f　China。　The　teeming　population　of　Japan　was　swarming　beyond　her　island　empire；　and　Korea　and　Manchuria　did　not　seem　to　offer　sufficient　opportunity。　The　number　of　Japanese　immigrants　to　this　country；　which　before　the　Spanish　War　had　never　reached　2000　in　any　one　year；　now　rose　rapidly　until　in　1907　it　reached　30；226。　American　sentiment；　which　had　been　favorable　to　Japan　during　her　war　with　Russia；　began　to　change。　The　public　and　particularly　the　laboring　classes　in　the　West；　where　most　of　the　Japanese　remained；　objected　to　this　increasing　immigration；　while　a　number　of　leaders　of　American　opinion　devoted　themselves　to　converting　the　public　to　a　belief　that　the　military　ambitions　of　Japan　included　the　Philippines　and　possibly　Hawaii；　where　the　Japanese　were　a　formidable　element　in　the　population。　As　a　consequence　there　arose　a　strong　demand　that　the　principles　of　the　Chinese　Exclusion　Act　be　applied　to　the　Japanese。　The　situation　was　made　more　definite　by　the　fact　that　the　board　of　education　in　San　Francisco　ruled　in　1906　that　orientals　should　receive　instruction　in　special　schools。　The　Japanese　promptly　protested；　and　their　demand　for　their　rights　under　the　treaty　of　1894　was　supported　by　the　Tokio　Government。　The　international　consequences　of　thus　discriminating　against　the　natives　of　so　rising　and　self…confident　a　country　as　Japan；　and　one　conscious　of　its　military　strength；　were　bound　to　be　very　different　from　the　difficulties　encountered　in　the　case　of　China。　The　United　States　confronted　a　serious　situation；　but　fortunately　did　not　confront　it　alone。　Australia　and　British　Columbia；　similarly　threatened　by　Japanese　immigration；　were　equally　opposed　to　it。
  Out　of　deference　to　Great　Britain；　with　which　she　had　been　allied　since　1902；　Japan　consented　that　her　immigrants　should　not　force　their　way　into　unwilling　communities。　This　position　facilitated　an　arrangement　between　the　United　States　and　Japan；　and　an　informal　agreement　was　made　in　1907。　The　schools　of　San　Francisco　were　to　be　open　to　oriental　children　not　over　sixteen　years　of　age；　while　Japan　was　to　withhold　passports　from　laborers　who　planned　to　emigrate　to　the　United　States。　This　plan　has　worked　with　reasonable　success；　but　minor　issues　have　kept　alive　in　both　countries　the　bad　feeling　on　the　subject。　Certain　States；　particularly　California；　have　passed　laws；　especially　with　regard　to　the　ownership　and　leasing　of　farm　lands；　apparently　intended　to　discriminate　against　Japanese　who　were　already　residents。　These　laws　Japan　has　held　to　be　violations　of　her　treaty　provision　for　consideration　on　the　〃most　favored　nation〃　basis；　and　she　has　felt　them　to　be　opposed　in　spirit　to　the　〃gentlemen's　agreement〃　of　1907。　The　inability　of　the　Federal　Government　to　control　the　policy　of　individual　States　is　not　accepted　by　foreign　countries　as　releasing　the　United　States　from　international　obligations；　so　that；　although　friendly　agreements　between　the　two　countries　were　reached　on　the　major　points；　cause　for　popular　irritation　still　remained。
  Philander　C。　Knox；　who　succeeded　Root　as　Secretary　of　State；　devoted　his　attention　rather　to　the　fostering　of　American　interests　in　China　than　to　the　development　of　the　general　policies　of　his　Department。　While　he　refrained　from　asking　for　an　American　sphere　of　influence；　he　insisted　that　American　capitalists　obtain　their　fair　share　of　the　concessions　for　railroad　building；　mining；　and　other　enterprises　which　the　Chinese　Government　thought　it　necessary　to　give　in　order　to　secure　capital　for　her　schemes　of　modernization。　As　these　concessions　were　supposed　to　carry　political　influence　in　the　areas　to　which　they　applied；　there　was　active　rivalry　for　them；　and　Russia　and　Japan；　which　had　no　surplus　capital；　even　borrowed　in　order　to　secure　a　share。　This　situation　led　to　a　tangled　web　of　intrigue；　perhaps　inevitable　but　decidedly　contrary　to　the　usual　American　diplomatic　habits；　and　at　this　game　the　United　States　did　not　prove　particularly　successful。　In　1911　there　broke　out　in　China　a　republican　revolution　which　was　speedily　successful。　The　new　Government；　as　yet　unrecognized；　needed　money；　and　the　United　States　secured　a　share　in　a　six…power　syndicate　which　was　organized　to　float　a　national　loan。　The　conditions　upon　which　this　syndicate　insisted；　however；　were　as　much　political　as　they　were　pecuniary；　and　the　new　Government　refused　to　accept　them。
  On　the　accession　of　President　Wilson；　the　United　States　promptly　led　the　way　in　recognizing　the　new　republic　in　China。　On　March　18；　1913；　the　President　announced：　〃The　conditions　of　the　loan　seem　to　us　to　touch　nearly　the　administrative　independence　of　China　itself；　and　this　administration　does　not　feel　that　it　ought；　even　by　implication；　to　be　a　party　to　those　conditions。〃　The　former　American　policy　of　non…interference　was　therefore　renewed；　but　it　still　remained　uncertain　whether　the　entrance　of　the　United　States　into　Far　Eastern　politics　would　do　more　than　serve　to　delay　the　European　dominance　which　seemed　to　be　impending　in　1898。
  CHAPTER　XV。　The　Panama　Canal
  While　American　troops　were　threading　the　mountain　passes　and　the　morasses　of　the　Philippines；　scaling　the　walls　of　Pekin；　and　sunning　themselves　in　the　delectable　pleasances　of　the　Forbidden　City；　and　while　American　Secretaries　of　State　were　penning　dispatches　which　determined　the　fate　of　countries　on　the　opposite　side　of　the　globe；　the　old　diplomatic　problems　nearer　home　still　persisted。　The　Spanish　War；　however；　had　so　thoroughly　changed　the　relationship　of　the　United　States　to　the　rest　of　the　world　that　the　conditions　under　which　even　these　old　problems　were　to　be　adjusted　or　solved　gave　them　entirely　new　aspects。　The　American　people　gradually　but　effectually　began　to　take　foreign　affairs　more　seriously。　As　time　went　on；　the　Government　made　improvements　in　the　consular　and　diplomatic　services。　Politicians　found　that　their　irresponsible　threatenings　of　other　countries　had　ceased　to　be　politically　profitable　when　public　opinion　realized　what　was　at　stake。　Other　countries；　moreover；　began　to　take　the　United　States　more　seriously。　The　open　hostility　which　they　had　shown　on　the　first　entrance　of　this　nation　into　world　politics　changed；　on　second　thought；　to　a　desire　on　their　part　to　placate　and　perhaps　to　win　the　support　of　this　new　and　formidable　power。
  The　attitude　of　Germany　in　particular　was　conspicuous。　The　Kaiser　sent　his　brother；　Prince　Henry；　to　visit　the　United　States。　He　presented　the　nation　with　a　statue　of　Frederick　the　Great　and　Harvard　with　a　Germanic　museum；　he　ordered　a　Herreshoff　yacht；　and　asked　the　President's　daughter；　Alice　Roosevelt；　to　christen　it；　he　established　exchange　professorships　in　the　universities；　and　he　began　a　campaign　aimed　apparently　at　securing　for　Germany　the　support　of　the　entire　American　people；　or；　failing　that；　at　organizing　for　German　purposes　the　German…born　element　within　the　United　States。　France　sought　to　revive　the　memory　of　her　friendship　for　the　United　States　during　the　Revolution　by　presenting　the　nation　with　a　statue　of　Rochambeau；　and　she　also　established　exchange　professorships。　In　England；　Cecil　Rhodes；　with　his　great　dream　of　drawing　together　all　portions　of　the　British　race；　devoted　his　fortune　to　making　Oxford　the　mold　where　all　its　leaders　of　thought　and　action　should　be　shaped；　and　Joseph　Chamberlain　and　other　English　leaders　talked　freely　and　enthusiastically　of　an　alliance　between　Great　Britain　and　the　United　States　as　the　surest　foundation　for　world　peace。
  It　need　not　be　supposed；　however；　that　these　international　amenities　meant　that　the　United　States　was　to　be　allowed　to　have　its　own　way　in　the　world。　The　friendliness　of　Great　Britain　was　indeed　sincere。　Engaged　between　1899　and　1901　in　the　Boer　War；　she　appreciated　ever　more　strongly　the　need　for　the　friendship　of　the　United　States；　and　she　looked　with　cordial　approbation　upon　the　development　of　Secretary　Hay's　policy　in　China。　The　British；　however；　like　the　Americans；　are　legalistically　inclined；　and　disputes　between　the　two　nations　are　likely　to　be　maintained　to　the　limit　of　the　law。　The　advantage　of　this　legal　mindedness　is　that　there　has　always　been　a　disposition　in　both　peoples　to　submit　to　judicial　award　when　ordinary　negotiations　have　reached　a　deadlock。　But　the　real　affection　for　each　other　which　underlay　the　eternal　bickerings　of　the　two　nations　had　as　yet　not　revealed　itself　to　the　American　consciousness。　As　most　of　the　disputes　of　the　United　States　had　been　with　Great　Britain；　Americans　were　always　on　the　alert　to　maintain　all　their　claims　and　were　suspicious　of　〃British　gold。〃
  It　was；　therefore；　in　an　atmosphere　by　no　means　conducive　to　yielding　on　the　part　of　the　United　States；　though　it　was　one　not　antagonistic　to　good　feeling；　that　the　representatives　of　the　two　countries　met。　John　Hay　and　Sir　Julian　Pauncefote；　whose　long　quiet　service　in　this　country　had　made　him　the　first　popular　British　ambassador；　now　set　about　clearing　up　the　problems　confronting　the　two　peoples。　The　first　question　which　pressed　for　settlement　was　one　of　boundary。　It　had　already　taken　ninety　years　to　draw　the　line　from　the　Atlantic　to　the　Pacific；　and　now　the　purchase　of　Alaska　by　the　United　States　had　added　new　uncertainties　to