ly a desert. _Kashgar_, the metropolis of the
fertile portion, is the exchange market for Chinese and Russian
products. Most of the mineral known as jade is obtained there. Manchuria
is a grazing and wheat-growing country, exporting food stuffs and
ginseng into China. _Harbin_, a Russian trading post, is connected with
Peking and with European cities by railway.

[Illustration: JAPAN AND KOREA]

=Korea=, formerly a vassal of China, became an independent state after the
war between China and Japan, this step being forced by Russia. The
country is a natural market for Japanese manufactures, and in turn
supplies Japan with a considerable amount of food-stuffs. _Chemulpo_ is
the chief centre of its commerce.

=Japan.=--Japan is an insular empire, the commercial part of which has
about the same latitude as the Atlantic coast of the United States; the
empire extends from Formosa to Kamchatka. It is sometimes called the
"Great Britain of the East," and the people are also called the "Yankees
of the East." Structurally, the chain of islands consists of ranges of
volcanic mountains. The abundant rains, however, have made many fertile
river-valleys, and have fringed most of the islands with coast-plains.

Since the opening of Japan to foreigners the Japanese have so thoroughly
adapted themselves to western commercial methods that they have become
the dominating power in eastern Asia. Their influence has been greatly
strengthened by a treaty for defensive purposes with Great Britain. A
most excellent army and a modern navy make the alliance a strong one.
The Japanese are better adapted to mould the commercial policy of China
than any other people.

With a population of more than half that of the United States, occupying
an area not larger than the State of California, every square foot of
available land must be cultivated. Yet the Japanese not only grow most
of the food-stuffs they consume, but are able to export rice. There is
scant facility for growing beef cattle, but fish very largely takes the
place of beef. The cattle grown are used as draught-animals in farm
labor. Ordinary dairy products are but little used.

Rice, tea, and silk are the staple crops. Rice is grown on the coast
lowlands, the west or rainy side[80] producing the larger crop. The
Japanese crop is so superior that the larger part is exported, while an
inferior Chinese grain is imported for home consumption. The quality of
the Japanese rice is due to skil