Green-Mountain freeman. [volume] (Montpelier, Vt.) 1844-1884, 1858-12-16

/ nat eY0nt there is good reason 10 DeileVc that
the commerce between the two countries will
greatly increase, much to the advantage OF
both.
The claims of our citizens against the govern
ment of Brazil are not, in the aggregate. of
very large amount; but some of these rest upon
plain principles Of justice, and their settlement
ought not to be longer delayed. A renewed anu
earnest, and | trust successful effort will be
made by our Minister to procure their final adj
justnent.
On the 81 of June last, Congress passed u
joint resolution authorizing the President I" to
adopt such measures and use such force as in
his Judgment, may be necessary and advisable"
'sfOr the purpose Of adjusting the differences
between the United States and the republic OF
Paraguay, in connection with the attack on the
United States steamer Water Witch, and with
other measures referred to in his annual mes
sage. And on the 18th of July following, they
made an appropriation to defray the EXPENSES
and compensation CT IL commissioner to that re-
public, should the President deem it proper to
make such an appointment
In compliance with these enactments, | have
appointed ii commissioner, who has proceeded to
Paraguay. with full powers and Instructions to
settle these differences in an amicible and peace
full manner, if this be practicable. His expe-
Renee and discretion justify the hope that he
may prove successful in convincing the Para.
guayaa government that it is due both to honor
and justice that they should voluntarily and
promptly make atUnument for the wrongs which
they have committed against the people OF the
Unit States, II 1T indemnify our injured citi-
ms whom they have forcIbly despoiled of their
property
should our commissioner prove unsuccessful,
after sincsre and earnest effort 10 accomplish
tine on]ect oil his mission, ten no alternative
will remain but tho employment of force to OBJ
tain "Just satisfaction > from Paraguay. In
view OF this contingency, the Secretary Of the
Navy, under my direction, has fitted out and
dispatched II navol force, to rendezvous neal
Bdenos Ayrcs. which, it is Ii we'd, will prove
suIi' mt the occasion. 1t is my earnest de-
sire. howev +, that it may not be necessary t,
r.s vt to this last alternative
When Congress met in December last, the bus
mess of the country had just been crushed by
one of those periodical revulsions which are tn
lnevittbl consequence of our unsound and ex
lravAgint system Of bank credits and inflated
currency. With all the elements Of national
wealth in abundance, our manufactures wer
suspended, our useful public and private enter
prses Were arrested, and thousands of lLb1rer
were deprived of employment and reduced t
want. Universal distress prevailed among tn
commercial, manufacturing and mechanic;
classes. This revulsion was felt more severed
IN the United States because similar causes ha
produced the like dcplorable eff cts Throughout
the commercial nations of Europe. All wer
experiencing sad reverses at the same moment
Oar manufacturers everywhere suffered severed
not because of the recent reduction in the tart
of duties on imports, but because there was II
demand at any price for their productions
The people were obliged to restrict thcmselyt
in their purchases to articles Of prime nccessit,
In the general prostration Of business, the ro
manufactures in diff rent States probably sufft
cd more than any other class, and much dest
tuition Was the inevitable consequence anon
the great number of workincn who had Dec
employed in this useful branch Of our industr,
There could be no supply where there was j
demand. To present an example, there could
NJ demand for railroad iron after our magni
cent system of railroads. extending its benlf
toevery portion OF the Union, had been hrougl
to II dead p.usc. The same cons. qrenc,s a.
resulted from similar cAus,s to mlny otht
branches Of useful manufactures. 1t is seize
iuOhp Nu'iC tflClN 10 liO UDilllf w I'hl'ilu'
manufactured articles, these cannot be sold, al
consequently must cease to be produced.
No government. and especially IA governmel
OF such limited powers us that OF the Unit
States, could have prevented the late revulsioi
The whole commercial world seemed for veal
to have been rushing to this catastrophe. II
sine runos consequences would have lollowt
ia the United States, whether the duties upd
s > ,i,rr had y nol tbn,, n,
DIR the tariff of 1916, or had been raised to
no agency in the result. The general caus
existing throughout the world, could not ha'
} been controlled by the legislation of any pl
l ticulur country
, The periodical r.yulsions which have exist,
i'll our past history must continue to return
intervals so long as apr present un5ounded sy
| tenn of bank credits Shall prevail. They vii
r however, probably be the less severe in future
3 because it is not to be expected at least f
many years to come, that the commercial n
/ tions Of Europe, with whose interests our ov
: are 81 materially involved. will expose themselv
t to similar calamitlcs Bat this subject W
t treated 50 much at large in my last annu
{ message that shall not now pursued farthe
t Still, respectfully renew the recomm.ndatl,
$ in favor Of the passage of II uniform hankru
+ W, applicable t, banking institutions. II
is all the direct power over the sahject, whic
y believe, the federal gov rnmsnt p,ss4sscs.
= Such law would mitigate, though it mig
=. not prevent the evil. The instinct of self-pr,
e ervdtlon might produce wholcsJme rtstrai
J.. upon their banking business, if they knew,
: advlnc', that IL suspension of specie paymel
e would inevitably pr'auc, civil death.
" But the effects OF the reyulson arc now slo
d ly but surely passing away. The energy a
enterprise Of our citizen with our unbound
5 Resources, WILL within the period of anotl
J., year, store IL state of whules ,me industry a
+, trad. Capital has much accumulated in O
c ldr-i cities. The rates Of interest is there Vt
II low. Confidence is gradually reviving, and
l. s'm as it Is discovered that this capital Can
1t prJttaNIy employed in commercial and mar
l. featuring enterprises, and in the construction
If railroads and other works of public and priv
improvement, prosperity will again smile til
: our land. 1t is in vain, however, to dsgu
y the f,ct from oars Ives. that speculative mi
vi ii N in our currency, without II correspond
y il tlttan in other cIuntri IS whose mlnufactd
IN come into competition with our own must e
in produce disastrous results t. our domestic IN!
ut uacturcs. No tariff, short of absolute pru
he bition, Gin prevent theso evil consequences.
IA In connection with this subject, it is pro-
IA to refer to our financial condition. The sd
III causes which have produced pecuniary dist
US throu 5hout the country, have SO reduced
'e imports from foreign countries that the revel
y has proved inadequate to meet the necessary
r. penscs Of government. 10 supply the defci
OF cy, Congress, by the act of 23d of Decent
re 1857 authorized the issue of $4,000, 900
- Treasury notes, and, this proving nad,qui
III they authorized. by the act of june Ii, 1885
~ loan of 1000, 900, to be applied to
Gu payment of appropriations made by law"
No statesman would advise that we should
a. on increasing the national debt to meet
he ordinary EXPENSES of the government. !
Ily would DO II most ruinous policy, for in cas-
to war our credit must be our chief resource.
60 least for the first year, and this would be gr