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debates the Bill abolishing the octroi-duties has been passed by the Cortes, 

 of course under the most alluring promises that one of the first results 

 of the measure would be a very considerable reduction in the prices of 

 all food-stuffs, thus directly benefitting in the first place the poorer classes 

 of the population. The loss which would accrue from the abolition of 

 this important source of national revenue was to be made good by a 

 proportionate increase of from 20 to 50°/o(!) in the tax upon house rent. 



But, as is "mostly the case with measures of this kind, the new Act 

 has proved to be only a deception, for the octroi-duty has not in reality 

 bQQn abolished, but has merely been replaced by other and far higher 

 fiscal burdens. With a few exceptions, all food-stuffs have maintained 

 their previous prices, or have even risen in price as a result of the ex- 

 cessive heat, and of the exceptional drought which succeeded it; therefore 

 there can be no real question of any recuperation in the economic con- 

 ditions of the country. It is feared that there will be a repetition of the 

 farce of 30 years ago, when the octroi-duties were abolished merely to 

 be enacted afresh afterwards, while at the same time the newly-introduced 

 "substitution taxes" were continued. The dissatisfaction with this policy 

 which has been growing among the people has found vent in the strikes 

 that have broken out in almost all provinces of the Kingdom. These 

 strikes have probably partly an economic basis, but they are also in 

 part tinged by political agitation, and in some cases they have led to 

 sanguinary street-fights. 



The campaign which is now being carried on in Morocco finds little 

 popular favour, and will probably cost Spain much treasure and many 

 lives, besides causing suffering in thousands of homes for many troubled 

 years to come. 



The fact, officially admitted, that the import of manufactures into 

 Spain during the first seven months of the current year shows a very 

 large increase on the corresponding periods of 1909 and 1910, while at 

 the same time the exports have fallen off very considerably, likewise bodes 

 ill for the already unwholesome financial position of the country, and it 

 is improbable that within the near future Spain will be able to rise out 

 of her melancholy lethargy. Hence it is to be expected that the difficult 

 and sluggish state of trade will continue for a long time. 



In Russia, a much-coveted market for our products, the result of the 

 harvest, according to the' statistics which have just been published, is 

 unfavourable, and in all probability the harmful effects of this misfortune 

 will leave their imprint for some time to come upon the whole state of 

 business in this country, which for some months past had been in every 

 respect satisfactory. 



Roumania is steadily acquiring greater importance as a buyer of our 

 products, especially since the gratifying increase in the purchasing-power 

 of its people which followed upon the abundant harvest of 1910, and which 



