Yuan Shih-kai was neither a Boxer, nor yet a believer in idealistic foolishness. He had realized that the essence of successful rule in the China of the Twentieth Century was to support the foreign point of view—nominally at least—because foreigners disposed of unlimited monetary resources, and had science on their side. He knew that so long as he did not openly flout foreign opinion by indulging in bare-faced assassinations, he would be supported owing to the international reputation he had established in 1900. Arguing from these premises, his instinct also told him that an appearance of legality must always be sedulously preserved and the aspirations of the nation nominally satisfied. For this reason he arranged matters in such a manner as to appear always as the instrument of fate. For this reason, although he destroyed the revolutionists on the mid-Yangtsze, to equalize matters, on the lower Yangtsze he secretly ordered the evacuation of Nanking by the Imperialist forces so that he might have a tangible argument with which to convince the Manchus regarding the root and branch reform which he knew was necessary. That reform had been accepted in principle by the Throne when it agreed to the so-called Nineteen Fundamental Articles, a corpus of demands which all the Northern Generals had endorsed and had indeed insisted should be the basis of government before they would fight the rebellious South in 1911. There is reason to believe that provided he had been made de facto Regent, Yuan Shih-kai would have supported to the end a Manchu Monarchy. But the surprising swiftness of the Revolutionary Party's action in proclaiming the Republic at Nanking on the 1st January, 1912, and the support which foreign opinion gave that venture confused him. He had already consented to peace negotiations with the revolutionary South in the middle of December, 1911, and once he was drawn into those negotiations his policy wavered, the armistice in the field being constantly extended because he saw that the Foreign Powers, and particularly England, were averse from further civil war. Having dispatched a former lieutenant, Tong Shao-yi, to Shanghai as his Plenipotentiary, he soon found himself committed to a course of action different from what he had originally contemplated. South China and Central China insisted so vehemently that the only solution that was acceptable to them was the permanent and absolute elimination of the Manchu Dynasty, that he himself was half-convinced, the last argument necessary being the secret promise that he should become the first President of the united Republic. In the circumstances, had he been really loyal, it was his duty either to resume his warfare or resign his appointment as Prime Minister and go into retirement. He did neither. In a thoroughly characteristic manner he sought a middle course, after having vaguely advocated a national convention to settle the matter. By specious misrepresentation the widow of the Emperor Kwanghsu—the Dowager Empress Lung Yu who had succeeded the Prince Regent Ch'un in her care of the interests of the child Emperor Hsuan Tung—was induced to believe that ceremonial retirement was the only course open to the Dynasty if the country was to be saved from disruption and partition. There is reason to believe that the Memorial of all the Northern Generals which was telegraphed to Peking on the 28th January, 1912, and which advised abdication, was inspired by him. In any case it was certainly Yuan Shih-kai who drew up the so-called Articles of Favourable Treatment for the Manchu House and caused them to be telegraphed to the South, whence they were telegraphed back to him as the maximum the Revolutionary Party was prepared to concede: and by a curious chance the attempt made to assassinate him outside the Palace Gates actually occurred on the very day he had submitted an outline of these terms on his bended knees to the Empress Dowager and secured their qualified acceptance. The pathetic attempt to confer on him as late as the 25th January the title of Marquess, the highest rank of nobility which could be given a Chinese, an attempt which was four times renewed, was the last despairing gesture of a moribund power. Within very few days the Throne reluctantly decreed its own abdication in three extremely curious Edicts which are worthy of study in the appendix. They prove conclusively that the Imperial Family believed that it was only abdicating its political power, whilst retaining all ancient ceremonial rights and titles. Plainly the conception of a Republic, or a People's Government, as it was termed in the native ideographs, was unintelligible to Peking.
Yuan Shih-kai had now won everything he wished for. By securing that the Imperial Commission to organize the Republic and re-unite the warring sections was placed solely in his hands, he prepared to give a type of Government about which he knew nothing a trial. It is interesting to note that he held to the very end of his life that he derived his powers solely from the Last Edicts, and in nowise from his compact with the Nanking Republic which had instituted the so-called Provisional Constitution. He was careful, however, not to lay this down categorically until many months later, when his dictatorship seemed undisputed. But from the day of the Manchu Abdication almost, he was constantly engaged in calculating whether he dared risk everything on one throw of the dice and ascend the Throne himself; and it is precisely this which imparts such dramatic interest to the astounding story which follows.
CHAPTER III
THE DREAM REPUBLIC
(FROM THE 1st JANUARY, 1912, TO THE DISSOLUTION OF PARLIAMENT)
To describe briefly and intelligibly the series of transactions from the 1st January, 1912, when the Republic was proclaimed at Nanking by a handful of provincial delegates, and Dr. Sun Yat Sen elected Provisional President, to the coup d'état of 4th November, 1913, when Yuan Shih-kai, elected full President a few weeks previously, after having acted as Chief Executive for twenty months, boldly broke up Parliament and made himself de facto Dictator of China, is a matter of extraordinary difficulty.
All through this important period of Chinese history one has the impression that one is in dreamland and that fleeting emotions take the place of more solid things. Plot and counter-plot follow one another so rapidly that an accurate record of them all would be as wearisome as the Book of Chronicles itself; whilst the amazing web of financial intrigue which binds the whole together is so complex—and at the same time so antithetical to the political struggle—that the two stories seem to run counter to one another, although they are as closely united as two assassins pledged to carry through in common a dread adventure. A huge agglomeration of people estimated to number four hundred millions, being left without qualified leaders and told that the system of government, which had been laid down by the Nanking Provisional Constitution and endorsed by the Abdication Edicts, was a system in which every man was as good as neighbour, swayed meaninglessly to and fro, vainly seeking to regain the equilibrium which had been so sensationally lost. A litigious spirit became so universal that all authority was openly derided, crimes of every description being so common as to force most respectable men to withdraw from public affairs and leave a bare rump of desperadoes in power.
Long embarrassed by the struggle to pay her foreign loans and indemnities, China was also virtually penniless. The impossibility of arranging large borrowings on foreign markets without the open support of foreign governments—a support which was hedged round with conditions—made necessary a system of petty expedients under which practically every provincial administration hypothecated every liquid asset it could lay hands upon in order to pay the inordinate number of undisciplined soldiery who littered the countryside. The issue of unguaranteed paper-money soon reached such an immense figure that the market was flooded with a worthless currency which it was unable to absorb. The Provincial leaders, being powerless to introduce improvement, exclaimed that it was the business of the Central Government as representative of the sovereign people to find solutions; and so long as they