Capital exports have been treated in terms of "Imperialism" heretofore. It is our purpose to take a different approach to the problems involved in capital exports in order to clarify the mechanism of capital exports, the impact and response of importing countries, and so forth positively and quantitatively. We had to limit the scope of investigation to the forein investments by Great Britain and Japan, especially in the field of railway construction. The railroad construction boom in the nineteenth brought about the international movement of capital as phenomenal as that connected with the petroleum development in the twentieth century. It is our regret that we could not include in this issue the paper presented by Tadashi Uda, which dealt with Japanese investment in Manchuria.