THE UNIVERSITY 
 
 OF ILLINOIS 
 
 LIBRARY 
 
 326973 
 
 cop. a.
 
 AMERICAN 
 
 SLAVERY AND FINANCES. 
 
 BY THE 
 
 HON. ROBERT J. WALKER, M.A. 
 
 COUNSELLOR AT LAW IN THE SUPREME COURT OF THE UNITED STATES, 
 
 LATE LAW REP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA 
 
 GOVERNOR OF KANSAS, ETC., ETC. 
 
 LONDON : 
 
 WILLIAM EIDGWAY, 1G9, PICCADILLY, W, 
 18GA.
 
 PREFACE. 
 
 THE present volume contains the various pamphlets 
 published by me here during* the last six months. 
 The subject discussed relates to the present rebellion 
 in America, and embraces Jefferson Davis and 
 Repudiation Recognition Slavery Finances and 
 Resources of the United States. 
 
 R. J. WALKER. 
 
 London, March I, 1864. 
 
 513863
 
 JEFFERSON DAVIS. 
 REPUDIATION, 
 
 RECOGNITION AND SLAVERY, 
 
 LETTER 
 
 OF 
 
 HON. ROBERT J. WALKER, M.A. 
 
 COUNSELLOE AT LAW IN THE SUPBEME COTJET OF THE UNITED STATES, 
 
 LATE LAW EEP. MI., SENATOE OF THE UNITED STATES, 
 
 SECEETAEY OF THE TEEASUEY, COMMISSIONEE TO CHINA, 
 
 GOVEENOE OF KANSAS, ETC. ETC. 
 
 SECOND EDITION. 
 
 LONDON : 
 
 WILLIAM RIDGWAY, 1G9, PICCADILLY. W, 
 
 1863.
 
 JEFFERSON DAVIS. 
 REPUDIATION, RECOGNITION, AND SLAVERY. 
 
 London, 10, Half Moon Street : , Piccadilly, 
 July 1st, 1863. 
 
 SOON after my arrival in London from New York, 
 my attention was called) by some English, as well as 
 American friends, to an article which had appeared 
 more than a month previousty in the London 
 " Times" of the 23rd of March last. In the Money 
 Article of that date, is the following 1 letter from the 
 Hon. John Slidell, the Minister of Jefferson Davis 
 at Paris. 
 
 My dear Sir, 
 
 I have yours of yesterday. I am inclined to think 
 the people of London confound Mr. Beuben Davis, whom I 
 have always understood to have taken the lead on the question 
 of repudiation, with President Jefferson Davis. I am not 
 aware that the latter was in any way identified with that ques- 
 tion. I am very confident that it was not agitated during his 
 canvass for Governor, or during his administration. The 
 Union bank bonds were issued in direct violation of an express 
 constitutional provision. There is a wide difference between 
 these bonds, and those of the Planters' bank, for the repudia- 
 tion of which, neither excuse nor palliation can be offered. 
 I feel confident that Jefferson Davis never approved or justified 
 that repudiation. What may have been his private opinions 
 of the refusal to consider the State of Mississippi bound to pro- 
 vide for the payment of the Union bank bonds, I do not know. 
 
 Yours truly, 
 
 JOHN SLIDELL. 
 A 2
 
 4 
 
 It is due to the Editor of the cc Times" here to 
 state, that, in his money article of the 23rd March 
 last, he refers to the controversy of that press with 
 Jefferson Davis on that question, in 1849, and, as 
 regards the suggestion of Mr. Slidell, that it might 
 have been Reuben Davis who was the repudiator in 
 1849, instead of Jefferson Davis, the Editor re- 
 marked, "it is to be feared that the proof in the 
 other direction is too strong." Indeed, the Editor 
 might well be astonished at the supposition, that 
 Jefferson Davis, who subscribed the repudiation 
 letter in question of the 25th May, 1849, as well as 
 a still stronger communication of the 29th August, 
 1849, should have been confounded, during a period 
 of near fourteen years, by the press of Europe and 
 America, with Reuben Davis, and that the sup- 
 posed mistake should just now be discovered, es- 
 pecially as Reuben Davis never was a Senator of the 
 United States from Mississippi, or from any other 
 State. 
 
 I was asked if it really was Reuben or Jefferson 
 Davis who was the author of the letter in question 
 advocating the repudiation of the Union bank bonds 
 of Mississippi, their recollection being, that it was 
 the latter. I said that the repudiation letter in ques- 
 tion of the 25 May, 1849, was subscribed and pub- 
 lished at its date in the " Washington Union," by 
 Jefferson Davis as a Senator of the United States 
 from Mississippi, which position he then held, that 
 he was personally well known to me for nearly a 
 fourth of a century, as was also Reuben Davis, and 
 that the latter never had been a Senator of the
 
 5 
 
 United States from Mississippi, or any other State, 
 as was well known to me, and would be shown by 
 reference to the Journals of the United States Senate. 
 I stated, that I had represented the State of Mis- 
 sissippi in the Senate of the United States from 
 January, 1836, until March, 1845, when, having- 
 resigned that office, I was called to the Cabinet of 
 President Polk, as Secretary of the Treasury of the 
 United States, and remained in that position until 
 the close of that administration in March 1849. 
 I added, that I was in Washington cit}', the Capitol 
 of the Union, and residing- there as a Counsellor at 
 Law in the Supreme Court of the United States 
 when the first repudiation letter of Jefferson Davis 
 commmunicated by him to the Editor of the " Union" 
 (a newspaper of that city,) was published on the 25th 
 May,1849, in that print, and very generally through- 
 out the United States. It was remarked by me, that it 
 was well known to myself personally, and I believed 
 to every prominent public man of that date, espe- 
 cially those then in Washington, that Mr. Jefferson 
 Davis was the author of that letter then published 
 over his signature, and that he defended its doc- 
 trines, with all that earnestness and ability for which 
 he was so distinguished. I was also residing* in 
 Washington, when, Mr. Jefferson Davis, published, 
 over his signature, as a Senator of the United 
 States from Mississippi, his well-known second 
 repudiation letter, dated at his residence, " Brier- 
 field, Miss.," August 29, 1849. This letter was 
 addressed to the Editors of the " Mississippian," a 
 newspaper published at Jackson, Mississippi, and
 
 
 
 was received by me in due course of mail. This 
 letter extended over several columns, and was an 
 elaborate defence of the repudiation of Mississippi. 
 This letter also was generally republished through? 
 out the United States. These views of Mr. Jeffer- 
 son Davis attracted my most earnest attention, 
 because, after a brief interval, he was one of my 
 successors in the senate of the United States, from 
 Mississippi. I had always earnestly opposed the 
 doctrine of repudiation in Mississippi, and the Legis- 
 lature of 1840-41, by which I was re-elected, 
 passed resolutions by overwhelming 1 majorities, 
 (hereafter quoted,) denouncing the repudiation 
 either of the Union Bank, or Planters' bank bonds. 
 
 At the period of the conversations before referred 
 to, late in April or early in May last, I was, on this 
 recital of the facts, strongly urg-ed to make them 
 known in Europe, to which my consent was given. 
 
 After some investigation, however, the necessary 
 documents fully to elucidate the whole subject could 
 not be obtained here. It was necessary, therefore, 
 to write home and procure them. This has been 
 done, and I now proceed to a narrative of these 
 transactions from the authentic historical public 
 documents. 
 
 The first letter of Mr. Jefferson Davis before re- 
 ferred to, of the 25th of May, 1849, was published by 
 him as a Senator of the United States from Missis- 
 sippi, over his signature in the " Union," a news-* 
 paper published at Washington city. That letter 
 is in these words :
 
 " DAILY UNION," WASHINGTON CITY. MAY 25, 1849. 
 
 " Statement furnished by Jefferson Davis, ESQ., Senator of the 
 United States. 
 
 " The State of Mississippi has no other question with bond- 
 holders than that of debt or no debt. When the United States 
 Bank of Pennsylvania purchased what are known as the Union 
 Bank bonds, it was within the power of any stock-dealer to 
 learn that they had been issued in disregard of the constitution 
 of the State whose faith they assumed to pledge. By the con- 
 stitution and laws of Mississippi, any creditor of the State may 
 bring suit against the State, and test his claim, as against an 
 individual. To this the bondholders have been invited ; but 
 conscious that they have no valid claim, have not sought their 
 remedy. Relying upon empty (because false) denunciation, 
 they have made it a point of honour to show what can be 
 shown by judicial investigation; i.e., that there being no debt, 
 there has been no default. The crocodile tears which have been 
 shed over ruined creditors, are on a par with the baseless de- 
 nunciations which have been heaped upon the State. Those 
 bonds were purchased by a bank then tottering to its fall pur- 
 chased in violation of the charter of the bank, or fraudulently, 
 by concealing the transaction under the name of an individual, 
 as may best suit those concerned purchased in violation of the 
 terms of the law under which the bonds were issued, ai}d in 
 disregard of the constitution of Mississippi, of which the law 
 was an infraction. To sustain the credit of that ricketty bank, 
 the bonds were hypothecated abroad for interest on loans which 
 could not be met as they became due. 
 
 " A smaller amount is due for what are termed Planters' 
 Bank bonds of Mississippi. These evidences of debt, as well 
 as the coupons issued to cover accruing interest, are receivable 
 for State lands ; and no one has a right to assume they will not 
 be provided for otherwise, by or before the date at which the 
 , whole debt becomes due, 
 
 "JEFFERSON DAVIS." 
 
 To this letter the London " Times/' in its money 
 article ; of the 13th July, 1849 ; replied as follows :
 
 8 
 
 "The case of Mississippi stands thus: In 1838 
 " the State issued bonds for five millions of dollars, to 
 " establish the Union bank. These bonds were dated 
 " June, 1838, bearing five per cent. interest from date, 
 " and it was stipulated with the bank that they should 
 "not be sold under their par value. On the 18th 
 u August following, the bank sold all these bonds to 
 " the United States Bank for five millions of dollars, 
 " payable in five equal instalments in November, 
 " January, March, May, and July, but without in- 
 " terest. The money was punctually paid to the Mis- 
 " sissippi Bank, and the Legislature of Mississippi, 
 " on the terms of the sale being communicated to 
 " them," resolved, ' That the sale of the bonds was 
 " highly advantageous to the State, and in accordance 
 " with the injunctions of the charter, rejecting the 
 " highest credit on the Commissioners, and bringing 
 " timely aid to an embarrassed community? In 
 " little more than two years, however the Mis- 
 " sissippi bank became totally insolvent, having lost 
 " the entire five millions invested in it by the State. 
 " Immediately on this having transpired, the Gover- 
 " nor of the State sent a message to the Legislature 
 " recommending them to repudiate, (this was the 
 " first time the word was used) their obligations, being- 
 " founded on the plea, that as the bonds were issued 
 " with interest payable from the date, and they had 
 " been sold to the United States Bank for their nomi- 
 " n al amount only, the stipulation that they should 
 " not be disposed of below their par value, had been 
 " departed from. He further urged that although 
 " the bonds had been sold ostensibly to Mr. Biddle,
 
 a the President of the United States Bank, the sale 
 " was actual!} 7 to the bank itself, which, by its charter 
 cc could not legally purchase them. Hence although 
 " Mississippi had received the money for the bonds, 
 " it was thus proposed to refuse to repay it, on the 
 fe ground that the purchaser had no right to buy 
 " them. The Legislature however, was not quite pre- 
 " pared for this, and accordingly in responding to the 
 " Governor's message, they resolved. ' 1st. That the 
 " State of Mississippi is bound to the holders of the 
 " bonds of the State sold on account of the bank for 
 " the amount of principal and interest. 2nd. That the 
 " State of Mississippi will pay her bonds, and preserve 
 " her faith inviolate. 3rd. That the insinuation that 
 " the State of Mississippi would repudiate her bonds 
 " and violate her plighted faith, is a calumny upon 
 " the justice, honour and dignity of the State/ But 
 " after this, the pecuniary condition of the State be- 
 " came rapidly worse, and the disposition to pay 
 " diminished in proportion. Accordingly a joint com- 
 " mittee of the Legislature appointed in 1842, re- 
 " ported that the State was not bound to pay the 
 " bonds, advancing the reasons before mentioned, and 
 " also another, namely, that the bonds had not been 
 " sanctioned in the manner required by the constitu- 
 " tion, since although the provision that no loan should 
 " be raised, unless sanctioned by a law passed through 
 " two successive Legislatures had been complied with, 
 te and the bonds had been legally authorized, the act 
 " also prescribed certain conditions regarding the 
 " Bank of Mississippi, which conditions had been 
 66 altered by a subsequent act, that had only passed 
 " through one Legislature.
 
 10 
 
 " In addition to the five millions thus repudiated, 
 " Mississippi owes two millions which she recognizes. 
 ff It has always, however, been a difference without 
 (e distinction, since she pays no dividends on either. 
 " From the period of repudiation up to the present 
 " moment, all representations of the bondholders have 
 " been treated with disregard. About a year and a- 
 " half back, however, one of the citizens of Mississippi, 
 te a Mr. Bobbins, admitted the moral liability of the 
 " State, and proposed that the people should dis- 
 " charge it by voluntary contributions. 
 
 " The next step is the appearance of the letter from 
 " Mr. Jefferson Davis, with whom we are now called 
 " upon to deal. This statement which was trans- 
 " mitted by him to the ( Washington' Union, in reply 
 " to our remarks of the 23rd February last runs as 
 " follows : (Here the Times inserts Mr. Jefferson 
 Davis repudiation letter before quoted.) 
 
 " The assurance in this statement that the Planters' 
 " bank, or non-repudiated bonds are receivable for 
 " State lands, requires this addition, which Mr. Jef- 
 " ferson Davis has omitted, that they are only so 
 fc receivable upon lands being taken at three times its 
 a current value, The affirmation afterwards, that no 
 " one has a right to assume that these bonds will not 
 " be fully provided for before the date at which the 
 " principal falls due, is simply to be met by the fact 
 " that portions of them fell due in 1841 and 1846, 
 fc and that on these, as well as on all the rest, both 
 a principal and interest remain wholly unpaid. 
 
 c( Regarding the first part of the statement no 
 " comment could be made which would not weaken its 
 " effect. Taking its principle and its tone together, it
 
 11 
 
 a is a doctrine which has never been paralleled. Let it 
 (e circulate throughout Europe, that a member of the 
 " United States Senate in 1849, has openly proclaimed 
 " that at a recent period the Governor and Legisla- 
 Cc tive Assemblies of his own State deliberately issued 
 " fraudulent bonds for five millions of dollars to e sus- 
 " tain the credit of a rickety bank ;' that the bonds 
 " in question, having 1 been hypothecated abroad to in- 
 " nocent holders, such holders have not only no claim 
 " against the community by whose executive and re- 
 u preservatives this act was committed, but that they 
 " are to be taunted for appealing to the verdict of the 
 " civilized world, rather than to the judgment of the 
 " legal officers of the State by whose functionaries 
 " they have been already robbed ; and that the ruin 
 " of toil-worn men, of women, of widows, and of chil- 
 " dren, and the ( crocodile tears' which that ruin has 
 " occasioned, is a subject of jest on the part of those 
 " by whom it .has been accomplished, and then let it 
 a be asked if any foreigner ever penned a libel on 
 " the American character equal to that against the 
 " people of Mississippi by their own Senator." 
 
 To this reply of the London "Times," which, (except 
 in portions of Mississippi,) was generally approved 
 throughout the Union, Mr. Jefferson Davis re- 
 sponded in a very long letter, dated from his resi- 
 dence, Brierfield, Mississippi, Aug. 29, 1849, ad- 
 dressed to the Editors of the " Mississippian." He 
 begins as follows: "The London Times of July 
 13, 1849, contains an article which most unjustly 
 and unfairly attacks the State of Mississippi and 
 myself because of a statement I made in refutation
 
 of a former calumny against her, which was pub- 
 lished in the same paper." This article of the Lon- 
 don "Times" Mr. Davis denounces as (( & foreigner's 
 slander against the government, the judiciary, and 
 people of Mississippi ;" " very well for the high 
 tory paper as an attack upon our republican govern- 
 ment;" as "untrue;" "the hypocritical cant of 
 stock-jobbers and pensioned presses " " reckless of 
 reputation ;" " hired advocates of the innocent stock 
 dealers of London Change ;" " a calumnious impu- 
 tation." These are . pleasant epithets which Mr. 
 Jefferson Davis applied to the " London Times " 
 and the "London Change. 7 ' But Mr. Jefferson 
 Davis was very indignant, not only with London, 
 but with all England, for he says, " With far more 
 propriety might repudiation be charged on the 
 English Government, for the reduction of interest 
 on her loans when she consolidated her debts ; for 
 the income tax which compels fundholders to return 
 a part of the interest they receive on their evidences 
 of public debt, for the support of the Government 
 which is their debtor." According', then, to Mr. 
 Jefferson Davis, the London Times and the London 
 Change are great reprobates, and it is not Missis- 
 sippi but "THE ENGLISH GOVERNMENT" which 
 has repudiated their own public debt. 
 
 From such angry epithets and fierce denuncia- 
 tion, the reader will be prepared to find very little 
 argument in Mr. Jefferson Davis's second letter. 
 He denies that Mississippi received the money. But 
 a bank of which she was the sole stockholder, and 
 whose directory was all appointed by lier, re-
 
 13 
 
 ceived it. They received it also for her exclusive 
 benefit, for she, as a State, was to derive larg-e 
 profits on the stock of the bank, which was hers 
 exclusively, and was paid for entirely by the pro- 
 ceeds of these bonds. Mississippi then, as a State, 
 through her agents appointed by her received this 
 money. All governments must act through human 
 agency, and the agency in this case which received 
 the money, was appointed entirely by the State. 
 But this is not all. The Bank, which was ex- 
 clusively a State bank, and based entirely on the 
 proceeds of these State bonds, with no other stock- 
 holders, was directed by the charter to loan this 
 money, the proceeds of these bonds, only to " the 
 citizens of the State," sec. 46, and so the loans were 
 made. The State, then, through an agency ap- 
 pointed exclusively by itself, received this money, 
 the proceeds of the State bonds, and the State, 
 through this same agency, loaned this money to 
 tf the citizens of the State/' who never repaid the 
 loans. The State then received the money and 
 loaned it out to its own citizens, who still hold it ; 
 and yet this money, obtained on the solemn pledge 
 of the faith of the State, her citizens still hold, 
 and the State repudiates her bonds on which the 
 money was received, and Mr. Jefferson Davis sus- 
 tains, indorses, and eulogises this proceeding. Never 
 was there a stronger case, 
 
 Mr. Jefferson Davis reiterates in this letter his 
 arguments contained in his previous communication 
 of the 25th May, 1849, so fully answered by the 
 Editors of the London " Times" in their money
 
 14 
 
 article before quoted of the 1 3th July., 1849. He 
 elaborates, particularly, the legal position, that the 
 bonds were invalid, because he says not sanctioned 
 by two successive Legislatures as required by the 
 Constitution of Mississippi. This statement is erro- 
 neous, because the loan in the precise form, in which 
 the bonds were issued, was sanctioned by two suc- 
 cessive Legislatures in perfect conformity with the 
 Constitution. This is shown, as will be proved 
 hereafter, by reference to the laws passed by the 
 State, and such was the decision on this very point 
 by the highest judicial tribunal of Mississippi, in 
 i842 and 1853. But let us suppose that there was 
 some technical legal informality as to the law, 
 would that justify the repudiation of these bonds ? 
 The Legislature had passed laws in 1837 and 1838 
 authorising^ the issue and sale of these bonds, those 
 acts had been all signed and approved by the Go- 
 vernor of the State, the bonds had been signed 
 by the Governor and Treasurer of the State, the 
 broad seal of the State had been affixed to them by 
 the Governor, they were placed in the hands of the 
 authorities of the State for sale, they were sold by 
 them, and the full amount paid over to the agency 
 appointed by the State, and by that agency the 
 money was loaned to the " citizens of the State" and 
 still retained by them. When the sale of these 
 State bonds in August, 1838, together with all the 
 facts and documents w r ere placed by the Governor 
 before the Legislature in 1839, they ratified and 
 highly approved the sale as before quoted by the 
 "Times," and again still more decidedly in 1841.
 
 15 
 
 And yet the State on the technical grounds stated 
 by Mr. Davis, repudiated their bonds. It was un* 
 constitutional to return the money which they had 
 borrowed and used ! Could anything- be more 
 absurd or dishonourable than this ? The law says 
 if a man borrows money without certain legal 
 authentications he shall not be forced to repay, but 
 if he receives and uses the money, and then inter- 
 poses such technical pleas, he is justly deemed in- 
 famous. He has violated his honour. And is the 
 honour of an individual more sacred than that of a 
 state or nation ? State and national debts rest 
 upon faith, they repose upon honour, the obligation 
 is sacred, and must be fulfilled. It can never be 
 illegal or unconstitutional to pay a debt, where the 
 money has been received by a state or a nation. 
 And, where a State, acting through its supreme Ex- 
 ecutive and Legislature, has issued its bonds and 
 affixed its seal, and they have passed into the hands 
 ofbonajlde holders, the obligation must be fulfilled. 
 For a state or nation, having issued its bonds under 
 its highest legislative and executive sanction, to say, 
 that her own functionaries mistook some of the for- 
 malities of the law, and refuse payments, is a fraud 
 upon the bonajfide holders, and can never be sustained 
 before the tribunal of the world. But when, be- 
 sides the Legislature and Executive of the State, its 
 highest judicial tribunals have declared the bonds 
 perfectly constitutional and valid, and to have been 
 sold in accordance with the terms of the law, for 
 such repudiation of such bonds it is difficult to find 
 any language sufficiently strong to mark the infamy 
 of such a transaction.
 
 16 
 
 If indeed the formalities of the Constitution had 
 not been complied with; and this were not a mere 
 pretext, how easy would it have been to have passed 
 a new act in conformity with the constitutional for- 
 malities, assuming- the debt, or providing 1 for the 
 issue of new bonds to be delivered to the holders on 
 the return of those alleged to be informal. But the 
 truth is, this alleged unconstitutionally was a mere 
 pretext for repudiating 1 a just debt, it never occurred 
 to the Legislatures which passed these laws in 1837 
 and 1838, or to the Governor who signed them, and 
 was rejected by the Legislature in 1839, and again, 
 in the most solemn form in 1841. 
 
 And now let me trace the history of this transac- 
 tion chronologically. The original act chartering 
 the Bank, with the 5th section authorising the loan, 
 was passed by the Legislature Jan. 21st, 1837, and 
 again, in strict compliance with the provisions of the 
 Constitution, reenacted in the same words on the 5th 
 of February, 1838. Now the bonds issued are in 
 strict conformity with this law, and an exact copy 
 of the form of the bonds prescribed by the law. If 
 then, the supplemental act of the 15th February, 
 1838, was unconstitutional, null, and void, as con- 
 tended by the repudiators, then the whole original 
 art remained in full force, and the bonds were valid 
 under that law, and such was the unanimous deci- 
 sion of the High Court of Errors and Appeals of 
 Mississippi, as will be shown hereafter. It was con- 
 tended before the Court, (and by Mr. Davis in his last 
 letter,) that, under the original law, certain acts were 
 to be performed before the bonds could issue. But 
 here again, it is plain on the face of the law, and so
 
 17 
 
 the High Court of Errors and Appeals of Mississippi 
 unanimously decided, that these acts were not re- 
 quired to be performed as conditions precedent to the 
 issue of the bonds, and that the issue and sale of the 
 bonds were perfectly valid before these acts had 
 been performed. The bonds then are in exact con- 
 formity with a law, which was passed by two suc- 
 cessive Legislatures, precisely as provided by the 
 constitution. 
 
 In 1836 there was great pecuniary embarrass- 
 ment in Mississippi, attributed by many to what was 
 called the specie circular, and soon followed a sus- 
 pension of the banks. Under these circumstances, 
 there was an almost universal demand in Mississippi 
 for relief measures. As a consequence, the attention 
 of the Legislature was absorbed almost exclusively 
 in the consideration of remedies for the existing* em- 
 barrassments. The result was, the enactment, on 
 the 21st January, 1837, of the law, creating the 
 Union Bank of Mississippi. This bank was based 
 upon loans to be obtained upon bonds of the State, 
 the proceeds of which, when sold, were to constitute 
 the capital of the bank, which money, by the terms of 
 the charter, was to be loaned to the "citizens of the 
 State" to relieve the existing embarrassments. 
 
 The fifth section of the Act, was the only one, in 
 which any authority was given for a loan by the 
 State, and any power to pledge its faith. That 
 section, entire, was as follows: 
 
 " That in order to facilitate the said Union Bank 
 for the said loan of fifteen millions five hundred 
 thousand dollars, the faith of this State be, and is 
 
 B
 
 18 
 
 hereby pledged, both for the security of the capital 
 and interest, and that 7500 bonds of $1000 each, to 
 wit : 1875 payable in twelve years; 1875 in fifteen 
 years; 1875 in eighteen years; and 1875 in twenty 
 years, and bearing- interest at the rate of five per 
 cent, per annum, shall be signed by the Governor 
 of the State to the order of the Mississippi Bank, 
 countersigned by the State Treasurer, and under 
 the Seal of the State ; said bonds to be in the 
 following words, viz. : 
 
 fc $2000. Know all men by these presents, that 
 the State of Mississippi acknowledges to be indebted 
 to the Mississippi Union Bank in the sum of two 
 thousand dollars, which sum the said State of Mis- 
 sissippi promises to pay in current money of the 
 United States to the order of the President, Direc- 
 tors, and Company in the year with in- 
 terest at the rate of five per cent, per annum, 
 payable half-yearly, at the place named in the in- 
 dorsement hereto, viz. : on the of every 
 
 year until the payment of the said principal sum : 
 in testimony whereof the Governor of the State of 
 Mississippi has signed, and the Treasurer of the 
 State has countersigned these presents, and caused 
 the seal of the State to be affixed thereto, at Jackson, 
 
 this in the year of our Lord. 
 
 Governor, 
 Treasurer." 
 
 The whole act, of which this section was a part, 
 was passed by the Legislature and approved by the 
 Governor in 1837, and the entire section as to the
 
 19 
 
 loan as required by the provision of the Con- 
 stitution of the State, was referred to the action of 
 the next succeeding* Legislature. That succeeding 1 
 Legislature was chosen in November, 1 837, and as- 
 sembled, at its regular session, in January 1838. 
 After full discussion in both houses, this act of 1837 
 was passed by large majorities in both branches of 
 the Legislature, and approved by the new Governor, 
 A. G. McNutt, on the 5th of February, 1838. The 
 act of 1837, including- the 5th section, before quoted, 
 was thus re-enacted by the succeeding Legislature, 
 without any change whatever. There was then a 
 full, complete, and undisputed compliance with the 
 requirements of the Constitution, and, under this act, 
 thus sanctioned by two successive Legislatures, it is 
 conceded, that the faith of the State was pledged, 
 and that the bonds might be issued and sold. But 
 it is contended by Mr. Jefferson Davis, in his first, as 
 well as his second letter, before quoted, that the 
 bonds are invalid, because of the supplemental act 
 of the 15th of February, 1838. Now, it will be ob- 
 served, that no change whatever was made by this 
 supplemental act, in this 5th section of the original 
 act, before quoted, by which alone the faith of the 
 State was pledged for the payment of these bonds, 
 and which section alone, as required by the Consti- 
 tution, had been referred to the action of the suc- 
 ceeding* Legislature. No change whatever was 
 made by the supplemental act in that section of the 
 original act, the bonds were issued and sold in pre- 
 cise conformity with its provisions, and, indeed, 
 these bonds, thus actually issued and sold, are a 
 
 B 2
 
 20 
 
 precise and literal copy of the form of the bonds as 
 given in the original act, as before quoted. The 
 supplemental act changed only some of the " details' 7 
 of the charter of the Bank, but made no alteration 
 whatever in the 5th section. This supplemental act, 
 which is now denounced by Jefferson Davis as un- 
 constitutional, was passed, after the fullest investi- 
 gation of this question, as to the power of the Le- 
 gislature, with favourable reports as to the Consti- 
 tutional power by the joint Committee of both 
 houses. The Committee reported to the Senate, 
 that, by a " a supplemental bill" " it is competent 
 for this Legislature to alter and amend the details 
 of the bill, incorporating the subscribers to the Mis- 
 sissippi Union Bank, passed at the last session of 
 the Legislature of this State." (Senate Journal, 
 103.) 
 
 The report of the Committee to the House was as 
 follows : i( The said Committee are of the opinion, 
 that it is within the province of the Legislature to 
 amend or change the details of the said Mississippi 
 Union Bank Charter/' &c. (House Journal, p. 117.) 
 Such was the opinion of the joint Committee of both 
 houses of the Legislature, which reported this supple- 
 mental act, which act was passed by the vote of 22 to 
 3 in the Senate, (Journal, 320,) and 55 to 22 in the 
 House (Journal, 329-30.) It would appear, then, 
 that in the opinion of an overwhelming majority of both 
 branches of the Legislature of Mississippi, the sup- 
 plemental act was constitutional ; and the act was 
 approved by A. Gr. McNutt, the Governor of the 
 State, and thus became a law on the 15th of
 
 21 
 
 February, 1838. Indeed, the idea that a sub- 
 sequent Legislature could change none of the details 
 of a Bank charter, because there was embodied in 
 the act a separate and distinct section authorizing* a 
 loan of money by the State, seemed to me never to 
 rise to the dignity of a question. Such, we have 
 seen, was the view of the Legislatures of 1838, 
 1839, and 1841, and such was the unanimous 
 decision, hereafter quoted, of the Chancellor and Cir- 
 cuit Judge of Mississippi, and of the Supreme Judi- 
 cial Tribunal, the High Court of Errors and Appeals 
 of the State, in two decisions, on this very point, 
 and in favour of the constitutionality of this law. 
 One of these decisions was made in Januar}^ 1842, 
 and the other in April, 1853. These decisions were 
 conclusive against the State, and binding upon the 
 Legislature, the Governor and the people, for the 
 following reasons. The Constitution of the State of 
 Mississippi contains the following clause : 
 
 " Article II. Distribution of Powers. 
 
 " Sec. 1. The powers of the Government of the 
 State of Mississippi shall be divided into three dis- 
 tinct departments, and each of them confided to a 
 separate body of magistracy ; to wit, those which 
 are legislative to one, those which are judicial to 
 another, and those which are executive to another. 
 
 " Sec. 2. No person or collection of persons, 
 being" of one of these departments, shall exercise 
 any power properly belonging to either of the 
 others, except in the instances hereinafter expressly 
 directed or permitted." It is not pretended .that
 
 22 
 
 any exception was made for this case. The contrary 
 has always been held by the Courts of Mississippi. 
 Indeed^ as late as October Term, 1858, this very 
 question was decided by the High Court of Errors 
 and Appeals of Mississippi, when it was ruled by the 
 Court that " The Legislature may not, therefore, 
 exercise powers which in their nature are judicial." 
 Isom. v. Missis. R. R. Co. 7. George 314. 
 
 In the 9th section of the 7th article of the Consti- 
 tution of Mississippi is found the provision on which 
 Mr. Jefferson Davis relies, requiring the assent of 
 two successive Legislatures to pledge the faith of 
 the State. Immediately succeeding this provision 
 is the following : ^ The Legislature shall direct by 
 law in what Courts suit& may be brought against 
 the State." 
 
 These two consecutive sections of the same article of 
 the Constitution, being in pari materia, are to be con- 
 strued together. Indeed, it is a well known historical 
 fact, that this 9th section, as regards the pledge of the 
 faith of the State, which is now perverted to a wholly 
 different purpose, was intended to give greater 
 solemnity and a higher credit to the bonds of the 
 State, as was likewise the provision in the same 
 Constitution of 1832, sanctioning by name the 
 Planters' bank bonds of the State (now unpaid,) in 
 consequence of which, they were sold at a premium 
 of thirteen and a half per cent. In pursuance of 
 the provision of the Constitution before quoted, the 
 Legislature of Mississippi, in 1833, passed an act, 
 designating the Court of Chancery, as the one in 
 which suits might be brought against the State,
 
 23 
 
 with the right of appeal by either party to the 
 High Court of Errors and Appeals. That act was 
 passed in 1833, in pursuance of this mandatory pro- 
 vision of the Constitution before quoted. That act 
 provided, that, if the decree of the Court should be 
 ag-ainst the State, the Governor shall issue his man- 
 date to the Auditor to draw on the Treasurer to 
 pay the decree, but " no execution whatever shall 
 ever issue on any decree in Chancery against the 
 State of Mississippi whereby the State may be dis- 
 possessed of lands, tenements, goods and chattels." 
 Howard's Dig. 523, 524. 
 
 Here, then, are the two consecutive provisions of 
 the Constitution in pari materia^ the one designating 
 the mode by which the bonds of the State might be 
 issued, and the other, the judicial tribunals in which 
 all disputes as to such bonds might be definitively 
 settled, and payment made, if the decree were against 
 the State. That Constitution vested the whole judi- 
 cial power of the State in the Courts, it vested 
 nothing but "legislative power" in the Legislature, 
 and it prohibited the Legislature and Executive 
 from exercising* judicial power \ it adopted the 
 great fundamental principle of constitutional govern- 
 ment, separating* the executive, legislative, and 
 judicial power. Indeed, it is the great doctrine of 
 American law, that the concentration of any of 
 these two powers, in any one body or functionary, 
 is dangerous to liberty, and that the consolidation 
 of all of these powers, creates a despotism. The 
 interpretation of a law, and particularly of a con- 
 stitution, which is made the " supreme law," the lex
 
 24 
 
 legum, has uniformly been regarded, as exclusively 
 a judicial^ and not an executive or legislative 
 function. In this case, however, it has been made 
 clear by an express provision of the constitution 
 separating- these functions, and designating, under 
 its mandate, the Courts in which suits shall be 
 brought against the State, and the form of the decree 
 to be rendered, and requiring 1 payment to be at 
 once made. A suit is a judicial act, and so is the 
 decree of a Court. Well, then, the highest judicial 
 tribunals of Mississippi, have twice decided this 
 question; they have declared this supplemental acfc 
 constitutional, these bonds valid, and the sale of 
 them to be in conformity with the law ; and, in a suit 
 on one of these very bonds, after the fullest argu- 
 ment, the Court entered a decree of payment, over- 
 ruling 1 every point made by Jefferson Davis, and 
 yet the State still repudiates, as well, after the first 
 decision, in 1842, as the second in 1853. It is 
 difficult to imagine a more palpable infraction of the 
 constitution, or a clearer violation of every principle 
 of justice than this. 
 
 The State prescribes certain forms under which 
 her bonds may issue, she adds to this, in the very 
 next section, a provision commanding the Legislature 
 to designate the judicial tribunals in which suit may 
 be brought on such bonds against the State those 
 tribunals are designated by the Legislature, namely, 
 the Court of Chancery, with appeal to the High 
 Court of Errors and Appeals of the State; both 
 those tribunals, (including the Chancellor,) have 
 unanimously decided against the State, and a
 
 25 
 
 decree is entered for payment of the bonds. And 
 yet the State persists in repudiation, and Jefferson 
 Davis defends her course. When the High Court 
 of Errors and Appeals of Mississippi first deci- 
 ded this question, it was composed of Chief Jus- 
 tice Sharke}^ and Justices Turner and Trotter 
 (one of the framers of the Constitution). When, 
 again, in 1851, suit was brought against the State 
 on one of these repudiated Union Bank bonds, and 
 a decree for its payment rendered by the Chan- 
 cellor, that decree, on full argument on appeal, 
 was unanimously confirmed by the highest judicial 
 tribunal of the State, composed entirely of different 
 judges, namely, Chief Justice Smith, and Justices 
 Yerger and Fisher. Here then are eight Judges, 
 all chosen by the people of Mississippi, concurring 
 in 1842, as well as in- 1853, as to the validity of 
 these bonds, and yet Jefferson Davis justifies their 
 repudiation. The Judges of Mississippi all take an 
 oath to support the constitution, and it is made their 
 duty to interpret it, and especially this very clause : 
 the Legislature is confined to law making, and for- 
 bidden to exercise any judicial power ; the expound- 
 ing this supplemental law, and the provisions under 
 which it was enacted, is exclusive^ a judicial power, 
 and yet the Legislature usurps this power, repudiates 
 the bonds of the State, and the acts of three pre- 
 ceding Legislatures, and the decision of the highest 
 tribunals of the State, Jefferson Davis sustains this 
 repudiation, arid the British public are asked to take 
 new Confederate bonds, issued by the same Jeffer- 
 son Davis, and thus to sanction, and encourage, and
 
 26 
 
 offer a premium for repudiation. These so-called 
 Confederate bonds are issued in open violation of 
 the constitution of the United States, they are ab- 
 solute nullities, they are tainted with treason, they 
 never can or will be paid, and yet they are to be 
 thrust on the British public under the sanction of the 
 same great repudiator Jefferson Davis, who ap- 
 plauds the non-payment of the Mississippi bonds, 
 and thus condemns hundreds of innocent holders, 
 including- widows and orphans, to want and misery. 
 Talk about Jaith, about honour, about justice, and 
 the sanctity of contracts. Why, if such flagrant 
 outrages, such atrocious crimes, can be sustained by 
 the great public of any nation, small indeed must 
 be the value of their bonds, which rests -exclusively 
 on good faith. 
 
 Suppose some astute lawyer could find some in- 
 formality in the law authorizing the issue and sale 
 of the bonds representing the British consols } would 
 any member of either House propose in Parliament 
 to repudiate such bonds, and would not such a motion 
 cause his immediate expulsion ? Yet, this is what 
 the Legislature of Mississippi has done, what Jeffer- 
 son Davis approves and applauds, and what lie says, 
 the (( English Government" has done. 
 
 The London " Times" has heretofore quoted the 
 proceedings of the Legislature of Mississippi in 
 1839, approving the sale of these bonds and eulo- 
 gizing the transaction. It has also referred to the 
 Message of Governor McNutt, of 1841, nearly three 
 years after the sale of the bonds, first recommend- 
 ing their repudiation, and to the resolutions of the
 
 27 
 
 Legislature of Mississippi of that date, affirming' the 
 legality of these bonds and the duty of the State to 
 pay them. As these resolutions are of great im- 
 portance, and ought to have closed the whole con- 
 troversy; I will state, (what is shown by the Journals 
 of the Senate and the House), that they passed both 
 Houses, in great part unanimously, and for the re- 
 mainder, by large majorities. [Sen. Jour. p. 312,] 
 [House Jour. p. 416-17, 249, 324 to 329]. 
 
 The objections made by Governor McNutt in 
 1841, were as follows : 
 
 " 1st. The Bank of the United States is prohi- 
 bited by its Charter from purchasing such stock 
 either directly or indirectly. 
 
 " 2nd. It was fraudulent on the part of the Bank, 
 inasmuch as the contract was made in the name of 
 an individual, when in fact, it was for the benefit of 
 the Bank, and payment was made with its funds. 
 
 " 3rd. The sale was illegal, inasmuch as the bonds 
 were sold on a credit. 
 
 " 4th. Interest to the amount of about $170,000 
 having accrued on those bonds before the purchase 
 money was stipulated to be all paid, the bonds were 
 in fact sold at less than their par value, in direct 
 violation of the Charter of the Bank." (House 
 Journal, p. 25). 
 
 It will here be remarked, that the great objection 
 now urged by Jefferson Davis against these bonds, 
 namely, that the act under which they were alleged 
 to have been issued was unconstitutional, is not 
 enumerated by Governor McNutt. Surely if such 
 an objection existed to the payment of the bonds, it
 
 2$ 
 
 must have found a place in this celebrated message. 
 Is not this conclusive proof, that this constitu- 
 tional objection was a mere afterthought and pretext 
 of Jefferson Davis and his associate repudiators ? 
 
 Let us examine the Governor's objections As to 
 the 1st and 2nd. The Bank did not make the pur- 
 chase The contract was made by an individual, 
 although ttie performance was guaranteed by the 
 Bank. As this is a mere technical objection, surely 
 the Bank guarantee, even if void, could not affect 
 the contract itself. 2nd. The transaction, even if 
 made by the Bank, was not in stock, but a loan 
 made upon bonds. 3rd. The right of the Bank 
 to do this act, is immaterial, if the money was 
 paid, as in this case, the bonds received, payable to 
 bearer, and passed for value, into the hands of bond 
 Jide holders. What an objection to the refunding 
 the money that, although it was received, the pur- 
 chaser of the bonds had no right to buy them, and 
 therefore the bond Jide holders should lose the mo- 
 ney. It might have been in violation of its Charter 
 for the Bank to purchase the bonds, but it was 
 "fraudulent? when the money was received by the 
 State, to retain it, on the allegation, that the Bank 
 could not legally make the purchase, especially 
 when the bonds, in the meantime, had passed into 
 the hands of bond Jide holders. As to the 3rd ob- 
 jection. As the rnone}' was paid, before the objec- 
 tion was made, and the Union Bank authorised to 
 draw at once for the amount, at a point beyond the 
 limits of the State, which it did do, and realized 
 a large premium on the exchange, and profit on
 
 29 
 
 the transaction, the objection is as unfounded in law, 
 as it is in morals or good faith \ especially as the 
 bonds were payable to bearer, upon their face, in 
 exact conformity to the law, and had passed. for value, 
 into the hands ofbondjide holders. Besides, there was 
 no such restriction in the Charter. The only restric- 
 tion in the supplement was, that they should not be 
 sold below par. Suppose the bonds for five millions 
 of dollars had been sold for five millions and a half, 
 payable in sixty days, and the money paid at the 
 time, it is equally absurd and fraudulent to contend, 
 that for such a reason, the whole money could be 
 retained, and bonds repudiated. As to the 4th ob- 
 jection, the original 5th section which passed two 
 successive Legislatures, did not require that the 
 bonds should not be sold for " less than their par 
 value." If then, as contended by Jefferson Davis, 
 the supplemental act containing this provision, was 
 unconstitutional, null and void, then no such restric- 
 tion existed, and the sale was valid under the ori- 
 ginal act. But the truth is, the bonds were not 
 sold below par, but above par as shown by the High 
 Court of Errors and Appeals of Mississippi in the 
 decision hereafter quoted by me. Indeed, all these 
 four objections of the Governor, as well as those of 
 Jefferson Davis, are shown, in that decision to be as 
 unfounded in fact, as they were in law or morals. 
 
 But suppose the bonds were sold below par, that 
 is that the State had lost $170,000, or less than 
 four per cent., on bonds for five millions of dollars. 
 Was that a just or valid ground for repudiating the 
 whole, principal and interest ? The plea of usury is 
 always disgraceful, even if true, especially where
 
 30 
 
 the security was negotiable to bearer and had passed, 
 for full value, into the hands of bond Jide holders. 
 But if such a plea is disgraceful to individuals, what 
 shall be said when it is made on behalf of a State? 
 And what shall be thought of those who make such 
 an objection ? What of a Governor, or of a United 
 States Senator, who urges such objections on behalf 
 of a State ? Do we not feel as if the State were some 
 miserable culprit, on trial, and some pettifogging- 
 lawyer was endeavouring to screen him from punish- 
 ment, by picking a flaw in the indictment. Yet 
 such are the pleas in behalf of a State, urged by 
 Governor McNutt and Senator Jefferson Davis. 
 On reference to the letter before referred to, of 
 Jefferson Davis, it will be found that he does not 
 confine himself to the Constitutional objections. In 
 his first letter, before quoted of 2oth May, 1849, 
 Mr. Jefferson Davis says, " Those bonds were pur- 
 chased by a Bank then tottering to its fall pur- 
 chased in violation of the Charter of the Bank, or 
 fraudulently by concealing the transaction under the 
 name of an individual, as may best suit those con- 
 cerned, purchased in violation of the terms of the 
 law under which the bonds were issued, and in 
 disregard of the Constitution of Mississippi, of which 
 the law was an infraction." These positions are 
 deliberately repeated by Jefferson Davis, in his 
 second letter, before referred to, of the 29th August, 
 1849. That is, the State should pay none of the 
 money received, because the purchaser, as alleged, 
 had no right to buy the bonds and because the sale 
 was, as erroneously stated, an infraction of the law, 
 that is, tisurious, or a sale below par. He insist
 
 31 
 
 the money was not received by the State, because, 
 he says, " Mississippi had no bank, arid could not 
 have a bank of issue, because forbidden by the tenth 
 section of the first article of the United States 
 Constitution ' no State shall emit bills of credit/ " 
 Surely Mr. Davis must have known, that in the case 
 of the bank of Kentucky, a State bank of issue 
 owned exclusively by the State, it was decided by 
 the Supreme Court of the United States, that such 
 a bank was constitutional, and no politician of the 
 Secession school can object to that decision 
 II Peters, 267.* But however this might be, what 
 kind of a plea is this ? Why, if, as alleged, by Mr. 
 Davis, Mississippi had violated the Federal Con- 
 stitution, by establishing 1 a bank of circulation, that 
 therefore the bonds of the State should be repu- 
 diated. Is it not incredible that a Senator should 
 assume such a position on behalf of his State? 
 But, if this be sound,, it clearly follows, that, in as 
 much as the Confederate bonds are issued in plain 
 violation of the constitution of the United States, 
 those bonds should be repudiated ; so also if they 
 were sold below par, or if there be any other tech- 
 nical objection. Nor will it avail that the bonds 
 may have passed into the hands of bondjide holders, 
 for, Mr. Jefferson Davis says, in his letter of the 
 29th August, 1849, " If the bonds have passed 
 into the hands of innocent holders, the fact does not 
 
 * A similar decision was made by the same Court in the case 
 of Darrington v. State Bank of Alabama, 13 Howard, 12. But 
 if the Bank could not issue notes, it would still be constitu- 
 tional, as a Bank of exchange, discount, and deposit, like the 
 Bank of Commerce, New York, and many others having no 
 circulation.
 
 32 
 
 vary the legal question, as the purchaser could not 
 acquire more than the seller had to dispose of." 
 And again, he says, referring to the alleged ina- 
 bility of the first purchaser to buy the bonds, " The 
 claim of foreign holders is as good, but no better 
 than that of the first purchaser/' It is difficult to 
 say, which is most astounding, the law, or the 
 morals of this position. At all events u the foreign 
 holders" of Confederate bonds, are informed by 
 Jefferson Davis, that this is the law. Indeed it is a 
 singular coincidence, that one of the objections made 
 to the payment of the Union bank bonds by the 
 Governor, was, as he alleged " the monstrous as- 
 sumption of power on the part of the bank, in seek- 
 ing to monopolize the cotton crop of the State, and 
 becoming a factor and shipper of our great staple." 
 (Senate Journals, 29.) Why, this is what is being' 
 attempted by these Confederate cotton bonds, al- 
 thoug'h the State rights strict constructionists of 
 slavedom, would in vain look for any clause in their 
 so-called constitution, authorizing any such trans- 
 actions in cotton. And here, let me say, that the 
 objection of a Senator from Mississippi to the pay- 
 ment of her bonds, that, in issuing them, her Go- 
 vernor and Legislature had violated their own 
 constitution, proposes to cure one fraud, by commit- 
 ino- another, far more stupendous. The bonds were 
 issued by the highest Legislative and Executive 
 functionaries of the State, the broad seal of the 
 State attached, the bonds sold, and the money re- 
 ceived. In such a case, there is a legal^ as well as 
 a moral estoppel, forbidding such a plea, for,- 03- the 
 English, as well as by the American doctrine, an
 
 33 
 
 estoppel excludes the truth, whenever such proof 
 would enable the party, who obtained money on false 
 pretences, to commit a fraud on third persons, by 
 disproving' his own averment. This is not a mere 
 technical rule, but one which is based upon experi- 
 ence, and sustained by the most exalted morality. 
 
 I have given the several objections made by Go- 
 vernor McNutt and Senator Davis to the payment 
 of these bonds, with one exception. This will be 
 found in the following- extract from the executive 
 message of Governor McNutt, p. 502, a 'Ihe bank, 
 I have been informed, has hypothecated these bonds, 
 and borrowed money upon them of the Baron 
 Rothschild ; the blood of Judas and Shylock flows 
 in his veins, and he unites the qualities of both his 
 countrymen. He has mortgages on the silver mines 
 of Mexico and the quicksilver mines of Spain. He 
 has advanced money to the Sublime Porte, and taken 
 as security a mortgage upon the holy city of Jeru- 
 salem, and the sepulchre of our Saviour. It is for 
 the people to say, whether he shall have a mortgage 
 upon our cotton fields and make serfs of our chil- 
 dren." I trust the Baron will have the good sense 
 to smile at such folly, and realize, how universal!}^ 
 at least throughout the North, the malice and dis- 
 honesty of these suggestions was condemned and 
 repudiated. We have no such prejudices, worthy 
 only of the dark ages, against " God's chosen 
 people," " the descendants of the patriarchs and 
 prophets," and the " countrywomen of the mother 
 of our Lord." 
 
 Mississippi was thejirst repudiating state ; A. G. 
 
 c
 
 34 
 
 McNutt, ihejirst repudiating- Governor, and Jeffer- 
 son Davis, the Jirst repudiating- Senator. As 
 another evidence of the incredible extent to which 
 the public sentiment of that day was debased, I 
 quote the following- passage from Governor McNutt's 
 messag-e of 1840, proposing- to repeal the Bank 
 Charters^ and to legalize the forgery of their notes 
 (C The issuing- of paper money, in contravention of 
 the repealing- act, could be effectually checked by 
 the abrogation of all laws making 1 it penal to forg'e 
 such paper." Sen. Jour. p. 53. Surely, nothing-, 
 but the fell spirit of slavery, could have dictated 
 such a sentiment. 
 
 But this whole question has been twice unani- 
 mously decided by the highest judicial tribunal of 
 Mississippi, ag-ainst the State, and every point made 
 by Governor McNutt and Jefferson Davis, overruled 
 by the Court. One of these decisions was in Ja- 
 nuary term, 184, more than seven years before the 
 date of Jefferson Davis 1 letters, and the other was 
 at April term, 1853, nearly four years subsequently. 
 The first decision at January term, 1842, is 
 in the case of Campbell et al v. Mississippi Union 
 Bank, 6 Howard, 625 to 683. In this case it was 
 pleaded " that the charter of the Mississippi Union 
 Bank was not enacted and passed by the LegisIa-> 
 ture, in compliance with the provisions of the Con^ 
 stitution of the State, in this, that the supplemental 
 act of 15th February, 1838, the same being a law 
 to raise a loan of money, on the credit of the State, 
 was not published and submitted to the succeeding* 
 Legislature according- to the provisions of the Con*
 
 35 
 
 stitution in 9th section, 7th article.' 7 Here the 
 direct constitutional question was presented, re- 
 quiring- the decision of the Court. The case was 
 most elaborately argued on both sides The able 
 and upright circuit Judge, Hon. B. Harris, had 
 decided that the supplemental act was constitutional, 
 and the bonds valid, and the High Court of Errors 
 and Appeals of Mississippi, after full argument on 
 both sides, unanimously affirmed that decision. In 
 delivering the opinion of this highest judicial tribu- 
 nal of the State, and the one designated by the 
 Legislature in 1833, under the mandatory clause of 
 the Constitution, Chief Justice Sharkey said, 
 
 " The second plea, is, in substance, that the act sup- 
 " plemental to the charter of the Union Bank, was 
 " not agreed to by a majority of each House of the 
 " Legislature, and entered on the Journals with the 
 * c yeas and nays, and referred to the next succeeding 
 " Legislature after publication in the newspapers, 
 " according to the provisions of the 9th section of the 
 " ?th article of the Constitution ; but the said supple- 
 " mental act made material alterations in the original 
 " act, and was only passed by one Legislature, and 
 " that no loan of money can be raised on the faith of 
 " the State without the assent of two Legislatures 
 f( given in the manner prescribed by the Constitution." 
 " I shall then proceed to notice the Constitutional 
 " provision, and to inquire by an application of it to 
 " the Bank charter, whether the position can be sus- 
 ec tained. The 9th section of the 7th article, (of the 
 " Constitution) is in these words. c No law shall ever 
 
 c 2
 
 36 
 
 " be passed to raise a loan of money on the credit of 
 " the State, for the payment or redemption of any 
 "loan or debt, unless such law be proposed in the 
 " Senate or House of Representatives, and be agreed 
 " to by a majority of the members of each House, and 
 " entered on their Journals, with the yeas and nays 
 " taken thereon, and be referred to the next succeed- 
 " ing 1 Legislature, and published for three months 
 " previous to the next regular election, in three news- 
 " papers of the State, and unless a majority of each 
 " branch of the Legislature, so elected after such 
 " publication, shall agree to pass such law, and in 
 " such case, the yeas and nays 'shall be taken, and 
 " entered on the Journals of each House/ 
 
 "The 5th section of the original act provides 
 
 " '.That in order to facilitate the said Union bank for 
 " the said loan of fifteen million five hundred thou- 
 " sand dollars, the faith of this State be and is hereby 
 " pledged both for the security of the capital and 
 " interest,' &c. It appears that the original charter 
 " in which this provision is contained, was passed in 
 " accordance with the provision in the Constitution. 
 " The supplemental act makes no alteration whatever 
 " in regard to this section. It changes in some 
 " respects the mere details of the original charter, in 
 " the mode of carrying the Corporation into successful 
 " operation, and authorizes the Governor to subscribe 
 " for the stock on the part of the State. The object 
 " of the pledge is not changed, on the contrary, the 
 " supplemental act was passed in aid of the original 
 " design. In applying the constitutional test to the
 
 37 
 
 " 5th section, I am not able to perceive any reason 
 " which to me seems sufficient to justify the conclu- 
 " sion that it is unconstitutional." 
 
 " The plea presents no bar to the action." 
 
 Justices Turner and Trotter concurred. 
 
 Mr. Howard, the distinguished State reporter, 
 gives, in the heading of the case, the following as 
 the decision of the Court. "The act supplemental 
 to the Charter of the Union Bank, being in aid of 
 the Charter, and changing the same only in some of 
 the mere details, is a constitutional act/ 7 
 
 The supplemental act, we have seen, was not, in 
 the language of the Constitution, a law " to raise a 
 loan of money on the credit of the State" that act 
 had already passed two successive Legislatures, and 
 was unchanged by the supplement, which merely 
 modified some of the details of the Bank Charter ; 
 such was the the fact, and such the decree of the 
 inferior Court, such was the unanimous decision of 
 the highest judicial tribunal of the State, to which 
 thejinal adjudication had been assigned, by a man- 
 datory provision of the Constitution. 
 
 Surely this decision should have settled the ques- 
 tion. But it did not. Jefferson Davis, notwith- 
 standing his professed desire to submit this question 
 to the final decree of the Courts of the State, per- 
 sisted, as we have seen, in 1849, in repudiating 
 these bonds, at a period more than seven years 
 after this decision of 1842, and still persevered, 
 after the second similar adjudication of 1853. 
 
 The Governor, A. G. McNutt, who had signed 
 the laws authorizing these bonds, and the bonds
 
 88 
 
 themselves, anticipating' the decision of the Court 
 (as he indicates in his message,) in favour of 
 " the holders of certain bonds heretofore issued 
 to the Planters' and Union Bank/' recommends 
 the Legislature, in his message of January, 1842, 
 to create a ee revenue court," the judge of which 
 shall be appointed " by the Executive or Legisla- 
 ture" to which such cases should be transferred. 
 Sen. Jour. p. 22. Thus the case, on the bonds, was 
 to be taken from the high tribunal, (where it was then 
 pending,) created by the Constitution, and chosen by 
 the people, and transferred to a revenue judge to 
 be appointed by the repudiating Governor or Le- 
 gislature of 1842, of course a mere executive para- 
 site, or legislative minion, placed on the bench to 
 repudiate the bonds. Fortunately, such an appoint- 
 ment was forbidden expressly by the Constitution, 
 and would have been disregarded by the Court ; so 
 this attempted usurpation failed. 
 
 The Governor says in that message, " It never 
 was intended by the framersof the Constitution, that 
 ever} r public creditor should be permitted to harass 
 the State at pleasure by vexatious suits Neither 
 the judgment of a Court nor the decree of the 
 Chancellor can be obligatory on the Legislature" &c. 
 -p. 17. 
 
 In conformity with this recommendation of the 
 Governor, the Legislature passed a series of resolu- 
 tions, declaring that " the Legislature is the exclu- 
 sive judge of the objects for which money shall be 
 raised and appropriated by its authority," &c. that 
 the Legislature has no right to " levy or appro-
 
 39 
 
 priate money for the purpose of executing 1 the ob- 
 ject of a law, by them deemed repugnant to, or un- 
 authorized by the Constitution/' that the " Supple- 
 mental (Union Bank) Bill is unconstitutional/' that 
 " the bonds delivered by said Bank, and by it sold 
 to Nicholas Biddle on the 18th August, 1838, are 
 not binding upon the State/' &c. Acts of 1842, 
 ch. 127. But, unfortunately for these positions, 
 the Constitution of the State had deprived the Le- 
 gislature of all " judicial power/' it had vested this 
 power exclusively in {( the Courts/' it had, in the 
 very case of all bonds of the State, required and 
 commanded the Legislature to designate the Courts 
 in which such cases should be decided ; it had, by 
 the Act of 1833, passed in obedience to the im- 
 perative mandate of the Constitution, referred all 
 such cases to the decision of the Court of Chancery, 
 with appeal to the High Court of Errors and Ap- 
 peals, it had made their decision conclusive, it had 
 already appropriated the money, to pay all such 
 decrees, and made it the duty of the Governor to 
 command the Auditor to draw his warrant on the 
 Treasurer for payment ; this was the constitution 
 and the law when these bonds were issued and sold 
 in 1838 such was the contract of the State, in 
 regard to which, the Federal Constitution declares, 
 " no State shall pass any law impairing the obliga- 
 tion of contracts" - which clause has been uniformly 
 held by all the Federal as well as State Courts, 
 to apply to contracts of a Stateand yet, in flagrant 
 defiance of the highest duties and the most sacred 
 obligations, the Legislature passed these resolutions,
 
 40 
 
 to nullify the anticipated decisions of the Court. 
 We have seen, however, that this Executive and 
 Legislative usurpation was ineffectual. The Court 
 stood firm, not a sing-le Judge wavered, and, by a 
 unanimous decree, reversed the Legislative and Ex- 
 ecutive repudiation - vindicated the majesty of the 
 Law and the Constitution upheld the sacred cause 
 of truth and justice resisted the popular phrensy, 
 and defied the unprincipled demagogues, by whom 
 the people of the State had been deceived and de- 
 luded. It was a noble spectacle, when those three 
 upright and fearless Judges, Sharkey, Turner, and 
 Trotter, entered the temple of justice, and declared 
 to the people, by whose ballots they were chosen, 
 that the State was bound to pay these bonds, and 
 decreed accordingly. The same sublime scene, was 
 re-enacted, by a similar decree, in a suit against the 
 State, 011 one of these bonds, by the same Court, 
 in 1853, then composed of different Judges Smith, 
 Yerger, and Fisher. And not one Judge or Chan- 
 cellor of the State ever wavered. Amid all this 
 heaven-daring iniquity, thank God ! the judicial 
 ermine was unstained. Whilst constrained to de- 
 nounce the repudiating Legislature, Governor, and 
 Senator of Mississippi, let me point to another green 
 spot amid the moral waste and desolation of that 
 dreadful period. 
 
 With scarcely an exception, the Bar of Mississippi 
 was true to the cause of honour, law and justice. 
 They knew the objections of McNutt and Davis 
 were wretched pretexts, and they vindicated the 
 reputation of that noble profession, which, in all
 
 41 
 
 ages, has been the champion of Constitutional li- 
 berty. They were men of the same stamp as their 
 illustrious English ancestry, Hampden^ Sidney 
 and Russell, whose names cover the map of my 
 country, and whose deeds have exalted the charac- 
 ter of man ; and although the blood of our anti- 
 repudiating heroes, did not flow like that of the 
 British martyrs, as a sacrificial offering on the altar 
 of freedom, they sacrificed ease, and affluence, and 
 ambition, and political preferment, and endured 
 obloquy and reproach. I rejoice in the recollection, 
 that, during this contest, they should have selected 
 a sentence from my address against repudiation, and 
 placed it on their banners, and at the head of their 
 presses in these words, " The honour of the nation 
 and of every State is the birthright of every Ame- 
 ricanit is the stainless and priceless jewel of po- 
 pular sovereignty it has been preserved unsullied, 
 in all times that are past, through every sacrifice of 
 blood and treasure, arid it must be maintained/ 9 
 Aye ! and it will yet be maintained. The time will 
 come, when repudiation will be repudiated by Mis- 
 sissippi when her wretched secession leaders, the 
 true authors of her disgrace and ruin, will be dis- 
 carded, when her insolent slave holding oligarchy 
 will be overthrown, when the people will break the 
 chains of their imperious masters, and labour, with- 
 out regard to colour, will be emancipated. Seces- 
 sion, repudiation and slavery, are the same in 
 principle and had the same leaders. Jefferson Davis 
 carried the repudiation banner in 1849, as he now 
 does that of secession and slavery. Secession is a
 
 42 
 
 repudiation of law, of constitution, of country, of the 
 flag- of our forefathers, and of the Union purchased 
 hy their blood. Driven at home, within a circle of 
 fire, which narrows every day, it is crouching* before 
 foreign rulers, and imploring- their aid to accom- 
 plish the ruin of our country. It appeals to their 
 ambition, their avarice, their fears, their hatred of 
 free institutions and of constitutional government. 
 It summons them to these English shores, it un- 
 sheaths the imperial sceptre in the House of Com- 
 mons, denounces the Ministry of England, and 
 dictates the vote of Parliament on the most mo- 
 mentous question in the history of the world. Why, 
 when these sentiments were uttered, I almost 
 expected to see the shades of Burke and Fox, and 
 Pitt and Chatham, and Peel and Wellington, rise 
 in the midst and denounce the degenerate bearer of 
 such a message. What ! the British Commons 
 become the supple tools, the obsequious minions, the 
 obedient parasites, to do the bidding- of a foreign 
 master, and tremble when his envoy should stamp 
 his foot and wave the imperial banner in the halls of 
 Parliament. From whom was this message, and to 
 whom ? Was it to the England of Trafalg-ar and 
 the Nile ? Was it to the descendants of the men 
 who conquered at Agincourt and Cressy, and 
 changed for ages at Waterloo the destiny of the 
 world? Why Nelson would speak from his monu- 
 ment, and the Iron Duke from his equestrian statue, 
 and forbid the degradation of their country. But 
 there stood the Confederate messenger, delivering- 
 the mandate of a foreign Power to the House of
 
 48 
 
 Commons, describing- England as a crawling* reptile^ 
 exalting- the Government he professed to represent, 
 as controling* the Continent, and fearing- lest the 
 Imperial Eag-le alone should swoop down upon his 
 prey. And such lang-uag-e, such sentiments ! Was 
 I in Billingsgate, that ancient and illustrious insti- 
 tution, so near the House of Parliament ? Why, 
 the whole code of morals and of international law 
 was repudiated in a sentence, and our demag-og-ues 
 distanced in the race. Did the envoy echo the voice 
 of his master, when he announced that the Ameri- 
 can Union must be dissolved by foreig-n interven- 
 tion, because, if re-united, it would be too strong' 
 and bully the world therefore France and Eng-- 
 land combined must strike us when we were supposed 
 to be weak and divided. It is not the author 
 of such ignoble sentiments, that would lead the 
 banner of France, or of England, any where, 
 except to humiliation and disgraces "Non talis 
 auxilii, nee defensoribus ipsis" No, when, Eng-- 
 land seeks leaders, it will not be the sycophants of 
 power, those who worship alternately democracy 
 and autocracy, who slaver over despotism one day 
 with their venom, and the next with their still more 
 loathsome adulation. 
 
 But there was a change. The Ministry, and one of 
 an order supposed to be our most deadly foe, spoke. 
 There were some opinions especially, as to the re- 
 sults, in which no American could concur there was 
 deep devotion to England but there was also 
 the voice of reason, of justice, of international law 
 it was not so cosmopolitan as I expected, but the
 
 44 
 
 argument of felon force and robber violence was 
 discarded. The scholar, the statesman, the gentle- 
 man the philanthropist addressed the English 
 Commons. Yes, and the nobility of nature also 
 spoke, one who could rise above the reputed prejudices 
 of his order, and do justice to a kindred race of 
 simple Republicans, though they may know neither 
 diadems nor coronets. Such examples exalt and 
 dignify the character of man. They teach us re- 
 publicans a useful lesson that those who differ from 
 us as to some of the forms of Government, may most 
 sincerely support that system, which in their judg- 
 ment will best promote the welfare and happiness of 
 the people. That indeed is the only question. Let 
 England and America work out the problem in 
 peaceful and friendly rivalry. Time and experience 
 will decide the question. If, when slavery is extin- 
 guished in our Union, and the only aggressive element 
 of our system is extirpated, we should run a grand 
 and peaceful career of honour and glory, and pros- 
 perity, we will want no other argument than the 
 results. The blasphemous doctrine of the divine 
 right of kings was discarded by England in the 
 revolution of 1688. The British throne reposes now 
 on the alleged basis of the welfare and happiness of 
 the people. What form of Government will best pro- 
 mote that end this is the only question. I believe 
 it is ours but only with slavery extinguished, and 
 universal education Schools Schools SCHOOLS 
 common schools high schools for all. Education the 
 criterion of the right of suffrage, not property. I do 
 not believe in a Government of ignorance, whether by
 
 45 
 
 the rich; or poor, the many, or the few. With the 
 constant and terrible opposing- element of slavery, we 
 have certainly achieved stupendous results in three- 
 fourths of a century, and to say that our system has 
 failed, because slavery now makes war upon it, is 
 amazing folly. Why predict, that, when re-united, 
 and with slavery extinguished, we would bully the 
 world. Who were our bullies ? Who struck down 
 Charles Sumner the senator of Massachusetts, the 
 eminent scholar and orator, on the floor of the Senate, 
 for denouncing 1 the horrors of slavery ? A South 
 Carolina Member of Congress, whilst all slavedom 
 approved thedeed. Who endeavoured to force slavery 
 on Kansas by murder and rapine, and the forgery of 
 a constitution ? Who repealed the Missouri com- 
 promise, in order to force slavery upon all the 
 territories of the United States ? Who are en- 
 deavouring now to dissolve the Union, and spread 
 slavery over all this wide domain ! Who conspired 
 to assassinate the American President on his way 
 to Washington ? Who murdered in Baltimore the 
 men of Massachusetts on their way to the defence 
 of the Capitol of the Union ? Who commenced 
 the conflict by firing' upon the starving garrison of 
 Sumpter, and striking down the banner of the Union 
 which floated over its walls? Who, immediately 
 thereafter, announced their resolution to capture 
 Washington, seized the National arms, .and forts 
 and dockyards, and vessels, and arsenals, and mints 
 and treasure, and opened the war upon the Federal 
 Government? There is a plain answer to all 
 these questions. It is the Lords of the whip and
 
 46 
 
 the chain and the branding* iron, who are our bul- 
 lies ; who insist upon forced labour, and repudiate all 
 compensation to the toiling 1 millions of slaves who 
 repudiate, among 1 slaves, the marital and parental 
 relation, and class them by law as chattels who 
 forbid emancipation who make it a crime to teach 
 slaves to write or read aye, even the Bible who 
 keep open the interstate slave-trade (more horrible 
 than the African, making Virginia a human stock 
 farm,) tearing- husband from wife, and parents from 
 children founding" a Government boldly announc- 
 ing 1 the doctrine of property in man, based avowedly 
 on the divinity, extension, and perpetuity of slavery 
 these are our bullies, and when they are over- 
 thrown, we shall commence a new career of peace- 
 ful progress and advanced civilization. And why sow 
 the seeds of international hatred between England 
 and America ? Is war really desired between the 
 two countries, or is it supposed that we will yield to 
 foreign intervention without a struggle ? No, the 
 North will rise as one man, and thousands even 
 from the South will join them. The country will 
 become a camp, and the ocean will swarm with our 
 privateers. Rather than submit to dismemberment 
 or secession, which is anarchy and ruin, we will, 
 we must fight, until the last man has fallen. The 
 Almighty can never prosper such a war upon 
 us. If the views of a foreign Power have been truly 
 represented in Parliament, and such an aggression 
 upon nsis contemplated, let him beware, for in such 
 a contest, the political pyramid resting* upon its 
 apex, the power of one man, is much more likely to
 
 47 
 
 fall, than that which reposes on the broad basis of 
 the will of the people. 
 
 But, let me resume the debate. When the minis- 
 try had closed, the earnest opponents of slavery, 
 and true friends of England and America, discussed 
 the question. Seldom have such great speeches 
 been heard on any occasion, and the impression 
 made was most profound. 
 
 What is it England is asked to recognize ? It is 
 a Confederacy, claiming- to be a league of Sovereign 
 and Independent States, like the old American 
 Confederacy of 1778, abandoned when we formed a 
 nation in 1787. When England, in 1783, recog- 
 nized the old Confederacy, the recognition was of 
 each of the several States by name, as sovereign and 
 independent. Now, applying those principles on the 
 present occasion, to the several seceded States by 
 name. Is Virginia independent ? Why all her 
 coasts and sea ports are held by us, so is Norfolk, 
 her commercial capital, more than half her area and 
 white population, and nearly half her territory has 
 been organized as a new State of the Union, and, 
 by the almost unanimous vote of her people, 
 has abolished slavery. Are North and South Caro- 
 lina, Georgia, Florida, Alabama, and Texas, inde- 
 pendent ? Why, their whole coast and large 
 portions of the interior are held by our army 
 and navy. Is Tennessee independent ? Two-thirds 
 of her territory j as well as her political and 
 commercial capitals, Nashville and Memphis, are 
 held by us. The same thing is true, to a great 
 extent, as to Arkansas. As to Mississippi her
 
 48 
 
 whole sea coast, and her whole river coast, for 500 
 miles, with the exception of a single point, is held 
 by us, and more than half her territory.* As to 
 Louisiana, we hold three-fourths of her territory, all 
 her sea coast, all her river front on both banks of 
 the Mississippi, except one point, and her great city, 
 New Orleans, the commercial capital of the State and 
 of the South, with four times the population of any 
 other southern city, and with nearly half the free 
 population of the State. f More than three-fourths 
 of the population, as well as area of Louisiana, is 
 held by us, with her political and commercial 
 capital, and yet it is proposed to acknowledge 
 Louisiana as one of these sovereign and independent 
 States. How can the so-called Confederacy, claim- 
 ing to be a league of sovereign and independent 
 States, be recognized as independent, when the 
 States composing that league are not independent ? 
 How is Richmond to be reached by an English 
 envoy, or is the blockade to be broken, which is war ? 
 How as to slavery ? The 331,000 slaves of 
 Louisiana, the three millions of slaves of the seceded 
 States, are emancipated by the proclamation of the 
 President, under the war power uniformly recognized 
 as Constitutional by the Supreme Court of the 
 United States. If these are States of our Union, 
 or are retained by us, slavery has ceased, and the 
 three millions of slaves are free. But, if you 
 
 * That point, Vicksburg, is now in our possession, 
 f That point, Port Hudson, is now taken by us, and the 
 whole Mississippi river held by our Government.
 
 49 
 
 acknowledge the Confederate independence, then, 
 these three millions of slaves, so far as England is 
 concerned, are slaves still, and will remain so for 
 ever. To refuse recognition, is to admit the freedom 
 of these slaves to recognize, is to remand them to 
 bondage, so far as England can accomplish that 
 purpose. Nor is this all it is to spread slavery 
 over an almost boundless territory, claimed by the 
 South. It is impossible then to escape the conclu- 
 sion, that, in recognizing the Confederacy, England 
 ranges herself on the side of slavery, and does all 
 she can to maintain and perpetuate it in America. 
 Nor is this all. She violates a great moral rule, and 
 a well settled principle of international law, to main- 
 tain and perpetuate slavery in the South, By the 
 law of Nations, the recognition of national inde- 
 pendence, is the acknowledgment of the fact of in- 
 dependence. But, we. have seen, that the States 
 composing this so called league, are not indepen- 
 dent, but are held, to a vast extent by our army and 
 navy, including two-thirds of their area. Never 
 was independence acknowledged under such circum- 
 stances, except as an act of war. The acknowledg- 
 ment then of the Confederate independence, in the 
 present posture of affairs, is, in fact, a declara- 
 tion of war by England against the United States 
 without cause or justification. It would be so uni- 
 versally regarded in the United States, and would 
 instantly close all dissensions in the North. If any 
 suppose, that> England, without any just cause,
 
 50 
 
 should thus strike us with the iron gauntleted hand, 
 and that we will not resist, let the history of the past 
 answer the question. Nor would the union of 
 France, in such an act, change the result, except 
 that nearly all the loss and sacrifice would fall upon 
 England. Including- the slaves and free blacks, 
 there is not a single seceded State, in which an over- 
 whelming- majority of the people are not for the 
 Union. Now, by the Federal Constitution, slaves 
 are mentioned only three times, and then not as 
 slaves, but as "persons" and the Supreme Court 
 of the United States, have expressly decided, that 
 slaves, so far as regards the United States, are per- 
 sons, and not property. Groves versus Slaughter, 
 15 Peters, 392. All persons, in every State, owe a 
 paramount allegiance to the United States, the re- 
 bel masters, as well as their slaves the Government 
 has a right to their services to suppress the rebellion ; 
 and to acknowledge the independence of the South, 
 is to ignore the existence of the slaves, or to treat 
 them, as the South do, as chattels, and not persons. 
 In acknowledging, then, Southern independence, 
 the independence of the masters, England expressly 
 recognizes the doctrine of property in man. Such a 
 war, proclaimed by England and France against 
 the United States on such grounds, would be a war 
 of their Governments not of their peoples, and could 
 have but one termination. As to our recognition of 
 the independence of Texas, it was long after the de- 
 cisive battle of San Jacinto, when . the Mexican
 
 51 
 
 army was destroyed or captured, tog-ether with the 
 President, when by treaty he had acknowledged 
 the independence of Texas, and after the Mexican 
 Government, by accepting- the advantages stipu- 
 lated by their President, had, in fact, and in law, 
 ratified the recognition. It was after all this : when 
 the contest was over, not a Mexican vessel on the 
 coast of Texas, nor a Mexican soldier upon her soil, 
 that we recognized the independence of Texas. The 
 case, therefore, is widely different from the present. 
 Let it be remembered, that we hold, not only the 
 mouth of the Mississippi, its great city, the whole of 
 the west bank of that imperial river, but all the east 
 bank, except two points,* thus dissevering Texas, 
 Louisiana, and Arkansas from the rest of the South. 
 Now the area of these three States, is 373,000 square 
 miles, and that of all the remaining seceded States, 
 396,000 square miles. In holding then the west 
 bank of the Mississippi, we have severed the great 
 artery of the South, which is death. 
 
 lleturning from this episode, I resume the narra- 
 tive. 
 
 We have seen the repudiating Executive message 
 and repudiating Legislative resolutions of Jan. 
 1842, and their failure to influence the decision of 
 the Court. And now, we approach another act in 
 the drama. The Court having affirmed the Consti- 
 tutionality of the Union Bank bonds, and the act of 
 1833 having directed their payment ; the Legislature 
 * Both these points now in our possession.
 
 of 1844, enacted a new law, in these words "That 
 hereafter, no judgment or decree of any Court of 
 Law or Equity having- jurisdiction of suits against 
 the State^ shall be paid by warrants on the Trea- 
 surer, or otherwise, without an appropriation by 
 law, any former law or usage to the contrary not- 
 withstanding." The "law and usage" were plain, 
 to pay such decrees, as required by the Law and 
 Constitution ; but both were disregarded, and the 
 act of 1833, for all practical purposes, repealed. It 
 remained in part, on the statute book, only to invite 
 to the gambler's game of " odd I win, even you 
 lose 7 ' That is, if, under the act of 1833, there 
 should be a decision in any case in favour of the 
 State, it should be conclusive, but if against the 
 State, the money should not be paid, where (as in the 
 case of these bonds) the Legislature differed from the 
 Court, and had already repudiated its decision. 
 Such was the action of the Legislature in 1842 and 
 1844. In 1842, it repudiated, in advance, the de- 
 cision of the Court on these bonds, and, after that 
 decision, repealed so much of the law as required 
 the payment of the decrees of the Court. Now, 
 with a full knowledge of these facts, is it not amazing, 
 incredible, that, several years subsequently, Mr. 
 Jefferson Davis should have declared in his first 
 letter of 1849, " By the constitution and laws of 
 Mississippi, any creditor of the State may bring 
 suit against the State, and test his claim as against 
 an individual; but, conscious that they have no
 
 53 
 
 valid claim; they have not sought the remedy/' and 
 he repeats this averment, substantially, in his second 
 letter. Now who would have supposed, that more 
 than seven years before the date of Mr. Davis's 
 letters, the highest judicial tribunal of the State, the 
 one designated by the law and the constitution, had 
 already unanimously decided that these bonds were 
 valid, and that the State Legislature, instead of 
 paying the money, had repealed the appropriation. 
 But there came a new Court, all chosen by the peo- 
 ple, under the wretched s}^stem, in many of the 
 States, of an elective judiciary, but unknown to the 
 independent Federal judicial S3^stem. A suit was 
 brought in 1851, under the act of 1833, on one of 
 the Union Bank State bonds and coupons before 
 the Chancellor. After elaborate arg*ument ? the 
 Chancellor decided against the State, and entered a 
 decree for the payment of the money. The State, 
 as authorized by the law, appealed from this deci- 
 sion to its own High Court of Errors and Appeals, 
 elected by the people. 
 
 Surely, it was supposed, that this new Court, 
 so recently chosen by the people, after the Legisla- 
 tive repudiation, would be governed by a a proper 
 regard for the public interest and public opinion" 
 Before the Chancellor, as well as the High Court, 
 all the objections made by Governor McNutt and 
 Senator Davis were earnestly pressed by the At- 
 torney General of the State and Associate Counsel, 
 but in vain ; the decision of the Chancellor was
 
 54 
 
 against the State, and it was unanimously affirmed 
 by the High Court. This case will be found re- 
 ported by the State reporter, Johnson v. the State, 
 April Term, 1853 3rd Cushman, 625 to 882, 
 (257 pages). 
 
 In this case, the bond sued on is given in the 
 record, and will be found an exact copy of that, (here- 
 tofore quoted ; ) under the original act, which had 
 parsed two successive Legislatures, the principal as 
 well as coupons, being payable in Federal currency. 
 
 On the reverse side of the bond is the following : 
 " 450. sterling. The President, Directors, and Co. 
 of the Mississippi Union Bank, do hereby designate 
 the agency of the Bank of the United States in 
 London, as the place of pa} T ment of the within 
 bond and interest, and hereby assign and transfer 
 the same for value received to the bearer, principal 
 equal to 450. sterling, and guarantee the payment 
 of the same at the place designated. 
 
 S. GWIN, Cashier. 
 
 H. G. EUNNELLS, President. 
 
 Mississippi State Bond, No. 91. 
 Bedeemable February 25th, 1850." As to the 
 place where the bonds was made payable, there 
 could be no objection, for the original, as well as the 
 supplemental act, gave full authority to make the 
 bonds payable abroad. But, as to the objection, 
 that they were said to be payable in sterling, at the 
 rate of four shillings and sixpence to the pound, the 
 answer was, as shown. 1st. That this was the
 
 55 
 
 true rate of exchange. 2nd. That the bond was 
 payable in Federal currency, and this was all the 
 bond holder ever asked from the State. As to the 
 allegation, that the bonds were sold below par, the 
 Court showed most conclusively from the facts, and 
 agreed case, that they were sold above par, and 
 their constitutionality was fully affirmed. 
 
 The argument of the Attorney General (Glenn) 
 for the State, embraced 3*2 printed pages \ in addi- 
 tion to which, was an elaborate argument by his 
 associate Mr. Stearns. The opinion of Chief 
 Justice Smith embraced 45 pages, the concurring 
 opinion of Justice Yerger 27 pages, and Justice 
 Fisher concurred. The State was not satisfied, but 
 moved for a re-argument, that of Wharton, for the 
 State, embracing 54 pages, and that of Mays, on 
 the same side, 32 pages ; but the Court adhered to 
 
 their decision, and unanimously affirmed the decree 
 
 / ^ 
 
 of the Chancellor against the State. The decision 
 of the Court in the heading of the case, is thus 
 given by the reporter. 
 
 " The bonds might have been legally issued to 
 the bank, by the Governor on the 5th June, 1838, 
 pursuant to the provision of the original charter of 
 the bank, and the faith of the State pledged for the 
 purpose of raising the capital." " The supplement 
 was not void in consequence of not having been 
 passed in conformity with the provisions of the con" 
 stitution contained in the 7th article, 9th section of 
 that instrument." "The object of the original
 
 56 
 
 pledge of the faith of the State, was not changed 
 by the supplemental charter, but it was passed in 
 aid of the original charter." " Campbell v. Union 
 Bank, 6 Howard, 625, cited and confirmed" "The 
 liability of the State, under the operation of the 
 charter of the Bank, attached so soon or whenever 
 the bonds were legally executed to the Bank, and 
 the execution of the mortgages, was neither a con- 
 dition precedent to the pledge of the faith of the 
 State, noivthe condition on which the State bonds 
 were to be executed and delivered." " It does not 
 appear from the facts that the bonds were sold for 
 less than their par value. Held that the sale was 
 neither illegal nor void." " If the commissioners 
 in the sale of the bonds received ' sterling money of 
 Great Britain ? at the rate of four shillings and six- 
 pence to the pound, that is not such an act on their 
 part, as would avoid the bonds." Here then the 
 whole case was again fully decided in 1853 by the 
 very tribunal, to which Jefferson Davis, in 1849, 
 invited the bond holders. And did he or the State, 
 then yield or pay the obligations. Not at all, but 
 they adhered to the repudiation of these bonds, dis- 
 regarded and defied the decision of the Court, and 
 have never paid one dollar of principal or interest, 
 and never will, so long as slavery exists in Missis- 
 sippi. 
 
 And now, after the almost unanimous passage of 
 the supplemental Act in 1838, the sanction of the 
 Legislature in 1839 and 1841, the decision of the
 
 57 
 
 Circuit Court and Chancellor, and of the High 
 Court of Errors and Appeals, how strange is the 
 assertion of Mr. Slidel], that "The Union Bank 
 bonds were issued in direct violation of an express 
 constitutional provision." It is a well settled prin- 
 ciple of American law, so adjudicated by the State 
 Courts, as well as by the Supreme Court of the 
 United States, that, 1st. To authorize the Court to 
 decide that a law is unconstitutional, the repug- 
 nance to the Constitution must be "plain and pal- 
 pable" 2. That the interpretation given by the 
 highest Court of a State, to a State law, or consti- 
 tution, "is conclusive"* But the truth is, as is 
 proved by Mr. SlidelFs own letter, (having never 
 resided in the State), he knew nothing of the sub- 
 ject, or he never would have spoken of Jefferson 
 Davis as " Governor," or alluded to "his adminis- 
 tration/' when he never held that office. But it is 
 of some moment, at least to the unfortunate bond- 
 holders, that the Minister of Jefferson Davis at 
 Paris, avers now, that these bonds are unconstitu- 
 tional. 
 
 But, Mr. Slidell says, " There is a wide differ- 
 ence between these bonds, and those of the Planters' 
 
 * The Supreme Court of the "United States, in 2nd Peters, 
 492, decided that " the judicial department of a State Govern- 
 ment is the rightful expositor of its constitutional law" and 
 the same tribunal has uniformly maintained that such decision 
 is conclusive 5 Or. 22 ; 9 Or. 87 ; 10 Wheat. 152, 454 ; 6 
 Wheat. 119; 4 Pet. 124; 6 Pet. 291; 8 Pet. 220; 16 Pet. 
 455; 7 How. 812. 
 
 E
 
 38 
 
 bank, for the repudiation of which, neither excuse 
 nor palliation can be offered." 
 
 Now, in a subsequent letter, I will prove conclu- 
 sively, from authentic documents, that the State of 
 Mississippi has, most effectually, repudiated those 
 bonds also, and that Jefferson Davis has sustained 
 that repudiation. 
 
 In the case, also, of another slave holding State, 
 I will prove, from the public documents, that Jef- 
 ferson Davis volunteered to sustain her in the repu- 
 diation of her State bonds, in a case more atrocious 
 if possible, than that of Mississippi. As Jefferson 
 Davis is now at the head of a slave holding- re- 
 bellion, endeavouring- to destroy the Government of 
 my country, and is now also engaged in selling 
 worthless Confederate bonds in this market, I have 
 deemed it my duty to make this publication. 
 
 E. J. WALKER. 
 
 NOTE. Since this pamphlet went to press, the 
 supposed menacing message from the Continent, 
 has been officially contradicted. Surety, however, 
 I had a right to conclude, after such solemn assur- 
 ances from a Member to the House, that, although 
 acting in the character of a Confederate messenger, 
 and avowing such ignoble sentiments, he spoke the 
 truth on that point. 
 
 R. J. W.
 
 JEFFERSON DAVIS. 
 
 REPUDIATION, 
 
 RECOGNITION AND SLAVERY, 
 
 LETTER 
 
 No. II. 
 
 OF 
 
 HON. ROBERT J. WALKER, MA. 
 
 COUNSELLOR AT LAW IN THE SUPREME COURT OF THE UNITED STATES, 
 
 LATE LAW REP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OF KANSAS, ETC. ETC. 
 
 LONDON : 
 
 WILLIAM RIDGWAY, 169, PICCADILLY. W. 
 1863.
 
 those bonds ? The principal and interest now due on 
 those bonds exceed $5,000,000, ( 1,000,000,) and 
 yet, for a quarter of a century, the State has not 
 paid one dollar of principal or interest. 2. The State, 
 by act of the Legislature (Ch. 17), referred the ques- 
 tion of taxation for the payment of those bonds to 
 the vote of the people, and their decision was ad- 
 verse. As there was no fund available for the pay- 
 ment, except one to be derived from taxation, this 
 popular vote, (to which the question was submitted 
 })y the Legislature,) was a decision of the State for 
 repudiation, and against payment. 3. The State, 
 at one time, (many years after the sale of the 
 bonds), had made them receivable in purchase of 
 certain State land?, but, as this was "at three 
 times its current value," as shown by the Lon- 
 don Times, in its article heretofore quoted by 
 me, this was only another form of repudiation. 
 
 4. When a few of the bondholders commenced 
 taking small portions of these lands in payment, 
 because they could get nothing else, the State re- 
 pealed the law, (Ch. 22), and provided no substitute. 
 
 5. The State, by law, deprived the bondholders 
 of the stock of the Planters' Bank ($2,000,000), 
 and of the sinking fund pledged to the purchasers 
 for the redemption of these bonds when they were 
 sold by the State. Surely there is here ample evi- 
 dence of repudiation and bad faith. 
 
 The bonds issued by the State of Mississippi to 
 the Planters' JBank, were based upon a law of the
 
 5 
 
 State, and affirmed, by name, in a specific provision 
 of the State constitution of 1832. The State, 
 through its agent, received the money, and loaned 
 it to the citizens of the State, and the validity of 
 these obligations is conceded by Mr. Slidell and 
 Mr. Davis. 
 
 These bonds were for $ 2,000,000, bearing an in- 
 terest of six per cent per annum, and were sold at 
 a premium of 13i per cent. For those bonds, be- 
 sides the premium, the State received $2,000,000 of 
 stock of the Planters' Bank, upon which, up to 1838, 
 the State realized ten per cent dividends, being- 
 f 200,000 per annum. In January, 1841, the Le- 
 gislature of Mississippi unanimously adopted resolu- 
 tions, affirming the validity of these bonds, and the 
 duty of the State to pay them. (Sen. Jour. 314.) 
 In his message to the Legislature of 1843, Governor 
 Tucker says, " On the 1st of January, 1838, the 
 State held stock in the Planters' Bank for 12,000,000, 
 which stock had prior to that time yielded to the 
 State a dividend of $200,000 per annum. I found 
 also the first instalment of the bonds issued on ac- 
 count of the Planters' Bank $125,000, due and 
 unpaid, as well as the interest for several years on 
 said bonds." (Sen. 3 our. 25.) The Planters' Bank, 
 (as well as the State), by the express terms of the 
 law, was bound for the principal and interest of 
 these bonds. Now, in 1839, Mississippi passed an 
 Act (Acts, ch. 42), " to transfer the stock now held 
 by the State in the Planters' Bank, and invest the
 
 same in stock of the Mississippi Railroad Com- 
 pany." By the first section of this act, the Gover- 
 nor was directed to subscribe for $,000,000 of 
 Stock in the Railroad Company for the State, and 
 to pay for it by transferring* to the Company the 
 Planters' Bank Stock, which had been secured to 
 the State by sale of the Planters' Bank bonds. The 
 10th section released the Planters' Bank from the 
 obligation to provide for the payment of these bonds 
 or interest. Some enlightened members, including 
 Judge Gholson, afterwards of the Federal court, 
 protested against this act as unconstitutional, by 
 impairing the obligation of contracts, and as a fraud 
 on the bond-holders. 
 
 They say in this protest, " The money which paid 
 " for the Stock proposed to be transferred from the 
 " Planters' Bank to the Mississippi Railroad Com- 
 " pany, was, under the provisions of the charter, 
 " obtained by loans on the part of the State, for the 
 " payment of which, the Stock, in addition to the 
 a faith of the Government, was pledged to the holders 
 ce of the bonds of the State. By the terms of the 
 " contract between the Commissioners on the part 
 " of the State and the purchasers of the bonds, the 
 " interest on the loans is required to be paid semi- 
 " annually out of the semi-annual dividends accruing 
 " upon the said stock; and the surplus of such divi- 
 " dends, after paying the said interest, is to be con- 
 " verted into a sinking fund for the payment and 
 "liquidation of said loans. The bill, as the title
 
 " purports, simply provides for the transfer of the 
 " Stock now held by the State in the Planters' Bank, 
 " and that the same shall be invested in the Stock 
 " of the Mississippi Railroad Company, leading* from 
 " Natchez to Canton, which has banking- privileges 
 " to twice the amount of capital stock paid in. The 
 " transferring- of the Stock and dividends to another 
 " irresponsible corporation, and the appropriation of 
 " the same to the construction of a road, is a viola- 
 " tion of and impairing* the obligation of the contract 
 " made and entered into with the purchasers or 
 " holders of the bonds of the State, under a solemn 
 " act of the Legislature. If it should be thought 
 " that a people, composed of so much virtue, honour, 
 <c and chivalry, as the noble and g'enerous Missis- 
 " sippians, would disdain, and consequently refrain 
 cc from repealing or violating their plighted faith, it 
 " may be answered, that the faith of the State, 
 " solemnly and sacredly pledged by an Act of the 
 " Legislature, with all the fortnality and solemnity 
 " of a constitutional law, is violated by the provisions 
 " of this very bill under consideration. The faith of 
 " the State is pledged to the holders of the bonds, 
 Ct by the original and subsequent acts incorporating 
 " the Planters' Bank as solemnly as national or 
 a legislative pledges can be made, that the stock and 
 " dividends accruing thereon shall be faithfully ap- 
 " propriated to the redemption and payment of said 
 " loans and all interest thereon, as they respectively 
 " become due ; the appropriation of this fund to
 
 8 
 
 " another purpose, is therefore a violation of the 
 " faith of the State." House Jour. 443. 
 
 Thus, was it, that the stock of the bank, which for 
 so many years had heen yielding 1 a dividend far ex- 
 ceeding' the interest on the loan, and which stock 
 had been pledged for the redemption of the loan, 
 was diverted to the building- of a railroad, which 
 never did or could yield a single dollar, and the Com- 
 pany soon became insolvent. By another clause of 
 this act of 1839, the Planters' Bank which, by the 
 loan act, was made responsible (together with the 
 State,) for the payment of these bonds, was released 
 from the obligation to make such payments. 
 
 And now what is the answer of Jefferson Davis 
 on this subject ? He says in his letter of the 25th 
 May, 1849, before quoted 
 
 " A smaller amount is due for what are termed 
 " Planters' Bank bonds of Mississippi. These evi- 
 " dences of debt, as well as the coupons issued to 
 " cover accruing- interest, are receivable for State 
 " lands ; and no one has a right to assume they will 
 u not be provided for otherwise, by or before the 
 u date at which the whole debt becomes due." To 
 this the London Times replied in its editorial of the 
 13th July, 1849, before quoted, as follows : 
 
 ''The assurance in this statement that the Planters' 
 ee Bank, or non-repudiated bonds, are receivable for 
 " State lands, requires this addition, which Mr. Jef- 
 " ferson Davis has omitted, that they are only so 
 " receivable upon lands being' taken at three times
 
 9 
 
 " its current value. The affirmation afterwards 
 fc that no one has a rig-ht to assume that these bonds 
 " will not be fully provided for before the date at 
 " which the principal falls due, is simply to be met 
 " by the fact, that portions of them fell due in 1841 
 " and 1846, and that on these, as well as on all the 
 " rest, both principal and interest remain wholly 
 " unpaid." 
 
 Mr. Davis' " palliation and excuse " for the non- 
 payment of these bonds was : 1 st. That the prin- 
 cipal was not due. If this were true it would be 
 no excuse for the non-payment of the semi-annual 
 interest. But the statement of Jefferson Davis as 
 to the principal was not true, as shown by the Times, 
 and as is clear upon the face of the law. Then, as 
 as to the lands. The bonds, principal and interest, 
 were payable in money, and it was a clear case of 
 repudiation to substitute lands. But when, as stated 
 by the Times, this land was -only receivable " at 
 three times its current value," Mr. Davis' defence 
 of the repudiation of the Planters' Bank bonds by 
 Mississippi, is exposed in all its deformity. When, 
 however, we reflect, as heretofore shown, that the 
 law authorising- the purchase of these lands by these 
 bonds was repealed, and the bond-holders left 
 without any relief, and the proposition for taxation 
 to pay the bonds definitively rejected, it is difficult 
 to imagine a case more atrocious than this. 
 
 The whole debt, principal and interest, now due 
 by the State of Mississippi, including' the Planters'
 
 10 
 
 and Union Bank bonds, exceeds $11,250,000 
 (2,250,000). Not a dollar of principal or interest 
 has been paid by the State for more than a fourth 
 of a century on any of these bonds. The repudia- 
 tion is complete and final, so long* as slavery exists 
 in Mississippi. Now, would it not seem reason- 
 able that, before Mississippi and the other Confede- 
 rate States, including- Florida and Arkansas, ask 
 another loan from Europe, that they should first 
 make some provision for debts now due, or, at least, 
 manifest a disposition to make .some arrangement 
 for it at some future period. If a debtor fails to 
 meet his engagements, especially if he repudiates 
 them on false and fraudulent pretexts, he can bor- 
 row no more money, and the same rule surely 
 should apply to states or nations. Nor can any 
 pledge of property not in possession of such a bor- 
 rower, or, if so, not placed in the hands of the 
 lender, change the position. It is, (even if the 
 power to pay exists,) still a question of good faith, 
 and where that has been so often violated, all sub- 
 sequent pledges or promises should be regarded as 
 utterly worthless. 
 
 The Times, in reference to the repudiation of its 
 Union Bank bonds by Mississippi, and the justifica- 
 tion of that act by Jefferson Davis, says : 
 
 " Let it circulate throughout Europe, that a 
 " member of the United States Senate in 1849 has 
 " openly proclaimed, that at a recent period the 
 " Governor and Legislative Assemblies of his own
 
 11 
 
 " State deliberately issued fraudulent bonds for five 
 " millions of dollars to ' sustain the credit of a 
 " rickety bank f that the bonds in question, having* 
 " been hypothecated abroad to innocent holders, 
 " such holders have not only no claim against the 
 " community by whose executive and representatives 
 " this act was committed, but that* they are to be 
 " taunted for appealing* to the verdict of the civilized 
 <c world rather than to the judgment of the legal 
 " officers of the State by whose functionaries they 
 " have been already robbed ; and that the ruin of 
 " toil-worn men, of women, of widows, and of chil- 
 fe dren, and the ' crocodile tears ' which that ruin 
 " has occasioned, is a subject of jest on the part of 
 " those by whom it has been accomplished, and then 
 " let it be asked if any foreigner ever penned a libel 
 " on the American character equal to that against 
 " the people of Mississippi by their own Senator." 
 
 Such was the opinion then expressed by the Lon- 
 don Times of Jefferson Da\iis and of the repudia- 
 tion advocated by him. It was denounced as rob- 
 bery, "the ruin of toil-worn men, of women, of widows, 
 " and of children." And what is to be thought 
 of the "faith" of a so-called Government, which 
 has chosen this repudiator as their chief, and what 
 of the value of the Confederate bonds now issued by 
 him ? Why, the legal tender notes of the so-called 
 Confederate Government, fundable in a stock bear- 
 ing eight per cent, interest, is now worth in gold at 
 their own capital of Richmond, less than ten cents on 
 the dollar, (2s on the -,) whilst in two-thirds of their
 
 12 
 
 territory such notes are utterly worthless ; and it is 
 TREASON for any citizen of the United States, 
 North or South, or any ALIEN resident there, to 
 deal in them, or in Confederate bonds, or in the cot- 
 ton pledged for their payment. No form of Con- 
 federate bonds, or notes, or stock, will ever be 
 recognized by the Government of the United States, 
 and the cotton pledg-ed by slaveholding traitors for 
 the payment of the Confederate bonds is all for- 
 feited for treason, and confiscated to the Federal 
 Government by Act of Congress. As our armies 
 advance, this cotton is either burned by the retreat- 
 ing- rebel troops, or seized by our forces, and shipped 
 and sold from time to time, for the benefit of the 
 Federal Government. By reference to the census 
 of 18GO, it will be seen, that three-fourths of the 
 whole cotton crop was raised in States, (now held by 
 the Federal army and navy,) touching* the Missis- 
 sippi and its tributaries, and all the other ports, are 
 either actually held or blockaded by the Federal 
 forces. The traitor pledge of this cotton is, then, 
 wholly unavailing- ; the bonds are utterly worth- 
 less ; they could not be sold at any price in the 
 United States, and those who force them on the 
 London Market, in the language of the Times, 
 before quoted, will only accomplish " the ruin of 
 " toil-worn men, of women, of widows, and of ckil- 
 " dren." 
 
 But the advocacy of repudiation by Jefferson 
 Davis has not been confined to his own State, as I 
 shall proceed to demonstrate in my next letter. 
 
 K. J. WALKEK,
 
 JEFFERSON DAVIS. 
 REPUDIATION 
 
 OF 
 
 ARKANSAS BONDS. 
 
 LETTER III 
 
 OF 
 
 HON. ROBERT J. WALKER, M.A. 
 
 COUNSELLOR AT LAW IN THE SUPREME COU^T OF THE UNITED STATE!?, 
 
 LATE LAW REfc. MI*, SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OF KANSAS, ETC* ETC. 
 
 LONDON : 
 
 WILLIAM BIIXTWAY, 169, PICCADILLY. W, 
 18G4.
 
 this very question was brought directly for adjudica- 
 tion, affirming the constitutionality and validity 
 of these Bonds. When it is recollected, also, 
 that this was the Court designated b}' the consti- 
 tution and laws of Mississippi, as the tribunal to 
 which the ultimate decision of this question was 
 referred, the wretched character of this pretext 
 must be at once perceived. Mr. Davis's two repu- 
 diating letters, were published by him in the spring 
 and summer of 1849, yet one of these decisions by 
 the highest judicial tribunal of Mississippi, quoted 
 by me, affirming* the validity and constitutionality 
 of these very Bonds, was made in 1842, and again 
 unanimously re-affirmed in 1853. But, still, Mr. 
 Davis adhered to the same position. As to the 
 Planters' Bank Bonds, however, the repudiation of 
 which was shown to have been justified by Mr. 
 Davis, there never was ; even a pretext, that they 
 were illegal or unconstitutional. Nor is there any 
 force in the suggestion, that these questions were 
 decided before Mr. Davis came into public life. 
 They were continuous questions, constantly dis- 
 cussed in the press and before legislative and judi- 
 cial tribunals. And ; we have seen, even as late as 
 1853, four years succeeding Mr. Davis's repudiating 
 letters, the second decision was made by the highest 
 judicial tribunal of Mississippi, re-affirming the 
 validity and constitutionality of these Bonds. 
 
 But I will now cite another instance of the advo- 
 cacy of repudiation by Mr. Jefferson Davis, still
 
 5 
 
 more flagitious than that of Mississippi. It was 
 that of the State Bonds of Arkansas, the validity 
 and constitutionality of which never has been dis- 
 puted. A brief history of this transaction is as 
 follows. In 1830, James Smithson, an eminent 
 and wealthy citizen of London, in the kingdom of 
 Great Britain, died, bequeathing*, by his last will 
 and testament, the whole of his property to the 
 United States of America, in trust, to found at 
 Washington, under the name of " the Smithsonian 
 Institution/' an establishment " for the increase 
 and diffusion of knowledge among men." After 
 some delay, the Congress of the United States, in 
 1830, passed an Act, accepting* the trust, and 
 pledging the faith of the Government for the 
 faithful application of the money to the noble pur- 
 pose designated by the illustrious donor. Under this 
 Act, Richard Rush, one of our most distinguished 
 citizens, who had been minister to England and to 
 France, and had held the position of Secretary of 
 State and of the Treasury, at Washington, was sent 
 by the Government to London, to obtain from the 
 Court of Chancery the fund, amounting to over 
 $500,000. It is usual, in the proceedings of the 
 English Court of Chancery, when funds, under cir- 
 cumstances like these, are bequeathed to trustees 
 for scientific or charitable purposes, not to part with 
 the money to the trustee, except upon his filing in 
 Court absolute security for the faithful fulfilment of 
 the trust. In this case, however, the High Court of
 
 6 
 
 Chancery in England, considering* that to imply any 
 laches or neglect of a trust so sacred, on the part of the 
 Government of the United States, was an idea not to 
 be entertained, did, by their decree, without any secu- 
 rity, hand over all the money to the Government of 
 the United States, to be appropriated to the purpose 
 designated by the donor, receiving- only the pledge 
 given by the Congress of the United States, for the 
 faithful appropriation of the money. Now,if there ever 
 was any obligation, that would be considered sacred 
 by the whole civilized world, it was this, and most 
 faithfully has the Government of the United States 
 executed this trust. Nay, it has done much more ; 
 it has granted forty acres of ground, belonging to 
 the Government, in the city of Washington, gratuit- 
 ously, for the erection of the buildings for this 
 noble Institution, which grounds, with the buildings 
 upon them, erected by the Government, are worth 
 largely more than the whole bequest. Not only 
 has the Government done this, but, upon the whole 
 fund received from Mr. Smithsori, it has always 
 punctually paid an interest of 6 per cent, in gold 
 upon the whole sum, and pledged its faith for a 
 similar perpetual payment. It has also largely aided 
 the Institution by contributions to its museum, collec- 
 tions, and library, and by the gratuitous services of 
 public officers in its behalf. Such was the Bill 
 passed by Congress in 1846, and which has always 
 been most faithfully executed. So that the Institu-
 
 tio'n is now established upon a permanent basis, and 
 is fulfilling all the great and nolle purposes proposed 
 by the illustrious donor. No\v, in 1837, this fund 
 was received by the Government of the United 
 States, and invested by the Secretary of the Treasury, 
 Mr. Woodbury, in the 6 per cent. Bonds of the 
 State of Arkansas at par, to the extent of over 
 half a million of dollars. During the same year^ 
 Arkansas invested this money in a bank, entitled, 
 " The Real Estate Bank of Arkansas ;" and of 
 which the State was the great stockholder. In 
 1839; this Bank, having loaned out these funds to 
 the citizens of Arkansas, became absolutely and 
 totally insolvent, and has never been able to pay 
 one cent, on the dollar to any of its creditors. In 
 1839, the State of Arkansas failed to pay the 
 interest on its Bonds, and from that day to this has 
 never paid one dollar either of interest or principal 
 on any of these most sacred obligations. 
 
 On the 4th of March, 1845, I became Secretary 
 of the Treasury of the United States, and ha vino- 
 taken the deepest interest in this Smithsonian fund, 
 and in its faithful application to the noble purpose 
 of the donor, and inasmuch as one of my predeces- 
 sors had invested these funds in these Bonds, and 
 the Government had made itself directly responsible 
 for the faithful execution of this trust, I endeavoured 
 to reclaim, as far as possible, this money from the 
 State of Arkansas, and to induce Congress to appro- 
 priate its own monies to redeem the pledge of the
 
 8 
 
 Government, and fulfil this trust. My first official 
 notion on this subject was as follows. By Act of 
 Congress, 5 per cent, of the nett proceeds of the 
 sales of the public lands in the United States in 
 Arkansas, was payable to that State, for certain 
 purposes designated in the Act. There was, 
 also, an Act of Congress in force, authorizing 
 the Secretary of the Treasur}-, where there were 
 mutual debts and credits between the Govern- 
 ment and any other person, to offset any debt due 
 by any creditor to the United States, against any 
 debt, so far as it would go, due by the United States 
 to such creditor. I interpreted this Act as autho- 
 rizing me to withhold this 5 per cent, fund from the 
 State of Arkansas, and appropriate it, as far as it 
 W 7 ould go, in pa} T ment of the interest which had ac- 
 cumulated on the Bonds of the State of Arkansas, 
 in which my predecessor, Mr. Woodbury, on behalf 
 of the Government, had invested the Smithsonian 
 Fund ; thus saving a small portion of the interest 
 which had accrued on these Bonds. For this act I 
 was violently denounced by the Senators and B,epre- 
 sentatives of Arkansas in Congress, as also by the 
 Legislature and Governor of the State, and strenu- 
 ous efforts were made, unsuccessfully, first to induce 
 me to revoke my action, and, secondly, to have it 
 overruled by the Government. But I adhered to 
 it, and declared openl}-, that if such a breach of 
 trust were consummated, and my action overruled 
 in the premises, I would resign my seat in the
 
 9 
 
 Cabinet. My official action, however, was sustained 
 by an almost unanimous public sentiment of Con- 
 gTess, and of the country. Indeed, be^yond the 
 limits of the State of Arkansas, and the circle of 
 the repudiators of Mississippi, my course was sus- 
 tained and approved. 
 
 Now, then, let us see what was the action of 
 Mr. Jefferson Davis on the question of these 
 Arkansas Bonds. On reference to the journals of 
 the House of Representatives, of the Congress of 
 the United States, it appears that Mr. Jefferson 
 Davis took his seat in that bod} r , as one of the 
 members elect from the State of Mississippi, on 
 the^Sth of December 1845 p. 58. When the Bill 
 was pending* for organizing the Smithsonian In- 
 stitution, and making g-ood for both principal and 
 interest, the sum bequeathed by Mr. Smithson that 
 had been invested by the Government of the United 
 States in these Arkansas State Bonds, Mr. Jeffer- 
 son Davis, on the 29th April 1846, as appears by 
 the official proceeding's of the House, page 749, 
 moved an amendment. " To add at the end of the 
 " section the following*" " Provided, however, That 
 " if the Governor of the State of Arkansas shall 
 " make it appear to the satisfaction of the Attorriey- 
 " General of the United States, that he has used 
 " suitable means to obtain from the Heal Estate 
 (( Bank of the State of Arkansas, payment of the 
 " debt clue by said Bank to the State of Arkansas, but 
 " without success, then, and in that case, and until
 
 JO 
 
 " the arrears due by the said Real Estate Bank shall 
 '- have been received into the Treasury of the State 
 " of Arkansas, the said State shall be and is hereby 
 " declared to be absolved from the promises on the 
 " face of her bonds by which the said State here- 
 " tofore pledged her faith for the due payment of 
 " the principal and interest of said bonds/' Now, 
 then, it will be remembered, that the legality and con- 
 stitutionality of these Arkansas State Bonds, never 
 has been disputed. These bonds were issued by 
 the State, under direct authority of law, signed by 
 the Governor, with the broad seal of the State attach- 
 ed, and recognised by the Government of the United 
 States, by the investment of this sacred fund in 
 these obligations. Nay, more, this fund thus re- 
 ceived by the State from the Government on these 
 bonds, had been invested, under the law of the 
 State of Arkansas, in a Real Estate Bank created 
 by that State, and the money loaned to the citizens 
 of the State. That State Bank, however, in 1839 
 became utterly and notoriously insolvent, and never 
 did or could pay one cent in the dollar on its obliga- 
 tions. And, more especially, never did it pay, 
 after 1839, one single cent of the principal or in- 
 terest upon these State obligations. Now, then, 
 this Institution, in 1846, being absolutely and 
 totally insolvent, its funds having been wasted and 
 squandered without the possibility of recovery, 
 either in whole or in part, Mr. Davis offers this 
 resolution to authorize the State to repudiate its
 
 11 
 
 bonds, and that the Government should look only 
 to this insolvent Bank for the payment of the prin- 
 cipal and interest on these bonds amounting- then 
 to over 7 00,000 dollars. It was not alleged by Mr. 
 Davis, or by any other person, that these bonds were 
 unconstitutional. No such pretext was ever made 
 even b}' the State of Arkansas. It was a most 
 atrocious case of open repudiation. And here, it 
 matters not, so far as this question is concerned, 
 what may have been the obligation of the Govern- 
 ment of the United States, to make good these 
 funds. That is a totally distinct and independent 
 question. The true and real issue in this case is 
 this, was not the State of Arkansas bound to pay 
 these bonds, both interest and principal as it fell 
 due, in which bonds, by the request and authority 
 of the State, the Government of the United States 
 had invested this Smithsonian fund ? This obliga- 
 tion of the State of Arkansas, both moral and legal, 
 is undisputed and indisputable; and yet, Mr. 
 Davis moved the resolution before quoted, absolving 
 the State from the payment of the principal and 
 interest of these bonds, except so far as the 
 assets of her own Bank, then notoriously bankrupt, 
 should avail to make good these obligations. That 
 is, the Congress of the United States, by solemn 
 act was to authorize the State of Arkansas to re- 
 pudiate her solemn obligations. Recollect, this 
 was not a case of Mississippi Bonds, of which 
 State Mr. Davis was then a Representative in Con-
 
 12 
 
 gress, but it was the case of Arkansas, another 
 State, having- on the floor of Congress its own 
 Senators and Representatives. But it is a very 
 remarkable fact, that Mississippi for many years 
 had then repudiated her own bonds, that Mr. 
 Davis justified and sustained that repudiation, and 
 that now, he appears on behalf of Arkansas to 
 induce Congress, by solemn act, to authorize that 
 State to repudiate her obligations also. Thus was 
 it, that Mr. Davis, travelled out of his own State 
 into another to make the Government of the United 
 States a party to the repudiation of her bonds by 
 the State of Arkansas. Let me not be misunder- 
 stood. I do not mean to say, that Mr. Davis pro- 
 posed or intended that the Government of the 
 United States should repudiate its faith, plighted 
 to the British Court of Chancery, to make good 
 this fund. That is not the question. It is entirely 
 collateral. But, what he did do was this, and there 
 stands his own resolution offered by himself in the 
 Congress of the United States, \\hich, if carried 
 into effect, would have released the State of 
 Arkansas from these bonds, or, in Mr. Davis's 
 own words, " The said State shall be and is hereby 
 " declared to be absolved from the promises on the 
 " face of her bonds, by which the said State heretofore 
 "pledged her faith for the due payment of the 
 " principal and interest of said bonds." 
 
 Why should Congress release Arkansas from the 
 payment of her State obligations? Vv r hy thus
 
 13 
 
 justify the repudiation of her bonds ? Can any 
 other reason be assigned than this, that Mr. Jeffer- 
 son Davis was looking* to the repudiated bonds of 
 Mississippi, and was endeavouring- to establish 
 a precedent, by solemn act of the Cong-res*, by 
 which, if adopted as a principle, Mississippi, and 
 every other defaulting- State, could be justified in 
 the repudiation of their bonds also. It is to the 
 credit of the Congress of the United States, that 
 Mr. Davis's resolution was rejected without a divi- 
 sion, and without a count. When it is recollected, 
 that at this very time, I, as Secretary of the Trea- 
 sury, was appropriating 1 the 5 per cent found 
 payable lay the Government to the State of Arkansas 
 towards the liquidation of these bonds against 
 the protest of that State, the further meaning- of 
 these movements will be clearly perceived. Had 
 this resolution of Mr. Davis's passed the two 
 Houses of Congress, absolving- the State of Arkansas 
 from the pa}'ment of these bonds, I could, of 
 course, as Secretary of the Treasury, no longer 
 have withheld that fund from the State, and appro- 
 priated it, so far as it went, towards the liquidation 
 of the interest accrued and accruing- on these 
 bonds. It appears, then, by conclusive and official 
 evidence, that Mr. Jefferson Davis's repudiation of 
 State obligations, was not confined to his own State, 
 nor even to the State of Arkansas ; but that he 
 desired to make the Government of the United
 
 14 
 
 States, by solemn act of Congress^ a party directly 
 sanctioning such atrocious violations" of State faith 
 and State obligation. 
 
 R, J. WALKER. 

 
 AMERICAN 
 
 THANKSGIVING DINNER, 
 
 AT 
 
 ST. JAMES' HALL, LONDON. 
 
 THURSDAY, NOVEMBER 26xn, 1863. 
 
 LONDON : 
 
 WILLIAM BIDGWAY, 169, PICCADILLY. W. 
 1863.
 
 THE 
 
 NATIONAL THANKSGIVING DAY. 
 
 A PROCLAMATION BY THE PRESIDENT OF THE 
 UNITED STATES OE AMERICA. 
 
 THE year that is drawing toward its close has been filled with 
 the blessings of fruitful fields and healthful skies. To these 
 bounties, which are so constantly enjoyed that we are prone to 
 forget the source from which they come, others have been 
 added, which are of so extraordinary a nature that they cannot 
 fail to penetrate and soften the heart which is habitually insen- 
 sible to the ever-watchful providence of Almighty God. 
 
 In the midst of a civil war of unequalled magnitude and 
 severity, which has sometimes seemed to invite and provoke the 
 aggressions of .foreign States, peace has been preserved with 
 all nations, order has been maintained, the laws have been 
 respected and obeyed, and harmony has prevailed everywhere, 
 except in the theatre of military conflict, while that theatre has 
 been greatly contracted by the advancing armies and navies of 
 .the Union. 
 
 The needful diversions of wealth and strength from the fields 
 of peaceful industry to the national defence have not arrested 
 the plough, the shuttle, or the ship. The axe has enlarged the 
 borders of our settlements, and the mines, as well of iron and 
 coal, as of the precious metals, have yielded even more abun- 
 dantly than heretofore. Population has steadily increased, 
 notwithstanding the waste that has been made in the camp, the 
 siege aud the battle-field, and the country rejoicing in the conr 
 sciouaness of augmented strength and vigour is permitted to 
 expect continuance of years with large increase of freedom,
 
 No human counsel hath devised, nor hath any mortal hand 
 worked out these great things. They are the gracious gifts of 
 the Most High God, who, while dealing with us in anger for 
 our sins, hath nevertheless remembered mercy. 
 
 It has seemed to me fifc and proper that they should be 
 solemnly, reverently, and gratefully acknowledged as with one 
 heart and yoice by the whole American people ; I do, therefore, 
 invite my fellow-citizens in every part of the United States, 
 and also those who are at sea, and those who are sojourning in 
 foreign lands, to set apart and observe the last Thursday of 
 November next as a Day of Thanksgiving and Prayer to our 
 beneficient Father who dwelleth in the heavens. And I re- 
 commend to them that, while offering up the ascriptions justly 
 due to Him for such singular deliverances and blessings, they 
 do also, with humble penitence for our national perverseness 
 and disobedience, commend to His tender care all those who 
 have become widows, orphans, mourners, or sufferers, in the 
 lamentable civil strife in which we are unavoidably engaged, 
 and fervently implore the interposition of the Almighty hand 
 to heal the wounds of the nation, and to restore it, as soon as 
 may be consistent with the Divine purposes, to the full enjoy- 
 ment of peace, harmony, tranquillity and union. 
 
 In testimony whereof, I have hereunto set my hand, and 
 caused the Seal of the United States to be affixed. 
 
 Done at the City of Washington, this third day of October, 
 in the year of our Lord one thousand eight hundred and sixty- 
 three, and of the independence of the United States the eighty- 
 eighth. 
 
 ABEAHAM LINCOLN. 
 
 By the President, WILLIAM H. SEWARD, 
 Secretary of State.
 
 In accordance with the above Proclamation, the loyal Ame- 
 ricans in London and their guests attended a THANKSGIVING 
 DINNEE, at St. James's Hall, Regent Street, at three o'clock, 
 p.m., on Thursday the 26th of November, 1863, given under 
 the direction of the following : 
 
 Committee. 
 
 HON. E. J. WALKER, Wash- 
 ington, D.C. 
 
 CHAELES L. WILSON, ESQ., 
 lllionis. 
 
 P. Me. D. COLLINS, ESQ., Ca- 
 lifornia. 
 
 DR. W. E. BALLAED, New 
 York. 
 
 CAPTAIN E. Gr. TINKEE, Conn. 
 
 HON. E. H. MOESE, Maine. 
 
 B. MOEAN, ESQ. Pennsylvania. 
 
 SEWALL WARNEE, ESQ. Mass. 
 E. HUNTING, ESQ. New York. 
 HENRY STAEE, ESQ., Mass. 
 
 GrEEAED EALSTON,ESQ.,Penn- 
 
 svlvania. 
 
 G. W. BELDING, ESQ., New 
 York. 
 
 A. J. VALENTINE, ESQ. Maine. 
 
 B. E. BROWN, ESQ., Mass. 
 W.E BEODEEICK, ESQ., Mary- 
 land. 
 
 The following were the order of Exercises : 1st. Eeading of 
 the President's Proclamation for Thanksgiving, by Eichard 
 Hunting, Esq. 2nd. Prayer by Eev. Sella Martin. 3rd. Hymn 
 written for the occasion TUNE, Auld Lang Syne. 
 
 We meet, the Sons of Ereedom's Sires 
 
 Unchanged, where'er we roam, 
 While gather round their household fires 
 
 The happy bands of home ; 
 And while across the tar blue wave 
 
 Their prayers go up to God, 
 We pledge the faith our fathers gave, 
 
 The land by Ereemen trod ! 
 
 The heroes of our Native Land 
 
 Their sacred trust still hold, 
 The freedom from a mighty band 
 
 Wrenched by the men of old. 
 That lesson to the broad earth given 
 
 We pledge beyond the sea, 
 The land from dark oppression riven, 
 
 A blessing on the free !
 
 DIHNEE 
 
 MEXT. 
 
 A h Coad&. BnmTillicr. Rsqoe a^t Eereriaec*. 
 
 x Hi 
 
 Twins fe rarta de Medbos an Grmtm. 
 Epokzts frits. 
 
 lilifc ftiMM W< fill ni de Cbq de Bror 
 Fnosace de Ptmlei 2k 
 
 de fbniardenzEE 
 
 Diadocts i6tis oci 
 Pooiartiea bnese mi* Pndrie. 
 
 ; . 7L? V__r __I _ : 7 .'. \ - . 
 
 QuBtierde Btraf. 
 
 SECOND SERVICE. 
 
 Eon. 
 L-: Penbeaax, ;. ~ : :__-:.. 
 
 UMk 
 
 Gflee a la Victoria. -S . 
 
 aUGlenCofe. 
 
 lakCbaotity, 
 
 PSearAKrieaaeu 3to Pic a f Angki^e 
 
 alaDii>latiR. DM** tfM I b Bb
 
 ( The Hox, ROBT. J. WALKED, President, assisted by the Horn 
 Freeman H. Morse, the United States' Consul at London, and 
 Gerard Ralston, Esq., of Pennsylvania, the Consul General of 
 Liberia at London. 
 
 On the right of the Chair were seated the Hon. Charles 
 Francis Adams, the United States' Minister, and Charles L. 
 "Wilson, Esq., and Benj. Moran, Esq., Secretaries of Legation ; 
 and on the left, Geo. Thompson, Esq., J. Snow, Esq., Editor of 
 the " Observer ;" P. MO). Collins, Esq., Consul of the United 
 States at Amour Eivcr, &c. &c. 
 
 Amongst those present were Hon. Charles Francis Adams, 
 United States' Minister; Charles. L. Wilson and Benj. Moraii* 
 Secretaries of Legation ; Hon. Freeman H. Morse, U. S. Con- 
 sul ; Miss Morse, Hon. Robert J. Walker and Mrs. "Walker, 
 Miss Walker, Robert J. Walker, Juu., Captain Mayne Reed 
 and Mrs. Reed, Miss Weir, Mn and the two Misses Rose^, 
 Kichard Huntiug and Mrs. Hunting, New York; Dr. W. R. 
 Ballard and Mrs. Ballard, ditto ; Geo.- A\ r . Belding and Mrs. 
 Belding, ditto ; E. C. Hall and Lady, ditto ; Wellington Lee, 
 ditto ; C. S. Porter and Mrs. Porter ; Mr. Taylor and Mrs t 
 Taylor; P. M'D. Collins, California; Sewell Warner and Mrs. 
 Warner, Miss M. Warner, Mass. ; B. F. Brown and Mrs. 
 Brown, ditto ; Mr. Henry B.. Adams ; B. F. Fuller, ditto ; J. G. 
 Avery, ditto; E. W. Fox and Mrs. Fox; Z. K. Pnngborri, 
 ditto; F. C. Cross, ditto; Capt. J. C. Hoadley, ditto; Henry 
 Starr and Mrs. Starr, Pa. ; Gerard Ralston, ditto ; A. L. 
 Holley, Conn.; N. A. Lyman, ditto; Charles Cheney -and 
 Mrs. Cheney; A. G. Shaver, ditto; W. J; Valentine, Maine; 
 J. Emmons and lady, ditto ; G. W. Belding and Mrs. Belding, 
 Vermont ; E. H. Hopkins, ditto ; Charles P. Button, ditto ; 
 Charles Churchill and lady, New Jersey ; C. H. McCormick, 
 Chicago; James T. Griffin, ditto; W. E. Broderick and Mrs. 
 Broderick, Maryland ; Alonzo Kimball, New Hampshire ; Geo. 
 R. Cathcart, South Carolina ; Albert Steers, Wisconsin ; 
 Washington Wilkes and lady ; Joshua Nuiin and Mrs. Nunn ; 
 Peter Sinclair ; Edward McDermott and Mrs. MeDennott ;
 
 9 
 
 &c. &c. Several English Ladies and Gentlemen were also 
 present. 
 
 Upon the removal of the cloth, the Hon. EGBERT J. WALKER, 
 as Chairman, introduced the Toasts prepared for the occasion, 
 as follows : 
 
 1. The President of the United States. 
 
 Sis Excellency Mr. Adams, 
 
 2. Her Majesty the^ Queen. 
 
 Introduced with Remarks ly Mr. Walker. 
 
 3. The Day. Devoted to thanking God for our victories in 
 
 the cause of LIBERTY and UNION. 
 
 George Thompson, 
 
 4. The Union. From the Atlantic to the Pacific, from the 
 
 Lakes to the Gulf, from the Source to the Mouth of 
 the Mississippi, for ever one and inseparable. 
 
 Z. JC Pangborn. 
 
 5. The Emancipation Proclamation, Slavery's Epitaph ; 
 
 written by the finger of God on the heart of the 
 American President. Son- Freeman H. Morse. 
 
 6. The Army and Navy, Immortal champions of freedom, 
 
 who bleed that our country may live. 
 
 Copt* Mayne Reid, 
 
 7. WASHINGTON, The Man without a Peer. We follow his 
 
 farewell advice NEVER TO SURRENDER THE UNION. 
 
 Capt. J. C. Hoadley. 
 
 8. The Press. The Tyrant's foe, the People's friend, where 
 
 it is free, despotism must perish. 
 
 J. Snow and Washington Wilke. 
 
 9. The Ladies. Our Sweethearts, Wives, Mothers, Daughters, 
 
 Sisters, Friends. Their holy influence will break all 
 chains but those which bind our hearts to them.
 
 9 
 
 THE HON. K. J. WALKER, as Chairman, then 
 said : Ladies and Gentlemen, by the request of 
 my countrymen, I shall preface the toasts pre- 
 pared for the occasion by a few introductory re- 
 marks. This day has been set apart by the Presi- 
 dent of the United States for thanksgiving- to Al- 
 mighty God for all the blessings which He has 
 vouchsafed to us as a people. Among* these are 
 abundant crops, great prosperity in all our indus- 
 trial pursuits, a vast addition, even during- the war, 
 to our material wealth, and augmented immigration 
 to our shores from Europe. Our finances have been 
 conducted with great ability and success by the Se- 
 cretary of the Treasmy, Mr. Chase, who has also 
 succeeded in giving us, for the first time in our his- 
 tory, a uniform national currency, which, as a bond 
 of union, and as an addition to our wealth and re- 
 sources, is nearly equal to all the expenses of the 
 great contest (loud cheers for Mr. Chase). During 
 the present year, nearly 400,000,000 dollars of 
 the Six per cent. Stock of the United States 
 has been taken at home, at or above par* whilst 
 within the last few months, European capital- 
 ists, unsolicited by us, are making large invest- 
 ments in the securities of the Union. But, above 
 all, we have to thank God for those victories 
 in the field which are bringing* this great contest to 
 a successful conclusion. This rebellion, is, indeed, 
 the most stupendous in history. It absorbs the at- 
 tention, and affects the political institutions and 
 material interests of the world. The armies en-
 
 10 
 
 gaged exceed those of Napoleon. Death never had 
 such a carnival ; and each week consumes millions of 
 treasure. Great is the sacrifice, but the cause is 
 peerless and sublime (cheers). If God has placed 
 us in the van of the great contest for the rig-Jits and 
 liberties of man if He has assigned us the post of 
 danger and of suffering, it is that of unfading glory 
 and imperishable renown (loud cheers). The ques- 
 tion with us, which is so misunderstood here, is that 
 of national unity (hear, hear), which is the vital ele- 
 ment of our existence j and any settlement which 
 does not secure this, with the entire integrity of the 
 Union and freedom throughout ail its borders, \viil 
 be treason to our co.untry and to mankind (loud 
 cheers). To acknowledge the absurd and anarchical 
 doctrine of secession, as is demanded of us here, to 
 abdicate the power of self-preservation, and permit 
 the Union to be dissolved, is ruin, disgrace, and sui- 
 cide. There is but one alternative ; we must and 
 will fight it out to the last (loud and prolonged ap- 
 plause). If need be, all who can bear arms must 
 take to the field, and leave to those who cannot the 
 pursuits of industry (hear, hear). If we count not 
 the cost of this contest in men or money, it is be- 
 cause all loyal Americans believe, that the value of 
 our Union cannot be estimated (hear, hear). If 
 martyrs from every State, from England, and from 
 nearly every nation of Christendom have fallen in 
 our defence, never, in humble faith we trust, has any 
 blood since that of Calvary, been shed in a cause so 
 holy (cheers).
 
 11 
 
 Most of the rebellions which have disturbed or 
 overthrown Governments, have been caused by 
 oppression on their part. Such rebellions have been 
 the rising 1 of the oppressed against the oppressor ; 
 but this rebellion was caused exclusively by slavery 
 (cheers). To extend and perpetuate and nationalise 
 slavery, to demand of the American Congress the 
 direct and explicit recognition of the right of pro- 
 perty in man, to cover the whole vast territory of 
 the Union with chattel servitude, to keep open the 
 interstate slave trade between the border and the 
 Cotton States, to give the institution absolute mastery 
 over the Government and people, to carry it into 
 every new State by fraud and violence and forgery, 
 as was exemplified in Kansas, and then, as a final 
 result, to force it upon every free State of the 
 Union, these were the objects conceived by those 
 who are engaged in this foul conspiracy to dissolve 
 the American Union (cheers). I have said that the 
 American Union never will be dissolved (loud and 
 continued cheers). This was the advice of the peer- 
 less Washington, the father of his country, in his 
 farewell address, and this was the course of the 
 immortal Andrew Jackson, when he suppressed the 
 Carolina rebellion of 1833, by coercion and a Force 
 Bill. The American Union is the great citadel of 
 self-government, entrusted to our charge by Pro- 
 vidence j and we must defend it against all assail- 
 ants, until our last man has fallen. This is the 
 cause of labour and humanity, and the toiling and
 
 12 
 
 disfranchised masses of the world feel that their fate 
 is involved in the result of our struggle. In England 
 especially, this feeling on the part of the Avorking 
 classes has been manifested in more than one hun- 
 dred meetings, and the resolutions in favour of the 
 Union, passed by the operatives of Manchester, who 
 were the great sufferers from this contest, indicate a 
 sublimity of feeling, and a devotion to principle on 
 the part of these noble martj'rs, which exalts and 
 dignifies the character of man (cheers). The work- 
 ing classes of England, of France, and of Germany, 
 who are all with us, in case of foreign intervention, 
 must have constituted the armies that would have 
 been taken to our shores to make war upon the 
 American people. The men who are for us 
 would have been transported across the ocean to 
 fight against us in the cause of slavery and for the 
 degradation of labour. Can there be any doubt as 
 to the result of such a conflict ? It is now quite 
 certain that this rebellion will receive no foreign 
 aid; but if any European despot or usurper had 
 thus intervened, and sent his myrmidons to our 
 shores, the result, though it might have been pro- 
 longed, would have been equally certain he would 
 have lost his crown and destroyed his dynasty 
 (cheers) ; our whole country would have been a 
 camp ; we should have risen to the magnitude of the 
 contest, and all who could bear arms would have 
 taken the field. AVe know, as Americans, that our 
 national unity is the essential condition of our exist-
 
 13 
 
 ence. Without it we should be disintegrated into 
 sections, states, counties, and cities ; and ruin and 
 anarchy would reign supreme (cheers). No, the 
 Lakes can never be separated from the Gulf, the 
 Atlantic from the Pacific, the source from the mouth 
 of the Mississippi, nor the sons of New England 
 from the homes of their kindred in the great West 
 (cheers). But, above all, the entire valley of the 
 Mississippi was ordained by God as the residence of 
 a united people. Over every acre of its soil, and 
 over every drop of its waters, must for ever float the 
 banner of Union (loud applause), and all its rivers 
 as they roll on together to the Gulf proclaim that 
 " what God has joined together man shall never 
 put asunder" (loud cheers). The nation's life blood 
 courses this vast arterial system, and to sever it is 
 death. No line of latitude or longitude shall ever 
 separate the mouth from the centre or sources of the 
 Mississippi. All the waters of the imperial river, 
 from their mountain springs and crystal fountains, 
 shall ever flow in commingling currents to the Gulf, 
 uniting-, evermore, in one undivided whole, the 
 blessed homes of a free and happy people. This 
 great valley is one vast plain without an intervening 
 mountain, and can never be separated by any line 
 but that of blood, to be followed surely by military 
 despotism. No ; separation by any line is death ; 
 disunion is suicide. Slavery having made war upon 
 the Union, the result is not doubtful. Slavery will 
 die (cheers). Slavery having selected a traitor's 
 position, will meet a traitor's doom (loud cheers).
 
 14 
 
 The Union will still live. It is written by the 
 finger of God, on the scroll of destiny, that 
 "neither principalities nor powers" shall affect its 
 overthrow, nor shall "the grates of hell prevail against 
 it." But what as to the results? It is said that 
 we have accomplished nothing; and this is re- 
 echoed every morning 1 by the pro-slavery press of 
 England. We have done nothing- ! Why. we have 
 conquered and now occupy two-thirds of the entire 
 territory of the South, an area far larger (while 
 overcoming a greater resisting* force) than that 
 traversed by the armies of Caesar or Alexander. The 
 whole of the Mississippi river, from its source to 
 its mouth, with all its thirty thousand miles of tri- 
 butaries, is exclusively ours (cheers). So is the great 
 Chesapeake Bay. Slavery is not only abolished in the 
 Federal district, containing 1 the capital of the Union, 
 but in all our vast territorial domain, comprising* 
 more than eight hundred millions of acres, and nearly 
 half the size of all Europe. The four slave-holding 
 States of Delaware, Maryland, Kentucky, and Mis- 
 souri, are devotedly loyal, and thorough^ sustain- 
 ing* the Union. And how as to Virginia? Why, all 
 the counties of Virginia east of the Chesapeake are 
 ours ; all that vast portion of eastern Virginia, north 
 of the liappahannock, is ours also. But still more, all 
 that great territory of Virginia, from the mountains 
 to the Ohio, is ours also; and not only ours, but, by 
 the overwhelming voice of her people, has formed a 
 State Government. By their own votes they have
 
 abolished slavery, and have been admitted as one of 
 the Free States of the American Union (loud 
 cheers). And where is the great giant state of the 
 west Missouri ? She is not only ours, but, by 
 an overwhelming- majority of the popular vote, 
 carried into effect by her constitutional convention, 
 has provided for the abolition of slavery, and enrols 
 herself soon as one of the Free States of the American 
 Union (cheers). And now, as to Maryland. The 
 last steamer brings us the news of the recent elections 
 in Maryland, which have not only sustained the 
 Union, but have sent an overwhelming* majority to 
 Congress and to the State Legislature in favour of 
 immediate emancipation, and Delaware adopts the 
 same policy (loud applause). Tennessee is also 
 ours. From the Mississippi to the Cumberland 
 and Tennessee rivers, from Knoxville, in the moun- 
 tains of the East, to Nashville, the capital, in the 
 centre ; and Memphis, the commercial metropolis, 
 in the West, Tennessee is wholly ours. So is 
 Arkansas. So is Louisiana, including the great 
 city of New Orleans. So is North Alabama. So 
 is Western Texas. So is two-thirds of the State 
 of Mississippi ; and now the Union troops hold 
 Chattanooga, the great impregnable fortress of 
 North-Western Georgia. From Chattanooga, which 
 may be regarded as the great geographical central 
 pivot point of the rebellion, the armies of the Ke- 
 public will march down through the heart of Geor- 
 gia, and join our troops upon the seaboard of that 
 state, and thus terminate the rebellion (loud cheers).
 
 16 
 
 Into Georgia and the Carolinas, nearly half a mil- 
 lion of slaves have been driven by their masters in 
 advance of the Union army. From Virginia, from 
 Kentucky, Missouri, Arkansas, Louisiana, Missis- 
 sippi, Tennessee, and North Alabama, thousands of 
 their slaves have been driven and huddled together 
 in the two Carolinas and Georgia ; because, if they 
 had been left where they were, they would have 
 joined the Northern armies. They preferred to be 
 freemen rather than slaves; they preferred to be 
 men and women rather than chattels ; they preferred 
 freedom to chains and bondage; and just so soon 
 as that Union army advances into the Carolinas and 
 Georgia, will the slaves rush to the standard of free- 
 dom, and fight as they have fought with un- 
 daunted courage for liberty and the Union (loud 
 applause). 
 
 But how is it with the South ? Why, months ago, 
 they had called out, en masse, all who were capable 
 of bearing arms. They have raised their last army* 
 And how as to money ? Why, they are in a state 
 of absolute bankruptcy. Their money, all they have, 
 that which they call money, according* to their own 
 estimation, as fixed and taken by themselves, one 
 dollar of gold purchases sixteen dollars of Confede- 
 rate paper, which must soon cease to circulate at 
 any rate. The price of flour is now 100 dollars a 
 barrel, and other articles in like proportion. No re- 
 venue is collected, or can be. The army and the 
 Government are supported exclusively by force, by 
 seizing the crops of farmers and planters, and using
 
 17 
 
 them for the benefit of the so-called Confederate Go- 
 vernment Starvation is staring- them in the face. 
 The collapse is imminent, and, so far as we may 
 venture to predict any future event, nothing- can be 
 more certain than that before the closing* of the 
 coming- year the rebellion will be brought entirely 
 to a close (hear, hear). We must recollect, also, that 
 there is not a single State of the South, in which a 
 large majority of the population (including- the 
 blacks) is not now, and always has been, devoted to 
 the Union. Why, in the State of South Carolina 
 alone, the blacks, who are devoted to the Union, ex- 
 ceed the whites more than 100,000 in number. The 
 recent eletions have all gone for the Union by over- 
 whelming- majorities, and volunteering for the army 
 progresses with renewed yig-our. For all these 
 blessings the President of the United States invites 
 us to render thanks to Almighty God. Our cause 
 is that of humanity, of civilisation, of Christianity. 
 We write upon our banners, from the inspired words 
 of Holy Writ, " God has made of one blood all the 
 nations of the earth." We acknowledge all as 
 brothers ; we invite them to partake with us alike 
 in the grand inheritance of freedom ; and we repeat 
 the Divine sentiment from the sermon on the Mount, 
 " Do unto others as you would have them do unto 
 you" (loud cheers). Nor let it be supposed that we, 
 as Americans, are entirely selfish in this matter. We 
 believe that this union is the most sacred trust ever 
 confided by Almighty God to man. We believe 
 
 u
 
 18 
 
 that this American Union is the best, the brig-litest, 
 the last experiment of self-government, and as it 
 shall be sustained and perpetuated, or broken and 
 dissolved, the light of liberty shall beam upon the 
 hopes of mankind, or be for ever extinguished, amid 
 the scoffs of exulting* tyrants, and the groans of a 
 world in bondage (loud applause). All nations and 
 ag'es will soon acknowledge that, in this contest, we 
 have made greater sacrifices of blood and treasure 
 in the cause of human freedom than was ever before 
 recorded in history. We will have suppressed the 
 most gigantic and the most wicked rebellion, a task 
 that could have been accomplished by no other Go- 
 vernment. We have succeeded, because our institu- 
 tions rest on the broad basis of the affections, the 
 interests, and the power of the people. No other 
 nation could bring' a million of volunteers to the 
 field (loud cheers), and millions more would come if 
 necessary. As a result of this war, we will extin- 
 guish slavery, we will perpetuate and consolidate the 
 Union, we will prove that man is capable of self- 
 government, and secure the ultimate ascendancy of 
 free institutions throughout the world. This, there- 
 fore, is a day in which all humanity may unite with 
 us in the hymn of praise, and the toiling millions of 
 the earth join with us in fervent thanksgiving- to Al- 
 mighty God for the approaching redemption of our 
 race from slavery and oppression (loud and long 
 continued cheering and applause). 
 
 Thanking you, Ladies and Gentlemen, for the
 
 19 
 
 kind indulgence with which you have been pleased 
 to receive these remarks, I will now proceed to the 
 toasts which have been prepared for the occasion. 
 Ladies and Gentlemen, the first toast will be " The 
 President of the United States/ 7 under whose pro- 
 clamation we are this day convened. Before asking 1 
 you to drink to that toast, I would say that we are 
 honoured by the presence this evening of his Excel- 
 lency the American Minister, Mr. Adams, who will 
 reply to this sentiment (prolonged applause). This 
 is a name for a century, and during three genera- 
 tions most honourably and conspicuously connected 
 with the cause of our country and of human liberty. 
 The grandfather and father of our American Minis- 
 ter, were each elevated to the Presidency of the 
 United States by the votes of the American people. 
 The first, the illustrious John Adams, moved, in 
 1776, the declaration of American independence, and 
 supported that motion by an immortal and most 
 eloquent address. He was the successor of the 
 peerless Washington as President of the United 
 State. The second, John Quiricy Adams, eminent 
 for courage, for integrity, for opposition to slavery, 
 for devotion to the cause of liberty, for learning, 
 science, eloquence, diplomacy, and statesmanship, 
 was the successor of President Munroe. His son, 
 our honoured guest, inheriting the great qualities 
 and noble principles of an illustrious ancestry, will 
 respond to the first toast, "The President of the 
 United States." The toast was drunk amid the most
 
 20 
 
 enthusiastic applause. Three cheers for the Presi- 
 dent, called for by Mr. Walker, were given most 
 enthusiastically. 
 
 Mr. ADAMS, the American Minister, in acknow- 
 ledging- the toast, said : I thank you for the honour 
 you have done me by calling 1 upon me to respond 
 to the toast of the President of the United States. 
 Of late years we have rather got out of the habit of 
 giving any great amount of laudation to the President 
 of the United States. There may have been causes for 
 that which you will all understand ; but I will say 
 that with respect to our good Chief Magistrate, he 
 has not had himself any such great amount as 
 would be likely to turn his head (laughter) not 
 half so much, Mr. Chairman, as you have been kind 
 enough to shower upon me this evening. On the 
 contrary, it has become the practice of our people 
 generally to hold the President responsible for any 
 mistake that is committed by anybody, and every 
 misfortune that happens at any time. There is 
 hardly a single act that he does against which 
 somebody is not found to carp. Even with 
 respect to this proclamation, asking us to have a 
 thank sgiving'-day, I have seen it somewhere remark- 
 ed, that it was a most extraordinary thing that when 
 there seemed to be nothing but calamity in the 
 United States, when there was an immense loss of 
 life going on, great destruction of property, and 
 painful distress in all classes, the President should
 
 21 
 
 take this occasion to call upon his fellow citizens 
 to give thanks to God. It seemed to indicate 
 either great moral obtuseness, or else a savage, 
 vindictive feeling of joy over the distress of the 
 people whom he was trying to subject. Now, Mr. 
 Chairman, it is to this point that I propose to 
 address the few remarks I mean to make to you this 
 evening. I am perfectly willing* to concede that 
 this is a time of great calamity. I believe that the 
 great majority, indeed almost all of our people ir 
 America, feel that it is a calamity which they would 
 gladly have avoided if the} 7 could ; but that the\ r 
 have been obliged to view it as much a necessary 
 evil as if it had been an earthquake or an inunda 
 tion. It was an affliction which they could not 
 avoid. Under these circumstances, all that they 
 could do was to apply themselves as quickly as pos- 
 sible to the perfection of a remedy and a restoration. 
 This could only be done through perseverance in the 
 war (hear, hear). But we are asked, what is the 
 precise blessing* for which we are at present to give 
 God thanks? In order to get something like a 
 correct idea of this matter,, it will be necessary for 
 me to recall to your minds, as briefly as possible, the 
 course of events since the time when the President 
 came into office. 1 scarcely need say to 3 T ou, what 
 I believe is perfectly well known to every one, 
 that that gentleman came to his post with less of 
 practical experience in Government than any indi- 
 vidual had done since the foundation of the Govern- 
 ment (cheers). He came into office at a time of the
 
 greatest difficulty and danger which had occurred 
 since the establishment of that office (cheers). He, 
 as you will all recollect, found himself occupying a 
 position in which all the portions of the edifice of 
 Government seemed crumbling around him. Why, 
 it was exceedingly doubtful, whether the President 
 would be able to arrive at the place where he could 
 assume the performance of his duties. It was 
 only by a little contrivance that he succeeded in 
 defeating the plot which had been formed, for the 
 seizure of his person, thus to disable the country 
 from arriving at the Constitutional organisation of 
 the Executive Department (cheers). He came 
 to Washington, and was qualified as President. 
 But President of what ? He looked around him on 
 all the branches of the departments of the Executive 
 Government, and everything seemed to be shaking* 
 . about them. He looked to the organisation upon 
 which he was to depend for action, and he found that 
 wherever he touched, it was unsound to trust. So 
 ingeniously had the poison of rebellion been dis- 
 seminated through all the ramifications of the Govern- 
 ment, that treachery wag cropping out every where 
 (cheers). He bad to begin by a thorough scrutiny 
 of men, from those occupying the uppermost seats 
 down to almost the lowest place. There was a neces- 
 sity for a searching reform, by which the lurking* 
 not less than the overt treason and treachery were 
 to be eliminated from the executive machinery 
 (cheers). That work has now been done ( cheers). 
 The Government in its position at Washington is
 
 23 
 
 now safe, and is served faithfully (cheers). Is not 
 this something 1 to be thankful for ? (cheers). Is not 
 this something- for which we have a right to echo 
 the President's appeal to us to meet tog-ether, and 
 to be thankful for upon this occasion ? (cheers). 
 But that was not by any means the worst point. 
 The President looked upon the foreign depart- 
 ment of his Government, and when he cast his eyes 
 abroad there was to be found scarcely an indi- 
 vidual in the foreig-n service who sympathised with 
 him in his feeling's or his difficulties. Nay, more, 
 there was, with a few honourable exceptions, scarcely 
 a person who was not practically disseminating 
 distrust of the Power under which he was serving- 
 (cheers). Not a few persons produced a considerable 
 effect in almost every country of Europe in creating 
 that sentiment which became prevalent, that the com- 
 plete subversion of the old system was at hand and 
 that a new one was inevitable. I have a little anecdote 
 in connection with this subject to tell you. Very 
 shortly after the election of Mr. Lincoln he did 
 me the honour to designate me as the individual to 
 come out and represent the country at this Court. 
 I came out as soon as I could. I got here in 
 about two months after the inauguration of the 
 President. On rny arrival the first news which met 
 me was, that three " distinguished commissioners/' 
 as the newspapers called them, had come out from 
 the rebel authorities, and were at that time in 
 London. I had the pleasure of learning also that
 
 24 
 
 these commissioners had confidently announced 
 among- their friends, that before I should reach 
 London the Government and capital of Wash- 
 ing-ton would be in their hands ; consequently I 
 should stand no chance of being- recognised by the 
 British Government as the representative of the 
 United States (cheers and laug-hter). This is sim- 
 ply a specimen of the mode in which that class of 
 persons laboured throughout Europe, and not without 
 effect. And it has taken all the time from that 
 day to this to inspire the different Governments of 
 Europe with a tolerable share of confidence in our 
 intentions to remain the Government of the United 
 States (cheers). Now, Mr. Chairman, I think we 
 have got so far, that I begin to feel as if I could 
 assure you that they have seen reason to modify 
 their views of the condition of that Goverment 
 (cheers). If after three years this chang*e has taken 
 place, I ask, have we not something- to thank God 
 for ? Is it not a fit occasion to meet and rejoice in 
 this restoration ? But let me g-o a step further. When 
 the President looked upon the Treasury, he found 
 that so ingeniously had the individuals laboured in 
 the preceding Administration, many high in office 
 were conspiring to destroy the United States, to 
 undermine the credit of the country, that it was 
 with great difficulty some of the moneyed men could 
 be persuaded to come forward to loan the Government 
 a small sum of money to enable it to go on, until 
 the time of taking his post. There probably never
 
 25 
 
 was a time in its whole history, when the national 
 credit had heen so much shaken ; and that by the 
 machinations of those who had been its secret 
 enemies. The President had to reorganise credit 
 by re-establishing- the foundations of it in the 
 integrity of the administration of the Treasury. 
 He did so. What has been the result? From 
 that degree of feebleness when confidence in a 
 government promise seemed to be shaken almost 
 beyond repair, the people have gradually increased 
 in faith, until they now daily rush in swarms, volun- 
 tarily to offer their money to the Government in 
 exchange for the obligations which they are anxious 
 to obtain (cheers). Is not that something to be 
 thankful for ? Let me go a step further. When 
 this war broke out, the President looked around to 
 see where was his military organisation upon which 
 he had to rely for the support of his coercive mea- 
 sures. He found here too, that so vigorously had 
 treason worked itself through all the affiliations of 
 the military organisation, that there was not one 
 man out of three who could be trusted. He found 
 one set who were, and who ultimately declared 
 themselves traitors. He found another set who 
 were not traitors, but so timid and lukewarm, as 
 scarcely to know whether they would, or would not 
 support the Government. He found still another 
 set who had been in service so long*, and had arrived 
 at such an age that, however excellent their disposi- 
 tion and capacity were, they could riot well be relied
 
 26 
 
 upon in the field on account of physical disability. 
 That was the state of the organisation which he 
 had got to begin a gig-antic war with. I do not 
 believe that in the whole history of the world a 
 greater undertaking was ever assumed by an indi- 
 vidual who had no experience in such matters. 
 He had to reorganise an army on a scale of half 
 a million of men upon the narrow basis which 
 was thus left to him to operate upon (cheers). 
 At the outset, as you all know, he met with difficul- 
 ties of all kinds. He had to try numbers, and a 
 great many failed. But look at the organisation 
 as it exists now, and compare it with what it was at 
 the beginning, and }'ou will see that by patience, 
 and perseverance and fidelity to his dut^y, he has got 
 you an army which will carry you through (loud 
 cheers). There are no men now in the army whom 
 you are obliged to mistrust (hear, hear). There are 
 no men who you suspect may betray all your move- 
 ments to the Rebels. Is not this a result for which we 
 are ready now to give thanks ? (applause). Let us 
 turn for a moment from that side of the picture to 
 the other side the navy. The navy was of most 
 essential importance to the Government at the be- 
 ginning of the war. When the President looked 
 after his navy, he found that some ships had to be 
 destroyed to save them from treacherous abandon- 
 ment, and the rest had been sent a way as far over 
 the globe as they could g*o. He had to restore the 
 whole system almost from its foundation. He had
 
 O7 
 
 w i 
 
 to go through the same process as that he had 
 applied to the army, to build ships, to reorganise 
 the bureaux ; in short to place the navy on 
 a footing that it had never stood before. It 
 has taken two short years, and a little more, 
 to do all this, and we have now a navy both in 
 numbers and power which will make the United 
 States, you may depend on it, respected upon every 
 sea in any part of the globe (loud cheers). And is 
 not this something- to be thankful for '? Thus, on a 
 review of all the different departments of the Exe- 
 cutive Government, you will see that the destiny of 
 this President, who had no experience when he 
 began, was to reorganise, rebuild, and restore the 
 whole system from its foundation. But this is not 
 all. There was one question which had baffled all 
 attempts ever to reach a solution to it, and which, 
 I, for one, will frankly admit, I looked on as one 
 almost impossible to dispose of with success. I need 
 not say that I allude to the great question of the 
 condition of the Slaves. Much as we all had dis- 
 cussed it for years, we had never had presented 
 to us from any source a practicable mode of dealing 
 with it. When it came simply to Emancipation, 
 the people throughout the United States were 
 utterly incredulous that there could be devised any 
 plan of effecting it which would not lead to blood- 
 shed and ruin throughout the whole region in which 
 they dwelt. It was the great argument against 
 doing anything at all. It was said to be impos-
 
 28 
 
 sible to hope for any issue that would not in- 
 volve the destruction of all classes within its reach. 
 Now the great and crowning' act of the ad- 
 ministration of this President is, that in two 
 distinct measures he has opened a way to a 
 practical result which we all supposed could not 
 he found (cheers). The Proclamation, and the en- 
 listment of negroes as soldiers, are the two great 
 instruments by which emancipation, without revolu- 
 tion, will be carried out (cheers). And here we 
 are now, at the end of two years and a half, 
 having made slow, but regular, progress in this 
 movement until it has taken shape distinctly before 
 us so that we can forsee the ultimate issue. Have we 
 not in all this something to be thankful for ? And 
 have we not a right to meet together at the call of 
 our President, and, looking back to our difficulties 
 to bless God that they are diminished to the extent 
 we now see them ? (loud cheers). 
 
 But you are all aware that one of the great 
 difficulties incident to this change has been the fear 
 
 o 
 
 that the people would not sanction it ; and when the 
 President first enunciated his propositions they were 
 denounced at once as the weakest and wickedest of 
 measures. There were even indications, at one time, 
 that the opposition would go so for as seriously to 
 impair the energy of the Government in executing 
 the policy. Last year, at this time, there was an 
 expression of popular sentiment which looked ad- 
 versely ' } but another year has since passed. The
 
 29 
 
 system has in the interval had a chance of being- 
 carried out to its practical development, and lo, and 
 behold, the great body of people, having- watched 
 the result^ have joined together as with one voice, 
 almost from one end of the country to the other, 
 rallied in favour of sustaining that policy (applause). 
 And is not this something to be thankful for ? Let 
 us, then, recapitulate what is our present position, 
 and what it was when this inexperienced President 
 first took office. Then the Government was almost 
 disintegrated. Now it is solid, able to act through 
 honest agents, faithful men, working with vigour 
 and effect whenever and however it pleases (cheers). 
 Then the people were staggered in their confidence 
 in the country and the President. Now the Presi- 
 dent has all the departments of his Government 
 faithful to him, and to the constitution. The 
 people have rallied round the Government, and 
 maintained the policy of the President. They have 
 money, they have men, and they have ideas 
 which they mean to establish as the only true and 
 successful conclusion of the struggle. Is not this 
 something to be thankful for ? (cheers). We stand 
 now firmly, having every reliance that the Govern- 
 ment is able, and the people willing, to go through 
 this trial triumphantly (cheers.) And all this change 
 has been effected through the agency of a President, 
 who came into power with less practical political 
 experience than any one man preceding him (hear, 
 hear). And how has this been done ? Has it been 
 by any superior genius on the part of the President ?
 
 30 
 
 Not at all. The President has shown ability and 
 capacity, hut not above that of most of his prede- 
 cessors. What is the reason, then, why he has 
 succeeded in all these results? I will tell you the 
 reason. He has succeeded because he has, from the 
 beginning- to the end, impressed upon the people 
 the conviction of his honesty and fidelity to one great 
 purpose. (Loud cheers.) I therefore say, Mr. 
 Chairman, in conclusion, that for these reasons I 
 have to thank you for having 1 enjoyed the oppor- 
 tunity of expressing these sentiments as an echo to 
 the toast of the health of the President of the United 
 States. (His Excellency resumed his seat amidst 
 the gTeatest applause.) 
 
 THE CHAIRMAN (Mr. Walker). Ladies and 
 Gentlemen, the next toast is one to which 1 trust 
 every friend of constitutional freedom, every lo}<al 
 American, every admirer of the great virtues of the 
 woman, and the excellence of the Sovereign will 
 
 7 O 
 
 most heartily respond, especially those of us who 
 have been in this country for some time, and who 
 know how strong and deep have been the personal 
 feelings of the Queen, and of her lamented Consort, 
 the good Prince Albert, against slavery, and in 
 favour of the American Union, will join in the next 
 toast, " Her Majesty the Queen/' 
 
 (The toast was responded to by prolonged cheer- 
 ing.) 
 
 A VOICE. Three cheers more for the Queen. 
 
 (Loud cheering.)
 
 31 
 
 THE CHAIRMAN (Mr. Walker). Ladies and 
 Gentlemen, please fill up for the third toast. But 
 before giving* that toast, I have the pleasure to 
 announce to you that beside me, who has kindly 
 consented to respond to the sentiment, is a gentle- 
 man who has represented the largest constituency of 
 England in the British Parliament^ and with dis- 
 tinguished ability. He is a friend of England and 
 of America, and he regards the alliance of the great 
 Anglo-Saxon race, speaking the same language, 
 descended from the same glorious ancestry, having 
 the same common law and literature, arid, as he 
 believes, the same destiny he considers that the 
 true alliance for the benefit of England and America^ 
 and of the human race, is that of the mother and 
 daughter (cheers). Ladies and Gentlemen, there 
 was a time when there was a great contest in Eng*- 
 land as regards the suppression of the African Slave 
 Trade. The wealth, the trade, the power, the great 
 and governing classes of England, at that date, 
 were in favour of the African Slave Trade. But 
 there rose up great champions of humanity and of 
 the rights of man, without regard to country or 
 colour, and after a long and doubtful contest, 
 Clarkson and Wilberforce were triumphant^ and the 
 African Slave Trade was suppressed, so far as Eng- 
 land was concerned, by the British Parliament. 
 These were the heroes of the early part of this cen- 
 tury, connected with that great question. But there 
 has since arisen a greater question, not merely the
 
 32 
 
 suppression of the African Slave Trade, but the 
 extinction of slavery itself, in the United State?, in 
 England, in the West Indies, and throughout the 
 world (cheers). But by far the most important of all 
 is the extinguishment of slavery in our own country, 
 for if it falls there, slavery will perish throughout every 
 other portion of the habitable globe (loud cheers). 
 Now, then, whilst Clarkson and Wilberforce were 
 the heroes of the suppression of the African Slave 
 Trade, I announce an opinion to which every loyal 
 American and every well informed Englishman will 
 respond, that Georg-e Thompson, the Member whom 
 the Tower Hamlets sent to Parliament, is the hero 
 of this century for the extinguishment of slavery 
 itself (loud applause). It is now more than a 
 quarter of a century since this illustrious friend of 
 the human race came to our shores, leading a 
 forlorn hope in favour of the abolition of American 
 slavery, where he spoke against it at the risk of his 
 life. Now, if he were to return to America in the 
 same cause, he would be received with plaudits, 
 from the Lakes to the Gulf, from the Atlantic to 
 the Pacific, from Boston, where he first landed, 
 to New Orleans (loud cheers). I have to request 
 that you will drink this next toast, with all the 
 honours, and our friend Mr. Thompson will then 
 respond. " The day Devoted to thanking God 
 for our victories in the cause of Liberty and 
 Union" (cheers).
 
 33 
 
 MR. GEORGE THOMPSON. [Who on rising- was 
 received with loud and continued cheering-.] Mr. 
 Chairman, Ladies ; and Gentlemen, I shall occupy 
 but a very few moments of the attention of this 
 assembly, because I shall presently be due in another 
 place, where I shall have a duty to perform, in an 
 humble attempt to explain to a few of my country- 
 men one of the aspects of that great question in 
 which you all take so deep an interest the present 
 condition and future destinies of America. But 
 before I go to discharge that duty, allow me to 
 express the pleasure which I feel in uniting with 
 you on this occasion. While I have been sitting 
 here my thoughts have not been circumscribed by 
 the walls which are around us, but I have been 
 present in spirit in those multitudinous gatherings 
 of your countrymen and countrywomen all over the 
 world, who, like yourselves, are on this evening- 
 assembled together to offer up their fervent and 
 deep-felt acknowledgment to Divine Providence 
 for His guardian care over your country, the suc- 
 cess with which He has crowned the efforts of its 
 friends, and the prospects with which He now cheers 
 you of an ultimate victory, and a future career 
 separate and apart altogether from what has been 
 at once your reproach and your disaster, the Insti- 
 tution of Slavery, so long protected amongst you. 
 I wish that some gentleman more worthy to appear 
 as the representative of England had occupied my 
 place to-night. One of those men with whom I 
 
 c
 
 34 
 
 have been associated in times past in great public 
 movements, and who have recently added fresh 
 lustre to their names, and laid still deeper founda- 
 tions for g-eneral and universal gratitude by so 
 nobly identif} r ing themselves with } T our cause, con- 
 trary, I arn sorry to say, to the opinions and feeling's 
 of many with whom they ordinarily mix. But, Sir, 
 if I want rank, and influence, and position to re- 
 commend me, I may at least claim credit for having 1 
 been among-st the earliest, as I have been certainly 
 arnong'st the most sincere and earnest friends and 
 advocates of Union and Emancipation in America. 
 And, permit me to say, Ladies and Gentlemen* that 
 ardent as my feeling's have always been in favour 
 of the extinction of slavery in your country, I have 
 not the less appreciated your exertions for the main- 
 tenance of your great and noble Union, nor have I the 
 less, but rather the more on that account appreciated 
 your terrible difficulties; made full allowance for 
 what some have deemed slow progress, and have 
 been disposed to give credit to those great men in 
 your country who have set party predilections and 
 long 1 cherished prejudices aside, won a noble victory 
 over them, and have during- this great struggle identi- 
 fied themselves, in many cases in spite of past preju- 
 dices, so closely with the great cause of emancipation 
 in which I am so particularly engaged. Gentlemen, 
 I think I need scarcely furnish to you to-night any 
 notice for thankfulness, in addition to those which have 
 been so ably and so happily brought before you by
 
 35 
 
 your Chairman and by his Excellency, your Minister 
 at the Court of my Sovereign. They have, I think, 
 said enough to inspire in all your hearts feeling's of 
 the most glowing gratitude to that Being who is the 
 God of nations, and who has appeared to strengthen 
 you, to give you fortitude and resolution, and to 
 bless you in the midst of your struggles with such 
 abundance in regard to the material things of this 
 world. I have been thinking how, notwithstanding 
 the many reasons for sorrow, arising from the me- 
 lancholy bereavements which have been occasioned 
 by the war, while you have been, on the one hand, 
 rejoicing in so much that is good, how different has 
 been the condition of those your arrogant and proud 
 enemies who a few years ago aimed to subjugate 
 you, and to give laws to the world. While you 
 are thanking God in the terms of the President's 
 proclamation for teeming fields and healthful skies, 
 for increase of population, far above any of the losses 
 that you have sustained in the battle-field while 
 you are rejoicing in the harmony that prevails 
 among you as a people in their undaunted resolution 
 to persevere in the great work in which they are 
 engaged, and while employment and plenty, even 
 affluence abound ; on the other hand, a fearful and 
 striking and instructive retribution has fallen on 
 those who are your opponents. I was reading 
 to-day that in the city of Richmond, parties going 
 to market to buy beef, carry their money in the 
 basket, arid put their beef into their pocket-books, 
 
 c 2
 
 36 
 
 and that pound for pound beef has a much higher 
 value than the currency of the Confederate States 
 (cheers). I find also that at Charleston the com- 
 monest necessaries of life, such as flour, firewood, 
 sugar, butter, tea and coffee, are up at almost 
 fabulous prices ; and that even when the money is 
 forthcoming*, the butter is not always to be found. 
 You have cause therefore to be thankful, and I hope 
 when you shall assemble another year you will not 
 only have reason to be thankful, but permission to 
 say with my Lord John Russell, let us " rest and be 
 thankful" (cheers). At present, however, there 
 does not appear to be any opportunity for pause or 
 rest ; but there is, as his Excellency has stated, a 
 glorious prospect in future. But, Sir, before I sit 
 down, I would ask you, who are Americans, the men 
 and women of America, the mothers and the daugh- 
 ters of America, while you are rejoicing on your 
 own account, also to rejoice upon ours ? When this 
 war broke out, I did entertain the most grave and 
 painful apprehensions of the consequences that would 
 ensue to England from the stoppage of the supply 
 of the raw material of our great cotton manufacture. 
 When I have contemplated years and years ago 
 such an event, for I have always deemed it not only 
 possible but probable, I have never been able to 
 look at it except in connection with whatever was 
 disastrous, paralysing, and calamitous to our own 
 country ; and there is no doubt that there were those 
 of the South in America who thought they had
 
 37 
 
 it in their power to bring 1 upon us all these 
 disasters by withholding from us what was so 
 essential to the maintenance of our great manu- 
 facture, for we know, and volumes might be 
 accumulated to prove it, that the South did boast 
 that they held the destinies of this country in their 
 hands, and not only could they control through 
 sympathisers in the North and profligate politicians, 
 the opinions of the Northern people, but they could, 
 if they failed in coaxing, succeed in coercing Eng- 
 land, not only into a recognition of their indepen- 
 dence, when they should separate themselves from 
 the North, but into active co-operation with them 
 in the event of the North attempting to recover the 
 portion of territory taken from them. Well, Sir, 
 the crisis came, and we have for the last two years 
 and a half been passing through that crisis. They 
 did stop our supply of cotton ; they did debar us 
 from receiving that cotton upon which the welfare 
 directly or indirectly of some five millions of our 
 population has been wont to depend. We have 
 been from compulsion constrained to remain for two 
 and a half years almost wholly independent of 
 American cotton. But, Mr. Chairman, I, as an 
 Englishman, ask you, while you are sending up to 
 Heaven your thanksgivings on behalf of the mercies 
 and blessings vouchsafed to your country, to mingle 
 with them thanksgivings on our behalf, that that 
 which was apprehended to be one of the greatest 
 calamities that could befal us, has turned out promo-
 
 38 
 
 tive of the best interests of our country, and as a 
 means of more widely than ever developing not 
 only the resources of our own dependencies, but the 
 resources of other countries, which are now giving 
 us that which the Southern States have for the 
 present withheld from us (hear, hear). Sir, I do not 
 know anything more likely to co-operate with the 
 wise measures of President Lincoln, and the efforts 
 of the friends of Emancipation in America, than 
 this grand discovery, now no longer a matter of 
 conjecture or theoretical demonstration, but a mat- 
 ter of actual practical accomplishment, that we can, 
 if it must be so, do without that which heretofore 
 has been furnished to us by the proprietors of plan- 
 tations in the Southern States, through the agency 
 of the uncompensated labour of their slaves. I 
 think, Sir, that this will have the effect, seeing that 
 we shall no longer be under any absolute necessity 
 of looking to the Southern States for our supply of 
 slave-grown cotton, of more completely dispossessing 
 the minds of the people of the South of any idea 
 that they can recover that predominance which they 
 have hitherto enjoyed; and which will lead them up 
 to the conclusion that policy, as well as justice and 
 humanity, require that they should adopt another, a 
 wider, a sounder, and more humane system ; and if 
 they are still to continue to be the growers of our 
 great staple, cotton, they must condescend to grow 
 it as other men grow it in other parts of the world, 
 by free, voluntary, and compensated labour (hear.
 
 39 
 
 hear). From the very best calculations that have 
 been made, and no gentleman is better informed on 
 that subject than the veteran statesman who sits 
 in the chair before you to-night; I say that the 
 very best calculations that have yet been made 
 agree, at all events, in the opinion that we shall, 
 during the coming year 1864, receive from various 
 parts of the world, the Southern States included, 
 a snpply fully equal to the employment of our popu- 
 lation in the manufacturing districts for four days and 
 a half per week. There are those, and they are very 
 enlightened men, and well informed on this branch of 
 the question, who believe that it will be found exceed- 
 ingly difficult on the conclusion of the war to furnish 
 anything like an adequate supply of cotton from the 
 South except it come as the produce of free labour 
 to our ports (hear, hear). Now, Sir, I am no friend 
 to that doctrine which teaches that we should be all 
 for ourselves nationally, as well as individually. I 
 think we should live for others as well as for our- 
 selves. I am quite willing that we should continue, 
 as we have done for the last century, to receive a 
 large portion of our supply of cotton from the 
 United States, but I am desirous that hereafter 
 it should come to us, not as it has come associated 
 with a system than which none can be either more 
 unjust, or more inhuman, but that it should come to 
 us as the produce of free labour, under the direction 
 of men who are at once the friends of their country 
 and the friends of mankind (cheers). While you
 
 40 
 
 have won many great victories in the field, I think 
 you have also won many greater victories still in 
 the conquests you have achieved over those many 
 prejudices and party ties which in years that are 
 gone prevented you from being so earnestly as it 
 was wished you might have been the friends of 
 Emancipation. Contrasting, as I do in my mind, 
 what is the status which the negro, or the descendant 
 from the negro, occupies in your country at this 
 moment with the position which he occupied some 
 few years ago, I cannot but congratulate him and 
 congratulate you on the change which has taken 
 place in his condition, brought about, I am willing 
 to believe, and do believe, not more by the exigencies 
 of this war, than by the cultivation and development 
 cf a better and kindlier and juster feeling towards 
 the man himself. It was to me, a remarkable sign 
 of the times, that before we descended from 3'onder 
 gallery into this room to partake of this banquet, 
 and after the President's Proclamation had been 
 read, that a gentleman, long* a resident and senator 
 from Mississippi, reared in the midst of slavery in 
 the United States, should, as the president of this 
 meeting, call on a gentleman of colour, an American, 
 and but a few years ago a slave, to ask, upon our 
 meeting together to-day, the benediction of Almig'hty 
 God (loud cheers). Sir, I see the future destiny of 
 America typified in that incident. Never again 
 will the negro in America, the men who led the for- 
 lorn hope at Fort Hudson, the men who perished
 
 41 
 
 with the brave Colonel Shaw before Fort Wagner 
 I say never will the men who by their colour are 
 linked with men like these, the twenty-five coloured 
 regiments which I undertand from your chairman 
 have already been enrolled in the State of Louisiana 
 alone never will those in your country who stand 
 identified by colour and by race, by condition and 
 by suffering' with such men, be looked on as they 
 have been in any part of the United States of 
 America ; and I believe the day will come when, as 
 we have seen to-night, an enlightened statesman of 
 the South, and a coloured man, lately a slave in 
 North Carolina, are joined tog-ether in communion 
 and fellowship. So in the United States, while men 
 shall consult their tastes and their associates, we shall 
 see a mutual recognition of the rights of man as man, 
 and a free and generous acknowledgment of the 
 right, even of the humblest to enjoy the immunities 
 of citizenship and equality. Gentlemen, I thank you 
 for the honour done me by being called on to respond 
 to this toast " The day," a day which I shall ever 
 remember in connection with an assembly like this, 
 in which not only have I seen a coloured man put 
 in a position in which I never saw him before, but 
 I have seen myself placed in a position very unusual 
 to me, to be received so kindly by an audience like 
 this, to whom I am personally a stranger, and for 
 the sake of opinions and efforts which, at one time, 
 were not considered very praiseworthy by the people 
 of America, is to me another cheering sign of the
 
 42 
 
 times. Believe me, Gentlemen, that it is a source 
 of inexpressible gladness to me that sentiments that 
 twenty-five years ago were unpopular and exposed 
 me to some small amount of odium, are to-day, I 
 was going- to say, as popular, and even more so, in 
 the United States than they are now in my own 
 country. I have always done justice to the Ame- 
 rican's love of liberty. I have always, as I think, 
 justly estimated the great difficulties in which you 
 were placed; the prejudices in which you were 
 brought up, the dangers to which you thought 
 your country might be exposed by a premature 
 handling of this great and perilous Institution ; 
 and I have always been sensible of the Constitu- 
 tional restrictions placed upon the actions of public 
 men, and therefore I have not expected more than 
 I knew men were competent to accomplish. But, 
 on the other hand, so far from not having seen that 
 accomplished, which 1 hoped and believed would 
 be, all my largest expectations have been more than 
 realized by the prog'ress of events in the United 
 States. Now that you are left to yourselves now 
 that even those who two years and a half ago pre- 
 ceded His Excellency your Minister at our Court, 
 prognosticated even that he would not arrive, or, 
 arriving, would find no nation to represent seeing 
 that those gentlemen and birds of the same feather 
 have taken wing- to their own roosts, and have 
 given up in despair the cause which they thought 
 was to prevail and conquer in Europe now that
 
 43 
 
 they have gone back carrying evil tidings to their 
 compatriots, and assuring them that no help is to 
 be looked for, even from England not even from 
 France herself I feel confident that the time is 
 short that will intervene between the present and 
 the moment when you will see your lost territory 
 reunited to that which already you possess your 
 Constitution re-established your laws not so much 
 enforced as obeyed with willingness and with cheer- 
 fulness your peaceful avocations also restored, 
 and men withdrawn from the field of battle again 
 busy in pursuing the peaceful arts of life that 
 you will find yourselves at the end of this great 
 struggle far greater, far wiser, far happier, far 
 more honourable, and far more stable than you 
 were before it. For you, as I predicted twenty- 
 nine years ago, in the last address I delivered 
 before I was compelled to leave the country, for 
 you there remained this second Revolution. You 
 are going through it. It was necessary \ it was to 
 come. Every man saw it would come. Every man 
 was desirous of putting off the evil day as far as he 
 could. No man could predict precisely when the 
 rupture would take place, but a rupture was certain 
 at some period near or more distant. That rupture 
 has come. It found your country in the state de- 
 scribed. You have outlived all the difficulties, all 
 the weakness, all the discord, all the embarrassments 
 which beset you at the commencement. You now 
 are strong strong not only in the righteousness of
 
 your cause, but strong 1 even in the respect of the 
 nations of the world stronger still in the good 
 opinion of the discriminating* few, the unselfish few, 
 the truly generous few the men who love your 
 institutions, and who could wish that some of them 
 were almost, if not altogether, as you are, Sove- 
 reigns of your own country (hear, hear). In their 
 opinion, most of all, you stand high, and I have no 
 doubt the time will come when events having falsified 
 all the predictions of your enemies, and Heaven 
 having smiled upon your exertions and rewarded 
 your fortitude, you shall see your country reunited, 
 and not only reunited, but its borders extended, its 
 population augmented, its resources more greatly 
 developed and purged of this hindrance, at once to 
 your honour and your usefulness, which has so long 
 existed in your midst, and altogether a free people, 
 you shall, in communion with the lovers of freedom 
 throughout the world, run a great and glorious 
 career. Sir, once again I thank this assembly for 
 their kind attention, and beg leave to submit the 
 toast for their adoption (loud applause). 
 
 THE CHAIRMAN. I call for three cheers for 
 George Thompson, the Anti-Slavery hero of this 
 country (loud cheers). 
 
 THE CHAIRMAN. Now, Ladies and Gentlemen, 
 fill up for the next toast, which will be responded to 
 by Major Pangborn. It is sufficient to say that he
 
 45 
 
 comes from Boston, the cradle of American liberty 
 that he travels daily the field upon which Warren 
 bled, and walks under the shadow of the monument 
 at Bunker Hill. That toast is, " The Union from 
 " the Atlantic to the Pacific, from the Lakes to the 
 " Gulf, from the source to the mouth of the Missis- 
 (( sippi, for ever one and inseparable" (loud cheers). 
 
 MAJOR PANGBOEN : Mr. Chairman, Ladies and 
 Gentlemen : I scarcely expected that here in Eng- 
 land, more than three thousand miles from camp 
 and field, I should be subjected to such a summary 
 conscription ; yet, Sir, after having- regularly drafted 
 another for service, you have allowed him to escape, 
 and have laid the conscripting- hand suddenly upon 
 me. I submit, however, and shall only claim to be 
 regarded as a substitute j thereby gaining- this ad- 
 vantage ; that, as a substitute is only required to 
 serve for so long a time as he contracts, I shall 
 make my term of service on this occasion as brief 
 as possible ; and besides, to make the contrast as 
 sharp as may be, as it would have been far more 
 agreeable to you and myself had the gentleman to 
 whom was assigned the duty of responding to this 
 sentiment been present, and in that case you would 
 have had a Wintering season, I will make my ac- 
 tion as summary as possible (laughter and cheers). 
 The sentiment, to which you have done me the 
 honour of asking me to respond, is not new to any 
 American ; yet, Sir, in its truest and best sense, it
 
 46 
 
 is one which never can become trite or old. " The 
 Union for ever, one and inseparable/' is a sentiment 
 that finds a ready response in every American heart, 
 at home or abroad, whether that heart be in the man 
 or the child : it is instilled into our bosoms in child- 
 hood, and remains with us from the cradle to the 
 grave ; it needs no elucidation, and can scarcely re- 
 ceive embellishment, even from the tongue of elo- 
 quence. Here to-night, we,, sojourners in a foreign 
 land, unite our voices with those of our friends 
 across the sea, who are keeping* this national festi- 
 val, in singing, with all sincerity and enthusiasm, 
 "The Union, one and inseparable, now and for 
 ever" (loud cheers). Why do we say this, and what 
 right have we to thus insist on the maintenance of 
 this sentiment, when we comprehend the struggle 
 and the sacrifice which its triumphant assertion 
 must involve ? You all, doubtless, remember, as I 
 do, the occasions in the past when we were wont to 
 gather in the thanksgiving anniversary beneath the 
 paternal roof and around the family fireside. Do 
 you not also recall the feelings that chastened the 
 rejoicings, and in a manner saddened the delights 
 of the house, as we anxiously looked to see what 
 links of the golden chain that bound the family 
 circle had been severed since last we met ? Not sel- 
 dom have the tears that coursed adown the mother's 
 cheek or bedewed the children's eyes, spoken touch - 
 ingly, in the midst of the hilarity, of the " vacant 
 chair," and the loved and lost," " who would join no
 
 47 
 
 more in the family thanksgiving. But there is one 
 possible incident of this anniversary more sad than 
 this. Imagine the man from home, returning after 
 years of absence to find, not one, but all his kindred 
 gone ; and more than this, as he stands upon the 
 hill that overlooked the valley where he was born, 
 he finds that even his homestead has passed away, 
 and the place, that once knew it, shall know it no 
 more for ever. Would he desire again to revisit 
 the scene, and would not the anticipated joy of his 
 thanksgiving be turned to an unutterable sorrow ? 
 (cheers). Well, my friends, regarding ourselves 
 now, not merely as members of separate families, 
 but as the children of one common country, this is 
 precisely the position we should occupy, were the 
 Union to be destroyed. If we could consent, by any 
 act or word of ours, to practically deny the sentiment 
 of the integrity and the perpetuity of the Union, we 
 should, with our own hands, have assisted to pull down 
 our own national rooftree, and we should never again 
 celebrate a national thanksgiving, or have a habita- 
 tion and a name among the nations. Can we consent 
 to this? Here is just the point of greatest import- 
 ance in the consideration of the struggle in which 
 we as a nation are now involved. Ours is no con- 
 test of mere rival factions ; no effort for ambitious 
 conquest ; no attempt at increased dominion, nor do 
 any of the motives that ordinarily give rise to war- 
 fare underly this stupendous combat. It is neither 
 more nor less than a struggle for a nation's life
 
 48 
 
 (cheers). We are contending- for national existence, 
 against traitors and rebels, who aim at nothing 1 less 
 than a national assassination. Are we not then 
 justified in persisting- in our determination to main- 
 tain the Union^ and in doing- this we must subdue 
 the rebellion? (Loud cheers.) Those, who would 
 rightly measure the enormity of the crime, must 
 estimate the magnitude of the consequences that 
 would ensue were the rebellion to succeed. The 
 death of an individual is of comparatively small 
 importance. You or I may be struck down it is 
 but a single unit withdrawn from the sum of human 
 existence the wave passes over it, and no ripple 
 marks the place where it went down. Not so when 
 a nation dies. Language is inadequate to portray 
 the wreck and ruin that follow upon the destruc- 
 tion of a powerful, prosperous, and happy nation- 
 ality. The wounds may cicatrize and partially be 
 healed, but the evil consequences that inevitably 
 ensue, mark the pathway of history for g-enerations, 
 with signs as ineffaceable as the track of the fiery 
 lava flood (loud applause). And, therefore, I say 
 again, to prevent this immeasurable calamity, we 
 must preserve the Union ; and our only antagonists 
 in the contest, are those who have inaugurated and 
 are sustaining a rebellion, which, for atrocity, has 
 no parallel in human history, and no prototype, 
 unless it be in the imaginative words of the great 
 poet, who tells how Lucifer rebelled against the 
 rightful authority of the Almighty, and C{ drew
 
 49 
 
 after him the third part of the stars of Heaven' 7 
 (cheers). Again, our national honour demands of 
 us that we maintain the Union. We are committed 
 to this issue. With the individual when honour is 
 sacrificed all is lost ; and if I had better retire from 
 association with civilized men, or even yield up ex- 
 istence, when I have sacrificed my personal honour, 
 how much greater is the obligation upon us when 
 aggregated as communities and nations, to see to it 
 that our national honour is never stained or surren- 
 dered (applause). I will not enlarge upon this 
 point ; it is too obvious to need any amplification, 
 as there is no nation on earth that would not now 
 justly hold us in contempt and shower scorn upon 
 us, if we should make terms with rebels in arms, or 
 even discuss with them the question of the indisso- 
 lubility of the Union (cheers). The Hon. Gentleman 
 who presides here to-night has so ably and elo- 
 quently stated the reasons why we cannot, as a na- 
 tion, for geographical and commercial considerations, 
 consent to a division of the Union, that I will not 
 dwell upon that theme. I fully concur with him, 
 and with the sentiments to which I am responding, 
 that "from the Atlantic to the Pacific, from the 
 Lakes to the Gulf, from the source to the mouth of 
 the Mississippi," the Union must be one and inse- 
 parable. We cannot afford to have either a divided 
 nationality, or a country with a soil recognising 
 conflicting* jurisdictions. Our interlacing system of 
 lakes and rivers, our continuous mountain ranges, 
 
 J)
 
 50 
 
 whose towering" peaks stand as answering sentinels 
 to one another from Katahdin's brow to the snowy 
 Sierra Nevada's crest, all tell us that the God of 
 nature has given us one land for our inheritrnce. 
 The Mississippi, with all its mighty tributary 
 streams, must roll its waters to the Gulf, owning the 
 protection and acknowledging the sway of but one 
 national flag ; and the citizen of Boston and San 
 Francisco, of New Orleans and New York, must 
 enjoy equal privileges in each and all, and own alle- 
 giance to one national Government (loud cheers). 
 But there are other considerations than those that 
 spring from motives of patriotism or self-interest. 
 The claims of humanity have an important place in 
 the pending contest in our country, and lend weight 
 to our resolution. It is but candour to admit that, 
 in the commencement of our civil war, few even of 
 our statesmen foresaw or believed that it would lead 
 directly and speedily to the abolition of human sla- 
 very. Now, even the dullest of visions can see, 
 through the smoke and rift of battle, that the rain- 
 bow of hope is not set for us alone. It portends the 
 liberation of the long-enslaved race. All men see 
 now that slavery is doomed it must die the death. 
 The problem is solved for which not even the wisest 
 have found a solution. The sword has cut the Gor- 
 dian knot. Nor can our erring brethren of the 
 rebel States complain of us, if they have by their 
 own act unwittingly contributed to this result. The 
 arrogant slave-holder rebelled, hoping to make hu-
 
 51 
 
 man bondage perpetual, and the rebellion has throt- 
 tled slavery (cheers). The Hainan of the sl.ave- 
 ocracy is hanged to-day, in the sight of the civilised 
 world, upon the gallows he built for the despised 
 Mordecai of Emancipation. Shall we not give 
 thanks for this ? (Cheers.) The glaring inconsistency 
 of which we have been guilty, in proclaiming 1 the 
 inalienable right of all men, without regard to co- 
 lour, race, or creed, f: to life, liberty, and the pursuit 
 of happiness/' while, at the same time, we were fas- 
 tening the chains upon our bondmen, has made us 
 too long the by- word of a mocking* world. How 
 could we intercede with the despots and tyrants of 
 other lands on behalf of their oppressed victims, 
 while this foul blot stained our national escutcheon ? 
 I remember the burning words of one of the noblest 
 of American poets, penned long years ago, and 
 applicable now : 
 
 " Go, ask the Czar of Russia's line, 
 
 To loose his grasp on Poland's throat ; 
 Or beg the lord of Mahmoud's line, 
 To free the struggling Sulliote. 
 
 "Will not the scorching answer come 
 Prom turbaned Turk and fiery Kuss, 
 
 * Go, loose your fettered slaves at home, 
 Then turn and ask the like of us ?' " 
 
 Shall we not rejoice in the near prospect that opens 
 to us now, in anticipation of that hour, when we 
 can stand up and in the face of the civilised world 
 say, " Behold, our reproach is taken away ?" Some
 
 52 
 
 poet has pictured, in the future, that a grand temple 
 shall rise wherein all nations shall celebrate the 
 final disenthralment of all the races from the do- 
 minion of error and tyrannic rule : and when that 
 hour shall strike, no anthem of rejoicing 1 will be 
 welcomed with a more loud acclaim than that which 
 commemorates the emancipation of the long'-suffering- 
 sons of Afric's sunny clime, as, mingling 1 with other 
 choral songs, it echoes through the long- colonnade 
 and dies away upon the gilded architrave (loud 
 applause). One word more, Mr. Chairman, and I 
 have done. The Union will be preserved and made 
 perpetual, because the loyal people will it so. It is 
 the springing 1 hope, the firm faith, and the unalter- 
 able determination of the government and people of 
 the United States that gives me the confident Assur- 
 ance of our final victory. That determination is as 
 immoveable as the foundations of our granite hills, 
 and that hope and that faith as exhaustless as the 
 sources of our mighty streams. The army, the 
 navy, and the whole people alike sympathise in 
 these views and feeling's. Let me say that our 
 Soldiers fight from patriotic motives no aspersion 
 could be more unjust than that they are mercenary: 
 no men ever went forth to battle with more unselfish 
 prompting's, none ever were more resolute in their 
 purpose than the soldiers of the Union. Ask them 
 why they fig'ht ; and they will answer you in the 
 words of the appeal made by one of their own 
 gallant comrades :
 
 53 
 
 " Stand by the flag on land and ocean billow, 
 
 By it your fathers stood, unmoved and true ; 
 Living, defended dying, from their pillow, 
 "With their last blessing passed it on to you. 
 
 " Stand by the flag all doubt and treason scorning, 
 
 Believe with courage true and faith sublime, 
 That it will float, until the eternal morning 
 Pales in its glories all the lights of time." 
 
 (Loud cheers.) 
 
 And if you go to the citizens not in " the tented 
 field/' you will find in them the same abiding- faith 
 in the triumph of the right and the stability of the 
 Union. They know that the dawning- of the day of 
 victory is sure to come. It is as true in public 
 affairs, in national convulsions, as in the realm of 
 nature, that 
 
 " The night is mother of the day, 
 
 The winter of the spring ; 
 And even upon old decay 
 The greenest mosses cling." 
 
 " Behind the cloud the starlight lurks, 
 
 Through showers the sunbeams fall, 
 Let 'patience have her perfect work,' 
 Por G-od is over all." 
 
 So, in this faith and hope, we here to-night, 
 whether homeward bound, or loiterers still upon a 
 foreign shore, may look forward to many returns of 
 this our anniversary j and rest assured) that when 
 this ruthless storm of civil war, that burst upon our 
 defenceless nation's head is overpast as overpast
 
 54 
 
 it surely will be, we shall all descry the rainbow, 
 promise of perpetual peace, spanning- a continent; 
 and while its eastern arch shall spring- from where 
 the Atlantic surges answer back the sighing of the 
 pines of the Aroostook nnd sing the requiem of the 
 Puritans by Plymouth Rock, its western bow, with 
 undinimed brilliancy, shall sink in the unvexed wave 
 by the golden gate of the Pacific Sea (tremendous 
 cheering). 
 
 THE CHAIRMAN (Mr. Walker) Ladies, and 
 
 Gentlemen, I am about to announce as the next 
 toast, the great central sentiment which marks 
 this contest, Emancipation. Next to the redemp- 
 tion of man, emancipation is that grand idea which 
 most affects his present and future destiny. Eman- 
 cipation which is to be the sure result of the present 
 contest. It will change four millions of chattels 
 into four millions of men and women, and will ex- 
 tend to them the rights to which all human beings 
 are justty entitled under the providence of God 
 (cheers). To respond to this great sentiment which 
 is made a reality by this contest, we have selected 
 one of the sons of New England, where liberty was 
 first rocked in her cradle, and where would be the 
 last mourners over her grave. Our worthy and ex- 
 cellent American Consul, at London, the Honorable 
 Freeman H. Morse, will respond to the next toast 
 "The Emancipation Proclamation Slavery's epi-
 
 55 
 
 taph, written by the finger of God on the heart of 
 the American President." 
 
 MR. MORSE rose amid great applause and said 
 MR. PRESIDENT, LADIES AND GENTLEMEN : 
 Of the many favours for which Americans have cause 
 to turn towards their Maker with gTatitude and 
 thanksgiving perhaps the greatest of all is the bright 
 prospect of the early removal of that great injustice 
 to an unoffending race of men, which has been the 
 sole cause of long and bitter contention between 
 North and South (applause), and which has at last 
 ended in a gigantic civil war. 
 
 Of the many strange events brought into high 
 relief by the struggle now going on in America 
 perhaps there is none so impressive, and likely to 
 prove so great in results, as the fact alluded to in 
 the sentiment just announced. Civil war, the very 
 means resorted to by the propagandists of slavery 
 to enlarge, make more secure and enduring one of 
 the greatest of national evils and crimes, human 
 slavery, appears to be, for some inscrutable reason, 
 the chosen instrument to overthrow that stupendous 
 wrong, and to give liberty, free homes, and happi- 
 ness to oppressed millions, making* a great nation 
 united, prosperous, and free indeed (great applause). 
 Truly the ways of Providence are mysterious and 
 past finding out. Slavery in the United States 
 was once so weak in political, economical and social 
 influence; and was so condemned by the moral
 
 56 
 
 sense of the American people, North and South, 
 that but few volunteered in its defence, while nearly 
 all shrunk from it, as from a thing-, the touch of 
 which was injustice and moral contamination. 
 From such a feeble, undefended and despised thing 
 it wound itself into the economic, social and political 
 condition of the Southern people. It increased in 
 strength, and to them became the most cherished 
 and sacred of all their interests, and finally the all- 
 powerful and dominant power in the nation. In 
 the earlier years of the republic, the brave, the wise 
 and good of the land, turned from slavery with pain 
 and sadness, yet strong in faith that the day of 
 its doom was not far in the future (cheers). 
 
 Years passed on, and men began to coin gold, to 
 enjoy luxurious ease and to gain personal and 
 political power, all wrung from the torn sinews and 
 agonized hearts of the poor bondmen, when lo ! 
 whole States spring to its defence as if engaged in 
 a holy cause. 
 
 Men calling themselves Statesmen, merchants, 
 lawyers, planters, slave traders and slave drivers, 
 even the poor houseless and homeless lazzaroni of 
 the South, who have been made but little better than 
 wandering^ gypsies under the iron rule of slavery, 
 all sung its praises and cherished it as some some- 
 thing of more than mortal origin. Even those 
 claiming to be the ministers of the Most High God, 
 defended it as an institution divinely ordained, and 
 upon which men and States could not rightfully lay
 
 57 
 
 their sacrilegious hands. From the day the slave- 
 holders began to make slavery profitable to them- 
 selves by the production of cotton, sugar, and rice, 
 they determined to make it a permanent and power- 
 ful institution. Henceforward, their public mea- 
 sures nearly all tended to one end, such an increase 
 of sectional power as would give expansion, strength 
 and permanency to human bondage. Perhaps there 
 is not so strong an example in all history of the 
 devotion of an entire class, or caste of men to a 
 single idea and object, and that object so unjust, and 
 so crowded with unmixed evil. For a period of 
 years, running back over the third of a century, 
 the firm embodiment of African Slavery into 
 American institutions, and making it the controlling 
 power in the Government, or the creation of a 
 great, independent, slave-holding empire, has been 
 the dominant and dearly cherished idea of Southern 
 statesmen. For this detestable end they laboured, 
 and persevered, arid dissembled, and deceived the 
 honest hearted and patriotic of their own section, 
 as men have rarely laboured and presevered and 
 dissembled before (applause). For this end they 
 brought about a war with Mexico, and acquired 
 territory over which they expected to spread hu- 
 man bondage. For this end they " filibustered" 
 in Cuba and in Central America. For this end 
 they have soug'ht perseveringly to carry slavery into 
 our national Territories, that new Slave States might 
 the more readily gain admittance to the Union. For
 
 this end they established a parliamentary rule, ex- 
 cluding* from Congress all petitions on the subject of 
 slavery, while at the same time they cluimed the 
 right, without authority of law, to carry slavery 
 under State law, into the national Territories, and to 
 have these Territories admitted into the Union as 
 Slave States (applause). It was for this they pro- 
 mulgated the heresy of State rights and nullification, 
 by which they sought to uphold the South 
 Carolina rebellion of 1832. To accomplish this 
 end, always in view, they succeeded in secur- 
 ing- ^#0 out of the nine judges on our Supreme 
 Bench, that thereafter our Constitution, on all 
 questions touching- slavery, such as the Dred 
 Scott case, might be constructed according- to 
 Southern opinion. For this end alone, the cold- 
 blooded and cruel Fugitive Slave la\v of ISoO, of 
 which the Confederate Commissioner to England, 
 Mr. Mason, was the author, was devised and forced 
 from Northern fears of dissolution, into a law. It 
 was for this they procured a repeal of the Missouri 
 Compromise law, that they might carry slavery 
 north of 30 30 into Kansas ; and they tried to 
 establish it there by force, and by frauds the most 
 stupendous and infamous that ever blackened the 
 records of crime. Of the truth of this charge, Mr. 
 President, no man is a better witness than yourself, 
 being Governor of K ansas at the time, and no man 
 did more to expose the frauds by which they at- 
 tempted to impose slavery upon that young State,
 
 5<J 
 
 made strong and brave by suffering, than yourself 
 (applause). For this they wrung- from the Supreme 
 Court the notorious Bred Scott decision, which set 
 aside and overthrew as far as it could, the uniform 
 decisions of all branches of the Government, legisla- 
 tive, executive and judicial, covering the whole 
 period of our national existence from 1776 to 1857. 
 Always persevering, they succeeded, by constant 
 threats of destroying the Union, in intimidating the 
 great Conservative party of the free States, and in 
 making its policy vacillating and yielding. This 
 constant dread of the future, made the party itself 
 but too ready and anxious to compromise away its 
 principles, in order to avoid dangers which could 
 easily have been crushed in the bud, had the slave- 
 holders and disunionists been boldly met, and before 
 they obtained control over the Government, sternly 
 rebuked. While they thus destroyed the power 
 and influence of one of the great political parties of 
 the free States, they succeeded in corrupting' and 
 debauching the other by the tempting bait of 
 political power, and the " spoils of Office/' Fi- 
 nally, so arrogant and imperious had they become, 
 that they modestly demanded to have our funda- 
 mental law, the constitution of the United States, 
 so amended as to recognise and establish therein 
 the idea of property in man, and to guarantee the 
 defence and protection of slavery, like other pro- 
 perty, by the whole nation. They then proposed 
 to engraft slavery into the national constitution, and
 
 60 
 
 to throw around it the protection of the laws and 
 the shield of the whole republic, instead of leaving 
 it where it was, under the weaker and more limited 
 protection of the local State laws of the individual 
 States, tolerating- it. 
 
 The slave-holding 1 States clearly beheld the moral 
 sense of mankind rising' up and protesting- against 
 the barbarism of slavery. They saw that nearly 
 all the Powers of Europe had thrown off the dis- 
 grace, and that even Russia, so long- called "the 
 model despotism," was giving- freedom to millions 
 of serfs, and that public sentiment in America was 
 fast rising- to the just and grand idea of universal 
 freedom j they therefore resolved on some bold and 
 decisive measure to prolong- the life of slavery, and 
 g-ive to it additional security. They saw too, the 
 utter hopelessness of inducing- the citizens of the free 
 States to participate in their crime, and to consent 
 to such a change in the constitution and laws of the 
 republic as would make us a nation of Slave-holders, 
 and Slave-traders (applause). I declare it, Mr. 
 President, as my deliberate conviction, that there 
 never was a people who shared so largely in the 
 blessings of a good, generous, and just government, 
 and yet felt its burdens so lightly. But they ap- 
 preciated it not. They saw slowly-advancing but 
 sure disaster gathering over their dearly cherished 
 object, and they resolved to save it, even though at 
 the risk of a nation's life. They hung in deceitful 
 dalliance round the " Peace Congress," and feigned
 
 61 
 
 earnestness and anxiety in the Peace Committee of 
 the House of Representatives, while in reality they 
 were plotting" secession, treason and rebellion in 
 their secret midnight conclaves at Washington, 
 under the very eye of their friend Buchanan (ap- 
 plause). The whole North was anxious, painfully 
 anxious, to avoid a rupture, and to restore harmony 
 between discordant States. For this purpose a Com- 
 mittee of one from each of the thirty-three States 
 was raised in the House of Representatives, and 
 instructed to take into consideration "the perilous 
 condition of the country ;" and, if possible, to unite 
 on and report to the House, measures for the resto- 
 ration of peace and concord. But, Sir, the dis- 
 unionists had long before made up their minds to 
 accept nothing, and to break up the Union. Their 
 whole efforts in that Committee, called the " Com- 
 mittee of Thirty-three/' because it was composed of 
 one member from each State, was to force from the 
 North new guarantees for slavery, such as would 
 for ever disgrace the nation (applause). The Com- 
 mittee was willing to stand by the Constitution in 
 every particular, as it had come from the founders 
 of the Republic, and to execute it as it had been 
 construed by the legal tribunals. This, our legal 
 obligations as citizens of a common country, under a 
 national constitution, bound us to do. But we 
 could go no further. We could not take the down- 
 ward step demanded of us; we could not, without 
 relapsing into semi-barbarism, repudiate the prin-
 
 G-2 
 
 dples upon which our government was founded, 
 and vote ourselves a nation of slaveholders. 
 
 Slavery in the United States is a local institution, 
 and exists only by the authority of the local muni- 
 cipal laws of the States tolerating- it. The laws of 
 one State are perfectly dead and have no force 
 whatever in another State, or in a Territory. A law 
 establishing- or regulating slavery in one State, 
 neither establishes it, prevents it, or tolerates it 
 anywhere out of that State. Yet the Slave States 
 claimed and demanded the right to carry slavery 
 into the national Territories, those embryo States not 
 of sufficient growth and strength to be admitted into 
 the Union as States, and therefore remaining* under 
 the jurisdiction, care and protection of the national 
 government. There being* no law regulating* or 
 permitting slavery in the Territories, and slaves not 
 being held under the Constitution of the United 
 States, or under the common law, as property, by 
 what right did they expect to establish their auction 
 blocks in the national Territories ? By none other 
 than the right of the strongest, or by the consent of 
 a whole nation, extorted from its dread of discord 
 and its fear of a threatened dissolution of the 
 Union. The North declined to turn back from its 
 career of civilization and liberty to become the de- 
 graded instrument of spreading more widely the 
 "barbarism of slavery," and riveting more firmly 
 the fetters of the bondman. This refusal, perhaps, 
 somewhat accelerated the revolt which the slave-
 
 03 
 
 holders bad long 1 before determined on, and for 
 which they had been so long preparing. Thus we 
 see, Sir, that the slaveholders' rebellion was caused 
 entirety and solely by their determination to give a 
 wider range and a greater security and stability to 
 their cruel system of human bondage. Our system 
 of State and national government is such that the 
 United States have no legal right to emancipate 
 slaves within the limits of any State in time of 
 peace. Nor have they, perhaps, a right to do so in 
 loyal States in time of war, unless there should be a 
 strong public necessity for such a measure. But 
 in States which are in rebellion against the govern- 
 ment, and which are doing all they can to destroy 
 it, the right of emancipation does exist under the 
 war power. The President and his advisers, find- 
 ing* the slaves to be an arm of great strength to the 
 rebellion ; that they fed its armies, dug its trenches, 
 reared its fortifications, performed useful labour of 
 all kinds, even fighting in the ranks as soldiers, 
 thought the time had come to weaken the rebellion 
 by offering^ freedom to all slaves in rebel territory. 
 By this measure the President expected to weaken 
 the rebellion, aid in restoring the Union, and at 
 the same time to do justice to a long oppressed 
 race, and make a nation free in fact as well as in 
 name. The United States profess to be the freest 
 of all enlightened nations. They started in their 
 career with the grand declaration that all men are 
 created equal in the eye of the law, arid are f( en-
 
 04 
 
 dowed by their Creator with certain inalienable 
 rights/' and } r et they have permitted four million 
 human beings to be held in the most abject bondage 
 within their limits, held and controlled by the most 
 inhuman and barbarous laws that ever disgraced 
 any age or people. Why do not the principles of 
 the Declaration apply to our long-suffering bond- 
 men ? The right to freedom is not the gift of kings 
 or emperors, of parliaments or congresses, but it 
 comes from that ever wise and just God who created 
 both black and white, intelligent and account- 
 able beings (great applause). To steal a human 
 being, to rob him of this heavenly gift, and appro- 
 priate him and his issue, mind and body, to our use, 
 is a crime that never did, and never will go unpun- 
 ished. Sooner or later, a just retribution will over- 
 take individuals and nations in some form. Ame- 
 rica's time has come, and she is reaping the bitter 
 fruit of her great transgression. The nations which 
 have been sent to premature graves by the deadly 
 influence of slavery, the future peace and prosperity 
 of a great nation and her millions of bond-men, are 
 all pleading- with us, not to let what seems to be 
 God's appointed time, go by without making an 
 earnest effort to root the whole system of slavery 
 out of every foot of our soil (applause). The series 
 of measures adopted by Congress with a view to 
 this most desirable result, are all that could be ex- 
 pected or perhaps desired. Then followed the 
 grandest measure of nil, the Emancipation Procla-
 
 65 
 
 mation, of the 22nd of September, 1862, which 
 gave, as we believe, the death-blow to slavery, and 
 made the name of Abraham Lincoln immortal 
 applause). This Proclamation declared all persons 
 held as slaves in States or parts of States, which 
 should be in rebellion against the United States, on 
 the 1st of January, 1863, to be, with their descen- 
 dents for ever, free ; and it pledged the civil and 
 military arms of the government to the maintenance 
 of their freedom. This bold and just measure rather 
 startled old timid Conservatives and venomous cop- 
 per-heads from their propriety. The first did not 
 want to be disturbed, and could not realize that 
 they were passing through a great moral and poli- 
 tical revolution. The latter had so long administered 
 the government, on their pro-slavery party platform, 
 instead of by the Constitution and laws, that they 
 had naturally come to believe the country could not 
 be governed, for their interests, by any other rule. 
 This class of men, with many in the border Slave 
 States, raised the cry of abolitionism (as though 
 that were still a word of power), of servile insurrec- 
 tion, the sacred rights of property, radicalism 
 and revolution, to alarm the country, intimidate 
 the President and induce him to withdraw the 
 Proclamation. But the country would not be 
 alarmed, and our brave chief stood firm and would 
 take no step backward (loud applause). On the 
 contrary he pressed on to the fulfilment of his ap- 
 pointed work, and on the first day of January, 1863, 
 
 E
 
 66 
 
 a day hereafter to be ever remembered in the his- 
 tory of liberty, the final Proclamation was issued, 
 and the glorious work of giving' liberty to the bond- 
 men in America commenced in sober earnest. It 
 is something- to be sincerely thankful for, Mr. Pre- 
 sident, that slavery in America, the greatest barrier 
 to universal emancipation, will soon be for ever 
 removed. Our country is the most powerful and 
 enlightened of all the nations that tolerated slavery 
 .prior to the first day of the present year. When 
 this foul reproach upon our honour, love of justice, 
 and our good name is wiped away, then without the 
 blush of shame mantling- to our cheeks, we can take 
 our place among 1 the free nations of the earth, to 
 urge on the work of overthrowing- slavery, until a 
 bond-man shall no where be found within the limits 
 of civilized States. The abolition of slavery in 
 America will also have a very favourable influence 
 on the civilization of Africa. For nearly four cen- 
 turies that country has been the prey of nations 
 calling* themselves civilized. Tribe has been set 
 against tribe, and the country kept in a state of 
 constant civil war for hundreds of years, that slaves 
 might be obtained for the markets of Christendom. 
 For the last few years that market has been reduced 
 almost entirely to Cuba and the Slave States of 
 America. What a position, what an association! 
 Would to Heaven we could have seen ourselves as 
 others saw us. W T hen slavery in America falls, as 
 fall it scon will, the system in Cuba, and wherever it
 
 07 
 
 may still linger in the Western Continent, will not 
 long- survive the shock, and there will be rejoicing 1 
 in Africa, and peace and civilization at last, for 
 that long* persecuted race. 
 
 In our own country too, emancipation will be a 
 blessing" in any point of view, especially considered 
 morally, socially and politically. Instead of the large 
 plantation of hundreds and sometimes thousands of 
 acres, where a single man sits enthroned a despot, 
 controlling* the happiness and lives of hundreds 
 of human beings destined to immortality like 
 himself; instead of a superficial cultivation that 
 soon exhausts the soil and forces its abandon- 
 ment, instead of a few isolated families scattered 
 over an extended territory, with the auction block 
 where human flesh is bought and sold, with 
 the whipping* post and scourge, the armed over- 
 seers and negro drivers, the slave catchers and 
 their bloodhounds, emblems all of a slavehold- 
 ing civilization, we shall see scattered everywhere 
 the thrift, energy, prosperity and intelligence of a 
 free people, relying upon their own exertion for 
 success (applause). Instead of the general idleness 
 of the native white population, the simple industrial 
 pursuits to which the slaves are confined, the 
 poverty, ignorance and semi-barbarism which so 
 largely prevail in a country where nature has 
 lavished her richest gifts, churches and school-* 
 
 houses will dot her valleys and hill sides, and a 
 
 Eo 
 fW
 
 free, industrious, intelligent, and law-abiding- popu- 
 lation, will take the place of the human machines 
 which move, toil, suffer, and often die, at the plea- 
 sure of their owners. Instead of those vast solitary 
 plantations, where tyranny reigns and bondmen toil 
 for others gain, independent farmers will work with 
 free hands their own soil, and make it always pro- 
 ductive. Slavery removed, immigrants from the 
 free States, and from Europe will make that favoured 
 land their home, and carry with them all industrial 
 pursuits. The removal of slavery and the breaking* 
 up of a powerful slaveholding aristocracy, will in my 
 judg-ment so increase the value of land, draw out 
 the natural resources of the country, and create such 
 a homogeneousness of pursuits, such a harmony of 
 interests all over the country, as to make the 
 United States stronger and more united and insepa- 
 rable than ever (loud applause). 
 
 I firmly believe too, Mr. President, that in less 
 than twenty years from this date the United States, 
 taken as a whole, will be far richer than if there 
 had been no civil war, and slavery had gone on its 
 career of tyranny and misrule. 
 
 The first day of January 18G3 will form an 
 epoch in human history, an era in human progress, 
 at which future historians of civilization will linger 
 with special pleasure, as the chosen time from which 
 to date a great advance in the life and exaltation 
 of a whole race of the human family. 
 
 To this race it will ever be a holiday, the annual
 
 09 
 
 dawn of which will be ushered in with joy and 
 rejoicing 1 , and a grateful remembrance of the far- 
 seeing- and good author of the Emancipation Procla- 
 mation. His name will be associated with that 
 Proclamation, and go with it to the future, blessed 
 and beloved, as long as liberty and justice shall be 
 revered among men (loud applause). 
 
 The CHAIRMAN (Mr. Walker). Ladies and Gen- 
 tlemen, I must ask you for three cheers for the 
 Hon. Freeman H. Morse, the American Consul to 
 London (loud arid continued cheering). 
 
 THE CHAIRMAN (Mr. Walker). Ladies and Gen- 
 tlemen, I will call your attention to the next toast, 
 which is " The Army and Navy immortal cham- 
 pions of freedom, who bleed that our country may 
 live." It was our Army and Navy, under the lead of 
 Washington, through a seven years' war, that esta- 
 blished the American Union. It is that Army and 
 Navy which is now carrying the same flag tri- 
 umphantly throughout the rebel States, and which 
 will soon float that banner over every acre of the 
 soil, and over every drop of the waters of the South 
 (loud cheers). We have now here a gallant and 
 distinguished representative of that flag, who has 
 carried it forward to victory in many a bloody bat- 
 tle-field, Captain Mayne Reid, who will respond to 
 this toast (loud cheers). 
 
 CAFT. MAYNE KEID, Mr. Chairman, Ladies and
 
 70 
 
 Gentlemen, the toast for which I have the honour to 
 stand sponsor needs no support from me. It is for- 
 tunate that it is so, else 1 might have declined the 
 duty upon the score of incapacity. I have one 
 advantage, however, which is not always the privi- 
 lege of a public speaker. I understand my subject. 
 I know the Army and the Navy of the United 
 States, perhaps not so well as their enemies know 
 them (laughter). But I know them well, and the 
 world begins to know them too (cheers). I feel 
 myself in a proud position, standing as I do in the 
 presence of this assemblage of American patriots, 
 graced as it is by some of America's fairest daugh- 
 ters (applause). Who would not feel flattered at 
 being, even for a brief moment, the cynosure of such 
 eyes? I do; not the less that I am half an Ame- 
 rican in nationality and wholly one in heart, and 
 yet in this presence I feel something of shame 
 shame that my sword has not gone with my soul 
 into that struggle between God and the devil upon 
 the other side of the Atlantic which is now progTess- 
 ing (loud cheers). I can plead but one apology, 
 which by some may be considered a poor one, and 
 would scarcely win me even the compassion of the 
 ladies, that my duty to my fellow-women has out- 
 weighed that which I owe to iny fellow-men. I 
 shall speak no more of myself but of my subject, 
 and that is war. I am no advocate fur war, though 
 I am far from being imbued with that holj r , or 
 rather with that hypocritical horror of it that has so
 
 71 
 
 lately sprung 1 up in the bosoms of so many English- 
 men. I shall hail with joy that happy millennium 
 when the sword becomes transformed into the sickle. 
 When that time comes, I shall be found one among- 
 the foremost of the apostles of peace ; but that time 
 cannot come so long- as there are men on the earth 
 who will not cease to do evil and learn to do well. 
 Till that time, war will not only be a stern neces- 
 sity, but a sacred duty, ascending- at times even to 
 holiness. Give but a noble cause, and the warrior 
 becomes ennobled. 
 
 " Give that and welcome war to brace 
 Her drums, and rend heaven's reeking space ; 
 The colours plant face to face, 
 
 The charging cheer, 
 
 Though death's pale horse lead on the chase, 
 Shall still be dear." 
 
 And what nobler cause than that in which the 
 Army and Navy of the United States are now 
 contending' ? (cheers). Where shall we seek for 
 a holier and a nobler cause ? Shall we seek for it in 
 history, in religion, in romance? We may look for 
 it but we shall not find it. What is this cause ? It 
 is the North against the South, of Federal ag-ainst 
 Confederate. Sink those silly words. They are but 
 the emblems of a. faction, a mere faction, a big* fac- 
 tion it is true ; but still an almost imperceptible 
 fraction of that assemblage of souls and bodies to be 
 affected by the issue of this struggle. But the strife 
 is not even Americanit is not confined within the
 
 72 
 
 limits of a continent or a hemisphere, it belongs to 
 the whole universal world ; for I repeat again, it is 
 the cause of God against the enemy of mankind. If 
 it prevail I look forward to the time, and that time 
 ere long, when the down-trodden helots of earth shall 
 taste that sweet cup which has been so long with- 
 held from their lips, the cup of liberty. If it be the- 
 will of God it should falter and fail, and that the 
 hour of man's regeneration has not yet arrived, then 
 will the despot plant his heel more firmly, and grasp 
 with his hand more tightly, the neck of his unfortu 
 nate victim; not only will the black bondsman of 
 Africa retain his chains and his slavery, but the 
 white bondsmen of Europe aye, of England tax 
 his toil in his eternal degradation. The throes of 
 this great struggle are already felt to the remotest 
 corners of the earth, but what are those throes when 
 compared with its results ? Not since the fiend fell 
 from Paradise has there been such a strife so event- 
 ful of consequences to the whole human race. Surely 
 God has not designed such a destiny for the children 
 of freedom. Surely he will not abandon the soldiers 
 whom he has chosen to fight on his side. No, I 
 cannot believe it. The Army and Navy, which I 
 have here the honour to represent, will crush the re- 
 bellion, because it is causeless and accursed (loud 
 cheers). Accursed ! the only rebellion in history 
 that has earned this epithet. America has obtained 
 the credit of producing new and strange phenomena, 
 and here is one of the newest and strangest of all
 
 73 
 
 a rebellion without a cause. In all my reading's I 
 can find no rebellion, revolution, or emeute that can- 
 not plead the justification of a cause. Some injury 
 to be redressed in most instances a desire to obtain 
 human rights. But here is a rebellion that has no 
 ^jury to redress, and has not got any right to 
 acquire, but, on the contrary, has no cause, no 
 creed, unless we accept that infamous one it 
 has unblushingly avowed in the face of the 
 world, the perpetuation of human wrongs (ap- 
 plause). Such a creed in the middle of the 
 nineteenth century, they have dared to put forth in 
 the face of all mankind in the second half of a 
 century which boasts of its civilization. Death to 
 the champions of such a cause ! Shame and con- 
 fusion to its abettors ! Ah, its abettors ! I have 
 been wandering far away over the world of mind 
 and matter, but that idea brings me home. You 
 Americans wonder that it has found abettors, and 
 above all in England. England, so long wedded to 
 a detestation of slavery. Some of you have, per- 
 haps, found the explanation with that cuteness for 
 which your nation is proverbial. You have no 
 doubt been able to see to the bottom of our shallow 
 and hypocritical cant. You perhaps know why 
 that twenty millions was spent in the purchase of 
 the West India negro, loudly proclaimed to the four 
 corners of the earth. Why, one of your clever 
 countrywomen was feted here not so much for her 
 literary talents, as for her advocacy of abolitionism.
 
 74 
 
 If you do not know that, I shall tell you, for it was 
 to brew the bad blood which has since sprung up 
 between you ; and now that the hell broth has come 
 to a boil, the twenty million expenditure is repented, 
 and the authoress receives the cold shoulder. Per- 
 haps you will ask for another reason. You will 
 think that you have discovered it in our jealousy 
 of 3 T our Republic. There you will be mistaken. It 
 is not from jealousy of your Republic, but from a 
 pure hatred of your Republic and of every other on 
 the face of the earth that we had this hostility which 
 is called neutrality. How could it be otherwise ? 
 The English child is generally trained to detest the 
 word t( Republic/' from the time that he is able to 
 lisp it. He is taught hostility towards it, he is 
 taught to hate it, he is taught to hate it in his 
 church and his school, he finds it in his Common 
 Prayer, and meets with it in his primer and spelling 
 book. The clergyman of his parish and his sub- 
 servient satellite, the schoolmaster, if the}'' teach 
 him nothing else and but little else do they teach 
 him take care emphatically to embue his mind 
 with this hatred of the Republic. How then can 
 you expect most Englishmen to do otherwise than 
 hate the Republic ? Just now, your unhapp3 r struggle 
 has furnished his instructors with what they believe 
 to be an unanswerable argument. They point to 
 that struggle, and cry, " all/' " all," and loudly 
 proclaim, through unprincipled speakers and trucu- 
 lent scribblers, the failure of Republican Institu-
 
 75 
 
 tions. Happy words for their witling's. Were 
 they not stricken with Cimmerian blindness, they 
 would see as 1 do in this failure of Republican 
 Institutions their greatest triumph and success. 
 They would recognize in this struggle of twin 
 giants, a power that united would have chal- 
 lenged the whole monarchical world in arms. 
 They will see it yet. The scales will drop from 
 their eyes, perhaps when it is too late. The sentries 
 who should have warned them have not been asleep, 
 only untrue to their trust. It is perfectly absurd to 
 suppose that the half dozen lordiing's, who, under 
 the pseudonym of statesmen, preside over the desti- 
 nies of England, can scarcely be ignorant of the 
 terrible legacy that they are leaving to England's 
 people. They may not live to see it administered, 
 though it will some day } T et be distributed in tears. 
 What care they ! Statesmen, forsooth ! rather let 
 us call them state-craftsmen, jugglers in the philo- 
 sophy of social science, standers behind the chairs 
 of conspiring sovereigns, expounders of fossilized 
 formularies, which have so long held the whole of 
 the human race in thraldom these are the things 
 presented to us under the appellation of statesmen. 
 And the first bottle-holder of the troupe, he who 
 erst promised to pass himself off for the guardian 
 of liberty an eagle seated upon a rock, and watch- 
 ing over its destinies he, too, has proved himself 
 but a spurious bird -not even a peacock, with all 
 his vanity, but a poor turkey, with bedraggled
 
 70 
 
 plumes, which, please God, I shall one day pluck 
 out, leaving him in all the nakedness of his infamy. 
 What cares he for the legacy he is leaving* to Eng- 
 land ! What cares he for the tears which are to 
 follow at its administration ! Nothing even if 
 there should be enough of weeping to supply water 
 for an ocean. Aprh moi le deluge was the rnotto 
 of his protot\ T pe. Aprts moi le deluge et enfer, 
 seems to be the guiding star of his servile imitator. 
 But I weary you with the subject. I arn ni} T self 
 sick of it j but I cannot close my lips until I have 
 purified them with a higher and holier theme. The 
 army and navy of the United States the immortal 
 champions of freedom who have bled that .their 
 country may live. Alas ! too many of them have 
 already bled, and too many of them must still bleed 
 I had almost said, die. But no ; they will not 
 die. Tis not death to fall in the fight of freedom. 
 They only will die who fight against her murder- 
 sullied in the sight of heaven ! Our soldiers and 
 sailors who may fall in this eventful struggle will 
 not die. They will live in the memories of their 
 comrades who survive, of their friends who sent 
 them forth, of the nation who will be proud of their 
 deeds ; and, if fewest in number, not less foremost 
 in thought, in the hearts of the patriotic assemblage 
 that here encircles me. Who need lament the death 
 of a hero to whom the grave is already robbed of 
 half its gloom ? So sang the greatest of your own 
 poets ; not that pretty prattler, whose feeble war-
 
 77 
 
 bling's so well suit the silly sentimentality of the age, 
 but a bird of bolder flight and nobler song Fitz- 
 Green Halleck. Hear how one of your own poets 
 apostrophizes when it fell upon a soldier of free- 
 dom : 
 
 " But to the hero, when his sword 
 
 Has won the battle for the free, 
 
 Thy voice sounds like a prophet's word, 
 
 And in its bolder tones are heard 
 
 The thoughts of millions yet to be. 
 
 Come when this task of fame is wrought ; 
 
 Come in his laurel-leaf, blood-bought ; 
 
 Come in his crowning hour ; and then, 
 
 Thy sunken eye's unearthly light, 
 
 To him is welcome as the sight 
 
 Of sky and stars to prisoned men ; 
 
 Thy grasp is welcome as the hand 
 
 Of brothers in a foreign land ; 
 
 Thy summons welcome as the cry, 
 
 That told the Indian Isles were nigh, 
 
 To the world- seeking Genoese, 
 
 "When the land wind, from fields of balm, 
 
 And orange groves, and trees of palm, 
 
 Blew o'er the Haytian seas." 
 
 No, soldier and sailor of America, should you fall in 
 this fight, do not fear that your country will forget 
 
 you 
 
 " For thee her poet's lyre is wreathed, 
 Her marble wrought, her music breathed. 
 For thee she rings her birthday bells, 
 For thee her babes first lisping tells, 
 For thee her evening prayer is said, 
 By palace, couch, and cottage bed.
 
 78 
 
 Her soldier closing with the foe, 
 Gives for thy sake a deadlier blow. 
 Her plighted maiden when she fears 
 For him, the pride of her young years, 
 Thinks of thy fate, and checks her tears. 
 And e'en the mother of thy boys 
 Though in her eye and faded cheek 
 I read the grief she may not speak, 
 The memory of her buried joys 
 Will by the pilgrim-circled hearth, 
 Talk of thy doom without a sigh ; 
 For throughout Freedom's age and Fame's, 
 Some of the few, th immortal names 
 That were not born to die." 
 
 [Loud cheers.] 
 
 THE CHAIRMAN [Mr. Walker]. Ladies and Gen- 
 tlemen, I will give you the next toast, embodying 
 a name to which the whole civilized world will 
 respond, and which will be re-echoed in Heaven 
 " Washington, the man without a Peer. We follow 
 his farewell advice NEVER TO SURRENDER THE 
 UNION." We have present Captain J. C. Hoadley, 
 a brave and distinguished officer of the Army of 
 the United States, who will respond to this toast. 
 Words or monuments can add no eulogy to Wash- 
 ington. His sublime and stainless history is written 
 in the freedom of his country and mankind. I will 
 simply announce the toast, and recommend his last 
 advice " NEVER TO SURRENDER THE UNION" [loud 
 cheers]. 
 
 CAPTAIN HOADLEY, Mr. Chairman, Ladies and
 
 79 
 
 Gentlemen, I should be no less oppressed by the 
 duty you have assigned to me than I am confused 
 by the partiality of your introduction if I supposed 
 I could be expected to say anything- which could 
 add to the sentiments of love and veneration in 
 which you all hold the name of the father of our 
 country. Most of you have heard no doubt Mr. 
 Everett's elegant eulogy ; all of you hold enshrined 
 in your hearts the image of Washing-ton. You all 
 know how far that image transcends j }'ou all 
 know how much the halo which enshrines it out- 
 shines the sun of even his golden sentences. I shall 
 therefore not be silent. One single trait I may, 
 however, call to mind, since, if I remember right, 
 it was passed by in silence by Mr. Everett, who 
 may well be pardoned for omitting 1 a single 
 trait, and indeed many traits, in an hour's re- 
 view of a character so rich. The point to which 
 I allude was the emancipation of his slaves by 
 Washington. In the maturity of his judgment, 
 in the fulness of his fame, in the richness of his 
 character, when the shadows of time were drawing 
 less powerfully upon his mind, and the solemn 
 results of eternity began to assert their power, 
 Washington, with strict justice, with a strict refer- 
 ence to all the rights of others so far as it lay in 
 his power, emancipated every bondsman which the 
 law said he owned. He thus placed the weight of 
 his great name and the power of his vast influence 
 on the side of emancipation. And for this, we at
 
 80 
 this hour know how to reverence him. On a sino-le 
 
 o 
 
 other point I will venture to say a word, and that 
 is an instance of the symmetry of his character, 
 which like that of the Belviderean Apollo, comes out 
 and reveals new beauties wherever it is unveiled 
 and wherever seen. In the important discussions 
 which have just taken place before the august court 
 within the precincts of Westminster Hall, the name 
 of Washing-ton has been brought into familiar 
 acquaintance with the jurists and jurisprudence of 
 England, and there is no American but must have 
 been proud and happy to see the honourable posi- 
 tion which Washington is seen to have taken so 
 early on the important questions which are to be 
 settled by this suit, whose echoes will reach far 
 beyond the echoes of the walls within which it was 
 conducted. Very early, almost without precedent, 
 before it had ever been discovered that neutrals had 
 rights, stemming the current of the irritation 
 against England, that the revolutionary war had 
 left, resisting the more generous impulses which 
 drew him and the nation towards the late generous 
 ally of his struggling country, he laid down a 
 system of policy so just, so wise, and because it was 
 so wise and just, a system so politic, that it has 
 steered us safely through all the wars of the world 
 since our country's existence has carried us 
 through more than half a century of war, perhaps 
 sometimes not actual war, but that latent war which 
 is the busy preparation of future war which inex-
 
 81 
 
 perieneed statesmen call peace, through more than 
 half a century of perpetual war, without ever 
 having- led us, or permitted us to commit any acts 
 which any nation could complain of which has 
 enabled us to maintain an actual neutrality, and to 
 do right and justice to all the world without any 
 injustice or constraint on the liberties of our 
 own citizens. But the second portion of the 
 toast claims my attention, and, indeed, in think- 
 ing of Washington, we must naturally think 
 of his chief work, the American Union, of which 
 he was one of the chief authors. And what 
 a work it is ! The Government which has 
 given us peace for three g-enerations, over half the 
 world, which has only been known by its blessings, 
 and which would have given us peace for ever, but 
 for infernal treason which broke the spell. But it 
 is said that the Union is destroyed. We are per- 
 petually told that it is gone dead dead as the 
 Heptarchy. But if the Heptarchy died in the em- 
 braces of the Union, would you have us erect a Hep- 
 tarchy nay a quintuple Heptarchy on the ashes 
 of our Union ? If you would, you will not see it. 
 That is not our destiny. We shall not permit it: It 
 is true that the organs of public opinion in England, 
 which I have followed pretty constantly during the 
 few weeks that I have been residing here, after having 
 gained our attention and probably opened our 
 hearts to the reception of their generous sentiments 
 by the overtures of calumn}-, misrepresentation, and 
 
 F
 
 89 
 
 ridicule, now reason with us very plausibly to show 
 how much better off we should be, if we only, like 
 the South, were to erect ourselves into a sovereign 
 power with a military oligarchy on our frontiers. It 
 was said of old that when the Roman Empire 
 passed away, there was an end of liberty ; so now 
 it may be said that if the Empire and the Union 
 were to perish, the liberty of the world would be 
 gone. There is something- a little suspicious in the 
 smoothness of this counsel ; it is a little too like 
 the tones of the good wife who calls to her ducks, 
 (C dilly, dilly, dilly, come and be killed." The Ame- 
 rican Union in war is better than Europe in peace. 
 But it is said, it is done divided the country is 
 gone. It is a war of boundaries, and you must 
 settle the question of boundaries, otherwise the war 
 will never end. But suppose it should not end! 
 Suppose we fight this century out ! Suppose the 
 twentieth century should dawn, and the war still be 
 raging ! I venture to say, if the peace of Europe 
 remains unbroken from this hour to that, that the 
 nineteenth century will have given us more institu- 
 tions, more of peace, more of liberty, more of pros- 
 perity, less of devastations and evil, than the insti- 
 tutions of Europe will give to Europe. But it is 
 said the country is gone, the country is divided . 
 you must make your line. Mr. Chairman, I have 
 thought this advice important enough to attempt 
 to follow it. Having traversed my country in 
 every direction, having swept down its magnifi-
 
 83 
 
 cent rivers and crept up them, and travelled over 
 the railways in all directions, having been in all 
 the States, save a few of the Atlantic seaboard, I 
 took Colton's excellent map to see if I could find a 
 boundary. Not confining* myself to the Potomac 
 or the Ohio, which did not answer the conditions, I 
 tried every thing- that would serve as a boundary I 
 took the line of alluvial hills on some sluggish stream, 
 and I even resorted to railway tracks, indeed to any- 
 thing- that might serve as a demarcation between the 
 countries. I thought at first that the best mode 
 would be to shut my eyes and tear the map in two. 
 But I have discovered a boundary, and wonderful 
 to say it is a boundary which we can accept, and a 
 boundary which the traitors must in the last resort 
 make } but which we may admit without disgrace 
 to our country. I have found a boundary which, 
 if inevitable, must be accepted. It is the surface 
 of God's free earth from sun to sun, and from the 
 Lakes to the Gulf. We will give the traitors all 
 below, down to the central fires ; but by the leave 
 and permission of Heaven, the people of the 
 United States will have all above up to the Empire 
 of the Eternal Throne. In conclusion, I beg to 
 offer a sentiment which I will preface with a single 
 remark. The name I am about to offer you is a 
 name loved in America as the name of the only 
 Englishman in place and power who seemed to 
 hesitate to plunge with headlong fu^, almost with 
 glee, into a war with us in the moment of our dire 
 
 F 2
 
 84 
 
 extremity. The name of the man whose voice was 
 raised to soften the utterance of an unwelcome, un- 
 palatable despatch, so that it might be accepted by 
 a proud and hig'h-spirited people without humilia- 
 tion. I offer you the memory of "His Koyal 
 Hig-hnesSj the late Prince Consort." The Americans 
 will always cherish with gratitude and admiration 
 the name of " Albert the Good." (Loud and con- 
 tinued cheering-.) 
 
 Here Mr. WALKER said he knew by personal in- 
 tercourse with Prince Albert in 1851 and 1852, that 
 this able and excellent man was a great friend and 
 admirer of our country. Inheriting* these kind 
 feeling's of both his illustrious parents, the Prince 
 of Wales repeatedly expressed similar sentiments 
 during 1 his recent visit to America. It would be 
 wicked and absurd to deny that these facts have 
 produced a profound impression in our country in 
 favour of England. 
 
 THE CHAIRMAN, (Mr. Walker). I am about to 
 present a toast which is never received in America 
 except with the deepest feeling-, because it announces 
 a power which is above that of artillery, above that 
 of President or Cabinets, more potent than all other 
 political influences it is " The Press." We have 
 selected to respond to that toast one of the dis- 
 tinguished editors of this great city, one on whose 
 head rests not the snow of many winters, but one
 
 85 
 
 who is endeared to every friend of liberty and of 
 the Union by the distinguished part which he has 
 taken in this great contest. When others turned 
 back he was firm, when the great political machinery 
 which is supposed to control the vast Government 
 of Brig-land when the still more magic power of 
 gold was brought to bear against us, the Press, 
 which he controls, the " Observer," together with 
 the ever glorious " News " and " Star," in our 
 darkest hour, in the very midst of our greatest 
 disasters, when our friends turned back and rebellion 
 seemed to have achieved a victory, he stood firm. 
 He was courageous and uudazzled ; to him every 
 true American patriot owes an immeasurable debt 
 of gratitude. That friend, whose head is not 
 yet frosted by the snow of many winters, is Mr. 
 Snow, the Editor of the Observer. To this toast 
 he has kindly consented to respond. That 
 toast is this, " The Press, The Tyrants' foe, the 
 People's friei id - where it is free, despotism must 
 perish." (Loud applause.) 
 
 MR. SNOW : Mr. Chairman, Ladies and Gen- 
 tlemen : I have very little to say of the Press. 
 We have a free Press in this country 5 you have a 
 free Press in your country, and we both make use 
 of it. I am sorry to say that a great deal is said by 
 the Press of both countries that had better be left un- 
 said ; for my own part, I can only say, that proud and
 
 8G 
 
 pleased as I am to be amongst so many Americans 
 here, I never knew an American in my life until 
 the commencement of your struggle. When }^our 
 contest commenced, I said to myself, it will be a 
 calamity to mankind if this great Republic is broken 
 up, and I took such steps as I deemed advisable on 
 the occasion. With regard to what your Chairman, 
 Mr. Walker, has said about gold, I know nothing, 
 and therefore I have nothing to say on that subject. 
 I thank you all for your courtesy and consideration 
 in drinking my health, and I am very much obliged 
 to you. 
 
 Mr. WASHINGTON WILKS, being called on in 
 complimentary remarks by the Chair, said, Mr. 
 Chairman, Ladies, and Gentlemen, I thank you 
 for the honour and pleasure of being* one of your 
 guests to-night. I had hoped to have spent 
 this thanksgiving- day in your country, to have 
 been perchance in New England, and have par- 
 taken there of that hospitality which has be- 
 come familiar to me through your literature. I 
 hoped to have had the opportunity, in the close of 
 this 3'ear, to have said something in America 
 touching the feelings of England towards your 
 great country in its present struggle. I was told 
 I could do better service if I remained, and so 
 I have given up for this year that pleasant hope. 
 But I am glad to meet you here to-night. I have 
 waited through the five hours of your feasting in
 
 87 
 
 order to have an opportunity of responding- to the 
 toast of " The Press," which has just been given. 
 Perhaps I might expect that as a right as well as 
 accept it as a privilege, for I make hold to say that 
 if there he any journalist in England to whom the 
 credit of really continuous self-service on this ques- 
 tion belongs, it is even to so humble a person as 
 myself (cheers). I believe I have written upon 
 this question, in various papers, fully 500 articles 
 since the election of Mr. Lincoln, or the beginning 
 of this war. I have made more than 200 speeches. 
 I am sure that every article and every speech might 
 have been made or written by one of yourselves as 
 well as by me (cheers). When journalists who now 
 are honoured by the approbation of Americans, were 
 writing against you week by week, I day by day was 
 battling in your cause. Gentlemen, do not misunder- 
 stand the English press in this matter. There is a 
 portion of the English press that is essentially sec- 
 tional. There is a portion essentially venal. There is a 
 portion essentially popular. The sectional press may 
 be aristocratic in one case, and may be mercantile in 
 another case, because it is very likely to be pro- 
 American in your struggle. The venal press has 
 been sometimes against you, and sometimes for you, 
 and I take its support or opposition to be of about 
 like value. The popular press I take to be that 
 which advocates precisely for the people of England, 
 the rights which men enjo} 7 , as men, in your own 
 country (applause). That press represents just those
 
 men who have always been accused of trying* to 
 Americanise English Institutions. Now, Sir, that 
 was the only portion of the English press from 
 whom you had any right at all to expect sympathy 
 in this struggle. I say deliberately, } T ou had no 
 right to expect from the aristocratic press of Eng- 
 land sympathy in this struggle. If it had been for 
 you, so much the worse for you } the chances are 
 that the people would not have been with you, and you 
 ought to have them with you. If the venal press was 
 against you or for you, it all depended upon whether 
 you bought it. But if the popular press the press 
 which has advocated the application to England of 
 precisely those principles which are embodied in Ame- 
 rican institutions, and which, consequently,has always 
 been abused as American, democratic, and revolu- 
 tionaiy ] if they had not been with you, then I take 
 leave to say, you ought to have enquired whether 
 or not you might not yourselves be wrong. But I 
 am confident that that Press as a body, and the men 
 whom it represents the men who speak its language 
 on the platform have been with you from the very 
 beginning* of this struggle, and will be with you to 
 the very end of it. It is no good at all to mince 
 this matter it is of no use for the American people 
 across the Atlantic in their own country to be 
 abused, as I fear they are much abused, by continual 
 representations that the people of England, nearly 
 one and all, are against them, and that it is simply 
 exceptional men who plead for them. That is not
 
 89 
 
 so. I would not consent to be honoured with an in- 
 vitation to an American Banquet in England, or 
 welcomed by Americans in America, as an excep- 
 tional Englishman, I claim to be a representative 
 Englishman. It is the men who are against you, 
 who are the exceptional men the men who are with 
 you are the representative men. The men who are 
 against you are the men who stand in high places, 
 belonging to the aristocracy of birth, or the aristoc- 
 racy of wealth. You cannot name one man distin- 
 guished in the aristocracy of intellect and letters who 
 has gone against you. Such men as our Stuart 
 Mills, and men of that stamp, our very chieftains of 
 intellect and of eloquence are the men who have 
 gone for you as by the instinct and by the law of 
 their being. I take you to witness that all the po- 
 pular chieftains of England the natural exponents 
 of English thought and feeling, not only men like 
 Cobden and Bright, but inferior men, influential in 
 their various spheres, have as certainly gone with 
 you, and as naturally as the stars in their orbits 
 have accomplished their purpose and destined path. 
 It could not be otherwise. You are struggling for 
 precisely the things that we are struggling for. 
 You are struggling' to establish popular sovereignty 
 when threatened by aristocratic rebellion. We are 
 struggling to establish popular sovereignty against 
 an aristocratic supremacy. (Loud Applause.) You 
 are sustaining a just government against a wicked 
 rebellion we are leading a great rebellion, though
 
 90 
 
 only a moral one, against unjust and unrighteous 
 institutions. With you, the battle is to defend what 
 your fathers bequeathed to you with us, the battle 
 is to attain that which we want to hand down to our 
 children. We want nothing that you have not al- 
 ready got we care not much whether our common- 
 wealth be ruled by a monarch or a president. Eng- 
 land is no monarchy England is a free common- 
 wealth, as is yours, and we also want to make our 
 commonweulth as perfectly free as yours. As you 
 have no one Christian sect rearing its mighty head 
 above the rest, aad looking down in contempt and 
 arrogance on all outside her, so we want to have no 
 ecclesiastical aristocracy domineering above the 
 Christian commonalty. As you have no class of 
 nobles burning to rule, but choose your senate from 
 your wisest and your best, so we choose to have no 
 territorial lords ruling Parliament by virtue of 
 their acres and their pedigrees. As you have the 
 one blot on your escutcheon, the evil being 
 your heir-loom, a degraded and abject class 
 whom }<ou are endeavouring to raise we have 
 an abject degraded pauper class whom we are 
 striving to emancipate from the bondage of des- 
 titution and ignorance and vice. Thus, then, 
 you see your cause is just our cause. The men who 
 are against you, are the men who are against us ; 
 and I protest, from the knowledge of English affairs 
 at least as long as my life has been that there 
 is not one man, who has spoken against the Ameri-
 
 91 
 
 can Union and its struggle, whom we English 
 Radicals do not regard as our opponent, our stum- 
 bling block, and our disgrace (hear, hear). Now, 
 as I ought to have been gone long since, I need 
 offer no excuse for stopping here, and certainly I 
 will not further encroach upon your time. To 
 attempt a speech upon the Press, at this hour, 
 would be simply ridiculous, moreover, that is not to- 
 night my function, I simply thank you again, 
 Mr. Chairman, for the invitation to attend here, 
 and for giving me the chance of sa}dng these few 
 words. I have only to express my hearty hope 
 that whatever battles we may have to fight, 
 whatever the intensity of the struggle you may 
 have to sustain on your side of the water, 
 however severe the struggle may be with us in the 
 same cause, that by this time next year, when 
 Thanksgiving Day comes round again, be it in 
 London or in your own Boston, that I may have 
 the happiness to meet with Englishmen and Ame- 
 ricans rejoicing that God has blessed his people 
 with fruitful fields and crowded storehouses, rejoic- 
 ing in the progress of industr}^ and the profits of 
 commerce ; rejoicing in the re-election of Abraham 
 Lincoln as President, and rejoicing, above all, that 
 that Republic, delivered from the trouble of intes- 
 tine rebellion, and foreign enmity, has escaped from 
 all her perils, and arisen safe and glorious to the 
 smile of God's benediction (loud and prolonged 
 applause).
 
 92 
 
 THE CHAIRMAN (Mr. Walker). Now, Ladies 
 and Gentlemen, I am called upon to announce the 
 last toast. This is a toast which finds a response in 
 all our hearts, and to which no one is able, in our 
 opinion, to make an adequate answer. It is, there- 
 fore, the toast to which we will all all respond 
 it is " The Ladies our sweethearts, wives, mothers 
 daughters, sisters, friends. Their holy influence 
 will break all chains but those which bind our hearts 
 to them." Three cheers for (e the Ladies 7 ' (loud 
 cheers). 
 
 A VOICE. Three cheers for the old folks at 
 home. 
 
 Mr. G. W. BELDING. Ladies and Gentlemen, 
 before we part to night, I think our thanks are 
 justly due to the eloquent gentleman who has so ably 
 presided here. I propose to you the health and long 
 life of the Honourable Robert J. Walker. I will 
 propose that you receive that sentiment with three 
 cheers on his behalf. (Loud cheers.) 
 
 Mr. GIRARD RALSTON called for one cheer more 
 for Mr. Walker, which was given enthusiastically, 
 the ladies waving their handkerchiefs. 
 
 MR. WILSON. I beg leave to second the motion 
 of thnnks to our Chairman for his great kindness, 
 and great ability in presiding upon this occasion.
 
 oa 
 
 We are under the deepest obligations to him. We 
 venerate him for his services to the Union. We 
 love him for his affection to our country, and I 
 hope that you will give him } r our hearty thanks for 
 his kindness in presiding- upon this occasion. (Loud 
 and continued cheering'.) 
 
 ME. CHAIRMAN. Ladies and Gentlemen, I thank 
 you all my countrymen, but infinitely more my 
 country-women, for the indulgent kindness with 
 which you have received the few words which have 
 been announced to you in favour of my poor and 
 humble services. I can only say to you, I have 
 no sentiment, no wish, no faith beyond that em- 
 braced in the success of the American Union. In 
 that I feel all that is dear to man, but especially all 
 that is dear to woman is included. Whilst our men 
 have contributed much to maintain the American 
 Union, although they have offered up their lives 
 upon the battle-field have suffered in rebel dungeons 
 have endured all that man can suffer in such a 
 struggle as this, I feel that without the aid, the smiles, 
 and encouragement of the ladies, we could have done 
 nothing. If, therefore, as we all believe, the Ame- 
 rican Union shall be preserved for the benefit of our 
 country, and mankind, more, infinitely more far 
 beyond anything that pen can write, or tongue can 
 speak, will be due to the loyal ladies of America. 
 It is they who urged us on to conquer or die for our 
 country. It is they whose inspiration cheered us on
 
 94 
 
 to victory, rallied the faltering* column, or sustained 
 us in defeat. Without their aid we could never 
 have had a million of volunteers for this contest. 
 It is they who solaced the captive, nursed the 
 wounded soldier ; they who smoothed the pillow of 
 death, and received the last sigh of the departing 1 
 spirit, as it rose to the hosom of its God. Then, 
 as a farewell toast, with all my heart, with all the 
 thoug-hts it can breathe, and all the sentiments it 
 can utter, I give " The Ladies of America." God 
 bless them ! (Prolong-ed applause.) 
 
 
 . 

 
 AMERICAN 
 
 FINANCES AND RESOURCES, 
 
 LETTER 
 
 No. I. 
 
 OP 
 
 HON. ROBERT J. WALKER, MA. 
 
 COUNSELLOR AT LAW IN THE SUPREME COURT OF THE UNITED STATES, 
 
 LATE LAW REP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OF KANSAS, ETC., ETC. 
 
 LONDON: 
 WILLIAM RIDGWAY, 169, PICCADILLY, W. 
 
 1863.
 
 AMERICAN 
 
 FINANCES AND RESOURCES. 
 
 LETTER No. I. 
 
 London, 10, Half Moon Street, Piccadilly. 
 August 5, 1863. 
 
 THE question has been often asked me, here and on 
 the Continent, how has your Secretary of the Trea- 
 sury (Mr. Chase) so marvellously sustained Ameri- 
 can credit during this rebellion, and when will your 
 finances collapse ? This question I have frequently 
 answered in conversations with European statesmen 
 and bankers, and the discussion has closed 'generally 
 in decided approval of Mr. Chase's financial policy, 
 and great confidence in the wonderful resources of 
 the United States. 
 
 Thus encouraged^ I have concluded to discuss the 
 question in a series of letters, explaining Mr. Chase's 
 system, and stating the reasons of its remarkable 
 success. The interest in such a topic is not confined 
 to the United States, nor to the present period, but 
 extends to all times and nations. Indeed, finance, 
 as a science, belongs to the world. It is a principal 
 branch of the doctrine of " the wealth of nations," 
 discussed, during the last century, with so much 
 
 A 2
 
 ability by Adam Smith. Although many great 
 principles were then settled, yet political economy 
 is emphatically progressive, especially the important 
 branches of credit, currency, taxation, and revenue. 
 Mr. Chase's success has been complete under the 
 most appalling' difficulties. The preceding 1 adminis- 
 tration, by their treasonable course, and anti-coercion 
 heresies, had almost paralyzed the Government. 
 They had increased the rate of interest on Federal 
 loans from six to nearly twelve per cent per annum. 
 Their Vice- President (Mr. Breckenridge), their Fi- 
 nance Minister (Mr. Cobb), their Secretary of War 
 (Mr. Floyd), their Secretary of the Interior (Mr. 
 Thompson), are now in the traitor army. Even the 
 President (Mr. Buchanan), with an evident purpose 
 of aiding 1 the South to dissolve the Union, had an- 
 nounced in his messages the absurd political paradox, 
 that a State has no right to secede ^but that the Govern- 
 ment has no right to prevent its secession. It was a 
 conspiracy of traitors, at the head of which stood the 
 President, secretly pledged, at Ostend and Cincin- 
 nati, to the South (as the price of their support), to 
 aid them to control or destroy the republic. Thus 
 was it that, in time of profound peace, when our 
 United States six per cents, commanded a few weeks 
 before a large premium, and our debt was less than 
 $65,,QOO,000, that Mr. Buchanan's Secretary of 
 the Treasury (Mr. Cobb) was borrowing money at 
 an interest of nearly twelve per cent, per annum. 
 Most fortunately that accursed administration was 
 drawing to a close, or the temporary overthrow of
 
 the Government would have been effected. Never 
 did any minister of finance undertake a task appa- 
 rently so hopeless as that so fully accomplished by 
 Mr. Chase in reviving the public credit. A single 
 fact will illustrate the extraordinary result. At 
 the close of the fiscal year ending 1st July, I860, 
 our public debt was only $64,769,703, and Secre- 
 tary Cobb was borrowing money at twelve per cent, 
 per annum. On the first of July, 1863, in the 
 midst of a stupendous rebellion, our debt was 
 $1,097,274,000, and Mr. Chase had reduced the 
 average rate of interest to 3*89 per cent, per annum, 
 whilst the highest rate was 7*30 fora comparatively 
 small sum to be paid off next year. This is a finan- 
 cial achievement without a parallel in the history of 
 the world. If I speak on this subject with some 
 enthusiasm, it is in no egotistical spirit, for Mr. 
 Chase's system differs in many respects widely from 
 that adopted by me as Minister of Finance during the 
 Mexican war, and which raised United States Jive 
 per cents, to a premium. But my system was 
 based on specie or its real and convertible equiva- 
 lent, and would not have answered the present 
 emergency, which, by our enormous expenditure, 
 necessarily forced a partial and temporary suspen- 
 sion of specie payments upon our banks and Gov- 
 ernment. Mr. Chase's system is exclusively his 
 own, and, in many of its aspects, is without a pre- 
 cedent in history. When first proposed by him it 
 had very few friends, and was forced upon a re-
 
 G 
 
 luctant Congress by the great emergency, present- 
 ing- the alternative of its adoption or financial ruin. 
 Indeed, upon a test vote in Congress in February 
 last, it had failed, when the premium on gold rose 
 immediately over twenty per cent. This caused a 
 reconsideration, when the bills were passed and 
 the premium on gold was immediately reduced 
 more than the previous rise, exhibiting- the extra- 
 ordinary difference in a few days of twenty-three 
 per cent., in the absence of any intermediate Fede- 
 ral victories in the field. 
 
 Such are the facts. Let me now proceed to de- 
 tail the causes of these remarkable results. The 
 first element in the success of any Minister of 
 Finance is the just confidence of the country in his 
 ability, integrity, candour, courage and patriotism. 
 He may find it necessary, in some great emer- 
 gency, like our rebellion, to diverge somewhat from 
 the via trita of the past, and enter upon paths not 
 lighted by the lamp of experience. He must never, 
 however, abandon great principles, which are as 
 unchangeable as the laws developed by the physical 
 sciences. When Mr. Chase, in his first annual 
 Treasury Report of the 9th of December, 1861, 
 recommended his system of United States banks, 
 organized by Congress throughout the country, 
 furnishing a circulation based upon private means 
 and credit, but secured also by an adequate amount 
 of Federal stock, held by the Government as 
 security for its redemption, it was very unpopular,
 
 and encountered most violent opposition. The State 
 banks, and all the great interests connected with 
 them, were arrayed against the proposed system. 
 When we reflect that many of these banks (espe- 
 cially in the great State of New ifork) were based 
 on State stocks, and in many States that the banks 
 yielded large revenues to the local government ; 
 when we see, by our Census Tables of 1860 (p. 193), 
 that these banks numbered 1642, with a capital 
 paid up of $421,890,095, loans 1691,495,580, and 
 a circulation and deposits, including specie, of 
 $544,469,134, we may realize in part the tre- 
 mendous power arrayed against the Secretary. This 
 opposition was so formidable, that neither in the 
 public press nor in Congress did this recommenda- 
 tion of Mr. Chase receive any considerable support. 
 Speaking of the currency issued by the State banks, 
 and of the substitute proposed by Mr. Chase, he 
 presented the following views in his first annual 
 report before referred to, of December, 1861 : 
 
 "The whole of this circulation constitutes a loan without 
 " interest from the people to the banks, costing them nothing 
 " except the expense of issue and redemption and the interest on 
 " the specie kept on hand for the latter purpose ; and it deserves 
 " consideration whether sound policy does not require that the 
 " advantages of this loan be transferred in part at least, from the 
 " banks, representing only the interests of the stockholders, to 
 " the government, representing the aggregate interests of the 
 " whole people. 
 
 " It has been well questioned by the most eminent statesmen 
 " whether a currency of bank notes, issued by local institutions
 
 8 
 
 "under State laws, is not, in fact, prohibited by the national 
 " Constitution. Such emissions certainly fall within the spirit, 
 " if not within the letter, of the constitutional prohibition of the 
 " emission of bills of credit by the States, and of the making by 
 " them of anything except gold and silver coin a legal tender in 
 " payment of debts. 
 
 " However this may be, it is too clear to be reasonably disputed 
 " that Congress, under its constitutional powers to lay taxes, to 
 f * regulate commerce, and to regulate the value of coin, possesses 
 " ample authority to control the credit circulation which enters so 
 " largely into the transactions of commerce and affects in so many 
 " ways the value of coin. 
 
 " In the judgment of the Secretary the time has arrived when 
 " Congress should exercise this authority. The value of the 
 " existing bank note circulation depends on the laws of thirty- 
 " four States and the character of some sixteen hundred private 
 " corporations. It is usually furnished in greatest proportions by 
 " institutions of least actual capital. Circulation, commonly, is 
 " in the inverse ratio of solvency. Well-founded institutions, of 
 "large and solid capital, have, in general, comparatively little 
 tl circulation ; while weak corporations almost invariably seek to 
 " sustain themselves by obtaining from the people the largest 
 " possible credit in this form. Under such a system, or rather 
 " lack of system, great fluctuations, and heavy losses in discounts 
 " and exchanges, are inevitable ; and not unfrequently, through 
 " failures of the issuing institutions, considerable portions of the 
 <c circulation become suddenly worthless in the hands of the 
 <{ people. The recent experience of several States in the valley 
 " of the Mississippi painfully illustrates the justice of these 
 " observations ; and enforces by the most cogent practical argu- 
 " ments the duty of protecting commerce and industry against 
 " the recurrence of such disorders. 
 
 " The Secretary thinks it possible to combine with this protec- 
 " tion a provision for circulation, safe to the community and 
 '< convenient for the government. 
 
 " Two plans for effecting this object are suggested. The first
 
 " contemplates the gradual withdrawal from circulation of the 
 " notes of private corporations and for the issue, in their stead 
 " of United States notes, payable in coin on demand, in amounts 
 " sufficient for the useful ends of a representative currency. The 
 " second contemplates the preparation and delivery, to institutions 
 " and associations, of notes prepared for circulation under national 
 " direction, and to be secured as to prompt convertibility into 
 " coin by the pledge of United States bonds and other needful 
 " regulations. 
 
 " The first of these plans was partially adopted at the last 
 " session of Congress in the provision authorizing the Secretary 
 " to issue United States notes, payable in coin, to an amount not 
 " exceeding fifty millions of dollars. That provision may be so 
 " extended as to reach the average circulation of the country, 
 " while a moderate tax, gradually augmented, on bank notes, will 
 " relieve the national from the competition of local circulation. 
 " It has been already suggested that the substitution of a national 
 " for a state currency, upon this plan, would be equivalent to a 
 " loan to the government without interest, except on the fund to 
 " be kept in coin, and without expense, except the cost of prepara- 
 " tion, issue, and redemption ; while the people would gain the 
 " additional advantage of a uniform currency, and relief from a 
 '* considerable burden in the form of interest on debt. These 
 " advantages are, doubtless, considerable ; and if a scheme can be 
 " devised by which such a circulation will be certainly and strictly 
 " confined to the real needs of the people, and kept constantly 
 " equivalent to specie by prompt and certain redemption in coin, 
 " it will hardly fail of legislative sanction. 
 
 " The plan, however, is not without serious inconveniences and 
 " hazards. The temptation, especially great in times of pressure 
 "and danger, to issue notes without adequate provision for 
 " redemption ; the ever-present liability to be called on for 
 " redemption beyond means, however carefully provided and 
 " managed ; the hazards of panics, precipitating demands for 
 " coin, concentrated on a few points and a single fund ; the risk 
 "of a depreciated, depreciating, and finally worthless paper
 
 10 
 
 " money ; the immeasurable evils of dishonoured public faith and 
 " national bankruptcy ; all these are possible consequences of the 
 " adoption of a system of government circulation. It may be 
 *' said, and perhaps truly, that they are less deplorable than those 
 " of an irredeemable bank circulation. Without entering into 
 " that comparison, the Secretary contents himself with observing 
 " that, in his judgment, these possible disasters so far outweigh 
 " the probable benefits of the plan that he feels himself constrained 
 " to forbear recommending its adoption. 
 
 " The second plan suggested remains for examination. Its 
 "principal features are, (1st) a circulation of notes bearing a 
 " common impression and authenticated by a common authority ; 
 " (2d) the redemption of these notes by the associations and 
 tl institutions to which they may be delivered for issue ; and (3d) 
 " the security of that redemption by the pledge of United States 
 " stocks, and an adequate provision of specie. 
 
 " In this plan the people, in their ordinary business, would 
 " find the advantages of uniformity in currency ; of uniformity in 
 " security ; of effectual safeguard, if effectual safeguard is possible, 
 " against depreciation ; and of protection from losses in discounts 
 " and exchanges ; while in the operations of the government the 
 " people would find the further advantage of a large demand for 
 " government securities, of increased facilities for obtaining the 
 " loans required by the war, and of some alleviation of the burdens 
 " on industry through a diminution in the rate of interest, or a 
 " participation in the profit of circulation, without risking the 
 " perils of a great money monopoly. 
 
 " A further and important advantage to the people may be 
 " reasonably expected in the increased security of the Union, 
 " springing from the common interest in its preservation, created 
 " by the distribution of its stocks to associations throughout the 
 " country, as the basis of their circulation. 
 
 ft The Secretary entertains the opinion that if a credit circula- 
 " tion in any form be desirable, it is most desirable in this. The 
 " notes thus issued and secured would, in his judgment, form the 
 " safest currency which this country has ever enjoyed ; while their
 
 II 
 
 " receivability for all government dues, except customs, would 
 " make them, wherever payable, of equal value, as a currency, in 
 " every part of the Union. The large amount of specie now in 
 "the United States, reaching a total of not less than two hun- 
 " dred and seventy-five millions of dollars, will easily support 
 " payments of duties in coin, while these payments and ordinary 
 " demands will aid in retaining this specie in the country as a 
 " solid basis both of circulation and loans. 
 
 " The whole circulation of the country, except a limited amount 
 " of foreign coin, would, after the lapse of two or three years, 
 " bear the impress of the nation whether in coin or notes ; while 
 " the amount of the latter, always easily ascertainable, and, of 
 " course, always generally known, would not be likely to be 
 " increased beyond the real wants of business. 
 
 "He expresses an opinion in favour of this plan with the 
 " greater confidence, because it has the advantage of recommenda- 
 " tion from experience. It is not an untried theory. In the 
 " State of New York and in one or more of the other States it 
 " has been subjected, in its most essential parts, to the test of 
 " experiment, and has been found practicable and useful. The 
 " probabilities of success will not be diminished but increased by 
 " its adoption under national sanction and for the whole country. 
 
 " It only remains to add that the plan is recommended by one 
 " other consideration, which, in the judgment of the Secretary, is 
 " entitled to much influence. It avoids almost, if not altogether, 
 11 the evils of a great and sudden change in the currency by 
 "offering inducements to sol vent existing institutions to withdraw 
 " the circulation issued under State authority, and substitute that 
 " provided by the authority of the Union. Thus, through the 
 " voluntary action of the existing institutions, aided by wise 
 " legislation, the great transition from a currency heterogeneous, 
 " unequal, and unsafe, to one uniform, equal, and safe, may be 
 " speedily and almost imperceptibly accomplished. 
 
 ' If the Secretary has omitted the discussion of the question 
 " of the constitutional power of Congress to put this plan into 
 "operation, it is because no argument is necessary to establish
 
 12 
 
 " the proposition that the power to regulate commerce and the 
 " value of coin includes the power to regulate the currency of the 
 " country, or the collateral proposition that the power to effect 
 " the end includes the power to adopt the necessary and expedient 
 " means. 
 
 " The Secretary entertains the hope that the plan now sub- 
 " mitted, if adopted with the limitations and safeguards which 
 " the experience and wisdom of Senators and Representatives 
 " will, doubtless, suggest, may impart such value and stability to 
 " government securities that it will not be difficult to obtain the 
 " additional loans required for the service of the current and the 
 " succeeding year at fair and reasonable rates ; especially if the 
 " public credit be supported by sufficient and certain provision 
 " for the payment of interest and ultimate redemption of the 
 " principal." 
 
 Congress adjourned after a session of eight 
 months, and failed to adopt Mr. Chase's recommen- 
 dation. Indeed, it had then but few advocates in 
 Congress or the country. Events rolled on, and 
 our debt, as anticipated by Mr. Chase, became of 
 vast dimensions. In his report of December, 1861, 
 the public debt on the 30th June, 1862 (the close of 
 the fiscal year), was estimated by the Secretary at 
 $517,372,800; and it was $514,211,371, or more 
 than $3,000,000 less than the estimate. In his 
 report of December 4, 1862, our debt, on the 30th 
 June, 1863, was estimated by Mr. Chase at 
 $1,122,297,403, and it was $1,097,274,000, being 
 $25,023,403 less than the estimate. The average 
 rate of interest on this debt was 3*89, being- 
 141,927,980, of which $30,141,080 was payable in 
 gold, and $11,786,900 payable in Federal currency.
 
 13 
 
 It will thus be seen that the whole truth^ as to our 
 heavy debt, was always distinctly stated in advance 
 by Mr. Chase, and that the debt has not now quite 
 reached his estimate. Long- before the date of the 
 second annual report of the Secretary, the banks 
 had suspended specie payments, and the Secretary 
 renewed his former recommendation on that subject 
 in these words : 
 
 " While the Secretary thus repeats the preference he has here- 
 " tofore expressed for a United States note circulation, even when 
 " issued direct by the government, and dependent on the action 
 " of the government for regulation and final redemption, over the 
 " note circulation of the numerous and variously organized and 
 " variously responsible banks now existing in the country ; and 
 " while he now sets forth, more fully than heretofore, the grounds 
 " of that preference, he still adheres to the opinion expressed in 
 " his last report, that a circulation furnished by the government, 
 11 but issued by banking associations, organized under a general 
 " act of Congress, is to be preferred to either. Such a circula- 
 " tion, uniform in general characteristics, and amply secured as 
 " to prompt convertibility by national bonds deposited in the 
 " treasury, by the associations receiving it, would unite, in his 
 "judgment, more elements of soundness and utility than can be 
 " combined in any other. 
 
 " A circulation composed exclusively of notes issued directly by 
 " the government, or of such notes and coin, is recommended 
 " mainly by two considerations: the first derived from the faci- 
 " lity with which it may be provided in emergencies, and the 
 " second, from its cheapness. 
 
 " The principal objections to such a circulation as a permanent 
 " system are, 1st, the facility of excessive expansion when expen- 
 " ditures exceed revenue ; 2d, the danger of lavish and corrupt 
 " expenditure, stimulated by facility of expansion ; 3d, the dan- 
 " ger of fraud in management and supervision ; 4th, the impossi-
 
 14 
 
 *' bility of providing it in sufficient amounts for the wants of the 
 " people whenever expenditures are reduced to equality with 
 " revenue or below it. 
 
 "These objections are all serious. The last requires some 
 "elucidation. It will be easily understood, however, if it be 
 " considered that a government issuing a credit circulation cannot 
 " supply, in any given period, an amount of currency greater than 
 "the excess of its disbursements over its receipts. To that 
 " amount, it may create a debt in small notes, and these notes 
 " may be used as currency. This is precisely the way in which 
 " the existing currency of United States notes is supplied. That 
 " portion of the expenditure not met by revenue or loans has 
 " been met by the issue of these notes. Debt in this form has 
 " been substituted for various debts in other forms. Whenever, 
 " therefore, the country shall be restored to a healthy normal 
 "condition, and receipts exceed expenditures, the supply of 
 " United States notes will be arrested, and must progressively 
 " diminish. Whatever demand may be made for their redemption 
 " in coin must hasten this diminution ; and there can be no re- 
 " issue ; for reissue, under the conditions, necessarily implies dis- 
 " bursement, and the revenue, upon the supposition, supplies 
 " more than is needed for that purpose. There is, then, no mode 
 " in which a currency in United States notes can be permanently 
 " maintained, except by loans of them, when not required for 
 " disbursement, on deposits of coin, or pledge of securities, or in 
 " some other way. This would convert the treasury into a 
 " government bank, with all its hazards and mischiefs. 
 
 " If these reasonings be sound, little room can remain for doubt 
 " that the evils certain to arise from such a scheme of currency, 
 " if adopted as a permanent system, greatly overbalance the tem- 
 " porary though not inconsiderable 'advantages offered by it. 
 
 " It remains to be considered what results may be reasonably 
 " expected from an act authorizing the organization of banking 
 " associations, such as the Secretary proposed in his last report. 
 
 " The central idea of the proposed measure is the establish- 
 tf ment of one sound, uniform circulation, of equal value through-
 
 15 
 
 -" out the country, upon the foundation of national credit com- 
 *' bined with private capital. 
 
 " Such a currency, it is believed, can be secured through bank- 
 ft ing associations organized under national legislation. 
 
 " It is proposed that these associations be entirely voluntary. 
 " Any persons, desirous of employing real capital in sufficient 
 " amounts, can, if the plan be adopted, unite together under pro- 
 " per articles, and, having contributed the requisite capital, can 
 " invest such part of it, not less than a fixed minimum, in United 
 " States bonds, and, having deposited these bonds with the 
 " proper officer of the United States, can receive United States 
 " notes in such denominations as may be desired, and employ 
 " them as money in discounts and exchanges. The stock- 
 " holders of any existing banks can, in like manner, organize 
 " under the act, and transfer, by such degrees as may be found 
 " convenient, the capital of the old to the use of the new associa- 
 " tions. The notes thus put into circulation will be payable, 
 " until resumption, in United States notes, and, after resumption, 
 " in specie, by the association which issues them, on demand ; 
 " and if not so paid will be redeemable at the treasury of the 
 " United States from the proceeds of the bonds pledged in 
 " security. In the practical working of the plan, if sanctioned 
 " by Congress, redemption at one or more of the great commer* 
 " cial centres, will probably be provided for by all the associations 
 " which circulate the notes, and, in case any association shall fail 
 " in such redemption, the treasurer of the United States will pro- 
 " bably, under discretionary authority, pay the notes, and cancel 
 " the public debt held as security. 
 
 " It seems difficult to conceive of a note circulation which will 
 " combine higher local and general credit than this. After a few 
 ft years no other circulation would be used, nor could the issues 
 " of the national circulation be easily increased beyond the legiti- 
 " mate demands of business. Every dollar of circulation would 
 " represent real capital, actually invested in national stocks, and 
 <e the total amount issued could always be easily and quickly 
 "ascertained from the books of the treasury. These circum-
 
 16 
 
 " stances, if they might not wholly remove the temptation to ex* 
 " cessive issues, would certainly reduce it to the lowest point, 
 " while the form of the notes, the uniformity of devices, the sig- 
 " natures of national officers, and the imprint of the national seal 
 " authenticating the declaration borne on each that it is secured 
 " by bonds which represent the faith and capital of the whole 
 " country, could not fail to make every note as good in any part 
 " of the world as the best known and best esteemed national 
 " securities. 
 
 " The Secretary has already mentioned the support to public 
 " credit which may be expected from the proposed associations. 
 " The importance of this point may excuse some additional ob- 
 "servations. 
 
 " The organization proposed, if sanctioned by Congress, would 
 " require, within a very few years, for deposit as security for cir- 
 " culation, bonds of the United States to an amount not less than 
 " $250,000,000. It may well be expected, indeed, since the 
 " circulation, by uniformity in credit and value, and capacity of 
 " quick and cheap transportation, will be likely to be used more 
 " extensively than any hitherto issued, that the demand for bonds 
 " will overpass this limit. Should Congress see fit to restrict the 
 " privilege of deposit to the bonds known as five-twenties, autho- 
 " rized by the act of last session, the demand would promptly 
 " absorb all of that description already issued and make large 
 " room for more. A steady market for the bonds would thus be 
 " established and the negociation of them greatly facilitated. 
 
 " But it is not in immediate results that the value of this 
 " support would be only or chiefly seen. There are always 
 " holders who desire to sell securities of whatever kind. If 
 " buyers are few or uncertain, the market value must decline. 
 " But the plan proposed would create a constant demand, equal- 
 " ling and often exceeding the supply. Thus a steady uni- 
 " formity in price would be maintained, and generally at a rate 
 " somewhat above those of bonds of equal credit but not avaii- 
 "able to banking associations. It is not easy to appreciate 
 " the full benefits of such conditions to a government obliged to 
 " borrow.
 
 17 
 
 " Another advantage to be derived from such associations 
 " would be found in the convenient agencies which they would 
 "furnish for the deposit of public moneys. 
 
 " The Secretary does not propose to interfere with the indepen- 
 " dent treasury. It may be advantageously retained, with the 
 " assistant treasurers already established in the most important 
 " cities, where the customs may be collected as now, in coin or 
 " treasury notes issued directly by the government, but not fur- 
 " nished to banking associations. 
 
 " But whatever the advantages of such arrangements in the 
 " commercial cities in relation to customs, it seems clear that the 
 " secured national circulation furnished to the banking associations 
 " should be received everywhere for all other dues than customs, 
 " and that these associations will constitute the best and safest 
 "depositaries of the revenues derived from such receipts. The 
 " convenience and utility to the government of their employment 
 "in this capacity, and often, also, as agents for payments and as 
 " distributors of stamps, need no demonstration. The necessity 
 " for some other depositaries than surveyors of ports, receivers, 
 " postmasters, and other officers, of whose responsibility and 
 " fitness, in many cases, nothing satisfactory can be known, is 
 " acknowledged by the provision for selection by the Secretary 
 " contained in the internal revenue act ; and it seems very clear 
 " that the public interest will be secured far more certainly by the 
 " organization and employment of associations organized as pro- 
 " posed than by any official selection. 
 
 "Another and very important advantage of the proposed plan 
 "has already been adverted to. It will reconcile, as far as 
 " practicable, the interests of existing institutions with those of 
 " the whole people. 
 
 " All changes, however important, should be introduced with 
 " caution, and proceeded in with careful regard to every affected 
 " interest. Rash innovation is not less dangerous than stupified 
 "inaction. The time has come when a circulation of United 
 " States notes, in some form, must be employed. The people 
 " demand uniformity in currency, arid claim, at least, part of the 
 
 B
 
 18 
 
 " benefit of debt without interest, made into money, hitherto enjoyed 
 " exclusively by the banks. These demands are just and must be 
 " respected. But there need be no sudden change ; there need 
 " be no hurtful interference with existing interests. As yet the 
 " United States note circulation hardly fills the vacuum caused by 
 " the temporary withdrawal of coin ; it does not, perhaps, fully 
 "meet the demand for increased circulation created by the 
 " increased number, variety, and activity of payments in money. 
 " There is opportunity, therefore, for the wise and beneficial 
 " regulation of its substitution for other circulation. The mode 
 " of substitution, also, may be judiciously adapted to actual 
 "circumstances. The plan suggested consults both purposes. 
 " It contemplates gradual withdrawal of bank note circulation, 
 " and proposes a United States note circulation, furnished to 
 "banking associations, in the advantages of which they may 
 " participate in full proportion to the care and responsibility 
 " assumed and the services performed by them. The promptitude 
 " and zeal with which many of the existing institutions came to 
 " the financial support of the government in the dark days which 
 " followed the outbreak of the rebellion is not forgotten. They 
 " ventured largely, and boldly, and patriotically on the side of the 
 " Union and the constitutional supremacy of the nation over 
 " States and citizens. It does not at all detract from the merit of 
 " the act that the losses, which they feared but unhesitatingly 
 " risked, were transmuted into unexpected gains. It is a solid 
 "recommendation of the suggested plan that it offers the 
 " opportunity to these and kindred institutions to reorganize, 
 " continue their business under the proposed act, and with little 
 " loss and much advantage, participate in maintaining the new 
 " and uniform national currency. 
 
 "The proposed plan is recommended, finally, by the firm 
 " anchorage it will supply to the union of the States. Every 
 " banking association whose bonds are deposited in the treasury 
 " of the Union ; every individual who holds a dollar of the 
 " circulation secured by such deposit ; every merchant, every 
 " manufacturer, every farmer, every mechanic, interested in trans-
 
 19 
 
 " actions dependent for success on the credit of that circulation, 
 " will feel as. an injury every attempt to rend the national unity, 
 " with the permanence and stability of which all their interests 
 " are so closely and vitally connected. Had the system been 
 " possible, and had it actually existed two years ago, can it be 
 " doubted that the national interests and sentiments enlisted by it 
 " for the Union would have so strengthened the motives for adhe- 
 " sion derived from other sources that the wild treason of secession 
 " would have been impossible ? 
 
 " The Secretary does not yield to the phantasy that taxation is 
 " a blessing and debt a benefit ; but it is the duty of public men 
 " to extract good from evil whenever it is possible. The burdens 
 " of taxation may be lightened and even made productive of 
 " incidental benefits by wise, and aggravated and made intolerable 
 " by unwise, legislation. In like manner debt, by no means 
 " desirable in itself, may, when circumstances compel nations to 
 " incur its obligations, be made by discreet use less burdensome, 
 " and even instrumental in the promotion of public and private 
 " security and welfare. 
 
 " The rebellion has brought a great debt upon us. It is pro- 
 " posed to use a part of it in such a way that the sense of its 
 " burden may be lost in the experience of incidental advantages. 
 " The issue of United States notes is such a use ; but if exclusive, 
 " is hazardous and temporary. The security by national bonds of 
 " similar notes furnished to banking associations is such a use, 
 " and is comparatively safe and permanent ; and with this use 
 " may be connected, for the present, and occasionally, as circum- 
 " stances may require, hereafter, the use of the ordinary United 
 " States notes in limited amounts. 
 
 " No very early day will probably witness the reduction of the 
 " public debt to the amount required as a basis for secured 
 " circulation. Should no future wars arrest reduction and again 
 " demand expenditures beyond revenue, that day will, however, at 
 " length come. When it shall arrive the debt may be retained on 
 " low interest at that amount, or some other security for circula- 
 " tion may be devised, or, possibly, the vast supplies of our rich
 
 so 
 
 * ' mines may render all circulation unadvisable except gold and 
 " the absolute representatives and equivalents, dollar for dollar, of 
 " gold in the treasury or on safe deposit elsewhere. But these 
 " considerations may be for another generation. 
 
 " The Secretary forbears extended argument on the constitu- 
 " tionality of the suggested system. It is proposed as an auxiliary 
 " to the power to borrow money ; as an agency of the power to 
 t( collect and disburse taxes ; and as an exercise of the power to 
 " regulate commerce, and of the power to regulate the value of 
 " coin. Of the two first sources of power nothing need be said. 
 " The argument relating to them was long since exhausted and is 
 " well known. Of the other two there is not room, nor does it 
 "seem needful to say much. If Congress can prescribe the 
 " structure, equipment, and management of vessels to navigate 
 " rivers flowing between or through different States as a regula- 
 " tion of commerce, Congress may assuredly determine what cur- 
 " rency shall be employed in the interchange of their commodi- 
 " ties, which is the very essence of commerce. Statesmen who 
 " have agreed in h'ttle else have concurred in the opinion that the 
 " power to regulate coin is, in substance and effect, a power to 
 " regulate currency, and that the framers of the Constitution so 
 " intended. It may well enough be admitted that while Congress 
 " confines its regulation to weight, fineness, shape, and device, 
 " banks and individuals may issue notes for currency in competi- 
 " tion with coin. But it is difficult to conceive by what process 
 " of logic the unquestioned power to regulate coin can be sepa- 
 " rated from the power to maintain or restore its circulation, by 
 "excluding from currency all private or corporate substitutes 
 " which affect its value, whenever Congress shall see fit to exer- 
 " cise that power for that pnrpose. 
 
 " The recommendations, now submitted, of the limited issue of 
 " United States notes as a wise expedient for the present time, 
 "and as an occasional expedient for future times, and of the or- 
 " ganization of banking associations to supply circulation secured 
 " by national bonds and convertible always into United States 
 " notes, and after resumption of specie payments, into coin, are
 
 21 
 
 " prompted by no favour to excessive issues of any description of 
 " credit money. 
 
 *' On the contrary, it is the Secretary's firm belief that by no 
 " other path can the resumption of specie payments be so surely 
 " reached and so certainly maintained. United States notes re- 
 " ceivable for bonds bearing a secure specie interest are next best 
 te to notes convertible into coin. The circulation of banking as- 
 "sociations organized under a general act of Congress, secured by 
 " such bonds, can be most surely and safely maintained at the 
 " point of certain convertibility into coin. If, temporarily, these 
 " associations redeem their issues with United States notes, re- 
 " sumption of specie payments will not thereby be delayed or 
 " endangered, but hastened and secured ; for, just as soon as vic- 
 " tory shall restore peace, the ample revenue, already secured by 
 "wise legislation, will enable the government, through advan- 
 " tageous purchases of specie, to replace at once large amountsj 
 11 and, at no distant day, the whole, of this circulation by coin, 
 " without detriment to any interest, but, on the contrary, with 
 " great and manifest benefit to all interests. 
 
 " The Secretary recommends, therefore, no mere paper money 
 " scheme, but, on the contrary, a series of measures looking to a 
 " safe and gradual return to gold and silver as the only perma- 
 " nent basis, standard, and measure of values recognized by the 
 " Constitution between which and an irredeemable paper cur- 
 " rency, as he believes, the choice is now to be made." 
 
 Congress, however, was still unwilling- to adopt 
 the recommendations of the Secretary, until the 
 necessity was demonstrated by the course of events. 
 On reference to the laws, which are printed in the 
 Appendix, it will be found, that the great features 
 of the system of the Secretary were as follows : 
 
 1. A loan to the Government upon its bonds re- 
 imbursable in twenty years, but redeemable after
 
 22 
 
 five years, at the option of the nation, the interest 
 being six per cent, payable semi-annually in coin, 
 as is also the principal. 
 
 2. The issue of U. S. legal tender notes, receiv- 
 able for all dues to the nation except customs, and 
 fundable in this U. S. 5.20 six per cent, stock. 
 
 3. The authorization of the banks recommended 
 in his report, whose circulation would be secured 
 not only by private capital, but by adequate deposits 
 of U. S. stock with the Government. 
 
 4. To maintain, in the meantime, as near to specie 
 as practicable, this Federal Currency, 1st, by mak- 
 ing* it receivable in all dues to the Government 
 except for customs ; 2nd, by the privilege of 
 funding it in United States stock; 3rd, by en- 
 hancing the benefit of this privilege, not only by 
 making the stock, both principal and interest, pay- 
 able in specie, but by making it gradually the 
 ultimate basis of our whole bank circulation, which 
 as shown by the Census Tables before referred to, 
 (including deposits) nearly doubles every decade. 
 
 5. By imposing such a tax on the circulation of 
 the State banks, as together with state or municipal 
 taxes, would induce them to transfer their capital to 
 the new banks proposed by the Secretary. 
 
 6. To relieve the new banks from all state or 
 municipal taxation. 
 
 7. In lieu thereof, to impose a moderate Federal 
 tax on all bank circulation, as a bonus to be paid 
 cheerfully by these banks for the great privilege of
 
 23 
 
 furnishing 1 ultimately the whole paper currency of 
 the country, and the other advantages secured by 
 these bills. 
 
 This tax, as proposed by the Secretary, was one 
 per cent, semi-annually, which in effect would have 
 reduced the interest on our principal loans from six 
 to four per cent, per annum, so far as those loans 
 were made the basis of bank circulation. Congress, 
 however, fixed this tax at about one half, thus mak- 
 ing 1 the interest on such loans equivalent in fact to 
 five per cent, per annum, so far as such loans, at the 
 option of the holder, are made the basis of banking 1 
 and of bank circulation. This is a privilege which 
 gives great additional value to these loans, for the 
 right to issue the bank paper circulation of the 
 country free from state or municipal taxes, is worth 
 far more than one-half per cent, semi-annually, to be 
 paid on such circulation. That this privilege is 
 worth more than the Federal tax, is proved by the 
 fact, that many banks are already being organized 
 under this system, and by the further fact, that more 
 than $200,000,000 of legal tenders have already 
 been funded in this stock, and the process continues 
 at the rate of from one to two millions of dollars 
 a day. It will be observed, that the holders of such 
 bonds can keep them, if they please, disconnected 
 with all banks, receiving the principal at maturity, 
 as well as the semi-annual interest, in gold, free 
 from all taxes. 
 
 This system has been attended with complete
 
 24 
 
 success, and, notwithstanding 1 the increase of our 
 debt ; the premium on gold; for our Federal currency, 
 fundable in this stock, has fallen from 73 per cent, 
 in February last, before the adoption of Mr. Chase's 
 system, to 27 per cent, at present; and before the 
 30th of June next, it is not doubted that this pre- 
 mium must disappear. No loyal American doubts 
 the complete suppression of the rebellion before that 
 date, in which event, our Federal currency will 
 rise at once to the par of gold. In the meantime, 
 however, gold is at a premium of 27 per cent., which 
 is the least profit (independent of future advance 
 above par) so soon to be realized by those purchas- 
 ing this currency now, and waiting its appreciation, 
 or investing it in our TJ. S. 5.20 six per cent, stock. 
 
 But, besides the financial benefits to the Govern- 
 ment of Mr. Chase's system, its other advantages 
 are great indeed. It will ultimately displace our 
 whole state bank system and circulation, and give 
 us a national currency, based on ample private 
 capital and Federal stocks, a currency of uniform 
 value throughout the country, and always certainly 
 convertible on demand into coin. Besides, by dis- 
 placing the state bank circulation, the whole bank 
 note currency of the Union will be based on the 
 stocks of the Government, and give to every citizen 
 who holds the bonds or the currency, (which will 
 embrace the whole community in every State) a 
 direct interest in the maintenance of the Union. 
 
 The annual losses which our people sustain under
 
 25 
 
 the separate State bank system, in the rate of ex- 
 change, is enormous, whilst the constant and ever- 
 recurring- insolvency of so many of these institutions, 
 accompanied by eig-ht g-eneral bank suspensions of 
 specie payment, have from time to time spread ruin 
 and devastation throughout the country. I believe 
 that, in a period of twenty years, the saving* to the 
 people of the United States, by the substitution of 
 the new system, would reach a sum very nearly 
 approaching 1 the total amount of our public debt, 
 and in time largely exceeding- it. As a question, 
 then, of national wealth, as well as national unity, 
 I believe the gain to the country in time by the 
 adoption of the new system, will far exceed the cost 
 of the war. It was the State bank system in the 
 rebel States that furnished to Secession mainly the 
 sinews of war. These banks are now generally 
 insolvent, but, if the banking- system now proposed 
 had been in existence, and the circulating' medium 
 in all the States had been an uniform national 
 currency based entirely on the stocks of the United 
 States, the rebellion could never have occurred. 
 Every bank and all its stockholders, and all the 
 holders of the stock and notes of all the banks, em- 
 bracing- our whole paper currency, would have been 
 united to the Government by an interest so direct 
 and universal, that rebellion would have been im- 
 possible. Hamilton and Madison, Story and 
 Marshall, and the Supreme Court of the United 
 States, have declared that to the Federal Govern- 
 
 c
 
 26 
 
 ment belongs the " entire regulation of the currency 
 of the country." That power they have now exer- 
 cised in the adoption of the system recommended 
 by the Secretary. Our whole currency, in coin as 
 well as paper, will soon, now, all be national, which is 
 the most important measure for the security and 
 perpetuity of the Union, and the welfare of the 
 people, ever adopted by Congress. It is to Congress 
 that the Constitution grants the exclusive power " to 
 regulate commerce with foreig'n nations and among 
 the States ;" and a sound uniform currency, in coin ; 
 or convertible on demand into coin, is one of the 
 most essentiarinstrumentalities connected with trade 
 and exchanges. 
 
 Having given in the Appendix the three great 
 Acts of Congress canning into effect the system of 
 the Secretary, marked J, 2, 3, I shall, after these 
 preliminary remarks, proceed with the discussion 
 of the subject in my next letter. 
 
 K. J. WALKER.
 
 APPENDIX, 
 
 NATIONAL CUREENCY ACT. 
 
 No. I. 
 
 AN ACT 
 
 TOP ROVIDE A NATIONAL CURRENCY, SECURED BY A PLEDGE 
 OF UNITED STATES STOCKS, AND TO PROVIDE FOR THE CIR- 
 CULATION AND REDEMPTION THEREOF. 
 
 Be it enacted ~by the Senate and Souse of Representatives Currency 
 of the United States of America in Congress assembled, Bureau 
 that there shall be established in the Treasury Department a established. 
 separate bureau, which shall be charged with the execution of 
 this and all other laws that may be passed by Congress respect- 
 ing the issue and regulation of a national currency secured by 
 United States bonds. The chief officer of the said bureau 
 shall be denominated the Comptroller of the Currency, and Comptroller 
 shall be under the general direction of the Secretary of the of the Currency, 
 Treasury. He shall be appointed by the President, on the 
 nomination of the Secretary of the Treasury, by and with the 
 advice and consent of the Senate, and shall hold his office for 
 the term of five years unless sooner removed by the President, 
 by and with the advice and consent of the Senate ; he shall 
 receive an annual salary of five thousand dollars; he shall 
 have a competent deputy, appointed by the Secretary, whose Deputy 
 salary shall be two thousand five hundred dollars, and who Comptroller 
 shall possess the power and perform the duties attached by 
 law to the office of Comptroller during a vacancy in such office 
 and during his absence or inability ; he shall employ, from 
 time to time, the necessary clerks to discharge such duties as Clerks, 
 he shall direct, which clerks shall be appointed and classified 
 by the Secretary of the Treasury in the manner now provided 
 by law. Within fifteen days from the time of notice of his 
 appointment the Comptroller shall take and subscribe the oath 
 of office prescribed by the Constitution and laws of the United Oath and 
 States; and he shall give to the United States a bond in the bond of 
 penalty of one hundred thousand dollars, with not less than Comptroller, 
 two responsible freeholders as sureties, to be approved by the 
 Secretary of the Treasury, conditioned for the faithful dis- 
 charge of the duties of his office. The Deputy Comptroller Oath and 
 so appointed shall also take the oath of office prescribed by bondofDeputy. 
 the Constitution and laws of the United States, and shall give 
 a like bond in the penalty of fifty thousand dollars. The 
 
 c 2
 
 bidden. *' Comptroller and Deputy Comptroller shall not, either directly 
 or indirectly, be interested in any association issuing national 
 currency under the provisions of this act. 
 
 Seal of bureau. gEC ^ ^^ fo it j> urther enacte ^ That the Comptroller of 
 the Currency, with the approval of the Secretary of the Trea- 
 sury, shall devise a seal, with suitable inscriptions, for his 
 office, a description of which, with a certificate of approval by 
 the Secretary of the Treasury, shall be filed in the office of 
 the Secretary of State with an impression thereof, which shall 
 thereupon become the seal of office of the Comptroller of the 
 Sealed instru- Currency, and the same may be renewed when necessary. 
 
 ments evidence Every certificate, assignment, and conveyance executed by the 
 Comptroller, in pursuance of any authority conferred on him 
 by law, and sealed with his seal of office, shall be received in 
 evidence in all places and courts whatsoever ; and all copies of 
 papers in the office of the Comptroller, certified by him and 
 authenticated by the said seal, shall in all cases be evidence 
 Impression equally and in like manner as the original. An impression of 
 
 of seal. such seal directly on the paper shall be as valid as if made 
 
 on wax or wafer. 
 Office for the SEC. 3. And be it further enacted, That there shall be as- 
 
 tieaTur "' ** signed to the Com P troller of <* e Currency by the Secretary of 
 Treasury suitable rooms in the Treasury building for conduct- 
 ing the business of the Currency Bureau, in which shall be 
 safe and secure fire proof Vaults, in which it shall be the duty 
 of the Comptroller to deposit and safely keep all the plates 
 and other valuable things belonging to his department ; and the 
 Comptroller shall from time to time furnish the necessary fur- 
 niture, stationery, fuel, lights, and other proper conveniences 
 for the transaction of the said business. 
 
 U. 8. bonds SEC. 4. And be it further enacted, That the term " United 
 denned. States bonds," as used in this act, shall be construed to mean 
 
 all coupon and registered bonds now issued, or that may here- 
 after be issued, on the faith of the United States by the Secre- 
 tary of the Treasury in pursuance of law. 
 
 Associates SEC. 5. And be it further enacted, That associations for 
 not K-*s thnn carrv i n g on the business of banking may be formed by any 
 
 number of persons, not less in any case than five. 
 Preliminary ec fi ^ nd j je ^ farther enacted, That persons uniting to 
 
 certificate re- /. , , j ,, i j i , 
 
 quired, and * orrn sucn an association shall, under their hands and seals, 
 what to contain, make a certificate which shall specify 
 Name. First. The name assumed by such association. 
 
 Place of busi- Second. The place where its operations of discount and 
 ness. deposits are to be carried on ; designating the State, Ter- 
 
 ritory, or district, and also the particular city, town, or 
 village.
 
 Third. The amount of its capital stock, and the number of Capital stock, 
 shares into which the same shall be divided ; which capital 
 stock shall not be less than fifty thousand dollars ; and in 
 cities whose population is over ten thousand persons, the 
 capital stock shall not be less than one hundred thousand 
 dollars. 
 
 Fourth. The names and places of residence of the share- Names, &c. of 
 holders, and the number of shares held by each of them. shareholders. 
 
 Filth. The time when such association shall commence. 
 
 Sixth. A declaration that said certificate is made to enable General de- 
 such persons to avail themselves of the advantages of this act. claration ' 
 
 The said certificate shall be acknowledged before a judge of Certificate to 
 some court of record or a notary public, and the ackuowledg- be ^ c now ~ 
 ment thereof, certified under the seal of such court or notary, 
 and shall be transmitted, together with a copy of the articles 
 of association which shall have been adopted, to the Comp- 
 troller of the Currency, who shall record and carefully preserve 
 the same in his office. Copies of such certificate, duly certified Certified 
 by the Comptroller, and authenticated by his seal of office, copies to be 
 shall be legal and sufficient evidence in all courts and places evidence ' 
 within the United States, or the jurisdiction of the government 
 thereof, of the existence of such association, and of every other 
 matter or thing which could be proved by the production of 
 the original certificate. 
 
 SEC. 7. And be it further enacted, That at least thirty per How capital 
 centum of the capital stock of such association shall be paid 8to .^ k . must be 
 in at the time of the commencement of its banking business, P 
 and the remainder of the capital stock of such association shall 
 be paid in instalments of at least ten per centum each on the 
 whole amount to which the association shall be limited, as fre- 
 quently as one instalment at the end of each succeeding two 
 months from the time of the commencement of its banking 
 operations, until the whole of the capital stock shall be paid in. 
 
 SEC. 8. And le it further enacted, That if any shareholder, Proceedings 
 or his assignee, shall fail to pay any instalment on the stock a g ainst delm- 
 when the same is required by the foregoing section to be paid, 2okU;r8 & 
 the directors of such association may sell the stock held by 
 such delinquent shareholder, at public auction, having given 
 three weeks' previous notice thereof in a newspaper published 
 and of general circulation in the city where the association is 
 located, if the same be located in a city, and if not so located, 
 then in a newspaper printed, or of general circulation, in the 
 county where the same is located, to any person who will pay 
 the highest price therefor, and not less than the amount then 
 due thereon, with the expenses of advertisement and sale ; and 
 the excess, if any, shall be paid to the delinquent shareholder.
 
 If iio bidder can be found who will pay for such stock the 
 amount due thereon to the association, and the costs of adver- 
 tisement and sale, the amount previously paid shall be forfeited 
 to the association, and such stock may subsequently be sold as 
 the directors may order. 
 
 Comptroller SEC. 9. And le it further enacted, That whenever a certifi- 
 to be notified cate sna il nave ^ een transmitted to the Comptroller of the 
 stock'paiTin Currency, as provided in this act, and the association trans- 
 mitting the same shall notify the Comptroller that at least 
 thirty per centum of its capital stock has been paid as afore- 
 said, and that such association has complied with all the pro- 
 visions of this act required to be complied with before such 
 association shall be authorized to commence the business of 
 banking, and that such association is desirous of commencing 
 
 Proceedings such business, the Comptroller shall immediately proceed, in 
 of Comptroller sucn ma nner as he shall by general rules prescribe, to examine 
 lpt f tne condition of such association; to ascertain especially the 
 amount of money paid in on account of its, capital stock ; the 
 name and place of residence of each of the directors of such 
 association, and the amount of the capital stock of which each 
 is the bonafide owner, and generally whether such association 
 has complied with all the requirements of this act to entitle it 
 to engage in the business of banking ; and shall cause to be 
 made, and attested by the oaths of a majority of the directors 
 and by the president or cashier of such association, a statement 
 of all the facts necessary to enable the Comptroller to deter- 
 mine whether such association is lawfully entitled to commence 
 the business of banking under this act. 
 
 Proceedings SEC. 10. And be it further enacted, That if, upon a careful 
 continued. examination of the facts so reported, and of any other facts 
 which may come to the knowledge of the Comptroller, whether 
 by means of a special commission appointed by him for the 
 purpose of inquiring into the condition of such association, or 
 otherwise, it shall appear that such association is lawfully 
 
 Certificate of entitled to commence the business of banking, the Comptroller 
 authority to s hall give to such association a certificate under his hand and 
 official seal, showing that such association has complied with 
 all the provisions of this act required to be complied with before 
 being entitled to commence the business of banking under it, 
 and that such association is authorised to commence said busi- 
 Publication ness accordingly ; and it shall be the duty of such association 
 of certificate, to cause said certificate to be published in some newspaper, 
 published in the city or county where such association is lo- 
 cated for at least sixty days next after the issuing thereof: 
 Provided, That if no newspaper is published in such city or 
 county, such certificate shall be published as the Comptroller 
 of the Currency shall direct.
 
 SEC. 11. And be it further enacted, That every association Corporateor- 
 formed pursuant to the provisions of this act may make and gradation and 
 use a common seal, and shall have successsion by the name hrmtatlon - 
 designated in its articles of association and for the period 
 limited therein, not, however, exceeding twenty years from the 
 passage of this act ; by such name may make contracts, sue 
 and be sued, complain and defend in any court of law or equity 
 as fully as natural persons, and may make by-laws, approved 
 by the Comptroller of the Currency, not inconsistent with the 
 laws of the United States or the provisions of this act, for the 
 election of directors, the management of its property, the re- 
 gulation of its affairs, and for the transfer of its stock ; and 
 shall have power to carry on the business of banking by ob- 
 taining and issuing circulating notes in accordance with the Banking pri- 
 provisions of this act ; by discounting bills, notes, and other vileges confer- 
 evidences of debt ; by receiving deposits ; by buying and selling red< 
 gold and silver bullion, foreign coins, and bills of exchange ; by 
 loaning money on real and personal security in the manner 
 specified in their articles of association for the purposes author- 
 ized by this act, and by exercising such incidental powers as 
 shall be necessary to carry on such business ; to choose one of Officers, 
 their number as president of such association, and to appoint 
 a cashier and such other officers and agents as their business 
 may require ; and to remove such president, cashier, officers, 
 and agents at pleasure, and appoint others in their place ; and 
 their usual business shall be transacted in banking offices ne ^ 
 located at the places specified respectively in its certificate of n< 
 association, and not elsewhere. 
 
 SEC. 12. And be it further enacted, That the shares of as- Shares per- 
 sociations formed under this act shall be deemed personal 80nal property, 
 
 property, and shall be transferable on the books of the asso- J nd l ow tran8 " 
 
 i i i i i t -i lerreu. 
 
 elation in such manner as may be prescribed in the by-laws or 
 
 articles of association ; and every person becoming a share- 
 holder by such transfer shall, in proportion to his shares, 
 succeed to all the rights and liabilities of the prior holder of J* bt * . f 
 such shares ; and no change shall be made in the articles of l $ ( l 
 association by which the rights, remedies, or security of the 
 existing creditors of the association shall be impaired. For individual 
 all debts contracted by such association for circulation, deposit, lubilitit* " of 
 or otherwise, each shareholder shall be liable to the amount, shareholders, 
 at their par value, of the shares held by him in addition to 
 the amount invested in such shares. 
 
 SEC. 13. And be it further enacted, That it shall be lawful Capital stock, 
 for any association formed under this act, by its articles of h w inci eased, 
 association, to provide for an increase of its capital from time 
 to time as may be deemed expedient, subject to the limitations
 
 of this act ; but no such increase shall be valid until the in- 
 creased capital shall be paid in and notice thereof shall have 
 been transmitted to the Comptroller of the Currency, and his 
 certificate obtained specifying the amount of such increase of 
 capital stock, and that the same has been duly paid to such 
 association. 
 
 What real SEC. 14. And le it further enacted, That it shall be lawful 
 estate mny be f or anv sucn association to purchase, hold, and convey real 
 estate as follows: 
 
 First. Such as shall be necessary for its immediate accom- 
 modation in the transaction of its business. 
 
 Second. Such as shall be mortgaged to it in good faith by 
 way of security for loans made by such association, or for moneys 
 due thereto. 
 
 Third. Such as shall be conveyed to it in satisfaction of 
 debts previously contracted in the course of its dealings. 
 
 Fourth. Such as it shall purchase at sales under judgments, 
 decrees, or mortgages held by such association. 
 
 Such association shall not purchase or hold real estate in 
 any other case or for any other purpose than as specified in 
 this section. 
 
 U. S. bonds SEC. 15. And le it further enacted, That every association, 
 to be deposited. a f ter h av j n g complied with the provisions of this act prelimi- 
 nary to the commencement of banking business under its pro- 
 visions, shall transfer and deliver to the Treasurer of the United 
 States any United States bonds bearing interest, to an amount 
 not less than one third of the capital stock paid in, which bonds 
 shall be deposited with the Treasurer of the United States, 
 and by him safely kept in his office until the same shall be 
 otherwise disposed of, in pursuance of the provisions of this 
 act. 
 
 Notes forcir- SEC; 16. And be it further enacted, That upon the making 
 culation, of any such transfer and delivery, the association making the 
 
 same shall be entitled to receive from the Comptroller of the 
 Currency circulating notes of different denominations, in blank 
 Ninety per registered and countersigned as hereinafter provided, equal in 
 cent of bonds amount to ninety per centum of the current market value of 
 deposited. the United States bonds so transferred and delivered, but not 
 exceeding the par value thereof, if bearing interest at the rate 
 of six per centum, or of equivalent United States bonds bear- 
 ing a less rate of interest ; and at no time shall the total amount 
 of such notes, issued to any such association, exceed the amount 
 at such time actually paid in of its capital stock. 
 
 Limitation of SEC. 17. And be it further enacted, That the entire 
 notes supplied amount of circulating notes to be issued under this act shall 
 to 300,000,000 not cxcee( j ( nree hundred millions of dollars. One hundred 
 
 dollars.
 
 and fifty millions of which sum shall he apportioned to asso- 
 ciations in the States, in the District of Columbia, and in the 
 Territories, according to representative population, and the 
 remainder shall be apportioned by the Secretary of the Trea- Apportion- 
 sury among associations formed in the several States in the ment of notes - 
 District of Columbia and in the Territories, having due regard 
 to the existing banking capital, resources, and business, of such 
 States, District and Territories. 
 
 SEC. 18. And be it further enacted, That, in order to fur- Comptroller 
 nish suitable notes for circulation, the Comptroller of the to prepare and 
 Currency is hereby authorized and required, under the direc- furnl 
 tion of the Secretary of the Treasury, to cause plates to be 
 engraved, in the best manner to guard against counterfeiting 
 and fraudulent alterations, and to have printed therefrom and 
 numbered, such quantity of circulating notes, in blank, of the 
 denominations of five dollars, ten dollars, twenty dollars^ fifty Denomina- 
 dollars, one hundred dollars, five hundred dollars, and one tions defined, 
 thousand dollars, as may be required to supply, under this 
 act, the associations entitled to receive the same ; which notes 
 shall express upon their face that they are secured by United 
 States bonds, deposited with the Treasurer of the United States 
 and issued under the provisions of this act, which statement 
 shall be attested by the written or engraved signatures of the 
 Treasurer and Register, and by the imprint of the seal of the 
 treasury ; and shall also express upon their face the promise 
 of the association receiving the same, to pay on demand, 
 attested by the signatures of the president or vice-president Signature of 
 and cashier ; and the said notes shall bear such devices and president and 
 such other statements, and shall be in such form, as the cash ier. 
 Secretary of the Treasury shall, by regulation, direct. 
 
 SEC. 19. And be it further enacted, That the plates and Care and con- 
 special dies to be procured by the Comptroller of the Currency jjjj ^ p s 
 for the printing of such circulating notes shall remain under 
 his control and direction, and the expenses necessarily incurred 
 in executing the provisions of this act respecting the procuring 
 of such notes, shall be audited and paid as contingent expenses Expenses, 
 of the Treasury Department ; and for the purpose of reim- how P aid - 
 bursing the same, and all other expenses incurred under this 
 act, and in lieu of all taxes upon the circulation authorized by 
 this act,* or upon the bonds deposited for the security of the 
 same, such association organized under this act shall semi- 
 annually, on the first days of January and July, after its 
 organization, pay to the Comptroller of the Currency, in lawful 
 money of the United States, one per centum on the amount of 
 
 * Modified by section 7 of the " Act to provide ways and means for the 
 support of the government," approved March 3, 1863, which section is 
 printed for convenience of rtfcrence at the end of this act. See page 33.
 
 8 
 
 circulating notes received by such association, and in default 
 thereof the Treasurer of the United States is hereby authorized 
 to reserve and retain one per centum on the amount of said 
 bonds so deposited, at each semi-annual payment of interest 
 thereon ; and all sums so reserved and retained shall be paid 
 into the treasury under the direction of the Secretary, and 
 Returns of every bank, banking association, or corporation not organized 
 banks not or- under the provisions of this act, issuing notes calculated or in- 
 ganized under tended to circulate as money, shall, on the first day of July 
 t is act. next, and regularly on the first days of January and July 
 
 thereafter, make and deliver to the Comptroller of the Cur- 
 rency a true aiid accurate return of the gross amount of notes 
 Penalty for issued by it, whether in circulation, or in its vaults, or on 
 default. deposit elsewhere ; and in default of any such return, the bank, 
 
 banking association, or corporation so failing to make return, 
 shall pay to the United States a penalty of two per centum 
 upon its entire capital stock, to be recovered, for the use of the 
 United States, in any court of competent jurisdiction. 
 
 Associations SEC. 20. And be it further enacted, That after any such 
 authorized to association shall have caused its promise to pay such notes on 
 issue these demand to be signed by the president or vice-president and 
 cashier thereof, in such manner as to make them obligatory 
 promissory notes, payable on demand, at its place of business, 
 such association is hereby authorized to issue and circulate the 
 Notes to be same as money ; and the same shall be received at par in all 
 received for all parts of the United States in payment of taxes, excise, public 
 U.S. dues, ex-i an j S) ari( j a u ot h er a ues to the United States, except for 
 cept imports. dutieg on i mports . an( j a ] so f or a n salaries and other debts 
 and demands owing by the United States to individuals, cor- 
 porations, and associations within the United States, except 
 Issue of other interest on public debt; and no such association shall issue 
 notes forbidden. p Ogt notes or an y other notes to circulate as money than 
 such as are authorized by the foregoing provisions of this 
 act. 
 Transfers of SEC< 2 1. And be it further enacted, That all transfers 
 
 cTafons; Tow f the United States bonds which sha11 be made b 7 an 7 asso ' 
 made. ' ciation as security for circulating notes under the provisions of 
 
 this act, shall be made to the Treasurer of the United States, 
 with a memorandm written or printed on the certificate of such 
 bonds, and s'gned by the, cashier or some other officer of the 
 association making the deposit, stating that it is held in trust 
 for the association on whose behalf such transfer is made, and 
 as security for the redemption and payment of the circulating 
 notes delivered to such association ; and no transfer of any 
 No transfer sucn bonds by the Treasurer shall be deemed valid, or of 
 by Treasurer binding force and eifect, unless sanctioned by the order or re- 
 valid except, quest of the Comptroller of the Currency upon the Treasurer.
 
 9 
 
 It shall be the duty of the Comptroller of the Currency to Duties of 
 
 keep in his office a book in which shall be entered the name rjjfjjjj^ 
 
 of every association from whose accounts such transfer of 
 
 bonds is made by the Treasurer, and the name of the party to 
 
 whom such transfer is made, unless such transfer is made in 
 
 blank, in which case the fact shall be stated in said book, 
 
 and in either case the par value of the bonds so transferred 
 
 shall be entered therein; and it shall be the duty of the Association! 
 
 Comptroller, immediately upon countersigning and entering to be advisee 
 
 the same, to advise by mail the association from whose account J^ji^ 6 Comi) 
 
 such transfer was made, the kind of bonds and the amount 
 
 thereof so transferred. 
 
 SEC. 22. An d be it further enacted, That it shall be the Duties of 
 duty of the Comptroller of the Currency to countersign 
 and enter in the book, in the manner aforesaid, every transfer O f bonds, 
 or assignment of any bonds held by the Treasurer presented 
 for his signature ; and the Comptroller shall have at all times 
 during office hours access to the books of the Treasurer, for 
 the purpose of ascertaining the correctness of the transfer or 
 assignment presented to him to countersign ; and the Treasurer 
 shall have the like access to the book above mentioned, kept 
 by the Comptroller, during office hours, to ascertain the cor- 
 rectness of the entries in the same. 
 
 SEC. 23. And be it further enacted, That it shall be the Periodical 
 duty of either the president or cashier of every banking asso- 
 ciation having stocks deposited in the office of the Treasurer 
 of the United States, once or more in each fiscal year, and at 
 such time or times during the ordinary business hours as said 
 officer or officers may select, to examine and compare the bonds 
 so pledged with the books of said department, and, if found 
 correct, to execute to the said Treasurer a certificate setting 
 forth the different kinds and the amounts thereof, and that 
 the same are in the possession and custody of the Treasurer 
 at the date of such certificate. Such examination may be Examinatio 
 made by an agent of such association, duly appointed in writ- by agent, 
 ing for that purpose, whose certificate before mentioned shall 
 be of like force and validity as if executed by such president 
 or cashier. 
 
 SEC. 24. And be it further enacted, That every association Verified 
 issuing circulating notes under the provisions of this act shall q imrteriy re " 
 make a quarterly report to the Comptroller of the Currency, p ' 
 commencing on the first day of the quarter of the year next 
 succeeding the organization of such association, and continu- 
 ing on the first days of each succeeding quarter in every year 
 thereafter, which report shall be verified by the oath or affir- 
 mation of the president and cashier, and all wilful false swear- False state 
 ing in respect to such report shall be perjury, and subject to uis perjury
 
 10 
 
 Form and the punishment prescribed hy law for such offence. The 
 contents of re- report h ere b y required shall be in the form prescribed by the 
 Comptroller, and shall contain a true statement of the condi- 
 tion of the association making such report, before the transac- 
 tion of any business on the morning of the day specified, 
 next preceding the date of such report, in respect of the fol- 
 lowing items and particulars, to wit : Loans and discounts, 
 overdrafts due from banks, amount due from the directors of 
 the association, real estate, specie, cash items, stocks, bonds, 
 and promissory notes, bills of solvent banks, bills of suspended 
 banks, loss and expense accounts, capital, circulation, profits, 
 amount due to banks, amount due to individuals and corpora- 
 tions other than banks, amount due the Treasurer of the 
 United States, amount due to depositors on demand, amount 
 due not included under either of the above beads. And it 
 Comptroller s ^ a ^ ^ e ^ e ^ ut ^ ^ ^ e Comptroller to publish full abstracts 
 to publish ab- f sucn reports together in two newspapers, to be designated 
 stracts. by him for that purpose one in the city of Washington and 
 
 the other in the city of New York exhibiting the items of 
 capital, circulation, and deposits, specie, and cash items, pub- 
 Association ^ c securities an d private securities ; and the separate report of 
 to publish re- eacn association shall be published in a newspaper published in 
 ports. the place where such association is established, or, if there be 
 
 no newspaper at such place, then in a newspaper published at 
 the capital of the State, at the expense of the association mak- 
 ing such report. In addition to the quarterly reports required 
 Certain asso- by this section, every association located and doing business 
 ciationa to re- i n the cities of Boston, Providence, New York, Philadelphia, 
 Elder o^h^ Baltimore , Cincinnati, Chicago, St. Louis, and New Orleans, 
 shall publish, or cause to be published, on the morning of the 
 first Tuesday in each month, in a newspaper printed in the 
 city in which the association making such report is located, 
 to be designated by the Comptroller of the Currency, a state- 
 ment, under the oath of the president or cashier, showing the 
 condition of the association making such statement, on the 
 morning of the day next preceding the date of such statement, 
 in respect to the following items and particulars, to wit ; 
 average amount of loans and discounts, specie, deposits, and 
 circulation. 
 
 Protest of SEC. 25. And be if further enacted, That if any such asso- 
 notes and pro- c i a tion shall, at any time fail to redeem, in the lawful money 
 ceedmgs t e- of t ^ e United States, any of its circulating notes, when pay- 
 ment thereof shall be lawfully demanded, during the usual 
 hours of business, at the office of such association, the holder 
 may cause the same to be protested, in one package, by a 
 notary public, unless the president or cashier of the association 
 shall offer to waive demand and notice of the protest, and
 
 11 
 
 shall, in pursuance of such offer, make, sign, and deliver to 
 the party making such demand, an admission in writing, stat- 
 ing the time of the demand, the amount demanded, and the 
 fact of the non-payment thereof ; and such notary public, on 
 making such protest, or upon receiving such admission, shall 
 forthwith forward such admission or notice of protest to the 
 Comptroller of the Currency ; and after such default it shall 
 not be lawful for the association suffering the same, to pay Duties of as- 
 out any of its notes, discount any notes or bills, or otherwise sociation upon 
 prosecute the business of banking, except to receive and safely suspension. 
 keep money belonging to it, and to deliver special deposits : 
 Provided, 'however, That if satisfactory proof be produced to 
 such notary public that the payment of any such notes is re- 
 strained by order of any court of competent jurisdiction, such 
 notary public shall not protest the same ; and when the 
 holder of such notes shall cause more than one note or pack- 
 age to be protested, on the same day, he shall not receive pay 
 for more than one protest. 
 
 SEC. 26. And le it further enacted, That on receiving Proceedings 
 notice that any such association has failed to redeem any of of Comptroller 
 its circulating notes, as specified in the next preceding section, u j|^" t otl< 
 the Comptroller of the Currency, with the concurrence of the 
 Secretary of the Treasury, may appoint a special agent, (of . . 
 whose appointment immediate notice shall be given to such 
 association,) who shall immediately proceed to ascertain 
 whether such association has refused to pay its circulating 
 notes, in the lawful money of the United States, when de- 
 manded as aforesaid, and report to the Comptroller the facts 
 so ascertained ; and if, from such protest or the report so 
 made, the Comptroller shall be satisfied that such Association 
 has refused to pay its circulating notes as aforesaid, and is in 
 default, he shall, within thirty days after he shall have received 
 notice of such failure, declare the United States bonds and 
 securities pledged by such association forfeited to the United 
 States, and the same shall thereupon be forfeited accordingly ; 
 and thereupon the Comptroller shall immediately give notice 
 is such manner as the Secretary of the Treasury shall, by Notes of as- 
 general rules or otherwise, direct, to the holders of the circu- soci ation paid 
 lating notes of such association to present them for payment ^ g t 
 at the Treasury of the United States, and the same shall be 
 paid as presented ; whereupon said Comptroller may, in his 
 discretion, cancel an equal amount of bonds pledged by such 
 association, equal at current market rates, not exceeding par, 
 to the notes paid ; and it shall be lawful for the Secretary of 
 the Treasury, from time to time, to make such regulations 
 respecting the disposition to be made of such circulating notes 
 after presentation thereof for payment as aforesaid, and respect-
 
 12 
 
 ing the perpetuation of the evidence of the payment thereof, 
 
 as may seem to him proper ; but all such notes, on being paid, 
 
 V. S. to have shall be cancelled ; and for any deficiency in the proceeds of 
 
 prior lien upon the bonds pledged by such association, when disposed of as 
 
 assets. hereinafter specified, to reimburse to the United States the 
 
 amount so expended in paying the circulating notes of such 
 
 association, the United States shall have a first and paramount 
 
 lien upon all the assets of such association, and such deficiency 
 
 shall be made good out of such assets in preference to any 
 
 and all other claims whatsoever, except the necessary costs and 
 
 expenses of administering the same. 
 
 Bondsoffail- ^ ECt ^7- And 1)6 it further enacted^ That whenever the 
 Ing association Comptroller shall become satisfied, as in the last preceding 
 may be sold at section specified, that any such association has refused to pay 
 auction. j^g circulating notes as therein mentioned, he may instead of 
 
 -cancelling the United States bonds pledged by such associa- 
 tion, as provided in the next preceding section, cause so much 
 of them as may be necessary to redeem the outstanding circu- 
 lating notes of such association to be sold at public auction in 
 the city of New York, after giving thirty days notice of such 
 sale to such association. 
 
 Private sale SEC. 28. And be it further enacted, That the Comptroller 
 of bonds. of the Currency may, if he shall be of opinion that the in- 
 terests of the United States will be best promoted thereby, 
 sell at private sale any of the stock so transferred to him by 
 such association, and receive therefore either money or the cir- 
 culating notes of such failing association : Provided, That no 
 such bonds shall be sold by private sale for less than the par, 
 nor less than the market value thereof at the time of sale : 
 And provided, further, That no sales of any such stock, either 
 public or private, shall be complete until the transfer thereof 
 shall have been made with the formalities prescribed in this 
 act. 
 
 SEC. 29. And be it further enacted, That on becoming 
 satisfied, as specified in this act, that any such association has 
 refused to pay its circulating notes as therein mentioned, and 
 is in default, the Comptroller of the Currency may forthwith 
 appoint a receiver, and require of him such bond and security 
 as he shall deem proper, who, under the direction of the 
 Comptroller, shall take possession of the books, records, and 
 assets of every description of such association, collect all debts, 
 dues, and claims belonging to such association, and upon the 
 order of a court of record of competent jurisdiction, may sell 
 or compound all bad or doubtful debts, and, on a like order, 
 sell all the real and personal property of such association, on 
 such terms as the court shall direct and such receiver shall 
 
 Receiver, 
 bond and 
 duties.
 
 13 
 
 pay over all moneys so made to the Treasurer of the United 
 States, and also make report to the Comptroller of the Cur- 
 rency of all his acts and proceedings. The Comptroller shall Duties of 
 thereupon cause notice to be given, by advertisement in such J^^eovt of 
 newspapers as he may direct, for three consecutive months, rec eiver. 
 calling on all persons who may have claims against such asso- 
 ciation to present the same, and to make legal proof thereof. 
 And from time to time the Comptroller, after full provision 
 shall have been first made for refunding to the United States 
 any such deficiency in redeeming the notes of such associa- Disburse- 
 tion as is mentioned in this act, shall make a rateable dividend ment assets> 
 of the moneys so paid over to him by such receiver on all such 
 claims as may have been so proved or adjudicated in a court of 
 competent jurisdiction ; and from time to time, as the proceeds 
 of the assets of such association shall be paid over to him, he 
 shall make further dividends, as aforesaid, on all claims previ- 
 ously proved or adjudicated ; and the remainder of such pro- 
 ceeds, if any, shall be paid over to the shareholders of such 
 association, or their legal representatives, in proportion to the 
 stock by them respectively held: Provided, however, That if Association 
 any such association against which proceedings have been so may enjoin 
 instituted on account of any alleged refusal to redeem its cir- proceedings, 
 culating notes as aforesaid, shall deny having failed to do so, 
 such association may, at any time within ten days after such 
 association shall have been notified of the appointment of an 
 agent, as provided in this act, apply to the nearest circuit, or 
 district, or territorial court of the United States, to enjoin 
 further proceedings in the premises ; and such court, after 
 citing the Comptroller of the Currency to show cause why 
 further proceedings should not be enjoined, and after the de- 
 cision of the court or finding of a jury that such association 
 has not refused to redeem its circulating notes, when legally 
 presented, in the lawful money of the United States, shall 
 make an order enjoining the Comptroller, and any receiver acting 
 under his direction, from all further proceedings on account of 
 such alleged refusal, 
 
 SEC. 30. And be it further enacted, That the bonds trans- Bonds depo- 
 ferred to the Treasurer of the United States, as hereinbefore sited to be ex- 
 provided, by any banking association for the security of its clusively as se- 
 circulating notes, shall be held exclusively for that purpose, curit y- 
 until such notes shall be redeemed, except as provided in this 
 act ; but the Comptroller of the Currency may give to any interest on 
 such banking association powers of attorney to receive and bonds, 
 appropriate to its own use the interest on the bonds which 
 shall have been so transferred to the Treasurer by it ; but 
 such powers shall become inoperative whenever such banking 
 association shall fail to redeem its circulating notes as afore-
 
 14 
 
 Return of said. And said Comptroller may direct the return of any said 
 bonds. bonds to the banking association which transferred the same, 
 
 upon the surrender to him and the cancellation of a propor- 
 tionate amount of such circulating notes: Provided, That 
 ninety per centum of the current market value of the remain- 
 ing bonds which shall have been transferred by the banking 
 association offering to surrender such circulating notes shall be 
 equal to the amount of all the circulating notes retained by 
 such banking association : And provided, further, That there 
 shall have been no failure by such association to redeem its 
 circulating notes, and that there shall have been no other 
 violation by such association of any of the provisions of this 
 act for the security of the creditors of such association ; nor 
 No surrender shall the Treasurer be required to surrender such bonds in 
 under 1,000 fractional sums of less than one thousand dollars. And if, at 
 any time after said bonds shall be deposited with the Trea- 
 De reciation surer f tne United States, as aforesaid, the market or cash 
 of bonds depo- value shall be reduced, the Comptroller of the Currency is 
 sited. hereby authorised to demand and receive the amount of such 
 
 depreciation in other United States bonds at cash value, or 
 in money, from the association receiving said bills, to be de- 
 posited with the Treasurer of the United States, as long as 
 such depreciation continues. 
 
 SEC. 31. And be it further enacted, That whenever the 
 Interest on price of any of the bonds pledged, as aforesaid, for the re- 
 bonds to be re- dernption of the circulating notes of any surh banking asso- 
 ' elation shall be at the stock exchange in the city of New 
 York for four consecutive weeks, at a rate less than that at 
 which they shall have been estimated when so pledged, and 
 such depreciation shall not have been made good by a deposit 
 of other bonds or money, it shall be the duty of the Comp- 
 troller of the Currency to notify the Treasurer of the United 
 States of such fact, and the payment of interest upon such 
 depreciated bonds shall be suspended ; and such interest shall 
 be retained by said Treasurer until the same, when added to 
 the current market value of the bonds so pledged, to be ascer- 
 Tnvestment tamec * as De f re provided, shall be equal to the amount for 
 of interest re- which such bonds were pledged : Provided, That it shall be 
 turned. the duty of the Comptroller of the Currency, at the expiration 
 
 of every period of three months, to cause the whole of the 
 sums so retained, and then remaining in the treasury of the 
 United States, to be invested in United States bonds, in the 
 name of the Comptroller of the Currency, in trust for the 
 respective associations by which the bonds on which such 
 iJceedfof in- interest sha11 have accrued shall have been pledged. And 
 vestment of in- whenever the price of such depreciated bonds at the stock 
 terest. exchange in New York shall rise to the price at which they
 
 15 
 
 were pledged, and so remain for four consecutive weeks, such 
 investment shall be assigned to such association, and all ac- 
 cruing interest on such pledged bonds shall thereafter be paid 
 to such association, on demand thereof. 
 
 SEC. 32. And be it further enacted, That it shall be the Surrender 
 duty of the Comptroller of the Currency to receive worn-out and destruc- 
 or mutilated circulating notes issued by any such banking as- tion of muti- 
 sociation, and to deliver in place thereof to such association lated > &c -> cur " 
 other blank circulating notes to an equal amount. And such rency ' 
 worn-out or mutilated notes, after a memorandum shall have 
 been entered in the proper books, in accordance with such 
 regulations as may be established by the Comptroller, as well 
 as all circulating notes which shall have been paid or sur- 
 rendered to be cancelled, shall be burned to ashes in presence 
 of three persons, one to be appointed by the Secretary of the 
 Treasury, one by the Comptroller of the Currency, and one 
 by the Treasurer of the United States, under such regulations 
 as the Secretary of the Treasury may prescribe ; and in case 
 such notes shall have been delivered to the Comptroller by an 
 officer or agent of such association, then in the presence, also, 
 of such officer or agent. And a certificate of such burning, 
 signed by the parties so appointed, shall be made in the books 
 of the Comptroller, and a duplicate thereof given to such 
 officer or agent. 
 
 SEC. 33. And be it further enacted, That it shall be nn- Punishment 
 lawful for any officer acting under the provisions of this act to for delivering 
 countersign or deliver to any such association, or to any other 3 
 company or person, any circulating notes contemplated by v ided. 
 this act, except as hereinbefore provided, and in accordance 
 with the true intent and meaning of this act. And any officer 
 who shall violate the provisions of this section shall be deemed 
 guilty of a high misdemeanor, and on conviction thereof shall 
 be punished by fine not exceeding double the amount so coun- 
 tersigned and delivered, and imprisonment not exceeding 
 fifteen years, at the discretion of the court in which he shall 
 be tried. 
 
 SEC. 34. And le it further enacted, That all fees for pro- Feesfor pro- 
 testing the notes issued by anv such banking association shall f? 8t ' exarnma - 
 i i .! J . - .-, -, tion, and re- 
 
 be paid by the person procuring the protest to be made, and ceiverships, 
 
 such banking association shall be liable therefore ; but no part how paid, 
 of the stock pledged by such banking association, as aforesaid, 
 shall be applied to the payment of such fees. And all ex- 
 penses of any preliminary or other examinations into the con- 
 dition of any association shall be paid by such association ; 
 and all expenses of any receivership shall be paid out of the 
 assets of such association before distribution of the proceeds 
 thereof. D
 
 1C 
 
 Indebtedness SEC. 35. And be it further enacted. That the stockholders, 
 
 of stockholders collectively, of any such association shall at no time be liable 
 
 restricted. to such association, either as principal debtors or sureties, or 
 
 both, to an amount greater than three-fifths of the capital 
 
 stock actually paid in and regaining undiminished by losses 
 
 or otherwise; nor shall the directors be, so liable, except to 
 
 such amount and in such a manner as shall be prescribed by 
 
 the by-laws of such association, adopted by its stockholders 
 
 to regulate such liabilities. 
 
 Division, as- SEC. 36. And be it further enacted, That the capital stock 
 signment, and of any association formed under this act shall be divided into 
 transfer of shares of one hundred dollars each, and shall be assignable on 
 the books of the association in such manner as its by-laws 
 Transfers re- shall prescribe ; but no shareholder in any association under 
 stricted, when, this act shall have power to sell or transfer any share held in 
 his own right so long as he shall be liable, either as principal, 
 debtor, surety, or otherwise, to the association for any debt 
 which shall have become due and remain unpaid, nor in any 
 case shall such shareholder be entitled to receive any dividend, 
 interest, or profit on such shares so long as such liabilities 
 shall continue ; but all such dividends, interests, and profits 
 shall be retained by the association, and applied to the dis- 
 charge of such liabilities. And no stock shall be transferred 
 without the consent of a majority of the directors while the 
 holder thereof is thus indebted to the association. 
 
 Loans on SEC. 37. And be it further enacted, That no banking as- 
 
 sbares forbid- sociation shall take, as security for any loan or discount, a 
 
 den - lien upon any part of its capital stock ; but the same security, 
 
 both in kind and amount, shall be required of shareholders as 
 
 Purchase of of other persons. And no such banking association shall be 
 
 capital stock the purchaser or holder of any portion of its capital stock, or 
 
 forbidden. O f the capital stock of any other incorporated company, unless 
 
 such purchase shall be necessary to prevent loss upon a debt 
 
 previously contracted in good faith, or security which, at the 
 
 time, was deemed adequate to insure the payment of such 
 
 debt, independent of any lien upon such stock, or in case of 
 
 forfeiture of stock for the non-payment of instalments due 
 
 thereon ; and stock so purchased or acquired shall in no case 
 
 be held by such association so purchasing for a longer period 
 
 of time than six months, if the same can, within that time, be 
 
 sold for what the stock cost. 
 
 Elections of SEC. S* 3 . And be it further enacted, That in all elections of 
 
 directors, votes directors, and in deciding all questions at meetings of share- 
 
 of shareholders holders, each shareholder shall be entitled to one vote on each 
 
 Proxies. share of stock held by him. Shareholders may vote by proxies 
 
 duly authorized in writing ; but no officer, clerk, teller, or 
 
 bookkeeper of such association shall act as proxy ; and no
 
 17 
 
 stockholder whose liability is past due and unpaid shall be 
 allowed to vote. 
 
 SEC. 39. And ~be it further enacted, That the affairs of Number of 
 every such association shall be managed by not less than five directors, qua- 
 nor more than nine directors, one of whom shall be president lifi cation and 
 of the association. Every director shall, during his whole term of 
 of service, be a citizen of the United States and a resident of 
 the State in which such association is located. At least three- 
 fourths of the directors shall have resided in the State in which 
 such association is located one year next preceding their elec- 
 tion as directors ; and each director shall own, in his own 
 right, at least one per centum of the capital stock of such as- 
 sociation, not exceeding two hundred thousand dollars, and 
 the half of one per centum of its capital if over two hundred 
 thousand dollars. Each director shall take an oath that he 
 will, so far as the duty devolves on him, diligently and honestly 
 administer the affairs of such association, and will not know- 
 ingly violate, or willingly permit to be violated, any of the pro- 
 visions of this act, and that he is the bona fide owner, in his 
 own right, of the shares of stock standing in his name on the 
 books of the association, and that the same is not hypothecated, 
 or in any way pledged, as security for any loan obtained or 
 debt owing to the association of which he is a director, which 
 oath, subscribed by himself, and certified by the officer before 
 whom it is taken, shall be immediately transmitted to the 
 Comptroller of the Currency, and by him filed and preserved 
 in his office. 
 
 SEC. 40. And be it further enacted, That the directors of po*& J 
 any such association, first elected, shall hold their places until ^StalnS- 
 their successors shall be elected and qualified. All subsequent nuar y. 
 elections shall be held annually, on such day in the month of 
 January as the stockholders of said association may prescribe ; 
 and the directors so elected shall hold their places for one 
 year, and until their successors are elected and qualified. But 
 any director removing from the State, or ceasing to be the 
 owner of the requisite amount of stock, shall thereby vacate 
 his place. Any vacancy in the board shall be filled by ap- Vacancies, 
 pointment by the remaining directors. The director so ap- 
 pointed shall hold his place until the next annual election ; 
 and if, from any cause, an election of directors shall not be 
 made at the time appointed, the association shall not for that 
 cause be dissolved, but an election may be held on any sub- 
 sequent day, thirty days' notice thereof having been given in a 
 newspaper printed, or of general circulation, in the city, town, 
 or county in which the association is located ; and if no news- 
 paper is published in such city, town, or county, such notice 
 shall be published in a newspaper in the county adjoining. 
 
 D 2
 
 18 
 
 Fund to be SEC. 41. And be it further enacted, That every such asso- 
 always main- elation shall at all times have on hand, in lawful money of the 
 tainedonhand - United States, an amount equal to at least twenty-five per 
 centum of the aggregate amount of its outstanding notes 
 of circulation and its deposits ; and whenever the amount of 
 its outstanding notes of circulation and its deposits shall ex- 
 ceed the above named proportion for the space of twelve days, 
 or whenever such lawful money of the United States shall at 
 any time fall below the amount of twenty-five per centum 
 of its circulation and deposits, such association shall not 
 increase its liabilities by making any new loans or discounts 
 otherwise than by discounting or purchasing bills of exchange, 
 payable at sight, nor make any dividend of its profits, until the 
 required proportion between the aggregate amount of its out- 
 standing notes of circulation and its deposits and lawful money 
 Clearing- of the United States shall be restored : Provided, however, 
 house certifi- That clearing-house certificates, representing specie or lawful 
 cates. money specially deposited for the purpose of any clearing-house 
 
 association, shall be deemed to be lawful money in the posses- 
 sion of any association belonging to such clearing-house hold- 
 ing and owning such certificates, and considered to be a part 
 of the lawful money which such association is required to 
 have, under the foregoing provisions of this section : Provided, 
 Balances in further, That any balance due to any association organized 
 cities equiva- under this act in other places from any association in the 
 ocabh> cities of Boston, Providence, New York, Philadelphia, Balti- 
 more, Cincinnati, Chicago, St. Louis, or New Orleans, in good 
 credit, subject to be drawn for at sight and available to redeem 
 their circulating notes and deposits, may be deemed to be a 
 part of the lawful money which such association, in other 
 places than the cities of Boston, Providence, New York, Phi- 
 ladelphia, Baltimore, Cincinnati, Chicago, St. Louis, and New 
 Orleans, is required to have by the foregoing provisions of 
 this section to the extent of three-fifths of the said amount of 
 Association twenty-five per centum required. And it shall be competent 
 failing tomake for the Comptroller of the Currency to notify any such asso- 
 gcod the re- ... v i /? i * j -i -n / 11 
 
 serve may be cia t lon whose lawful money reserve, as aforesaid, shall fall 
 
 wound up. below said proportion of twenty-five per centum, to make good 
 such reserve ; and if such association shall fail for thirty days 
 thereafter so to make good its reserve of lawful money of the 
 United States, the Comptroller may, with the concurrence of 
 the Secretary of the Treasury, appoint a receiver to wind up 
 the business of such association, as provided in this act. 
 Limitation of SEC. 42. And be it further enacted, That no association 
 
 indebtedness shall at any time be indebted, or in any way liable, to an 
 amount exceeding the amount of its capital stock at such 
 time actually paid in, and remaining undiminished by losses
 
 19 
 
 or otherwise, except on the following accounts, that is to 
 say: 
 
 First. On account of its notes of circulation. 
 
 Second. On account of moneys deposited with, or collected 
 by, such association. 
 
 Third. On account of bills of exchange or drafts drawn 
 against money actually on deposit to the credit of such asso- 
 ciation, or due thereto. 
 
 .Fourth. On account of liabilities to its stockholders, for 
 money paid in on capital stock, and dividends thereon, and 
 reserved profits. 
 
 SEC. 43. And be it further enacted, That no association 
 shall, either directly or indirectly, pledge or hypothecate any 
 of its notes of circulation, for the purpose of procuring money, 
 to be paid in on its capital stock, or to be used in its banking 
 operations, or otherwise. 
 
 SEC. 44. And, le it further enacted, That no association, Withdrawal of 
 or any member thereof, shall, during the time it shall con- capital en- 
 tinue its banking operations, withdraw, or permit to be with-J med< 
 drawn, either in form of dividends, loans to stockholders for 
 a longer time than six months, or in any other manner, any Loans limited 
 portion of its capital. And if losses shall at any time have to six months - 
 been sustained by any such association equal to or exceed- 
 ing its undivided profits then on hand, no dividend shall 
 be made ; and no dividend shall ever be made by any associa- Dividends re- 
 tion, while it shall continue its banking operations, to an stricted. 
 amount greater than its net profits then on hand, deducting 
 therefrom its losses and bad debts. And all debts due to any Bad debts 
 association, on which interest is past due and unpaid for a defined. 
 period of six months, unless the same shall be well secured, 
 and shall be in process of collection, shall be considered bad 
 debts within the meaning of this act. 
 
 SEC. 45. And le it further enacted, That the directors of , Divide , nd 1 s ' 
 
 ... i 11 n xi xi r TIT when and now 
 
 every association shall, semi-annually, in the months or May ma(le 
 
 and November, declare a dividend of so much of the profits 
 of such association as they shall judge expedient ; and on 
 each dividend day the cashier shall make, and verify by his 
 oath, a full, clear, and accurate statement of the condition of quired, 
 the association, as it shall be on that day after declaring the 
 dividend ; which statement shall contain 
 
 First. The amount of the capital stock actually paid in 
 and then remaining as the capital stock of such bank or 
 association. 
 
 Secondly. The amount of the circulating notes of such 
 association then in circulation. 
 
 Thirdly. The greatest amount in circulation at any time
 
 20 
 
 since the making of the last previous statement, as shall have 
 been exhibited by the weekly statements of the cashier, speci- 
 fying the times when the same occurred. 
 
 Fourthly. The amount of balances and debts of every kind 
 due to other banks and banking associations. 
 
 Fifthly. The amount due to depositors. 
 
 Sixthly. The total amount of debts and liabilities of every 
 description, and the greatest amount since the making of the 
 last previous statement, specifying the time when the same 
 accrued. 
 
 Seventhly. The total amount of dividend declared on the 
 day of making the statement. 
 
 Eighthly. The amount of lawful money of the United 
 States belonging to the association and in its possession at the 
 time of making the statement. 
 
 Balances in Ninthly. The amount subject to be drawn at sight, in lawful 
 cities. money of the United States, then remaining on deposit with 
 
 any associations, banks, or bankers; specifying the amounts 
 so on deposit in the cities of Boston, Providence, New York, 
 Philadelphia, Baltimore, Cincinnati, Chicago, St. Louis, and 
 New Orleans. 
 
 Tenthly. The amount then on hand of bills or notes, issued 
 by other banks and banking associations. 
 
 Eleventhly. The amount of balances due from other banks, 
 bankers, and banking associations, excluding deposits subject 
 to be drawn at sight as aforesaid. 
 
 Twelfthly. The amount on hand of bills, bonds, stocks, 
 notes, and other evidences of debts, discounted or purchased 
 by the association, specifying particularly the amount of sus- 
 pended debt, the amount considered bad, the amount con- 
 sidered doubtful, and the amount in suit or judgment. 
 
 Thirteenthly. The value of the real and personal property 
 held for the convenience of the association, specifying the 
 amount of each. 
 
 Fourteenthly. The amount of real estate taken in payment of 
 debts due to the association. 
 
 Fifteenthly. The amount of the undivided profits of the 
 association. 
 
 Sixteenthly. The total amount of the liability to the asso- 
 ciation by the directors thereof, collectively, specifying the 
 gross amount of such liabilities as principal debtors, and the 
 gross amount of indorsers or sureties. 
 
 The statement thus made shall forthwith be transmitted to 
 the Comptroller of the Currency. 
 
 Banking pri- SEC 46. And "be it further enacted, That every association 
 vileges may take, reserve, receive, and charge on any loan or discount 
 
 granted. made, or upon any note, bill of exchange, or other evidence of
 
 21 
 
 debt, such rate of interest or discount as is for the time the 
 established rate of interest for delay in the payment of mo'ney, 
 in the absence of contract between the parties, by the laws of 
 the several States in which the associations are respectively 
 located, and no more : Provided, however, That interest may Rate of in- 
 be reserved or taken in advance, at the time of making the terest - 
 loan or discount, according to the usual rules of banking ; and 
 the knowingly taking, reserving, or charging of a rate of in- Usury, 
 terest greater than that allowed by this section shall be held 
 and adjudged a forfeiture of the debt or demand on which the 
 same is taken, reserved, or charged ; but the purchase, dis- 
 count, or sale of a bill of exchange, drawn on actually existing 
 values, and payable at another place than the place of such 
 purchase, discount, or sale, at the current discount or pre- 
 mium, shall not be considered as taking, reserving, or charging 
 interest. 
 
 SEC. 47. And be it further enacted, That the total liabili- Liabilities of 
 ties of any person, or of any company or firm (including in CU8t ers re - 
 the liabilities of a company or firm the liabilities of the several 
 members thereof), to any association, including liabilities as 
 acceptor of bona fide bills of exchange, payable out of the 
 State where the association is located, shall at no time exceed 
 one-third ; exclusive of liabilities as acceptor, one-fifth ; and 
 exclusive of liabilities on such bills of exchange, one-tenth part 
 of the amount of the capital stock of such association actually 
 paid in. 
 
 SEC. 48. And be it further enacted^ That no association Uncurrent 
 shall, at any time, pay out on loans or discounts, or in pur- money not to 
 chasing drafts or bills of exchange, or in payment of deposits, be circulated. 
 nor shall it in any other mode put in circulation the notes of 
 any bank or banking association, which notes shall not, at any 
 such time, be receivable, at par, on deposit, and in payment of 
 debts by the association so paying out or circulating such 
 notes ; nor shall it knowingly pay out or put in circulation any 
 notes issued by any bank or banking association which at the 
 time of such paying out or putting in circulation is not re- 
 deeming its circulating notes in lawful money of the United 
 States. 
 
 SEC. 49. And be it further enacted, That all transfer of the Acts preju- 
 notes, bonds, bills of exchange, and other evidences of debt dicial to credi- 
 owing to any association, or of deposits to its credit ; all to * am contem- 
 assignments of mortgages, sureties on real estate, or of judg- JJ? ?e JL ?0 j^" 
 ments or decrees in its favour ; all deposits of money, bullion, 
 or other valuable thing for its use, or for the use of any of its 
 shareholders or creditors ; and all payments of money to either, 
 made after the commission of an act of insolvency, or in con- 
 templation thereof, with a view to prevent the application of
 
 22 
 
 its assets in the manner prescribed by this act, or with a view 
 to the preference of one creditor to another, except in payment 
 of the circulating notes, shall be utterly null and void. 
 
 Malfeasance SEC. 50. And ~be it further enacted, That if the directors of 
 of officers and an y association shall knowingly violate, or knowingly permit 
 any of the officers, agents or servants of the association to 
 violate, any of the provisions of this act, all the rights, pri- 
 vileges, and franchises of the association, derived from this 
 act, shall be thereby forfeited. Such violation shall, however, 
 be determined and adjudged by a proper circuit, district, or 
 territorial court of the United States, before the associa- 
 tion shall be declared dissolved. And in cases of such 
 violation, every director who participated in or assented to 
 the same shall be held liable in his personal and individual 
 capacity for all damages which the association, its shareholders, 
 or any other person, shall have sustained in consequence of 
 such violation. 
 
 Visitor, how SEC. 51. And be it further enacted. That the Comptroller 
 and when ap- of the Currency, with the approbation of the Secretary of the 
 pointed, duties Treasury, as often as shall be deemed necessary or proper, 
 shall appoint a suitable person or persons to make an examina- 
 tion of the affairs of every banking association, which perstm 
 shall not be a director or other officer in any association whose 
 affairs he shall be appointed to examine, and who shall have 
 power to make a thorough examination into all the affairs of 
 the association, and, in doing so, to examine any of the officers 
 and agents thereof on oath, and shall make a full and detailed 
 report of the condition of the association to the Comptroller ; 
 and the association shall not be subject to any other visitorial 
 powers than such as are authorized by this act, except such as 
 Compensa- are vested in the several courts of law and chancery. And 
 tion of. every person appointed to make such examination shall receive 
 
 for his services at the rate of five dollars for each day by him 
 employed in such examination, and two dollars for every 
 twenty-five miles he shall necessarily travel in the performance 
 of his duty, which shall be paid by the association by him 
 examined. 
 
 Misdemeanor SEC. 52. And be it further enacted, That every president, 
 of officers. director, cashier, teller, clerk, or agent of any association, who 
 shall embezzle, abstract, or wilfully misapply any of the 
 moneys, funds, or credits of the association, or shall, without 
 authority from the directors, issue or put in circulation any of 
 the notes of the association, or shall, without such authority, 
 issue or put forth any certificate of deposit, draw any order 
 or bill of exchange, make any acceptance, assign any note, 
 bond, draft, bill of exchange, mortgage, judgment, or decree, 
 or shall make any false entry in any book, report, or statement
 
 23 
 
 of the association, with intent, in either case, to injure or 
 defraud any other company, body politic or corporate, or any 
 individual person, or to deceive any officer or agent appointed 
 to examine the affairs of any such association, shall be deemed 
 guilty of a misdemeanor, and upon conviction thereof shall be 
 punished by imprisonment not less than five nor more than 
 ten years. 
 
 SEC. 53. And le it further enacted, That the president Names, resi- 
 and cashier of every such association shall cause to be kept 
 at all times a full and correct list of the names and residences 
 of all the shareholders in the association, in the office where 
 its business is transacted ; and such list shall be subject to 
 the inspection of' all the shareholders and creditors of the 
 association during business hours of each day in which busi- 
 ness may be legally transacted ; and a copy of such list, veri- 
 fied by the oath of such president or cashier, shall, at the 
 beginning of every year, be transmitted to the Comptroller of 
 the Currency, commencing on the first day of the first quarter 
 after the organization of the association. 
 
 SEC. 54. And be it further enacted, That the Secretary 
 of the Treasury is hereby authorized, whenever, in his judg- depositories of 
 ment, the public interest will be promoted thereby, to employ public moneys. 
 any of such associations, doing business under this act, as 
 depositaries of the public moneys, except receipts from 
 customs. 
 
 SEC. 55. And be it further enacted, That all suits and 
 proceedings arising out of the provisions of this act, in which 
 the United States or its officers or agents shall be parties, 
 shall be conducted by the district attorneys of the several 
 districts, under the direction and supervision of the Solicitor 
 of the- Treasury. 
 
 SEC. 56. And le it further enacted. That every person p ? na ! ties 5> r 
 i in A -i ,. *: i c i- n f *. ' *!_ mutilation of 
 
 who shall mutilate, cut, deface, disfigure, or perforate with pa p er i 88ue d 
 
 holes, or shall unite or cement together, or do any other thing under this act. 
 
 to any bank bill, draft, note, or other evidence of debt issued 
 
 by any such association, or shall cause or procure the same to 
 
 be done, with intent to render such bank bill, draft, note, or 
 
 other evidence of debt unfit to be reissued by said association, 
 
 shall upon conviction forfeit fifty dollars to the association who 
 
 shall be injured thereby, to be recovered by action in any 
 
 court having jurisdiction. 
 
 SEC. 57. And be it further enacted, That if -any person Forgery, ut- 
 shall falsely make, forge, or counterfeit, or cause or procure tering, &c., 
 to be made, forged, or counterfeited, or willingly aid or assist pena ll 
 in falsely making, forging, or counterfeiting, any note in imi- 
 tation of, or purporting to be in imitation of, the circulating
 
 24 
 
 notes issued under the provisions of this act, or shall pass, 
 utter, or publish, or attempt to pass, utter, or publish, any 
 false, forged, or counterfeited note, purporting to be issued by 
 any association doing a banking business under the provisions 
 of this act, knowing the same to be falsely made, forged, or 
 counterfeited, or shall falsely alter, or cause or procure to be 
 falsely altered, or willingly aid or assist in falsely altering, any 
 such circulating notes, issued as aforesaid, or shall pass, utter, 
 or publish, or attempt to pass, utter, or publish as true, any 
 falsely altered or spurious circulating note issued, or purport- 
 ing to have been issued, as aforesaid, knowing the same to be 
 falsely altered or spurious, every such person shall be deemed 
 and adjudged guilty of felony, and being thereof convicted by 
 due course of law, shall be sentenced to be imprisoned and 
 kept at hard labor for a period not less than five years nor 
 more than fifteen years, and to be fined in a sum not exceeding 
 one thonsand dollars. 
 
 Making, en- SEC. 58. And be it further enacted, That if any person 
 graving, &c., shall make or engrave, or cause or procure to be made or en- 
 plates, or graved, or shall have in his custody or possession any engraved 
 having them in e , , 1 1 i /> ,r. -v, j c r i i 
 
 custody penal- P^ 6 or block alter the similitude of any plate from which 
 ties for.' any circulating notes issued as aforesaid shall have been printed, 
 
 with intent to use such plate or block, or cause or suffer the 
 same to be used, in forging or counterfeiting any of the notes 
 Having blank issued as aforesaid, or shall have in his custody or possession any 
 notes or paper blank note or notes engraved and printed after the similitude 
 adapted to o f any notes issued as aforesaid, with intent to use such blanks, 
 banking. Qr cause or su ff er the same to be used, in forging or counter- 
 
 feiting any of the notes issued as aforesaid, or shall have in 
 his custody or possession any paper adapted to the making 
 of such notes, and similar to the paper upon which any such 
 notes shall have been issued, with intent to use such paper, or 
 cause or suffer the same to be used, in forging or counter- 
 feiting any of the notes issued as aforesaid, every such person, 
 being thereof convicted by due course of law, shall be sen- 
 tenced to be imprisoned and kept to hard labor for a term not 
 less than five nor more than fifteen years, and fined in a sum 
 not exceeding one thousand dollars. 
 
 Jurisdiction. SEC. 59. And le it further enacted, That suits, actions, and 
 proceedings by and against any association under this act, 
 may be had in any circuit, district, or territorial court of the 
 United States held within the district in which such associa- 
 tion may be established. 
 
 Annual re- SEC. 60. And le it further enacted, That it shall be the 
 port of Comp- dirty of the Comptroller of the Currency to report annually 
 troller. to (j on g ress? a t the commencement of its session
 
 25 
 
 First. A summary of the state and condition of every as- Condition of 
 sociation from whom reports have been received the preceding associations. 
 year, at the several dates to which such reports refer, with an 
 abstract of the whole amount of banking capital returned by 
 them, of the whole amount of their debts and liabilities, the 
 amount of circulating notes outstanding, and the total amount 
 of means and resources, specifying the amount of specie held 
 by them at the times of their several returns, and such other 
 information in relation to said associations as, in his judgment, 
 may be useful. 
 
 Second. A statement of the associations whose business Associations 
 has been closed during the year, with the amount of their cir- closed. 
 culation redeemed, and the amount outstanding. 
 
 Third. To suggest any amendment to the laws relative to Amendments 
 banking by which the system may be improved, and the se- to law * 
 curity of the bill-holders and depositors may be increased. 
 
 Fourth. To report the names and compensation of the Return of 
 clerks employed by him, and the whole amount of the ex- clerks - 
 penses of the banking department during the year ; and such 
 report shall be made by or before the first day of December 
 in each year, and the usual number of copies for the use of Copies of 
 the Senate and House, and one thousand copies for the use of 1<e P ort - 
 the department, shall be printed by the public printer and in 
 readiness for distribution on the first meeting of Congress. 
 
 SEC. 61. And be it further enacted, That any banking Organization 
 association or corporation lawfully in existence as a bank of of otner banks 
 circulation on the first day of January, anno Domini eighteen under this act> 
 hundred and sixty-three, organized in any State, either under 
 a special act of incorporation or a general banking law, may 
 
 at any time within years after the passage of this act 
 
 become an association under the provisions of this act ; that 
 in such case the certificate of association provided for by this 
 act shall be signed by the directors of such banking associa- 
 tion or corporation, and in addition to the specifications re- 
 quired by this act shall specify that such directors are au- 
 thorized by the owners of two-thirds of the capital stock of 
 such banking association or corporation to make such certi- 
 ficate of association, and such certificate of association shall 
 thereafter have the same effect, and the same proceedings shall 
 be had thereon, as is provided for as to other associations 
 organized under this act. And such association or corpora- 
 tion thereafter shall have the same powers and privileges, and 
 shall be subject to the same duties, responsibilities, and rules, 
 in all respects, as is prescribed in this act for other associa- 
 tions organized under it, and shall be held and regarded as an 
 association under this act. 
 
 SEC. 62. And be it further enacted, That any bank or State banks
 
 26 
 
 may deliver U. banking association authorized by any State law to engage in 
 s. bonds arid the business of banking, and duly organized under such State 
 receive notes j aw at t ^ e tmie O f fa e p assa g e of this act, and which shall 
 be the holder and owner of United States bonds to the 
 amount of fifty per centum of its capital stock, may transfer 
 and deliver to the Treasurer of the United States such bonds, 
 or any part thereof, in the manner provided by this act ; and 
 upon making such transfer and delivery, such bank or bank- 
 ing association shall be entitled to receive from the Comp- 
 troller of the Currency circulating notes, as herein provided, 
 equal in amount to eighty per centum of the amount of the 
 bonds so transferred and delivered. 
 
 Proceedings SEC. 63. And le it further enacted, That upon the failure 
 against State of any such State bank or banking association to redeem any 
 and other of its circulating notes issued under the provisions of the pre- 
 re cedin & section > tne Comptroller of the Currency shall, when 
 e " satisfied that such default has been made, and within thirty 
 days after notice of such default, proceed to declare the bonds 
 transferred and delivered to the Treasurer forfeited to the 
 United States, and the same shall thereupon be forfeited ac- 
 cordingly ; and thereupon the circulating notes which have 
 been issued by such bank or banking association, shall be re- 
 deemed and paid at the treasury of the United States, in the 
 same manner as other circulating notes issued under the pro- 
 visions of this act are redeemed and paid. 
 
 Forfeited SEC. 64. And be it further enacted, That the bonds for- 
 bonds of such feited, as provided in the last preceding section, may be can - 
 banks, how celled to an amount equal to the circulating notes redeemed 
 and paid, or such bonds may be sold, under the direction of 
 the Secretary of the Treasury; and after retaining out of the 
 proceeds a sum sufficient to pay the whole amount of circu- 
 lating notes for the redemption of which such bonds are held, 
 the surplus, if any remains, shall be paid to the bank or bank- 
 ing association from which such bonds were received. 
 
 Rights of SEC. 65. Be if further enacted, That Congress reserves the 
 Congress right at any time to amend, alter, or repeal this act. 
 
 ' 
 
 Approved February 25, 1863.
 
 27 
 
 No. II. 
 
 THE LOAN ACT OF 1863. 
 
 AN ACT TO PROVIDE WAY3 AND MEANS FOR THE SUPPORT 
 OF THE GOVERNMENT. 
 
 Be it enacted by the Senate and Souse of Representatives of 
 the United States of America, in Congress assembled, That the 
 Secretary of the Treasury be and he is hereby authorized to bor- 
 row from time to time, on the credit of the United States, a sum 
 not exceeding three hundred millions of dollars for the current 
 fiscal year, and six hundred millions for the next fiscal year, and 
 to issue therefor coupon or registered bonds, payable at the plea- 
 sure of the government after such periods as may be fixed by the 
 Secretary, not less than ten nor more than forty years from date, 
 in coin, and of such denominations, not less than fifty dollars, as 
 he may deem expedient, bearing interest at a rate not exceeding 
 six per centum per annum, payable, on bonds not exceeding one 
 hundred dollars, annually, and* on all other bonds semi-annually, 
 in coin; and he may in his discretion dispose of such bonds at 
 any time, upon such terms as he may deem most advisable, for 
 lawful money of the United States, or for any certificates of in- 
 debtedness or deposit that may at any time be unpaid, or for any 
 of the Treasury notes heretofore issued or which may be issued 
 under the provisions of this act. And all the bonds and Trea- 
 sury notes or United States notes issued under the provisions of 
 this act shall be exempt from taxation by or under State or muni- 
 cipal authority : Provided, That there shall be outstanding of 
 bonds, Treasury notes and United States notes, at any time, issued 
 under the provisions of this act, no greater amount altogether 
 than the sum of nine hundred millions of dollars. 
 
 SEC. 2. And be it further enacted, That the Secretary of the 
 Treasury be arid he is hereby authorized to issue, on the credit of 
 the United States, four hundred millions of dollars in Treasury 
 notes, payable at the pleasure of the United States, or at such 
 time or times, not exceeding three years from date, as may be 
 found most beneficial to the public interest, and bearing interest 
 at a rate not exceeding six per centum per annum, payable at 
 periods expressed on the face of said Treasury notes ; and the 
 interest on the said Treasury notes and on certificates of indebt- 
 edness and deposit hereafter issued shall be paid in lawful money.
 
 The Treasury notes thus issued shall be of such denomination as 
 the Secretary may direct, not less than ten dollars, and may be 
 disposed of on the best terms that can be obtained, or may be 
 paid to any creditor of the United States willing to receive the 
 same at par. And said Treasury notes may be made a legal 
 tender to the same extent as United States notes, for their face 
 value, excluding interest : or they may be made exchangeable 
 under regulations prescribed by the Secretary of the Treasury by 
 the holder thereof, at the Treasury in the city of Washington, or 
 at the office of any Assistant Treasurer or depositary designated 
 for that purpose, for United States notes equal in amount to the 
 Treasury notes offered for exchange, together with the interest 
 accrued and due thereon at the date of interest payment next 
 preceding such exchange. And in lieu of any amount of said 
 Treasury notes thus exchanged, or redeemed or paid at maturity, 
 the Secretary may issue an equal amount of other Treasury notes ; 
 and the Treasury notes so exchanged, redeemed or paid, shall be 
 cancelled and destroyed, as the Secretary may direct. In order 
 to secure certain and prompt exchanges of United States notes 
 for Treasury notes, when required as above provided, the Secre- 
 tary shall have power to issue United States notes to the amount 
 of one hundred and fifty millions of dollars, which may be used, 
 if necessary, for such exchanges ; but no part of the United States 
 notes authorized by this section shall be issued for or applied to any 
 other purposes than said exchanges ; and whenever any amount 
 shall have been so issued and applied, the same shall be" replaced 
 as soon as practicable from the sales of Treasury notes for United 
 States notes. 
 
 SEC. 3. And be it further enacted, That the Secretary of the 
 Treasury be and he is hereby authorized, if required by the exi- 
 gencies of the public service, for the payment of the army and 
 navy, and other creditors of the government, to issue, on the 
 credit of the United States, the sum of one hundred and fifty 
 millions of dollars of United States notes, including the amount 
 of such notes heretofore authorized by the joint resolution approved 
 January seventeen, eighteen hundred and sixty-three, in such 
 form as he may deem expedient, not bearing interest, payable to 
 bearer, and of such denominations, not; less than one dollar, as he 
 may prescribe, which notes so issued shall be lawful money and a 
 legal tender in payment of all debts, public and private, within 
 the United States, except for duties on imports and interest on 
 the public debt ; and any of the said notes, when returned to the 
 Treasury, may be re-issued from time to time as .the exigencies of 
 the public service may require. And in lieu of any of said notes, 
 or any other United States notes, returned to the Treasury, and 
 cancelled or destroyed, there may be issued equal amounts of the 
 United States notes, such as are authorized by this act. And so
 
 29 
 
 much of the act to authorize the issue of the United States notes, 
 and for other purposes, approved February twenty-five, eighteen 
 hundred and sixty-two, and of the act to authorize an additional 
 issue of United States notes, and for other purposes, approved 
 July eleven, eighteen hundred and sixty-two, as restricts the nego- 
 tiation of bonds to market value, is hereby repealed. And the 
 holders of United States notes, issued under and by virtue of said 
 acts, shall present the same for the purpose of exchanging the 
 same for bonds, as therein provided, on or before the first day of 
 July, eighteen hundred and sixty-three, and thereafter the right 
 so to exchange the same shall cease and determine. 
 
 SEC. 4. And be it further enacted, That in lieu of postage and 
 revenue stamps for fractional currency, and of fractional notes, 
 commonly called postage currency, issued or to be issued, the 
 Secretary of the Treasury may issue fractional notes of like 
 amounts in such form as he may deem expedient, and may pro- 
 vide for the engraving, preparation and issue thereof, in the 
 Treasury Department building. And all such notes issued shall 
 be exchangeable by the Assistant Treasurers and designated de- 
 positaries for United States notes in sums not less than three dol- 
 lars, and shall be receivable for postage and revenue stamps, and 
 also in payment of any dues to the United States less than five 
 dollars, except duties on imports, and shall be redeemed on pre- 
 sentation at the Treasury of the United States in such sums and 
 under such regulations as the Secretary of the Treasury shall 
 prescribe : Provided, That the whole amount of fractional cur- 
 rency issued, including postage and revenue stamps issued as 
 currency, shall not exceed fifty millions of dollars. 
 
 SEC. 5. And be it further enacted, That the Secretary of the 
 Treasury is hereby authorized to receive deposits of gold coin and 
 bullion with the Treasurer or any Assistant Treasurer of the 
 United States, in sums not less than twenty dollars, and to issue 
 certificates therefor in denominations of not less than twenty dol- 
 lars each, corresponding with the denominations of the United 
 States notes. The coin and bullion deposited for or representing 
 the certificates of deposit shall be retained in the Treasury for 
 the payment of the same on demand. And certificates represent- 
 ing coin in the Treasury may be issued in payment of interest on 
 the public debt, which certificates, together with those issued for 
 coin and bullion deposited, shall not at any time exceed twenty 
 per centum beyond the amount of coin and bullion in the 
 Treasury ; and the certificates for coin or bullion in the Treasury 
 shall be received at par in payment for duties on imports. 
 
 SEC. 6. And be it further enacted, That the coupon or regis- 
 tered bonds, Treasury notes and United States notes, authorized 
 by this act, shall be in such form as the Secretary of the Treasury
 
 30 
 
 may direct, and shall have printed upon them such statements, 
 showing the amount of accrued or accruing interest, the character 
 of the notes, and the penalties or punishment for altering or 
 counterfeiting them, as the Secretary of the Treasury may pre- 
 scribe, and shall bear the written or engraved signatures of the 
 Treasurer of the United States and the Register of the Treasury, 
 and also, as evidence of lawful issue, the imprint of the copy of 
 the seal of the Treasury Department, which imprint shall be 
 made, under the direction of the Secretary, after the said notes 
 or bonds shall be received from the engravers, and before they 
 are issued ; or the said notes and bonds shall be signed by the 
 Treasurer of the United States, or for the Treasurer by such per- 
 sons as may be specially appointed by the Secretary of the 
 Treasury for that purpose, and shall be countersigned by the 
 Register of the Treasury, or for the Register by such persons as 
 the Secretary of the Treasury may specially appoint for that pur- 
 pose. And all the provisions of the act, entitled " An act to 
 authorize the issue of Treasury notes," approved the twenty-third 
 day of December, eighteen hundred and fifty-seven, so far as they 
 can be applied to this act, and not inconsistent therewith, are 
 hereby revived and re-enacted. 
 
 SEC. 7. And be it further enacted, That all banks, associations, 
 corporations or individuals, issuing notes or bills for circulation as 
 currency, shall be subject to and pay a duty of one per centum 
 each half year from and after April first, eighteen hundred and 
 sixty-three, upon the average amount of circulation of notes or 
 bills as currency issued beyond the amount hereinafter named ; 
 that is to say, banks, associations, corporations or individuals 
 having a capital of not over one hundred thousand dollars, ninety 
 per centum thereof; over one hundred thousand and not over two 
 hundred thousand dollars, eighty per centum thereof; over two 
 hundred thousand and not over three hundred thousand dollars, 
 seventy per centum thereof; over three hundred thousand and 
 not over five hundred thousand dollars, sixty per centum thereof; 
 over five hundred thousand and not over one million of dollars, 
 fifty per centum thereof; over one million and nofe over one 
 million and a half of dollars, forty per centum thereof ; over one 
 million and a half and not over two millions of dollars, thirty per 
 centum thereof; over two millions of dollars, twenty-five per 
 centum thereof. In the case of banks with branches, the duty 
 herein provided for shall be imposed upon the circulation of the 
 notes or bills of such branches severally, and not upon the aggre- 
 gate circulation of all ; and the amount of capital of each branch 
 shall be considered to be the amount allotted to or used by such 
 branch ; and all such banks, associations, corporations and indi- 
 viduals shall also be subject to and pay a duty of one-half of one 
 per centum each half year from and after April first, eighteen
 
 31 
 
 hundred and sixty-three, upon the average amount of notes or 
 bills not otherwise herein taxed and outstanding as currency 
 during the six months next preceding the return hereinafter pro- 
 vided for; and the rates of tax or duty imposed on the circulation 
 of associations which may be organized under the act " to provide 
 a national currency, secured by a pledge of United States stocks, 
 and to provide for the circulation and redemption thereof," 
 approved February twenty-fifth, eighteen hundred and sixty-three, 
 shall be the same as that hereby imposed on the circulation, and 
 deposits of all banks, associations, corporations or individuals, but 
 shall be assessed and collected as required by said act ; all banks, 
 associations or corporations and individuals issuing or re-issuing 
 notes or bills for circulation as currency after April first, eighteen 
 hundred and sixty-three, in sums representing any fractional part 
 of a dollar, shall be subject to and pay a duty of five per centum 
 each half year thereafter upon the amount of such fractional notes 
 or bills so issued. And all banks, associations, corporations and 
 individuals receiving deposits or money subject to payment on 
 check or draft, except savings institutions, shall be subject to a 
 duty of one-eighth of one per centum each half year from and 
 after April first, eighteen hundred and sixty-three, upon the 
 average amount of such deposits beyond the average amount of 
 their circulating notes or bills lawfully issued and outstanding as 
 currency. And a list or return shall be made and rendered 
 within thirty days after the first day of October, eighteen hundred 
 and sixty-three, and each six months thereafter, to the Commis- 
 sioner of Internal Revenue, which shall contain a true and faithful 
 account of the amount of duties accrued, or which should accrue, 
 on the full amount of the fractional note circulation, and on the 
 average amount of all other circulation and of all such deposits 
 for the six months next preceding. And there shall be annexed 
 to every such list or return a declaration, under oath or affirma- 
 tion, to be made in form and manner as shall be prescribed by the 
 Commissioner of Internal Revenue, of the president, or some other 
 proper officer of said bank, association, corporation or individual, 
 respectively, that the same contains a true and faithful account of 
 the duties which have accrued, or which should accrue, and not 
 accounted for ; and for any default in the delivery of such list 
 or return, with such declaration annexed, the bank, association, 
 corporation or individual making such default shall forfeit, as a 
 penalty, the sum of five hundred dollars ; and such bank, associa- 
 tion, corporation or individual shall, upon rendering the list or 
 return as aforesaid, pay to the Commissioner of Internal Revenue 
 the amount of the duties due on such list or return, and in default 
 thereof shall forfeit, as a penalty, the sum of five hundred 
 dollars ; and in case of neglect or refusal to make such list or 
 return as aforesaid, or to pay the duties as aforesaid, for the space 
 of thirty days after the time when said list should have been made 
 
 E
 
 32 
 
 or rendered, or when said duties shall have become due and pay- 
 able, the assessment and collection shall be made according to the 
 general provisions prescribed in an act, entitled " An act to pro- 
 vide internal revenue to support the government and to pay 
 interest on the public debt," approved July one, eighteen hundred 
 and sixty-two. 
 
 SEC. 8. And le it further enacted, That, in order to prevent 
 and punish counterfeiting and fraudulent alterations of the bonds, 
 notes and fractional currency, authorized to be issued by this act, 
 all the provisions of the sixth and seventh sections of the act, en- 
 titled " An act to authorize the issue of United States notes, and 
 for the redemption or funding thereof, and for funding the floating 
 debt of the United States/' approved February twenty-fifth, 
 eighteen hundred and sixty-two, shall, so far as applicable, apply 
 to the bonds, notes and fractional currency hereby authorized to 
 be issued, in like manner as if the said sixth and seventh sections 
 were hereby adopted as additional sections of this act. And the 
 provisions and penalties of said sixth and seventh sections shall 
 extend and apply to all persons who shall imitate, counterfeit, make 
 or sell any paper such as that used, or provided to be used, for the 
 fractional notes prepared, or to be prepared, in the Treasury De- 
 partment building, and to all officials of the Treasury Department 
 engaged in engraving and preparing: the bonds, notes and fractional 
 currency, hereby authorized to be issued, and to all official and 
 unofficial persons in any manner employed under the provisions 
 of this act. And the sum of six hundred thousand dollars is 
 hereby appropriated, out of any money in the Treasury not other- 
 wise appropriated, to enable the Secretary of the Treasury to carry 
 this act into eifect. 
 
 Approved March 3, 1863.
 
 33 
 
 No. III. 
 
 Section seventh oftlie " Act to provide ways and means for 
 the support of the government " approved March 3, 1863. 
 
 SEC. 7. And be it further enacted. That all banks, associa- 
 tions, corporations, or individuals, issuing notes or bills for 
 circulation as currency, shall be subject to and pay a duty of 
 one per centum each half year from and after April first, 
 eighteen hundred and sixty-three, upon the average amount of 
 circulation of notes or bills as currency issued bejond the 
 amount hereinafter named that is to say, banks, associations, 
 corporations, or individuals having a capital of not over one hun- 
 dred thousand dollars, ninety per centum thereof ; over one hun- 
 dred thousand and not over two hundred thousand dollars, 
 eighty per centum thereof ; over two hundred thousand and not 
 over threehundred thousand dollars, seventy per centum thereof ; 
 over three hundred thousand and not over five hundred thousand 
 dollars, sixty per centum thereof; over five hundred thousand and 
 not over one million of dollars, fifty per centum thereof; over 
 one million and not over one million and a half of dollars, forty 
 per centum thereof; over one million and a half and not over 
 two millions of dollars, thirty per centum thereof; over two 
 millions of dollars, twenty-five per centum thereof. In the Banks under 
 case of banks with branches, the duty herein provided for the national 
 shall be imposed upon the circulation of the notes or bills of taxelTone half 
 such branches severally, and not upon the aggregate circula- of one per een- 
 tion of all ; and the amount of capital of each branch shall be turn semi-an- 
 considered to be the amount allotted to or used by such nu 'Hy, instead 
 branch ; and all such banks, associations, corporations, and g e p t e h r e ce Q " j' 
 individuals shall also be subject to and pay a duty of one-half gi na f act e 
 of one per centum each half year from and after April first, 
 eighteen hundred and sixty-three, upon the average amount of 
 notes or bills not otherwise herein taxed and outstanding as 
 currency during the six months next preceding the return 
 hereinafter provided for ; and the rates of tax or duty imposed 
 on the circulation of associations which may be organized 
 under the act " To provide a national currency secured by a 
 pledge of United States stocks, and to provide for the circula- 
 tion and redemption thereof," approved February twenty-fifth, 
 eighteen hundred and sixty-three, shall be the same as that 
 hereby imposed on the circulation and deposits of all banks, 
 associations, corporations, or individuals, but shall be assessed 
 and collected as required by said act. And all banks, associa- 
 tions, or corporations, and individuals, issuing or reissuing 
 notes or bills for circulation as currency after April first, eigh- 
 teen hundred and sixty-three, in sums representing any frac- 
 tional part of a dollar, shall be subject to and pay a duty of 
 five per centum each half year thereafter upon the amount of 
 such fractional notes or bills so issued ; and all banks, asso- 
 ciations, corporations, and individuals receiving deposits of 
 
 E 2
 
 34 
 
 money subject to payment on checks or drafts, except 
 savings institutions, shall be subject to a duty of one-eighth of 
 one per centum each half year from and after April first, 
 eighteen hundred and sixty-three, upon the average amount of 
 such deposits beyond the average amount of their circulating 
 notes or bills lawfully issued and outstanding as currency. And 
 a list or return shall be made and rendered within thirty days 
 after the first day of October, eighteen hundred and sixty-three, 
 and each six months thereafter, to the Commissioner of Internal 
 Revenue, which shall contain a true and faithful account of the 
 amount of duties accrued, or which should accrue on the full 
 amount of the fractional note circulation and on the average 
 amount of all other circulation, and of all such deposits, for 
 the six months next preceding, And there shall be annexed to 
 every such list or return a declaration, under oath or affirma- 
 tion, to be made in form and manner as shall be prescribed by 
 the Commissioner of Internal Revenue, of the president, or 
 some other proper officer of said bank, association, corporation, 
 or individual, respectively, that the same contains a true and 
 faithful account of the duties which have accrued, or which 
 should accrue, and not accounted for; and for any default in 
 the delivery of such list or return with such declaration an- 
 nexed, the bank, association, corporation, or individual making 
 such default, shall forfeit, as a penalty, the sum of five hun- 
 dred dollars. And such bank, association, corporation, or in- 
 dividual shall, upon rendering the list or return as aforesaid, 
 pay to the Commissioner of Internal Revenue the amount of 
 the duties due on such list or return, and in default thereof 
 shall forfeit, as a penalty, the sum of five hundred dollars ; 
 and in case of neglect or refusal to make such list or return as 
 aforesaid, or to pay the duties as aforesaid, for the space of 
 thirty days after the time when said list should have been 
 made or rendered, or when said duties shall have become due 
 and payable, the assessment and collection shall be made ac- 
 cording to the general provisions prescribed in an act entitled 
 " An act to provide internal revenue to support the govern- 
 ment and to pay interest on the public debt," approved July 
 one, eighteen hundred and sixty-two.
 
 35 
 
 INDEX 
 
 TO 
 
 AN ACT TO PROVIDE A NATIONAL CURRENCY, ETC. 
 
 Acknowledgment of certificate of application 
 
 Act, section seven of, modifying section nineteen of this act 
 
 Acts prejudical to creditors in contemplation of insolvency 
 
 Agent of associations ..... 
 
 of associations may make examination of bonds 
 special, Comptroller of Currency may appoint 
 special duties of ..... 
 
 Amendments to law, Comptroller to suggest 
 
 Congress reserves the right to make 
 
 Appointment of clerks in Bureau of Currency 
 Comptroller of Currency 
 Deputy Comptroller . . 
 
 director of association, when to be made 
 receiver . . 
 
 visitor . . _ ( 
 
 Apportionment of notes to be circulated 
 
 Articles of associations, changes in, restricted . ' . 
 
 Assets of failing, associations, disbursement of 
 
 Assignments made by Comptroller, evidence, when 
 
 Assignment of rooms in treasury for use of bureau 
 
 Associations, acts of, prejudicial to creditors, void 
 
 amount of capital stock of, to be certified 
 
 annual report of, by Comptroller j 
 
 articles of, changes in, restricted 
 
 assets of, United States to have a prior lien on 
 
 authorized to circulate their notes 
 
 authorized to commence banking 
 
 banking, how to organize 
 
 banking, powers conferred upon 
 
 banking usages granted to 
 
 bonds deposited by, forfeited, when 
 
 bonds of, may be sold at auction, when 
 
 bonds of, may be sold at private sale, when 
 
 bonds of, transferred to Treasurer, in trust 
 
 capital stock of, how and when paid in 
 
 capital stock of, how increased 
 
 capital stock of, into what shares divided 
 
 certificate to be forwarded to Comptroller by 
 
 condition of, upon organization to be examined 
 
 corporate powers conferred upon 
 
 declaration of intention to form 
 
 directors of, election of ... 
 
 directors of, liability of, to association, restricted 
 
 directors of, number of ... 
 
 directors of, oath of, and oath to be sent to Comptroller 
 
 directors of, per centum of stock to be held by 
 
 Section. 
 
 49 
 
 11 
 
 23 
 
 26 
 
 26 
 
 60 
 
 65 
 
 1 
 
 1 
 
 1 
 
 40 
 
 29 
 
 51 
 
 17 
 
 12 
 
 29 
 
 2 
 
 3 
 
 49 
 
 6 
 
 60 
 12 
 26 
 20 
 10 
 5 
 11 
 46 
 26 
 27 
 28 
 30 
 7 
 
 13 
 
 36 
 
 6 
 
 9 
 
 11 
 
 6 
 
 40 
 35 
 39 
 39 
 39
 
 36 
 
 INDEX. 
 
 
 
 
 Section. 
 
 Page. 
 
 Associations, directors of, qualification of . 
 
 
 
 39 
 
 17 
 
 dividends, how and when to be declared by . 
 
 
 
 45 
 
 20 
 
 duties of, upon suspension 
 
 
 
 25 
 
 10 
 
 existence of, limited to twenty years 
 
 
 
 11 
 
 5 
 
 failing, duties of Comptroller towards 
 
 
 
 26 
 
 11 
 
 failing to redeem their notes, proceeding against 
 
 
 
 25 
 
 10 
 
 forbidden to increase their liabilities, when . 
 
 
 
 41 
 
 18 
 
 forbidden to issue any other notes 
 
 
 
 20 
 
 8 
 
 forbidden to make dividends . 
 
 
 
 41 
 
 18 
 
 forbidden to pay dividends, except upon profits 
 
 
 
 44 
 
 19 
 
 forbidden to pay out uncurreut money 
 
 
 
 48 
 
 21 
 
 forbidden to pledge their own notes 
 
 
 
 43 
 
 19 
 
 forbidden to purchase any capital stock 
 
 
 
 37 
 
 16 
 
 forbidden to purchase real estate, except 
 
 
 
 14 
 
 6 
 
 forbidden to receive capital stock as security 
 
 
 
 37 
 
 16 
 
 forbidden to withdraw capital stock 
 
 
 
 44 
 
 19 
 
 indebtedness of, restricted 
 
 
 
 42 
 
 18 
 
 individual and firm liabilities to, restrained 
 
 
 
 47 
 
 21 
 
 interest on loans prescribed to 
 
 
 
 46 
 
 20 
 
 interest on United States bonds to be paid to 
 
 
 
 30 
 
 13 
 
 interest on United States bonds to be invested for 
 
 
 
 31 
 
 14 
 
 laws of, to be approved by Comptroller 
 liabilities of stockholders to, restrained 
 
 
 
 11 
 35 
 
 5 
 
 16 
 
 limitation of, as to holding real estate 
 
 
 
 14 
 
 6 
 
 lists of stockholders prescribed 
 
 
 
 6,53 
 
 3,23 
 
 may become depositors of public funds 
 may be wound up for deficiency of redemption fund 
 
 
 
 54 
 41 
 
 23 
 
 18 
 
 may enjoin proceedings against themselves . 
 
 
 
 29 
 
 13 
 
 may increase their capital 
 may obtain their bonds from treasurer 
 
 
 
 13 
 30 
 
 5 
 13 
 
 may sell delinquent stock 
 
 
 
 8 
 
 3 
 
 monthly reports to be made by certain 
 
 
 
 24 
 
 10 
 
 must forward certificate to Comptroller 
 
 
 
 6 
 
 2 
 
 name of, must be certified 
 
 
 
 6 
 
 2 
 
 names and residences of stockholders of 
 
 
 
 6,53 
 
 3,23 
 
 notes of, for what to be received 
 
 
 
 20 
 
 8 
 
 notes of, paid at United States treasury, when 
 
 
 
 26 
 
 11 
 
 notes of, penalties for counterfeiting, &c. 
 
 
 
 57 
 
 23 
 
 notes of, penalties for mutilating, &c. 
 
 
 
 56 
 
 23 
 
 notes of, signature of 
 
 
 
 18 
 
 7 
 
 officers of, appointment of 
 
 
 
 11 
 
 5 
 
 officers of, embezzlement by 
 
 
 
 52 
 
 22 
 
 officers of, false entries by 
 
 
 
 52 
 
 22 
 
 officers of, malfeasance of . 
 
 
 
 50 
 
 22 
 
 officers of, misdemeanors of 
 
 
 
 33,52 
 
 15,22 
 
 place of business of, must be certified 
 place of business of, location of 
 
 
 
 6 
 6,11 
 
 2 
 
 2,5 
 
 president of, must be a director 
 
 
 
 39 
 
 17 
 
 rate of interest prescribed to 
 
 
 
 46 
 
 20 
 
 receiver of, appointment and duties of 
 
 
 
 29 
 
 12 
 
 reports of, Comptroller to prescribe 
 
 
 
 24 
 
 9 
 
 reports of, publication of 
 
 
 
 24 
 
 9 
 
 reports of, to be made quarterly 
 
 
 
 24 
 
 9 
 
 reports of, to be made under oath 
 
 
 
 24 
 
 9 
 
 reports to be made monthly by certain 
 
 
 
 24 
 
 9 
 
 residence of shareholders to be certified by 
 
 
 
 6 
 
 3
 
 INDEX. 
 
 Section. Page. 
 
 Associations, rights of persons becoming shareholders of 
 
 security for loans to be given by shareholders of 
 
 shares of, personal property 
 
 shares of, transfer of .... 
 
 statement to accompany declaration of dividend 
 
 suits and actions by and against 
 
 tax on circulation of, one half of one per cent, semi-annually 
 
 time of commencement of, to be certified 
 
 to deposit additional bonds, when 
 
 to examine bonds annually and give certificate 
 
 to forfeit corporate rights, when 
 
 to forward certificate and articles of association 
 
 to make and publish quarterly reports . 
 
 to pay compensation of visitor . 
 
 to pay for protests and other expenses 
 
 to pay one-half of one per cent, semi-annually upon circulation 
 
 to procure certificate from Comptroller, and publish the same 
 
 to receive interest on bonds . . 
 
 to receive new notes for old .... 
 
 to receive notes for circulation from Comptroller 
 
 to receive proceeds of interest invested in bonds 
 
 to reserve a redemption fund ? 
 
 transfer of bonds of, to Treasurer of the United States 
 
 transfer of bonds of, by Treasurer of the United States 
 
 usury by ...... 
 
 vested with corporate powers 
 
 Attorneys, district, duties of ..... 
 
 Auction, public, when stock may be sold at ... 
 
 Authority, grant of, to commence banking 
 
 B. 
 
 Bad debts defined . . . . . 
 
 Banking associations, how formed . . . . 
 
 powers conferred on associations . . . . 
 
 usages secured to associations ..... 
 
 Banks, State and other, may organize under this act 
 
 may obtain notes under this act 
 
 proceedings against, upon failure to redeem notes 
 
 obtained under this act 
 
 to return the amount of their notes in circulation . 
 penalty for failing to make return . 
 Bond of Comptroller of Currency ...... 
 
 of Deputy Comptroller ...... 
 
 Bonds of United States defined ...... 
 
 deposited by associations to be annually examined . 
 
 depreciation of . . 
 
 how and when returned 
 interest accruing on, to be invested, when 
 interest on, paid, when 
 may be declared forfeited . 
 may be sold at auction 
 may be sold at private sale . 
 
 deposited by State and other banks forfeited, when . 
 deposited, how transferred by associations to Treasurer 
 
 from associations by Treasurer . 
 
 12 
 
 37 
 12 
 12 
 45 
 59 
 
 6 
 
 30 
 23 
 50 
 
 6 
 
 24 
 51 
 34 
 19 
 10 
 30 
 32 
 16 
 31 
 41 
 15 
 21 
 46 
 11 
 55 
 
 8,27 
 10 
 
 5 
 11 
 46 
 61 
 62 
 
 63 
 
 19 
 
 19 
 
 1 
 
 1 
 
 4 
 
 23 
 30 
 30 
 31 
 30 
 26 
 8,27 
 28 
 64 
 21 
 21
 
 INDEX. 
 
 Bureau of Currency established 
 business of 
 Business place of association 
 
 C. 
 
 Capital stock, associations forbidden to withdraw their 
 of associations, how increased 
 
 how and when paid . 
 
 not to be pledged as security 
 shares of, prescribed 
 
 Cashier of association, appointment of .... 
 to keep list of names of stockholders 
 to sign notes .... 
 
 Certificate, Comptroller to give ..... 
 
 of examination of bonds .... 
 
 of authority to associations to be published 
 Certificate of increase of capital paid in, required . 
 
 preliminary by associators, requisites of . 
 
 preliminary by State and other banks . 
 Certificates, certified copies of, by Comptroller, evidence . 
 
 clearing house . . ... 
 
 executed by Comptroller evidence, when 
 Circulation of notes by associations authorized 
 Clearing-house certificates . . . 
 
 Clerks in Currency Bureau, appointment and classification of 
 
 to be annually returned 
 
 Commission, special, may be appointed, when . . . 
 
 Comptroller of Currency, annual report of ... 
 
 appointment of . ... 
 
 assignments made by, evidence 
 
 banks to report their issues to ... 
 
 bond of ... 
 
 certificates made by, evidence 
 
 certificates of capital paid in, to give 
 
 conveyances executed by, evidence 
 
 copies of papers certified by, evidence . 
 
 duties of, towards failing associations 
 
 duties of, upon report of receiver 
 
 forbidden to be interested in associations 
 
 laws of associations to be approved by . 
 
 list of stockholders, etc. to be transmitted to 
 
 may appoint receiver, when . ... 
 
 may authorize associations to receive interest on their bonds 
 
 may declare bonds forfeited .... 
 
 may deliver to State and other banks notes to issue 
 
 may direct return of bonds to associations 
 
 may examine affairs of associates by commission 
 
 may sell bonds at auction 
 
 may sell bonds at private sale 
 
 monthly reports to be made to . 
 
 oath of . . . . 
 
 oath of directors to be sent to . 
 
 office of, created . . . 
 
 office of, term of . . 
 
 offices in treasury to be assigned to .
 
 INDEX. 
 
 Section. Page. 
 
 Comptroller proceedings by, against failing associations 
 proceedings by, against failing State banks 
 quarterly reports to be made to 
 receiver to be appointed by, when 
 receiver to report to 
 
 removal of, from office . . 
 
 salary of . . 
 
 seal of bureau to be devised by 
 statement to accompany declaration of dividends to be trans 
 mitted to . ... 
 
 to advise associations of transfers 
 
 to advise associations of sales of bonds at auction 
 
 to appoint receiver, when . ' '". 
 
 to appoint visitor . ... 
 
 to be paid one half of one per cent,, semi-annually, by associa 
 tions . . .... 
 
 of Currency to cause plates for notes to be engraved . 
 to control plates for notes .... 
 
 to demand the deposit of additional bonds, when 
 to deposit plates, &c. in fire-proof vaults 
 to devise a seal . . , . '; 
 
 to direct publication of certificate, when 
 to examine affairs of associations, when 
 to furnish furniture, stationery, &c. . ; * 
 
 to furnish notes for associations to issue 
 to give associations a certificate 
 to give certificate of increase of capital 
 to give notice of payment of notes at treasury . . 
 
 to have access to books of Treasurer 
 to invest the interest accruing on bonds, when 
 to keep record of bonds transferred 
 to notify associations of deficiency of redemption fund 
 to prescribe the form of quarterly reports 
 to receive and exchange worn-out notes 
 to record transfers of bonds from associations 
 to record and preserve certificate of association 
 to supply notes to associations upon transfer of bonds 
 to transfer proceeds of interest invested, when 
 verified lists of names, &c., of shareholders to be sent to 
 of Currency, Deputy. ( See Deputy Comptroller.) 
 Condition of associations to be examined by Comptroller 
 
 Congress, rights of, to amend this act, reserved 
 Conveyances made by Comptroller, evidence 
 Copies of papers certified to by Comptroller, evidence 
 
 annual report of Comptroller, number of 
 Corporate powers conferred upon associations 
 Counterfeiting, &c., notes of associations, punishment for 
 Courts, jurisdiction of ... 
 
 Creditors, acts by associations prejudicial to, void 
 
 of failing associations to be notified 
 Currency Bureau established 
 
 business of ... 
 
 clerks in, how appointed and classified 
 clerks in, return of, to be annually made
 
 40 
 
 IXDEX. 
 
 
 Section. 
 
 Page. 
 
 D. 
 
 
 
 Debts, bad, defined ....... 
 
 44 
 
 19 
 
 Delinquent shareholders, proceedings against 
 
 8 
 
 3 
 
 Denominations of notes to be circulated .... 
 
 18 
 
 7 
 
 Deputy Comptroller of Currency, appointment of 
 
 1 
 
 1 
 
 bond of 
 
 1 
 
 1 
 
 duties of ... 
 
 1 
 
 1 
 
 forbidden to be interested in associations 
 
 
 
 under this act . 
 
 1 
 
 2 
 
 oath of 
 
 1 
 
 1 
 
 salary of . . 
 
 1 
 
 1 
 
 Devices on notes, Secretary of Treasury to regulate . 
 Directors of association, appointment of ... 
 consent of, for transfer of stock, when required 
 
 18 
 40 
 36 
 
 7 
 17 
 16 
 
 election of .... 
 
 40 
 
 17 
 
 knowingly permitting the violation of any laws 
 
 50 
 
 22 
 
 liability of, to association restricted 
 
 35 
 
 16 
 
 malfeasance of 
 
 50 
 
 22 
 
 number and oath of ... 
 
 39 
 
 17 
 
 president must be one 
 
 39 
 
 17 
 
 qualification of 
 
 39 
 
 17 
 
 removing from State 
 
 40 
 
 17 
 
 to be examined under oath, when 
 
 9 
 
 4 
 
 to control delinquent stock, when 
 Distribution of notes to be circulated .... 
 
 8 
 17 
 
 3 
 
 6 
 
 District attorneys, duties of, under this law ... 
 
 55 
 
 23 
 
 Dividends forbidden, when ..... 
 
 41,44 
 
 18, 19 
 
 restricted to net profits .... 
 
 44 
 
 19 
 
 semi-annual, how to be made 
 
 45 
 
 19 
 
 semi-annual, statement to accompany declaration of . 
 
 45 
 
 19 
 
 E. 
 
 
 - 
 
 Election of directors ...... 
 
 40 
 
 17 
 
 rights of shareholders at .... 
 
 38 
 
 16 
 
 Embezzlement, false entries, &c., by officers 
 
 52 
 
 22 
 
 Engraving of counterfeit plates, punishment for . 
 Evidence, certain instruments of writing executed by Comptroller 
 
 58 
 2 
 
 24 
 2 
 
 certified copies of certificates made by Comptroller 
 Examination of affairs of association by visitor . . . 
 
 6 
 51 
 
 3 
 22 
 
 affairs of associations by special commission 
 
 10 
 
 4 
 
 officers under oath ..... 
 
 9 
 
 4 
 
 bonds deposited by associations to be annually made 
 preliminary, and other expenses, how paid 
 Expenses of executing this act, how paid 
 
 23 
 34 
 19 
 
 9 
 15 
 
 7 
 
 visitorial examination, what, and how paid . 
 
 51 
 
 22 
 
 P. 
 
 
 
 False entries by officers, and punishment for ... 
 
 52 
 
 22 
 
 Fees for examinations, protests, and receivers, how paid 
 
 34 
 
 15 
 
 Firms, liabilities of, to associations restrained 
 
 47 
 
 21 
 
 Forfeiture of corporate rights of association for malfeasance 
 
 50 
 
 22 
 
 Forgery, &c., of notes ..... 
 
 57 
 
 23 
 
 Frauds, &c., by officers ..... 
 
 52 
 
 22
 
 IKDEX. 
 
 41 
 
 Section. Page. 
 
 Fuel, furniture, &c. of Bureau, Comptroller to furnish 
 
 Fund for redemption of issue, to be reserved . . * 
 
 H. 
 
 Hypothecation of notes by association forbidden 
 
 I. 
 
 Impression of seal of Bureau to be filed in office of Secretary of State 
 
 when valid ..... 
 Increase of liabilities by associations forbidden, when . . , 
 
 Indebtedness by associations limited . ; > -. , * ' 
 
 Individual liabilities to associations restricted . . 
 
 Injunction against Comptroller may be had, when . . ^ 
 
 Insolvency, acts prejudicial to creditors in contemplation of 
 Instalments on capital stock, how paid .... 
 Interest on bonds deposited, associations to receive 
 
 to be invested by Comptroller, when 
 to be retained by Comptroller, when 
 on loans may be retained in advance 
 rate of, established ^ V. . 
 
 usurious, penalty for ..... 
 
 Interested in associations under this act, Comptroller and Deputy Comptroller 
 forbidden to be 
 
 Jurisdiction of courts 
 
 J. 
 
 L. 
 
 Liabilities, associations forbidden to increase their, when . 
 of directors to their own association restricted . 
 of individuals and firms to associations restricted 
 of shareholders to creditors declared .... 
 
 of shareholders to theur own association restricted 
 Lien of United States upon assets of association .... 
 
 Lights, &c., for use of Bureau, Comptroller to furnish 
 Limitation of amount of notes to be circulated 
 
 associations in the holding of real estate 
 
 existence of associations . . . \. 
 
 indebtedness of associations . 
 
 number of directors ......' 
 
 Lists of names and residences, &c., of stockholders, to be transmitted to 
 
 Comptroller, with application . 
 Lists of names, residences, &c., verified, to be annually sent to Comptroller 
 
 to be retained in office 
 Loans, security to be given for, prescribed .... 
 
 M. 
 
 Malfeasance by directors, or permitted by them 
 
 41 
 
 43 
 
 2 
 41 
 
 42 
 47 
 29 
 49 
 7 
 
 30 
 31 
 
 30,31 
 46 
 46 
 46 
 
 1 
 
 59 
 
 41 
 35 
 47 
 12 
 35 
 26 
 3 
 17 
 14 
 11 
 42 
 39 
 
 53 
 53 
 37 
 
 50
 
 INDEX. 
 
 Misdemeanour of officers, and punishment for 
 
 Modification of tax on circulation prescribed in note section 19, page 7 
 Money, uncurrent, or under par, associations forbidden to pay 
 Mutilation of notes of associations, penalty for 
 
 N. 
 
 Name of association to be set forth in certificate .... 
 
 Names of stockholders, residences, and amount of stock held, to be kept by 
 officers, and verified list transmitted to Comptroller of Currency . 
 
 Notary public, duties of, upon protest of notes . . . 
 
 fees of, for protest, how paid . . 
 
 when not to protest notes ..... 
 
 Note to section 19, page 7, modifying the tax on circulation 
 
 Notes of associations, all other kinds, associations forbidden to issue 
 amount of, to be supplied to each association 
 annual report of issue of, to be made 
 apportionment of the whole amount of 
 Comptroller to supply for circulation 
 denominations of, prescribed . 
 devices upon . 
 
 disfigurement and mutilation of 
 expenses of preparing, how paid 
 for what to be received 
 fund for the redemption of, to be retained 
 paid at the treasury of United States, when . 
 paid at the treasury of United States, how disposed of 
 penalty for the forgery, &c., of 
 plates of, Comptroller to control 
 pledge of, by associations, forbidden 
 protest of 
 
 signatures of officers upon 
 State and other banks may receive to issue . 
 State and other banks failing to redeem 
 to be supplied by Comptroller for circulation 
 what shall be expressed upon the face of 
 what officers of association must sign 
 whole amount of, to be issued 
 worn and mutilated, to be exchanged for new 
 worn and mutilated, when exchanged, how cancelled 
 
 Notification to Comptroller of the amount of stock paid in required 
 
 Number of copies of annual report of Comptroller .... 
 persons requisite to organize a banking association 
 
 O. 
 
 Oath of office of Comptroller of Currency . 
 
 Comptroller of Currency, when it must be taken . 
 
 Deputy Comptroller .... 
 
 Deputy Comptroller, when it must be taken 
 
 directors of association .... 
 
 directors of association to be transmitted to Comptroller 
 Officers of association, how appointed .... 
 malfeasance of, how punished
 
 INDEX. 
 
 Section. 
 
 Officers of association, misdemeanors of, defined 
 
 Offices in Treasury building to be assigned for Currency Bureau 
 
 Organization of State and other banks under this law 
 
 P. 
 
 Paper similar to association bank-note paper, penalties for being in 
 
 sion of . 
 
 Payment by associations of uncurrent money forbidden 
 Penalties against banks for failing to report notes issued . 
 for disfigurement, mutilation, &c., of notes ^ 
 for being found with bank-note paper . , ' 
 
 for counterfeiting, uttering, &c. . 
 for engraving plates or having them in possession, &c. 
 Perjury, false reports made under oath to be deemed 
 Place of business of association determined 
 Plates, fraudulent engraving of 
 
 Plates to be kept in fire vaults .... 
 Pledge of their own notes by associations forbidden 
 President of association, how appointed 
 
 association must be a director 
 United States to appoint Comptroller of Currency 
 United States to remove Comptroller of Currency 
 Proceedings against failing association 
 Protest of notes of associations .... 
 fees for, how paid .... 
 Proxy, shareholders may vote by 
 
 Public moneys may be deposited in banks of association . 
 Publication of authority to commence banking 
 Punishment for making false reports . . 
 
 Qualifications of directors . 
 
 Quarterly reports of associations 
 
 Comptroller to prescribe 
 publication of 
 
 B. 
 
 Rate of interest on loans, &c. , established . 
 Real estate, Limitation of associations to hold 
 Receiver of association, appointment and duties of 
 
 may be appointed on neglect of association to sup- 
 ply deficiencies 
 may be enjoined 
 payment of fees of 
 
 Register of United States, signature of, required on notes 
 Removal of Comptroller of Currency 
 Report, annual, of Comptroller to Congress 
 
 monthly, certain associations to make and publish 
 quarterly, associations to make and publish 
 quarterly, Comptroller to prescribe form of 
 
 33,52 
 
 3 
 61 
 
 58 
 48 
 19 
 56 
 58 
 57 
 58 
 24 
 
 6&11 
 58 
 
 3 
 
 43 
 11 
 39 
 
 1 
 
 1 
 
 25 
 25 
 34 
 38 
 54 
 10 
 24 
 
 39 
 24 
 24 
 24 
 
 46 
 14 
 29 
 
 41 
 29 
 34 
 18 
 1 
 
 60 
 24 
 24 
 24
 
 TffDKX. 
 
 Section. Page. 
 
 Report, quarterly, Comptroller to publish abstracts of 
 Residences of shareholders to be returned under oath 
 Returns of notes issued to be made by State and other banks 
 
 S. 
 
 Salary of Comptroller of Currency . 
 
 Deputy Comptroller 
 Seal of Bureau of Currency 
 
 description and impression of, to be filed in the 
 
 Department of State 
 impression of, when valid 
 of Treasury to appear on all notes 
 Secretary of Treasury, apportionment of notes by 
 
 Clerks of Bureau appointed by 
 Comptroller of Currency nominated by 
 Comptroller of Currency under general direction of 
 disposition of notes paid at Treasury regulated by . 
 engraving of plates directed by 
 exchange of old notes for new, regulated by 
 offices for bureau to be assigned by 
 seal of bureau to be approved by 
 Secretary of State, certificate of approval of seal and impression of same to 
 
 be filed in the office of . . . 
 
 Section seven of finance act, modifying section 19 of this act . 
 Security for loans, capital stock forbidden to be received as 
 
 directors and shareholders not to be favoured in giving . 
 Semi-annual dividend, how declared . , 
 
 Senate to confirm appointment of Comptroller 
 Senate to sanction removal of Comptroller 
 Shareholder, delinquent, proceedings against 
 
 indebtedness of, to association, restricted 
 liabilities of, to creditors 
 rights of, upon receiving transfer of stock 
 rights of, to receive dividends, restricted 
 rights of, to sell stock, restricted 
 securities for loans required from 
 vote of, by proxy 
 vote, when not entitled to 
 Shares of stock personal property 
 
 transfer of . 
 Signatures of officers of association to appear on notes 
 
 Treasurer and Register upon 
 
 Solicitor of Treasury to supervise suits under this law 
 Spurious notes, penalty for having, uttering, &c. 
 State banks and others, organization of, under this law 
 Statement to accompany declarations of dividends 
 to be made under oath . 
 to be transmitted to Comptroller 
 Stationery, &c., of Bureau, Comptroller to furnish . 
 Stock, delinquent, how disposed of . 
 
 when consent of directors for transfer of, required 
 Suits under this act, Solicitor of Treasury to supervise 
 Surrender of bonds of United States to associations, terms of 
 
 24 
 53 
 19 
 
 1 
 1 
 2 
 
 2 
 
 2 
 
 18 
 
 17 
 
 1 
 
 1 
 
 1 
 
 26 
 
 18 
 
 32 
 
 3 
 
 2 
 
 37 
 
 37 
 
 45 
 
 1 
 
 1 
 
 8 
 
 35 
 12 
 12 
 36 
 36 
 37 
 38 
 38 
 12 
 12 
 18 
 18 
 55 
 57 
 61 
 45 
 45 
 45 
 3 
 8 
 
 36 
 55 
 30
 
 INDEX. 
 
 45 
 
 Section. Page. 
 
 T. 
 
 Tax of issues one half of one per centum semi-annually as modified 
 Term of office of Comptroller of Currency ..... 
 Deputy Comptroller ..... 
 Transfer of stock, consent of directors required, when 
 Transfer of United States bonds by associations to Treasurer, amount of . 
 
 by associations to Treasurer, how made . 
 from associations by Treasurer, how made 
 from associations to be recorded . 
 Treasurer of United States, retransfer of bonds by . 
 
 signature of, to appear on notes 
 to have access to books of Comptroller 
 to receive and hold bonds in trust 
 to reserve one-half of one per centum semi- 
 annually as modified 
 Treasurer, Solicitor of the, to supervise suits under this act . , 
 
 U. 
 
 Uncurrent money, associations forbidden to pay out . . 
 
 United States bonds defined ...... 
 
 transfer of, bv associations to Treasurer of United 
 States ...... 
 
 transfer of, from associations by Treasurer 
 Usury by associations ....... 
 
 Utterance of forged, counterfeit, &c., notes . . . . 
 
 V. 
 
 Vacancy of directors, how filled 
 
 Valuables, note-plates, &c., to be kept in fire-proof vaults 
 Vaults, fire-proof, to be assigned to Comptroller 
 Vice-president of association 
 Visitor of association, appointment of 
 compensation of 
 compensation of, payment of 
 
 Void, acts of association prejudicial to creditors, when 
 Votes, number of, shareholders entitled to . 
 
 regulation of, by proxy 
 
 when shareholders to lose their 
 
 W. 
 
 Withdrawal of capital by association forbidden 
 
 19 
 1 
 1 
 
 36 
 15 
 21 
 21 
 22 
 21 
 18 
 22 
 15 
 
 19 
 55 
 
 48 
 4 
 
 21 
 
 21 
 4f> 
 57 
 
 '40 
 3 
 3 
 
 18 
 51 
 51 
 
 34,51 
 49 
 38 
 38 
 38 
 
 44
 
 AMERICAN 
 
 FINANCES AND RESOURCES. 
 
 LETTER 
 
 No. II. 
 
 OP 
 
 HON. ROBERT J. WALKER, MA. 
 
 COUNSELLOR AT LAW IN THE SUPREME COURT OP THE UNITED STATES, 
 
 LATE LAW REP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OP KANSAS, ETC., ETC. 
 
 LONDON: 
 
 WILLIAM EIDGWAY, 169, PICCADILLY, W. 
 1863.
 
 
 fl ITT S J 
 
 
 .VW .1 Til- 
 

 
 
 . 
 
 AMERICAN 
 
 FINANCES AND RESOURCES. 
 
 j 
 
 LETTER No. II. 
 
 London, 10, Half Moon Street, Piccadilly, 
 October 8, 1863. 
 
 IN view of the fact, that the people of the United 
 Kingdom and of the United States are mainly of the 
 same race, speak the same language, have the same 
 literature, ancestry, and common law, with the same 
 history for centuries, and a reciprocal commerce 
 exceeding that of all the rest of the world, it is 
 amazing* how little is known in each country of the 
 other. This condition of affairs is most unfavour- 
 able to the continuance of peace and goodwill 
 between two great and kindred nations. It causes 
 constant misapprehension by each party of the acts 
 and motives of the other, arrests the development of 
 friendly feeling-, and retards the advance of com- 
 mercial freedom. It excites almost daily rumours 
 of impending war, disturbing the course of trade, 
 causing large mercantile losses, and great unneces- 
 sary Government expenditures. If war has not 
 ensued, it has led to angry controversy and bitter 
 recrimination. It is sowing broadcast in both 
 
 A 2
 
 4 
 
 countries the seeds of international hatred, rendering 
 England and America two hostile camps, frowning" 
 mutual defiance ; and, if not terminating 1 in war, 
 must, if not arrested, end in embargoes and non-in- 
 tercourse, or discriminating- duties on imports and 
 tonnage, greatly injurious to both countries. I 
 know it has become fashionable in England and 
 America to sneer at the fact of our common origin ; 
 but the great truth still exists, and is fraught with 
 momentous consequences, for good or evil, to both 
 nations, and to mankind. The United States were 
 colonized mainly by the. people of England. Ten of 
 our original thirteen States bear English names, as 
 do also nearly all their counties, townships, cities, 
 and villages. 
 
 Leaving- to Englishmen the task of disabusing; the 
 Americans in regard to their own country, I will 
 endeavour to present, in a condensed form, some 
 material and authentic facts as regards the United 
 States for the consideration of the people of the 
 United Kingdom. I read and hear every day here 
 predictions of our impending- bankruptcy and na- 
 tional dissolution, our wealth and resources depre- 
 ciated ; our cause, our people, our armies, and 
 Government decried ; and a war in words and in the 
 press prosecuted against us with vindictive fury. 
 All this hostility is fully reciprocated in America ; 
 and if the war is not confined to words and types, 
 it will not be the fault of agitators in both countries. 
 So far as an American can, even in part, arrest this
 
 fatal progress of misapprehension, by communicating- 
 information in regard to his own country, is the 
 principal purpose of these essays. 
 
 In answer to the daily predictions here of our 
 impending- ruin and national bankruptcy, I shall 
 first discuss the question of our wealth, resources, 
 and material progress. 
 
 AREA The area of the United States, including- 
 
 lakes and rivers, is 3,250,000 square miles, being- 
 larger than all Europe. (Rep. Sec. of Interior and 
 of Com. of Gen. Land Office, for Dec. 1860, p. 13.) 
 
 Our land surface is 3,010,370 square miles, being 
 1,9*26,636,800 acres. This area is compact and 
 contiguous, divided into States aud Territories, 
 united by lakes, rivers, canals, and railroads. We 
 have no colonies. Congress governs the nation by 
 what the Constitution declares to be " the supreme 
 law" whilst local regulations are prescribed and 
 administered by the several States and Territories. 
 We front on the two great oceans the Atlantic 
 and Pacific \ extending from the St. Lawrence and 
 the Lakes to the Gulf of Mexico, from near the 
 24th to the 49th parallel of north latitude ; and in 
 longitude, from 67 25' to 154 40' west of Green- 
 wich. Our location on the globe as regards its 
 land surface is central, and all within the tem- 
 perate zone. No empire of contiguous territory, 
 possesses such a variety of climate, soil, forests and 
 prairies, fruits and fisheries, animal, vegetable, 
 mineral, and agricultural products. We have all
 
 6 
 
 those of Europe, with many in addition, and a 
 climate (on the average) more salubrious, as 
 shown by the international census. We have a 
 far more fertile soil and genial sun, with longer and 
 better seasons for crops and stock ; and already, 
 in our infancy, with our vast products, feed and 
 clothe many millions in Europe and other con- 
 tinents. Last year our exports to foreign coun- 
 tries of breadstuff's and provisions, from the loyal 
 States alone, were of the value of $ 108,000,000. 
 (Tab)e of Com. and Nav. 1860.) 
 
 If as well cultivated as England, our country 
 could much more than feed and clothe the whole 
 population of the world. If as densely settled as 
 England, our population would be more than twelve 
 hundred millions, exceeding that of all the earth, 
 if as densely settled as Massachusetts, (among the 
 least fertile of all our State?,) we would number 
 513,000,000 inhabitants. 
 
 We have seen that our area exceeds that of 
 Europe, with a far more g'enial sun and fertile soil, 
 and capable of yielding more than double the amount 
 of agricultural products and of sustaining more than 
 twice the number of inhabitants. We have a greater 
 extent of mines than all Europe, especially of coal, 
 iron, gold, silver, and quicksilver. Our Coal alone, 
 as stated by Sir William Armstrong, (the hig'hest 
 British authority,) is 32 times as great as that of the 
 United Kingdom, and our iron will bear a similar 
 proportion.
 
 Our maritime front is 5,1 20 miles ; but, our whole 
 coast line^ including- bays, sounds and rivers, up 
 to the head of tide water is 33,663 miles. (Ex. 
 doc. No. 7, pp. 75, 76, Official Eeport of Professor 
 A. D. Bache, Superintendent of U. S. Coast Sur- 
 vey, Dec. 5th, 1848.) Our own lake shore line is 
 3620 miles. (Top. Eept. ib. 77.) 
 
 The shore line of the Mississippi river above tide- 
 water and its tributaries, is 35,644, (Ib. 77) ; and of 
 all our other rivers, above tide-water/is 49,857 miles, 
 making in all 122,784 miles. Of this stupendous 
 water mileage, more than one half is navigable by 
 steam, employing an interior steam tonnage exceed- 
 ing that of all the internal steam tonnage of the 
 rest of the world. No country is arterialized by such 
 a vast system of navigable streams, to have con- 
 structed which as canals of equal capacity would have 
 cost more than ten billions of dollars, and then these 
 canals would have been subjected to large tolls, the 
 cost of their annual repairs would have been enor- 
 mous, and the interruption by lockage, a serious 
 obstacle. We may rest assured then, that, all 
 Europe combined, can never have such facilities for 
 cheap water communication as the United States. 
 This is a mighty element in estimating the power 
 and progress of a nation. It shows, also, why we 
 have no such deserts as Sahara, so small a portion 
 of our lands requiring manures or irrigation, and 
 no g*eneral failures of crops, with so few even 
 partial failures of an}^ one crop. 
 
 We have more deep, capacious and safe harbours
 
 8 
 
 accessible at all tides, than all Europe, with more than 
 twenty capable of receiving- the " Great Eastern." 
 (Charts, TJ. S. Coast Survey.) 
 
 Our hydraulic power, (including* Niagara,) far 
 exceeds that of all Europe. We have more timber 
 than all Europe, including- most varieties, useful and 
 ornamental. We have, including cotton, vastly 
 more of the raw material for manufacturers than all 
 Europe. With all these vast natural advantages, 
 has man, in our country, performed his duty, in 
 availing- himself of the bounteous gifts of Providence? 
 We are considering 1 now the question of our material 
 progress, in regard to which, the following official 
 data are presented. 
 
 We have completed since 1790, 5782 miles of 
 canals, from four to ten feet deep, and from 40 to 
 75 feet wide, costing $148,000,000, and mostly 
 navigable by steam. (Census Table, 1860, No. 39.) 
 We have constructed since 1829, 33,698 miles of 
 rail-road, (more than all the rest of the world,) cost- 
 ing $1,258,922,729. (Table 38, Census of 1860, 
 and Addenda.) 
 
 We have in operation on the land, more miles of 
 telegraph than all the world, a single route, from 
 New York to San Francisco, being 3500 miles. 
 
 Our light-houses exceed in number those of any 
 other country, and we have no light-dues, as in 
 England. 
 
 Our coast survey, executed by Professor Bache, 
 Superintendent of the U. S. Coast Survey, exceeds in 
 extent and accuracy that of any other country. On
 
 this subject, we have the united opinions of British 
 and Continental savans. 
 
 We have made since 1790, 1,505,454 linear miles 
 of survey of the public lands of the U. States, be- 
 longing- to the Government, including" 460,000,000 
 of acres already divided into townships, each six . 
 miles squares, (2 3,0 40 acres,) subdivided into square 
 miles, called sections, of 640 acres each, and each 
 section further subdivided, into 16 lots of 40 acres 
 each. 
 
 TONNAGE. The total tonnag'e of the United 
 
 States was in 
 
 1814, 1,368,127 tons. 
 
 June, 1851, 8,772,439 
 June, 1861, 5,539,812 
 At the same rate of increase as from 1851 to 1861, 
 our tonnag'e would be 
 
 in 1871, 8,134,578 tons. 
 1881, 11,952,817 
 1891, 17,541,514 
 1901, 25,758,948 
 
 (Table Com. $ Nav.) 
 
 At the close of this century our tonnag'e then, at 
 this rate of increase, would far exceed that of all the 
 rest of the world. 
 
 GOLD AND SILVER. The ag-greg-ate product of 
 our g'old and silver mines approaches now one bil- 
 lion of dollars, most of which has been converted 
 into coin at our mint. Nearly all of this product 
 has been obtained since the discovery of gold iu
 
 10 
 
 California. Less than two per cent, of the precious 
 metals has been the product of the seceded States. 
 This gold and silver are found now in seven States, 
 and nine Territories ; the yield is rapidly augment- 
 ing-, and new discoveries constantly developed. 
 
 The Secretary of the Interior estimates the total 
 product " next year/' of our mines of precious 
 metals, at $100,000,000," and when our rail- 
 road to the Pacific, (traversing* this region,) is com- 
 pleted, his estimate of the " annual yield" is 
 " 5150,000,000." The mines are declared inex- 
 haustible" by the hig-hest authority, and our Nevada 
 silver mines are now admitted to be " the richest 
 in the world." The completion of our imperial rail- 
 road, now progressing- to the Pacific, will carry an 
 immense population to the g-old and silver regions, 
 vastly increase the number of miners, diminish 
 the cost of mining-, and decrease the price of 
 provisions and supplies to the labourers. When 
 we add to this, the vast and increasing- product of 
 our quicksilver mines of California, so indispensable 
 as an amalgam in producing- g-old and silver, as 
 also the great and progressive improvement in pro- 
 cesses and machinery for working- the quartz 
 veins, it is now believed that the estimate of our 
 Secretary of the Interior, and Commissioner of 
 the General Land Office, will be exceeded by the 
 result. These mines of the precious metals are 
 nearly all on the public lands of the United States, 
 they are the property of the Federal Govern-
 
 11 
 
 ment, and their intrinsic value exceeds our public 
 debt. 
 
 PUBLIC LANDS. The United States own an 
 immense public domain, acquired by treaties with 
 France, Spain, and .Mexico, and by compacts with 
 States and Indian tribes. This domain is thus 
 described in the report of the Commissioner of the 
 General Land Office of November 29th, 1860. 
 
 " Of the 3,250,000 of square miles which constitute the terri- 
 torial extent of the Union, the public lands embrace an area of 
 2,265,625 square miles, Or 1,450,000,000 of acres, being more 
 than two thirds of our geographical extent, and nearly three 
 times as large as the United States at the ratification of the defi- 
 nitive treaty of peace in 1783 with Great Britain. This empire 
 domain extends from the northern line of Texas, the gulf of 
 Mexico, reaching to the Atlantic ocean, northwesterly to the 
 Canada line bordering upon the great lakes Erie, Huron, Michi- 
 gan, and Superior, extending westward to the Pacific ocean, 
 with Puget's Sound on the north, the Mediterranean sea of our 
 extreme northwestern possessions. 
 
 " It includes fifteen sovereignties known as the ' Land States,' 
 and an extent of territory sufficient for thirty-two additional, 
 each equal to the great central land State of Ohio. 
 
 " It embraces soils capable of abundant yield of the rich pro- 
 ductions of the tropics, of sugar, cotton, rice, tobacco, corn, and 
 the grape, the vintage, now a staple, particularly so of California ; 
 of the great cereals, wheat and corn, in the western, northwestern, 
 and Pacific States, and in that vast interior region from the valley 
 of the Mississippi river to the Rocky mountains ; and thence to 
 the chain formed by the Sierra Nevada and Cascades, the eastern 
 wall of the Pacific slope, every variety of soil is found revealing 
 its wealth. 
 
 "Instead of dreary inarable wastes, as supposed in earlier 
 times, the millions of buffalo, elk, deer, mountain sheep, the
 
 12 
 
 primitive inhabitants of the soil, fed by the hand of nature, 
 attest its capacity for the abundant support of a dense popula- 
 tion through the skilful toil of the agriculturist, dealing with the 
 earth under the guidance of the science of the present age. 
 
 " Not only is the yield of food for man in this region abundant, 
 but it holds in its bosom the precious metals of gold, silver, with 
 cinnabar, the useful metals of iron, lead, copper, interspersed 
 with immense belts or strata of that propulsive element coal, the 
 source of riches and power, and now the indispensable agent not 
 only for domestic purposes of life, but in the machine shop, the 
 steam car, and steam vessel, quickening the advance of civiliza- 
 tion and the permanent settlement of the country, and being the 
 agent of active and constant intercommunication with every part 
 of the republic." 
 
 Kansas having been admitted since the date of 
 this report ; our public domain, thus described offi- 
 cially, now includes the sixteen land States, and all 
 the Territories. 
 
 Of this vast region (originally 1,450,000,000- 
 acres), there was surveyed up to September, 1860, 
 441,067,915 acres, and 394,088,712 acres disposed 
 of by sales, gTants, &c., leaving, as the commis- 
 sioner states, fe the total area of unsold and unap- 
 propriated, of offered and unoifered lands of the public 
 domain, 1,055,911,288 acres." This is "land surface/ 7 
 exclusive of lakes, bays, rivers, &c., 1,055,911,288 
 acres, or 1,649,861 square miles, and exceeds one 
 half the area of the whole Union. The area of 
 New York being 47,000 square miles, is less than a 
 thirty-fifth part of our public domain. England * 
 
 * Our whole area is more than sixty times as large as 
 England.
 
 13 
 
 (proper) has 50,922 square miles, France 203,736, 
 Prussia 107,921, and Germany 80,620 square 
 miles. The area then of our public domain is more 
 than eight times as large as France, more than 
 fifteen times as large as Prussia, more than twenty 
 times as large as Germany, more than thirty-two 
 times as large as England, and larger (excluding' 
 Russia) than all Europe, containing more than 200 
 millions of people. 
 
 As England (proper) contained in 1861, 18,949,91 6 
 inhabitants, if our public domain were as densely 
 settled, its population would exceed 606 millions, 
 and it would be 260,497,561, if numbering as 
 many to the square mile as Massachusetts. Its 
 average fertility far exceeds that of Europe, as does 
 also the extent of its mines, especially gold, silver, 
 coal, and iron, with every variety of soil, climate, 
 mineral and agricultural products. 
 
 These lands are surveyed at the expense of the 
 Government into townships of six miles square, 
 subdivided into sections, and these into quarter sec- 
 tions (160 acres), set apart for homesteads. Our 
 system of public surveys into squares, by lines 
 running due north and south, east and west, is so 
 simple as to have precluded all disputes as to 
 boundary or title. This domain reaches from the 
 24th to the 49th parallel, from the lakes to the gulf, 
 and from the Atlantic to the Pacific. Its isothermes 
 (the lines of equal mean annual temperature) strike 
 on the north the coast of Norway midway, touch
 
 14 
 
 St. Petersburg- in Bussia, and pass through Man- 
 chooria to the coast of Asia, about three degrees 
 south of the mouth of the Amour river. On the 
 south, these isothermes run through northern Africa, 
 and nearly the centre of Egypt near Thebes, cross 
 northern Arabia, Persia, northern Hindostan, and 
 southern China near Canton. 
 
 Of this vast domain, less than two per cent, is 
 cursed by slavery, which is prohibited by law in 
 eleven of these land States, and in all the Territories. 
 Now, however, within our present vast domain, not 
 only the poor, but our own industrious classes and 
 those of Europe, may not only find a home, but a farm 
 for each settler, substantially as a free gift by the 
 government. Here all who would rather be owners 
 than tenants, and wish to improve and cultivate 
 their own soil, are invited. Here, too, all who 
 would become equals among- equals, citizens (not 
 subjects) of a great and free country, enjoying the 
 right of suffrage, and eligible to every office except 
 the presidency, can come and occupy with us this 
 great inheritance. Here liberty, equality, and fra- 
 ternity reign supreme, not in theory or in name only, 
 but in truth and realit}^. This is the brotherhood of 
 man, secured and protected by our organic law. 
 Here the Constitution and the people are the only 
 sovereigns, and the government is administered by 
 their elected agents, and for the benefit of the people, 
 Those toiling elsewhere for wages that will scarcely 
 support existence, for the education of whose chil-
 
 15 
 
 dren no provision is made by law, who are excluded 
 from the right of suffrage, may come here and be 
 voters and citizens, find a farm given as a home- 
 stead, free schools provided for their children at 
 the public expense, and hold any office but the 
 presidency, to which their children, born here, are 
 eligible. What does Europe for any of its toil- 
 ing millions who reject this munificent offer ? He 
 is worked and taxed there to his utmost endurance. 
 He has the right to work, and pay taxes, but not to 
 vote. Unschooled ignorance is his lot and that of his 
 descendants. If a farmer, he works and improves the 
 land of others, in constant terror of rent day, the 
 landlord, and eviction. Indeed the annual rent of 
 a single acre in England exceeds the price $10 
 (2. 2s. Sd.) payable for the ownership in fee 
 simple of the entire homestead of 160 acres, granted 
 him here by the government. For centuries 
 that are past, and for all time to come, there, 
 severe toil, poverty, ignorance, the workhouse, or 
 low wages, and disfranchisement, would seem to 
 be his lot. Here, freedom, competence, the right 
 of suffrage, the homestead farm, and free schools for 
 his children. 
 
 In selecting these homestead farms the emigTant 
 can have any temperature, from St. Petersburg to 
 Canton. He can have a cold, a temperate, or a 
 warm climate, and farming* or gardening, grazing* 
 or vintage, varied by fishing or hunting. He can 
 raise wheat, rye, Indian corn, oats, rice, indigo, cot-
 
 16 
 
 ton, tobacco, cane or maple sugar and molasses, sorg- 
 hum, wool, peas and beans, Irish or sweet potatoes, 
 barley, buckwheat, wine, butter, cheese, hay, clover, 
 and all the grasses, hemp, hops, flax and flaxseed, 
 silk, beeswax and honey, and poultry, in uncounted 
 abundance. If he prefers a stock farm, he can raise 
 horses, asses, and mules, camels, milch cows, work- 
 ing- oxen and other cattle, goats, sheep and swine. 
 In most locations, these will require neither hous- 
 ing nor feeding throughout the year. He can have 
 orchards, and all the fruits and vegetables of Europe, 
 and many in addition. He can have an Irish or 
 German, Scotch, English, or Welsh, French, Swiss, 
 Norwegian, or American neighbourhood. He can 
 select the shores of oceans > lakes, or rivers ; live on 
 tide water or higher lands, valleys or mountains. 
 He can be near a church of his own denomination ] 
 the freedom of conscience is complete \ he pays 
 no tithes, nor church tax, except voluntarily. His 
 sons and daughters, on reaching twenty-one years 
 of age, or sooner, if the head of a family, are 
 each entitled to a homestead of 160 acres; if 
 he dies, the title is secured to his widow, chil- 
 dren, or heirs. Our flag is his, and covers him 
 everywhere with its protection. He is our brother, 
 and he and his children will enjoy with us the same 
 heritage of competence and freedom. He comes 
 where labour is king, and toil is respected and re- 
 warded. If before, or instead of receiving his home- 
 stead, he chooses to pursue his profession, or busi- 
 ness, to work at his trade, or for daily wages, he
 
 17 
 
 will find them double the European rate, and subsist- 
 ence cheaper. From whatever part of Europe he 
 may come, he will meet his countrymen here, and 
 from them and us receive a cordial welcome. A 
 government which gives him a farm, the right to 
 vote, and free schools for his children, must desire 
 his welfare. 
 
 Of this vast domain,, (more than thirty-two times as 
 large as England,) the Government of the United 
 States grants substantially as a free gift, a farm of 
 160 acres to every settler who will occupy and cul- 
 tivate the same, the title being in fee simple, and 
 free from all rent whatsoever. The settler may be 
 native or European, a present or future immigrant, 
 including females as well as males, but must be at 
 least 21 years of age, or the head of a family. If 
 an immigrant, the declaration must first be made of 
 an intention to become a citizen of the United 
 States, when the grant is immediately made, without 
 waiting for naturalization. When the children of 
 the settler reach 21 years of age, or become the 
 head of a family, they each receive from the Go- 
 vernment a like donation of 1 60 acres. The intrinsic 
 value of this public domain far exceeds the whole 
 public debt of the United States. 
 
 Our national wealth, by the last census, was 
 $16,159,616,068, and its increase during the last ten 
 years $8,925,481,011, or 126*45 per cent. Census, 
 1860, p. 195. Now, if, as a consequence of the Home- 
 stead Bill, there should be occupied, improved, and 
 cultivated, during* the next ten }^ears, 100,000 addi- 
 
 B
 
 18 
 
 tional farms by settlers, or only 10,000 per annum, it 
 would make an aggregate of 16,000,000 acres. If, 
 including houses, fences, barns, and other improve- 
 ments, we should value each of these farms at ten 
 dollars an acre, it would make an aggregate of 
 ill 60,000,000. But if we add the product of these 
 farms, allowing only one-half of each (80 acres) to be 
 cultivated, and the average annual value of the crops, 
 stock included, to be only ten dollars per acre, it 
 would give $80,000,000 a-year, and, in ten years, 
 $800,000,000, independent of the re-investment of 
 capital. It is clear that thus vast additional em- 
 ployment would be given to labour, freight to 
 steamers, railroads and canals, markets for manu- 
 factures, and augmented revenue. 
 
 The homestead privilege will largely increase im- 
 migration. Now, beside the money brought here 
 by immigrants, the census proves that the average 
 annual value of the labour of Massachusetts per 
 capita was, in 1860, $300 for each man, woman, 
 and child. Assuming that of the immigrants at an 
 average net annual value of only $100 each, or less 
 than 33 cents a~day, it would make, in ten years, at 
 the rate of 200,000 each year, the following aggre- 
 gate: 
 
 1st year 
 
 200,000 == 
 
 $20,000,000 
 
 2nd 
 
 400,000 
 
 40,000,000 
 
 3rd 
 
 600,000 
 
 60,000,000 
 
 4th 
 
 800,000 ; , 
 
 80,000,000 
 
 5th 
 
 1,000,000 
 
 100,000,000 
 
 6th 
 
 1,200,000 5 , 
 
 120,000,000 
 
 7th 
 
 1,400,000 
 
 140,000,000
 
 19 
 
 Sib year 1,600,000 = $160,000,000 
 
 9th 1,800,000 180,000,000 
 
 10th 2,000,000 200,000,000 
 
 Total Jl,100,000,000 
 
 In this table,, the labour of all immigrants each 
 year is properly added to those arriving- the succeed- 
 ing- year, so as to make the aggregate, the last year, 
 two millions. This would make the value of the 
 labour of these two millions of immigrants, in ten 
 years, $ 1,1 00,000,000, independent of the annual 
 accumulation of capital, and the labour of the children 
 of the immigrants after the first ten years, which, 
 with their descendants, would g*o on constantly 
 
 increasing 1 . 
 
 But, by the actual official returns (see pag'e 14 of 
 Census), the number of alien immigrants to the 
 United States, from December, 185(), to December, 
 1850, was 2,598,216, or an annual averag-e of 
 259,821, say 200,000. The effect, then, of this 
 immigration, on the basis of the last table, upon the 
 increase of national wealth, was as follows : 
 
 1st year 
 
 260,000 = 
 
 $26,000,000 
 
 2nd 
 
 520,000 
 
 52,000,QPO 
 
 3rd 
 
 780,000 
 
 78,000,000 
 
 4th 
 
 1,040,000 
 
 104,000,000 
 
 5th 
 
 1,300,000 
 
 130,000,000 
 
 6th 
 
 1,560,000 
 
 156,000,000 
 
 7th 
 
 1,820,000 
 
 182,000,000 
 
 8th 
 
 2,080,000 
 
 208,000,000 
 
 9th 
 
 2,340,000 
 
 234,000,000 
 
 10th 
 
 2,600,000 
 
 260,000,000 
 
 
 Total 
 
 $1,430,000,000
 
 so 
 
 Thus the value of the labour of the immigrants 
 from 1850 to 1860 was fourteen hundred and thirty 
 millions of dollars, making" no allowance for the ac- 
 cumulation of capital by annual re-investment, nor 
 for the natural increase of population, amounting 1 , 
 by the census, in ten years, to about 24 per cent. 
 This addition to our wealth by the labour of the 
 children, in the first ten years, would be small ; but 
 in the second, and each succeeding 1 decennium, when 
 we count children and their descendants, it would 
 be large and constantly augmenting-. But the 
 census shows that our wealth increases each ten 
 years at the rate of 126*45 per cent. Now then, 
 take our increase of wealth in consequence of immi- 
 gration as before stated, and compound it at the 
 rate of 1 26*45 per cent, every ten years, and the 
 result is largely over three billions of dollars in 
 1870, and over seven billions of dollars ia 1880, 
 independent of the effect of any immigTation suc- 
 ceeding- 1860. If these results are astonishing-, 
 we must remember that immigration here is aug- 
 mented population, and that it is population and 
 labour that create wealth. Capital, indeed, is the 
 accumulation of labour. Immigration, then, from 
 1850 to 1860, added to our national wealth a sum 
 more than one-third greater than our whole debt on 
 the 1st of July last, and augmenting- in a ratio 
 much more rapid than its increase, and thus enabling 
 us to bear the war expenses. 
 
 As the homestead privilege must largely increase
 
 21 
 
 immigration, and add especially to the cultivation of 
 our soil, it will contribute more than any other 
 measure to increase our population, wealth, and 
 power, and augment our revenue from duties and 
 taxes. 
 
 We have seen that, by the Census (p. 195), the 
 total value of the real and personal estate in the 
 United States was 
 
 In 1860 $ 16,159,616,068 
 In 1850 7,135,780,228 
 Increase from 1850 to 1860, 126*45 per cent. 
 
 At the same rate of increase, for the four succeed- 
 ing* decades, the result would be 
 
 In 1870 $36,593,450,585 
 
 In 1880 82,865,868,849 
 
 In 1890 187,314,353,225 
 
 In 1900 423,330,438,288 
 
 If we subtract one-fourth from the ag-greg-ate, we 
 will find that our public debt constitutes less than 
 one half of one per cent, of the increase of our na- 
 tional wealth. This debt, then, does not exhaust 
 our capital, but affects only a small diminution of 
 the rate of aug-mentation. 
 
 If we would look at the causes of this vast in- 
 crease of our national wealth, they will be found 
 mainly in the enormous extent of our fertile lands, 
 the vast emigration from Europe, and the constant 
 addition of new States to the Union. Thus, from 
 1850 to 1860, four new States were added to the
 
 22 
 
 Union. These four States were almost an un- 
 trodden wilderness in 1850, but in I860 were rich 
 and flourishing States, with a population of 638,965, 
 and an aggregate wealth of $;3 3 1,809, 4 18. Within 
 this decade, from 1860 to 1870, at least six new 
 States will be added to the Union. This is evident 
 from a reference to our present Territories, as fol- 
 lows : 
 
 Dacotah . . . 05,316,480 acres. 
 
 Nebraska . . 48,636,800 
 
 Indian. . . . 56,924,000 
 
 Idaho .... 208,878,720 
 
 "Washington . 44,796,160 
 
 Nevada . . . 52,184,960 
 
 Utah .... 68,084,480 
 
 Arizona . . . 80,730,240 
 
 New Mexico . . 77,568,640 
 
 Colorado . . 66,880,000 
 
 Total , . 800,000,480 acres. 
 
 Here then are territories with an aggregate area 
 of 800,000,480 acres, sufficient for 26 States of the 
 size of New York. In all these territories but one, 
 the precious metals are found in great abundance, 
 and the railroad to the Pacific, with numerous 
 branches through this vast region together with the 
 great advantages of our new Homestead bill of 
 last year, is settling these territories with unprece- 
 dented rapidity. Notwithstanding the war, immi- 
 gration to the United States is progressing- with 
 more than its usual volume, caused by the very high
 
 23 
 
 wages for labour, the great benefits of our recent 
 Homestead bill, and the exclusion, by recent act of 
 Congress, of slavery from all this vast domain. 
 
 It will be observed^ that, whilst the lands consti- 
 tuting' these territories remain public lands, no esti- 
 mate is made of them as wealth in the National 
 census. It is only when these public lands become 
 farms and private property, that they are valued 
 as part of the wealth of the nation. This remark 
 also applies to that 255,000,000 acres of public 
 lands, in the sixteen Land States of the Union. 
 Hence the amazing; increase of wealth at each de- 
 cade, in the new States and Territories. Thus, 
 by table 35 of the Census of 1860, pag-e 195, the 
 rate of increase of wealth in the following- States 
 and Territories, from 1850 to 1860 was, 
 
 Territories. 
 
 Washington . . 5000 per cent. 
 
 Nebraska . . 4800 do. 
 
 Utah . ; .467 do. 
 
 New Mexico . . 302 do. 
 
 States. 
 
 Kansas . . . 8000 per cent. 
 
 Iowa . . . 942 do. 
 
 California . .837 do. 
 
 Minnesota . . 6000 do. 
 
 Michigan . . 330 do. 
 
 Oregon . . 471 do. 
 
 Illinois . . 457 do. 
 
 Wisconsin . . 550 do. 
 
 It is thus that the wave of population moves 
 onward in our western States and Territories, that
 
 24 
 
 the axe and the plough are the pioneers of civiliza- 
 tion, that farms, cities/ and villages, the school- 
 house, and the church rise from the wilderness, as 
 if by the touch of an enchanter's wand. That 
 enchantment is the power of freedom and education, 
 the effect of which (as compared with the deadly 
 influence of slavery and ignorance), shall be illus- 
 trated in a succeeding letter. In that letter, by 
 comparing the relative progress of our free and 
 and slave States, as demonstrated by our Census, it 
 will be proved, incontestably, that the total exclu- 
 sion of slavery from our Union, will cause an 
 addition to our national wealth vastly exceeding the 
 whole public debt of our country, and soon leave us 
 much richer than before the rebellion. 
 
 R. J. WALKER.
 
 AMERICAN 
 
 FINANCES AND RESOURCES, 
 
 LETTER 
 
 No. III. 
 
 or 
 
 HON. ROBERT J. WALKER, MA. 
 
 COUNSELLOR AT LAW IN THE SUPREME COURT OF THE UNITED STATES, 
 
 LATE LAW REP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OF KANSAS, ETC., ETC. 
 
 LONDON: 
 
 WILLIAM KIDOWAY, 169, PICCADILLY, W. 
 1863.
 
 10, Half Moon Street, Piccadilly. 
 Dec. 3, 1863. 
 
 IT is generally believed, even when the American 
 rebellion should be suppressed, that there would be 
 a great loss of wealth and resources on the part of 
 the United States. As an economical question the 
 great truth is not disputed by me, that, as a general 
 rule, wars by a waste of property, by large expendi- 
 tures, and by the withdrawal of so much labour 
 from the pursuits of industry, impair the material 
 interests of the nation. The influence of such con- 
 siderations in the Unit e d States is not denied \ but 
 there is in the causes of this contest, as well as in its 
 effects and consequences, results which will more than 
 compensate for such losses. Slavery was the sole 
 cause of this rebellion, and the result will be the re- 
 construction of the Union, with slavery everywhere 
 extinguished. On this assumption, the question is, 
 whether the substitution of free for slave labour 
 throughout every State and Territory of the Union 
 will not, as a question of augmented wealth and in- 
 vigorated industry, far more than compensate for the 
 losses incurred in the contest. Reasoning inductively* 
 it might well be supposed that the willing labour of 
 educated and energetic freemen, would be far more 
 productive than the forced labour of ignorant, un- 
 willing*, and uneducated slaves. In the realm of 
 
 A 2
 
 science, as well as in the direction of labour, know- 
 ledge is power, education is wealth and progress ; 
 and that this is applicable to the masses who 
 compose a community, and especially to the working- 
 classes, is demonstrated by our American official 
 Census. In proof of this position, I will proceed by 
 a reference to the official tables of our Census of 
 1860, to show not only in particular slave States, as 
 compared with other free States, whether old or new, 
 eastern or western, or making- the comparison of the 
 aggregate of all the slave with the free States, the 
 annual product of the latter per capita is more than 
 double that of the slave States. I beg-in with Mary- 
 land as compared with Massachusetts, because Mary- 
 land in proportion to her area, has greater natural 
 advantages than any one of the slave or free States \ 
 and if the comparison with the free States is most un- 
 favourable to her, it will be more so as to any other 
 Southern State, as the Census shows, that, from 1790 
 to I860, as well as from 1850 to 1860, Maryland 
 increased in population per square mile more rapidly 
 than any other Slave-holding- State. 
 
 We must consider the area, soil, climate, mines, 
 h} T draulic power, location, shore line, bays, sounds, 
 and rivers, and such other causes as affect the 
 advance of wealth and population. 
 
 The relative progress of Maryland has been slow 
 indeed. The population of the Union, by the cen- 
 sus of 1790, was 3,929,827, of which Maryland, 
 containing then 319,728, constituted a twelfth part
 
 9). In 1860, the Union numbered 81,445,080 
 and Maryland 687,034, constituting- a forty-fifth 
 part (45.76). In 1790, the free States numbered 
 1,968,455, Maryland's population then being- equal 
 to one-sixth (6.12) ; but, in 1860, the population of 
 the free States was 18,920,078, Maryland's number 
 then being* equal to one twenty-seventh part (27.52). 
 But, if Maryland had increased as rapidly from 
 1790 to 1860 as the whole Union, her proportion, 
 one twelfth part, would have made her numbers in 
 1860,2,620,315; and if her proportional increase 
 had equalled that of the free States, her ratio, one 
 sixth, would have made her population in 1860, 
 3,153,392. 
 
 I take the areas from the report (November 29, 
 I860) of the Commissioner of the General Land 
 Office, where they are for the first time accurately 
 given, " excluding- the water surface." The popu- 
 lation is taken from the census tables. I compare 
 first Massachusetts and Maryland, because they are 
 maritime and old States, and both in 1790 had 
 nearly the same population, but, as will be shown 
 hereafter, with vastly superior natural advantages 
 in favour of Maryland. 
 
 Area of Maryland, 11,124 square miles ; shore 
 lines, by tables of United States Coast Survey, 
 viz. : main shore, including- bays, sounds, &c., 503 
 miles, islands 298, rivers to head of tide water 
 535; total, 1,336 miles. 
 
 Area of Massachusetts, 7,800 square miles ;
 
 6 
 
 shore lines, by tables of United States Coast Sur- 
 vey, viz. : main shore, including ba} T s, sounds, &c. 
 435 miles, islands, 259, rivers to head of tide water 
 70 ; total, 704 miles. When we mark the Potomac 
 and its tributaries, the lower Susquehanna, the deep 
 and numerous streams of the Chesapeake, the com- 
 mercial advantages of Maryland over Massachu- 
 setts are vast indeed. Looking at the ocean shore 
 of Maryland, and also at the Chesapeake bay, the 
 largest and finest estuary in the world, indented with 
 numerous sounds and navigable inlets, three-fourths 
 of its length for both shores being within Mar} T land, 
 and compare this deep and tranquil and protected 
 basin, almost one continuous harbour, with the rock- 
 bound coast of Massachusetts, lashed by the stormy 
 Atlantic, the superiority of Maryland is striking. 
 
 Mortality in Maryland, by the late census, viz-, 
 deaths from 1st June, 1859, to 31st May, I860, 
 7,370 persons. Same time in Massachusetts, 
 21,303 ; making the ratio of deaths to the number 
 living in Maryland, one to every 92, and in Massa- 
 chusetts one to every 57 ; and the percentage of 
 deaths in Maryland 1.09, and in Massachusetts 
 1.76. This rate of mortality for Massachusetts is 
 confirmed by the late official report of their Secre- 
 tary of State to the Legislature. 
 
 As to area, then, Maryland exceeds Massachusetts 
 43 per cent. ; as to the shore line, that of Marylandis 
 nearl} r double that of Massachusetts. As to climate 
 that of Maryland, we have seen, is far the most
 
 salubrious. This is a vast advantage, not only in 
 augmented wealth and numbers, from fewer deaths, 
 but also as attracting- capital and immigration. 
 This milder and more salubrious climate o-ives to 
 
 o 
 
 Maryland longer periods for sowing, working, and 
 harvesting crops, a more genial sun, larger products 
 and better and longer crop seasons, great advantages 
 for stock, especially in winter, decreased consump- 
 tion of fuel, a greater period for the use of hydraulic 
 power, and of canals and navigable streams. The 
 area of Maryland fit for profitable culture is more 
 than double that of Massachusetts, the soil much 
 more fertile, its mines of coal and iron, with the fluxes 
 all adjacent, rich and inexhaustible ; whereas Massa- 
 chusetts has no coal, and no valuable mines of iron or 
 fluxes. When we reflect that coal and iron are the 
 great elements of modern progress, and build up 
 mighty empires, this advantage of Maryland over 
 Massachusetts is almost incalculable. The hydrau- 
 lic power of Maryland also greatly exceeds that of 
 Massachusetts. Such are the vast natural advan- 
 tages of Maryland over Massachusetts. Now let 
 us observe the results. Population of Maryland in 
 1790, 319,728; in 1860, 687,034; increase 
 367,300. Population of Massachusets in 1790, 
 378,717; in 1860, 1,331,065; increase, 852,348; 
 difference of increase in favour of Massachusetts, 
 485,048 ; excess of Massachusetts over Maryland 
 in 1790, 58,989, and in 1860, 544,031. This 
 result is amazing, when we regard the far greater
 
 8 
 
 area of Maryland and her other vast natural advan- 
 tages. The population of Maryland in 1790 was 
 28 to the square mile (28.74), and in 1860, 61 to 
 square mile (61,76) ; whereas Massachusetts had 48 
 to the square mile in 1790 (48.55), and 157 to the 
 square mile in 1860 (157.82). Thus Massachusetts 
 had only '20 more to the square mile in 1790, and 
 96 more to the square mile in 1860. But if the 
 areas of Maryland and Massachusetts had been 
 reversed, Massachusetts, with the area of Maryland, 
 and the population of Massachusetts of 1860 to the 
 square mile, would have numbered then 1,755,661, 
 and Maryland with the area of Massachusetts, and 
 the population of Maryland of 1860 to the square 
 mile, would have had then a population of only 
 481,728 upon that basis, leaving- Massachusetts 
 in 1860, 1,273,393 more people than Maryland. 
 
 By the census of 1790, Massachusetts was the 
 fourth in population of all the States, and Maryland 
 the sixth ; but in 1860, Massachusetts was the 
 seventh, and Maryland the nineteenth ; and if each 
 of the thirty-four States increases in the same ratio 
 from 1860 to 1870, as from 1850 to I860, Mary- 
 land will be only the twenty-fifth State. 
 
 These facts all conclusively attest the terrible 
 effects of slavery on Maryland, and this is only one 
 of the dreadful sacrifices she has made in retaining- 
 the institution. As to wealth, power, and intellec- 
 tual development, the loss cannot be overstated. 
 
 Nor can manufactures account for the difference,
 
 9 
 
 as shown by the still greater increase of the agri- 
 cultural North- West. Besides, Maryland (omitting- 
 slavery) had far greater natural advantages for 
 manufactures than Massachusetts. She had a more 
 fertile soil, thus furnishing cheaper food to the work- 
 ing classes, a larger and more accessible coast, and 
 nearly eight times the length of navigable rivers, 
 greater hydraulic power, vast superiority in mines 
 of coal and iron, a far more salubrious climate, 
 cotton, the great staple of modern industry, much 
 nearer to Maryland, her location far more central 
 for trade with the whole Union, and Baltimore, her 
 chief city, nearer than Boston to the great West, 
 viz. : to the Ohio at Pittsburg and Cincinnati, the 
 Mississippi at St. Louis, and the lakes at Cleveland, 
 Toledo, and Chicago, by several hundred miles. 
 Indeed, but for slavery, Maryland must have been 
 a far greater manufacturing as well as commercial 
 State than Massachusetts and as to agriculture, 
 there could be no comparison. 
 
 But Massachusetts did not become a manufac- 
 turing* tate until afer the tariff of 1824. That 
 measure, as well as the whole protective policy, 
 Massachusetts earnestly opposed in 1820 and 1824, 
 and Daniel Webster, as her representative, de- 
 nounced it as unconstitutional. From 1790 to 18*20 
 Massachusetts was commercial, not manufacturing-, 
 and yet, from 1790 to 1820, Massachusetts increased 
 in numbers 144,442, and Maryland in the same time 
 only 87,622. Yet, from 1790 to 1820, Massachu-
 
 10 
 
 setts, the most commercial State, was far more 
 injured by the embargo and the late war with Eng- 
 land than any other State. 
 
 It is clear, then, that the accusation of the seces- 
 sion leaders that the North was built up at the ex- 
 pense of the South, by the tariff, can have no 
 application to the progress of Massachusetts and 
 Maryland, because the advance of the former over 
 the latter preceded by more than thirty years the 
 adoption of the protective policy, and a comparison 
 of the relative advance of the free and slave States, 
 during the same period, exhibits the same results. 
 
 There is one invariable law, whether we compare 
 all the slave States with all the free States, small 
 States with small, large with large, old with old, 
 new with new, retarding the progress of the slave- 
 holding States, ever operating, arid differing in de- 
 gree only. 
 
 The area of the nine free States enumerated in 
 1790, is 169,668 square miles^ and of the eight 
 slaveholding States 300,580 square miles, while the 
 population of the former in 1790 was 1,968,455, and 
 of the latter, 1,961,372 ; but, in 1860, these nine 
 free States had a population of 10,594^168, and 
 those eight slave States only 7,414 ; 684, making the 
 difference in favour of these free States in 1860 over 
 those slave States, 3,179,844, instead of 7,083 in 
 1790, or a positive gain to those free States over 
 those slave States of 3,172,761. These free States, 
 enumerated in 1790 and I860, were the six New
 
 11 
 
 England States New York, New Jersey, and 
 Pennsylvania ; and the slave States were, Delaware, 
 Maryland, Virginia, North and South Carolina, 
 Georgia, Tennessee, and Kentucky yet. we have 
 seen that the area of those slave States was nearly 
 double that of those free States, the soil much more 
 fertile, the climate more salubrious, as shown by the 
 census, that the shore line, including main shore, 
 bays, arid sounds, islands and rivers, to head of tide 
 water, was, for those free States, 4,480 miles, and for 
 those slave States, 6560 miles. Thus, it is clear, 
 that the increase of population of these slave States 
 should have far exceeded that of those free States. 
 The population of these slave States per square mile 
 in 1790 was six (6.52), and in 1860, 24 (24.66), and 
 of those free States in 1790, was 11 per square mile 
 (11.60), and in 1860, 62 per square mile (62.^4). 
 Thus, while the increase of those slave States from 
 1790 to 1860 was only 18 per square mile, that of 
 those free States was nearly 51 per square mile 
 (50.84), or in very nearly a triple ratio, while in 
 wealth and education the proportionate progress was 
 much greater. 
 
 No cause except slavery can be assigned for this 
 wonderful difference, for the colonists of Maryland 
 were distinguished for education, intelligence, and 
 gentle culture. Lord Baltimore was a statesman 
 and philanthropist, and his colony was a free repre- 
 sentative government, which was the first to repu- 
 diate the doctrine of taxation without representation,
 
 12 
 
 and the first to introduce religious toleration. While 
 Maryland has produced many of the most eminent 
 soldiers, statesmen, and jurists, her relative decline 
 in power^ wealth and population, has been deplo- 
 rable, and is attributable exclusively to the para- 
 lysing- effect of slavery. 
 
 While the advance of Massachusetts, with her 
 limited area and sterile soil, especially in view of the 
 thousands of her native sons who have emigTated to 
 other States, is one of the wonders of the world, yet, 
 the relative increase of the population of New Jersey, 
 from 1790 to I860., compared with that of Maryland, 
 is still greater than that of Massachusetts. The law 
 is inflexible wherever slavery disappears. Popula- 
 tion of New Jersey in 1790, 184-139, in 1860, 
 672,035, being- an increase of 264 per cent. (264.96) 
 for New Jersey, of 225 per cent. (225.06) for Mas- 
 sachusetts, and for Maryland 114 per cent, (114.88)- 
 The ratio of increase per square mile from 1790 to 
 1860 was: Massachusetts. 48.55 in 1790, and 
 157.82 in 1860; Maryland, 28.74 in 1790, and 
 61.76 in 1860; and New Jersey, 22.01 in 1790, 
 and 80.70 in 1860. Thus, while Maryland from 
 1790 to 1860, little more than doubled her ratio of 
 increase per square mile (28.74 to 61.76), and Mas- 
 sachusetts little more than tripled her ratio (48.55 to 
 157.82), New Jersey very nearly quadrupled hers 
 (22.01 to 80.70). It must be conceded, however, 
 that the natural advantages of New Jerse} T are far 
 greater than those of Massachusetts, whose material
 
 13 
 
 and intellectual progress, in defiance of such serious 
 obstacles, now is, and, most probably for ever will be, 
 without a parallel Now the area of New Jersey 
 is but 8,320 square miles ; the soil of Maryland is 
 far more fertile, the hydraulic power much greater, 
 the shore line much more than double, viz. : 531 for 
 New Jersey, to 1,336 for Maryland; while New 
 Jersey, with rich iron mines, has no coal, and one- 
 third of her area is south of the celebrated Mason 
 and Dixon's line, the northern boundary of Mary- 
 land. While the free States have accomplished 
 these miracles of progress, they have peopled eleven 
 vast Territories (soon by subdivision to become many 
 more States), immigration to which has been almost 
 exclusively from the North, as compared with the 
 South. 
 
 The slave State which has increased most rapidly to 
 the square mile of all of them from 1790 to 186.0, 
 has had a smaller augmentation per square mile 
 than that free State which has increased most slowly 
 per square mile during the same time of all the free 
 States, and the result is the same as to wealth and 
 education also. Under the best circumstances for 
 the slave States, and the worst for the free States, 
 this result proves the uniformity of the rule (like 
 the great law of gravitation), knowing no exception 
 to the effect of slavery, in depressing the progress of 
 States in population, wealth, and education. 
 
 The isotherm als of the great Humboldt, (differing 
 so widely from parallels), which trace the lines of
 
 14 
 
 temperature on the earth's surface, prove, as to heat, 
 the climate of the South (running- a line from 
 Charleston to Vicksburg) to be substantially the 
 same as that of Greece and Italy each, in its turn, 
 the mistress of the world. 
 
 The census of 1860 exhibits our increase of popu- 
 lation from 1790 to 1860 at 35.59 per cent,, and of 
 our wealth 126.45. Now, if we would increase the 
 wealth of the country only one tenth in the next ten 
 years, by the gradual disappearance of slavery (far 
 below the results of the census), then, our wealth 
 being- now $ 16,1 59,61 6,068, the effect of such in- 
 crease would be to make our wealth in 1870, instead 
 of $36,593,450,585, more than sixteen hundred 
 millions greater, and in 1880, instead of $82,865,- 
 868,849, over three billions six hundred millions, 
 or more than three times our present debt. 
 
 Before the close of this letter, it will be shown 
 that the difference, per capita, of the annual pro- 
 ducts of Massachusetts and Maryland exceeds $150. 
 As to the other Southern States, the excess is much 
 greater. Now, if the annual products of the South 
 were increased $150 each^r capita (still far below 
 Massachusetts) by the exclusion of slavery, then 
 multiplying* the total population of the South, 
 12,229,727, by 150, the result would be an addition 
 to the annual value of the products of the South of 
 $1,834,456,050, and in the decade, $18,344,580,- 
 500. This change would not be immediate, but 
 there can be no doubt that with the vastly greater
 
 15 
 
 natural advantages of the South, the Superiority of 
 free to slave labour, the immense im migration, espe- 
 cially from Europe to the South, aided by the Home- 
 stead bill, and the conversion of large plantations into 
 small farms, an addition of at least one billion of dol- 
 lars would be made in a decade, by the exclusion of 
 slavery, to the value of the prod ucts of the South. 
 
 Having- considered the relative progress in popu- 
 lation of Massachusetts and Maryland, I will now 
 examine their advance in wealth. 
 
 By tables 33 and 36, census of 1860, the value of 
 the products of Massachusetts that year was $287,- 
 000,000 ; and of Maryland, $66,000,000, Table 
 33 included domestic manufactories, mines, and 
 fisheries (p. 59) ; and table 36, agricultural products. 
 Dividing- these several aggregates by the total popu- 
 lation of each State, the value of that year's product 
 of Massachusetts was $235, per capita, and of 
 Maryland, $96, making- the average annual value 
 of the labour of each person in the former greatly 
 more than double that of the latter, and the gross 
 product more than quadruple. This is an amazing* 
 result, but it is far below the reality. The earnings 
 of commerce and navigation are omitted in the 
 census, which includes only the products of agricul- 
 ture, manufactures, the mines, arid fisheries. This 
 was a most unfortunate omission, attributable to 
 the secession leaders, who wished to confine the cen- 
 sus to a mere enumeration of population, and thus
 
 10 
 
 obliterate all the other great decennial monuments 
 which mark the nation's progress in the pathway 
 of empire. 
 
 Some of these tables are given as follows : 
 
 First, as to Railroads. The number of miles in 
 Massachusetts in 1860 (including- city roads) was 
 1,340, and the cost of construction $61,857,203 
 (table 38, pp. 230, 231). The value of the freight 
 of these roads in 1860 was $500,524, 201 (p. 105). 
 The number of miles of railroad in Maryland at 
 the same time was 380, the cost of construction 
 $21,387,157, and the value of the freight (at the 
 same average rate) $141,111,348, and the differ- 
 ence in favour of Massachusetts $359,412,883. 
 The difference must have been much greater, be- 
 cause a much larger portion of the freight in 
 Massachusetts consisted of domestic manufactures, 
 worth $250 per ton, which is $100 a ton above 
 the average value. 
 
 The passengers' account, not given, would vastly 
 swell the difference in favour of Massachusetts. 
 
 The tonnage of vessels built in Massachusetts in 
 1860 was 34,460 tons, and in Maryland, 7,798 
 tons (p. 107). 
 
 The number of banks in Massachusetts in 1860 
 was 174; capital, $64,519,200; loans, $107,417,- 
 323. In Maryland, the number was 31 ; capital 
 $12,568,962; loans, $20,898,762 (table 34, p. 193). 
 
 The number of insurance companies in Massa-
 
 1? 
 
 chusetts 117; risks, $450,896,263. No statement 
 given for Mainland, but comparatively very small, as 
 the risks in Massachusetts were nearly one sixth 
 of all in the Union. 
 
 Our exports abroad, from Massachusetts, for the 
 fiscal year ending- 30th June, I860, were of the 
 value of $17,003,277, and the foreign imports 
 $41,187,539; total of imports aud exports, $58,- 
 190,816; the clearances 746,909 tons, the entries 
 849,449; total entered and cleared, 1,596,458 
 tons. In Maryland, exports $9,001,600, foreign 
 imports $9,784,773; total imports and exports, 
 $18,786,323; clearances, 174,000 tons; entries, 
 186,417 ; total of entries and clearances, 360,417 
 (table 14, Register of Treasury). Thus, the foreign 
 imports and exports abroad, of Massachusetts, 
 were much more than triple those of Maryland, and 
 the entries and clearances very largely more than 
 quadruple. The coastwise and internal trade are 
 not given, as recommended by me when Secretary 
 of the Treasury, but the tables of the railroad traffic 
 indicate in part the immense superiority of Massa- 
 chusetts. 
 
 These statistics, however, prove that, if the earn- 
 ings of commerce and navigation were added, the 
 annual value of the products of Massachusetts per 
 tapita would be at least $300, and three times 
 that of Maryland. In estimating values per 
 capita, we must find the earnings of com- 
 merce very large, as a single merchant, in his
 
 18 
 
 counting* house, engaged in an immense trade, and 
 employing* only a few clerks, may earn as much as 
 a great manufacturing corporation, employing hun- 
 dreds of hands. Including commerce, the value 
 per capita of the products and earnings of Massa- 
 chusetts exceeds not only those of any State in our 
 Union, BUT OF THE WORLD ; and would, at the 
 same rate, make the value of its annual products 
 three hundred billions of dollars ] and of our own 
 country, upward of nine billions of dollars per 
 annum. Such, under great natural disadvantages, 
 is the grand result achieved in Massachusetts, by 
 education, science, industry, free schools, free soil, 
 free speech, Jrce labour y free press, and free govern- 
 ment. The facts prove that freedom is progress, 
 that ( knowledge is power/ and that the best way 
 to appreciate the value of property and augment 
 wealth most rapidly, is to invest a large portion of 
 it in schools, high schools, academies, colleges, uni- 
 versities, books, libraries, and the press, so as to 
 malte labour more productive, because more skilled, 
 educated, and better directed. Massachusetts ha> 
 achieved much in this respect ; but when she shall 
 have made high schools as free and universal as 
 common schools, and the attendance on both com- 
 pulsory, so as to qualify every voter for governing 
 a State or nation, she will have made a still 
 grander step in material and intellectual progress, 
 and the results would be still more astounding. 
 By table 3o of the census, p. 195, the whole
 
 19 
 
 value of all the property, real and personal, of Mas- 
 sachusetts, in 1860, was $815/237,433, and of 
 Maryland, $376,919,944. We have seen that the 
 value of the products that year in Massachusetts 
 was $287,000,000 (exclusive of commerce), and of 
 Maryland, $66,000,000. As a question, then, of 
 profit on capital, that of Massachusetts was 35 per 
 cent., and of Maryland 17 per cent. Such is the pro- 
 gressive advance (more than two to one) of free as 
 compared with slave labour. The same law obtains in 
 comparing- all the free with all the slave States. 
 But the proof is still more complete. Thus, Delaware 
 and Missouri (alone of all the slave States) were 
 ahead of Maryland in this rate of profit, because 
 both had comparatively fewer slaves j and all the 
 other slave States, whose servile population was re- 
 latively larger than that of Maryland, were below 
 her in the rate of profit. The law extends to coun- 
 ties, those having- comparatively fewest slaves in- 
 creasing- far more rapidly in wealth and population. 
 This, then, is the formula as to the rate of profit on 
 capital. First, the free States ; next, the States 
 and counties of the same State ha vino- the fewest 
 
 o 
 
 relative number of slaves. The census, then, is an 
 evang'el against slavery, and its tables are revela- 
 tions proclaiming- laws as divine as those written by 
 the finger of God at Mount Sinai on the tables of 
 stone. 
 
 For seventy years we have had these census 
 tables, announcing' these great truths more and 
 more clearly at each decade. They are the records
 
 20 
 
 of the nation's movement and condition, the decen- 
 nial monuments marking- her steps in the path of 
 empire, the oracles of her destiny. They are pro- 
 phecies, for each decade fulfills the predictions of 
 its predecessor. They announce laws, not made by 
 man, but the irrevocable ordinances of the Almighty. 
 We cannot, with impunity, refuse to obey these 
 laws For every violation, they enforce their own 
 penalties. From these there is no escape in the 
 present or the past, nor for the future, except in 
 conformity to their demands. These laws condemn 
 slavery ; and the punishment for disobedience is re- 
 corded in the result of every census, and finally cul- 
 minated in the rebellion. Slavery and freedom are 
 antagonistic and discordant elements : the conflict 
 between them is upon us ; it admits of no neutrality 
 or compromise, and one or the other system must 
 perish. 
 
 We have seen that, slavery is hostile to the pro- 
 gress of wealth and population : let us now ascer- 
 tain its influence on moral and intellectual develop- 
 ment, 
 
 By table 15 of the census of 1860, the result for 
 that year was as follows: In Massachusetts, value 
 of books printed, $397,500; jobs, $529,347; news- 
 papers, $1,979,069; total, $2,905,916. Same year 
 in Maryland, books printed, $58,000 ; jobs, 
 $122,000; Tiewspnpers, $169,000; total, $350,155. 
 By table 37, census of 1860, Massachusetts had 
 22 - ; newspapers and periodicals, of which 112 were 
 political, 31 religious, 51 literary, miscellaneous,
 
 21 
 
 28. Maryland had only 57, all political. The 
 whole number of copies issued in Massachusetts in 
 1860 was 102,000,760,and inMaryland,20,721,472. 
 Of periodicals, Massachusetts has monthly, 1 politi- 
 cal, 10 religious, 18 literary, 7 miscellaneous; quar- 
 terly, religious 3, literary 2, miscellaneous 1, and 
 1 annual. Maryland had none. Not a religious, 
 literaiy, scientific, or miscellaneous periodical or 
 journal in the State ! What terrible truths are un 
 folded in these statistics ! None hut a political 
 party press in Maryland, all devoted, in 1860, to 
 the maintenance, extension, and perpetuity of 
 slavery, which had 57 advocates, and not one for 
 science, religion, or literature. 
 
 We have seen that the circulation in 1860 of the 
 press in Massachusetts exceeded that of Maryland 
 by more than eighty-one millions of copies. These 
 facts all prove that slavery is hostile to knowledge 
 and its diffusion, to science, literature, and religion, 
 to the press, and to free government. 
 
 For schools, colleges, libraries, and churches, I 
 must take the tables of the census of 1850, those of 
 1860 not being yet published. There were in 1850 
 in Massachusetts, 3,679 public schools, 4,443 
 teachers, 176,475 pupils; native adults who cannot 
 read or write, 1,861. In Maryland, 907 public 
 schools, 1,005 teachers, 33,254 pupils ; native adults 
 who cannot read or write, 38,4*26, excluding slaves, 
 to teach whom is criminal. 
 
 Thus, then, slavery is hostile to schools, with- 
 holding instruction from the children of the poor.
 
 22 
 
 The number of public libraries in Massachusetts 
 was 1,46:2, volumes 684,015. In Maryland, 124, 
 and 125,042 volumes. Value of churches in Massa- 
 chusetts, $10,206,000. In Maryland, $3,947,884, 
 of which $2,541,240 is in Baltimore (which has very 
 few slaves), and the remainder is mainly in the seven 
 counties (from which slavery has nearly disappeared) 
 adjoining- Pennsylvania. 
 
 As to schools, colleges, books, libraries, churches, 
 newspapers, and periodicals, it thus appears that 
 Massachusetts is gTeatly in advance of Maryland. 
 
 Now then, let us contrast loyal Maryland with 
 rebel South Carolina, the author of secession, and 
 assuming- for many years to instruct the nation. By 
 the census of 1860, she had a population of 703,708, 
 of whom 402,406 were slaves ; and Maryland, num- 
 bering- 68? 3 049, had 87,189 slaves. Now, by the 
 census of 1860, South Carolina had 45 journals 
 and periodicals, and her annual circulation was 
 3,654,840 copies. The circulation therefore of 
 Massachusetts exceeded that of South Carolina more 
 than ninety-eight millions of copies, while Maryland 
 exceeded South Carolina more than seventeen mil- 
 lions of copies. So much for South Carolina, as a 
 great political teacher. As to schools in 1850 : South 
 Carolina had 724 public schools, 739 teachers, 1 7,838 
 pupils. Massachusetts, then, had 158,637 more pu- 
 pils at public schools than South Carolina, and Mary- 
 land 15,416 more pupils at public schools than 
 South Carolina.
 
 S3 
 
 The press of Massachusetts, we have seen, circu- 
 lated in 1860 upward of one hundred and two mil- 
 lions of copies, equal to 279,454 per day 3 including* 
 journals and periodicals, each read, on an average, by 
 at least two persons. This is independent of books 
 and pamphlets, and of the very larg*e circulation of 
 papers from other States and from Europe. What 
 u flood of light is thus shed daily and hourly upon 
 the people of Massachusetts ! This intellectual 
 effulgence radiates by day and nig-ht. It is the 
 sun in its meridian splendour, and the stars in an 
 ever unclouded firmament. It has a centre and a 
 circumference, but knows no darkness. Ig-norance 
 vanishes before it ; wealth follows in its train ; 
 labour rejoices in its association, and finds its pro- 
 ducts more than doubled ; freedom hails its presence, 
 and religion gives it a cordial welcome 5 churches, 
 schools, academies, colleges, and universities acknow- 
 ledge its mighty influence. Science penetrates the 
 secrets of nature, and unfolds each new discovery 
 for the benefit of man. Coal, the offspring of the 
 sun, develops its latent energy, and water contri- 
 butes its untiring hydraulic power. Machinery takes 
 more and more the place of nerves and muscles, 
 cheapens clothing and subsistence and all the neces- 
 saries of life, and opens new fields of industry, and 
 more profitable employment for labour. Steam and 
 lightning* become the slaves of man. He performs 
 the journey of a day in an hour, and converses in 
 minutes around the globe. The strength of man 
 may not have been much increased, but his power
 
 24 
 
 is augmented a thousand-fold. His life may not 
 have been materially lengthened, but, in the march 
 of knowledge, a year now is as a century, compared 
 with man's progress in the darkness of the middle 
 ages. The eternal advance towards omniscience 
 goes on, but is like that of the infinite approach of 
 the asymptote, which never reaches the hyperbolic 
 curve. The onward march of science is in a geo- 
 metrical ratio, so that in time, the intellectual pro- 
 gress of a day in the future, must exceed that of a 
 century in the past. Knowledge is enthroned as 
 king, and grand truths and new ideas are his minis- 
 ters. Science takes the diameter of the earth's orbit 
 as a base line and unit of measurement, and with it 
 spans immensity, and triangulates the nebulous 
 systems amid the shadowy verges of receding space. 
 Its researches are cosmical upon the earth and the 
 heavens, and all the elements minister to its pro- 
 gress. Sink to the lowest mine, or fathom the 
 ocean's depth, or climb the loftiest mountains, or 
 career through the heavens on silken wings, and it 
 is there also. On on on; nearer nearer still 
 nearer it moves forever and forever, with accelerated 
 speed, toward the infinite eternal. Such are the 
 triumphs of knowledge ; and he who diffuses it 
 among our race, or discovers and disseminates new 
 truths, advances man nearer to his Creator ; he 
 exalts the whole race ; he elevates it in the scale o^ 
 being, and raises it into higher and still higher 
 spheres. 
 
 It is science that marks the speed of sound and
 
 25 
 
 light and lightning, calculates the eclipses, cata- 
 logues the stars, maps the heavens, and follows, 
 for centuries of the past and the future, the 
 comet's course. It explores the animal, vegetable, 
 and mineral kingdoms. With geology, it notes the 
 earthquake upheaval of mountains, and, with mine- 
 ralogy, the laws of crystallization. With chemistry, 
 it analyzes, decomposes, and compounds the ele- 
 ments. If, like Canute, it cannot arrest the tidal 
 wave, it is subjecting it to laws and formulas. 
 Taking the sunbeam for its pencil, it heliographs 
 man's own image, and the scenery of the earth and 
 the heavens. Has science any limits or horizon ? Can 
 it ever penetrate the soul of man, and reveal the 
 mystery of his existence and destiny ? It is cer- 
 tainly exploring the facts of sociology, arranging 
 and generalizing them, and deducing laws. 
 
 Man, elevated by knowledge in the scale of being, 
 controls the forces of nature with greater power and 
 grander results, and accumulates wealth more 
 rapidly. The educated free labour of Massa- 
 chusetts, we have seen, doubles the products of toil, 
 per capita, as compared with Maryland, and quad- 
 ruples them (as the census shows) compared with 
 South Carolina. One day's labour of a man in Mas- 
 sachusetts is more than equal to two in Maryland, 
 and four in South Carolina. So, if we take our savage 
 tribes, with their huts and tents, their rude agricul- 
 ture, their furs, their few and simple household 
 manufactures, their hunting and fishing, the average 
 
 c
 
 26 
 
 product of their annual labour, at four dents a day 
 each, would be $14.60 a year, or more than a fourth 
 of that of South Carolina (56.91). So that Massa- 
 chusetts, in material progress, is farther in advance 
 of South Carolina than that State is of the savage 
 Indians. Thus we have the successive steps and 
 gradations of man : Massachusetts, with free labour 
 and free schools, having reached the highest point 
 of civilization : South Carolina, with slavery and 
 ignorance (except the few), in a semi-barbarous 
 stage j and the lowest savage condition, called bar- 
 barous, but nearer to South Carolina than that State 
 to Massachusetts. 
 
 Slavery, then, the census proves, is hostile to the 
 progress of wealth and population, to science, litera- 
 ture, and education, to schools, colleges, and univer- 
 sities, to books and libraries, to churches and reli- ' 
 gion, to the press, and therefore to free government j 
 hostile to the poor, keeping them in want and igno- 
 rance j hostile to labour, reducing it to servitude, 
 and decreasing two-thirds the value of its products ; 
 hostile to morals, repudiating among slaves the 
 marital and parental condition, classifying them by 
 law as chattels, darkening the immortal soul, and 
 making it a crime to teach millions of human beings 
 to read or write. And shall labour and education, 
 literature and science, religion and the press, sustain 
 nn institution which is their deadly foe ? 
 
 The discussion will be continued in my next letter. 
 
 E. J. WALKEE.
 
 AMERICAN 
 
 FINANCES AND RESOURCES, 
 
 LETTER 
 
 No. IV. 
 
 OP 
 
 HON. ROBERT J. WALKER, M.A. 
 
 COUNSELLOR AT LAW IN THE SUPEEME COURT OF THE UNITED STATES, 
 
 LATE LAW REP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OF KANSAS, ETC., ETC. 
 
 LONDON : 
 
 WILLIAM KIDGWAY, 169, PICCADILLY, W. 
 1864.
 
 10, Half Moon Street, Piccadilly. 
 Jan. 1st, 1864. 
 
 IN my third and last letter on American Finances 
 and Resources, the effect of the substitution 
 of free for slave labour in the United States by 
 the abolition of slavery was discussed. In that 
 letter it was shown by the official American census 
 of 1860 ; that the product that year, per capita, 
 of Massachusetts was $235 } per capita, Maryland 
 $96 , and of South Carolina $56. Massachusetts 
 had no slaves ; Maryland, 87,189 ; and South 
 Carolina, 402,406. Thus we see the annual value 
 of the products of labour decreased in proportion to 
 the number of Slaves. In further proof of the 
 position assumed in that letter, that the progress of 
 of wealth, of population, and education in the 
 United States was most injuriously affected by 
 slavery, I now present other official facts from our 
 census of 1860. My first comparison will be that 
 of the free State of New York with slave-holding- 
 Virginia. 
 
 By the census, the population of Virginia in 1790 
 was 748,308, and in 1860, 1,596,318, making- the 
 ratio of increase 113.33 per cent. In 1790, New 
 York numbered 340,120, and in 1860, 3,880,735, 
 the ratio of increase being 1,040.99. (Table 1, 
 
 A
 
 Prelim. Census Rep., p. 132.) Thus, the rate of 
 increase in New York exceeded that of Virginia 
 more than nine to one. 
 
 In 1790, the population of Virginia was largely 
 more than double that of New York. In 1860, the 
 population of New York was very largely more 
 than double that of Virginia. In 1790, Virginia, 
 in population, ranked first of all the States, and New 
 York the fifth. In 1860, they had reversed their 
 positions, and New York was the first, and Vir- 
 ginia the fifth. (Rep., p. 120.) At the same rate 
 of progress, from 1800 to 1900, as from 1790 to 
 1860, Virginia, retaining slavery, would have sunk 
 from the first to the twenty-first State, arid would 
 still continue, at each succeeding decade, descending 
 the inclined plane toward the lowest position of all 
 the States. Such has been, and still continues to 
 be, the effect of slavery, in dragging down that once 
 great State from the first toward the last in rank 
 in the Union. But if, as in the absence of slavery 
 must have been the case, Virginia had increased 
 from 1790 to 1860 in the same ratio as New York, 
 her population in 1860 would have been 7,789,141., 
 and she must always have remained the first in rank 
 of all the States. 
 
 AREA. The natural advantages of Virginia far- 
 exceed those of New York. The area of Virginia 
 is 61,352 square miles, and that of New York, 
 47,000. The population of Virginia per square 
 mile in 1790 was 12.19, and in 1860, 26.02. That
 
 of New York, in 1790, was 7.83, and in I860, 84 ; 36. 
 Now, if New York, with her present numbers per 
 square mile, had the area of Virginia, her popula- 
 tion, in 1860, would have been 5,175,654, and that 
 of Virginia, reduced to the area of New York, on 
 the basis of her present numbers per square mile, 
 would have been 1,320,000. This illustrates the 
 immense effect of area, as one of the great elements 
 influencing 1 the progress of population. But, won- 
 derful as are these results, the great fact is omitted 
 in this calculation, that Virginia, in 1790, had 
 largely more than double the population of New 
 York. Thus, if we reverse the numbers of New 
 York and Virginia in 1790, and take the actual 
 ratio of increase of each for the succeeding seventy 
 years, the population of Virginia, in 1860, would 
 have been 728,875, and that of New York, as we 
 have seen, would have been 7,789,141, making the 
 difference exceed seven millions, or very largely 
 more than ten to one. Reverse the areas also, and 
 the difference would exceed eight millions. 
 
 SHORE LINE. As furnishing cheap and easy 
 access for imports and exports, creating marts for 
 commerce with great cities, and affecting the in- 
 terior most beneficially, the shore line, with ade- 
 quate harbours, constitutes a vast element in the 
 progress of states and empires. Now, by the last 
 tables of the United States coast survey, the shore 
 line of Virginia was 1,571 miles, and of New York 
 725 miles. The five great parallel tide- water rivers
 
 G 
 
 of Virginia, the Potomac, the Rnppahnnnock, the 
 York river, James river, and Roanoke (partly in 
 North Carolina), with their tributaries, furnish easy 
 access for hundreds of miles into the interior, with 
 both shores of the noble Chesapeake bay for many 
 miles, as well as its magnificent outlet and the main 
 ocean for a considerable distance, all within the limits 
 of Virginia. We have seen that the coast line of 
 Virginia is largely more than double that of New 
 York, and the harbours of Virginia are more numer- 
 ous, deeper, and much nearer the great valley of 
 the Ohio and Mississippi. By the coast-survey 
 tables, the mean low water in the harbour of New 
 York by Gedney's channel is 20 feet, and at high- 
 water spring- tides is 24.2 ; north channel, 24, mean 
 low water, and 29.1 spring-tides, high water; south 
 channel, 22 and 27.1 ; main ship channel, after 
 passing- S. W. spit buoy, on N. E. course, one mile 
 up the bay, for New York, 22.5-27.06. By the 
 same tables, from capes at entrance of Chesapeake 
 bay to Hampton, at mean low water, 30 feet ; spring 1 
 tides, hig-h water, 32.8. Anchorag-e in Hampton 
 roads, 59-61.8. From Hampton roads to SewelPs 
 point, 25-27.8. South of Sewell's point (one mile 
 and a half), 21-23.8; up to Norfolk, 23-25.8. From 
 Hampton roads to James river, entering to the 
 northward of Newport News, middle ground, 
 22-24.8. From Hampton roads to James river, 
 entering to the southward of Newport News, middle 
 ground, 27-29.8. From abreast the tail of York
 
 spit, up to Yorktown, 33-35.8. Elizabeth river, 
 between Norfolk and navy yard, 25.5-28.8. 
 
 When we leave the tide- water rivers for the in- 
 terior navigable streams, Virginia has a vast advan- 
 tage. New York has no such rivers above tide, but 
 Virginia has the Ohio for hundreds of miles, with 
 its tributaries, the Kanawha, Guyandotte, and Big 
 Sandy. It is true, New York has several of the 
 great lakes, and the vast advantage of connection 
 with them through her great canal. But, in the 
 absence of slavery, the canal projected by Washing- 
 ton (preceding that of New York) would have con- 
 nected, through Virginia, the Chesapeake ba} r with 
 the Ohio river. The James river, flowing into the 
 Chesapeake, cuts the Blue Mountains, and the Ka- 
 nawha, a confluent of the Ohio, cuts the Alleg'hany ; 
 thus opening an easy and practicable route for a 
 great canal from the eastern to the western waters. 
 The valley of the lakes, with which New York is 
 connected by her canal, has an area of 335,515 
 square miles. The valley of the Mississippi, with 
 which the Chesapeake would long since, in the 
 absence of slavery, have been connected by the Vir- 
 ginia canal, has an area of 1,226,600 square miles. 
 The shore line of the Mississippi and its tributaries, 
 above tide water, is 35,644 miles. (Page 35 Com- 
 pend. Census of 1850.) Our shore line of the lakes 
 is 3,620 miles, including bays, sounds, and islands ; 
 and that of the British, 2,629. (Ib. 35.) The 
 connection of the lakes with the Ohio and Mississippi
 
 s 
 
 would be the same for both States, the one being 
 from the lakes to these rivers, and the other from 
 the rivers to the lakes. The location of Virginia is 
 more central than that of New York, and Virginia 
 runs farther west by several hundred miles. , We 
 are so accustomed to look at the connection of New 
 York with the West by her canal, and Virginia 
 with no such union, that it is difficult to realize the 
 great change if Virginia had been connected by her 
 progressing" work with the Ohio and Mississippi, and 
 thence, by the present canals, with the lakes. 
 
 It is apparent, then, that, as regards easy access 
 to the West, the natural advantages of Virginia 
 surpass New York, and with greater facilities for 
 artificial works. How many decades would be re- 
 quired, after emancipation, to bring the superior 
 natural advantages of Virginia into practical opera- 
 tion, is not the question . j nor do I believe that the 
 city of New York will ever cease to be the centre 
 of our own trade, and ultimately of the commerce 
 of the world. But although Virginia, in adhering 
 to slavery, has lost her supremacy in the Union, it 
 is quite certain that, as a Free State, she would 
 commence a new career of wonderful prosperity, 
 that capital and population from the North and 
 from Europe would flow there with a mighty cur- 
 rent, her lands be doubled in value, and her town 
 and city property far more than quadrupled. 
 
 MINES. Virginia has vast mines of coal, the 
 great element of modern progress. New York has
 
 9 
 
 none. It is coal that has made Great Britain a 
 mighty empire, giving- her power, by land and sea, 
 equal to the manual force of all mankind. It is 
 stated by the Commissioner of the General Land 
 Office, in his report before referred to, of November, 
 1860, ' that an acre of coal, three feet thick, is equal 
 to the product of 1,940 acres of forest trees ; and 
 each acre of a coal seam four feet in thickness, and 
 yielding- one yard of pure coal, is equivalent to 5,000 
 tons, and possesses, therefore, a reserve of mechani- 
 cal strength in its fuel, equal to the life .labour of 
 more than 1,600 men.' 
 
 This statement of the Commissioner is made on 
 the highest authority, and proves the vast natural 
 advantages of Virginia over New York. Virginia, 
 also, has far more abundant mines of iron, more 
 widely diffused over the State, reaching from tide 
 water to the Ohio. She has also these iron mines 
 in juxtaposition with coal and all the fluxes. Vir- 
 ginia, also, has valuable mines of gold, lead, and 
 copper. New York has no gold or copper mines, 
 and produced in 1860 but $800 worth of lead. 
 (Table 14.) 
 
 HYDRAULIC POWER. Omitting Niagara, which 
 thus far scorns the control of man, the hydraulic 
 power of Virginia very far exceeds that of New 
 York. It is to be found on the Potomac and its 
 tributaries, and upon nearly every stream that flows 
 into the Chesapeake or Ohio. The superior mild- 
 ness of the climate of Virginia makes this power
 
 10 
 
 available there for a much greater portion of the 
 year. The great falls of the Potomac, where Wash- 
 ington constructed the largest locks of the continent, 
 has a water power unsurpassed, and is but twelve 
 miles from tide water, at Washington. This point 
 is a most healthy and beautiful location, surrounded 
 by lands whose natural fertility was very great, 
 and, in the absence of slavery, must have been a 
 vast manufacturing city. This water power could 
 move more spindles than are now worked on all this 
 continent. 
 
 AGRICULTURE AND MANUFACTURES. The na- 
 tural fertility of the soil of Virginia far exceeded 
 that of New York, with a more genial sun, and 
 much more favourable seasons for agricultural pro- 
 ducts, as well as for stock. The number of acres 
 of land in Virginia susceptible of profitable culture, 
 is nearly double that of New York, but much of it 
 has been impoverished by slave labour, scratching 
 and exhausting* the soil, without manure or rotation 
 of crops. The census shows that Virginia has all 
 the products of New York, and cotton in addition. 
 Virginia produced, in 1860, 12,727 bales of cotton 
 (table 36), worth, at present prices, nearly$3,000,000. 
 She also adjoins the States of North Carolina and 
 Tennessee, producing, in 1860, 372,964 bales, worth, 
 at present prices, nearly $90,000,000. Virginia is 
 also much nearer than New York to all the other 
 cotton States. With these vast advantages, with 
 her larger area, more fertile soil, cheaper subsistence,
 
 li 
 
 her coal and iron and great hydraulic power, with 
 so much cotton raised by herself and in adjacent 
 States, Virginia should have manufactured much 
 more cotton than New York. But, by the census 
 (table 22), the value of the cotton manufacture of 
 Virginia in 1850 was $1,446,109, and in 1860, 
 $1,063,61 1 a decrease of one third. In New York, 
 the value of the cotton manufacture in 1850 was 
 $5,019,323, and in 1860, $7,471,961, an increase of 
 over 48 per cent. So, if we look at the tables of 
 mines, manufactures, and the fisheries, with the 
 vastly superior advantages of Virginia, the whole 
 product in 1860 was of the value of $51,300,000, and 
 of agriculture $68,700,000; whilst in New York 
 these values were respectively $379,623,560 and 
 $226,376,440. (Tables of Census, 33 and 36.) 
 
 CLIMATE AND MORTALITY. By table 6, page 
 22, of the Census, there were for the year ending 
 June 1st, 1860, 46,881 deaths in New York, being 
 1 in every 82 of the population, and 1.22 per cent. 
 The number of deaths in Virginia, in the same year, 
 was 22,472, being 1 in every 70 of the population, 
 or 1.43 per cent. There was, then, a slight difference 
 in favour of New York. But Virginia is divided 
 into four geographical sections ; the tide-water, the 
 Piedmont (running from the tide-water region to 
 the Blue Mountains), the valley between these 
 mountains and the Alleghanies, and the trans-Alle- 
 ghany to the Ohio. These three last sections, con- 
 taining three-fourths of the area and white popula-
 
 tion of the State, surpass New York in salubrity, 
 with the most bracing- and delightful climate. The 
 climate of Virginia is far more favourable for stock 
 and agricultural products than New York, with 
 longer and better seasons, and is more salubrious 
 than the climate of Europe (Comp. 1850). 
 
 PKOGEESS OF WEALTH. We have seen how 
 great was the advance in population of New York 
 over Virginia, from 1790 to 1860, being in the ratio 
 of more than 9 to 1. Now let us compare the re- 
 lative progress of wealth. It is contended by the 
 advocates of slavery, that it accumulates wealth more 
 rapidly, and thus enriches the nation, although it 
 may depress its moral and intellectual development, 
 its increase of numbers and of power, and tarnish 
 its reputation throughout the world. As population 
 and its labour create wealth, it must be retarded 
 by a system which, as we have seen in this case, 
 diminishes the relative advance of numbers in the 
 ratio of more than 9 to 1. But the census proves 
 that slavery greatly retards the increase of wealth. 
 By tables 38 and 36 of the census of 1860, it 
 appears, omitting commerce, that the products of 
 industry, as given, viz., of agriculture, manufactures, 
 mines, and fisheries, were that year in New York 
 $606,000,000, or $156 per capita; and in Virginia 
 $120,000,000, or $75 per capita. This shows a 
 total value of product in New York more than five 
 times greater than in Virginia, and per capita more 
 than 2 to 1. If we include the earnings of com-
 
 13 
 
 merce, and all business not given in the census, I 
 think it will be shown hereafter, that the value of 
 the products and earnings of New York, in 1860, 
 exceeded those of Virginia at least 7 to 1. As to 
 the rate of increase, the value of the products of 
 agriculture, manufactures, mines and fisheries of Vir- 
 ginia, in 1850, was 184,180,428 (table 9), and in 
 New York $358,736,603, showing an increase in 
 Virginia from 1850 to 1860 of $85,519,572, being 
 41 per cent, and in New York $249,263,397, being 
 70 per cent., exhibiting a difference of 29 per cent. 
 Now the increase of population in Virginia from 
 1850 to 1860 was 12.29 per cent., and in New York 
 25.29 per cent., the difference being only 13 per 
 cent. (Table 1, p. 131.) Thus, it appears, the in- 
 crease of wealth in New York, exclusive of the 
 gains of commerce, as compared with Virginia, was 
 more than double the ratio of the augmentation of 
 population. By the census table of 1860, No. 35, 
 p. 195, 'The true value of the real and personal 
 property, according to the eighth census was, 
 New York, $1,843,338,517, and of Virginia 
 $793,249,681.' Now we have seen the value of 
 the products of New York in 1860 by the census 
 was $606,000,000, and in Virginia $120,000,000. 
 Thus, as a question of the annual yield of capital, 
 that of New York was 34 per cent., and Vir- 
 ginia 15 per cent. ; the annual product of capital 
 being more than double in New York what it was 
 in Virginia, The problem then is solved in Virginia,
 
 14 
 
 as it was in Maryland and South Carolina, and all 
 the South compared with all the North, that slavery 
 retards the progress of wealth and accumulation of 
 capital, in the ratio of 2 to 1. Our war taxes may 
 be very great, but the tax of slavery is far greater, 
 and the relief from it, in a few years, will add much 
 more to the national wealth than the whole deduction 
 made by the war debt. Our total wealth, by the 
 census of 1860, being, by table 35, $16,159,616,068, 
 one per cent, taken annually to pay the interest 
 and gradually extinguish the war debt, would be 
 $161,596,160; whereas, judging by Virginia and 
 New York, the diminished increase of the annual 
 product of capital, as the result of slavery, is 2.10 
 per cent, or $453,469,250 per annum, equal in a 
 decade, without compounding the annual results, to 
 $4,534,692,500. 
 
 That our population would have reached in 1860 
 nearly 40,000,000, and our wealth have been more 
 than doubled, if slavery had been extinguished in 
 1790, is one of the revelations made by the census ; 
 whilst in science, in education, and national power, 
 the advance would have been still more rapid, and 
 the moral force of our example and success would 
 have controlled for the benefit of mankind the insti- 
 tutions of the world. 
 
 By table 36, p. 196, of the census of 1860, 
 the cash value of the farms of Virginia was 
 $371,096,211, being $11,91 per acre, and of New 
 York $803,343,593, being $38.26 per acre. Now,
 
 15 
 
 by the table, the number of acres embraced in these 
 farms of New York was 20,992,950, and in Vir- 
 ginia 31,014,950, the difference of value per acre 
 being* $25.36, or much more than 3 to 1 in favour 
 of New York. Now, if we multiply this number of 
 acres of farm lands of Virginia by the New York 
 value, it would make the total value of the farm 
 lands of Virginia $1,186,942,136, and the addi- 
 tional value caused by emancipation $815,845,925. 
 But, stupendous as is this result in regard to lands, 
 it is far below the reality. We have seen that the 
 farm lands of Virginia, improved and unimproved, 
 constituted 31,014,950 acres. By the census and 
 the land-office tables, the area of Virginia is 
 39,265,280 acres. Deduct the farm lands, and there 
 remain unoccupied 8,250,330 acres. Now, Vir- 
 ginia's population to the square mile being 26.02, 
 and that of New York 84.36, with an equal density 
 in Virginia, more than two-thirds of these Virginia 
 lands, as in New York, must have been occupied as 
 farms. This would have been equivalent, at two- 
 thirds, to 5,500,000 acres, which, at their present 
 average value of $2 per acre, would be worth 
 $11,000,000 $ but, at the value per acre of the New 
 York lands, these 5,500,000 acres would be worth 
 $206,430,000. Deduct from this their present value, 
 $11,000,000, and the remainder, $195,430,000, is 
 the sum by which the unoccupied lands of Virginia, 
 converted into farms, would have been increased in 
 value by emancipation. Add this to the enhanced 
 value of their present farms, $815,845,925, and the
 
 16 
 
 result would be $1,011,275,925, as the gain of Vir- 
 ginia in the value of lands by emancipation. To 
 these we should add, from the same cause, the en- 
 hancement of the town and city property in Vir- 
 ginia to the extent of several hundred millions of 
 dollars. In order to realize the truth, we must 
 behold Virginia as she would have been, with New 
 York railroads and canals, farms, manufactures, 
 commerce, towns, and cities. Then we must con- 
 sider the superior natural advantages of Virginia, 
 her far greater area, her richer soil, her more genial 
 sun, her greater variety of products, her mines of 
 coal, iron, gold, copper, and lead, her petroleum, her 
 superior hydraulic power, her much larger coast line, 
 with more numerous and deeper harbours and re- 
 flect what Virginia would have been in the absence 
 of slavery. Her early statesmen, Washington, 
 Jefferson, Madison, Monroe, Mason, Tucker, and 
 Marshall, all realized this great truth, and all desired 
 to promote emancipation in Virginia. But their 
 advice was disregarded by her present leaders the 
 new, false, and fatal dogmas of Calhoun were sub- 
 stituted ; and, as a consequence, Virginia, from the 
 first rank (longo mtervallo) of all the States, has 
 fallen to the fifth, and, with slavery continued, will 
 descend still more rapidly in the future than in the 
 past. 
 
 By census table 36, p. 197, the value, in 1860, 
 of the farm lands of all the Slave States, was 
 $2,570,466,935, and the numbers of acres 245,721,- 
 062, worth $10.46 per acre. In the Free States,
 
 17 
 
 the value of the farm lands was 4,067,9 47,286, 
 and the number of acres 161,402,008, worth $25.19 
 per acre. Now if, as certainly in the absence of 
 slavery would have been the case, the farm lands of 
 the South had been worth as much per acre as 
 those of the North, their total value would have 
 been $6,189,713,551, and, deducting- the present 
 price, the additional cash value would have been 
 $3,019,246,616. 
 
 But if, to this, we add the increased value of the 
 unoccupied lands of the South, by multiplying- them 
 by the difference between their value per acre and 
 that of the unoccupied lands of the North, the result is 
 52,240,000,000, which, added to that of the farm 
 lands, makes $5,859,246,610 as the aug-mented value 
 of the lands of the South caused by emancipation. 
 
 By census tables of 1860, 33 and 36, the total 
 value of the products of agriculture, manufactures, 
 mines, and fisheries in the Free States was $4,150,- 
 000,000, and of the Slave States $1,140,000,000, 
 making the products of the Free States in 1860 
 nearly 4 to 1 of the Slave States, and $217 per 
 capita for the Free States, and for the Slave States 
 $93 per capita. This is exclusive of commerce, 
 which would greatly increase the ratio in favour of 
 the North, that of New York alone being- nearly 
 equal to that of all the Slave States. Now, multi- 
 ply the population of the Slave States by the value 
 of the products per capita of the Free States, and 
 the result is $2,653,631,032, making-, by emancipa- 
 
 B
 
 18 
 
 tion, the increased annual product of the Slave 
 States $1,511,031,032, and in ten years, exclusive 
 of the yearly accumulations, $15,110,310,820. 
 
 By the table 35, census of I860, the total value 
 of all the property, real and personal, of the Free 
 States, was $10,852,081,681, and of the Slave 
 States, $5,225,307,034. Now, the product, in 
 1860, of the Free States, being- $4,150,000,000, 
 the annual yield on the capital was 39 per cent. ; 
 and, the product of the Slave States being 1 $1,140,- 
 000,000, the yield on the capital was 22 per cent. 
 This was the g'ross product in both cases. I have 
 worked out these amazing- results from the census 
 tables, to illustrate the fact, that the same law, by 
 which slavery retarded the progress of wealth in 
 Virginia, as compared with New York, and of 
 Maryland and South Carolina, as compared with 
 Massachusetts, rules the relative advance in wealth 
 of all the Slave States, as compared with that of all 
 the Free States. I have stated that the statistics 
 of commerce, omitted in these tables, would vastly 
 increase the difference in favour of the Free States 
 as compared with the Slave States, and of New 
 York as contrasted with Virginia. I shall now 
 resume the latter inquiry, so as to complete the 
 comparison between New York and Virginia. By 
 commerce is embraced, in this examination, all 
 earning- not included under the heads of agriculture, 
 manufactures, the mines, or fisheries. 
 
 RAILROADS. The number of miles of railroads
 
 10 
 
 in operation in New York, in 1860, including- city 
 roads, was 2,842 miles,* costing 1 $138,395,055 ; and 
 in Virginia, 1,771 miles, costing- $<54,958,807. (Cen- 
 sus table of 1860, No. 38. pp. 230 and 233.) Now, 
 by the same census report, p. 105, the value of the 
 freights of the New York roads for 1860 was as 
 follows : Product of the forest tons carried, 373,- 
 424; value per ton, $20; total value, $7,468,480. 
 Of animals 805,519 tons; value per ton, $200} 
 total value, $179,103,800. Vegetable food 1,- 
 103,646 tons; value per ton, $50; total value, $55,- 
 182,000. Other agricultural products 143,219 
 tons; value per ton, $15; total value, $2,148,055. 
 Manufactures 511,916 tons ; value per ton, $500 ; 
 total value, $391,905,500. Other articles 930,- 
 244 tons ; value $10 per ton, total value, $9,302,- 
 440. Grand total, 4,741,773 tons carried; value 
 per ton, $163. Total values, $773,089,275. De- 
 ducting- one quarter for duplication, makes 3,556,- 
 330 tons carried on the New York roads in 1860; 
 and the value, $579,681,790. The values of the 
 freights on the Virginia roads, as estimated, is $60,- 
 000,000, giving an excess to those of New York of 
 $519,681,790, on the value of railroad freig-hts in 
 1860. The passeng-er account, not given, would 
 largely increase the disparity in favour of New York. 
 CANALS. The number of miles of canals in New 
 York is 1,038, and their cost $67,567,972. In 
 Virginia, the number of miles is 178, and the cost 
 * Now over 3000 miles. 
 B 2
 
 20 
 
 $7,817,000. (Census table 39, p. 238.) The esti- 
 mated value of the freight on the New York canals 
 is 19 times that of the freight on the Virginia ca- 
 nals. (Census.) 
 
 TONNAGE. The tonnage of vessels built in New 
 York in 1860 was 31,936 tons, and in Virginia 
 4,372. (Census, p. 107.) 
 
 BANKS. The number of banks in New York in 
 1860 was 303 ; capital $111,441,320, loans $200,- 
 351,332, specie $20,921,545, circulation $29,959,- 
 506, deposits $101,070,273 ; and in Virginia the 
 number was 65; capital $16,005,156, loans $24,- 
 975,792, specie $2,943,652, circulation $9,812,197, 
 deposits $7,729,652. (Table 34, p. 193, Census.) 
 
 INSURANCE COMPANIES. The risks taken in 
 New York were $916,474,956, or nearly one third 
 of those in the whole Union. Virginia, estimated at 
 $100,000,000 ; difference in favour of New York 
 $816,474,956. (Census, p. 79.) 
 
 EXPORTS AND IMPORTS, ETC. Our exports 
 abroad from New York for the fiscal year ending 
 30th June, 1860, were $145,555,449, and the 
 foreign imports $248,489,877 ; total of both, $394,- 
 045,326. The clearances same year from New 
 York were 4,574,285 tons, and the entries 4,836,448 
 tons ; total of both, 9,410,733 tons. In Virginia, the 
 exports the same year were $5,858,024, and the im- 
 ports $1,326,249; total of both, $7,184,273; clear- 
 ances, 80,381 tons, entries, 97,762 tons; total of both, 
 178,143 tons. (Table 14, Register of United States
 
 21 
 
 Treasury.) Eevenue collected from customs same year 
 in New York, $37,788,969, and in Virginia $189,816, 
 or 200 to 1 in favour. of New York. (Tables, U. S. 
 Com. of Customs.) No returns are given for the 
 coastwise and internal trade of either State, but the 
 tables of the railway and canal transportation of 
 States show nearly the same proportion in favour of 
 New York as in the foreign trade. Thus the domestic 
 exports from New York for the above year abroad were 
 $126,060,967, and from Virginia $5,833,370. (Same 
 table, 14.) And yet Virginia, as we have seen, had 
 much greater natural advantages than New York 
 for commerce, as well as for mines, manufactures, 
 and agriculture. But slavery has almost expelled 
 commerce from Virginia, and nearly paralyzed all 
 other pursuits. 
 
 These tables, taken from the census and the Trea- 
 sury records, prove incontestably, that slavery re- 
 tards the progress of wealth and population through- 
 out the South, but especially in Virginia. Nor can 
 the Tariff account for the results j for Virginia, as 
 we have seen, possesses far greater advantages than 
 New York for manufactures. Besides, the com- 
 merce of New York far surpasses that of Virginia, 
 and this is the branch of industry supposed to be 
 affected most injuriously by high tariffs, and New 
 York has generally voted against them with as much 
 unanimity as Virginia. But there is a still more 
 conclusive proof. The year 1824 was the com- 
 mencement of the era of high tariffs, and yet, from
 
 2-2 
 
 1790 to 1820, as proved by the census, the percent- 
 age of increase of New York over Virginia was 
 greater than from 1820 to 1860. Thus, by table 1 of 
 the census, p. 124, the increase of population in 
 Virginia was as follows : 
 
 From 1790 to 1800 17.63 per cent, 
 
 1800 1810 10-73 
 
 1810 1820 9.31 
 
 1820 1830 13.71 
 
 1830 1840 2.34 
 
 1840 1850 14.60 
 
 1850 1860 12.29 
 
 The increase of population in New York was : 
 
 From 1790 to 1800 72.51 per cent. 
 
 1800 1810 63,45 
 
 1810 1820 43.14 
 
 1820 1830 39,76 
 
 1830 1840 26.60 
 
 1840 1850 27,52 
 
 1850 1860 25.29 
 
 In 1790 the population of Virginia was 748,318, 
 in 1820, 1,065,129, and in 1860, 1,596,318. In 
 1790 the population of New York was 340,120, in 
 1820, 1,372,111, and in I860, 3,880,735. Thus, 
 from 1790 to 1820, before the inauguration of the 
 protective policy, the relative increase of the popu- 
 lation of New York, as compared with Virginia, 
 was very far greater than from 1820 to!860. It 
 is quite clear, then, that the Tariff had no influence 
 whatever in depressing- the progress of Virginia as 
 compared with New York.
 
 23 
 
 We have heretofore proved by the census the same 
 position as regards the relative progress of Mary- 
 land and Massachusetts, and the same principle 
 applies as between all the Free, as compared with 
 all the Slave States. In New York, we have seen 
 that from 1790 to 1820, in the absence of high 
 tariffs, and, even before the completion of her 
 great canal, her advance in population was much 
 more rapid than from 1820 to 1860. Indeed, 
 it is quite clear that, so far as the Tariff had any 
 influence, it was far more unfavourable to New York 
 than to Virginia, New York being a much greater 
 agricultural as well as commercial State. 
 
 Having shown how much the material progress 
 of Virginia has been retarded by slavery, let us now 
 consider its effect upon her moral and intellectual 
 development. 
 
 NEWSPAPERS AND PERIODICALS. The number 
 of newspapers and periodicals in New York in 1860 
 was 542, of which 365 were political, 56 religious, 
 63 literary, 58 miscellaneous ; and the number of 
 copies circulated in 1860 was 320,930,884. (Census 
 tables, Nos. 15, 37.) The number in Virginia was 
 139; of which 117 were political, 13 religious, 
 3 literary, 6 miscellaneous; and the number of 
 copies circulated in 1860 was 26,772,568. Thus, 
 the annual circulation of the press in New York was 
 twelve times as great as that of Virginia. As to 
 periodicals : New York had 69 monthlies, of which 
 2 were political, 25 religious, 24 literary, and 18 mis-
 
 24 
 
 cellaneous ; 10 quarterlies, of which 5 were reli- 
 gious, and 6 literary ; 6 animals, of which 2 were 
 political, 2 religious, and 2 miscellaneous. Virginia 
 had 5 monthlies, of which 1 was political, 2 reli- 
 gious, 1 literary, and 1 miscellaneous; and no quar- 
 terlies or annuals. The annual circulation of the New 
 York monthlies was 2,045,000 ; that of Virginia 
 was 43,900; or more than 43 to 1 in favour of New 
 Fork. 
 
 As regards schools, colleges, academies, libraries, 
 and churches, I must take the census of 1850, 
 those tables for 1860 not being yet arranged and 
 printed. The number of public schools in New 
 York in 1850 was 11,580, teachers 13,965, pupils 
 675^221 ; colleges, academies, etc., pupils 52,001 ; 
 attending school during the year, as returned by 
 families, 693,329; native adults of the State who 
 cannot read or write, 23,341. Public libraries, 
 11,013; volumes, 1,760,820. Value of churches, 
 $21,539,561. (Comp. ^Census, 1850.) 
 
 The number of public schools in Virginia in 1850 
 was 2,937, teachers 3,005, pupils 67,438 ; colleges, 
 academies, etc., pupils 10,326; attending school 
 during the year, as returned by families, 109,775; 
 native white adults of the State who cannot read or 
 write, 75,868. Public libraries, 54 ; volumes, 
 88,462. Value of churches, $2,902,220. (Com- 
 pend. of Census of 1850.) By table 155, same com- 
 pend., the percentage of native free population in 
 Virginia over 20 years of age who cannot read or
 
 25 
 
 write is 19.90, and in New York 1.87,. in North 
 Carolina 30.34, in Maryland, 11.10, in Massachu- 
 setts 0.32, or less than one-third of one per cent. 
 In New England, the percentage of native whites 
 who cannot read or write is 0.42, or less than one- 
 half of one per cent. ; and in the Southern States 
 20.80, or 50 to 1 in favour of New England. (Com- 
 pend., table 571.) But, if we take the whole adult 
 population of Virginia, including whites, free blacks, 
 and slaves, 42.05 per cent., or nearly one-half, can- 
 iiot read or write ; and in North Carolina, more 
 .than one-half cannot read or write. We have seen, 
 by the above official tables of the census of 1850, 
 that New York, compared with Virginia, had nearly 
 ten times as many pupils at schools, colleges, and 
 academies, twenty times as many books in libraries, 
 and largely more than seven times the value of 
 churches ; while the ratio of native white adults 
 who cannot read or write was more than 10 to 1 
 in Virginia, compared with New York. We have 
 seen, also, that in North Carolina nearly one-third 
 of the native white adults, and in Virginia nearly 
 one-fifth, cannot read or write, and in New Eng- 
 land 1 in every 400, in New York 1 in every 13 1^ 
 in the South and South-west 1 in every 42 of the 
 native white adults. (Comp. p. 153.) 
 
 My next comparison will be that of two great 
 new Western States Illinois, a Free State, and 
 Missouri, slave-holding. 
 
 The comparison is just, for while Missouri has
 
 26 
 
 increased since 1810, in wealth and population, 
 much more rapidly than any of the Slave States, 
 there are several Free States whose relative advance 
 has exceeded that of Illinois. The rapid growth of 
 Missouri is owing- to her immense area, her fertile 
 soil, her mighty rivers (the Mississippi and Missouri), 
 her central and commanding- position, and to the 
 fact, that she has so small a number of slaves to 
 the square mile, as well as to the free population. 
 
 The population of Illinois,, in 1810, was 12/282, 
 and in I860, 1,711,951 ; the ratio of increase from 
 1810 to 1860 being- 13,838.70. (Table 1, Gens. 
 I860.) The population of Missouri in 1810, was 
 20,845, and in 1860, 1,182,012; the ratio of in- 
 crease from 1810 to 1860 being- 5,570.48. (Ib.) 
 The rank of Missouri in 1810 was 22, and of Illinois 
 23. The rank of Missouri in 1860 was 8, and of 
 Illinois, 4. 
 
 AREA. The area of Missouri is 67,380 square 
 miles, being the 4th in rank, as to area, of all the 
 States. The area of Illinois is 55,405 square miles, 
 ranking the 10th. Missouri, then, has 1 1,875 more 
 square miles than Illinois. This excess is greater 
 by 749 square miles than the aggregate area of 
 Massachusetts, Delaware, and Rhode Island, con- 
 taining in 1860 a population of 1,517,902. The 
 population of Missouri per square mile in 1810 
 exceeded that of Illinois .08; but, in 1860, the 
 population of Missouri per square mile was 17.54, 
 racking the 22d, and that of Illinois, 30.90, rank-
 
 27 
 
 ing the 13th. Illinois, with her ratio to the square 
 mile and the area of Missouri, would have had in 
 1860 a population of 2,082,042; and Missouri, 
 with her ratio and the area of Illinois, would have 
 had in 1860 a population of 971,803,making- a differ- 
 ence in favour of Illinois of 1,110,239 instead of 
 529,939. The absolute increase of population of 
 Illinois per square mile from 1850 to 1860 was 
 15.54, and of Missouri 7.43, Illinois ranking- the 
 6th in this ratio and Missouri the 14th. These 
 facts prove the vast advantages which Missouri 
 possessed in her larger area as compared with 
 Illinois. 
 
 But Missouri in 1810, we have seen, had nearly 
 double the population of Illinois. Now, reversing 
 their numbers in 1810, the ratio of increase of 
 each remaining the same, the population of Illinois 
 in 1860 would have been 2,905,014, and of Mis- 
 souri, 696,983. If we bring the greater area of 
 Missouri as an element into this calculation the 
 population of Illinois in 1860 would have exceeded 
 that of Missouri more than two millions and a half. 
 MINES. By Census Tables, 9, 10, 13 and 14, 
 Missouri produced, in 1860, pig iron of the value 
 of $575,000; Illinois, none. Bar and rolled iron 
 Missouri, $535,000 ; Illinois, none. Lead Mis- 
 souri, 1356,660; Illinois, $72,953. Coal Mis- 
 souri, $8,200; Illinois, $964,187. Copper Mis- 
 souri, $6,000; Illinois, none. As to mines, then,
 
 28 
 
 Missouri has a decided advantage over Illinois. 
 Indeed, the iron mountains of Missouri are unsur- 
 passed in the world. That Illinois approaches so 
 near to Missouri in mineral products, is owing- to 
 her railroads and canals, and not to equal natural 
 advantages. The number of miles of railroad in 
 operation in 1860 was, 2,868 in Illinois, and 817 in 
 Missouri; of canals, Illinois, 102 miles; Missouri, 
 none. (Tables 38, 89.) But if Missouri had been 
 a free State, she would have at least equalled Illi- 
 nois in internal improvemeuts, and the Pacific Rail- 
 road would have long' since united San Francisco, 
 St. Louis, and Chicago. 
 
 Illinois is increasing in a progressive ratio as 
 compared with Missouri. Thus, from 1840 to 1850 
 the increase of numbers in Illinois was 78.81, and 
 from 1850 to 1860, 101.01 per cent., while the in- 
 crease of Missouri from 1840 to 1850 was 77.75 
 and from 1850 to I860, 73.30. Thus, the ratio is 
 augmenting in Illinois, and decreasing in Missouri. 
 If Illinois and Missouri should each increase froin 
 1860 to 1870, in the same ratio as from 1850 to 
 1860, Illinois would then number 3,441,448, and 
 Missouri, 2,048,426. (Table 1.) In 1850, Chica- 
 go numbered 29,963,"and in 1860, 109,260. St. 
 Louis, 77,860 in 1850, and 160,773 in 1860. 
 (Table 40.) From 1840 to 1850 the ratio of in- 
 crease of Chicago was 570.31, and from 1850 to 
 1860, 264.65, and of St. Louis, from 1840 to 1850,
 
 20 
 
 372.26 per cent., and from 1850 to 1860, 106.49. 
 If both increased in their respective ratios from 1860 
 to 1870 as from 1850 to I860, Chicago would num- 
 ber 398,420 in 1870, and St. Louis, 331,879. It 
 would be difficult to say which city has the great- 
 est natural advantages, and yet when St. Louis 
 was a city, Chicago was but the site of a fort. 
 
 PROGRESS OF WEALTH. By Census Table 36, 
 the cash value of the farms of Illinois in 1860, was 
 $432,531,072, and of Missouri, $230,632,126, mak- 
 ing* a difference in favour of Illinois, of $201,898,- 
 946, which is the loss which Missouri has sustained 
 by slavery in the single item of the value of her 
 farm lands. Abolish slavery there, and the value 
 of the farm lands of Missouri would soon equal those 
 of Illinois, and augment the wealth of the farmers 
 of Missouri over two hundred millions of dollars. 
 But these farm lands of Missouri embrace only 19,- 
 984,809 acres (Table 36), leaving unoccupied 23,- 
 138,391 acres. The difference between the value 
 of the unoccupied lands of Missouri and Illinois, 
 is six dollars per acre, at which rate the increased 
 value of the unoccupied lands of Missouri, in the 
 absence of slavery, is $148,830,346. Thus it ap- 
 pears, that the loss to Missouri in the value of her 
 lands, caused by slavery, is $340,729,292. If we 
 add to this the diminished value of town and city 
 property in Missouri, from the same cause, the total 
 loss in that State in the value of real estate, exceeds
 
 30 
 
 $400,000,000, which is nearly twenty times the 
 value of her slaves. By Table 35, the increase in 
 the value of the real and personal property of Illi- 
 nois from 1850 to 1860, was $715,595,276,, being 
 457,93 per cent., and of Missouri, $363,966,691, 
 being* 265. 18 per cent. At the same rate of in- 
 crease from 1860 to 1870, the total wealth of Illi- 
 nois would then be $3,993,000,000, and of Missouri, 
 $1,329,000,000, making 1 the difference ag-ainst Mis- 
 souri, in 1870, caused by slavery, $2,664,000,000, 
 which is more than double the whole debt of the 
 nation, and more than twice the value of all the 
 slaves in the Union. 
 
 The total wealth of the Union in 1860 exceeded 
 $16,000,000,000. If this were increased $1,000,- 
 000,000 in time, by the augmented wealth of Missouri, 
 and our revenue from duties and taxes should be 
 $220,000,000, tile increased income, being- one-seven- 
 teenth of the whole, would exceed $12,000,000 per 
 annum ; or, if the increase of wealth should be only 
 $200,000,000, then the augmented proportional annual 
 revenue would be $2,750,000, or nearly one-eig-htieth 
 part of the whole revenue. 
 
 By overthrowing 1 the rebellion, the taxes to 
 pay the national debt will be collected from all the 
 States, instead of being- confined to those that are 
 loyal. The rebel Confederate debt, never having- 
 had any existence in law or justice, but having- been 
 created only to support a wicked rebellion, will of
 
 31 
 
 course be expunged by the reestablishment of the 
 Union. All the rebel States debt incurred since the 
 revolt, for the purpose of overthrowing- the Govern- 
 ment, will, of course, have no legal existence. Under 
 the Federal Constitution, no State Legislature can 
 have any lawful existence, except in conformity 
 with its provisions, accompanied by a prior oath of 
 every member to support the Constitution of the 
 United States. These assemblages, then, since the 
 revolt in the several States, calling themselves State 
 Legislatures, never had any legal existence or au- 
 thority, and were mere assemblages of traitors. 
 Such is the clear provision of the Federal Constitu- 
 tion, and of the law of nations and of justice. It 
 would be strange, indeed, if conventicles of traitors 
 in revolted States, could legally or rightfully impose 
 taxes on the people of such States, k^al or disloyal, 
 to overthrow the Government. Indeed, if justice 
 could have her full sway, the whole debt of this Go- 
 vernment, incurred to suppress this rebellion, ought 
 to be paid by the traitors alone. 
 
 My next comparison will be that of the free State 
 of Pennsylvania with Virginia. 
 
 Virginia was a considerable colony when Penn- 
 sylvania was occupied only by Indian tribes. In 
 1790, Virginia was first in. rank of all the States, 
 her number of inhabitants being 748,308. (Census 
 Rep., 120, 1'21,) Pennsylvania then ranked the 
 second, numbering 434,373 persons. (Ib.) In 
 1860 the population of Virginia was 1,596,318,
 
 32 
 
 ranking 1 the fifth ; Pennsylvania still remaining- the 
 second, and numbering* 2,905,1 15. (Ib.) In 1790 
 the population of Virginia exceeded that of Penn- 
 sylvania 313,925; in 1860 the excess in favour of 
 Pennsylvania was 1,308,797. The ratio of increase 
 of population of Virginia from 1790 to 1860 was 
 113.32 per cent., and of Pennsylvania in the same 
 period, 569.03. At the same relative ratio of in- 
 crease for the next seventy years, Virginia would 
 contain a population of 3,405,265 in 1930; and 
 Pennsylvania 19,443,934, exceeding- that of Eng- 
 land. Such has been and would continue to be the 
 effect of slavery in retarding- the progress of Vir- 
 ginia, and such the influence of freedom in the rapid 
 advance of Pennsylvania. Indeed, with the main- 
 tenance and perpetuity of the Union in all its 
 integrit}', the destiny of Pennsylvania will surpass 
 the most sanguine expectations. 
 
 The population of Virginia per square mile in 
 1790 was 12.19, and in 1860, 26.02; whilst that of 
 Pennsylvania in 1790 was 9.44, and in 1860, 68.18. 
 (Ib.) The absolute increase of the population of 
 Virginia per square mile, from 1790 to 1860, was 
 13.83, and from 1850 to 1860, 2.85; whilst that of 
 Pennsylvania from 1790 to 1860, was 53.74, and 
 from 1850 to I860, 12.93. (Ib.) 
 
 AREA, The area of Virginia is 61,352 square 
 miles, and of Pennsylvania 46,000, the difference 
 being 15,352 square miles, which is greater, by 758 
 square miles, than the aggregate area of Massa-
 
 38 
 
 chusetts, Connecticut, and Delaware, containing- in 
 I860 a population of 1,803,429. (Ib.) Retaining 
 their respective ratios of increase per square mile 
 from 1790 to I860, and reversing- their areas, that 
 of Virginia in 1860 would have been 1,196,920, 
 and of Pennsylvania 3,876,119. Reversing the 
 numbers of each State in 1790, the ratio of increase 
 in each remaining the same, the population of Penn- 
 sylvania in 1860 would have been 5,408,424, and 
 that of Virginia, 926,603. Reversing both the 
 areas and numbers in 1790, and the population of 
 Pennsylvania would have exceeded that of Virginia 
 in 1860 more than six millions. 
 
 SHORE LINE. By the Tables of the Coast Sur- 
 vey, the shore line of Virginia is 1,571 miles, and 
 of Pennsylvania only 60 miles. This vastly supe- 
 rior coast line of Virginia, with better, deeper, more 
 capacious, and much more numerous harbours, un- 
 obstructed by ice, and with easy access for so many 
 hundred miles by navigable bays and tide- water 
 rivers leading so far into the interior, give to Vir- 
 ginia great advantages over Pennsylvania in com- 
 merce and every branch of industry. Indeed, in 
 this respect, Virginia stands unrivalled in the Union. 
 The hydraulic power of Virginia greatly exceeds 
 that of Pennsylvania. 
 
 MINES. Pennsylvania excels every other State 
 in mineral wealth, but Virginia comes next. 
 
 SOIL. In natural fertility of soil, the two States 
 are about equal ; but the seasons in Virginia are 
 
 c
 
 34 
 
 more favourable, both for crops and stock, than ifi 
 Pennsylvania. Virginia has all the agricultural 
 products of Pennsylvania, with cotton in addition. 
 The area, however, of Virginia (39,265,280 acres) 
 being greater by 9 ; 825,280 acres than that of 
 Pennsylvania (29,440,000 acres), gives to Virginia 
 vast advantages. 
 
 In her greater area, her far superior coast line, 
 harbours, rivers, and hydraulic power, her longer 
 and better seasons for crops and stock, and greater 
 variety of products, Virginia has vast natural ad- 
 vantages, and with nearly double the population of 
 Pennsylvania in 1790. And yet, where has slavery 
 placed Virginia? Pennsylvania exceeds her now 
 in numbers 1,308,797, and increased in population 
 from 1790 to 1860, in a ratio more than five to 
 one. Such is the terrible contrast between free and 
 slave institutions ! 
 
 PROGRESS OF WEALTH. By Census Tables 
 (1860) 33 and 36, it appears (omitting commerce) 
 that the products of industry, as given, viz., of 
 agriculture, manufactures, mines, and fisheries, 
 were that j r ear in Pennsylvania, of the value of 
 $399,600,000, or $138 per capita ; and in Virginia, 
 $120,000,000, or $75 per capita. This shows a 
 total value of product in Pennsylvania much more 
 than three times that of Virginia, and, per capita, 
 nearly two to one. That is, the average value of 
 the product of the labour of each person in Penn- 
 sylvania is nearly double that of each person, in-
 
 35 
 
 eluding- slaves, in Virginia. Thus is proved the 
 vast superiority of free over slave labour, and the 
 immense national loss occasioned by the substitution 
 of the latter for the former. 
 
 As to the rate of increase; the value of the pro- 
 ducts of Virginia in 1850 was $84,430,493 (Table 
 9), and in Pennsylvania, $229,567, 131, showing 
 an increase in Virginia, from 1850 to 1860, of 
 $35,519,572, being 1 41 per cent.; and in Pennsyl- 
 vania, $170,032,869, being 51 per cent. ; exhibiting 
 a difference of 10 per cent, in favour of Penns} 7 lvania. 
 By the Census Table of 1860, No. 35, p. 195, the 
 true value then of the real and personal property 
 was, in Pennsylvania, $1,416,501,818, and of Vir- 
 ginia, $793,249,681. Now, we have seen, the value 
 of the products in Pennsylvania in 1860 was 
 $399,600,000, and in Virginia, $120,000,000. Thus, 
 as a question of the annual yield of capital, that of 
 Pennsylvania was 29 per cent., and of Virginia, 
 15 per cent. By Census Table 85, the total 
 value of the real and personal property of Pennsyl- 
 vania was $722,486,120 in 1850, and $1,416,501,818 
 in 1860, showing an increase, in that decade, of 
 $694,015,698, being 96.05 per cent. ; and in Vir- 
 ginia, $430,701,082 in 1850, and $793,249,681 in 
 1860, showing an increase of $362,548,599, or 
 84.17 per cent. 
 
 By Table 36, p. 196, Census of 1860, the cash 
 value of the forms of Virginia was $371,092,211, 
 being* $11.91 per acre; and of Pennsylvania,
 
 30 
 
 $66&,050,70?, being $38.91 per ncre. Now, by 
 this table, the number of acres embraced in these 
 farms of Pennsylvania was 17,012,153 acres, and 
 in Virginia, 31,0 14,950 5 the difference of value 
 per acre being' $27, or largely more than three to 
 one in favour of Pennsylvania. Now, if we mul- 
 tiply the farm lands of Virginia by the Pennsyl- 
 vania value per acre, it would make the total value 
 of the farm lands of Virginia $1,204,791,804; and 
 the additional value, caused by emancipation, 
 .$835,699,593. But the whole area of Virginia 
 is 39,265,280 acres, deducting from which the 
 farm lands, there remain unoccupied 8,250,330 
 acres. Now, if (as would be in the absence 
 of slavery) the population per square mile of 
 Virginia equalled that of Penns}'lvania, three- 
 fifths of these lands would have been occupied as 
 farms; viz. 4,950,198, which, at the Pennsylvania 
 value per acre, would have been worth $188,207,524. 
 Deduct from this their present average value of 
 $2 per acre, $9,800,396, and the remainder, 
 $178,407,128, is the sum by which the unoccupied 
 lands of Virginia, converted into farms, would have 
 been increased in value by emancipation. Add this 
 to the enhanced value of their present farms, and 
 the result is $1,014,106,721 as the gain, on this 
 basis, of Virginia in the value of her lands, by 
 emancipation. To these we should add the in- 
 creased value of town and city lots and improvements, 
 and of personal propert} T , and, with emancipation,
 
 37 
 
 Virginia would now have an augmented wealth of 
 at least one billion and a half of dollars. 
 
 The earnings of commerce are not given in the 
 Census Tables, which would vastly increase the dif- 
 ference in the value of their annual products in favour 
 of Pennsylvania as compared with Virginia. These 
 earnings include all not embraced under the heads of 
 agriculture, manufactures, the mines, and fisheries. 
 Let us examine some of these statistics. 
 
 HAILROADS. The number of miles of railroad in 
 operation in Pennsylvania in I860, including city 
 roads, was 2,690.49 miles,* costing $147,283,410; 
 and in Virginia, 1,771 miles, costing $64,958,807. 
 (Census Table of 1860, No. 38, pp. 230, 232.) The 
 annual value of the freight carried on these roads 
 is estimated at $200,000,000 more in Pennsylvania 
 than in Virginia, and the passenger account would 
 still more increase the disparity. 
 
 CANALS. The number of miles of canals in 
 Pennsylvania in 1860 was 1,259, and their cost, 
 142,015,000, In Virginia the number of miles 
 was 178, and the cost, $7,817,000. (Census Table 
 39, p. 4 J38.) The estimated value of the freight on 
 the Pennsylvania canals is ten times that of the 
 freight on the Virginia canals. 
 
 TONNAGE. The tonnage of vessels built in Penn- 
 sylvania in 1860 was 21,615 tons, and in Virginia, 
 4,372. (Census, p. 197.) 
 
 BANKS. The number of banks in Pennsylvania 
 * Now 2,907 miles.
 
 38 
 
 in I860 was 90; capital, $25,565,582 ; loans, 
 $50,327,127 ; specie, $8,378,474 ; circulation, 13,- 
 132,892; deposits, $26,167,143: and in Virginia 
 the number was 65; capital, $16,005,156; loans, 
 $24,975,792 ; specie, $2,943,652 ; circulation, 
 $9,812,197; deposits, $7,729,652. (Census Table 
 35, p. 193.) 
 
 EXPORTS AND IMPORTS, ETC. Our exports 
 abroad from Pennsylvania, for the fiscal }'ear ending 
 30th June, 1860, and foreign imports, were of the 
 value of $20,262,608. The clearances, same year, 
 from Pennsylvania, and entries were 336,848 tons. 
 In Virginia the exports the same year, and foreign 
 imports were of the value of $7 } 184,27 3 ; clearances 
 and entries, 178,143 tons. (Table 14, "Register of 
 U. S. Treasury.) Revenue from customs, same 
 year, in Pennsylvania, $2,552.924, and in Virginia, 
 $189,816 ; or more than twelve to one in favour of 
 Pennsylvania. (Tables U. S. Commissioner of Cus- 
 toms.) No returns are given for the coastwise and 
 internal trade of either State ; but the railway and 
 canal transportation of both States shows a differ- 
 ence of ten to one in favour of Pennsylvania. And 
 yet, Virginia, as we have seen, had much greater 
 natural advantages than Penns}'lvania for commerce, 
 foreign and internal, her shore line up to head of 
 tide water being 1,57 1 miles, and Pennsylvania only 
 60 miles. 
 
 We have seen that, exclusive of commerce, the 
 products of Pennsylvania in 1860 were of the value
 
 39 
 
 of $399,600,000, or j 138 per capita ; and in Vir- 
 ginia, $120,000,000, or $75 per capita. But, if we 
 add the earnings of commerce, the products of 
 Pennsylvania must have exceeded those of Virginia 
 much more than four to one, and have reached, per 
 capita, nearly three to one. What but slavery 
 could have produced such amazing- results? Indeed, 
 when we see the same effects in all the Free States 
 as compared with all the Slave States, and in any 
 of the Slave States, as compared with any of the 
 Free States, the uniformity of results establishes the 
 law beyond all controversy, that slavery retards 
 immensely the progress of wealth and population. 
 
 That the Tariff has produced none of these results, 
 is shown by the fact that the agriculture and com- 
 merce of Pennsylvania vastly exceed those of Vir- 
 ginia, and yet these are the interests supposed to 
 be most injuriously affected by high tariffs. But 
 there is still more conclusive proof. The year 1824 
 was the commencement of the era of high tariffs, 
 and yet, from 1790 to 1820, as proved by the Cen- 
 sus, the percentage of increase of Pennsylvania over 
 Virginia was greater than from 1820 to 1800. Thus, 
 by Table 1 of the Census, p. 124, the increase of 
 population in Virginia was as follows : 
 
 From 17CO to 1800 17.63 per cent. 
 
 " 1800 " 1810 10.73 
 
 " 1810 " 1820 9.31 
 
 " 1820 " 1830 13.71 
 
 " 1830 " 1840 2.3-1 
 
 " 1810 CJ 1350 11.60 
 
 " 18.>0 c; ISoO 12,29
 
 40 
 The increase of population in Pennsylvania was : 
 
 From 1790 to 1800 38.67 percent. 
 
 " 1800 u 1810 34.49 " 
 
 " 1810 " 1820 29.55 
 
 " 1820 " 1830 28.47 
 
 " 1830 " 1840 27.87 
 
 " 1840 " 1850 34.09 " 
 
 " 1850 " 1860 25.71 
 
 In 1790 the population of Virginia was 748,318 ; 
 in 1820, 1,065,129, and in I860, 1,590,318. In 
 1790 the population of Pennsylvania was 434,373 ; 
 in 1820, 1,348,233, and in I860, 2,906,1 15. Thus, 
 from 1790 to 18*20, before the inauguration of the 
 protective policy, the relative increase of the popu- 
 lation of Pennsylvania, as compared with Virginia, 
 was very far greater than from 1820 to I860. It is 
 quite clear, then, that the tariff' had no influence in 
 depressing the progress of Virginia as compared 
 with Pennsylvania. 
 
 Having shown how much the material progress 
 of Virginia has been retarded by slavery, let us now 
 consider its effect upon her moral and intellectual 
 development. 
 
 NEWSPAPERS AND PERIODICALS. The number 
 of newspapers and periodicals in Pennsylvania in 
 1860 was 367, of which 277 were political, 43 reli- 
 gious, 25 literary, 22 miscellaneous ; and the total 
 number of copies circulated in 1 860 was 1 16,094,480. 
 (Census Tables, Nos. 15, 37.) The number in Vir- 
 ginia was 139, of which 117 were political, 13 reli- 
 gious, 3 literary, 6 miscellaneous ; and the number
 
 41 
 
 of copies circulated in 1860 was 26,7 72,568, being 1 
 much less than one fourth that of Pennsylvania. 
 The number of copies of monthly periodicals circu- 
 lated in Pennsylvania in 1860 was 464,684 ; and 
 in Virginia, 43,900 : or much more than ten to one 
 in favour of Penns} T lvauia. 
 
 As regards schools, colleges, academies, libraries, 
 and churches, I must take the Census of 1850, those 
 tables for 1860 not being yet arranged or printed. 
 The number of public schools in Pennsylvania in 
 1850 was 9,061 ; teachers, 10,024; pupils, 4 13,7 06 ; 
 colleges, academies, &c., pupils, 26,14*2 ; attending 
 school during- the year, as returned by families, 
 504,610; native adults of the State who cannot read 
 or write, 51,283; public libraries, 393; volumes, 
 363,400; value of churches, $11,853,291; percent- 
 age of native free population (adults) who cannot read 
 or write, 4.56. (Comp. Census of 1850.) 
 
 The number of public schools in Virginia in 1850 
 was 2,937 ; teachers, 3,005 ; pnpils, 67,438 ; col- 
 leges, academies, &c., pupils, 10,326 ; attending* 
 school, as returned by families, 109,775; native 
 white adults of the State who cannot read or write, 
 75,868; public libraries, 54; volumes, 88,462; 
 value of churches, $2,902,220 ; percentage of native 
 free adults of Virginia who cannot read or write, 
 19.90, (Comp. Census of 1850.) Thus, the church 
 and educational statistics of Pennsylvania, and es- 
 pecially of free adults who cannot read or write, is 
 as five to one nearly in favour of Pennsylvania.
 
 When we recollect that nearly one third of the 
 population of Pennsylvania are of the great German 
 race, and speak the noble German language, to 
 which they are greatly attached, and hence the dif- 
 ficulty of introducing common English public 
 schools in the State, the advantage, in this respect, 
 of Pennsylvania over Virginia is most extraordinary. 
 
 My last comparison will be that of our two 
 smallest States Rhode Island, a Free State, and 
 Delaware, slave-holding. 
 
 In 1790 the population of Rhode Island was 
 09,110, and that of Delaware 59,090. In 1800 
 the former numbered 174,020, the latter 11 2,21 6. 
 Thus, from 1790 to 1800, the ratio of increase 
 of population of Rhode Island was 152.07 per 
 cent., and of Delaware, 89.88. At the same 
 relative rate of increase, for the next, as for the 
 last seventy years, the population of Rhode Island 
 in 1930, would be 441,212, and of Delaware, 
 213,074. Thus in 1790, Rhode Island numbered 
 but 10,014 more than Delaware, 02,404 more in 
 1800, and, at the same ratio of increase, 2^8,138 
 more in 1930. Such has been and would be the 
 effect of slavery in retarding the increase of Dela- 
 ware, as compared with Rhode Island. (Census 
 Table, 1800, No. 1.) 
 
 The population of Rhode Island per square mile 
 in 1790, was 52.15, and in 1800, 133.71 ; that of 
 Delaware, 27.87 in 1790, and 59.93 in 18(50. The 
 absolute increase of population of Rhode Island,
 
 43 
 
 per square mile, from 1790 to 1800, was 80.79, and 
 from 1850 to I860, 20.74 ; that of Delaware, from 
 1790 to I860, was 25 05, and from 1850 to I860, 
 9.76. (Ib.) 
 
 AEEA. The area of Rhode Island is 1,306 square 
 miles, and of Delaware, 2,120, being- 38 per cent., 
 or much more than one third larger than Rhode 
 Island. Retaining their respective ratios of increase, 
 per square mile, from 1790 to 1860, and reversing 
 their areas, the population of Rhode Island in 1860, 
 would have been 283,465, and of Delaware, 78,268. 
 In natural fertility of soil Delaware is far superior 
 to Rhode Island, the seasons much more favourable 
 for crops and stock, and with more than double the 
 number of acres of arable land. 
 
 PJROGIIESS OF WEALTH. By Census Tables 33 
 and 36 (omitting 1 commerce), it appears that the pro- 
 ducts of industry as given, viz., of agriculture, manu- 
 factures, mines, and fisheries, were that year, in 
 Rhode Island, of the value of $52,400,000, or 
 $300 per capita, and in Delaware, $16,100,000, or 
 $143 per capita. That is, the averag-e annual value 
 of the product of the labour of each person in Rhode 
 Island is greatly more than double that of the labour 
 of each person in Delaware, including* slaves. This, 
 we have seen, would make the value of the products 
 of labour in Rhode Island in 1930, $132,368,600, 
 and in Delaware, only $30,469,582, notwithstanding 
 the far greater area and superior natural advantages 
 of Delaware as compared with Rhode Island.
 
 44 
 
 As to the rate of increase : the value of the pro- 
 ducts of Delaware in 1&50 was $7,804,992, in I860, 
 $16,100,000; and in Rhode Island, in 1850, 
 $-24,288,088, and in 1860, $52,400,000 (Table 9, 
 Treas. Rep., 1856), exhibiting 1 a large difference in 
 the ratio in favour of Rhode Island. 
 
 By Table 86, p. 196, Census of 1860, the cash 
 value of the farm lands of Rhode Island in 1860 
 was $19,385,573, or $37.30 per acre (519,698 acres), 
 and of Delaware, $31,426,357, or $31.39 per acre 
 (1,004,295 acres). Thus, if the farm lands of Dela- 
 ware were of the cash value of those of Rhode 
 Island per acre, it would increase the value of those 
 of Delaware $5,935,385, whereas the whole value 
 of her slaves is but $539,400. 
 
 But by Table 35, Census of 1860, the total value 
 of the real and personal property in Rhode Island 
 in 1860, was $135,337,588, and of Delaware, 
 $46,242,181, making- a difference in favour of 
 Rhode Island, $89,095,497, whereas, we have seen, 
 in the absence of slavery, Delaware must have far 
 exceeded Rhode Island in wealth and population. 
 
 The earnings of commerce are not given by the 
 census, but, to how vast an extent this would swell 
 the difference in favour of Rhode Island, we may 
 learn from the Census, Bank Table No. 34. The 
 number of the banks of Rhode Island in 1860, 
 was 91; capital, $20,865,569 ; loans, $26,719,877 ; 
 circulation, $3,558,295; deposits, $0,553,104. In 
 Delaware, number of banks, 12 , capital, $1,640,675 ;
 
 45 
 
 loans, $3,150,215 ; circulation, $1,135,772 ; deposits, 
 $970,223. 
 
 Having 1 shown how much slavery has retarded 
 the material progress of Delaware, let us now con- 
 sider its effect upon her moral and intellectual de- 
 velopment. 
 
 NEWSPAPERS AND PERIODICALS. The number 
 of newspapers and periodicals in Rhode Island in 
 1860, was 26, of which 18 were political, 6 literary, 
 and 2 miscellaneous. (Census, Table No. 37.) 
 The number in Delaware was 14, of which 13 were 
 political, and 1 literary. Of periodicals, Delaware 
 had none ; Rhode Island, 1. The number of copies 
 of newspapers and periodicals issued in Rhode 
 Island in 1860 was 5,289,280, and in Delaware 
 only 1,010,776, or largely more than five to one in 
 favour of Rhode Island. 
 
 As regards schools, colleges, academies, libraries, 
 and churches, I must take the census of 1850, those 
 tables for 1860 not being yet arranged or published. 
 The number of public schools in Rhode Island in 
 1850 was 426, teachers 518, pupils 23,130 ; attend- 
 ing school during the year, as returned by families, 
 whites, 28,359 ; native adults of the State who can- 
 not read or write, 1,248 j public libraries, 96 j 
 volumes 104,342; value of churches, $1,293,600; 
 percentage of native free adults who cannot read or 
 write, 149. Colleges and academies, pupils, 3,664. 
 (Comp. Census of 1850.) The number of public 
 schools in Delaware in 1850, was 194, teachers
 
 46 
 
 214, pupils, 8,970 ; attending school during- the 
 year, whites, as returned by families, 14,216; native 
 free adults of the State who cannot read or write, 
 9,777 ; public libraries, 17 ; volumes, 17,950; value 
 of churches, $340,345 ; percentage of native free 
 adults who cannot read or write, 23.03 ; colleges 
 and academies, pupils, 764. (Comp. Census, 1850.) 
 The subject will be continued in my next number. 
 
 R. J. WALKER. 

 
 AMERICAN 
 
 FINANCES AND RESOURCES, 
 
 LETTER 
 
 No. V. 
 
 OF 
 
 HON. ROBERT J. WALKER, M.A. 
 
 COUKSELLOE AT LAW IN THE SUPREME COURT OF THE UNITED STATES, 
 
 LATE LAW EEP. MI., SENATOR OF THE UNITED STATES, 
 
 SECRETARY OF THE TREASURY, COMMISSIONER TO CHINA, 
 
 GOVERNOR OF KANSAS, ETC., ETC. 
 
 LONDON s 
 
 WILLIAM BIDGWAY, 169, PICCADILLY, W. 
 1864,
 
 a a T T a i
 
 10, Half Moon Street, Piccadilly. 
 Feb. 8th, 1864. 
 
 IN my third and fourth letters on American 
 Finances and Resources, the following comparisons 
 were instituted. 
 
 Massachusetts and New Jersey, free States, with 
 Maryland and South Carolina slave States; New 
 York and Pennsylvania, free States, with Virginia 
 slave State ; Rhode Island, free State, with Delaware 
 slave State ; Illinois, free State, with Missouri slave 
 State; the free States of 1790, with the slave States 
 of that date ; the free States of I860, with the slave 
 States of that date. These comparisons were based 
 on the official returns of the Census of the United 
 States, and exhibited in each case and in the aggre- 
 gate the same invariable result, the vastly superior 
 progress of the free States in wealth, population, 
 and education. 
 
 I will now institute one other comparison, Ken- 
 tucky, slave-holding, with Ohio a free State. 
 
 Kentucky population in 1790, 73,077; Ohio, 
 none. 1800: Kentucky, 920,955; Ohio, 45,365. 
 1860: Kentucky, 1,155^684 ; Ohio, 2,339,502. We 
 must institute the comparison from 1800, as Ohio 
 was a wilderness in 1790, when Kentucky had a 
 population of 73,077. In Kentucky, the ratio of 
 increase of population from 1800 to 1860 was 527,98 
 
 A 2
 
 per cent, and in the same period in Ohio 5,057,08. 
 Table 1, Census I860: thus from 1800 to 18t>0 
 Ohio increased in nearly ten-fold the ratio of Ken- 
 tucky. 
 
 Wealth. By Tables 33 and 36, Census of 1860, 
 the value of the product of 1859 was as follows: 
 
 Ohio . . $337,619,000 
 Kentucky . 115,408,000 
 
 Per capita. 
 
 Ohio . . $144,31 
 Kentucky . 99,90 
 
 Thus is it, that, whilst in 1790 and 1800 Kentucky 
 \vas so very far in advance of Ohio, yet, in 1860, 
 so vast was the advance of Ohio as compared with 
 Kentucky, that the value of the product of Ohio was 
 nearly triple that of Kentucky, and, per capita, 
 much more than one-third greater. No reason can be 
 assigned for these remarkable results, except that 
 Kentucky was slave-holding", and Ohio a free State. 
 
 Their area is nearly the same, and they are adja- 
 cent States ; the soil of Kentucky is quite equal to 
 that of Ohio, the climate better for crops and stock, 
 and the products more various. 
 
 We have seen the actual results in 1860, but if Ken- 
 tucky had increased in population from 1800 to, 1860 
 in the same ratio as Ohio, Kentucky then would have 
 numbered 11,175,970, or nearly ten times her present 
 population ; and if the product had been the same as 
 in Ohio, per capita, the value would have been
 
 1 ,6 12,804,230; or more than 14 times greater than 
 the result. Thus it is demonstrated by the official tables 
 of the Census of the United States, that if Kentucky 
 had increased in wealth and population from 1800 to 
 1860 in the same ratio as Ohio, the results would 
 have been as follows : 
 
 Kentucky: population in 1860, 11,175,970; 
 actual population in 1860, 1,155,684; value of 
 products in 1860, $1,612,804,230; actual value in 
 1860, $115,408,000. 
 
 Some attempt has been made to account for these 
 marvellous results, by stating that Ohio has a border 
 on one of the Lakes and Kentucky has not. But 
 to this it may be replied, that Kentucky borders for 
 twice the distance on the Ohio river, has a large 
 front on the Mississippi river, and embraces within 
 her limits those noble streams the Cumberland and 
 Tennessee rivers, making, together with the Big 
 Sandy, Licking, Kentucky, Green and Barren rivers, 
 the natural advantages of Kentucky for navigation, 
 superior to those of Ohio. But a conclusive answer 
 to this argument is found in the fact, that, omitting 
 
 O j s *D 
 
 all the counties of Ohio within the Lake region, the 
 remainder, within the valley of the Ohio river, con- 
 tain a population more than one-half greater than 
 that of the whole state of Kentucky. 
 
 Lands. The farm lands, improved and unim- 
 proved, of Ohio in 1860 were worth $666,564,171. 
 The number of acres 20,741,138, value per acre 
 $32,13. (Census of 1860, p. 197, table 36.) The
 
 farm lands of Kentucky, improved and unimproved, 
 were worth $291,496,953, the number of acres 
 19,103,276, worth per acre $15,21. (II.) Differ- 
 ence in favour of Ohio, $375,067,165. But if to 
 this we add the difference between the value of the 
 To\vn and City lots and unoccupied lands of Ohio 
 and Kentucky, the sum is $125,009,000, which 
 added to the former sum ($375,067,165) makes the 
 difference in favour of Ohio $500,076,165 when 
 comparing" the value of all her lands with those of 
 Kentucky. We have seen that the value of the 
 products in 1860 was, Ohio $337,619,000, Ken- 
 tucky, $115,408,000. But these products embrace 
 011 b r agriculture, manufactures, the mines, and 
 fisheries. 
 
 We have no complete tables for commerce in 
 either State, but the canals and railroads are as 
 follows : Census of 1860, No. 38 pages 225, 226, 
 233. Ohio: Miles of railroad, 3,016,83; cost of 
 construction, $113,299,514. Kentucky: Miles of 
 railroad, 569,93 ; cost of construction, $19,068,477. 
 Estimated value of freight transported on these 
 railroads in 1860 ; Ohio, $502,105,000; Kentucky, 
 $48,708,000. On the 1st Jan. 1864, the number of 
 miles of railroad in operation in Ohio was 3,356,74, 
 costing- $130,454,383, showing* a larg-e increase since 
 I860, whilst in Kentucky there was none. (Amer. 
 R. E. Journal, page 61, vol. 37.) Canals in 1860 
 (census table 39): Ohio, 906 miles; Kentucky, two 
 and a-half miles. These tables all prove how vast
 
 has been the increase of the wealth of Ohio as com- 
 pared with Kentucky. 
 
 Let us now examine some of the educational 
 statistics. 
 
 By Census table 37, giving^ the newspapers and 
 periodicals in the United States in I860, the whole 
 number of that year was 405 1, of which only 879 
 were in the slave States } total number of copies cir- 
 culated that year in the United States, 927,951,548, 
 of which number there were circulated in the slave 
 States, only 167,917,188. This table shows the 
 total number of newspapers and periodicals pub- 
 lished in Ohio in 1859 was 340, and the number of 
 copies circulated that year in that State was 
 71,767,742. In Kentucky, the number of news- 
 papers and periodicals published in 1859 was 77, 
 and the number of copies circulated that year was 
 13,504,044, whilst South Carolina, professing- to 
 instruct and control the nation, had a circulation of 
 3,654,840, although South Carolina in 1790 had 
 a population of 249,073, when Ohio was a wilder- 
 ness, and Kentucky numbered only 73,077. 
 
 As reg'ards education, we must take the tables 
 for the Census of 1850, those for 1860 not having- 
 been yet published. 
 
 By table 144, Census of 1850, the total number 
 of pupils in public and private schools, colleges, and 
 academies was for that year as follows : Ohio, 
 502,826. Kentucky, 85,914. Percentage of native 
 free population who cannot read or write table 
 155 Ohio, 3-24; Kentucky, 9'12; Slave States,
 
 8S 
 
 native white adults who cannot read or write, ratio 
 17-23; free States, 4' 12. (Table 157.) If we 
 include slaves, more than one-half the adults of the 
 slave States cannot read or write. Indeed it is 
 made by law in the slave States a crime (severely 
 punished,) to teach any slave to read or write. These 
 tables also show that in South Carolina, the great 
 leader of secession, (in eluding- slaves), more than 
 three-fourths of the people can neither read nor 
 write. Such is the State, rejoicing- in the barbarism 
 of ig-norance and slavery, exulting- in the hope of 
 reviving 1 the African slave trade, whose chief city 
 witnesses each week the auction of slaves as chattels, 
 and whose newspapers, for more than a century are 
 filled with daily advertisements by their masters 
 of run-away slaves, describing- the brands and muti- 
 lations to which they have been subjected ; that 
 passed the first secession ordinance, and commenced 
 the war upon the Union by firing- upon the Federal 
 flag- and garrison of Sumter. Yet it is the pre- 
 tended advocates of peace that justify this war upon 
 the Union, and insist that it shall submit to dismem- 
 berment without a strug-g-le, and permit slavery to be 
 extended over nearly one-half the national territory, 
 purchased by the blood and treasure of the nation. 
 Such a submission to disintegration and ruin such 
 a capitulation to slavery, would have been base and 
 cowardly. It would have justly merited for us the 
 scorn of the present, the contempt of the future, the 
 denunciation of history, and the execration of man- 
 kind. Despots would have exultingly announced
 
 that " man is incapable of self-government " whilst 
 the heroes and patriots in other countries, who, 
 cheered and guided by the light of our example, had 
 struggled in the cause of popular liberty, would 
 have sunk despairing from the conflict. This is our 
 real offence to European oligarchy, that we will 
 crush this foul rebellion, extinguish the slavery by 
 which it was caused, make the Union stronger and 
 more harmonious, and thus give a new impulse and 
 an irresistible moral influence and power to free 
 institutions. 
 
 Let me recapitulate some of the facts referred to 
 in these letters, and established by the census of the 
 United States. 
 
 Area of the United States, 3,250,000 square 
 miles, exceeding that of all Europe all compact 
 and contiguous, with richer lands, more mineral 
 resources, a climate more salubrious, more nume- 
 rous and better harbours, more various products, and 
 increasing in wealth and population more rapidly 
 
 than any other country. 
 
 Miles. 
 Our ocean shore line, including ba} r s_, 
 
 sounds, and rivers up to the head of tide 
 water .... 33,663 
 
 Lake shore line .... 3,620 
 Shore line of Mississippi river and its tri- 
 butaries above tide water . . 35,644 
 Shore line of all our other rivers above 
 
 tide water is . . . . 49,857 
 
 Total . . 122,784
 
 10 
 
 Our country then is better watered than any 
 other, and has more navigable streams, and greater 
 hydraulic power. 
 
 We have completed since 1790, 5,782 miles of 
 canal, costing- $148,000,000; and 33,860 miles of 
 railroad (more than all the rest of the world), cost- 
 ing $1,625,952,215 (Amer. R. E. II. Jour. 1864, 
 No. 1448, Vol. 37, page 61.) 
 
 Our land lines of telegraph exceed those of all 
 the rest of the world, the single line from New York 
 to San Francisco being 3500 miles. Our mines of 
 coal, according to Sir William Armstrong-, the 
 highest British authority, are 3'2 times as great as 
 those of the United Kingdom. 
 
 Annual product of our mines of gold and silver, 
 $100,000,000, estimated at $150,000,000 per annum 
 by our Commissioner of the General Land Office, 
 when the Pacific railroad shall be completed. 
 
 Public lands unsold, belonging to the Federal 
 Government, 1,055,911,288 acres, being 1,649,861 
 square miles, and more than. 32 times the extent of 
 England. 
 
 Immigration to the United States from 1850 to 
 1860, 2,598,216, adding to our national wealth dur- 
 ing that decade $1,430,000,000. 
 
 Education granted by Congress since 1790 for 
 the purposes of public schools two sections (1280 
 acres) in every township (23,040 acres), in all 
 1,450,000,000 acres of public lands ; one-eighteenth 
 part given, being 80,555,555 acres, worth at the
 
 11 
 
 minimum price of $1 .25 per acre, $100,694,443 the 
 real value, however, was much greater. 
 
 Granted by Congress for colleges and universities, 
 12,080,000 acres, including 3,553,824 given by the 
 Federal Government to the State of Tennessee, 
 worth at the minimum price of $1.25 per acre, 
 $15,100,000, which is much below their true value. 
 
 Total in public lands granted by Federal Govern- 
 ment for education 92,635,555 acres ; minimum 
 value, $115,794,443. 
 
 In 1836, after full pa} 7 ment of the entire princi- 
 pal and interest of the public debt, there remained 
 in the Federal Treasury a surplus of $38,000,000, 
 of which about one-half, $19,000,000, was devoted 
 to educational purposes. 
 
 Total Federal appropriations since 1790 for edu- 
 cation, $134,794,443. 
 
 This is exclusive of the many millions of dollars 
 expended by the Federal Government for military 
 and naval schools, &c. at West Point, Washington, 
 Annapolis, and Newport. Besides these Federal 
 donations, there has been granted by States, terri- 
 tories, counties, towns, and cities of the Union for 
 education,sincel790(partlyestimated)$148,000,000. 
 Grand total by States- and Federal Government 
 appropriated in the United States since 1790, for 
 education, $282,794,443. This is independent of 
 numerous private donations for the same purpose, 
 that by Mr. Girard exceeding $1,500,000, and that 
 by Mr. Smithsou exceeding $500,000. It is then a
 
 12 
 
 fact that the Governments of the United States, 
 State and Federal, since 1790, have appropriated for 
 education more money than all the other Govern- 
 ments of the world combined during 1 the same period. 
 This is a stupendous fact, and one of the main causes 
 of our wonderful progress and prosperity. We be- 
 lieve that " knowledge is power/' and have appro- 
 priated nearly $300,000,000, during- the last 74 
 years, in aid of the grand experiment. We believe 
 that f{ man is capable of self-government," but only 
 when educated and enlightened. We believe that 
 the power and wealth and progress of nations in- 
 crease in proportion to the education and enlighten- 
 ment of the masses. We believe in intellectual as 
 well as machine and muscular power, and that when 
 the millions are educated, and work with their heads 
 as well as their hands, the progress of the nation 
 will be most rapid. Our patent office is a wonderful 
 illustration of this principle, showing on the part of 
 our industrial classes more valuable inventions and 
 discoveries, annually, than are produced by the 
 working men of all the rest of the world. 
 
 POPULATION. 
 
 In 1790 . . . 3,922,827 
 
 1800 . . . 5,305,937 
 
 1810 . . . 7,239,814 
 
 1820 . . . 9,638,191 
 
 1830 . . . 12,866,020 
 
 1840 . . . 17,069,453 
 
 1850 . . . 23,191,876 
 
 I860 . . 31,4rl5,ObO
 
 13 
 
 "Ratio of increase from 1790 to 1800, 35*02 5 
 from 1800 to 1810, 36*45 ; from 1810 to 1820, 
 33-13; from 1820 to 1830, 33*49 ; from 1830 to 
 1840, 32-67 ; from 1840 to 1850, 35*87 ; from 
 1850 to 1860, 35-59. Thus it appears (omitting- 
 territorial acquisitions), that our ratio of increase 
 was much greater from 1850 to 1860 than during* 
 any preceding- decade. This was the result of aug 1 - 
 meuted immigration, which is still to go on with 
 increased power for many years. Making- allow- 
 ance for all probable contingencies, and reducing 1 
 the decennial increase from 35*59, to three per 
 cent, per annum, our able and experienced Super- 
 intendent of the Census, in his last official report, of 
 20th May, 1862, gives his own estimate of the 
 future population of the United States : 
 
 1870 . . . 42,328,432 
 
 1880 ... 56,450,241 
 
 1890 ..... 77,263,989 
 
 1900 . . . 100,355,802 
 
 That, in view of our new homestead law our 
 high wages the extinction of slavery increased 
 confidence in our institutions and augmented im- 
 migration, these results will be achieved, can scarcely 
 be doubted. As population becomes more dense in 
 Europe, there will be an increased immigration to 
 our Union, and each new settler writes to his friends 
 abroad, and often remits money to induce them to 
 join him in his Western home. The electric ocean 
 telegrnph will soon unite Europe with America, and
 
 14 
 
 improved communications are constantly shortening 1 
 the duration of the voyage, and diminishing' the 
 expense. Besides, this war has made us much 
 better known to the European masses, who, every- 
 where, with great unanimity and enthusiasm sus- 
 tain our cause, and, with slavery extinguished, will 
 still more prefer our institutions. 
 
 From all these causes, there will be an augmented 
 exodus from Europe to America, when our rebellion 
 is suppressed, and slavery overthrown. Besides, 
 the President of the United States now proposes 
 appropriations of money by Congress in aid of 
 immigration, and such will become the policy of 
 our Government. We have seen the official esti- 
 mate made by our Superintendent of the Census, 
 but if we take the ratio of increase of the last de- 
 cade, the result would be as follows : 
 
 1870 ... 42,636,858 
 
 1880 ... 57,791,315 
 
 1890 . . . 78,359,243 
 
 1900 . . . 106,247,297 
 
 The estimate of the Superintendent is therefore 
 six millions less than according* to the ratio from 
 1850 to 1860, and much less than from 1790 to 
 1860. 
 
 When we reflect that if, as densely settled 
 as Massachusetts, our population would exceed 
 513,000,000, or if numbering as many to the 
 square mile as England, our inhabitants would then 
 be more than twelve hundred millions, the estimate
 
 15 
 
 of 100,000,000 for the year 1900 cannot be regarded 
 as improbable. 
 
 Our national wealth was in 1850, $7,135,780,228 
 I860, $16,159,616,068 
 
 Increase from 1850 to 1860, 126 45 per cent. 
 
 At the same rate of increase for the four succeed- 
 ing- decades, the result would be 
 
 In 1870 . 
 
 . . $36,593,450,585 
 
 1880 . 
 
 . , 82,865,868,849 
 
 1890 . 
 
 . . 187,314, 53,225 
 
 1900 . 
 
 . . 423,330,438,288 
 
 Tonnage 
 
 
 1814 J 
 
 . . 1,368,127 tons 
 
 1851 . 
 
 . . 3,772,439 
 
 1861 . 
 
 . . 5,539,812 
 
 At the same rate of increase as from 1851 to 
 1861, the result would be 
 
 In 1871 . . . 8,134,578 tons 
 
 1881 . . . 11,952,817 
 
 1891 ... 17,541,514 
 
 1901 ... 25,758,948 
 
 Total number of copies of our newspapers and 
 periodicals circulated in the United States in 1860, 
 9^7,951,548, exceeding- that of all the rest of the 
 world. 
 
 Let us now recapitulate the results from our Cen- 
 sus, founded on a comparison of the Slave and Free 
 States.
 
 IB 
 
 MASSACHUSETTS. 
 FREE STATE. 
 
 Area, 7,800 square miles. 
 Population in 1790, 378,717. 
 
 1860, 1,231,066. 
 Products in 1859, $287,000,000. 
 
 per capita, $235. 
 Eailroads 1340 miles. 
 
 cost $61,857,203. 
 Freight of 1860, $500,524,201. 
 Tonnage built in 1860, 34,460 tons. 
 Bank capital, $64,519,200. 
 Imports and exports, $58,190,816. 
 Value of property, $815,237,433. 
 Gross profit on capital, 35 per cent. 
 Copies of press circulated in 1860, 
 
 102,000,760. 
 Pupils at public schools in 1860, 
 
 176,475. 
 
 Volumes in public libraries, 684,015 
 Value of churches, $10,206,000. 
 
 NEW YOEK. 
 STATE. 
 
 Area, 47,000 square miles. 
 Population in 1790, 340,120. 
 
 I860, 3,880,735. 
 
 Product of 1859, $606,000,000. 
 Per capita, $156. 
 
 Gross profit on capital, 34 per cent. 
 Value per acre of farm lands, $38,26. 
 Railroads 2,842 miles. 
 cost of construction,$138,395,055. 
 Freight in 1860, $579,681,790. 
 Canals, 1.038 miles. 
 
 cost $67,567,972. 
 
 SLATE STATE. 
 
 . . 11,124 square miles, 
 . . 319,728. 
 . . 687,049. 
 $66,000,000. 
 
 380 miles. 
 $21,387,157. 
 $101,111,348. 
 . . 7,789. 
 $12,568,962. 
 $18,786,323. 
 $376,919,944, 
 17 per cent. 
 
 . . 20,723,472. 
 
 . . 33,254. 
 . . 125,042. 
 
 $3,947,884. 
 
 VIRGINIA. 
 SLATE STATE. 
 
 . . 61,352. 
 . . 748,308. 
 . . 1,596,318. 
 $120,000,000. 
 $75. 
 . . -15. 
 $11,91. 
 . . 1,771. 
 $64,958,807. 
 $110,000,000. 
 . . 178. 
 $7,817,000.
 
 17 
 
 Tonnage built in 1860, 31,936. 
 
 Bank capital, $111,441,320. 
 
 Exports&imports,1860,$394,045,326 
 
 Copies of press circulated in 1860, 
 320,980,884. 
 
 Pupils at public schools in 1860, 
 675,221. 
 
 Vols. in public libraries, 1,760,820. 
 
 Value of churches, $21,539,561. 
 
 Per centage of native free popula- 
 tion who cannot read or write, 
 1-87. 
 
 . 4,372. 
 
 $16,005,156, 
 
 7,184,273. 
 
 . . 26,772,518. 
 
 . . 67,428. 
 . . 88,462. 
 $2,002,220. 
 
 . . 19-90. 
 
 Compare the column as regards Virginia with 
 the returns for Pennsylvania, and the result is nearly 
 as remarkable as that of New York. 
 
 Pennsylvania, area 46,000 population in 1790, 
 434,373: in I860, 2,900,115. Products of 1859, 
 $399,600,000 per capita $138 profit on capital 
 22 per cent. Value of farm lands per acre $38,91. 
 Eailroads, 2,690 miles, costing $147,483,410. 
 Canals, 1,259 miles, costing $42,015,000, Ton- 
 nage built in I860, 21,615 tons. Bank capital 
 $25,565,582. Exports and imports, $20,262,608. 
 Copies of press circulated in 1860,116^094,480. 
 Pupils at public schools, 413,706. Volumes in 
 public libraries, 363,400. Value of churches 
 511,853,291. 
 
 ILLINOIS EEEE STATE. 
 
 Area, 55,405 square miles. 
 Population 1810, 12,282. 
 
 1860, 1,711,951. 
 
 MlSSOUEI. 
 
 SLAVE STATE. 
 67,380. 
 20,845. 
 1,182 012. 
 B
 
 18 
 
 Batio of increase from 1810 to 1860, 
 
 13,838 per cent. 
 Bailroads in operation in 1860, 
 
 2,868 miles. 
 
 Ditto, 1st Jan. 1864,3,080 miles. 
 Value farm lands 1860, $ 432,531,072, 
 Canals, 102 miles. 
 Ratio of increased value of property 
 
 from 1850 to I860, 458 per cent. 
 At same ratio from 1860 to 1870, 
 
 as from 1850 to 1860, total wealth 
 
 in 1870 would be $3,993,000,000 
 
 E. ISLAND FEEE STATE. 
 
 Area, 1,306 square miles. 
 Population in 1792, 69,110. 
 in 1860, 174,520. 
 Product in 1859, $52,400,000. 
 Value of property in 1860, 
 
 $135,000,000. 
 Bank capital, $20,865,569. 
 Copies of press issued in 1860, 
 
 5,289,280. 
 
 Pupils at public schools, 23,130. 
 Volumes in public libraries, 104,342 
 Pupils at colleges and academies, 
 
 3,664. 
 Per centage of native free adults 
 
 who cannot read or write, 1.49. 
 Value of churches, $1,293,700. 
 
 N. JERSEY FBEE STATE. 
 
 Area, 8,320 square miles. 
 Population in 1790, 184,139. 
 in 1860, 672,035. 
 
 . 5,570. 
 
 . 817. 
 
 . 914. 
 
 $230,632,126. 
 . . none. 
 
 . 265. 
 
 $1,329,000,000. - 
 
 DELAWAEE 
 SLATE STATE. 
 
 . . 2,120. 
 . . 59,096. 
 ! . 112,216. 
 $16,100,000. 
 
 $46,242,181. 
 $1,640,675. 
 
 . . 1,010,776. 
 . . 8,970. 
 . . 17,950. 
 
 . . 764. 
 
 . . 23-03. 
 $340,345. 
 
 S. CABOLINA 
 SLATE STATE. 
 
 . . 24,500. 
 . . 249,073. 
 . 703,708.
 
 19 
 
 Eatio of increase P rom 1700 to 1860, 
 
 265 per cent. 
 Population per square mile in 1860, 
 
 8077. 
 Increase of population per square 
 
 mile from 1790 to 1860, 58'64. 
 Ditto from 1850 to 1860, 21'93. 
 Population in 1860, remaining the 
 
 same per square mile if area equal 
 
 to that of 8. Carolina, 1,978,650. 
 
 Product of 1859, $167,398,003. 
 
 Per capita, $249. 
 
 Farm lands 1860, improved and un- 
 improved acres, 2,983,531. 
 
 Value in 1860, $180,250,338. 
 
 Agricultural products of 1860, 
 $86,398,000. 
 
 Product per acre, $28 '96. 
 
 Improved lands, 1,944,445 acres. 
 
 Product per acre, $44-43; 
 
 Yalue of farm lands per acre, 
 $60-42. 
 
 Copies of press issued in 1860, 
 12,801,412. 
 
 Per centage of native free adults 
 who cannot read or write, 5'10. 
 
 Per centage of native white chil- 
 dren at school, 80-56. 
 
 Pupils at colleges, academies, and 
 public schools, 88,244. 
 
 Value of churches, $3,712,863. 
 
 . . 182. 
 . . 28-72. 
 
 . . 18-55. 
 
 . . 1.44. 
 
 Population in 1860, re- 
 maining the same per 
 square mile, if area 
 equal to that of N. 
 Jersey, 238,950. 
 
 $46,445,782. 
 
 $66. 
 
 . . 15,595,860. 
 $139,652,508. 
 
 $39,645,728. 
 
 P-54. 
 
 . . 4,572,060. 
 
 $8-67. 
 
 $8-95. 
 
 Value of farm lands if 
 worth as much per 
 acre as those of N. 
 Jersey, $942,660,377. 
 
 . . 3,654,840. 
 . . 12-73. 
 . . 26-025. 
 
 . . 26-025. 
 $2,181,476.
 
 20 
 
 MICHIGAN FEEE STATE. 
 
 Area, 56,243. 
 
 Population, 1810, 4,762. 
 
 1820, 8,765 
 
 1830, 31,639 
 
 1860, 749,113 
 
 Population per square mile in 
 1810, 0-08 
 1820, 015 
 1830, 0-56 
 1860, 13-32 
 
 Absolute increase of population from 
 1830 to 1860, 717,474 
 
 Eelative rank in 1830, 25 
 1860, 16 
 
 Absolute increase of population from 
 1850 to 1860 per square mile, 6'25 
 
 Value of total product of 1859, 
 $99,200,000 
 
 Of agriculture alone, $64,000,000 
 
 Total product per capita, $132-04 
 
 Farm lands improved and unim- 
 proved in 1860, acres 6,931,442 
 
 Improved farm lands, 1860, acres 
 3,419,861 
 
 Value of lands improved and unim- 
 proved in I860, $163,279,087 
 
 Product per acre, $9'23 
 
 of improved land, $18*71 
 
 Value of farm lands, 1860, per acre, 
 $23-55 
 
 FLORIDA SLAVE STATE. 
 . . 59,268. 
 . . 16,989.7 
 .. 23,801. 
 . . 34,730. 
 . . 140,425. 
 
 . . 0-28. 
 
 . . 0'38. 
 
 . . 0-58, 
 
 . . 2-37. 
 
 . . 105,695. 
 . . 26. 
 . . 31. 
 
 . . 0-89. 
 
 $12,300,000. 
 $9,600,000, 
 
 $87-59. 
 
 . . 2,849,572. 
 . . 676,464. 
 
 $16,371,684. 
 
 $301. 
 
 $14-18. 
 
 $5-74. 
 
 Value of farm lands of 
 Florida, if worth as 
 much per acre as 
 those of Michigan, 
 $67,105,222.
 
 21 
 
 Copies of press issued in 1 860, 
 
 11,606,596 
 Percentage of native free adults, who 
 
 cannot read or write, 2*84 
 Public libraries, volumes 107,943 
 Pupils in public schools, academies 
 
 and colleges, 112,382 
 Percentage of native white children 
 
 at school, 99-53 
 
 "WISCONSIN FBEE STATE. 
 
 Area, 53,924 square miles 
 
 Population in 1840, 30,749 
 I860, 775,,881 
 
 Population per square mile in 1840, 
 0-57 
 
 Population per square mile in 1860, 
 8.99 
 
 Increase per square mile from 1840 
 to 1860, 8-42 
 
 Absolute increase of population from 
 1850 to 1860 per square mile,. 8 '99 
 
 Value of total product of 1859, 
 $101,375,000 
 
 Of agriculture alone, $72,875,000 
 
 Total product per capita, $130'39 
 
 Farm lands improved and unim- 
 proved, acres 7,899,170 
 
 Improved farm lands, 1860, acres 
 3,746,036 
 
 Value of lands improved and unim- 
 proved in 1860, $131,117,082 
 
 Product of Florida lands 
 if equal per acre to 
 those of Michigan in 
 1859, $26,300.549. 
 
 . . 1,081,601. 
 
 . . -198. 
 . . 2,660. 
 
 . . 3,129. 
 
 . . 35-77. 
 
 TEXAS SLAVE STATE. 
 
 . . 274,356. 
 
 . . 80,983. (Eepublic.) 
 
 . . 604,215. 
 
 . . 0-29. 
 
 . . 2-20. 
 
 . . 1-91. 
 
 . . 1-41. 
 
 $52,749,000. 
 $46,499,000. 
 . . 87-30. 
 
 . . 23,245,433. 
 . . 2,649,207. 
 $104,007,689.
 
 22 
 
 Product per acre of improved and 
 unimproved lands in 1.859, $9*22 
 
 Product per acre of improved lands 
 in 1859, $19-45 
 
 Value of farm lands per acre, $16-59 
 
 Copies of presa issued in 1860, 
 
 10,798,670 
 Percentage of native free adults who 
 
 cannot read or write,. 1*04 
 Public libraries, volumes, 21,020 
 Pupils in colleges and public schools, 
 
 61,615 
 Percentage of native white children 
 
 at school, 74-90 
 
 INDIANA. 
 
 FKEE STATE. 
 
 Area, 33,809 square miles. 
 Population, 1790, none. 
 1800, 4,875. 
 
 1860, 1,350,428. 
 
 Product of 1859, 175,690,628. 
 Agricultural, $132,440,682. 
 Total product, per capita, $130'10. 
 Product of agriculture per capita, 
 
 $90-68. 
 Population per square mile in 1800, 
 
 014, 
 
 $2-00. 
 
 ( 17-55. 
 
 $4-47. 
 
 Value of farm lands of 
 Texas, if worth as 
 much per acre as 
 those of Wisconsin, 
 $385,641,733. 
 
 Product of Texas lands 
 in 1859, if equal per 
 acre to those of Wis- 
 consin, $214,212,892. 
 
 . . 7,855,808. 
 
 . . 11-84. 
 . . 4,230. 
 
 . . 11,500. 
 
 . . 45.82. 
 
 TENNESSEE. 
 SLAVE STATE. 
 
 . . 45,600. 
 . . 35,791. 
 . . 105,602. 
 . . 1,109,801. 
 $99,894,070. 
 $82,792,070. 
 $90-01. 
 
 $74-60. 
 . 2-31.
 
 Population per square mile, 1860, 
 39-63. .: . . 
 
 Absolute increase of . population, 
 from 1850 to 1860, per square 
 mile, 1072. 
 
 Eelative rank in 1800, 20th. 
 
 Do. in 1860, 6th. 
 
 Farm lands improved and unim- 
 proved acres, 16,315,776. 
 
 Improved do. 8,161,717. 
 
 Value of farm lands, $344,903,776. 
 
 Do. per acre, $21-13. 
 
 Value of product per acre improved 
 and unimproved farm lands, $8'17. 
 
 Do. of improved farm lands, $16'26. 
 
 Volumes in public libraries, 68,403. 
 
 Pupils at public schools and col- 
 leges, 168,754. 
 
 FEEE STATES, 1790. 
 
 Namely Massachusetts (then in- 
 cluding Maine,) Rhode Island, 
 Connecticut, New Hampshire, 
 Vermont, New York, New Jersey, 
 and Pennsylvania. 
 
 Area, 169,668 square miles. 
 Population in 1790, 1,968,455. 
 
 18GO, 10,594,168. 
 Population per square mile in 1790, 
 
 11-60. 
 
 Do. in 1860, 62'44. 
 Increase of population per square 
 
 mile, from 1790 to 1860, 50'84. 
 
 FEEE STATES OF 1860. 
 Area, 835,631. 
 
 . . 24-34. 
 
 . . 2-35. 
 
 . . 15th. 
 . . 10th. 
 
 . . 20,355,934. 
 
 . . 6,897,974. 
 
 . . 272,555,054. 
 
 . . 13,39. 
 
 $4-06. 
 
 $12- . 
 
 . . 22,896. 
 
 . . 115,750. 
 
 SLAVE STATES OF 1790. 
 
 Namely, Delaware, 
 Maryland, Virgin ia, 
 North Carolina, South 
 Carolina, G-eorgia, 
 Kentucky and Ten- 
 nessee. 
 
 . . 300,580. 
 
 . . 1,961,372. 
 
 . . 7,414,684. 
 
 . . 6-50. 
 * . 24-66. 
 
 . . 18-14. 
 
 SLAVE STATES OF 1860. 
 . . 888,591.
 
 Farm lands, 161,462,000. 
 
 Value, $4,067,947,286. 
 
 Yalue per acre, $25-19. 
 
 Total product of 1859, namely, of 
 agriculture, manufactures, mines 
 and fisheries, $4,150,000,000. 
 
 Per capita, $217. 
 
 Copies of press issued in 1860, 
 760,034,360. 
 
 By table 157, (Census of 1850), 
 ratio of native white adults who 
 cannot read or write, 4*12 per cent. 
 
 Same tables for Census of 1860, 
 partially estimated, 3 -21. 
 
 . . 248,721,062. 
 . . 2,570,466,935. 
 . 10-46. 
 
 $1,140,000,000. 
 $93. 
 
 . . 167,917,188. 
 
 . . 17-23 (more than 
 four to one.) 
 
 . . 17-03 (more than 
 5 to 1). 
 
 Whole additional value 
 of all the lands of the 
 Slave States, whether 
 farm lands or unoccu- 
 pied, if worth as much 
 per acre as those of 
 the Free States, 
 $5,859,246,616. 
 
 Total value of products 
 of the Slave States in 
 1859, if equal per 
 capita to those of 
 the Free States, 
 $2,653,631,032. 
 
 Deduct actual products 
 of 1859, 
 $1,140,000,000. 
 
 Absolute increase of 
 1859, if Free States, 
 $1,513,631,032. 
 
 That is, the additional 
 \alue of the actual
 
 Total value of all the property, real 
 and personal of the free States in 
 1860, $10,852,081,081. 
 
 Annual gross profit of capital, 39 per 
 cent. 
 
 Total agricultural product of free 
 States in 1859, $2,527,676,000. 
 
 Agricultural product of Free States 
 per capita in 1859, $131-48. 
 
 Do. per acre in 1859, improved and 
 
 unimproved lands, $15'65. 
 Do. per acre, improved lands, 
 
 $28-68. 
 
 products of the Slave 
 States, caused by 
 emancipation, 
 $1,513,631,032. 
 
 Ditto, of all the Slave 
 States including slaves 
 $5,225,307,034. 
 
 . . 22. 
 
 If we could add the 
 annual earnings of 
 commerce (not in- 
 cluded in the census 
 tables), the yearly 
 product of the Free 
 States per capita would 
 be almost triple that 
 of the Slave States, 
 the commerce of N. 
 York alone being 
 nearly equal to that 
 of the entire South. 
 
 $862,324,000 (Slave 
 States). 
 
 Ditto of Slave States 
 per capita in 1859, 
 $70-56. 
 
 $3-58. 
 
 11-55.
 
 26 
 
 It is thus demonstrated by the official statistics 
 of the census of the United States from 1790 to 
 3800, that the total annual product of the Free 
 States per capita, exceeds that of the Slave States, 
 larg-ely more than two to one, and, including" com- 
 merce, very nearly three to one. As regards edu- 
 cation also we see, that the ratio in favour of the 
 Free States is more than four to one in 1850, (4*12 
 to 17'23), and, in 1860, more than five to one, (8-21 
 to 17*03). And even as regards agricultural 
 products, we have seen, that those of the Free 
 States were $2,527,676,000 per annum, and of 
 the Slave States, only $862,234,000. The value 
 of the lands of the Free States was $25*19 per 
 acre, of the Slave States only $10*46 per acre*, 
 the product of the improved lands of the Free 
 States was $28-68 per acre, and of the Slave 
 States $11*55,. whilst, per capita, the result was 
 $131*48, to $70*56. 
 
 These facts prove how much greater the crops of 
 the Slave States would be, if their farms, (including 1 
 cotton), were cultivated by free labour. It is also 
 thus demonstrated, how completely the fertile 
 lands of the South are exhausted and reduced in 
 value by slave culture. Having- thus proved 
 deductively, the ruinous effects of Slavery, I will 
 proceed, in my next letter, inductively, to exhibit 
 the causes which have produced these remarkable 
 results. 
 
 11 J. WALKER.
 
 APPENDIX. 
 BY EOBEET J. WALKEE. 
 
 WE have seen by the census tables, if the product per capita 
 of the Slave States in 1859, had been equal to that of the Free 
 States for that year, that the ADDITIONAL value produced in 
 1859 in the Slave States, would have been $1,531,631,000. 
 Now as our population augmented during that decade 35.59 per 
 cent., this increased value, at that ratio, in 1869 would have been 
 $2,052,332,272. If multiplying the amount each year by three 
 only, instead of 3^-/^ the result, during that decade, would have 
 been as follows : 
 
 Product of 1860 . . . $1,559,039,962 
 
 1861 . . . 1,605,811,060 
 
 1862 . . . ,654,085,391 
 
 1863 . . . ,703,707,952 
 
 1864 . . . ,754,819,198 
 
 1865 . . . ,807,464,773 
 
 1866 ... ,861,688,716 
 
 1867 . . . 1,917,539,377 
 
 1868 . . . 1,975,065,558 
 
 1869 . . . 2,034,317,524 
 
 $1 7,873,539,511 
 
 That is, the total increased product of the Slave States, during 
 the decade from 1859 to 1869, would have been $17,873,539,511, 
 if the production in the Slave States had been equal, per capita, 
 to that of the Free States. This, it will be remembered, is gross 
 product. This, it will be perceived, is far below the actual 
 result, as we can see by comparing the real product of 1869, 
 $2,052,332,272, as before given, with the $2,034,317,524, as 
 the result of a multiplication by three each year. 
 
 The ratio of the increase of our ivealth, from 1850 to 1860, as
 
 shown by the census, was much greater than that of our popu- 
 lation namely, 126.45 per cent., instead of 35. 5 P per cent. 
 Multiplying by this ratio (126.45), the result would be an 
 additional product in 1869, in the Slave States, of $3,427,619,475. 
 But our wealth increases in an augmented ratio during each 
 decade. 
 
 Thus, the ratio of the increase of our wealth, as shown by the 
 census, was as follows : 
 
 From 1820 to 1830 . . . . 41 per cent. 
 
 1830 to 1840 .... 42 
 
 1840 to 1850 .... 64 
 
 1850 to 1860 .... 126.45 
 
 Thus, the increase of our wealth from 1840 to 1850, was more 
 than 50 per cent, greater than from 1830 to 1840 ; and from 
 1850 to 1860, nearly double that from 1840 to 1850. At the 
 same duplicate ratio, from 1850 to 1870, the result would be 
 over 250 per cent. That such would have been a close approxi- 
 mation to the true result, is rendered still more probable by the 
 fact, that the product of 1859, as shown by the census, was 250 
 per cent, greater than that of 1849. 
 
 If, then, instead of 126.45 per cent, we were to assume 250 
 per cent, as the ratio, the result would be in 1869, $5,297,708,612, 
 as the increased product of the Slave States that year, if the 
 ratio per capita were equal to that of the Free States. If we 
 carry out these ratios from 1859 to 1869, either of 126.45, or of 
 250 into the aggregate of the decade, the results are startling. 
 Assuming, however, that of the population only, we have seen 
 that the aggregate result in the decade from 1859 to 1869 was 
 over seventeen billions of dollars, or largely more than ten times 
 our debt, incurred by this rebellion. 
 
 When, then, I reassert the opinion, heretofore expressed by me, 
 that as the result of the superiority of free over slave labour, our 
 wealth in 1870, and especially in each succeeding decade, as 
 a consequence of the entire abolition of Slavery in the United 
 States, will be far greater, notwithstanding the debt, than if the 
 rebellion had never occurred, there is here presented conclusive 
 official proof of the truth of this statement. We have seen that 
 our wealth increased from 1850 to 1860, 126.45 per cent., whilst 
 that of England, from 1851 to 1861, augmented only at the rate 
 of 37 per cent. 
 
 Applying these several ratios to the progress of the wealth of 
 the United Kingdom and the United States, respectively, in 
 1870, 1880, 1890, and 1900, the result is given below.
 
 We have seen by the census, that our national wealth was in 
 
 1850 $7,135,780,228 
 
 1860 16,159,616,068 
 
 Increase from 1850 to 1860, 126.45 per cent. 
 
 England 1851 to 1861, 37 per cent. 
 
 Assuming these ratios, the result would be as follows : 
 
 United Kingdom, 1861, wealth $31,500,000,000 
 
 1871, 43,155,000,000 
 
 1881, 59,122,350,000 
 
 1891, 80,997,619,500 
 
 1901, 110,966,837,715 
 
 United States, 1860, wealth, $16,159,616,068 
 
 1870, ' 36,593,450,585 
 
 1880, 82,865,868,849 
 
 1890, 187,314,353,225 
 
 1900, 423,330,438,288 
 
 Thus, it appears by the census of each nation, that, each 
 increasing in the same ratio respectively as for the last decade, 
 the wealth of the United States in 1880 would exceed that of the 
 United Kingdom $23,743,518,849 ; that in 1890 it would be 
 much more than double, and in 1900, approaching quadruple 
 that of the United Kingdom. 
 
 When we reflect that England increases in wealth much more 
 rapidly than any other country of Europe, the value of these 
 statistics may be estimated, as proving how readily our national 
 debt can be extinguished without oppressive taxation. 
 
 These are the results, founded on the actual statistics, without 
 estimating the enormous increase of our national wealth, arising 
 from the abolition of Slavery. We have seen that, by the official 
 tables of the census of I860, the value of the products of the 
 United States, so far as given, for the year 1859, was 
 $5,290,000,000. But this is very short of the actual result. 
 The official report (pages 59, 190, 198 to 210), shows that this 
 included only the products of " agriculture, manufactures, mines, 
 and fisheries." In referring to the result as to " manufactures" 
 at page 59 of his official report before given, the Superintendent 
 says, " If to this amount were added the very large aggregate 
 of mechanical productions below the annual value of $500, of 
 which no official cognizance is taken, the result would be one of 
 startling magnitude" 
 
 1. This omission alone, for gross product, is estimated at 
 $500,000,000. 
 
 B 2
 
 2. Milk and eggs, fodder, wood, poultry and feathers, omitted, 
 gross products, estimated at $350,000,000. 
 
 3. Gross earnings of trade and commerce, including freights, 
 &c., by land and water, $1,000,000,000. 
 
 4. Gross earnings of all other pursuits and business, including 
 all other omissions, $1,000,000,000. 
 
 Total gross products of 1860, as thus estimated, $8,140,000,000, 
 of which the amount for the Free States, as estimated, is 
 $6,558,33-1,000, and for the Slave States, $1,581,666,000. 
 
 I have heretofore referred to the vast influence of education as 
 one of the principal causes of the greater product per capita in 
 the Free than in the Slave States, of the much larger number of 
 patents, of inventions, and discoveries, in the former than in the 
 latter. 
 
 At the April Meeting of 1844, upon the request of the Society, 
 I delivered at Washington (D. C.) the Introductory Address for 
 the National Institute, in which, up to that date, an account was 
 given by me of " the various improvements and discoveries made 
 by our countrymen in the inductive sciences." On reference to that 
 address, which was published at its date (April, 1844), with their 
 bulletin, it will be seen that, from the great Franklin down 
 to Kinnersley, Fitch, Rumsey, Fulton, Evans, Rush, the Stevens 
 of New Jersey, Whitney, Godfrey, Rittenhouse, Silliman, J. Q. 
 Adams, Cleveland, Adrain, Bowditch, Hare, Bache, Henry, Pierce, 
 Espy, Patterson, Nulty, Morse, Walker, Loomis, Rogers, Saxton, 
 and many others ; these men, with scarcely an exception, were 
 from the Free States. 
 
 EXTEACT. 
 
 " And, first, of electricity. This has been cultivated with the 
 greatest success in our country, from the time when Franklin 
 with his kite drew down electricity from the thunder cloud, to 
 that when Henry showed the electrical currents produced by the 
 distant lightning discharge. In Franklin's day the idea prevailed 
 that there were two kinds of electricity, one produced by rubbing 
 vitreous substances, the other by the friction of resinous bodies. 
 Franklin's theory of one electric fluid in all bodies, disturbed in 
 its equilibrium by friction, and thus accumulating in one and 
 deserting the other, maintains its ground, still capable of ex- 
 plaining the facts elicited in the progress of modern discovery. 
 Franklin believed that electricity and lightning were the same, 
 and proceeded to the proof. He made the perilous experiment,
 
 by exploring the air with a kite, and drawing down from the 
 thunder cloud the lightning's discharge upon his own person. 
 The bold philosopher received unharmed the shock of the electric 
 fluid, more fortunate than others who have fallen victims to less 
 daring experiments. The world was delighted with the dis- 
 coveries of the great American, and for a time electricity was 
 called Franklinism on the continent of Europe; but Franklin 
 was born here, and the name was not adopted in England. 
 While Franklin made experiments, Kinnersley exhibited and 
 illustrated them, and also rediscovered the seemingly opposite 
 electricities of glass and resin. Franklin's lightning rod is 
 gradually surmounting the many difficulties with which it con- 
 tended, as experience attests the greater safety of houses pro- 
 tected by the rod, properly mounted, whilst the British attempt 
 to substitute balls for points has failed. This question, as to 
 powder magazines, has lately excited much controversy. Should 
 a rod be attached to the magazine, or should it be placed upon a 
 post at some distance ? This question has been solved by Henry. . 
 When an electrical discharge passes from one body to another, 
 the electricity in all the bodies in the neighbourhood is affected. 
 Henry magnetized a needle in a long conductor, by the discharge 
 from a cloud, more than a mile from the conductor. If a dis- 
 charge passes down a rod, attached to a powder house, may it not 
 cause a spark to pass from one receptacle for powder to another, 
 and thus inflame the whole? The electrical plenum, which 
 Henry supposed, is no doubt disturbed, and to great distances ; 
 but the effect diminishes with the distance. If all the principal 
 conductors about a building can be connected with a lightning 
 rod, there is no danger of a discharge ; for it is only in leaving or 
 entering a conductor that electricity produces heating effects; but 
 if not, the rod is safer at a moderate distance from the building. 
 The rate at which electricity moved was another of the experi- 
 ments of Franklin. A wire was led over a great extent of ground, 
 and a discharge passed through it. No interval could be per- 
 ceived between the time of the spark passing to and from the 
 wire at the two ends. Not long since, Wheatston of England, 
 aided by our own great mechanic, Saxton, solved the problem. 
 This has induced Arago, of France, to propose to test the rival 
 theories of light, by similar means to measure thus a velocity, 
 to detect which has heretofore required a motion over the line of 
 the diameter of the earth's orbit. 
 
 In galvanism, our countrymen have made m.iny important disco- 
 veries. Dr. Hare invented instruments of such great power as well 
 to deserve the names of calorimeter and deflagrator. The most 
 refractory substances yielded to the action of the deflagrat- r, melt- 
 ing like wax before a common fire. Even charcoal was supposed
 
 6 
 
 to be fused in the experiments of Hare and Silliman, and the 
 visionary speculated on the possibility of black as well as white 
 diamonds. Draper, by his most ingenious galvanic battery, of 
 two metals and two liquids, with one set of elements, in a glass 
 tube not the size of the little finger, was able to decompose water. 
 Faraday, of England, discovered the principle, that when a cur- 
 rent of electricty is set in motion, or stopped in a conductor, a 
 neighbouring conductor has a current produced in the opposite 
 direction. Henry proved that this principle might be made 
 available to produce an action of a current upon itself, by forming 
 a conductor in the whirls of a spiral, so that sparks and shocks 
 might be obtained by the use of such spirals, when connected 
 with a pair of galvanic plates, a current from which could give no 
 sparks and no shocks. Henry's discoveries of the effects of a 
 current in producing several alternations in currents in neigh- 
 bouring conductors, the change of the quality of electricity 
 which gives shocks to the muscles into that producing heat, and 
 vice versa, his mode of graduating these shocks, bis theoretical 
 investigations into the causes of these alterations, are abstruse, 
 but admirable ; and his papers have been republished throughout 
 Europe. The heating effects of a galvanic current have been 
 applied by Dr. Hare to blasting. The accidents which so often 
 happen in quarries may be avoided by firing the charge from a 
 distance, as the current which heats the wire, passing through 
 the charge, may be conveyed, without perceptible diminution, 
 through long distances. A feeble attempt to attribute this im- 
 portant invention of Dr. Hare to Colonel Pasley, an English 
 engineer, has been abandoned. This is the marvellous agent by 
 which our eminent countryman, Morse, encouraged by an appro- 
 priation made by Congress, will, by means of his electric tele- 
 graph, soon communicate information forty miles, from Washing- 
 ton to Baltimore, more rapidly than by whispering in the ear of 
 a friend sitting near us. A telegraph on a new plan at that time, 
 invented by Mr. Grout, of Massachusetts, in 1799, asked a ques- 
 tion and received an answer in less than ten minutes through a 
 distance of ninety miles. The telegraph of Mr. Morse will prove, 
 I think, superior to all others ; and the day is not distant when, 
 by its aid, we may perhaps ask questions and receive replies 
 across our continent, from ocean to ocean, thus uniting with 
 steam in enlarging the limits over which our Republic may be 
 safely extended.* 
 
 * This address was made and published several months before any electric 
 telegraph line was in operation, and is believed to be the first prediction of 
 the success of this principle, as CONTINENTAL or OCEANIC.
 
 Many of our countrymen have contributed to the branch 
 which regards the action of electrified and magnetic bodies. 
 Lukens' application of magnetism to steel, (called touching^} the 
 compass of Bissel for detecting local attraction, of Burt for de- 
 termining the variation of the compass, and the observations on 
 the variations of the needle made by Winthrop and Dewitt, 
 deserve notice and commendation. Not long since, Gauss of 
 Germany, invented instruments by which the changes of magnetic 
 variation and force could be accurately determined. Magnetic 
 action is ever varying. The needle does not point in the same 
 direction for even a few minutes together. The force of magnet- 
 ism, also, perpetually varies. True as the needle to the pole, is 
 not a correct simile for the same place, and, if we pass from one 
 spot to another, is falsified at each change of our position ; for 
 the needle changes its direction, and the force varies. Enlarged 
 and united observations, embracing the various portions of the 
 world, must produce important results. The observations at 
 Philadelphia, conducted by Dr,A. D. Bache, and now continued 
 by him under the direction of the Topographical Bureau, are of 
 great value, and will, it is hoped, be published by Congress. 
 Part of them have already first seen the light in Europe a result 
 much to be regretted, for we are not strong enough in science to 
 spare from the national records the contributions of our country- 
 men. 
 
 These combined observations, progressing throughout the world, 
 are of the highest importance. The University of Cambridge, 
 the American Philosophical Society, and Girard College, have 
 erected observatories; and one connected with the Depot of Charts 
 and Instruments has been built last year in this city by the Govern- 
 ment, and thoroughly furnished with instruments for complete 
 observations. The names of Bache, Gillis, Pierce, Lovering, and 
 Bond, are well known in connection with these establishments. 
 
 A magnetic survey of Pennsylvania has been made by private 
 enterprise, and the beginning of a survey in New York. Loomis 
 has observed in Ohio, Locke in Ohio and Iowa, and to him be- 
 longs the discovery of the position of the point of greatest mag- 
 netic intensity in the Western World. Most interesting magnetic 
 observations (now in progress of publication by Congress) are the 
 result of the toilsome, perilous, and successful expedition, under 
 Commander Wilkes, of our navy, by whom was discovered the 
 Antarctic continent, and a portion of its soil and rock brought 
 home to our country. 
 
 The analogy of the auroral displays with those of electricity in 
 motion, were first pointed out by Dr. A. D. Bache, whose re* 
 searches," in conjunction with Lloyd of Dublin, to determine
 
 8 
 
 whether differences of longitude could be measured by the ob- 
 servations of small simultaneous changes in the position of the 
 magnetic needle, led to the knowledge of the curious fact, that 
 these changes, which had been traced as simultaneous, or nearly 
 so, in the continent of Europe, did not so extend across the 
 Atlantic. 
 
 Kindred to these two branches, are electro-magnetism and 
 magneto-electricity, connected with which, as discoverers, are our 
 eountrymen Dana, Green, Hare, Henry, Page, Rogers, and 
 Saxton. The reciprocal machine for producing shocks, invented 
 by Page, and the powerful galvanic magnet of Henry, are en- 
 titled to respectful notice. This force, it was thought, might be 
 substituted for steam ; but no experiments have as yet established 
 its use, on any important scale, as a motive power. The fact 
 that an electrical spark could be produced by a peculiar arrange- 
 ment of a coil of wire, connected with a magnet, is a recent dis- 
 covery ; and the first magneto-electric machine capable of keeping 
 up a continuous current was invented by Saxton. 
 
 Electricity and magnetism touch in some points upon heat. 
 Heat produces electrical currents ; electrical currents produce 
 heat. Heat destroys magnetism. Melted iron is incapable of 
 magnetic influence. Reduction of temperature in iron so far 
 decreases the force, that a celebrated philosopher made an ela- 
 borate series of experiments to ascertain whether a great reduc- 
 tion of temperature might not develope magnetic properties in 
 metals other than iron. This branch of thermo-electricity has 
 received from us but little attention. Franklin's experiments, by 
 placing differently coloured cloths in the snow, and showing the 
 depth to which they sunk, are still quoted, and great praise has 
 been bestowed abroad on a more elaborate series of experiments, 
 by a descendant of his, Dr. A. D. Bache, proving that this law 
 does not hold good as to heat, unaccompanied by light. The 
 experiments of Saxton and Goddard demonstrate that solid 
 bodies do slowly evaporate. It is proper here to mention our 
 countryman, Count Rumford, whose discoveries as to the nature 
 and properties of heat, improvement in stoves and gunnery, and 
 in the structure of chimneys and economy of fuel, have been so 
 great and useful. 
 
 Light accompanies heat of a certain temperature. That it acts 
 directly to increase or decrease magnetic force, is not yet proved; 
 and the interesting experiments made by Dr. Draper, in Virginia, 
 go to show that it is without magnetic influence. The discussion 
 of this subject forms the branch of optics?, touching physical sci- 
 ence on the one side, the most refined, and the highest range of 
 mathematics on the other. Rittenhouse first suggested the true
 
 explanation of the experiment, of the apparent conversion of a 
 cameo into an intaglio, when viewed through a 'compound micro- 
 scope, and anticipated many years Brewster's theory. Hopkin- 
 son wrote well on the experiment made by looking at a street lamp 
 through a slight texture of silk. Joscelyn, of New York, in- 
 vestigated the causes of the irradiation manifested by luminous 
 bodies, as for instance the stars. Of late, photographic experi- 
 ments have occupied much attention, and Draper has advanced 
 the bold idea, supported by experiment, that the agent in the so- 
 called photography, is not light, nor heat, but an agent differing 
 from any other known principle. Henry has investigated the 
 luminous emanation from lime, calcined with sulphur, and certain 
 other substances, and finds that it differs much from light in some 
 of its qualities. 
 
 Astronomy is the most ancient and highest branch of physics. 
 One of our earliest and greatest efforts in this branch was the in- 
 vention of the mariner's quadrant, by Godfrey, a glazier of Phila- 
 delphia. The transit of Venus, in the last century, called forth 
 the researches of Rittenhouse, Owen, Biddle, and President 
 Smith, near Philadelphia, and of Winthrop, at Boston. Two 
 orreries were made by Rittenhouse, as also a machine for pre- 
 dicting eclipses. Most useful observations, connected with the 
 solar eclipses, from 1832 to 1840, have been made by Paine, of 
 Boston. We have now well supplied observatories at West Point, 
 Washington, Cambridge, Philadelphia, Hudson, Ohio, and Tusk- 
 aloosa, Alabama, and the valuable labours of Loomis, Bartlett, 
 Gilliss, Bond, Pierce, Walker, and Kendall, are well known. Mr. 
 Adams, so distinguished in this branch and that of weights and 
 measures, laid last year the corner-stone of an observatory at 
 Cincinnati, where will soon be one of the largest and most power- 
 ful telescopes in the world. Most interesting observations as to 
 the great comet of 1843 were made by Alexander, Anderson, 
 Bartlett, Kendall, Pierce, Walker, Downes, and Loomis, and 
 valuable astronomical instruments have been constructed by 
 Amasa Holcomb, of Massachusetts, and Wm. J. Young, of Phila- 
 delphia. 
 
 It is difficult to class the brilliant meteors of November the 1 3th, 
 1833. If such meteors are periodic, the discovery was made by 
 Professor Olmsted ; and Mr. Herrick, of New Haven, has added 
 valuable suggestions. The idea that observers, differently placed, 
 of the time of appearance and disappearance of the same meteor, 
 would give the means of determining differences of longitude, was 
 first applied in our own country, where the difference of longitude 
 of Princeton and Philadelphia was determined by observations of 
 Henry and Alexander, Espy and Bache. In meteorology our
 
 i*
 
 11
 
 12 
 
 encountered unbounded ridicule and opposition, as he advanced 
 to confer the greatest benefits on mankind, by the application of 
 steam to navigation. So Oliver Evans, of Pennsylvania, (who has 
 made much such useful improvements in the flour mill,) was pro- 
 nounced insane, when he applied to the Legislatures of Pennsyl- 
 vania and Maryland for special privileges in regard to the appli- 
 cation of steam to locomotion on common roads. In 1810, he 
 was escorted by a mob of boys, when his amphibolas was moved 
 on wheels by steam more than a mile through the streets of Phi- 
 ladelphia, to the river Schuylkill, and there, taking to the water, 
 was paddled by steam to the wharves of the Delaware, where it 
 was to work as a dredging machine. Pulton's was the first suc- 
 cessful steamboat, Stevens's the first that navigated the ocean, 
 Oliver Evans's the first high-pressure engine applied to steam 
 navigation. Stevens's boat, by an accident, did not precede Ful- 
 ton's, and Stevens's engine was wholly American, and constructed 
 entirely by himself, and his propeller resembled much that now 
 introduced by Ericsson. Stevens united the highest mechanical 
 skill with a bold, original, inventive genius. His sons, (especially 
 Mr. Robert L. Stevens, of New York,) have inherited much of 
 the extraordinary skill and talent of their distinguished father. 
 The first steamboat that ever crossed the ocean was built by one 
 of our countrymen, and their skill in naval architecture has been 
 put in requisition by the Emperor of Russia and the Sultan of 
 Turkey. The steam machines invented by our countrymen to 
 drive piles, load vessels, and excavate roads, are most ingenious 
 and useful. The use of steam, as a locomotive power, upon the 
 water and the land, is admirably adapted to our mighty rivers and 
 extended territory. From "Washington to the mouth of the Ore- 
 gon is but one half,* and to the mouth of the Del Norte but one 
 fourth, of the distance of the railroads already constructed here ; 
 and to the latter point, at the rate of motion (thirty miles an hour) 
 now in daily use abroad, the trip would be performed in two days, 
 and to the former in four days. Thus, steam, if we measure 
 distance by the time in which it is traversed, renders our whole 
 Union, with its most extended limits, smaller than was the State 
 of New York ten years since. Steam cars have been moved, as 
 an experiment, both here and abroad, many hundred miles, at the 
 rate of sixty miles an hour ; but what will be the highest velocity 
 ultimately attained in common use, either upon the water or the 
 land, is a most important problem, as yet entirely unsolved. Our 
 respected citizens, Morey and Drake, have endeavoured to sub- 
 stitute the force of explosion of gaseous compounds for steam. 
 The first was the pioneer, and the second has shown that the 
 
 * Now onlv one tenth.
 
 13 
 
 
 
 problem is still worth pursuing to solution. An energetic western 
 mechanic made a bold but unsuccessful effort to put in operation 
 an engine acting by the expansion of air by heat ; and a similar 
 most ingenious attempt was made by Mr. Walter Byrnes, of Con- 
 cordia, Louisiana ; as also to substitute compressed air, and air 
 compressed and expanded, as a locomotive power. All attempts 
 to use air as a motive power, except the balloon, the sail vessel, 
 the air gun, and the windmill, have thus far failed ; but what in- 
 ventive genius may yet accomplish in this respect, remains yet 
 undetermined. There is, it is true, a mile or more of pneumatic 
 railway used between Dublin and Kingstown. An air pump driven 
 by steam exhausts the air from a cylinder in which a piston 
 moves ; this cylinder is laid the whole length of the road, and 
 the piston is connected to a car above, so that, as the piston 
 moves forward on the exhaustion of the air in front of it, the car 
 is also carried forward. The original idea of this pneumatic rail- 
 way was derived from the contrivance of an American, quite un- 
 known to fame, who, as his sign expressed it, showed to visitors 
 a new mode of carrying the mail,* more simple, and quite as valu- 
 able, practically, as this atmospheric railway. The submerged 
 propeller of Ericsson, and the submerged paddle wheel, the rival 
 experiments of our two distinguished naval officers, Stockton and 
 Hunter, are now candidates for public favour ; and the Princeton 
 on the ocean as she moves in noiseless majesty, at a speed never 
 before attained at sea, seems to attest the value of one of these ex- 
 periments, whilst the other is yet to be determined. The im- 
 penetrable iron steam vessel of Mr. Stevens is not yet completed, 
 nor have those terrific engines of war, his explosive shells, yet 
 been brought to the test of actual conflict. 
 
 In curious and useful mechanical inventions, our countrymen 
 are unsurpassed, and a visit to our new and beautiful Patent Office 
 will convince the close observer that the inventive genius of 
 America never was more active than at the present moment. The 
 machines for working up cotton, hemp, and wool, from their most 
 crude state to the finest and most useful fabrics, have all been 
 improved among us. The cotton gin of Eli Whitney has altered 
 the destinies of one-third of our country, and doubled the exports 
 of the Union. The ingenious improvements for imitating medals, 
 by parallel lines upon a plain surface, which, by the distances 
 between them, give all the effects of light and shade that belong 
 to a raised or depressed suriace, invented by Gobrecht and per- 
 fected by Spencer, has been rendered entirely automatic by Saxton, 
 so that it not only rules its lines at proper distances and of suit- 
 
 * This idea unquestionably originated in the United States, but has been 
 improved last year, and introduced by Mr. Rammel, of England.
 
 14 
 
 
 
 able lengths, but when its work is done it stops. In hydraulics, 
 we have succeeded well ; and the great aqueduct over the Potomac 
 at Georgetown, constructed by Major Turnbull, of the Topogra- 
 phical Corps, exhibits new contrivances, in overcoming obstacles 
 never heretofore encountered in similar projects, and has been 
 pronounced in Europe one of the most skilful works of the age. 
 
 The abstract mathematics does not seem so well suited to the 
 genius of our countrymen as its application to other sciences. 
 Those among us who have most successfully pursued the pure 
 mathematics, are chiefly our much esteemed adopted citizens, 
 such as Nulty, Adrain, Bonnycastle, Gill, and Hassler. Bowditch 
 was an American, and is highly distinguished at home and abroad. 
 Such men as Plana and Babbage rank him among the first class, 
 and his commentary on the " Mecanique Celeste" of Laplace, 
 has secured for him a niche in the temple of fame, near to that 
 of its illustrous author. Anderson and Strong are known to all 
 who love mathematics, and Fischer was cut off by death in the 
 commencement of a bright career. And may I here be indulged 
 in grateful remembrance of two of my own preceptors, Dr. R. M. 
 Patterson and Eugene Nulty. The first was the Professor at my 
 Alma Mater (the University of Pennsylvania) in natural philosophy 
 and the application of mathematics to many branches of science. 
 He was beloved and respected by all the class, as the courteous 
 gentleman and the profound scholar ; and the mint of the 
 United States, now under his direction, at Philadelphia, has 
 reached the highest point of system, skill, and efficiency. In the 
 pure mathematics Nulty is unsurpassed at home or abroad. In 
 an earlier day, the elder Patterson, Ellicot, and Mansfield, culti- 
 vated this branch successfully in connection with astronomy. 
 
 A new and extensive country is the great field for descriptive 
 natural history. The beasts, birds, fishes, reptiles, insects, shells, 
 plants, stones, and rocks, are to be examined individually and 
 classed ; many new varieties and species are found, and even new 
 genera may occur. The learned Mitchell, of New York, delighted 
 in these branches. The eminent Harlan, of Philadelphia, and 
 McMurtrie, were of a later and more philosophic school. Nuttall, 
 of Cambridge, has distinguished himself in natural history, and 
 Haldeman is rising to eminence. 
 
 Ornithology is one of the most attractive branches of natural 
 history. Wilson was the pioneer ; Ord, his biographer, followed, 
 and his friend Titian Peale ; Audubon is universally known, and 
 stands pre-eminent ; and the learned Nuttall, and excellent and 
 enthusiastic Townsend are much respected. Most of these men 
 have compassed sea and land, and encountered many perils and 
 hardships to find their specimens. They have explored the
 
 15 
 
 mountains of the North, the swamps of Florida, the prairies of 
 the West, and accompanied the Exploring Expedition to the Ant- 
 arctic, and round the world. As botanists, the Bartraras, Bar- 
 ton, and Collins, of Philadelphia, Torrey, of New York, Gray and 
 Nuttall of Cambridge, Darlington, of Westchester, are much 
 esteemed. The first botanical garden in our country was that of 
 the Bartons, near Philadelphia ; and the first work on botany was 
 from Barton, of the same city. Logan, "Woodward, Brailsford, 
 Shelby, Cooper, Horsefield, Golden, Clayton, Muhlenburg, 
 Marshal, Cutler, and Hosack, were also distinguished in this 
 delightful branch. 
 
 A study of the shells of our country has raised to eminence the 
 names of Barnes, Conrad, Lea, and Raffinesque. The magnificent 
 fresh water shells of our western rivers are unrivalled in the old 
 world, in size and beauty. How interesting would be a collection 
 of all the specimens which the organic kingdom of America pre- 
 sents, properly classified and arranged according to the regions 
 and States whence they were brought. Paris has the museum of 
 the natural history of France, and London of Great Britain ; but 
 Washington has no museum* of the United States, though so 
 much richer in all these specimens. 
 
 In mineralogy, the work of Cleveland is most distinguished. 
 Shepherd, Mather, Troost, Torrey, aud a few others, still pursue 
 mineralogy for its own sake; but, generally, our mineralogists 
 have turned geologists, studying rocks on a large scale, instead of 
 their individual constituents, and vying with their brethren 
 in Europe in bold and successful generalization, and in the appli- 
 cation of physical science to their subject. Maclure was one of 
 the pioneers, and Eaton and Silliman contributed much to the 
 stock of knowledge. This school has given rise to the great geo- 
 logical surveys made or progressing in several of the States. 
 Jackson, in Maine ; Hitchcock, in Massachusetts ; Vanuxen, 
 Conrad, and Mather, in New York ; the Rogers, in New Jersey, 
 Pennsylvania, and Virginia ; Ducatel, in Maryland ; Owen and 
 Locke, in the West ; Troost, in Tennessee ; Horton, in Ohio ; the 
 courageous, scientific, and lamented Nicolet, in Missouri, Iowa, and 
 Wisconsin, have made contributions, not only to the geology of 
 our country, but to the science of geology itself, which are con- 
 ceded to be among the most valuable of the present day. The 
 able reports of Owen and Nicolet were made to Congress, and 
 deserve the highest commendation. 
 
 In geographical science, the explorations of Lewis and Clarke ; 
 of Long, Nicolet, and the able and intrepid Fremont ; the effect- 
 ive State survey of Massachusetts ; the surveys of our public 
 
 * We now have several such museums in Washington.
 
 16 
 
 lands; the determination of the boundaries of our States, and 
 especially those of Pennsylvania, by Rittenhouse and Elliot ; of 
 part of Louisiana, by Graham and Kearney; of Michigan, by 
 Talcott; and of Maine, by Graham; have gained us great credit. 
 The national work of the coast survey, begun by the late Mr. 
 Hassler, and prosecuted through all discouragements and difficul- 
 ties by that indomitable man, has reflected honour upon his 
 adopted country, through the Government which liberally sup- 
 ported the work, and through whose aid it is now progressing, 
 under new auspices, with great energy.* The lake survey is also 
 now advancing under the direction of Captain Williams, of the 
 Topographical Corps. Among the important recent explorations, 
 is that of the enlightened, untiring, and intrepid Fremont, to 
 Oregon, which fixes the pass of the Rocky Mountains within 
 twenty miles of the northern boundary of Texas. Lieutenant 
 Fremont is a member of the Topographical Corps, which, 
 together with that of Engineers, contains so many distinguished 
 officers, whose labours, together with those of their most able 
 and distinguished chiefs, Colonel Totten and Colonel Abert, fill 
 so large a portion of the public documents, and are so well known 
 and highly appreciated by both Houses of Congress and by the 
 country. The Emperor of Russia has entered the ranks of our 
 Topographical Corps, and employed one of their distinguished 
 members, Captain Whistler, to construct his great railroad from 
 St. Petersburg to Moscow. The travels of our countrymen, 
 Stephens, to Yucatan and Guatemala, to Egypt, Arabia, and 
 Jerusalem ; and of Dr. Grant to Nestoria, have increased our 
 knowledge of geography and of antiquities, and have added new 
 and striking proofs of the truths of Christianity. 
 
 Fossil geology occupied much of the time and attention of the 
 great philosopher and statesman, Jefferson, and he was rewarded 
 by the discovery of the megatherium. The mastodon, exhumed 
 in 1801, from the marl pits of New York, by Charles Wilson 
 Peale, has proved but one of an order of animal giants. Even 
 the tetracaulodon, or tusked mastodon, of Godman, upon which 
 rested his claims to fame, is not the most curious of this order, as 
 the investigations of Hayes and Homer have proved. This order 
 has excited the attention, not only of such minds as Cooper, 
 Harlan, and Hays, but has also occupied the best naturalists of 
 France, Britain, Germany, and Italy. 
 
 Fossil conchology has attracted the attention of Conrad, the 
 Lees' and the Rogers', not only calling forth much ingenuity in 
 description and classification, but also throwing great light upon 
 the relative ages of some of the most interesting geological forma- 
 
 * Our Coast Survey, as commenced by Hassler, and being completed by 
 Bache, is admitted in Europe to be the best in the world.
 
 17 
 
 tions. The earthquake theory of the Rogers' is one of the boldest 
 generalizations, founded upon physical reasoning, which our geo- 
 logists have produced. In the parallel ridges into which the 
 Apalachian chain is thrown, they see the crests of great earth- 
 quake waves, propagated from long lines of focal earthquake 
 action, more violent than any which the world now witnesses. 
 The geologist deals in such sublime conceptions as a world of 
 molten matter, tossed into waves by violent efforts of escaping 
 vapours, cooling, cracking, and rending, in dire convulsion. He 
 then ceases to discuss the changes and formation of worlds, and 
 condescends to inform us how to fertilize our soil, where to look 
 for coal and iron, copper, tin, cobalt, lead, and where we need not 
 look for either. He is the Milton of poetry, and the Watt of 
 philosophy. And here let me add, that the recent application of 
 chemistry to agriculture is producing the most surprising results, 
 in increasing and improving the products of the earth, and setting 
 at defiance Malthus' theory of population. 
 
 In medicine, that great and most useful branch of physics, our 
 countrymen have been most distinguished. Prom the days of 
 the great philosopher, physician, patriot, and statesman, Benjamin 
 Rush, down to the present period, our country has been unsur- 
 passed in this branch ; but I have not time even to give an outline 
 of the eminent Americans, whose improvements and discoveries in 
 medicine have contributed so much to elevate the character of our 
 country, and advance the comfort and happiness of man. Rush, 
 one of the founders of this branch in America, was one of the 
 signers of our Declaration of Independence, and his school of 
 medicine was as independent and national as his course in our 
 revolutionary struggle. Statistics are chiefly concerned, as furnish- 
 ing the facts connected with government and political economy, 
 but they are also ancillary to physics. The statistical work of 
 Mr. Archibald Russell, of New York, which immediately pre- 
 ceded the last census, contained many valuable suggestions, some 
 of which were adopted by Congress ; and had more been incor- 
 porated into the law, the census would have been much more 
 complete and satisfactory. The recent statistical work of Mr. 
 George Tucker of Virginia, on the census of 1840, is distinguished 
 by great talent and research, and is invaluable to the scholar, the 
 philosopher, the statesman, and philanthropist. 
 
 THE END.
 
 BOUND BY 
 
 BON E & SON .