The new era., 1909-12-16
Currency Reform, Waterways, Creation Of Body
to Deal With Interstate Commerce
and Other Topics Handled.
Government Expenditures and Revenues Most Important Question
Relations with Other Nations, Nicaragua Excepted,
Are Declared To Be Generally Satisfactory.


under the enlightened regime now direct
ing the government of Venezuela, provi-
sion has been made for arbitration OF the
remaining case before The Hague tri-
bunal.
On July 80. 1909. the government of
Panama agreed, after considerable nego-
tiation. to indemnify the relatives of the
American officers and sailors who were
brutally treated. one of them having. in
deed. been killed by the Panama police
this year.
The sincere desire of the government of
Panama to do away with situation
where such an accident could occur is
manifest in the recent request in compli-
ance with which this government has
lent the services Of an officer Of the army
to be employed by the government Of
Panama as instructor of police.
This government was obliged to inter-
vene automatically to bring about arbi-
tration or settlement of the claim OF the
Emery Company against Nicaragua,
which 1t had long before been agreed
should be arbitrated. settlement of
this troublesome case was. reached by
the signature of protocol on September
Is. 1909.
Many years ago diplomatic Intervention
became necessary to the protection of the
interests in the American claim of Alsop
G. Co. against the government of Chile.
The government Of Chile had frequently
promised this government to settle 1t.
There had been two abortive attempts to
do SO through arbitral commissions.
which failed through lack Of Jurisdiction.
Now. happily. as the result OF the recent
diplomatic negotiations, the governments
of the United States and of Chile. actu-
ated by the sincere desire to free from
any strain those cordial and friendly re-
lations upon which both set such store,
have agreed by protocol to submit the
controversy to defnitive settlement by
his Britannia majesty, Edward VII.
Since the Washington conventions Of
1907 were communicated to the govern
ment of the United States as . consult
Ing and advisory party, this government
has been almost continuously called upon
by one or another, and in turn by all of
the five Central American republics, to
exert itself for the maintenance of the
conventions. Nearly every complaint has
been against the Zelaya government of
Nicaragua. which has kept Central
America in constant tension and turmoil.
The responses made to the representa-
tions of Central American republics, as
due from the United States on account
of its relation to the Washington conven-
tions. have been at all times conservative
and have avoided. so far as possible, any
semblance Of interference. although 1t is
very apparent that the considerations Of
geographic proximity to the Canal Zone
and OF the very substantial American in
terests in Central America give to tho
United States a special position in the
zone of these republics and the Carib-
bean sea.
I need not rehearse here the patient ef-
forts of this government to promote
peace and welfare among these republics,
efforts which are fully appreciated by
the majority of them. who are loyal to
their true interests. 1t would be no less
unnecessary to rehearse here the sad
tale of unspeakable barbarities and op-
precision alleged to have been committed
by the Zelaya government Recently two
Americans were put to death by order of
President Zelaya himself. They were Of
f1cers in the organized forces Of a revo-
luton which had continued many weeks
and was in control OF about half of the
republic. and as such, according to the
modern enlightened practice of civilized
nations. they were entitled to be dealt
with as prisoners of war.
At the date when this message Is print
ed this government has terminated dip
lomatic relations with the Zelaya govern
ment, for reasons made public in a COM
munication to the former Nicaragua
charge d'afraires and Is intending to take
such future steps as may be found most
American interests and its moral obliga-
tions to Central America and to civiliza-
ton.
Tho Far East.
IN the far east this government pre-
serves unchanged Its policy of support
ing the principle Of equality Of opportu-
nifty and scrupuious respect for the inteR-
rity of the Chinese empire. to which pol
Icy are pledged the interested powers of
both east and west.
Mention is made of the sending of
students to America by the Chinese
government, of China's progress
toward the eradication Of the opium
evil, and of this governments con-
tinued cordial relations with the jap
anese empire.
The Department Of State.
Favorable action by congress on the
estimates submitted by the depart.
ment Of state is urged. especially legis-
lation for the development and reor-
ganization of the department to make
1t efficient in furthering our foreign
trade. Improvement in the consular
service is noted. Mr.. Taft then says:
Under a provision of the act of Au-
gust s. 1909. 1 have appointed three
government in collecting information
necessary to a wise administration OF
the tarifr act of August s. 1909. AZ to
questions of customs administration
they are cooperating with the oncials
of the treasury department and as to
matters of the needs and the exigen-
cies of our manufacturers and export
ers. with the department of commerce
and labor in its relation to the domes-
tic aspect of the subject of foreign
commerce. In the study of foreign
tariff treatment they will assist the
bureau of trade relations of the de-
partment of state. 1t Is hoped thus to
coordinate and bring to bear upon this
most important subject all the agencies
of the governU snt which can contrib
ute anything co its eficient handling
AS a consequence of Section 2 of
the tariff act of August s. 1909, 1t be-
comes the duty of the secretary of
state to conduct as diplomatic business
all the negotiations necessary to place
him in q position to advise me as to
whether or not a particular country
unduly discriminates against the