PROCEEDINGS OF SECTIOX G (l.). 641 



found one of his most promising young clerks sitting with a copy of 

 the pamphlet before him, the diagram showing the curve having evi- 

 dently been improved upon by some additional drawing. Another 

 curve was seen, diverging very considerably from the original one. 

 When the chief looked closer into the picture he read against the original 

 curve the words "Actuarial increase," whilst against the other was 

 written the caustic criticism "' Actual increase." I am not aware 

 whether the actuary ever heard of the incident. 



After having made, however, due deduction for the many possi- 

 bilities of erroneous or unwarranted use of statistics, it must be at once 

 conceded that statistical information in many of its departments has 

 now well nigh become indispensable to the efficient conduct of public 

 as well as private affairs. It is often too little recognised, not only 

 by the public but also by Governments, what modern communities 

 owe to those who supply them with correct and complete statistics. 

 Take, for instance, the recent rapid expansion of land settlement in 

 Western Australia. How could this have been brought about if 

 elaborate statistics had not proved year after year that agriculture 

 in that State was a promising industry, and thus induced the bona 

 fide farmer — who as a rule does not throw away the substance for the 

 shadow — to leave his home elsewhere and try a country which experi- 

 ence had shown to be a propitious one for his calling ? Yet, in the 

 face of such facts, statistics are by many looked upon as an expensive 

 luxury, it being surmised that because there is no immediate or direct 

 monetary return, no practical use accrues from this class of informa- 

 tion. The error is too palpable to require further demonstration than 

 the facts already adduced. If it were once adequately realised how 

 advantageous it is to obtain correct statistical records and reliable 

 estimates of various kinds, governments would no longer hesitate to 

 introduce the quinquennial census of population. For those who are 

 acquainted with statistical methods know that the population basis 

 is required for the right appreciation of almost every kind of informa- 

 tion, and is, especially in Australia, the basis on which the principal 

 monetary calculations or allotments for Government purposes are 

 usually made. It will be at once realised that in Australia, with its 

 constant and numerous inter-State migrations, a decennial census 

 fails to afEord an adequate and sufficiently accurate means for gauging 

 the populations of various communities at intercensal periods. 



In concluding my essay I wish to place on record my indebtedness 

 to Miss Daisy Rossi, the Perth artist, for the excellently drawn illus- 

 trative figures in diagram No. 3 ; to the Government Statistician of 

 Western Australia, Mr. Malcolm A. C. Eraser, for numerous valuable 

 suggestions ; and to Mr. W. Morrison, of the Western Australian 

 Statistical Office, for the accurate drawing of the diagrams. 



THE FINANCIAL RELATIONS OF THE AUSTRALIAN 

 COMMONWEALTH STATES 



£>/ Hon. B. MACKINNON. 



S2 



