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TO CONGRESS Washington.—The text of President Wilson’s address to Congress Dec. 2 follows: •Gentlemen of the Congress: The year that has elapsed since I last stood before you to fulfill my consti tutional duty to give the Congress from time to time information on the state of the union has been so crowded with great events, great processes and great results that I cannot hope to give you an adequate picture of its transactions or of ♦he far-reaching changes which have been wrought in the life of our nation and of the world. You have yourselves witnessed these things as I have. It is too soon to as sess them; and who stand in the midst of them and are part of them are less qualified than men of another genera tion will be to say what they mean or even what they have been. But some great outstanding facts are un mistakable and constitute in a sense part of the public business with which it is our duty to deal. To state them is to set the stage for the legislative antj executive action which must grow out of them and which we have yet to shape and determine. “A year ago we had sent 145,918 mpn overseas. Since then we have sent 1,950,513, an average of 162,542 each month, the number, in fact, rising in May last to 245,951, in June to 278,- 7CO, in July to 307,182, and continuing to reach similar figures in August and September—in August 289,570 and in September 257,438. No such movement of troops ever took place before across 3.000 miles of sea, followed by ade quate equipment and supplies and car ried safely through extraordinary dan gers of attack —dangers which were alike strange and infinitely difficult to guard against. In all this movement only 758 men were lost by enemy at tacks, 630 of whom were upon a single English transport which was sunk near the Orkney Islands. Unity Made Task Possible. "I need not tell you what lay back of this great movement of men and material. "It is not invidious to say that back of it lay a supporting organization of the industries of the country and all its productive activities more com plete, more thorough in method and ef fective in results, more spirited and unanimous in purpose and effort than any other great belligerent had ever been able to effect. We profited greatly by the experience of the na tions which had already been engaged for nearly three years in the exigent and exacting business, their every re source and every executive proficien cy taxed to the utmost. We were the pupils. But we learned quickly and acted with a promptness and a readi ness of co-operation that Justify our great pride that we were able to serve the world with unparalleled energy and quick accomplishment. ‘But it is not the physical scale and executive efficiency of preparation, supply, equipment and dispatch that I would dwell upon, but the mettle and quality of the officers, and men w'e sent over, and of the sailors who kept the seas, and the spirit of the nation that stood behind them. "No soldiers, or sailors, ever proved themselves more quickly ready for the test of battle or acquitted themselves with more splendid courage and achievement when put/ to the test. Those of us who played some part in directing the great processes by which the war was pushed irresistibly forward to the final triumpn may now forget all that and delight our thoughts with the story of what our men did. Their officers understood the grim and ex acting task they had undertaken and performed with audacity, efficiency an unhesitating courage that touch the story of convoy and battle with imperishable distinction at every turn, whether the enterprise were great or small —from their chiefs, Pershing and Sims, down to the youngest lieutenant; and their men were worthy of them — such men as hardly need to be com manded, and go to their terrible adven ture blithely and with the quick intel ligence of those who know Just what it is they would accomplish. "I am proud to be the fellow country man of men of such stuff and valor. Those of us who stayed at home did our duty; the war could not have been won or the gallant men who fought it given their opportunity to win it oth erwise; but for many a long day we shall think ourselves ‘accursed’ we were not there, and hold our man hoods cheap while any speaks that fought with these at St. Mihiel or Thierry. The memory of those days of triumphant battle will go with these fortunate mep to their graves; and each will have his favorite memory. 'Old men forget; yet all shall be for got, but he’ll remember with advan tages what feats he did that day.' Entered Battle at Critical Moment. What we all thank God for with deepest gratitude is that our men went in force into the line of battle Just at the critical moment when the whole fate of the world seemed to hang in the balance and threw their fresh strength into the ranks of freedom in time to turn the whole tide and sweep of the fateful struggle—turn it once for all. so that thenceforth it was back, back, back for their enemies, al ways back, never again forward! After that it was only a scant four months before the commanders of the central empires knew themselves beaten; and now their very empires are in liquida tion! “And throughout it all how fine the spirit of the nation was. What unity of purpose. What untiring zeal. What elevation of purpose ran through all its splendid display of strength, its un tiring accomplishment. I have said that those of us who stayed at home to do the work of organization and sup ply will always wish that we had been with the men whom we sustained by our labor; but we can never be ashamed. “It has been an inspiring thing to be here in the midst of fine men who had turned aside from every private interest of their own and devoted the whole of their trained capacity to the tasks that supplied the sinews of the whole great undertaking. The patriot ism, the unselfishness, the thorough going devotion and distinguished ca pacity that marked their toilsome la bors, da£ after day, month after month, have made them fit mates and comrateds of the men in the trenches and on the sea. Labor Equal to Emergency. “And not the men here in Washing ton only. They have but directed the vast achievement. Throughout innum erable factories, upon innumerable farms, in the depths of coal mines and iron mines and copper mines, wher ever the stuffs of industry were to be obtained and prepared, in the ship yards, on the railways, at the docks, on the sea, in every labor that wa* needed to sustain the battle lines, men have vied with each other to do their part, and do it well. “They can look any man-at-arms in the face and say, we also strove to win, and gave the best that was in us to meke our fleets and armies sure of their triumph! “And what shall we say of the worn- their instant intelligence, quick ening every task that they touched; their capacity for organization and co operation, which gave their action dis cipline and enhanced the effectiveness of everything they attempted; their aptitude at tasks to which they had never before set their hands; their ut ter self-sacrifice alike in what they did and in what they gave? Their contri bution to the greut result is beyond appraisal; they have added a new lus tre to the annals of American woman hood. Political Equality for Women Asked. “The least tribute w r e can pay them is to make them the equals of men in political rights as they have proved themselves their equals in every field of practical work they have entered, whether for themselves or for their country. “These great days of completed achievement would be sadly marred were we to omit that act of justice. Besides the immense practical serv ice they have rendered, the women of the country have been the ( moving spirits in the systematic economies by which our people have voluntarily as sisted to supply the suffering peoples of the world and the armies upon ev ery front with food and everything else that we had that might serve the common cause. The details of such a story can never be fully written, but we carry them at our hearts and thank God that we can say that we are the kinsmen of such. “And now we are sure of the great ! triumph for which, every sacrifice was , made. It has come, come in its com pleteness, and with the pride and in spiration of these days of achievement quick with us we turn to the tasks of peace again—a peace sure against the violence of irresponsible monarchs and ambitious military coteries —and make ready for a new order, for new foundations of justice and fair deal ing. World Justice Goal to Be Sought. “We are about to give order and or ganization to this peace, not only for ourselves, but for the other peoples of the world as well, so far as they will suffer us to serve them. It is inter national justice that we seek, not do mestic safety merely. Our thoughts have dwelt of late upon Europe, upon Asia, upon the Near and the Far East, very little upon the acts of peace and coinmodation that wait to be per formed at our own doors. While we are adjusting our relations with the rest.of the world is it not of capital importance that we should clear away all grounds of misunderstanding with our immediate neighbors and give proof of the friendship we really feel? I hope that the members of the Senate will permit me to speak once more of the unratified treaty of friendship and adjustment with the republic of Colom bia. I very earnestly urge upon them an early and favorable action upon that vital matter. I believe they will feel, with me, that the stage of affairs is now set for such action as will be not only just but generous and in the spir it of the new age upon which we have so happily entered. “So far as our domestic affairs are concerned the problem of our return to peace is a problem of economic and industrial readjustment. That prob lem is less serious for us than it may turn out to be for the nations which have suffered the disarrangements and the losses of war longer than we. Our people, moreover, do not wait to be coached and led. They know their own business, are quick and self-re liant in action. «Any leading strings we might seek to put them in would speedily become hopelessly tangled because they would pay no attention to them and go their own way. All that we can do as their legislative and executive servants is to mediate the process of change here, there and elsewhere ns we may. I have heard much counsel as to the plans that should be formed and personally con THK CHETKNNB RBOORD. ducted to a happy consummation, bat from no quarter haVe I seen any gen eral scheme of ‘reconstruction’ emerge which I thought it likely we could force our spirited business men and self-reliant laborers to accept with due pliancy and obedience. Restraints Being Rapidly Relaxed. “While the war laßted we set up many agencies by which to direct the industries of the country in the serv ices it was necessary for them to ren der, by which to make sure of an abundant supply of the materials needed, by which to check undertak ings that could for the time be dis pensed with and stimulate those that were most serviceable in war, by which to gain for the purchasing de partments of the government a certain control over the prices of essential articles and materials, by which to re strain trade with alien enemies, make the most of the available shipping, and systematize financial transac tions, both public and private, so that there would be no unnecessary con flict or confusion —by which, in short, to put every material energy of the country in harness to draw the com mon load and make of us one team in the accomplishment of a great task. “But the moment we knew the arm istice to have been signed we took the harness of. Raw materials upon which the government had kept its hand for fear there should not be enough for the industries that sup plied the armies have been released and put into the general market again. Great industrial plants whose whole output and machinery had been taken over for the uses of the government have been set free to return to the uses to which they were put before the war. It has not been possible to remove so readily or so quickly the control of foodstuffs and of shipping, because the world has still to be fed from our granaries and the ships are still needed to send supplies to our men oversea and to bring the men back as fast as the disturbed condi tions on the other side of the water permit; but even these restraints are being relaxed as much as possible and more and more as the weeks go by. “Never before have there been agencies in existence in this country which knew so much of the field of supply, of labor and of industry as the war industries board, the war trade board, the labor department, the food administration and the fuel adminis tration have known since their labors became thoroughly systematized; and they have not been islolated agencies; they have been directed by men who represented the permanent depart ments of the government and so have been the centers of unified and co-op erative action. It has been the theory of the executive, therefore, since the armistice was assured (which is in ef fect a complete submission of the en emy), to put the knowledge of these bodies at the disposal of the business men of the country and to offer their intelligent mediation at every point and in every matter where it was de sired. Return to Peace Footing Rapid. “It is surprising how fast the pro cess of return to a peace footing has moved in the three weeks since the fighting stopped. It promises to out run any inquiry that may be instituted and any aid that may be offered. It will not be easy to direct k any bet ter than it will direct itself. The American busines man is of quick in itiative. “The ordinary and normal processes of private initiative will not, however, provide immediate employment for all of the men of our returning armies. Those who are of trained capacity, those who are skilled workmen, those who have acquired familiarity with es tablished businesses, those who are ready and willing to go to the farms, all those whose aptitudes are known or will be sought out by employers will find no difficulty, it is safe to say, in finding place and employment. But there will be others who will be at a loss where to gain a livelihood unless pains are taken to guide them and put them in the way of work. “There will be a large floating re siduum of labor which should not be left wholly to shift for itself. It seems to me important, therefore, that the development of public works of every sort should be promptly resumed, in order that opportunities should be cre ated for unskilled labor in particular, and that plans should be made for such developments of our unused lands and our natural resources as we have hitherto lacked stimulation to under take. Big Reclamation Program Favored. “I particularly direct your attention to the very practical plans which the secretary of the interior has devel oped in his annual report and before your committee for the reclamation of arid, swamp and cutover lands which might, if the states were willing and able to co-operate, redeem some 300,- 000,000 acres of land for cultivation. There are sai dto be 15,000,000 or 20,- 000,000 acres of land in the West, at present arid, for whose cultivation wa ter is available, if properly conserved. There are said to be 15,000,000 or 20,- which the forests have been cut, but : which have never yet been cleared for the plow, and which lie waste and des j olate. These lie scattered all over the i Union. And there are nearly 80,000,- j 000 acres of land that lie under swamps or subject to periodical over flow or too wet for anything but graz ing which it is perfectly feasible to drain and protect and redeem. The Congress can at once direct thousands of the returning soldiers to the recla mation of the arid lands, which it has already undertaken, if it will but en large the plans and the appropriations which it ha« intrusted to the Depart ment of thp Interior. It is possible in dealing with our unused land to effect a great rural and agricultural devel opment which will afford the best sort of opportunity to men who want to help themselves, and the secretary of the interior has thought the possible methods out in away which is worthy of your most friendly attention. “1 have spoken of the control which must yet for a while, perhaps for a long while, be exercised over shipping because of the priority of service to which our forces overseas are en titled, and which should also be ac corded the shipments which are to save recently liberated peoples from starvation and many devastated re gions from permanent ruin. “May 1 not say a special word about the needs of Belgium and north ern France? No sums of money paid byway of indemnity will serve of themselves to save them from hope less disadvantage for years to come. Something more must be done than merely find the money. If they hail money and raw materials in abun dance tomorrow they could not re sume their place in the industry of the world tomorrow —the very import ant place they held before the flame of war swept across them. Many of their factories are razed to the ground. Much of their machinery is destroyed or has been taken away. ’Their people are scattered, and many of their best workers are dead. Their markets will be taken by others, if they are not in some special way assisted to rebuild their factories and replace their lost Instruments of manufacture. “They should not be left to the vi cissitudes of the sharp competition for materials and for industrial facilities which is now to set in. I hope, there fore, that the Congress will not be un willing, if it should become necessary, to grant to some such agency as the War Trade Board the right to estab lish priorities of export and supply for the benefit of these people whom we have been so happy to assist in saving from the German terror and whom we must not now thoughtlessly leave to shift for themselves in a piti less competitive /market. Determination of Taxes Important. “For the steadying and facilitation of our own domestic business read justments nothing is more important than the immediate determination of the taxes that are to be levied for 1918, 1919 and 1920. As much of the burden of taxation must be lifted from business as sound methods of financ ing the government will permit, and those who conduct the great essential industries of the country must be told as exactly as possible what obliga tions to the government they will be expected to meet in the years imme diately ahead of them. It will be of serious consequence to the country to delay removing all uncertainties in this matter a single day longer than the right processes of debate justify. It is idle to talk of successful and con fident business reconstruction before those uncertainties are resolved. “If the war had continued, it would have been necessary to raise at least $8;DUO,000,000 by taxation, payable in the year 1919, but the war has ended, and 1 agree with the secretary of the treasury that it will be safe to reduce the amount to $0,1)00,000,000. An im mediate rapid decline in the expenses of the government is not to be looked for. Contracts made for war supplies wjll, indeed, be rapidly canceled and liquidated, but their immediate liqui dation will make heavy drains on the treasury for the months just ahead of us. The maintenance of our forces on the other side of the sea is still necessary. A considerable proportion of those forces must remain in Eu rope during the period of occupation, and those which are brought home will be transported and demobilized at heavy expense for months to come. The interest on our war debt must, of course, be paid, and provision made for the retirement of the obligations of the government which represent it. But these demands will, of course, fall much below what a continuation of military operations would have en tailed, and $6,000,000,000 should suf fice to supply a sound foundation for the financial operations of the year. Four-Billion Tax In 1920 Favorad. “I entirely concur with the secre tary of the treasury in recommend ing that the needed in addition to the $4,000,000,000 provided by existing law be obtained from the profits which have accrued and which will accrue from war contracts and distinctively war business, and that these taxes be confined to the war profits accruing in 1918, or in 1919 from business originating in war con tracts. I urge your acceptance of his recommendation that provision be made now, not subsequently, that the taxes to be paid in 1920 should be re duced from $8,000,000,000 to $4,000,- 000,000. “Any arrangements less definite than these would add elements of doubt and confusion to the critical pe riod of industrial readjustment through which the country must now immediately pass, and which no true friend of the nation’s essential busi ness interests can afford to be respon sible for creating or prolonging. Clear ly determined conditions, clearly and simply charted, are indispensable to the economic revival and rapid indus trial development which may confi dently be expected if we act now and sweep all interrogation points away. “I take it for granted that Congress will carry out the naval program which Was undertaken before we en tered the war. The secretary of the navy has submitted to your commit tees for authorization that part of the program which covers the building plans of the next three yean. These plans have been prepared along the Unta and in accordance with the, pol icy which the Congress established, not under the exceptional conditions of the war, but with the intention of adhering to a definite method of devel opment of the navy. I earnestly rec ommend the uninterrupted pursuit of that policv. It would clearly be un wise for us to attempt to adjust our programs to a future Vorld policy as yet undetermined. Railroad Problem of Great Moment. “The question which causes me the greatest concern is the question of the polioy to be adopted toward the rail roads. I frankly turn to you for coun sel upon it. I have no confident judg ment of my own. Ido not see how any thoughtful man can have who knows anything of the complexity of the problem. It is a problem which must be studied, studied immediately and studied without bias or prejudice. Nothing can be gained by becoming partisans of any particular plan of set tlement. “It was necessary that the adminis tration of the railways should be tak en over by the government so long as the war lasted. It would have been im possible otherwise to establish and carry through under a single direction the necessary priorities of shipments. It would have been impossible other wise to combine maximum production j at the factories and mines and farms with the maximum possible car supply i to take the products to the ports and markets; impossible to route troop .shipments and freight shipments with out regard to the advantage or disad vantage of the roads employed; impos sible to subordinate, when necessary, all questions of convenience to the I public necessity; impossible to give j the necessary financial support to the i roads from the public treasury. But all these necessities have now been served, and the question is, what is best for the railroads and for the pub lic in the future. “Exceptional circumstances and ex ceptional methods of administration were not needed to convince us that the railroads were not equal to the immense tasks of transportation im posed upon them by the rapid and continuous development of the indus tries of the country. We knew that already, and we knew that they were unequal to it partly because their full cooperation was rendered impossible by law and their competition made obligatory, so that it has been impos- , sible to assign to them severally the j traffic which best could be carried by j their respective lines in the interest of expedition and national economy. Treaty by Spring. “We may hope, I believe, for the formal conclusion of the war by treaty by the time spring has come, j The twenty-two months to which the | present control of the railways is lim- ; ited after formal proclamation of I peace shall have been made will run at the farthest, I take it for granted, only to the January of 1921. The full equipment of the railways which the federal administration had planned could not be completed within any such period. The present law does not permit the use of the revenues of the several roads for the execution of such plans except by formal contract with their directors, some of whom will consent, while some will not, and therefore does not afford sufficient authority to undertake improvements upon the scale upon which it would be necessary to undertake them. “Every approach to this difficult subject matter of decision brings us face to face, therefore, with this un answered question: What is it right that we should do with the railroads, in the interest of the public, and in fairness to their owners? “Let me say at once that I have no aeswer ready. The only thing that is perfectly clear to me is that it is not fair either to the public or to the own ers of the railroads to leave the ques tion unanswered, and that it will pres ently become my duty to relinquish control of the roads, even before the statutory period, unless there should appear some clear prospect in the meantime of a legitimate solution. Their release would at least pro duce one element of a solution, namely, certainty and a quick stimu lation of private initiative. “I believe that it will be serviceable for me to set forth as explicitly as pos sible the alternative courses that lie open to our choice. We can simply release the roads and go back to the old conditions of private management, unrestricted competition and multi form regulation by both state and fed eral-authorities, or we can go to the opposite extreme and establish com plete government control, accompanied if necessary by actual government ownership; or we can adopt an inter mediate course of modified private control under a more unified and af firmative public regulation and under such alterations of the law as will per mit wasteful competition to be avoided and a considerable degree of unifica tion of administration to be effected, as, for example, by regional corpora tions under which the railways of de finable area would be In effect com bined in single systems. Opposes Old Method. “The conclusion that I am ready to state with confidence is that it would be a disservice alike to the country and to the owners of railroads to re turn to the old conditions unmodi fied. Those are conditions of re straint with development. There is nothing affirmative or helpful about them. What the country chiefly needs is that all of its moans of trans i portatlon should be developed, its rail j ways, its waterways, its highways and ; its countryside roads. Some new ele j ment of policy, therefore, is absolutely 1 necessary—necessary for the service of the public, necessary for the re lease of credit to thOße wuo are ad ministering L»e railways, necessary for the protection of their security holders. The old policy may he changed much or little, but surely it cannot wisely be left as it was. i hope that the Congress will have a complete and impartial siudy of the whole problem instituted ai once apd prosecuted as rapidly as possible. J “1 stand ready and anxibus to rw| lease the roads from the present com trol and 1 must do so at a very vgjft ** date if by waiting until the limit of time is reached 1 *VuK& merely prolonging the period of doubt and uncertainty which is hurtful to every interest concerned. The Peace Conference. “1 welcome this occasion to an nounce to the Congress my purpose to join in Paris the representatives of the governments with which we have been associated in the war against the central empires for the purpose of discussing with them the main features of the treaty of peace. I realize the great inconveniences that will attend my leaving the country, particularly at this time, but the dom clusiou that it was my paramount duty to go has been forced upon me by considerations which 1 hope will seem as conclusive to you as they have seemed lo me. “The allied governments have ac cepted the bases of peace which I out- I lined to the Congress on the Bth of January lust, as the central empires also have, and very reasonable desire | my personal counsel in their interpre tation and application, and it is high ly desirable that I should give it in order that the sincere desire of our government to contribute without self ish .purposes of any kind to settle ments that will be of common benefit to all the nations concerned may be ! made fully manifest. The peace set i tleinents which are now to be agreed | upon are of transcendent importance both to us and to the rest of the world, and I know of no business or interest which should take precedence of them. Duty to Make Trip. “The gallant men of our armed forces on land and sea have conscious ly fought for the ideals which they knew to be the ideals of their country; I have sought to express those Ideals; they have accepted my statements ol them as the substance of their own thought and purpose, as the associ ated governments have accepted them; I owe it to them to see to it, so far as in me lies, that no fajse or mis taken interpretation is put upon them, and no possible effort omitted to real ize them. It is now my duty to f>lay I my full part in making good what ! they offered their life’s blood to oh , tain. I can think of no call to servlet which could transcend this. “I shall be in close touch with you and with affairs on this side the vs I ter, and you will know all that I do. At my request the French and J2ng lish governments have absolutely re , moved the censorship of cable news ! which until within a fortnight they | had maintained and there is now nc I censorship whatever exercised at this I end except upon attempted trade com munications with enemy countries. It has been necessary to keep an open wire constantly availa’ between. Paris and the Department of State and another between France and the Department of War. In order thal this might be done with the least possible interference with the othei uses of the cables, I have temporarily taken over control of both cables In order that they may be used as a single system. I did so at the advice of the most experienced cable offi cials and I hope that the results will justify my hope that the news of the next few months may pass with the utmost freedom and with the least possible delay from each side of the sea to the other. “May 1 not hope, gentlemen of the Congress, that in the delicate tasks I shall have to perform on the other side of the sea, in my efforts truly and faithfully to interpret the princi ples and purposes of the country we love, I may have the encouragement and the added strength of your unit ed support? I realize the magnitude and difficulty of the duty I am under taking; I am poignantly aware of its grave responsibilities. I am the serv ant of the nation. I can have no pri vate thought or purpose of my own in performing such an errand. Igo to give the best that is in me to the cornAon settlements which I must now assist in arriving at in conference with the other working heads of the associated governments. I shall count upon your friendly countenance and encouragement. I shall not be inac cessible. Th© cables and the wireless will render me available for any coun sel or service you may desire of me, and I shall be happy in the thought that I am constantly in touch with the weighty matters of domestic policy with which we shall have to deal. I shall make my absence as brief as possible and shall hope to return with the happy assurance that it has been possible to translate into action the great ideals for whioh America has striven.” m/'. Nation’s Expenses Cut to Third. Washington.—Cessation of war will result in a reduction of government expenses for the fiscal year 1920, starting next July 1, to $7,443,415,838 from the $24,599,000,000 appropriated for the current .year, according to ten tative estimates submitted to Congress by Secretary McAdbo, transmitting the report of the various departments. The principal reduction was for the mili tary establishment, which estimates its needs at $1,922,000,000 in 1920, as compared with the $12,274,000,000 ap- . proprlated for this year. | Belgian Royal Family Enters Liege. Brussels.—King Albert add the Bel gian royal family made their official entry into Liege Nov. 30 at the head of the troops who conducted the he roic defense of that town in 1914, says a Belgian official statement. Almost at the same time, the statement adds, a Belgian cavalry brigade entered Aix la-Chapelle, Germany, at the request of German authorities.