[1901-1906 A.D.] strengthened by the appointment of four colonial members with the rank of lords of appeal.d A compromise was, however, ultimately agreed upon by which in cases involving non-Australian interests the right of appeal should be fully maintained, while, in questions between the commonwealth and a single state, or between two states, leave to appeal might be given by the high court of Australia. The commonwealth was successfully inaugurated in 1901 with Lord Hopetoun, who had won golden opinions as governor of Victoria a few years before, as governor-general, and with Mr. Barton, who had taken the lead among the Australian delegates in making the constitution, as prime minister. Lord Hopetoun was succeeded in 1903 by Lord Tennyson, and he in turn in 1904 by Lord Northcote. Mr. Barton remained prime minister until 1903, when he resigned to become a judge of the high court. He was succeeded by Mr. Deakin. In April, 1904, a labour ministry under Mr. Watson came into power, but in August gave way to a liberal ministry under Mr. Reid. In the following July Mr. Deakin again became prime minister. The new system has not always given satisfaction, but it seems to work more smoothly as time goes on.a Provisions of the Commonwealth Act The provisions of the Commonwealth Act passed in 1900 were as follows: The six colonies entering the commonwealth were denominated original states, and new states might be admitted, or might be formed by separation from or union of two or more states or parts of states; and territories (as distinguished from states) might be taken over and governed under the legislative power of the commonwealth. The legislative power is vested in a federal parliament, consisting of the sovereign, a senate, and a house of representatives, the sovereign being represented by a governor-general. The senate was to consist of the same number of members (not less than six) for each state, the term of service being six years, but subject to an arrangement that half the number would retire every three years. The house of representatives was to consist of members chosen in the different states in numbers proportioned to their population, but never fewer than five. The first house of representatives was to contain seventy-five members. For elections to the senate the governors of states, and for general elections of the house of representatives the governor-general, would cause writs to be issued. The senate would choose its own president, and the house of representatives its speaker; each house would make its own rules of procedure; in each, onethird of the number of members would form a quorum; the members of each must take oath, or make affirmation of allegiance; and all alike would receive an allowance of £400 a year. The legislative powers of the parliament have a wide range, many matters being transferred to it from the colonial parliaments. The more important subjects with which it deals are trade, shipping, and railways; taxation, bounties, the borrowing of money on the credit of the commonwealth; the postal and telegraphic services; defence, census, and statistics; currency, coinage, banking, bankruptcy; weights and measures; copyright, patents, and trade marks; marriage and divorce; immigration and emigration; conciliation and arbitration in industrial disputes. Bills imposing taxation or appropriating revenue must not originate in the senate, and neither taxation bills nor bills appropriating revenue for the annual service of the government may be amended in the senate, but the senate may return such bills to the house of representatives with a request for their amendment. Appropriation laws must not deal with other matters. [1642-1814 A.D.] Votes for the appropriation of the revenue shall not pass unless recommended by the governor-general. The constitution requires the assent of the sovereign to all laws. The executive power is vested in the governor-general, assisted by an executive council appointed by himself. He has command of the army and navy, and appoints federal ministers and judges. The ministers are members of the executive council and must be, or within three months of their appointment must become, members of the parliament. The judicial powers are vested in a high court and other federal courts, and the federal judges hold office for life or during good behaviour. The high court has appellate jurisdiction in cases from other federal courts and from the supreme courts of the states, and it has original jurisdiction in matters arising under laws made by the federal parliament, in disputes between states, or residents in different states, and in matters affecting the representatives of foreign powers. Special provisions were made respecting appeals from the high court to the sovereign in council. The constitution set forth elaborate arrangements for the administration of finance and trade during the transition period following the transference of departments to the commonwealth. The constitution, parliament, and laws of each state, subject to the federal constitution, retained their authority; state rights were carefully safeguarded, and an inter-state commission was given powers of adjudication and of administration of the laws relating to trade, transport, and other matters. Provision was made for necessary alteration of the constitution of the commonwealth, but so that no alteration could be effected unless the question had been directly submitted to, and the change accepted by, the electorate in the states. The seat of government was to be within New South Wales, not less than 100 miles distant from Sydney, and of an area not less than 100 square miles. Until other provision was made, the governor-general was to have a salary of £10,000, paid by the commonwealth. The federal system has proved as satisfactory as could perhaps be reasonably expected. There has, however, been considerable friction at times between the central government and separate states. Late in 1905 New South Wales expressed dissatisfaction because the question of the capital had not been settled, and in 1907 the same state came in conflict with the commonwealth over the question of federal taxation of state imports. In 1906 West Australia threatened to secede because the central government had failed to order a survey for a transcontinental railway. The problem of national defence and the question of taking over debts contracted by the separate states prior to the union are among the important questions now attracting attention.a NEW ZEALAND The first European discoverer of New Zealand was the famous Dutch navigator, Tasman, who sailed about the islands in 1642, but it remained practically unknown until 1769, when Captain Cook made a careful examination of its coast. He visited the islands several times, and introduced pigs, fowls, and several European vegetables. From Cook's final voyage in 1777 to 1814 little is known of it, but during this period a few white men, mostly shipwrecked sailors and runaway convicts from Australia, settled along its coasts. In 1814 Rev. Samuel Marsden, colonial chaplain of New South Wales, established the first mission in the islands at the Bay of Islands. Other missions, both Catholic and Protestant, were soon formed, and in thirty years a great [1837-1882 A.D.] part of the native Maori population had at least nominally accepted Christianity. The country had been officially declared a possession of Great Britain as early as 1787, but fifty years elapsed before a systematic attempt at colonisation was made. In 1837 the New Zealand Association was formed under the auspices of Lord Durham, and largely through the exertion of Edward Gibbon Wakefield, upon whose "system" South Australia was established. This association failed in obtaining a charter for colonising because of the hesitating policy of the ministry, but it awakened interest in the colonisation movement. A second organisation was formed by the resourceful Wakefield in 1839, known as the New Zealand Land Company, with Lord Durham as governor. Wakefield determined not to risk another failure, therefore, in the name of the new company the ship Tory was secretly despatched to the islands with a company of colonists under Col. Wm. Wakefield, a brother of the promoter. By him the settlement of Wellington was formed. The colony of New Zealand thus came into existence independent of crown authority. The hands of the government being forced it proceeded to attach the settlements in New Zealand to the colony of New South Wales with Captain William Hobson as resident lieutenant-governor. There was some conflict between the land company's settlers and Governor Hobson, but they ultimately recognised his authority. In February, 1840, an assembly of Maori chiefs at Waitangi acknowledged their submission to the British crown. In the following September, Governor Hobson hoisted the British flag over the newly founded town of Aukland, which in 1841 became the capital of the colony. May 3, 1841, New Zealand was proclaimed a separate crown colony. The early history of the colony is a long and tedious tale of quarrels over land titles between the land company, later settlers, and Maori chiefs. Hostilities between the settlers and natives were inevitable. One of the most serious wars was that led by Hone Heke in 1845. Other and more serious revolts occurred in 1863 and 1864, the suppression of which was accomplished only by the aid of several regiments of British troops and the co-operation of warships. An imperial act granted the colony representative government in 1852. Gold was discovered in 1862 and the colony grew rapidly. A new immigration policy adopted in 1870 still further stimulated the growth. The population leaped from 267,000 in 1871 to 501,000 in 1881.a HISTORY, 1882-1902 Between 1882 and 1902 five governors represented the crown in New Zealand. Of these Sir Arthur Gordon quitted the colony in June, 1882. His [1883-1895 A.D.] successor, Sir William Drummond Jervois, arrived in January, 1883, and held office until March, 1889. The earl of Onslow, who followed, landed in June, 1889, and resigned in February, 1892. The next governor, the earl of Glasgow, remained in the colony from June, 1892, to February, 1897, and was succeeded in August of the last-mentioned year by the earl of Ranfurly. The cabinets which administered the affairs of the colony during these years were those of Sir Frederick Whitaker, Sir Harry Atkinson (3), Sir Robert Stout (2), Mr. Ballance, and Mr. Seddon. Except in one disturbed month, August, 1884, when there were three changes of ministry in eighteen days, executives were more stable than in the colony's earlier years. The party headed by Mr. Ballance and Mr. Seddon held office without a break for more than eleven years, a result mainly due to the general support given to its agrarian and labour policy by the smaller farmers and the working classes. In The industrial history of New Zealand during these two decades may be divided into two unequal periods. Thirteen lean years-marked, some of them by great depression-were followed by seven years of prosperity. The colony, which in 1882 was under a cloud, has not often been busier and more self-confident than in 1902. A division into two periods also marks the political history of the same time; but here the dividing line is drawn in a different year. Up to December, 1890, the conservative forces which overthrew Sir George Grey in 1879, controlled parliament in effect, though not always in name; and for ten years progressive legislation was confined to a mild experiment in offering crown lands on perpetual lease, with a right of purchase (1882), and a still milder instalment of local option (1881). September, 1889, however, Sir George Grey succeeded in getting parliament to abolish the last remnant of plural voting. Finance otherwise absorbed attention; the task of successive ministries was to make the colony's accounts balance, and search for some means of restoring prosperity. The years 1884, 1887, and 1888 were notable for heavy deficits in the treasury. Taxation, direct and indirect, had to be increased, and as a means of gaining support for this, in 1888 Sir Harry Atkinson gave the customs tariff a distinctly protectionist complexion. The commercial revival came but slowly. The heavy borrowing and feverish speculation of the seven years 1872-79 must in any case have been paid for by reaction. The failure of the City of Glasgow Bank in 1879 precipitated this, and the almost continuous fall in the price of wool and wheat, together with the dwindling of the output of alluvial gold, postponed recovery. The principal local bank the Bank of New Zealand was in an unsound condition, and until in 1895 it was taken under control and guaranteed by the colony, the fear of its collapse overshadowed the community. The financial and commercial improvement which began in 1895 was doubtless to some extent connected with this venturesome but apparently successful stroke of policy. SOCIALISTIC NEW ZEALAND During the years 1882-90 the leading political personage was Sir Harry Atkinson. In December, 1890, he was overthrown by the progressives under John Ballance. Atkinson's party never rallied from this defeat, and a striking change came over public life, though Ballance, until his death in April, 1893, continued the prudent financial policy of his predecessor. The change was emphasised by the active intervention in politics of the trade unions. These bodies, impelled by a socialistic movement felt throughout Australia and New Zealand, decided in 1889 and 1890 to exert their influence in returning work [1895-1902 A.D.] men to parliament, and where this was impossible, to secure pledges from middle class candidates. This plan was first put into execution at the general election of 1890. The number of labour members thus elected to the general assembly was small, never more than six, and no independent labour party was formed. But the influence of labour in the progressive or, as it preferred to be called, liberal party, was considerable, and the legislative results noteworthy. These did not interfere with the general lines of Atkinson's strong and cautious finance, though the first of them was the abolition of his direct tax upon all property, personal as well as real, and the substitution therefor of a graduated tax upon unimproved land values, and an income-tax also graduated, though less elaborately. The income-tax is not levied on incomes drawn from land. In 1891 the tenure of members of the legislative council or nominated upper house, which had hitherto been for life, was altered to seven years. In 1892 a new form of land tenure was introduced, under which large areas of crown lands have since been leased for 999 years. In the same year a law was also passed authorising government to repurchase private land for closer settlement. At first the owner's consent to the sale was necessary, but in 1894 power was taken to buy land compulsorily. So energetically was the law administered by John Mackenzie, minister of lands from 1891 to 1900, that in March, 1901, more than a million acres had been repurchased and subdivided, and over 6,000 souls were living thereon. On Ballance's sudden death his place was taken by Richard Seddon, minister of mines in the Ballance cabinet, whose first task was to pass the Electoral Bill of his predecessor, which provided for granting the franchise to all adult women. This was adopted in September, 1893. In 1893 was also enacted the Alcoholic Liquor Control Act, greatly extending local option. In 1894 the Advances to Settlers Act authorised state loans on mortgage to farmers at 5 per cent., and about £2,500,000 has been lent in this way, causing a general decline in the rate of interest. The same year also saw the climax of a series of laws passed by the progressives affecting the relations of employers and workmen. Meanwhile the keystone of the regulative system had been laid by the passing of the Industrial Conciliation and Arbitration Act, under which disputes between employers and unions of workers are compulsorily settled by state tribunals; strikes and lock-outs are virtually prohibited in the case of organised work-people, and the conditions of employment in industries may be, and in many cases are, regulated by the awards of public boards and courts. The Arbitration Act, consolidated and extended in 1900, was soon in constant use. The Old Age Pensions Bill, which became law in November, 1898, by 1902 had become the means of conferring a free pension of £18 a year, or less, upon 12,300 men and women of 65 years of age and upwards whose private income was less than £1 a week. About 1,000 of these pensioners were Maori. The total cost to the colony was about £205,000 annually. In 1900 the English system of compensation to workmen for accidents suffered in their trade was adopted with some changes. In 1895 borrowing on a large scale was begun, and in seven years as many millions were added to the public debt. Before this the Ballance ministry had organised two new departments, those of labour and agriculture. The former supervises the labour laws, and endeavours to deal with unemployment; the latter has done much practical teaching and inspecting work, manages experimental_farms, and is active in stamping out diseases of live stock, noxious weeds, and adulteration. Blessed with a climate resembling that of England, New Zealand has been |