In the passage, Stephen expresses a belief in respecting the autonomy of different nations, even if their political systems seem flawed to others. He emphasizes that it is not appropriate to dictate how other countries should manage their affairs or impose happiness upon them. His perspective highlights a philosophical approach to governance that values independence and self-determination.

However, Stephen acknowledges the practical realities of naval life, suggesting that sometimes compromises must be made. He uses a metaphor related to choosing between two undesirable options, indicating that he is willing to accept Moahu becoming a nominal British possession, reflecting a nuanced understanding of political dynamics and the complexities of imperialism.