enduring common sense and wisdom of the British people which had pulled them through so many difficulties that appeared at the moment to be invincible and the trust which Britain evidently still retained in the cohesive qualities of that freedom-all that has Imade a deep impression. It has undoubtedly enhanced the prestige of Britain throughout the world and given added value to her counsel and deprived altogether her enemies of the force of that taunt that we were always willing to give excellent advice to other lands which we were unable to follow ourselves. That has gone.

I must correct one of the statements made by my friend Mr. Shakespeare. It is by no means the work of one man. I am not saying it merely out of compliment but out of respect for the truth. Every member of that delegation worked hard and contributed materially, one with one suggestion and one with another, and all these were brought together, sifted and adapted to the situation. It could not have been done without the combined efforts of these men supported by their colleagues. I am certain my colleagues here would allow me to single out my Unionist colleagues because of the loyal and eminent part which they took.

My fairly long experience of public life teaches me that it is easier to face foes than friends. You are accustomed to hit in that direction and instinctively out it goes. But with friends you are accustomed to give the open hand and when they quarrel it goes to the heart. And I know how my Unionist colleagues must have felt having to encounter the opposition of the people they had worked and associated with in the lovalty and friendship of their life, and the nation

owes a debt of gratitude to them for that greatest courage of all, moral courage. That is all I want to say about Ireland.

There has been a good deal of talk recently about the general election. Who started it? I did not and I certainly have not made up my mind about it. It is my business not to do so until the last moment. Then all hear about it. I have nothing to add to the very admirable statement made on the subject by my friend and colleague, Mr. Chamberlain. I reinforce one observation made by him, that the exercise of this prerogative is not a very suitable subject for public discussion. The only other thing I would say is this, that suggestions, which have been unfortunately made, that a general election was an idea started by Liberal Coalitionists in order to get rid of the reform of the House of Lords has absolutely no basis in truth and is a pure invention. Liberal Coalitionists are just as much pledged as any other Liberals to the reform of the House of Lords. I was a member of a purely Liberal Administration. The head of that Administration, Mr. Asquith, pledged himself definitely in most emphatic terms, in most insistent and urgent terms, to the reform of the House of Lords and went so far as to say, I think about ten years ago, that it was a subject that brooked no delay. So as a member of a Liberal Government I am just as much pledged as the Head of the Independent Liberal Party to reform of the House of Lords and our section of the party at any rate is not in the habit of shirking difficulties.

But I will tell you one thing we gain by these reports of a general election. There have been people. in life who have been fortunate enough, after being

abused a good deal, to have had premature report of their death, and they read in the papers most glowing and kindly obituary notices about themselves. That was more or less my feeling in reading the newspapers when the report came that there was going to be a general election. Before that we were an extravagant, wasteful Government, profligate, ruining business and trade, and the sooner we were got rid of the better. Then somebody said, "Do you know they are going?" They turned round and said, "How dare they?"

They said, "Have they not got another two years' agreement?"

"They are willing to surrender that. We expected a paean of joy."

"Not at all," they said. "You will kill trade."

"What, getting rid of an extravagant, wasteful Government?"

"Yes. Why, it will cost," they said, "two millions." But what is that to the thousands of millions we have been squandering and are still squandering. Two millions spread over two years. It is too much to get rid of the most extravagant and prodigal Government that this country ever saw. If we stay we are bungling, if we go we are tricking. Well, we must either go or stay. I will tell you what it all means, and I will tell you something else that is interesting.

It was a speech by Mr. Asquith. Mr. Asquith does not like us. It was a speech in parts very amusingunconsciously as far as I can see. His complaint is not that we are not doing the right thing, but he had done it three years ago. That is just like him. He was always prompt. He was always ahead of things. No "Wait and See" about him. Three years before any

one else thought of the things-well, he did it. Well, the nation evidently could not keep up with his promises, and he now has been indulging in a rather dreary tirade about our extravagance and mismanagement.

But I expected them to end this great indictment by a passionate demand that we should go, that the country should have an opportunity immediately of getting rid of us. Not a word. Do you know what it means? It means that all these things they have been saying and writing and urging are not believed by the people who say them. Otherwise is it conceivable that if that were true there would not be insistent demands that the nation be asked immediately to pronounce an opinion and to save itself from such a disastrous Government?

So much have I got to say about a general election, but whether the election comes early or comes lateand it must come some day-we shall have but one policy to put before the country, a policy not dictated by electioneering exigencies, but the policy demanded by the needs of the country and of the world.

What is the country doing? What is the country's position? What is the world's position? We have come through an exhausting and devastating war which has created an almost unexampled position. Not quite. It is comparable perhaps to the position of the Napoleonic wars, after which had to be restored the position of commerce and the economic life of the world. But this was an infinitely greater, it was an infinitely more exhausting war—a more costly, more destructive war, and therefore the loss which has to be repaired is incalculably greater. We have shattered trade. We have increased burdens.

Now I am going to deal with each if I can have your indulgence. Trade is in a worse position throughout the world than anybody has ever witnessed. In our own land there are 2,000,000 of unemployed. In the United States of America there are many more. Why is that? There is greater need for our goods in the world than ever before; there is less demand. It is not so much that the world cannot produce wealth which would enable it to pay for those goods if credit could be got, but credit is impossible without confidence and stability, and the problem which confronts Great Britain and the world might be summed up in one phrase the restoration of international confidence, confidence in Great Britain, confidence in other countries, but, above all, confidence of one country in every other country.

International confidence is the basis of international trade. We are a country above all that depends upon international trade. If there is no international trade there is desolation here, and to restore that you must restore international confidence.

How can you approach that problem? The electric currents of trade must necessarily be irregular and feeble in the disturbed atmosphere of the world, and without confidence you cannot build up credit, without credit you cannot have trade, and without trade you cannot have subsistence for our people. You cannot fill up the exhausted reservoirs depleted by the war. Our burdens will become intolerable and bankruptcy will stare the world in the face unless action is taken, international action-not merely action of one land, but of all lands.

How can confidence be established? I am sometimes asked by friends of mine, "Why do you devote so