hatically that the welfare of Canada required
"the adoption of a national policy which, by a judicious readjustment of
the tariff will benefit the agricultural, the mining, the manufacturing
and other interests of the Dominion ... will retain in Canada thousands
of our fellow-countrymen now obliged to expatriate themselves in search
of the employment denied them at home ... will restore prosperity to our
struggling industries now so sadly depressed ... will prevent Canada
from being made a sacrifice market ... will encourage and develop an
interprovincial trade ... and will procure eventually for this country a
reciprocity of trade with the United States." This ingenious resolution
was admirably calculated to captivate the public mind, though it was
defeated in the house of commons by a large majority. Mr. Mackenzie was
opposed to the principle of protection, and announced the determination
of the government to adhere to a revenue tariff instead of resorting to
any protectionist policy, which would, in his opinion, largely increase
the burdens of the people under the pretence of stimulating
manufactures. As a consequence of his unbending fidelity to the
principles of his life, Mr. Mackenzie was beaten at the general election
by an overwhelming majority. If he had possessed even a little of the
flexibility of his astute opponent he would have been more successful as
a leader of a party.

One of Lord Dufferin's last official acts in October, 1878, was to call
upon Sir John Macdonald to form a new administration on the resignation
of Mr. Mackenzie. The new governor-general, the Marquess of Lorne, and
the Princess Louise, arrived in Canada early in November and were
everywhere received with great enthusiasm. The new protective
policy--"the National Policy" as the Conservatives like best to name
it--was laid before parliament in the session of 1879, by Sir Leonard
Tilley, then finance minister; and though it has undergone some
important modifications since its introduction it has formed the basis
of the Canadian tariff for twenty years. The next important measure of
the government was the vigorous prosecution of the Canadian Pacific
railway. During the Mackenzie administration the work had made little
progress, and the people of British Columbia had become very indignant
at the failure to carry out the terms on which they had entered the
confederation. In the session of 1880-81 Sir Charles Tupper, minister of
railways, annou