e. The president of the republic has no power to dissolve the
chambers, to endeavour to remedy the evil by one or another political
party obtaining a substantial working majority, but must wait to see the
results of the triennial elections. As a consequence of these conditions
Conservative, Liberal and coalition ministries held office at short
intervals. These unsettled political circumstances checked any
continuity of policy, and tended to block the passage of all useful
legislation to help forward the economic development of the country and
inhabitants; on the other hand, the financial situation was better by
the end of 1899 than in the previous year, since all proposals for a
fresh paper issue had been vetoed; and the elections for congress and
municipal office at the opening of 1900 returned a majority favourable
to a stable currency policy.
In September 1900 a fresh outburst of hostile feeling against Chile was
created in Argentina by a note addressed by the Chilean government to
Bolivia, intimating that Chile was no longer inclined to hand over the
port of Arica or any other port on the Pacific, but considered the time
ripe for a final settlement of the questions connected with the Chilean
occupation of Bolivian territory, which had now been outstanding for
sixteen years. The foreign policy of Chile, as indicated by this note,
was considered by Argentina to be grasping and unconciliatory, and there
were rumours of an anti-Chilean South American federation. Chile
disclaimed any aggressive intentions; but in December the Bolivian
congress declined to relinquish their claim to a port, and refused to
conclude a definite treaty of peace. The year closed with a frontier
incident between Chile and Argentina in the disputed territory of Ultima
Esperanza, where some Argentine colonists were ejected by Chilean
police; but both governments signed protocols agreeing not to take
aggressive action in consequence.
President Riesco.
At the opening of 1901 the country was chiefly interested in the
forthcoming presidential election, for which the candidates were Don
Pedro Montt (Conservative and Clerical) and Senor German Riesco
(Liberal). The relations between President Errazuriz and congress became
rather strained, owing to the former's inclination to retain in office a
ministry on which congress had passed a vote of censure; but Errazuriz
had been in ill-health for more than a year, and on the 1st of May he
resigned, a
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