping up armament and a state of passive warfare in order to protect export
