greater privilege secured at the expense of the other's home market.
James G. Blaine, secretary of state in President Harrison's Cabinet,
was strongly in favour of reciprocity, particularly with Latin-American
countries. In the same session which saw the passing of the M'Kinley
Act, the House of Representatives agreed to the Hitt resolution,
providing that whenever it should be certified that Canada was ready to
negotiate for a complete or partial removal of all duties, the
president should appoint three commissioners to meet the Canadian
representatives, and report their findings.

This was the position of affairs when, early in 1891, Sir John
Macdonald suddenly decided to dissolve parliament, in spite of an
explicit promise to the contrary made a short time before. With the
dissolution came an adroit attempt to cut the ground from under the
feet of the Liberal party. It was asserted that, on the initiative of
the United States, negotiations had been undertaken to settle all
outstanding disputes, and to renew the Reciprocity Treaty of 1854,
'with the modifications {120} required by the altered circumstances of
both countries and with the extensions deemed by the Commission to be
in the interests of Canada and the United States.' This announcement
greatly strengthened the Government's position. Since the United
States had taken the initiative there was likelihood of a successful
outcome. Many who favoured reciprocity but felt doubtful as to the
political outcome of the more sweeping proposals of the Opposition were
thus led to favour the Government.

The announcement proved too audacious. Secretary Blaine indignantly
denied that the United States had initiated the negotiations, and Sir
Charles Tupper so admitted after the elections. Mr Blaine further made
it plain that no treaty confined to natural products would be
entertained. In the face of this statement the Government executed
another sharp turn, and appealed to anti-American sentiment and
protected interests, denouncing vigorously the Opposition's policy as
sure to lead to ruin, annexation, and--the climax--direct taxation.
Sir John Macdonald issued a skilful address to the electors, and the
cry of 'the old flag, the old man, and the old policy' appealed to
noble feelings and to deplorable prejudice alike.

{121}

In his address to the Canadian people Mr Laurier arraigned the National
Policy for its utter failure to bring the prosperity so lavishly