uncontrolled administration of the nation which leased them. The
land-tax may be regarded as the backbone of Chinese finance; but
although nominally collected at a fixed rate, it is subject to
fluctuations due to bad harvests and like visitations, in which cases
the tax is accepted at a lower rate, in fact at any rate the people can
afford to pay.

The salt and other monopolies, together with the customs, also
contribute an important part of China's revenue. There is the old native
customs service, with its stations and barriers all over the empire, and
the foreign customs service, as established at the treaty ports only, in
order to deal with shipments on foreign vessels trading with China. The
traditional and well-marked lines of taxation are freely accepted by the
people; any attempt, however, to increase the amounts to be levied,
or to introduce new charges of any kind, unless duly authorized by the
people themselves, would be at once sternly resisted. As a matter of
fact, the authorities never run any such risks. It is customary, when
absolutely necessary, and possibly desirable, to increase old or to
introduce new levies, for the local authorities to invite the leading
merchants and others concerned to a private conference; and only when
there is a general consent of all parties do the officials venture
to put forth proclamations saying that such and such a tax will be
increased or imposed, as the case may be. Any other method may lead to
disastrous results. The people refuse to pay; and coercion is met at
once by a general closing of shops and stoppage of trade, or, in more
serious cases, by an attack on the official residence of the offending
mandarin, who soon sees his house looted and levelled with the ground.
In other words, the Chinese people tax themselves.

The nominal form of government, speaking without reference to the new