The Cass County Republican. [volume] (Dowagiac, Mich.) 18??-1880, 1858-12-16

On the Cd of June last, Congress passed joint
resolution authorizing the President " to adopt
such measurs and use such force as, in his judg-
ment, may be necessary and advisable Tor the pur-
States and the Republic of Paragua, IN connection
with the attack on the United States steamer alter
Witch, and with other measures referred to- IN ms
annual message. And on the 18th OF july follow
ing they made aniappropration to defray. the ex-
penses and compensation of a Commissioner TO
that Republic, should the President deem 1t proper
to make such an appointment
In compliance with these enactments nave APP
pointed Commissioner, who has proceeded TO
Paragua with full powers and instructions to set
tie these differences in an amicable and peaceful
manner, if this be practicable. His experience and
discretion justify the hope that he may Prove sue
cessful in convincing the Paraguayan government
that it is due both to honor and justice that they
should voluntarily and promptly make attonement
for the wrongs which they have committed against
the United States and indemnify our injured citi-
zens whom they have forcbly despoiled OF their
property. .ssc. ,s..sg7o s19Hl -sEa >,
after sincere and earnest effort to accomplish the
object of his mission, then no alternative Will re-
main but the employment OF force to obtain just
satisfaction" from Paragua. In view OF this con-
tingency, the Secretary of the Navy, under my di-
rection has fitted out and despatched naval force
to rendezvous near Buenos Ayres, which, it is be-
ieved, will prove sufficient for the occasion. Ii is
my earnest desire, however, that 1t may not be
found necessary TO resort 10 THIS last aternatlNc
When Congress met in December last, the busi-
ness fthe country had just been crushed by one
of those periodical revolutions which are the in
eyitable consequences of our unsound and extrava-
CANT stem of bank credits and inflated currency
With all the elements of national wealth in abund
ance, our manufactures were suspended, our useful
public and private enterprises were arrested, and
thousands oflaborers were deprived of employment
and reduced to want. Universal distress prevailed
among the commercial, manufacturing and me-
Al, aloloS ltrctn,
severely in the United States because similar caus-
es had produced the like deporabe effects through
out the commercial nations OF Europe. All were
experiencing sad reverses at the same moment
Our manufacturers everywhere suffered severely,
not because of the recent reduction in the tariff OF
duties on imports but because there was no de-
mand at any price for their productions The
people obliged to restrict themselves In their
purchases to articles of prime necessity. In the
general prostration of business, the iron manufac-
turers in different States probably suffered more
than any other Glass; and much restitution was the
inevitable consequence among the greater number
of working men who had been employed IN tins
useful branch of industry. There could be no
supply where there was no demand. 10 present
an example. there could be no demand for roilroad
iron after our magnificent system OF railroads ex-
tending its benefits to every portion OF the Union,
had been brought to a dead pause: The same
consequences had resulted from similar causes to
many other branches of useful manufactures. LII Is
selfevident that where there is no ability to pur-
chase manufactured articles, these cannot be sold,
and, consequently must cease to be produced .
No government, and especially government OF
such limited powers as that OF the United States,
could have prevented the late revulusion. The
whole commercial world seemed for years to have
been rushing to this catastrophe. The same ruin
Gus consequences would have followed in the U.
States whether the duties upon foreign imports
had remained as they under the tariff of SAC,
or had been raised to much higher standard. The
tariff of 1857 had no agency in the result. The
general causes existing throughout the world.
could not have been controlled by the Legislation
of any particular country.
The periodical revulusions which have existed in
our past history must continue to return at inter
walls. so long as our present unbounded system OF
bank credits shall prevail. They will, however,
probably be the less in future because 1t Is
not to be expected al least for many years to come
that the commercial nations of Europe, with whose
interests our own so materially involved, VIII
| expose themselves to similar caamities But the
subject was treated so much at large in my last an
nual message that shall not now pursue 1t further
Still L respectfully renew the recommendation, in
| favor of the passage of uniform bankrupt law,
applicable to banking institutions This is all the
i direct power over the subject which believe the
| government possesses. Such law would mitigate
though it might not prevent the evil The instinct
| of sclfpreserv alton might produce wholesome
restrain. upon their b.nking business, If the.
| knew in advance, that suspension of specie pay
ment would inevitably produce their civil death.
But the effects of the revuiuslon are now slowl,
and surely passing away. The energy and enter
prise of our citizens, with undounded resource:
viii, within The period of another year, restore
state Of wholesome industry and trade Capita
has again accumulated in our large cities. The
rate of interest is there very low. Confidence j,
gradually revivng and so soon as it is discovered
that this capital can be prohtably employed IL
/ commercial and manufacturing enterprises, and II
the construction of railroads and other works o.
public and private improvement, prosperity viii
| 81, land lS how
ever to disguise the fact from ourselves, that &
speculative imitation in orr currency, without
! corresponding imitation in other countries whose
manufactures come into competition with our own,
! must ever produce disastrous results to domes
] tic manufacturers No tariff, short ofabs0lute pro-
hbition can prevent these evil consequences.
In connection with this subject, it is proper K
refer to our financial condition. The same causes
which have produced pecuniary distress through
out the country have reduced the amount of inn
ports from foreign countries, that the revenue has
proved inadequate to meet the necessary expenses
! of the government. To supply the deficiency,
Congress, by the act of the ed of Dec, 1851, au
thorized the issue of $50 600 600 of treasury notes
and this proving inadequate they authorized by the
act of june IA, 1873, loan OF $50, 200 O00 Ito be
applied to the payment of appropriations made By
law"
/ No statesman would advise that we should go or
increasing the national debt to meet the ordinary
! expenses of the government This would be Almost
ruiiious policy In case of war our credit must bt
our chief resource at least for the first pear, and
this would be greatly impaired by having contract
ed large debt in time OF peace 1t our true pol
lev to increase our revenue so as to equal our ex
penditures. 1t would be ruinous to continue t.
borrow Besides, it may be proper to observe that
the incidental protection thus afforded by reyc
nue. tariff would, at the present moment, to some
extent increase the confidence of the manufacture
ing interests and give fresh impulse to our re-
viying business. To this surely, nc. one will OBJ
ject. SIR .-3-scf.
In regard to the mode of assessing
and collecting duties under strictly
revenue tariff, l have long entertained
and often expressed the opinion, that
sound policy requires this should be
done by specific duties, in cases to
which these can be properly applied.
They are well adapted to commodities
which are usually sold by weight OF
measure, and which, from their nature,
are of equal or of nearly equal value
Such, for example, are the articles OF
iron of different classes, raw sugar:
and foreign wines and spirits. ~
In my deliberate Judgment, specific
duties are the best, if not the only
means of securing the revenue against
false and fraudulent invoices, and such
has been the practice adopted for this
purpose by other commercial nations.
Besides, specific duties would afford to
the American manufactures the Incl.
dental advantages to which he is fairly
entitled under a revenue tariff. The
present system is Siding scale to his
1 el.-o..+o-.os TTo1or ~ xx-hoy, mr.; ooc orc