160 HUNGARY 



namely, that these societies are allowed to compete with 

 the produce or stock of their neighbours. The result of 

 this is that a selection is made first in a village, and what- 

 ever benefit accrues, either in the way of prizes or reputa- 

 tion, is shared by all — a species of co-operation which 

 cannot fail to be of benefit. One of the most recent 

 features in connection with the development of Hungary 

 has been the remarkable growth of combined effort, chiefly 

 in the direction of production, and the result has greatly 

 increased prosperity in the rural districts. The displays 

 made by the various agricultural colleges and schools were 

 very fine, and I do not remember to have seen their equal 

 even in France, where so much is done in this direction. 



The relation of the State to agriculture in 

 Hungary is seen alike in the remarkable extent 

 to which the Government conducts agricultural 

 operations on its own account, and in the almost 

 paternal character of the aid it extends to the 

 individual farmer. But however much one may 

 be opposed, as a matter of principle, to an undue 

 expansion either of State trading or of State aid, 

 there are certain considerations in the case of 

 Hungary which it would be unfair to that 

 country to ignore. 



In the first place we have the exceptional 

 fact that, for political reasons, and mainly for 

 purposes of national defence, the Hungarian 

 Governments of bygone days acquired, as State 

 property, a large expanse of the mountain and 

 forest land which encircles the central plains of 



