E 756 .0261 Copy 2 ^iUiUiiUiiiiiiuaiiaiUiiiiiaiUiiiiiiUiUiiiiiUUiUiUiu^ I AMERICA I I Rules the World | BY E. J. DAVID 2d Edition, revised and corrected from "GREATER UNITED STATES" SAN FRANCISCO ^ International Pkixting Co., 729 Montgomery St. ^ AMERICA Rules the NA/orld BY E. J. DAVID 2d Edition, revised and corrected from "GREATER UNITED STATES" SAN FRANCISCO: International Printing Co., 729 Montgomery St. 1904. l> i -13 3- t LIBRARY «t eoneifEss Two OoBte R«celved SEP 1 1904 / OtpyriKht Entry GLASS CL XXlk Na ' COPY »» ' Copyright 1904 BY E. J. DAVID PREFACE. Great United States of America, means the unifica- tion of all the North and Central America into one solid, compact commercial and political body under one government. That unification is an imperious necessity for us : this necessity will be felt more and more as the years go by ; the unification will even become a question of life and death for us. No doubt is entertained that it will become a fact in a near future, for nature intend- ed it in giving the present configuration to the land: the separated parts of a great body, which have the same aspirations and the same interests and the same life will only be united by this commercial and political unification herein preconized. The results begot by the binding together of the commercial and political relations of the different States of North and Central America into an unified commercial and political body having common aspira- tions and common interests are so vast and gigantic as to defy the most optimistic imagination and the guesses of the strongest and most powerful mind. The unifica- tion will make this country the paramount Power in the World ; like the Roman citizen at the zenith of his glory — 4 — the American citizen will, after the unification has be- come a fact, have the whole Earth at his feet, and that for the best interests of humankind, for after careful, and close investigation on the native qualities of the present greatest nationalities of the World, I could find no more brave and better man than the true American citizen. San Francisco, July, 1904. CHAPTER I. THE AMERICAN CITIZEN. The magic success of the Spanish war made the most famed mechanic of the World: the American known throughout the foreign lands as a superior fighting man and as a most magnanimous foe. That war clearly demonstrated to the astonished foreigner though the American citizen is most peaceful in the pursuits of his ideals and detests war yet, when perils stare him in the face, he will not flinch and once bent on strife nothing but the ultimate victory will stop him. The freedom granted to Cuba, one of the richest islands of the World, the large and liberal indemnity paid to Spain for what was practically in his hands attest the honesty and generosity of the American citizen. He did what no foreign government would have dared to do : to be honest and liberal in its treat- ment toward a weak foe ; he did what no foreign government would have done : he kept his word by giv- ing the promised freedom to Cuba ; he did what no foreign government would have done : he disdained centuries of machiavellic diplomatic teachings ; he did what no foreign government would have done: he iset a new and higher standard to the morals in inter- — 6 — national politics. The name of American has be- come syuonimoiis with liberty, honesty, ability, liberal- ity, individuality, audacity in conception, skill in me- chanics and in invention. I may be pardoned if on such a delicate theme as the general character of the American citizen and the general character of his social system I desire to ex- press my OAvn opinion in a few words. Too many of the foreign writers who come over the ocean to study America, once back in their respective countries, gener- ally give out in their memoranda of the United States the impressions received from late debarqued immi- grants, far from half americanized. They think them- selves so learned and so important that in a few months, in a few weeks, even in a few days the.y know the United States from bottom up, from East to West and from South to North. When it takes many years of hard work and study to master any science, yet, those contemptuous fellows think, in their infallibility, — I might well say ignorance,- — that a look at the stars is enough to know astronomy and her allied sciences; so it is with the United States although more difficult to penetrate deeply than any abstract science. It is quite a difficult thing to appreciate with impartiality, but travels and long years spent abroad may have tempered that partiality by being able to compare foreign countries to my own, not on mere superficial- ities but by deep and actual experience. The true American citizen is by nature brave, honest, amiable, hospitable, patriotic, energetic and intelligent; he is practical and yet idealistic and en- tlmsiastic. Cultivation and refinement make him a gentleman equal, if not superior, to the gentry of the best educated classes of Old Europe for manners and behavior. An educated American is the best and most generous of friends. The American is not greedy for money ; if he were he would not give away his wealth with such a pro- digal hand, and would not throw aside the European low schemes of money-making by the pursuit of dow- ries. It is the desire to make use of his vast energies; to show the ability of the individual. He knows that money is concrete power; that it commands learning, skill, experience, wisdom, talent, influence, numbers; that it is the great endeavor, the great spring of power ; that financial success is the measurement of ability and intelligence. The American citizen is the representative of civil liberty and individualism. His unequaled energy, his indomitable perseverance and his personal indepen- dence made him a pioneer. He deeply trusts that his country is called to the highest destiny for the benefit of humankind. In the years of indisturbed peace the United States have undergone gigantic changes. They have grown rich; they have changed from an agricultural country into an industrial country. The standard of life has been raised with an undreamed of rapidity. The horizon has been widened ; the ever-expanding industry has pushed trade over the oceans ; a colonial system has been set up and all has had one effect in common : the confirmation of the democratic spirit in the noblest meaning in the world. The raising of the social level of the business man, the merchant and the industrial man is certainly one of the most i)romiueut features. The power which the great representatives of industry and commerce and banking have to-day in the Union could not have been dreamed thirty years ago. The steady raising of the practical professions, that of the engineer and the scientist and the literator in comparison with the trade professions is to be noted. The number of men who unselfishly and with high ideals serve the community in a thousand forms is increasing every day. The wave of the American sciences, beaux-arts and belles- lettres is steadily swelling with a surprising rapidity. The intellectual and esthetic interests of the masses have grown with the higher standard of the whole population. The public libraries, the reading of papers, the formation of clubs and societies, discussions and lectures reach the widest circles. Meanwhile wealthy men, in a growing measure, devote whole and some- times stupendous fortunes to public benefits. Other important features are the new enthusiasm for the sea, for naval affairs, for foreign lands beyond the ocean, a widening of horizon which necessarily reinforces the spirit of independence and individual activity. Add the 'immense development of science, of industry, of commercial pursuits, of transportation, of means of communication, all democratic factors that put men on an equal footing and bring progress within the reach -of everyone. — 9 — It is justly claimed that the European civilization is older than ours, but it does not prove that her civiliz- ation is nowadays better than ours. Impeded in Europe by powerful destructive defects, of which the militarism is the principal, the higher civilization has already crossed the ocean; it is us now who are leading in the higher civilization since it means freer and better men. The contributions of America to civilization are numerous, as : the diffusion of education, the widest religious toleration, the successful development of universal suffrage, the safety of property, the love for the Government, the efficient working and honesty of the Administration, the wide diffusion of property and well-being, the unparalleled progressiveness of the de- mocratic nation ; and. the most eminent contribution which the United States has made to civilization is the advance made, in America, toward the abandon- ment of war as a means of settling disputes between nations, the substitution of discussion and arbitration. No other country can show a similar achievement which deserves the respect and admiration of the world; for a young country she has, since her birth, behaved as no country in the world has behaved as far back as history can go, and the past warrants a I)rilliant future. To hold the helm of the ship of government, God gave us men with great hearts, strong minds, true faith, lofty character and utmost abilities. If we take a survey of mankind in ancient and modern times, as regards the physical, mechanical and intellectual force of nations, we find nothing to com- pare with the United States. It is not strange that — 10 — this amazing energy, applied to resources which are perhaps unequaled, has made us the richest nation in the world. Still to-day the creation of wealth goes at a much greater rate than ever before. Americans are an exceptionally inventive people. Yankee ingenuity and skill are proverbial. Scientific discoveries are apt to find their earliest practical appli- cation in their country. We have the best tools, with the most scientific and ingenious machinery, with the most alert and intelligent workmen, it becomes pos- sible for us to pay higher wages and yet enjoy the advantage of the lower labor cost. Our trade, like our manufactures and politics have assumed world's pro- portions and begin to lead all the nations. Europeans have been accustomed to think of the United States as the world's great granary: to be aroused to the fact that it has become also the world's great workshop and world's political guiding star ad- ministers a hard shock to our powerful competitors across the ocean. It is a remarkable fact that all the fundamental elements of superiority in industrial production are all in our favor. It is probable, therefore, that our manu- facturing supremacy is to be permanent. These con- ditions arc: the coal, coal oil and white coal, which are concrete power of first magnitude in this industrial age, are cheaper here than anywhere else and their supply practically int^xhaustible : the iron, which is the com- plement of coal, exists in deposits in almost all the States, in quality and quantity equal to any deposits in the world. Now we are raising more coal, producing — 11 — more coal oil, possessing the largest and the greatest I'umber oz electric plants, and melting more iron and steel than any other country in the world, more than England herself. The extensive use of machinery which loAver labor cost ; the great skill of our mechanics and alertness and intelligence of our workingmen, though getting high wages, more than compensate the cheap and unskilled labor of foreigners. Cheap raw and great variety of materials and easy access to markets. The effective and extensive organization of business for economizing all productive and distribu- tive forces. The modern system of large-scale manu- facturing. Our statesmen, our financiers, our indus- trials, our commercants and our inventors are keen and intelligent, audacious and energetic ; they participate to the giant size of the country. With our natural ad- vantages fully realized what is to prevent the United States from becoming the mighty leader of the manu- facturing and trading nations of the world and to remain so. Many other causes co-operate to produce the most forceful and tremendous energy of the world. After conquering the home market we invaded successfully the open markets of the world ; now we are competing with remarkable success with the highly protected home markets of the great manufacturing people of Europe where the sharpest competition exists. The real struggle, we know well, is in old European mar- kets because there are the greatest and richest agglom- erations of people on earth, the best and ready cus- tomers with plenty of money. The South American — 12 — markets come next in importance. The Asiatic and African markets are considered as reserve markets as they are almost completely undeveloped on the com- mercial and industrial lines. From high success in industrial and commercial fields to success in financial field there is only one step. Ere long the United States are to become the greatest money market of the world. Our financiers and bankers rival for spirit of enterprise our manufac- turers and traders. Every year our exports show a stupendous excess over our imports, and we are now rapidly extending in the markets of the world. This excess of exports is a matter of congratulation, because not only it furnishes the undeniable evidence of industrial strength and prosperity of the country, but, too, because it furnishes the means for keeping the country well supplied with the gold needed as a part and basis of our currency and a ready means of settling our indebtedness abroad. We have labored hard to attain that aim, it is natural and reasonable that our success be generously recognized by our competitors. We have been and we are still a good customer for the European people. Abundant reasons exist for believing that, in spite of many a hard fight to win out, we will ultimately conquer the leadership of the world and the first place among the nations. There are more opportunities now than ever for us. To reach surely the goal let us never forget one of the most energetic and successful Roman, the favorite saving: " Laboremus. " CHAPTER II. THE GREAT UNITED STATES OF AMERICA. Nature has intangible laws ; the men as well as the nations cannot ignore or shun these laws under penalty of servitude and even of absolute extinction. In this age of keen rivalry among powerful nations for mas- tery of the world's markets, the doctrine of evolution and the rule of the survival of the fittest are as inex- orable in their operation as they are positive in the re- sults they bring about. The place won by an industrial people can only be held by unrelaxed endeavor and constant advance in achievement. The present ex- traordinary extension in every line of American ex- portations and the unparalleled increase of our national' wealth is to be attributed to the large material endow- ments of nature, to the constitutional vigor and intelli- gence of the people, with a natural talent for invention and construction, with political freedom and without social caste control, with a good system of education and training of mind and of hand, with general oppor- tunity free to all, with undaunted energy to promote their own rapid elevation over all the civilized world. The general tendency of modern times is to con- solidate and combine. It is an era of successful federation, combination and consolidation as never- — U — seen in past centuries. Political and civil bodies as well as industrial, commercial and financial concerns are grouping into large confederations and big corpora- tions. The economic advantages are so great that the consolidation has become an established factor in the life of nations, and will, on all probabilities, extend further in spite of all obstacles accumulated or thrown in its way. Expansion, whether for nations, associa- tions or individuals is a normal state. New conditions bring new resiDonsibilities, new possibilities and new necessities. The changes that have taken place in the last years are now seen to shape the future of the nation. Ethical, political, military, commercial and economic reasons will combine to compel the United States to concern itself with the neighboring States. The forces of nature are all work- ing in the direction of unity and homogeneity; and though the ultimate object may be postponed, in the end nature will have her way. The time is most favor- able ; our foreign relations are amicable ; our unex- ampled prosperity and happiness are a good entice- ment ; our finances are well-ordered and satisfactory ; the industry and commerce are flourishing in the in- terior and extending over the oceans ; we can turn our eyes outside for peaceful and secure development and tranquilly determine our policy upon the questions that interest us and incjuire seriously whether we ought not to advance farther the policy of peaceful commercial and political expansion. It is the duty of the statesman to anticipate the future. We have to sow before to reap any benefit. — 15 — If we throw a glance at a map of North America, we are astonished by the physical configuration of the land; there exists no natural obstacle to the expansion of the American ; artificial lines have been traced as boundaries between the different people of North America but we see clearly that nature intended, in one supreme and last effort, that North America be the cradle and the home of the mightiest nation that ever lived on earth. Progress and Civilization like men travels naturally from east to west. Started from China it passed to India, from India to Persia and fol- lowed a regular line through Assyria and Egypt, before making a jump over the Mediterranean Sea to Greece, then went to Italy, and lastly to France and England, Following their natural bent Civilization and Progress, lately, took the broad .jump over the American Channel to remain with us forever, for there is no more un- known new West. Civilization is going to reach the highest point of perfection in America and the Ameri- can citizen will embody in himself all that is best in humanity. Empires fall and nations disappear but nature evolves and progress goes on forever. Every- thing points to the greatness of America. If we con- sider the political state of North America of to-day we are somewhat surprised to find in a great many points similar to that of England in the fifteenth century when Scotland and Ireland were independent. The little independent States were a powerful subject of weakness for England. She, then, never dreamed to become the mighty and indisputed mistress of the seas of to-day. The union of Scotland and Ireland to Eng- — is- land made Great Britain the richest nation in the world and the masterful ruler of the waves. The unification of North and Central America in one single commercial and political body will make the "Great United States of America," the future ruler of the seas and real master of the world. The natural evolution that is going on will inevitably bring to us the mastery of the world's trade before long, if we are wise enough to seize the opportunities ; for England, the present mis- tress of the World's trade, has reached the maximum of her efforts and cannot do more, because her energj- has been taxed to its utmost limits and her available resources, since the last Boer war, are beginning to dwindle away at a swift pace from natural causes easy to be discerned by experienced eyes. The consummated ability of her statesmen is unable to stop the gliding away of her power, therefore she cannot hold very much longer the indisputed first rank among the naval powers of the world ; without the mastery of the seas she is in great danger to lose her colonial empire and her high rank among the great nations of the world. An unfortunate naval war, a possibility always to be reckoned with, may swiftly deprive England of the sea. control and it is doubtful if she could regain her lost high rank in the concert of the world's great powers notwithstanding the recognized resourcefulness and great ability of her statesmen. Wealth and Power which are a sure indication of Progress and Civilization have crossed the Atlantic ocean, better denominated the "American Channel," in their natural westward travel and America their last stop, their last station is — 17 — to become the supreme power on earth for the highest benefit of humankiijd. The mighty hand of the progress has to-day made London nearer to New York than it was to Paris two centuries ago ; swift leviathans, with all the luxury and comfort of a palace accomplish daily that marvelous fact. It takes less time to-day to go by land from New York to San Francisco than it took to go from London to Liverpool at the eighteenth century; the trip is, too, made in a much more pleasant way through flying palaces on iron roads. By telephone it takes no more time to converse between tw^o persons from Bos- ton to Chicago or Saint Louis than it took half a cen- tury ago to hold the same conversation across a narrow London's street. Thoughts, orders, expressed feelings, news may be sent, rapid like lightning, flying through the air with the help of the common telegraph, and through the still more wonderful wireless telegraph, to any part of the world. A marvelous fluid unknown one and a half century ago, the electricity, has been domesticated to do heavy as well as delicate works, to furnish fire, force, light ; its possibilities are unlimited. Even the seeming absurd and impossible frozen words of Rabelais have become a fact with the advent of the phonograph. The old sciences have been developed; new sciences have been founded ; discoveries and inven- tions have come in rapid succession and still more are to come. The apparent vastness of the Earth has shrunk considerably before the wonderful progress of the inventions ; North America appears smaller to the tradesman and the traveller of to-day than England' — IS — appeared to the tradesman and the traveler of two liundred years ago. When Canada, Mexico, and the Oentral American Republics join their interests and ■destinies with ours we will stand much better, to reach quickly the first rank among the great nations of the world, than England after her union with Scotland and Ireland when she started the acquisition of her mighty colonial empire, her best markets, which made her rich and powerful. One circumstance that strikes all who visit Canada, Mexico and the Central American Republics is tho .steady growth of social, commercial, industrial and financial relations between the people laying to the North and South of an imaginary boundary line. Men ■cross over to the adjoining States in search of employ- ment, fields of investment, and homes. There are in business thousands of mercantile, industrial, agricul- tural citizens of the United States with their roots in the soil, intermarrying and giving in intermarriage all ^ear round. What more natural that they should draw closer relations. Our concern is not for territory or ■empire, but for the people whose aspirations, interests; life and destinies are similar to ours. That the in- habitants of these States will be benefited by the asso- , energy, ability and perseverance will make it a rsalify. — 20 — Although there is almost no consciousness of the nev.^ nationality, yet there is a latent aspiration in our neigh- boring people, to join their commercial and political existence with us, that need only to be developed and called upon to receive popular answer: "Vox populi, vox Dei"; in every case the people will be consulted b}^ referendum. It must come from a cordial assent. If the question once thoroughly developed is fairly put before the j)eople of those States, who live by honest industry, by honest trade, by honest agriculture, by honest means, they will take the same view and rejoice at it. It is all gain for them. The unbounded pros- perity Ave enjoy will be shared by them. Further girded, with a striking likeliness to Eng- land turned bottom up by a mighty sea-wall we shall be exempt from the necessity of keeping great standing armies, thus saving us for centuries to come from the vampire of militarism which curses all the great Euro- pean Powers. A force sufficient for police duty is all that the Great United States will require. The policy is not a bold one, but within our reach as well as to, the reach of our intended associated States ; and whenever the citizen of Canada and Mex- ico; and Central America will join us by commercial and political bonds we will welcome them. Then the mighty citizen of America greater than was the Roman Qitizen in the past centuries, will outrank any potentate on earth and commands, from any people, more respect than a King. — 21 — THE INTEROCEANIC CANAL. A waterway across the isthmus between the con- tinents of North and South America connecting the Atlantic and Pacific oceans has been the dream of com- merce for three centuries. The commercial and poli- tical importance of such waterway for the United States cannot be underrated. That isthmian canal will give more advantages to United States than Suez did for England. It will create an immense amount of new commerce and the United States will command the greater part of it. The large agricultural and manufacturing interests will find in it a most wonder- ful stimulus. It will give a strong impetus to the building up of our merchant marine and develop the sea power of the Union. In uniting our coast lines and in bringing the most remote portion of our terri- tory into much closer relations it will make the United States still more united and will enhance the advan- tages we possess to build up the richest and most powerful nation in the world. Early England recognized the importance and at- tempted to control the interoceanic communication by way of Lake Nicaragua. One century ago Von Hum- boldt, who explored Central America, reported: "It is absolutely indispensable for the United States to effect a passage from the Mexican Gulf to the Pacific Ocean, and I am certain they will do it. ' ' Some years later the United States Congress decreed the cutting of an interoceanic canal through Nicaragua, and a prealable examination of the route was ordered. — 22 — The British Government claimed the control of the proposed waterway by Nicaragua, which claim was strenuously opposed by our Government. Complica- tions intervened and led to the famous Clayton-Biilwer treaty. This treaty was concluded under the impres- sion that Great Britain would abandon her territorial encroachments upon America, but experience demons- trated that Great Britain had given up practically nothing in the dealing, and that only the evocation of might could induce her to respect any agreement. This treaty raised a storm of disapprobation in the United States and was recently abrogated in its main part so that the canal should be, if constructed, under absolute American control. Many surveys and estimates for the proposed waterway by Lake Nicaragua were made, either by private Companies or ordered by our Government One Maritime Canal Company was even organized few years ago with a large capital, but the Congress, upon demand, refused to guarantee the bonds and securities of the Company and it fell. Since then practically nothing was done though some United States Com- missions appointed for the purpose to examine most carefully the Nicaragua route have repeatedly reported favorably on the whole question. The patent defects of the Nicaragua interoceanie canal are that it can never be made sea level ; it is very long, therefore, take much time to pass across the isthmus ; the traffic is limited ; the locks, in case of war, may easily be destroyed putting the canal out of order when sorely needed; further, it is somewhat in the — 23 — sphere of influence of earthquakes. However, the- principal objection is the demonstrated feasibility of the Panama canal in the Darien isthmus belonging ta Colombia. That waterway, over two-third shorter than the Nicaragua, is half finished, and can be made sea level. Its construction involves gigantic engineering problems, but they are all known and minutiously cal- culated. The completion of the Panama route would render competition impossible for the Nicaragua canal^ therefore, annihilate the usefulness of this waterway and make its enormous cost a dead loss for the United States. An event of momentous importance for' the World has happened recently. Negotiations between the Colombian Republic and our Government were in. course for the control and completion of the Panama canal when the citizens of the State of Panama for- which the interoceanie waterway means so much in prosperity and welfare, becoming tired of the long and evasive negotiations as conducted by the Colombian Government separated again from Colombia and erect- ed and organized their State as an independent Re- public. The new-born nation asked for and was granted the protection of our Government against any foreign, foe. The negociations interrupted with Colombia by the successful revolution of Panama were pursued satis- factorily with the Government of the new-born Re- public and a treaty gave us the right to control and complete the interoceanie canal for a heavy pecuniary compensation. Panama canal may be said, once opened, to be the: — 24 — true key of the World's trade. The real greatness of the American citizen so well developed by the last suc- cessful war will be vastly enhanced by the opening to the World's trade of that important interoceanic water- way. The opening of the canal will transform the sup- posed dream of the Great United States of America into a positive possibility. ■»»w»>«»»«» W w»»^ ^ .».*»^»*»#M«»«»«.#> AMERICA FOR AMERICANS. The certainty that an isthmian canal is to be opened up in a few years give a high commercial and strategic values to the Carribean coasts that is thoroughly under- stood by our powerful competitors across the American Channel. A characteristic attempt was made under President Cleveland, to grab Venezuelian territory, but was frustrated by the energetic attitude of our Govern- ment in the enforcement of the ]\Ionroe doctrine. The Monroe doctrine is not aggressive toward any Power ; its cardinal principle is that America must not be treated as a subject for a political colonization by any European Power. We are already powerful enough to make our just observations and reclamations heard by European Powers. A new war, if inevitable, will not weaken, nor injure us much, but to the contrary, it will strengthen our prominent position among the na- tions and make us more ambitious and enterprising. — 25 — Said President McKinley : "Grave problems come in the life of a nation. The generation upon which they are forced cannot avoid the responsibility of striv- ing for their solution. It is sometimes hard to deter- mine what to do to solve them, but we can make an honest and energetic effort to that end, and if made in conscience, justice and honor, it will not be in vain." We cannot, under any pretense whatever, allow the building of any Gibraltar by the European Powers in the Carribean sea. The seizure and occupation of American soil for military purpose, in violation of the IMonroe doctrine, will be opposed by force, because such occupation would entail on us loss of prestige, weaken our position in the woi'ld, and lower us down in the rank of nations. We do not lose view that the machiavellic principles have still great many disciples among the statesmen of across the ocean, as strongly demonstrated by the history of the last half century. Go from East to West, from South to North, travel in any part of the United States, there you will see what kind of men are the American citizens, sons of pioneers and pioneers themselves. Their general stand- ard is unquestionably superior to the general standard of Europeans. ^Most peaceful in the pursuits of their ideals, once bent on strife nothing but the ultimate vic- tory will stop them. Any trouble shall be faced square- ly. Forbearance is not cowardice. We incontestably prefer peaceful pursuits to war, but when perils stare us in the face we will not flinch ; then, we will say again the words that one of the bravest of the American sailors — Farragut — uttered in face of seemingly insur- — 26 — mountable obstacles: "Damn the torpedos, go ahead"; and so he did, and so we will do. It is Europeans highest interest to leave "America for Americans, ' ' and the blissful peace and good under- standing will last forever. »»«*»««•-»*»»«■ » W »»»>.#-»^0>.0^» ^0^0^ ^^0.,^ AMERICA RULES THE WORLD. Right doing must always be proceded by right thinking, for to think right is the main road to success in the life of a man as well as that of a nation. While our manufactures are growing, our markets are to be greatly extended. To offset the preeariousness of the foreign markets subject to be closed to our manufac- tures at any time by hostile legislation and prohibitive tariff, we must strive to expand our spheres of interest and to instill into our people the necessity to become a great sea power. It is wise to do things to keep the general business good and give employment to all our workingmen with fair wages. Our over-increasing pro- duction will render an over-increasing foreign market necessary to our social health. Expansion is a natural law ; it is impossible for us to stand still ; a nation must go forward or backward. The multiplication of machinery has wonderfully multiplied the number and improved the quality of the comforts. The bright star of progress brings its pro- — 27 — blems, which must find their solution in more progress. The older nations have aroused themselves for the international race for the markets of the World. This is a commercial age ; those who do not participate in its spirit are pushed aside to be subjugated and to die in want and poverty. The supremacy of the World's markets is the in- evitable corollary of the supremacy of the ocean or "sea power," according to the strong expression of captain Mahan, the most distinguished contemporary writer in the World on maritime affairs and history. The impor- tance of sea power is now fully recognized. I quote from "Expansion" by J. Strong: "whosoever com- mands the sea commands tlie trade; and whosoever commands the trade commands the riches of the World, and consequently the World itself." The Panama canal is the key of the World's trade, we possess that key vastly superior to that of Suez Canal ; the unifica- tion of North and Central America into a single com- mercial and political body allied to a good merchant marine and an efficient navy will give us the real mastery of the World's trade and consequently America will rule the World and that far before the present century shall be over. SI VIS PACEM PARA BELLUM. As long as the world is divided into nations and races and the differences between nations and races do- not disappear, everlasting peace between these nations and races is impossible. Competition means struggle for existence, which has been and is yet necessary to> — 28 — the evolution of the higher forms of life. Therefore ive shall have wars for many centuries to come, and we must be ready to defend ourselves with all means in our power. The mighty battles for the supremacy of the world 's markets are not all fought in time of peace. The commercial and political prominence among na- tions cannot and never will belong to the weak or ne- glectful nations. The ]\Ionroe doctrine and that key of the World's tJ-ade: the Panama canal, are worth only what our Navy is worth, and though she has already given splendid proofs of her efficiency, yet, the last Venezuela incident has demonstrated amply the necessity of a great Navy able to stand against a possible combine of several of our competitors of across the American Channel. Necessity for naval effectiveness has been increased; naval effectiveness needs skilled, seaman- ship backed by a maritime, national spirit and a power- ful, well-manned merchant marine, supported by a first- class efficient navy. The spirit of the Monarchy is war and conquest; the spirit of the Republic is peace and moderation ; yet, said the ancient masters of the world: "Si vis pacem, para bellum. ' ' RIOTS, REVOLTS, REVOLUTIONS. In a giant industrial country like ours, with in- numerable shops, mills and factories, with millions of wage-earners, periods of depression are likely to occur — 29 — from time to time. Economic laAvs are as compulsory as natural laws. With the unprecedented inflow of foreigners, the extensive use of labor-saving machinery and progress of inventions, our markets must continue to expand or men will be thrown out of employment as never before. It is by no means reassuring to reflect that so large and almost unrestricted immigration of heterogenous popu- lations is pouring in the United States. The proportion, of foreigners becomes greater and greater so as to im- pede the rapid americanization of it. It is a serious menace to our civilization. It goes without saying that the dangerous classes are mostly recruited in it and these classes are swelling more rapidly than hitherto. Our unparalleled prosperity of these last years and the cheapness and facilities of travel have attracted immi- grants as never before. The wonder is how such a formidable army of invasion is swallowed up without social convulsion of any sort. The spring of 189-1 witnessed a spectacle that we have abundant reasons to see repeated again, with in- creased violence and greatly increased destruction in the future, if we pay no attention to the lessons of the past. It was the military-like organization of large bodies of idle men at various points in the country for a march to Washington to make a demand, on the Federal Government, for work. About three millions of men w^ere without work. The march was then con- sidered a good joke, exactly as were the Anarchists before the shooting of President McKinley. But as the regimental bodies, gathered at given points, took up — 30 — the march on the Nation's capital, getting their living at the expense of the States they were traversing, the movement was regarded more seriously. The great in- dustrial army, as it was then called, made large recruits on his march to Washington and at last massed his forces into a gigantic demonstration in the streets of the capital where they delivered firebrand speeches and threats of bloody revolution. They were boarded gratis and extorted from the Federal Authorities the promise that everything possible would be done for them, and then they marched away. An extra session of the Congress was called, not to give them work, but to lower again the tariff already •so low that the manufacturing industries in the Union could not compete successfully in their home market against foreign products. This gave raise to some more demonstrations and a profound depression prevailed all over the country when McKinley was elected. How by good and clear-sighted legislation he set in motion a prodigious wave of prosperity and made the United States the foremost commercial and manufacturing nation of the world and the richest of them all, is yet present to the mind of all American citizens. The Chicago Haymarket's carnage and the riots that occurred in some States at the same epoch should open our eyes on the ills that follow a long period of industrial and commercial paralysis. Unrestricted competition always leads to overpru- duction. It has now become possible by means of labor- saving machinery and inventions to produce more of the necessaries and of the comforts of life than we can — 31 — consume. Increasing production is by no means an un- mixed good. When markets become thoroughly glutted prices and wages fall, and thousands upon thousands of workmen are thrown out of employment. Thus a superabundance may cause under-consumption, because men cannot buy unless they have something to buy with ; and wage-earners out of emplojanent face starva- tion in the midst of plenty. A man is not poor because he possessses no property, but because he is not worK- ing, because he has no work to do. The economic results of a commercial and indus- trial paralysis would undoubtedly be attended by social and political disturbances of the gravest character. There is a strong disposition among men, especially among wage-earners to charge most of the ills of their lot to bad government and to seek political remedy for these ills. Men who are long idle, whether that idleness is voluntary or enforced, usually degenerate morally ; and if want is added to idleness disastrous results are sure to follow; the army of unemployed and discon- tented can become a revolutionary army. Hunger obeys no laws. Enforced idleness and hunger always bred Huns and Vandales, even in a land of plenty. If at this point some ambitious, venturesome and energetic leader comes and says to the famished workmen: "You are hungry, here is food; you are poor, there are riches; you are the number, consequently you are the law, take what you need''; then will follow scenes of plunder, of murder and incendiarism. If that leader possess a broad intelligence and succeed in marshaling military- like those hungry and malcontent workmen, revolution — 32 — 01' civil war, which cause incalculabh^ destruction and disaster, may result from the long closing of the shops^ mills and factories. The possibilities of such disturb- ances are plainly demonstrated by the history of all the nations on earth. We have to look to future troubles, against which we must provide with the utmost prudence ; for it is by foreseeing difficulties from afar that they are easily provided against. We must strive to avert for the sake of avoiding expenses and troubles. Defer the solution of a social problem when such solution is needed is not an advantage, for time drives all things before it and 'may lead more to evil than good. To recognize prompt- ly evils as they arise and apply the proper remedy is one of the rarest gifts of the highest statesmanship. In depicting the United States, all the foreign economists predict dark fate for the American Repub- lic and generally our own economists emphasize the dangers spoken of by the foreign writers. The ravings of their pessimism and misanthropism cannot stand and resist against the scientific methods of application of the laws underlying the complex evolution of a giant nation, like ours, toward a brilliant future. Whatever may be said of the good or evil disposition of some people, or of some religious or political party is of little consequence if the G-overnment is well prepared to assert and maintain his authority, should they be well disposed, and to defend itself if their disposition be otherwise. To know people merely by books and news- papers is very deceiving, especially concerning the American people, the most progressive people in the- —33 — World. We possess the most intelligent, energetic and law-abiding citizens of the world; we have statesmen of great abilities, of powerful minds and lofty charac- ter. Each opportunity has been seized at the very nick of the time. Our government stands for the best com- mon interests of the people. In the distribution oi wealth, all men are entitled to an equitable share ac- cording to his ability, industry and economy. The actual methods which sanction and enforce the distribu- tion of wealth are the best we know for the general welfare. The wisdom of the methods of government is demonstrated by the general tranquillity and pros- perity of the country. No nation on earth is so generous and so liberal toward her servants and workers in general than the American people ; that is conclusively proved by in- numerable benevolent institutions. The pension system for disabled workmen and old age is a feature called to become very extensive with the large organizations, whether public or private. A good step, designed to be extended, has been made when the municipalities or charitable private or- ganizations in the large cities in industrial centers have organized temporary relief works or public kitchens, to tide over the destitute wage-earners out of work during hard times, whether in the winter season or fol- lowing industrial depression. The Romans, the wisest people on earth, past and present, with their free dis- tributions of grain, acknowledged the necessity of such relief so as to lessen the sufferings among the people and prevent his revolt. The wealthy nations need benev- — 34 ^ olcut institutions because the fortune is subject to great many accidents ; but when the evil is momentary we tlien need aid of the same nature and that is applicable to the particular accident. The crop of political evil-doers, burglars, mur- dei'ei's, highwaymen always very large in countries de- prived of benevolent institutions, particularly in the liard winter season and in times of long industrial and commercial depression, lacks of its main stimulus with a good system of benevolent institutions. It is in hard times that the apostles of murder, incendiarism and plunder make their numerous recruits. Drastic legis- lation never takes the place of common sense preven- tive precautions for the security of civil society. Everywhere in the world, there are men born, like Saturn, to destroy their fellow-creatures. When un- restricted liberty is granted them they are prone to use it to the utmost ; then we see the growth of political party, like the Anarchists, who are preaching, far and wide with marvelous maestria, the murder of the earth's rulers as a sacred duty, and incendiarism as a holy rite. This low form of Ciceronian intoxication must be treated like other evils. The men who are told or think themselves to be new Brutuses of every kind and every size, or the new Saviors of the world, or are willing to buy cheap fame as the Greek who burned down the famous Ephesa's temple, are legions everywhere in the world. These legions are likely to grow with the population, with the civilization and with the centuries; taking new reli- gious or political names and fancying new evils as the OO centuries go by, but exactly and eternally with the same underlaying motives. No country however rich or small is free from them. The danger for organized society grows with the energy and intelligence of the occasional chiefs who push them to the front on the held of battle. That Anarchy is an imported principle inimical to American institutions, there is no doubt. Patience is the characteristic of our people in seeking any reform. It is fixed in their habit to wait for the ballot and to submit loyally when their ideas are reject- ed at the poll. The Anarchists proselytes are all re- cruited in the flood of foreign popuhition invading the United States. The creation of a penal colony in some distant island where all the convicts of some ten years of hard labor, old offenders and hardened criminals could be sent would be beneficial to both society and her un- worthy members. It would reduce considerably the cost of keeping the convicts, therefore, realize a notable economy for the States, and give the culprits more chance to reform in bending their energy toward the development of the natural resources of the island. Such penal colony would be an immense improvement and a strong step in the direction of higher morajity and civilization. .•-•-•>•»•>••-•-•-.•.•«. •»•»•»•>■• SECTARIANISM. All the civil organizations have very frequently been in conflict with powerful religious organizations. — 36 — Terrible and disa^strous wars have resulted from it. At all times, history teaches us these religious organiza- tions, chiefly when they were monopolizing a country, have been the most powerful support that could prop a tyranny. The aim of every religious sj^stems, whatever name they have or take, is invariably the same, — namely, domination. The jMormon sect offers a striking example hoAV powerful can become a small body of men thoroughly organized and with w^ealth and strong centralization. The designs of the Mormons are exactly the same as those of any precedent or existing religious sect with ambitious men at their head. Some years ago, the Mormon bishop Lunt gave a conclusive testimony on the aim of their association; he said: "Zion is des- tined to spread through all the world. Our church has been organized only for fifty years, and yet behold his wealth and power. We look forward with perfect confidcnicc to the day when we will hold the reins of the Unitetl States Government. That is our present temporal aim; after that we expect to control the con- tinent." The haughty boast brought forth their un- doing. Similai' bi-aggardness cari'ied ruin to the famous and powerful organization of the Jesuits who boasted that : "One day Avill come when we shall be the masters of our masters." They were subsecjuently expelled fi'om all the Roman Catholic countries: Austria, Brazil, France, Italy, Mexico, Spain and other States. — 37 — The superiority of the civil societies and the char- acteristic of all religious organizations proceed from their strong centralization, from their admiraDly or- ganized hierarchy and perfect training of their offi- cials. However, high centralization is their main spring; it has permitted many of them to outlast the best organized civil societies. High centralization alone enabled the Romanism to fight and resist success- fully for centuries his numerous and powerful foes. As the Romanism took its hierarchic system from the old decayed religious sects it replaced, so the innumer- able new religious schemes that spring up almost every month model, with very few exceptions, their hierarchic systems on the Romanism's. Religious organizations are essentially close cor- porations held together by a carefully adjusted com- munity of selfish interests. Places with good pay and with unusual privileges and no work are powerful fhc- tors in sustaining religious organizations. They grow strong with the aid of the g;^eed of the rich and intelli- gent citizens, skillfully combined with the ignorance and avarice of the poor. The weakness of all the religious systems, like its strength lies in the unchangeable characteristics of human nature. Its chief link of cohesion is human selfishness and no other tie is so easily broken. It is never disinterested, it is faithful to no sect. Its reli- gious loyalty is a pretense ; its devotion to principles a sham. They are parasite growths, on imperfect social and political conditions, that have already lost greatly — 38 — of their social importance and will finally disappear in the light of universal intelligence. The aim of all religious sects is to spread igno- rance and prejudice, to inculcate the spirit of submiss- ion and slavery to enable them to dominate arbitrarily. The more powerful they become the more hostility they show to the civil and republican institutions. Had we left the Mormons, few years more, to develop and or- ganize their forces we should have had a second civil war. As no sectarian organization can raise, equip and drill, as of yore, any more armies, their wealth and the ignorance of the people constitute all their strength. It will readily be seen that anything which strikes their wealth diminish their power and sometimes vanish it totally in spite of the actual number of adherents. Although, tlie law voted by Congress against the Mor- mon sect, cut off only about a million dollars it brought down their power and influence never to raise again to antagonize seriously our Government. It was a good move, the best next to expulsion to reduce a recalci- trant sect. The best remedy against fanatism and all religious evils is the non-sectarian free public school, of which the object is to give the youth up to date knowledge in sciences and letters, principles for right reasoning, spii'it of independence witli intelligence obedience to the laws and rio'htful anthoritv. — 39 — TRUSTS. The tremendous iudustrial development which has taken place during the last thirty years in all civilized countries has given a formidable impetus to the or- ganization of combinations of all kinds formed for the purpose of controlling the output of natural and in- dustrial products; for regulating prices or for adjust- ing wages. Trusts, monopolies, syndicates, 'unions, or by whatever other names these combinations may be known, are not peculiar to either the present age or to our country. Trusts are born with the societies. In the study of ancient legislation we find laws dealing with many kinds of combinations. In the eighteenth century, the history records the monstruous fact that kings themselves were at the head of food monopolies, starv- ing their people to keep their numerous mistresses in opulence. In the United States, commercial and industrial combinations are of comparatively recent origin, but the rapidity with which they have, of late years, been formed, indicates the popularity of a system that exists more or less developed among all the nations. Their stupendous growth in the United States has called forth on them the attention of the people of this country and from abroad. The main cause of the commercial and industrial combinations is to be found, in this country as in others, in business conditions rather than in the tariff, as some of the largest and most monopolistic combinations have no direct tariff protections. — 40 -- Huinous excessive competition is the chief cause of the formation of agricnllural and iiuinufactured products combinations. It is not the purpose of the author to deal lengthi- ly on the combination question in the narrow limits set for this work. To obtain a comprehensive and thorough knowledge of the trusts, monopolies or other combina- tions in the United States and prominent nations of the world, and guard himself against the superficial and dangerous demagogic denunciations of wealth resulting from the present agitation against the trusts, the Reader is referred to the works published by the In- dustrial Commission created by the act of the Congress of the eighteenth of June, 1898. These works, on the much disputed and controversed questions involved in the subject of combinations in restraint of trade and competition, comprehend not less than nineteen vol- umes, and were closed the tenth of February, 1902. They are the most complete and impartial works ever published, in the whole world, on all kinds of combina- tions. No citizen is entitled to speak sanely and intelli- gently about trusts and combinations of all kinds with- out having prealably read them carefully. The pub- lished works are found in almost all the public libraries. Xo country in the world possesses more stringent laws against the trusts and combinations than England and France, and yet there they thrive. The latter country has devised the most draconian penal legisla- tion ever drafted against combinations, but the law is applied very leniently, if not at all, especially outside of the foodstuffs. Everywhere it has been recognized — 41 — that the combinations are necessities of the time. There are laws inapplicable ; where the law does not answer to the reality of social rapports, law does not make the custom, but the custom does make law. Of course the combinations crushing out all healthy competition, es- pecially those dealing in primary necessities of life such as foodstuffs, must be treated accordingly. Wise reg- ulations and restrictions as set forth in the published Avorks of the Industrial Commission above- mentioned, which provide for the strict supervision over corpora- tions of all classes and a rigid system of public account- ing will prevent much of the evils and abuses arising from their operations. JUL 7 - t9M SEP 1 1904 SEP 30 1904 LIBRftRY OF CONGRESS 013 980 622 * LIBRARY OF CONGRESS 013 980 622 W h^