accept the assertion that has been made, that people with capital in Mexico really dread to enter into business, and prefer to hoard their wealth, or restrict their investments to land (which, as before pointed out, is practically exempt from taxation), rather than subject themselves to the never-ending inquisitions and annoyances which are attendant upon almost every active employment of persons and capital, even were all other conditions favorable. Mexico, from the influence of this system of taxation alone, must, therefore, remain poor and undeveloped; and no evidence or argument to the contrary can in any degree weaken this assertion. Doubtless there are many intelligent people in Mexico who recognize the gravity of the situation, and are most anxious that something should be done in the way of reform. But what can be done? If autocratic powers were to be given to a trained financier, thoroughly versed in all the principles of taxation and of economic sciences, and conversant with the results of actual experiences, the problem of making things speedily and radically better in this department of the Mexican state is so difficult that he might well shrink from grappling with it.
In the first place, the great mass of the Mexican people have little or no visible, tan-
