ches and telegrams that
your action throughout the difficult political situation, which was
created in the colony by the indecisive result of the last general
election, has met with my approval, but I desire to place publicly on
record my high appreciation of the manner in which you have handled a
situation practically unprecedented in the history of responsible
Government in the Dominions. I may add that I consider your decision
to grant a dissolution to Sir Edward Morris--which has, I observe,
been adversely criticized in a section of the Newfoundland press--to
have been fully in accordance with the principles of responsible
Government."

In 1913 the growing prosperity of the fish trade was still further
increased by the passing of the new United States tariff law, which
admitted fish to the United States free of duty. Further, the opening
of the Panama Canal made possible the establishment of new markets.

Now we come to the next momentous event in the history of modern
Newfoundland, as it is in that of the modern world generally--namely,
the outbreak of the Great War in August 1914. The colony, like all the
other British dominions and possessions, was fully alive to the
justice of the British cause, and, like the others, was resolved as a
faithful and dutiful daughter to contribute to the military, naval,
and material resources of the Mother Country. This manifestation of
colonial association and unity was a remarkable feature throughout the
war, and will ever be memorable as a token of the undying bonds that
unite the scattered constituents of the British Empire, and of the
common feelings and ideals that inspire the various sections of the
British family. Despite doubt and solicitude as to the effect on
trade, especially on the fish markets, on which Newfoundland is so
much dependent, the colony devoted itself wholeheartedly to the
prosecution of the war.

In September 1914 a special war session of the Legislature was held,
and several measures were passed, making provision for the raising of
a volunteer force of 1,000 men, for increasing the number of Naval
Reserve from 600 to 1,000 men, and for raising a loan (which was
subsequently furnished by the Imperial Government) for equipping and
maintaining the projected contingents. It may be pointed out here that
about the end of the nineteenth century the colony, desiring to
participate in the obligations--and indeed privileges--of Imperial
defence, took steps to