John A. Macdonald returns as Prime Minister of Canada

Background. Macdonald served as prime minister from 1867 to 1873 before resigning on 5 November amid eroding support in the Commons and among the public, after which Liberal leader Alexander Mackenzie became the second prime minister of Canada. The Panic of 1873 caused a worldwide depression that hindered railway financing, and by 1876 the Conservatives had adopted protectionism as party policy. By the end of 1876, by-election gains had reduced Mackenzie's Liberal majority from 70 to 42.

Campaign Platform. In 1878, political picnics promoted the National Policy, which included high tariffs, rapid construction of the Canadian Pacific Railway, agricultural development in the West, and immigration policies. The election was called for September 17, 1878, to elect members of the House of Commons of the 4th Parliament.

Return to Office. The election resulted in the end of Prime Minister Alexander Mackenzie's Liberal government after only one term in office. Macdonald's acceptance of office vacated his parliamentary seat, and he decided to stand for the British Columbia seat of Victoria, where the election was to be held on 21 October.