Newspaper Page Text
No Tariff Revision
For the Present.
irmpoasiNe Nations Not Pro
Itcttd by Monroe Doctrine.
A DEFICIT OF $73,075,
legislation Urged Against In?
junctions Without Notice.
Waahlngton, Dec. 7.?Id bis annual
jBoeeftge, read to congress, President
To the Senate and the House of Rep?
Tie relations of the United States
if Ith all foreign governments have con?
tinued upon the normal bas;? of uni ty
and good understanding and are very
The American rights [In the fisheries
on the north Atlantic coast] under the
fisheries article of the treaty of 1818
hare been a cauae of difference be?
tween the United States and Great
Britain for nearly seventy years. The
Interest! Involved are of great Impor?
tance to the American flshlng Industry,
and the final settlement of the contro?
versy (by the permanent court of ar?
bitration at The Hague! will remove
m source of constant Irritation and com
plaint This is the first case Involving
inch great International questions
woie% has been submitted to the p?r
l as neat court of arbitration at The
Negotiations for so international
conference to consider end reach sin
arrangement providing for the prescr?
iption and protection of the fur seals
In the north Pacific are in progress
irlth the governments of Great Britain,
?fapaa and Raasls. The attitude of
the governments interested leads ine
to hope for a satisfactory settlement of
this questiou at the ultimate outcome
of the negotiations.
The Near East.
The quick transition of tbe govern
lient of the ottoman empire from one
of retrograde tendencies to a consti?
tutional government with a parlia?
ment and with progressiv e modern
ladlcles df reform and public improve
taeut is one of the important phenome?
na of our times. Constitutional gov?
ernment seems also to have made
lnrtber advance in Persia. These
events have turned the eyes of tbe
world upon the near east. In that
quarter tbe prestige of the United
State? baa spread widely through tbe
graceful influence of American schools.
nnlven.ltles aud missionaries. There
Is every reason why .we should obtain
a greater share of the commerce of tbe
near east since tbe conditions are
tooro favorable now than ever before.
One of tbe happiest events iu recent
I?an American diplomacy was the pa?
cific Independent settlement by the
governments of Bolivia and Peru of a
Iwniidary difference between them,
which for some weeks threatened to
cause war aud even to entrain Im
blth rments affecting other republics
lose directly concerned.
Our Citizens Abroad.
This aduiinlMtmtton. through the De?
partment of state and the foreign serv
See, I? lending all proper support to
legitimate and beneficial American en?
terprises lu foreign countries, the < e
gree of such support being measured
by the national advantages to he ex
pected. A citizen himself cannot by
contract or otherv? e divest himself
of the right, iior can this government
escape the obligation, of his pTOtOC
tl?>n In his personal and property
rights when these ar?- unjustly in
fringed In a foreign country. To avoid
ceaseless vexations it Is proper that in
considering whether American enter
prise should be encouraged or support?
ed in a particular country the govern?
ment should glvo full weight not only
to the national as opposed to the liuli
Tldual benefits to accrue, hut also to
the fact whether or not the govern
ment of the country In question Is in
.Its sdmlnlstratlon and in its diplomacy
faithful to the principles of mod'vru
tlon. equity and Justice upon which
Alone depends international credit In
diplomacy as well as lu finance.
The Monroe Doctrine.
The pan-American policy of this
ram ment has long beeu fixed In Its
Inclples and remains unchanged.
Ith the changed circumstances of the
Inlted States snd of the republics to
the south of us, most of which have
it natural resources, stable govem
it and progressive Ideals, the ap
The fourteenth annual convention
of the South Carolina Daughters of
preheniilon which gave rise to the
Monroe doctrine may be said to have
nearly disappeared, and ueither the
doctrine as it exists nor any otber doc?
trine of American policy should be
permitted to operate tor the perpetua?
tion of irresponsible govern meat, the
escape of juit obligations or the Insidi?
ous allegation of dominating a in bit ions
on the- part of the United Stutes.
My meeting with President Diaz and
the greeting exchanged on both Amer?
ican and Mexican soil served. I hope,
to signalize the close and cordiil rela?
tions which so well bind togetter this>
republic and the great republic imme?
diately to the south, between which
there is so vast a network of material
1 am happy to say that all tut one
of the cases which for so long vexed
our relations with Venezuela have
been settled within the past few
months and that under the enlight?
ened regime now directing the govern?
ment of Venezuela, provision has been
made for arbitration of the remaining
case before The Hague tribunal.
On July 80. 1009, the government of
Panama agreed, after considerable ne?
gotiation, to Indemnify the relatives' of
the American officers and sailors who
were brutally treated, one of them
having. Indeed, been killed by the
Pans man police this year.
This government was obliged to In?
tervene diplomatically to bring about
arbitration or settlement of the claim
of the Emery company against Nica?
ragua, which it had loug before ueen
agreed should be arbitrated. A settle?
ment of this troublesome case* was
reached by the signature of a protocol
on Sept. 18, 1900.
Many years ago diplomatic interven?
tion became necessary to the protec?
tion of the interests in the American
claim of Alsop & Co. against the
government of Chile. The govern?
ment of Chile had frequently admitted
obligation in the case and had prom?
ised this government to settle it. 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 re?
cent diplomatic negotiations, the gov?
ernments of the United States and of
Chile, actuated by the sincere desire
to free from any strain those cordial
and friendly relations upon which both
set such store, have agreed by a proto?
col to submit the controversy to defin?
itive settlement by his Britannic majes?
ty Edward VII.
The Nicaraguan Trouble.
Since the Washington conventions of
1907 were communicated to the gov?
ernment of the United States as a con?
sulting and advising party this gov?
ernment has been almost continuously
called upon by one or another and in
turn by all of the five Central Amer?
ican republics to exert Itself for the
maintenance of the conventions. Near?
ly every complaint has been against
the Zelaya government of Nicaragua,
which has kept Central America in
constant tension or turmoil. The re?
sponses made to the representations 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 conserva?
tive and have avoided, so far aa possi?
ble, any semblance of interference, al?
though it is very apparent'"'"that the
considerations of geographic proximity 1
to the canal zone and of the very sub- 1
stantlal American Interests in Central
America grve to the United States a
special position in the zone o' these 1
republics and the Caribbean sei.
I need not rehearse here the patleut
efforts of this go vet innen t to promote
peace and welfare among tb3se re?
publics, efforts which are fully appre- j
elated by the majority of then who 1
are loyal to their true interests. It j
would be uo less unnecessary to re- |
hearse here the sad tale of unspeak?
able barbarities and oppression alleged
to have been committed by the Zelaya
governmeut. Recently two Americans
were put t>> death by order ot Presi?
dent Zelaya himself. They were ofll
cers in the organized forces of a rev?
olution which had continued many
weeks and was in control of about
half of the republic, and as such, ac?
cording to toe modern enlightened
practice of civilized nulions, they were
entkled to be dealt with as prisoners
of war. I
At the date when this message is
printed this government has termi
nated diplomatic relations with the
Zelnya government for reason.-, made
public iu a communication to the for?
mer Nicaraguan charge d'affaires and
Is Intending to take such future steps
as may be found most consistent with
its dignity, its duty to Aineii an in?
terests and its moral ohllgutlous to
Central America and to civilization, it
may luter be necessary for DM to bring
this subject to the attention of the
congress in u special message.
In the Far East.
In the far east this government pre
serves unchanged its polloy of support?
ing the principle of equality of OpDOf
tunity and serupulous respeet for the
Integrity of the Chinese empire. t?>
which policy are pledged tbe Interest
ed powers of both east and west.
By tbe treaty of 1909 Cblna has un?
dertaken the abolition of Ilk in with a
moderate and proportionate raising of
the customs tariff along with currency
reform. These reforms being ? mani?
fest advantage to foreign commerce as
well as to the Interests of Chli a, this
government is endeavoring to faclll
t?te these measures and the needful
acquiescence of the treaty powers.
When it appeared that Chinese Ukln
revenues were to be hypothecated to
foreign bankers In connection with a
great railway project It was obvious
that the governments whose nntlouals
held this loan would have a -ertaln
direct Interest in the question of the
carrying out by China of the reforms
In question. The administrator deem?
ed American participation to be of
great national interest. Happily, when
the Confederacy convened In New
berry Tuesday night.
it was as a matter of broad polky ur?
gent that this opportunity should not
be lost, the indispensable instrumental?
ity preseuted itself when a group of
American hankers of international
reputation and great resources agreed
at once to share in the loan upon pre?
cisely such terms as this government
should approve. The chief of those
terms was that American railway ma?
terial should be upon an exact equality
with that of the other nationals join?
ing in the loan in the placing of or?
ders for this whole railroad system.
After mouths of negotiation the equal
participation of Americans seems at
Iu one of the Chinese-Japanese con?
ventions of Sept. 1 of this year there
was a provision which caused consid?
erable public apprehension in that
upon Its face It was believed in some
quarters to seek to establish a monop?
oly of mining privileges along the
South Manchurian and Antung-Muk
ler. rsinrvads and thus to exclude
Americans from a wide field of enter?
prise, to take part in which they were
by treaty with China entitled. After
a thorough examination of the conven?
tions and of tbe several contextual
documents the secretary of state reach?
ed the conclusion that no such monop?
oly was intended or accomplished.
This government made inquiry of the
Imperial Chinese and Japanese gov?
ernments and received from each offi?
cial assurance that the provision had
no purpose Inconsistent with the poli?
cy of equality of opportunity to which
the signatories, in common with the
United States, are pledged.
Our traditional relations with the
Japanese empire continue cordial, as
usual. The arrangement of 1908 for
a co-operative control of the coming
of laborers to the United States has
proved to work satisfactorily. The
matter of t revision of the existing
treaty between the United States and
Japan which is terminable in 1912 is
already receiving the study of both
1 The Department of State.
1 earnestly recommend to the favor?
able action of the congress the esti?
mates submitted by the department of
state and most especially the legisla?
tion suggested in the secretary of
state's letter of this date whereby it
will be possible to develop and make
permanent tbe reorganization of the
department upon modern lines in a
manner to make it a thoroughly ef?
ficient instrument in the furtherance
of our foreign trade and of American
Under a provision of the act of Aug.
5, 1909, I have appointed three officials
to assist the officers of the government
in collecting information necessary to
a wise administration of the tariff act
of Aug. 5. 1909. As to questions of
customs administration they are co?
operating with the officials of the
treasury department and as to matters
of the needs and the exigencies of our
manufacturers and exporters with the
department of commerce and labor in
its relation to the domestic aspect of
the subject of foreign commerce.
As a consequence of section 2 of the
tariff act of Aug. 5, 1909, it becomes the
duty of the secretary of state to con?
duct as diplomatic business all the
negotiations necessary to place him in
a position to advise me as to whether
or not a particular country unduly dis?
criminates against the United States
in the sense of the statute referred to.
Q vernment Expenditures and Rev?
Perhaps the most Important ques?
tion presented to this administration
is that of economy in expenditures and
sufficiency of revenue.
The report of the secretary shows
that the ordinary expenditures for tbe
current fiscal year ending June 30,
1910. will exceed the estimated re?
ceipts by $34.075.020. if to this deficit
are added the sum to be disbursed for
tbe Panama canal, amounting to $38,
000.000. and $1.000,000 to be paid on
the public debt, the deficit of ordinary
receipts aud expenditures will be in?
creased to a total deficit of $73.075,020.
This deficit the secretary proposes to
meet by tbe proceeds of bonds issued
to pay the cost of constructing the
Panama canal. I approve this pro?
The Panama Canal.
The policy of 'paying for the con?
struction of the Panama canal not
out of current revenue, but by bond
issue, was adopted In the Spooner act
of 1002, and there seems to be no good
reason for departing from the princi?
ple by which a part at least of the
burden of the cost of the canal shall
fall upon our posterity, who are to
enjoy it, and there is all the more rea?
son for this view because the actual
cost to date of the canal, which is now
half done and which will be completed
Jan. 1, 1015, shows that the cost of
engineering and construction will be
'9807*700,000 instead of $180,705,200, as
originally estimated. In addition to
engineering and construction, the Oth?
er expenses, including sanitation i
government and the amount paid for
the properties, the franchise and the
privilege of building the canal, in?
crease the cost by $75,435,000 to a
total of $875,201,000. The increase In
the cost of engineering and construc?
tion is due to a substantial enlarge?
ment of tlio plan of construction by
Widening the canal lOO feet in the Cu
lebra CUt and by increasing the di?
mensions of the locks, to the under?
estimate of the quantity of the work
to be done under the original plan and
to an underestimate of the ;ost of la?
bor and materials, both of which have
greatly enhanced In price since the
original estimate was made.
In order to avoid a deficit for the
ensuing fiscal year I directed the
heads of departments iu the prepara?
tion of their estimates to make them
as low as possible consistent with im?
perative governmental necessity. The
result has been, as I am advised by
Next the Tobacco Trust will he In?
vited to step up and lay Its neck
the secretary of the treasury, that the
estimates of the expenses of the gov?
ernment for the fiscal year ending
June 30, 1911?that is, for the next
fiscal year?are less by $??,0G3,000
than the total of appropriations for
the current fiscal year and less by
$94,000,000 than the estimates for that
year. So far as the secretary of the
treasury is aide to form a judgment as
to future income, there will be no
deficit in the year ending June .??0, 1011.
but a small surplus of $712.UK). J
In the present estimates the needs
of the departments aud of the gov?
ernment have been cut to the quick.
For the purpose of securing informa?
tion which may enable the executive
and the legislative branches to unite
In a plan for the permanent reduction
ot the cost of governmental- adminis?
tration the treasury department has
Instituted an investigation by one of
the most skilled expert accountants in
the United States. Tbe object of the
investigation is to devise means to in?
crease the average efficiency of each
employee. There is great room for im?
provement toward this end, not only
by the reorganization of bureaus and
departments and in the avoidance of
duplication, but also in the treatment
of the individual employee.
Under the present system it constant?
ly happens that two employees receive
the same salary when the work of one
is far more difficult and important and
exacting thau that of the other. Su?
perior ability is not rewarded or en?
As the degree of efficiency in all the
departments Is much lessened by the re?
tention of old employees who have out?
lived their energy and usefulness it
is indispensable to any proper system
of economy that provision be made so
that their separation from the service
Bhill be easy and inevitable, it is im?
possible to make such provision unless
there is adopted a plan of civil pen?
sions. We cannot, in view of the ad?
vancing prices of living, hope to save
money by a reduction in tbe standard
of salaries paid, indeed, if any change
is made in that regard an increase
rather than a decrease will be neces?
sary, aud the only means of economy
will be in reducing the number of
employees and in obtaining a greater
average of efficiency from those re?
tained in the service.
Frauds In the Collection of Customs.
I regret to refer to the fact of the
discovery of extensive frauds in the
collection of the customs revenue at
New York city, in which a number of
the subordinate employees in the
weighing and other departments were
directly concerned and In which the
beneficiaries were the American Sugar
Refining company and others. The
frauds consisted in the payment of du?
ty on underweights of sugar. The gov?
ernment has recovered from tbe Amer?
ican Sugar Refining company all that
it Is shown to have been defrauded of.
The sum was received in full of the
amount due which might have been
recovered by civil action against the
beneficiary of the fraud, but there was
an excess reservation in the contract
of settlement by which the settlement
should not interfere with or prevent
the criminal prosecution of every one
who was found to be subject to the
Criminal prosecutions are now pro?
ceeding against a number of the gov?
ernment officers. The treasury de?
partment and the department of jus?
tice are exerting every effort to dis?
cover all the wrongdoers, Including the
officers and employees of the compa?
nies who may have been privy to the
fraud. It would seem to me that an
Investigation of the frauds by con?
gress at present, pending the probing
by the treasury department and the
department of justice, as proposed,
might by giving immunity and other?
wise prove an embarrassment in se?
curing conviction of the guilty parties.
Maximum and Minimum Clause In
Two features of the new tariff act
call for special reference. In order
that the maximum duty shall be charg?
ed against the imports from a country
it is necessary that the executive shall
find on tbe part of that couutry not
only discriminations lu Its laws or the
practice under them against the trade
of the United States, but that the dis?
criminations found shall be undue?
that Is. without good and fair reason.
No one Is seeking a tariff war or a con?
dition in which the spirit of retaliation 1
shall be aroused.
The new tariff law enables me to ap- j
point a tariff board to assist me in con- I
neotion With the department of state iu ,
the administration of the minimum and I
maximum clause of the act and also to j
assist officers of the government in the
administration of the eutlre law. I be?
lieve that the work of this board will
be of prime utility and importance
whenever congress shall deem it wise
again to readjust the customs duties,
if the facts secured by the tariff board
are of such a character as to show gen?
erally that the rates of duties imposed ?,
by the present tariff law are excessive
under the principles of protection as
described in the platform of the suc?
cessful party at the late election I
shall not hesitate to invite the atten?
tion of congress to this fact and to the
necessity for action predicated there?
on. Nothing, however, halts business
and Interferes with the course of pros
parity so much ns the threatened revi?
sion of the tariff, and unlll the facts
are at hand, after careful and deliber?
ate investigation, upon which such re?
vision can properly be undertaken, it
seems to me unwise to attempt it.
In the Interest of immediate econ?
omy I have required a reduction in
the estimates of the war department
for the coming fiscal year which
brings the total estimates down to an
amount forty-five millions less than
across the chopping block.-?Chicago
the corresponding estimates for last
year. This could be accomplished only
by cutting off new projects and sus?
pending for the period of one year all
progress In military matters. For the
same reason I have directed that the
army shall not be recruited, up to Us
present authorized strength. These
measures can baldly be more than
temporary, for 1 am sure that the in?
terests of the military establishment
are seriously in need of careful con?
sideration by congress.
The secretary of war calls attention
to a number of needed changes in the
army, in all of which 1 concur, but the
point upon which I place most em?
phasis is the need for an elimination
bill providing a method by which the
merits of officers shall have some ef?
fect upon their advancement and by
which the advancement of all may be
accelerated by the effective elimination
of a definite proportion of the least
The military and naval joint board
have unanimously agreed that It would
be unwise to make the large expendi?
tures which at one time were contem?
plated in the establishment of a naval
base and station in the Philippine Is?
lands and have expressed their judg?
ment, in which I fully concur, in fa?
vor of making an extensive naval base
at Pearl Harbor, near Honolulu, and
not in the Philippines.
The return of the battleship fleet
from its voyage around the world in
more efficient condition than when it
started was a noteworthy event of In?
terest alike to our citizeus and the
naval authorities of the world. The
marked success of the ships in steam?
ing around the world in all weathers
on schedule time has increased respect
for our navy and has added to our na?
It is a regrettable fact that the
higher officers are old for the respon?
sibilities of the modern navy, and tbe
admirals do uot arrive at flag rank
young enough to obtain adequate train?
ing in their duties as flag officers.
Owing to the necessity for economy
in expenditures, I have directed the
curtailment of recommendations for
naval appropriations so that they are
thirty-eight millions less than the cor?
responding estimates of last year, and
the request for new naval construction
Is limited to two first class battleships
and one repair vessel.
The secretary of the navy has inau?
gurated a tentative plan involving cer?
tain changes in the organization of the
navy department, including the navy
yards, all of which have been found
by the attorney general to be in ac?
cordance with law. I have approved
the execution of the plan proposed be?
cause of the greater efficiency and
economy it promises.
Department of Justice?Expedition In
The deplorable delays in the admin?
istration of civil and criminal law have
received the attention of committees of
the American Bar association and of
many state bar associations as well as
the considered thought of judges and
jurists. In my judgment, a change In
public procedure, with a view to re?
ducing its expense to private litigants
in civil cases and facilitating the dis?
patch of business and final decision in
both civil and criminal cases, consti?
tutes the greatest need in our Ameri?
can institutions. 1 do not doubt for
one moment that much of the lawless
violence and cruelty exhibited in lynch
ings are directly > to the uncertain?
ties and injustice growing out of the
delays in trials, judgments and the exe?
cutions thereof by our courts.
I therefore recommeud legislation
providing for the appointment by the
president of a commission with author?
ity to examine 4be law and equity
procedure of the iederal courts of first
Instance, the law of appeals from
those courts to the courts of appeals
and to the supreme court and the costs
imposed in such procedure upon the
private litigants and upon the public
trenfmry aud make recommendation
with a view to simplifying and ex
pedbiing tbe procedure as far as pos?
sible and making it as inexpensive as
may be to the litigant of little means.
The platform of the successful party
in the last election contained the fol?
Injunctions Without Notice.
"We believe that the rules of proce?
dure in the federal courts with respect
to the issuance of the writ of Injunc?
tion should be more accurately defined
by statute and that no injunction or
temporary restraining order should be
Issued without notice, except where
irreparable injury would result from
delay, in which case a speedy hearing
thereafter should be granted."
I recommend that In compliance with
the promise thus made appropriate leg?
islation be adopted. Moreover, every
such injunction or restraining order
issued without previous notice and op?
portunity by the defendant to be heard
?hOUld by force of the statute expire
find be of no effect after seven days
from the issuance thereof or within
any time less than that period which
the court may lix unless within such
seven days or such less period the in?
junction or order is extended or re?
newed after previous notice and op?
portunity to be heard.
Anti-trust and Interstate Commerce
The jurisdiction of the general gov?
ernment over Interstate commerce has
led to the passage of the St called
"Sherman anti-trust law" and the "In?
terstate commerce law" and its
amendments. The developments in the
operation of those laws call for a dis?
cussion and some suggestions as to
amendments. These I prefer to em?
body in a special message.
Postoffice Department?Second Class
The deficit every year in the post
office department is largely caused by
Commissioner Watson will make a
special report to the legislature on
the low rate of postage of 1 cent a
pound charged on second class mail
matter, which includes not only news?
papers, but magazines and miscella?
neous periodicals. The actual loss grow?
ing out of the transmission of this
second class mail matter at 1 cent a
pound amounts to about $<;3,0<KJ,000 a
year. The average cost of the trans?
portation of this matter is more than
9 cents a pound. The statistics of 1907
slmw that second class mail matter
constituted Go.JH per cent of the
weight of all the mail and yielded
only 5.10 per cent of the revenue.
The figures given are startling and
show the payment by the government
of an enormous subsidy to the news?
papers, magazines and periodicals. A
great saving might be made, amount?
ing to much more than half of tbe loss,
by imposing upon magazines and peri?
odicals a higher rate of postage.
Postal Savings Banks.
I believe postal savings banks to be
?sscessary in order to offer a proper
i^lucement to thrift and saving to a
fpeat many people of small means who
Ao sot now have banking facilities and
to whom such a system would offer an
opportunity for the accumulate of
capital. They will furnish a satUsaseauw
substitute, based on sound principle
and actual successful trial in asarly
all the countries of the world, for the
system of government guaranty of
deposits now being adopted in several
western states which, with deference
to those who advocate it. seems to me
to have In it the seeds of demoraliza?
tion to conservative banking and cer?
tain financial disaster.
Following the course of my distin?
guished predecessor, I earnestly rec?
ommend to congress the consideration
and passage of a ship subsidy bill.
Interior Department?New Mexico and
The successful party in the last elec?
tion in its national platform declared
in favor of the admission as separate
states of New Mexico and Arizona,
and 1 recommend that legislation ap?
propriate to this end be adopted.
With respect to the territory of Alas?
ka, I recommend legislation which
shall provide for the appointment by
the president of a governor and also
of an executive council, the members
of which shall during their term of
office reside in the territory and which
shall have legislative powers sufficient
to enable it to give to the territory lo?
cal laws adapted to its present growth.
I strongly deprecate legislation looking
to the election of a territorial legisla?
ture in that vast district.
Conservation of Natural Resources.
In several departments there is pre?
sented the necessity for legislation
looking to the further conservation of
our national resources, and the sub?
ject is one cf such importance as to
require a more detailed and extended
discussion than can be entered upon
In this communication. For that rea?
son I shall take an early opportunity
to send a special message to congress.
The White Slave Trade.
There is urgent necessity for addi?
tional legislation and greater executive
activity to suppress the recruiting of
the ranks of prostitutes from the
streams of immigration into this coun?
try?an evil which, for want of a bet?
ter name, has been called "the white
Bureau of Health.
There seems to be no reason why all
the bureaus and offices In the general
government which have to do with
the public health or subjects akin
thereto should not be united in a bu?
reau to be called the "bureau of pub?
lic health." |
I urgently recommeud to congress
that a law be passed requiring that
candidates in elections of members of
the house of representatives and com?
mittees in charge of their candidacy
and campaign file iu a proper office of
the United States government a state?
ment of the contributions received and
of the expenditures Incurred in the
campaign for such elections and that
similar legislation be enacted in re?
spect to all other elections which are
constitutionally within the control of
Speaking generally, the country is
i iu a high state of prosperity. There is
j every reason to believe that we are on
; the eve of a substantial business ex-|
pausiou. and we have just garnered a
harvest unexampled iu the market val-j
ue of our agricultural products. The
high prices which such products bring
mean great prosperity for the farming
community; but, 00 the Other baud,
they mean a very considerably increas
ed burden upon those els sags in the
community whose yearly compensation
does not expand with the improvement
in business and the general prosperity.
Various reasons are given for the Ligh
prices. The proportionate increase iu
the output of gold, which today is tbe
chief medium of sxchauga and is in
some respects a measure of value, fur-,
nislies a substantial explanation of at
least part of the increase in prices.'
The increase iu population and the
more expensive mode of living of the
people, which have not beeu accom-j
panled by a proportionate increase in
acreage productiou, may furnish a fur?
ther reason. It is trail to note that the
increase in the cost of living Is not
confined to this country, hut prevails
the world over, and that those who
would charge increases in prices to the
existing protective tariff must meet
the fact that the rise in prices has
taken place almost wholly in those
products of the factory and farm In
respect to which there has been either
no Increase in the tariff: or In many
Instances a very considerable reduc?
the growth and development at Char?