The public expenditure in 1863 was 3.86 dollars per head, and the funded debt 21.69 dollars.

The amount of the various descriptions of the public debt, the rate of interest, and the amount of interest paid thereon, in the year 1860, is shown in the subjoined table :—

The greater portion of this debt was expended in loans to incorporated companies, and for the building of roads, canals, railways, light-houses, and other works of public utility, which are held as assets.

Army.

In addition to the troops maintained by the Imperial Government -the strength of which varies according to circumstances-Canada has a large volunteer force, and an enrolled militia, numbering above 200,000 men, rank and file. The militia is divided into three classes, namely,-first-class service men, comprising unmarried men and widowers without children, between 18 and 45; second-class service, married men and widowers with children, between same ages; and third-class reserve men, those between 45 and 60. Assessors each year prepare the militia rolls, distinguishing the three classes, and on the governor calling for a number of men, the warden, sheriff, and county judge meet and ballot for the number required from their respective counties. In Lower Canada, in cases where the assessment system is not in operation, the militia census is made by militia officers appointed for the purpose. The ballot takes place for three years, and in the balloting, the number of battalions required from counties and townships is furnished according to population. In appointing officers for the service battalions, the governor, as a rule, selects those who have qualified themselves by volunteer service or by means of drill associations, or who have shown themselves qualified by examination before boards of examiners appointed for each county or union of adjacent counties. If a sufficient number of competent officers cannot from the outset be obtained, the governor may grant personal commissions, to be withdrawn within a certain time if those to whom they are issued do not qualify themselves. Sums are granted towards the education of officers. A school of military instruction is established in each section of the province in connection with some regiment of the British forces, a certain number of whose officers and non-commissioned officers assist in the work of instruction, and are paid an allowance for the extra duties they have to perform. The Government defrays the expenses of travelling and maintenance of those who receive instruction, and the governor-general may at his discretion call out service battalions for drill, for a period not exceeding six days in one year. The present volunteer force of Canada consists of 10,615 infantry, 1,687 artillery, 1,615 cavalry, and 202 engineers. In the session of the Legislative Assembly of 1863, laws for the reorganisation of the militia were passed, providing that the Government shall have power to accept, equip, and clothe 10,000 more volunteers. Fines are to be imposed on volunteers for nonattendance at drill, a course thought necessary in order to insure a thorough military proficiency.

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Population.

The population of United Canada in the year 1800 was estimated at 240,000; in 1825 it amounted to 581,920; and in 1851 to 1,842,265. The area and total population of Upper and Lower Canada, according to the census taken in each of the years 1852 and 1861, was as follows:

The estimated population in January 1864 amounted to 2,783,079. The population at the last census was 8.40 to the square mile. The ratio of annual increase is at the rate of 4.34 per cent. in Upper Canada, and 2.50 in Lower Canada.

The origin of the population of Upper and Lower Canada is thus stated in the census of 1861:

The following number of emigrants settled in Canada in each of

The number of immigrants who arrived in Canada in the year 1863 was 19,419, comprising 7,679 male and 5,215 female adults, 4,236 children between the ages of 1 and 12, and 982 infants. Of the immigrants 4,830 were English, 5,508 Irish, 3,949 Scotch, 3,047 Germans and Prussians, and 2,085 other foreigners. The male immigrants comprised 2,198 farmers, 3,147 labourers, 2,098 mechanics, 10 professional men, 23 domestic servants, and 203 clerks and traders. Compared with the previous year there was a decrease of 2,757 European immigrants, notwithstanding which the number of settlers has been materially increased by the arrival of about 5,000 persons from the United States, who have become permanent residents in Western Canada.

The population of the principal cities was as follows by the census of 1861:

Montreal is, next to Chicago, the largest city on the St. Lawrence and the Great Lakes.

The numbers of the people of the 'Lower Provinces,' who, probably, will be united with Canada at a not distant period in a British North American Confederation, were as follows, according to the most recent enumeration :

making, with Canada, a total population of over three millions and

a half.

Trade and Commerce.

The total value of imports for consumption, and of exports of domestic produce, in each of the years 1858, 1859, 1860, 1861, and 1862, was as follows:

:

The subjoined table gives a summary of the commerce of Canada, exhibiting the value of exports to and imports from Great Britain, her colonies, and foreign countries, during the year 1862:

The imports in the year 1862 amounted to 16.51 dollars per head, and the duty exacted 1.85 dollars per head. The exports were 15 dollars per head.

The following articles of Canadian produce and manufacture were exported during the years 1860, 1861, and 1862 :-