blic and the Press talked about the necessity of developing the
natural resources, and about the means by which this desirable end might
be attained. It had been shown by the war that a system of education
which tends to make men mere apathetic automata cannot produce even a
good army; accordingly the public and the Press began to discuss the
different systems of education and the numerous questions of pedagogical
science. It had been shown by the war that the best intentions of
a Government will necessarily be frustrated if the majority of the
officials are dishonest or incapable; accordingly the public and the
Press began to speak about the paramount necessity of reforming the
Administration in all its branches.

It must not, however, be supposed that in thus laying to heart the
lessons taught by the war and endeavouring to profit by them, the
Russians were actuated by warlike feelings, and desired to avenge
themselves as soon as possible on their victorious enemies. On the
contrary, the whole movement and the spirit which animated it were
eminently pacific. Prince Gortchakof's saying, "La Russie ne boude pas,
elle se recueille," was more than a diplomatic repartee--it was a
true and graphic statement of the case. Though the Russians are very
inflammable, and can be very violent when their patriotic feelings are
aroused, they are, individually and as a nation, singularly free from
rancour and the spirit of revenge. After the termination of hostilities
they really bore little malice towards the Western Powers, except
towards Austria, which was believed to have been treacherous and
ungrateful to the country that had saved her in 1849. Their patriotism
now took the form, not of revenge, but of a desire to raise their
country to the level of the Western nations. If they thought of military
matters at all, they assumed that military power would be obtained as a
natural and inevitable result of high civilisation and good government.

As a first step towards the realisation of the vast schemes
contemplated, voluntary associations began to be formed for industrial
and commercial purposes, and a law was issued for the creation of
limited liability companies. In the space of two years forty-seven
companies of this kind were founded, with a combined capital of 358
millions of roubles. To understand the full significance of these
figures, we must know that from the founding of the first joint-stock
company in 1799 down to 1853 o