was penned, an American economic writer was making a study tour
of the Orient, of which he reported: "The real cause of Asia's poverty
lies in just two things: the failure of Asiatic governments to educate
their people, and the failure of the people to increase their productive
capacity by the use of machinery. Ignorance and lack of machinery are
responsible for Asia's poverty; knowledge and modern tools are
responsible for America's prosperity." But, continues this writer, we
must watch out. Asia now realizes these facts and is doing much to remedy
the situation. Hence, "we must face in ever-increasing degree the rivalry
of awakening peoples who are strong with the strength that comes from
struggle with poverty and hardship, and who have set themselves to master
and apply all our secrets in the coming world-struggle for industrial
supremacy and for racial readjustment."[215] Another American observer of
Asiatic economic conditions reports: "All Asia is being permeated with
modern industry and present-day mechanical progress."[216] And Sir
Theodore Morison concludes regarding India's economic future: "India's
industrial transformation is near at hand; the obstacles which have
hitherto prevented the adoption of modern methods of manufacture have
been removed; means of transport have been spread over the face of the
whole country, capital for the purchase of machinery and erection of
factories may now be borrowed on easy terms; mechanics, engineers, and
business managers may be hired from Europe to train the future captains
of Indian industry; in English a common language has been found in which
to transact business with all the provinces of India and with a great
part of the Western world; security from foreign invasion and internal
commotion justifies the inception of large enterprises. All the
conditions are favourable for a great reorganization of industry which,
when successfully accomplished, will bring about an increase hitherto
undreamed of in India's annual output of wealth."[217]

The factor usually relied upon to overcome the Orient's handicaps of
inexperience and inexpertness in industrialism is its cheap labour. To
Western observers the low wages and long hours of Eastern industry are
literally astounding. Take Egypt and India as examples of industrial
conditions in the Near and Middle East. Writing of Egypt in 1908, the
English economist H. N. Brailsford says: "There was then no Factory Act
in Egypt. There ar