NEWS OF THE WEEK.
TBE Stock Exchanges of Europe were affected on Monday by news that war was probable, indeed imminent, between Chili and the Argentine Republic. The ostensible cause of quarrel was the conduct of Chili, which had, in Argentine opinion, "occupied," that is, cut roads through, some high valleys the proprietorship of which has been submitted to
arbitration. The Argentines complained, the Chilians laughed at the complaints, and matters became so serious that both Governments called out their troops. It is now reported that both have made " satisfactory " concessions and that a new protocol has abated all bitterness, but the real cause of dispute has been in no way removed. Indeed, it is not removable. It is, briefly, that Chili has too little territory and Argentina too much. As Chili is prob- ably the stronger State, being always organised for war, with an Army which the war with Peru showed to be a brave one, with a conscription and with German officers, she resents this situation, and will undoubtedly some day try to remedy it through conquest. She would probably do it now at once but that, as we have argued elsewhere, she is not sure that President Roosevelt may not order her to keep the peace. If he does she can only fret and chafe.
