K E 681 .587 Copy 1 REVIEW OF LEGISLATION OF SESSION. SPEECH HON. JOSEPH 0. STONE, OF IOWA, HOUSE OF REPRESENTATIVES, JUNE 4, 1878, ^^V OF -w..^,j^ WASHINGTON. 1878. SPEECH OF HON. JOSEPH C. STOXE. On the state of tlie Union. Mr. STONE, of Iowa. Mr. Speaker, it has hitherto appeared to me that I could best serve the interests of my coustitneuts by closely ■watching the course of business in this House, by aiding in shaping legislation by my votes, and by diligent attention to the committee- work assigned to me, rather than by occupying in speech-making the time required for the transaction of jiublic business. Now, how- ever, that the session is drawing to a close, I feel it to be my duty to give expression to my views upon some of the topics which have engaged the attention of this Congress and to review, to some extent, the history of its action thus far, with special reference to inquiring how well the democratic majority of this House has discharged the duties imposed upon it by the condition of the country. And in the first place, sir, permit me to call attention to the fact that Congress was convened here, in extra session, in October, in advance of the regular time for meeting iu consequence of the failure of the democratic House of the Forty-fourth Congress to pass the Army bill, caused by the factious and unpatriotic course of the ma- jority of that House in endeavoring to fasten upon that bill uncon- stitutional restrictions upon the power of the Executive. Such, how- ever, was the distressed condition of the country at the time the pres- ent Congress assembled that its coming together might have resulted in great good had the majority iu this Hall possessed such wisdom and statesmanship as was demanded by the critical condition of our national affairs. The people looked to that extra session for relief, but they were destined to be grievously disappointed, the democratic majority which controlled the course of legislation having proved un- equal to the emergency. Before that extra session commenced business had begun to show many encouraging signs of revival, but as soon as it became manifest that the majority of this House were devoted to the promotion of the interests of the democratic party rather than those of the whole people, reviving contidence vanished and the public distress became more wide-spread than ever. The extra session ended without hav- ing passed any measures for the relief of the nation. It made a great deal of fuss, but did little real work. This failure had a discourag- ing effect upon the country, for it left the people without any conti- denco in the democratic leaders of this House to devise any such enlightened and statesman-like legislation as the extraordinary con- dition and circumstances of the country required. Thus the first chapter in the history of this democratic House is made up of a record of its inability to comprehend the real uecessi- ties of the people, ami of it8 failures to devise any effective remedies for the suHeriiig industrial and commercial intei'ests of the nation. So far as national legislation is concerned, the democratic party is mainly responsible for the present condition of the country, for the lower branch of Congress can and always does exert a more potent influence for good or evil upon the public prosperity than any depart- ment of the Government. The reputation for incapacity to comprehend the needs of the country and to devise measures for the relief of its distress which was gained by the democratic majority at the extra session has ad- hered to it at the present session. With such an opportunity for the dis- play of legislative wisdom as has rarely been possessed by an American Congress, the gentlemen on the other side of this Hall have utterly failed to meet the just expectations of the people. The energies which should have been devoted to the legislation demanded by the business interests of the country have been expended in investigat- ing the delinquencies of a democratic Doorkeeper, in unjustly unseat- ing republican members in contested-election cases, in the fruitless but expensive investigations of the Glover committees, and finally in devising and carrying into effect a scheme to plunge the country into revolution by opening up the question of the presidential title. The truth of the matter is that the democratic majority, both in this House and the last, regarded its ascendency as nothing more than an opportunity for promoting partisan ends. Their record is conse- quently full of blunders and failures, and has finally been rendered infamous by wicked preparations for a revolution which threatens to lower our country to the level of Mexico, I defy gentlemen on the other side of this Hall to point to any great, comprehensive, states- man-like measure, such as the times have demanded during their ascendency, which they liave either presented to the country or en- acted into law. I therefore feel it to be my duty to arraign the demo- cratic party before the nation for its shortcomings and evil deeds, not doubting as to what the verdict of an indignant people will be. Mr. Speaker, I now propose to examine with some degree of care a few of the political topics which have recently engaged public atten- tion, and in so doing I shall incidentally still further expose the de- linquencies of the majority which controls the business of this House* The leading quistion which met us when we assembled here was the financial one. Although it was the duty of our adversaries, as a great political party, to present the country with a distinct, well defined policy on this subject, it utterly failed to do so. The prominent lead- ers on the democratic side of this House notoriously held the most discordant views upon this subject. Hence the singtilar spectacle was presented of a party nominally ]>ossessing a majority in this House and yet so weak and demoralized that it could not devise any financial scheme which could command anything like unanimous party support. This division of sentiment by no means relieves the democrats from the responsibility of having failed as a party to af- ford the financial relief demanded by tin? necessities of the country. So far as any of the practical measures of this sort which have been adopted are concerned, the democratic party is not entitled to the credit of them. Thus, for examj)le, one of the most ini]i07tant meas- ures passed by this Congress in relation to the finances was the bill for the remonetization of silver. Whatever merits this law may possess, it is not one for which the democratic party can claim any credit, for it was repeatedly declared, both in this House and in the Senate, not to be a party measure. I supported this measure for reasons wliich I considered sustained by sound principles of political economy, and I have as yet seen no reason to regret my vote. While the remonetization of silver has not pro- duced all the good eifects which its advocates predicted, it has, on the other hand agreeably surprised its opponents by causing none of the evil effects which they feared. The circumstances under which silver was demonetized, were, to say the least, so peculiar that it was but a simple act of justice to restore the silver dollar to its old status. Now that it has been done, it will aid in rendering resumption practicable and will at the same time form a desirable addition to the volume of our national currency. An irredeemable currency is one of the worst evils which can afflict a country, as has been amply proven by the history of France, Aus- tria and other European nations, as well as by that of our own country in colonial times. Profiting by the lessons of history and guided by sound financial principles, the republican party early adopted a policy in the administration of our national finances 'which was intended to bring about the resumption of specie payments at the earliest prac- ticable period. The legislation upon this subject culminated in the law which fixed the 1st of January, 1879, as the date for resump- tion. This policy has not been carried out without violent opposition, but is now nearly successfully accomplished, and the nation has just reason to thank the leaders of the republican party for the firmness and moral courage which they manifested in devising that policy and in appealing to the intelligence and patriotism of the people to stand by them. The measure was not one which appealed to popular favor, but was one of hard necessity. It required the people to make great immediate sacrifices for the sake of distant advantages, and it is greatly to the credit of the American people that they bravely sus- tained the republican party, and voluntarily submitted to the oper- ation of the severe measures necessary for restoring the currency of the nation to a sound basis. The difficulty of carrying out the policy of resumption was greatly increased by the financial distress which was produced by the panic of 1873. It has been quite usual to attribute that event to the policy of contraction ; but the tables which I will now read, compiled from official sources, indicate very clearly that that disaster must have been brought about by other causes, in part at least, than by contrac- tion : A table showing the amonnts of currotcii outstanding at the several dates specijicd. Date. Currency. Ajnount. August 31, 1865 National-bank bills 1176, 213, 955 459, 505, 311 Legal-tender notes Total 635, 719, 266 National-bank bills January 1, 1866 1-298, 588, 419 450 231 809 Legal-tender notes Total 750, 820, 228 National-bank bills Legal-tender notes January 1, 1867 .5299, 846, 206 409 230 654 Total 709 070 860 6 A iahlc slionhifi fhe amounts of curreneij outstavfiivfi, cfc. — Continued. Date. Currency. Amount. January 1, 18fi8 $299, 747, 569 387, 756, 710 Total 687, 504, 279 January 1, 1869 §299, G29, 322 390, 236, 788 Total 689, 866, 110 January 1, 1870 I-J99, 904, 029 395, 875, 762 Total Januarj' 1, 1871 695. 779, 791 S306, 307, r.72 396, 096, 175 Total 702, 403, 847 Januaiy 1, 187-2 1328, 465, 431 398, 360, 673 Total 726, 826, 109 January 1, 1873 §344, 582, 812 Legal- tender notes Total 404, 364, 355 748, 947, 167 January 1, 1874 1350, 648, 236 427, 026, 131 Total 777, 874, 367 1354, 128, 250 428,462,915 Total . 782, 591, 163 January 1, 1670 §346, 479, 7.56 416, 043, 934 Total 762, 523, 690 January 1, 1877 $317,324,069 375, 765, 296 Total 693, 089, 365 . The panic occurred in September, 1873. Tbat it was not caused by contraction will appear from the following comparative statements, namely : Total cnrroncy outstanding January 1, 1873 ?748, 947, 167 Total currency outstanding January 1, 1868 687, 504, 279 Showing an inflation in 1S73 as compared with 1868 of 61, 442, 888 Total currency outstanding January 1, 1873 748,947,167 Total currency outstanding January 1, 1869 689,866, 110 Showing an inflation in 1873 as compared with 1869 of 59, 081, 0.17 It would occupy too much time to go into a full examination of all the causes which produced the crisis of 1873, The chief agency in bringing about the condition of affairs which occasioned that event were overjiroduction and undue expansion of the credit system. I do not, however, propose to go into details on this subject, and I there- fore rest content with citing the figures contained in the foregoing statement which prove that the gi-eat calamity which overtook the country in 1873 cannot properly be attributed to the policy of con- traction advocated by the republican party. In this connection, sir, I desire to call attention to the fact that the financial policy of the republican party has been wise, uniform, con- sistent, and successful. On the contrary, the democrats, after having denounced greenbacks as unconstitutional and worthless, subse- quently veered around and became zealous advocates of them as the best currency in the world, and demanded an unlimited issue of them. In former times one of the distinctive doctrines of the democratic party was that coin, or money redeemable in it, ought to be the exclu- sive currency of the country ; yet this fact has not stood in the way of their opposing the resumption policy of the republican party, a policy which is in strict accord with the financial views of the fathers of the Republic as embodied in the Constitution. While I thus favor the republican policy of resumption, I am by no means disposed to underestimate the services which the greenbacks have rendered to the nation. As a war measure the issuing of them was of incalcula- ble service. No patriot can avoid feeling attached to the currency which paid the Union armies and furnished them with supplies. I cannot, how- ever, forget that although the democrats now pretend to be great friends of this sort of currency, they bitterly opposed and denounced it in the dark hours of the country's need when it was of the most service in preventing the success of the rebellion. I must confess that so far as I am concerned I am deeply attached to the currency which whipped the rebels and their democratic allies, and on account of these services I would be quite willing to retain it as a permanent currency of the nation, provided I could be convinced that it would be consistent with sound principles of political economy to do so. In my opinion, however, all abstract theories upon this subject are rendered useless by the decision of the Supreme Court of the United States which holds that the issue of legal-tender notes was only law- ful as a war measure. The histoiy of the greenback legislation shows that it was the intention of the authors of that system of finance to return to specie payments as soon as the condition of the country would permit. They acted upon the theory that coin, or paper cur- rency convertible into it, was the only money recognized by the Con- stitution. As I remarked a while ago, the democratic party has utterly failed to present to the country any satisfactory financial policy. Although my party is in the minority in this House it is entitled to the credit of having originated all the wise and practical legislation upon this subject which has been brought forward at this session. The chief of these wise measures was the bill introduced by the gentleman from the eighth district of Illinois, [Mr. Fort,] which is now a law which prohibits the retirement of any of the greenbacks which were in circulation at the date of its passage. The author of this law is a rejiublican, and its principles are in strict accord with the doctrine laid down by the Secretary of the Treasury in 1877 in his Mansfield speech and reiterated in his annual rei)ort in the following terms : The Secretary is of the opiuiou that undor this section (;5579 Revised Statutes of tbe United States) notes when redeemed after January 1, 1879, if the amount out- 8tMt.oMalb:ink notes. 3-25, OOM, 000 Gobi iiith.' li-easury 180,000,000 fMlver in tbe Ireasnry 25 qqq qqq Coin in banks and conn try ] 120 000 000 Total 990,000,000 Thus, as a consequence of the financial policy of the republican party, not only do we po.s.se.ss a greater volume of" currency than ever before .since the war, but it is also a more valuable one, i)eiiig prac- tically convertible info coin and eai)al)leof being expanded from two sources, namely, by the steady increase in the amount of gold and silver coined, and l)y the expansion of the national-bank currency under the free-banking system as may be demanded by the necessi- ties of trade. 9 The volume of the uational-baiik currency being left to the opera- tion of the laws of supply and demand, instead of being lixed by arti- ficial regulations, can be expanded and contracted from time to time as the exigencies of commerce may require, and ^ill thus become a sort of safety-valve for the business of the country whereby the effects of monetary revulsitms may be mitigated if not entirely prevented. Thus have the consistency of the republican party and the wisdom of its resumption policy been completely vindicated. Instead of being driven about by every wind of doctrine, our party in the beginning adopted the triie policy, and having adhered to it through good and through evil report has now the satisfaction of witnessing its ulti- mate and complete triumph. The result has been a grand victory for true statesmanship overtime-serving expediency of which the repub- lican party has just reason to be proud. SAVINGS BANKS. Closely allied to the financial question is the proposition to establish in this country postal savings-banks. Early in the session I intro- duced a bill for this purpose. I was induced to do so by the fact that I thought it was expedient for the Government to provide the ]al)or- ing-men of the country with facilities for so depositing their sur- plus earnings that they would be absolutely safe and draw a reason- able rate of interest. I consider this measure the more important on account of the numerous failures which have recently occurred among the savings-banks organized under State laws, whereby the hard- earned savings of workingmen and the funds of widows and orphans have been irretrievably lost to them. I moreover regard savings- banks as an invaluable instrumentality for promoting the common interest, national thrift, and prosperity on account of their influence in encouraging habits of economy and frugality among the people. Depositors in saving-banks, as a class, are virtuou,s, industrious, and law-abiding citizens. Another important argument in favor of postal savings-banks is that through them a considerable portion of the public debt might be funded at a low rate of interest in the hands of the people. We have never had a real popular loan in this country, because the se- curities hitherto placed on the market have been oifered under such conditions that people of very small means could not inv^est in them. Postal savings-banks, properly regulated, would bring these securities within the reach of persons of the very humblest means and in the most remote parts of the country. Bonds offered through national banks cannot be placed within the reach of the mass of the people. They are moreover of too high denominations for large classes of persons who need facilities for investing the small sums saved from their weekly or monthly earnings, or the gains of tlie garden, the farm, or the workshop, as received from time to time. The postal savings-banks would be ready at all times to receive deposits, no matter how small, under regulations easily understood by all. Unfortunately the statistics relating to this subject are quite im- perfect. The latest report of the Secretary of the Treasury shows the amount of the deposits in these institutions to be $843,154,804. The aggregate of the deposits in savings-banks, State banks, and trust companies as reported by the Comptroller of tbp CnrI•cll'■^- is $1,346,016,813 Or, allowing for imperfect returns, say i,;)Uu, uuu, uuu The debt statement for June 1, 1878, siiows that the boiuled in- debtedness of the United States on that day was as follows, namely: Bonds at 6 per cent .^. |738, fil!», 000 Bouda at 5 por cout 703, 2G(j, CiO 10 Bonds at 4J per cent $235, 000, 000- Bonds at 4 pw cent 91, 850,000 Total 1,768,735,650 Tlicre is but litWe question but that the whole of this indebted- ness might be hehl by our own people. There would certainly be no trouble, by means of savings-banks and otlier suitable arrangements for a popular loan, in refunding the »i per cent, and the 5 per cent, bonds at, say, 4 per cent., thus eliecting an annual saving in interest as follows : Ss^ving in interest on 6 per cent, bonds §14, 772, 330 00 Saving in interest on 5 per cent, bonds 7, 032, (iGG 50 Total saving 21,815,046 .50 These figures are conclusive as to the amount of saving which the Government might make by adopting the policy of establishing pos- tal savings-banks. The experience of Englaiul,'which has tried these institutions, ))rovcs that they are practicable. Although the British government limits tlie amounts wbich these banks are allou'ed to receive from depositors to very small sums, these institutions there being intended only for the benefit of very poor i>eople, the aggregate deposits nevertheless amounted to more than .§3.50,000,000 in 1876, a wonderful result when we consider the small sums of which it was made up. Another important consideration in favor of funding a large por- tion of our national debt among our own people is that thereby the interest on that portion of the debt would be kept at home instead of being sent abroad. The statistics of the wealth of the country show that at least $1,-500,000,000 of the public debt might readily be placed in the hands of our own people by a judiciously managed popular loan. Such a course would stop the drain of gold from the country to pay interest, and to that extent strengthen our entire tinancial system by keeping at home a large portion of the $84,000,000 which our mines annually produce. This policy would relieve us from dependence upon foreign coun- tries, a most desirable consummation, inasmuch as the debtor is always to a certain extent dependent upon the creditor. It would render tho creditor class in our country numerous and equalize the distribution of wealth, and thereby render overgrown fortunes less common. The fact that the national debt of France is held by her own ])eople is the real secret of the success of her iinanciftl system. In 1H()7 the debt of France was lield by 1,005,6^3 persons, and it is now estimated liy good authorities at more than double that number. The public debt of that country is §4,695,600,000, or more than double ours. She has a less population than the United States, and her smaller territory has been recently devastated both by a foreign invasion and a do- mestic insurrecti(tn ; and yet her linaiices have nourished through it all. The ability of France to pay the va,st sum of ,sl, 000,000,000 as a war indemnity to Germany and at the same time preserve tlu' credit of the nation and keej) her finances in a sound condition can only be accounted for by the fact that she owes her debt to her own people. Our country lujs never yet experienced the full advantages of a pojiular loan. The jmstal savings-bank system affords the means of HO doing, and at the same time of furnishing the ])eople with much- needed facilities for investing their suriilus earnings. In this con- Dtctiou permit me to remark that in my opinion one of the chief benefits of these instituti,()t)3,'J04 acres. It has been estimated that these lands, if embraced in one body, would form a territorial area larger than Texas, or nearly live times as large as the State of New York. Indeed there arc single comi»anie8 which own a larger extent of ter- ritory than that possessed by many of the most cons])i(uous and pow- erful states wiiioli have jihiyed a great i)art in the iiistory of the world. If we consider tiie im](cnal domains of some of these railroad com- panies it will not seem strange to ns that tiiey siiould take ujjon them- selves sucli lianghty airs, and treat the individual States of tiiis Union as their vassals. I am unwilling, sir, by my vote to increase tlie number of the.se dictatorial and dangerous cori)orations, or the iu- lluence of those now in existence. I am well aware of the fact that 13 the railroads already built have vastly increased the commercial facil- ities of the nation, and that under this policy the Pacific shores of our Republic have been bound to the East by iron bauds and by the benigu influences of rapid mercantile intercourse, but I cannot shut my eyes to the evils which the system as an entirety has inflicted upon the country. In particular when I consider this subject with reference to the aid asked at our hands for the Southern Pacitic Railroad, I am unable to find any sufificient reasons for supporting that measure. We already possess ami)le facilities for the present amount of our commerce with the Pacific coast. The benefits of the success of the scheme to build that road by Government aid would inure to the advantage of a cor- poration rather than of the whole country. So far as the interests of the eighteen millions of people who live in the Mississippi Valley and of the nation at large are concerned they would in my opinion be much more eftectually promoted by improving the navigation of the Mis- sissippi River and restoring the city of New Orleans to its former importance as a center of trade. I hold, sir, that the interests of the people will best be promoted by multiplying the number of our com- mercial centers, and particularly by availing ourselves to the utmost of the lakes and great water-courses of our coiintry as channels for our commerce and as the natural competitors of the great trunk lines of railroad. In this connection allow me to read an extract from a recent article in the Cincinnati Commercial, which sets forth very clearly the cheapness of water transportation, a subject of great im- portance to the people of the Mississippi Valley. The Commercial says: The tow-boat Josh Williams is on her way to New Orleans with a tow of thirty two barges containing over six hundred thousand bushels of coal, exclusive of her own fuel, being tlie largest tow ever taken to Xew Orleans or anywhere else in the world. Her freight biU, at three cents per Itushel, amounts to §18,000. It would take eighteen hundred cars, of three hundred and thirty-three bushels to the car, which is an overload for a car, to transport this amount of coal. At SIO per ton or $100 per car, which would be a fair price for the distance by rail, the fi-eight bill would amount to §160,000 or .$102,000 more by rail than by river. The tow will be taken from Pittsburgh to New Orleans in fourteen or fifteen days. It would re(iuire one hundred trains of eighteen cars to the train to trans- port this one tow of six hundred thousand bushels of coal, and eveu if it made the usual speed of fast freight lines it would take one whole summer to put it through by rail. This statement shows the wonderful superiority of the river over rail facilities. In view of these facts I therefore feel that it is much more impor- tant, so far as the interests of not only the Mississippi Valley but of the entire nation are concerned, tbat the treasures of the National Government should be expended in improving the facilities for cheap water transportation rather than that they should be wasted upon enterprises like the Southern Pacific Railroad, which, to say the least, are of doubtful present utility. Before I can favor any schemes of that character I would first like to see the railroads already chartered show a greater disposition to respect the rights of the Government and the people than they are now doing. In this connection I may remark that inasmuch as the development of our internal commerce is largely dependent upon that with foreign countries, I am in favor of encouraging the latter by all such legislation as may be con.sistent ■with sound public policy. Special ett'orts should be made to increase our trade with Brazil and other South American states. It naturally belongs to us and could be made mutually advantageous to us and to them. THE LAHOR QfESTlON. Mr. Speaker, I feel that my review of the present political situa- 14 tion would be very imperfect if I should omit to discuss the labor question, which is now considered in every civilized country on the globe a question of supreme importance. Labor, sir, is the law of the universe, and I hold that its protection should be the great ob- ject of government. The state which fails to protect this great source of its prosperity comes short of fulfilling the purpose for which gov- ernments are instituted. Although labor is the basis of society, it has in all ages been greatly oppressed, and it may truly be said that civilization has advanced just iu proportion as labor has been eman- cipated. The republican party, by the abolition of slavery, did more to vindicate the rights and dignity of labor than any other event since the overthrow of the feudal system in Europe. Our party has just reason for being proud of its record ou this subject, whire on the other hand the democratic party can never free itself from the opprobrium of having upheld slavery until the very last. And to-day, if you find a mau who has no faith iu popular government and who believes that slavery ought never to have been abolished, you will be sure to find that man voting the democratic ticket. The history of labor iu antiquity and in the middle ages is but a history of the servitude of the great mass of the industrial classes. As a matter of coui-se very erroneous views prevailed in those times as to worth of labor and to rights of the laborer. It is to the preva- lence of wrong ideas upon this subject that the ruin of many states, both in ancient and modern days, may be traced. Wealth and lux- uries accuumlated by unrequited labor bring a curse with them which will always ultimately ruin both individuals and commonwealths. There is no more impressive lesson taught by all past history than that the i)ro82)erity of nations depends u])on just laws for the protec- tion of labor. To this cause as nmch as to any other our country owes the wonderful prosperity which it has enjoyed. Indeed, in the com- paratively simple and plain condition of society which existed here for a long time, the rewards of labor, iu the North at least, were so certain and so ample that the labor question attracted but little at- tention. Now, unfortunately, aditterentstate of thingsexists, brought about by numy causes, but chietiy by tiie enormous fortunes made by unjust means during the war, and by the growth of powerful rail- road corporations and other monopolies, wiicreby a few meu have been enabled to acquire enormous fortunes at the expense of the many. Unwise legislation not sanctioned by sound principles of political economy also had its share in placing unjust burdens ou the laborer. During the last year the country witnessed with consternation out- breaks of violence among the workingnien, which seemed to threaten the very existence of society itself. That violence was but the out- ward symptom of a deeply diseased condition of the body-politic, and it therefore becomes us as physicians called upon to cure the ills of state to make ourselves thoroughly acquainted with both the causes and the character of the malady we are to treat. Thecausesof the dis- ease are numerous atld somewhat complicated. It would reijuire more time than I have to-day to define and trace them all, and I there- fore only enumerate in addition to those I specified a nu)ment ago, and .IS some of the most patent, the organized schemes of robbery by wliicli through watered stock, wrecked insurance companies, and other dishonest devices enonuous fortunes have been acquired. The dangers of communism, anil all other forms of social disonler, can best be reuH)ved by just and eipial laws and such legislation as will encourage pnuluctiou ajul protect the laborer. 15 The commercial questious in wliicli the laborer is most interested are, perhaps, the currency, cheap transportation, and the taritf. Thanks to the triumph of republican policy, the laborer is now paid in money at about par with gold, and of course with a purchasing power cor- respondingly increased, cheap transportation can best be secured, national control of insterstate commerce, and liberal appropriations for the improvement of the harbors and navigable waters of the coun- try, and by wisely fostering our foreign trade. The tariff, both as a system of taxation and as a method for the protection of American industry, affects the interests of laborers in many ways, both directly and indirectly. Under the protective system which has been maintained for many years by the jiolicy of the republican party numerous branches of American manufactures have been so well fostered that we are now able not only to supply the wants of our own country but to cora- jiete in many foreign markets with other nations with the products of our factories. We are constantly deriving more and more benefit from the benign i)olicy by which our domestic industries are pro- tected from competition with the cheap labor of other countries. A striking proof of the popularity of the protective policy of the repub- lican party is afforded by the fact that although no petitions have been received by this Congress asking for a change in the tariff' over one hundred thousand workingmen have petitioned for a revision of the existing tariff" laws by an increase of at least 10 per cent, of the exist- ing rates. One of the most essential requisites for keeping the manufacturing interests of a nation flourishing is that the tariff' laws should be sta- ble, for citizens will always hesitate to engage in new enterprises, or to employ labor freely in those already commenced as long as changes are threatened in the policy of the Government. It is just such an injury as this which the democratic party at the present session in- flicted upon the industrial interests of the country. The chairman of the Committee of Ways and Means announced early in the session that his committee would introduce a bill to reduce the tariff. The mere announcement of such an intention at once paralyzed many of the most important industrial interests of the nation, throw thou- sands of men out of employment, and added vastly to the already wide-spread suftering throughout the land. The history of the eff'orts of the chairman of that committee to force his ill-considered, unwise, and destructive bill through this House, and his inability to get it through with a good working party majority nominally at his back, should warn the country of how dangerous an experiment it is to give such a demoralized, unstable, and disorganized party the ascend- ency. So far as the action of the majority of this House upon great political question is concerned, it must impress the country with the idea that it is far from being a band of enlightened and trained states- men. Although the effort to pass that bill at this session has been de- feated, it will nevertheless be kept hanging over the country until next winter to paralyze our industries, which would likely otherwise flourish beyond precedent. It is but little short of criminal to make at any time sudden and radical changes in tariff laws, since by so doing many 1)ranches of industry nuist be iuevital)ly ruined. In just- ice to those who have invested their means in manufacturing, modi- fications of the tariff' should always be made slowly and after long notice. The democrats in this House have pursued the opposite course, and have thereby inflicted losses upon the business of the 16 country amounting to millions of dollars besides causing an incal- culable amount of suti'ering. ItEUELLION CAUSE OF OUR FINANCIAL TROUBLES. It has been the custom of democratic orators to attribute the crisis of 1873 and the hard times which followed that event to the contrac- tion policy of the republican party. Such a charge is unjust, illogi- cal, and false. Every intelligent man knows that the democratic re- bellion of 1861 was the prime cause of nearly all the social and finan- cial evils which have afflicted the country since that date. That re- bellion cost us not merely myriads of precious lives and vast treas- ures of money, but it left us with a great debt, our people demoral- ized by the corrupting influences inseparable from war, and with an inflated and depreciated currency. The republican leaders in that crisis were wise and patriotic statesmen. Believing that the best in- terests of the people would be promoted by a return to specie pay- ment, they did not hesitate to adopt that policy. After having been repeatedly sustained by the people at the polls the work has been virtually accomplished. The process has been a hard one and caused much suftering, but those are to blame for that who made inflation necessary, rather than those who pursued the only course by which the sound currency provided by the Constitution could be restored to the people. Many of the causes of the hard times which the country has expe- rienced within the last few years were, however, quite independent of contraction. One of these was overproduction. Many branches of industry were expanded much beyond the actual necessities of the country. Persons engaged in such kinds of employment found them- selves suddenly thrown out of work by the failure of the demand for the products of their industry which had been artificially pushed to an extent far exceeding the ])resent needs of the country. The prom- inent examples of this condition of affairs occurred in "the iron and coal regions. The sudden cessation in the demand for iron and coal caused by the failure of the speculative demand in 187:5 left concen- trated at the centers of those industries thousands of men for whose labor then no demand existed. A large portion of the iron and coal was speculative, and far more mines were opened than were needed to meet the immediate demands of the country, and when operations were necessarily suspended, the siir[tlns laborers had either to sufl'er from want or find employment in other branches of labor less crowded. The latter alternative was by no means easy, as they were often not familiar with any other sort of business, and even when they desired to seek other employ- ment they frerjuently lacked the means to do so. This condition of things was known to the democratic financiers in this House. Under such circumstances it was the obvious duty of Congress to so legis- late as to foster and revive our nianufacturing interests so as to in- crease the demand for iron and coal, thereby giving employment to these sufieriiig men. How has the democratic party met the demand of these laboring-men for relief ? Hy offering the Wood tarifi' bill, which, if adopted, would close still more factories and add thou- sands of additional recruits to the great army of the unemi)loyed. I refer to these facts to sh(»\v liow utterly iiuonipetent the demo- cratic party is to deal with the labor question, for it advocates a juilicy wliich if adojjted would only aggravate still further the evils from which the laboring-u)en are sutliring. If they wish relief they must in the future, as in the past, look to the party which removed 17 Me disgraceful badge of slavery from labor, which has given the lyjorer honest money, which has always upheld free schools, a free ^ress, freedom of conscience, and all the cardinal principles of human M)erty. THE ARMY. 1 do not deem it necessary to make any argument to this House as %i the expediency of maintaining an efficient regular army for na- ^nal purposes. Such a policy is approved both by the practice and iiSe teachings of the most enlightened and distinguished statesmen S^9nl the earliest days of the Eejjublic down to the present time. In 3ig40, for example, I'tind that the Army consisted of nearly thirteen 'SSousand enlisted men. If we merely take into account the increase TSfhich has since taken place in om- population and territory, our Army, if proportionately increased, would contain about thirty thou- sand men. In times past, from the very foundation of the Government down, asany spirited debates on Army bills occurred in this House. Until the ^fe'mocrats obtained a maj(n-ity in the last and in the present Congress ih.& discussions of this subject always breathed a spirit of admiration Sar and of gratitude to the gallant men and officers of the Army for 1^6 bravery and self-devotion of their defense of the property, the JSberty, and the lives of the American jjeople upon many a well-fought lattle-tield. It was reserved for the democrats in the last and pres- flHit House to manifest, without disguise, a base, shameful, and malig- S3ut hatred of the Army, and to show a desire to turn out the war- ssarred veterans on the world to endure penury and want. The de- Mtes here at this session have abounded in evidences of the spiteful 3atred of the democratic majority to our brave and noble Army, and 1 eite as conclusive proof of the spirit by which that party is ani- jisated the following section from a bill reported by the chairman of Sle Committee on Military Alfairs. It is as follows: ^c. 41. That all troops herein provided for, and all others authorized by exist- feg law, including all officers of every grade and in every department of the Army, a&all be retained in the service of the United States so long as Congress shall pro- ■«aae for their support by specific appropriations for that jjiirpose at or before the eq[>iration of the last preceding fiscal year for which such appropriations have been aBomade. Such refusal or neglect shall be equivalent to an express act for the aboii- 1fe>n of the military establishment, and the Army shall forthwith be disbanded. It is a humiliating and disgraceful thing that such a proposition as. this should have been made in the Americau Congress. It might M well styled a bill to render treason and rebellion easy and safe. Why this sudden hostility to the Army ? Why this great anxiety to «iipple it and to even totally disband it ? Experience and recent •wents in the history of our country can leave no doubt iu the mind «£ any intelligent and patriotic citizen as to the motives which in- a^Hted this action. When the democrats were preparing for the great jtbellion of 18(il they began their unholy work by crippling the Army and scattering the Navy to the most remote quarters of the It is a somewhat ominous circumstance that this intense hostility i»the Army has manifested itself sinmltaneously with the inaugura- ■fem of the revolutionary movement by which the luajority are seek- ing to open up the question as to the presidential title. The record of the democratic party is so bad that no loyal citizen can witness their conduct in regard to the matter without the gravest apprehen- aaons as to their designs. The disbandment of the Army would cer- ♦aiuly aid them in their schemes for Mexicauiziug this country. 2 ST 18 But other reasons are not wanting for this democratic hostility to the Army. It is essential to the success of the shot-gun policy in the South that the danger should be removed of military interference witli that damnable scheme for maintaining democratic supremacy in that region. Uy intimidation and bloodshed a large body of true and loyjil citizens of the South have been practically disfranchised. In tlic name of democracy free speech has been silenced and liberty throttled in nearly every one of the States lately in rebellion. Tliis is a wrong which must be righted, and the American people will never rest contented until it is done. They will not permit the only class of citizens in that region who were loyal to the Union to be deprived of citizenship and threatened with" still greater evils. Bad as their condition is, there is danger that it may become still worse, for we find democratic papers in Mississippi like the Colum- bus Democrat and the Okalona States vehemently insisting n\nm the right of that State to restore slavery. These journals claim that the constitutional amendments were never legally adopted, and that con- sequently the colored race have no rights which white men are bound to respect. If these Bourbon leaders could have their own way, the colored citizens there would without doubt be soon reduced to a con- dition of serfdom, if not of slavery. In the light of what has already been accomplished in Mississippi, such a result does not seem improb- able. In 1872 the presidential vote stood — Grant, (republican) SI 91G Greeley, (democrat and independent) 47' 191 Republican majority 34 7-25 The shot-gun policy having been subsequently adopted, we find in 1870 the following marvelous change: Tilden, (democrat) Ijo 173 Hayes, (republican) 50' (J05 Democratic majority 49 5(53 In the light of what has thus been effected in Mississippi by in- timidation and violence, is it not rather ominous to find leading jour- nals ill a State where Jefi". Davs is admired as the noblest of statesmen and i)urest of patriots advocating the doctrine that the negroes are not legally free men? Is there no remedy for these wrongs? I hold that there is. I find iTi the Constitution of the United States the following provision, namely: The I'nitcd States shall uuarantco to every State in this Fnion a repnblican form of jroveruniciit, and shall protect each of them against iuvasioii : aixi on the appli- cation of the I.ei;islature, or of the executive, (when the Legislature cannot be con- veneil.) .igainst domestic violence. Wliat sort of a rei»iiblicau government do those States possess in whieii a majority of the citizens are practically disfranchised? The truth of the matter is that in a nnmberof the S(uithern States a con- dition of afVairs exists which calls for the interference of the General Oovernmeut to make good this constitutional guarantee, backed up if necessary by sutlicieiit military force to protect and enforce the rights of the humblest of the citizens of that region. I hold, sir, that tlie section of the Constitution wliich I have just read was in- tended for practical purposes, and that it should protect every citizen in the enjoyment of life, liberty, and property. I hold that there is 19 sucli a thing as American citizenship, and that no such outrages as the Chisholm massacre should be allowed to go unpunished by the National Government. For many years our citizens have beeu*^ sub- jected to such treatment in the Southern States as woukl be, as be- tween our country and foreign powers, a just cause for war. A military force is everywhere recognized as an essential arm of good government. Wise statesmanship dictates that that force should be sufficiently large to accomplish all the ends of good government. No one can deny that our country needs a considerable army, not only for defense against foreign foes and Indians, but for the suppression of domestic violence. Our territory is so extensive that an army of twenty-five thousand men is barely sufficient for the services required of it. Congress would be wanting in its duty should it fail to pass all the laws needed for the protection of American citizens in their con- stitutional rights and jirovide the means of effectually enforcing those laws. The amendment of the internal-revenue law adopted last Monday, prohibiting the transfer of suits against internal-rev- enue officers from State to Federal courts, takes from the General Government the power to administer its own laws within the States. When considered in connection with the action of the House the other day iu reducing the Army so that it must be powerless in the hands of the Federal Government to enforce law, it has to me a deep political significance. If there is to be but one national existence there can be but one sovereignty. An army in a republic like ours is but a subordinate agent of the civil power in maintaining law and order. Whenever, therefore, an occasion arises for a lawful use of the Army it should be used promptly and energetically, whether needed in the East or the West, the North or the South. Moreover, under such circumstances, an Executive is false to liberty and false to the ijrinciples of representative government, a fraud and a failure who fails to use the Army to enforce the laws for the protection of the rights and liberties of the humblest citizens. REVOLUTION. I cannot conclude these remarks, sir, without arraigning the dem- ocratic party for its recklessness in opening up the question of the presidential title. I do this not because I fear the result of a fair examination into that subject. Now that the investigation has been gone into, I only ask that all the facts be brought to light, not only in South Carolina, Florida, and Louisiana, but in all the other South- ern States, as well as iu New York, Oregon, and in the city of Cin- cinnati. The more thorough and complete the investigations the more clearly will it appear to all the world that Hayes and Wheeler legally received a majority of electoral votes. I therefore deplore the agita- tion of this question only because it will retard the revival of busi- ness prosperity, and thereby inflict a great injury upon all classes of citizens and prolong still further the sufferings of the poor and the unemployed. I denounce the movement as revolutionary and wicked and as conceived in the same spirit which planned the rebellion of 1861. The record of the majority of this House, which was already bad, has by this last act discredited the earlier history of the party it represents. The present session of the democratic House is now drawing to a close, and upon reviewing its work I am confident that the verdict of the people will be that it has been a failure. When it assembled prices fell and stagnation of business |began. It found thousands of workmen out of employment, and has jiursued such a course as to LibKHKY Uf- LUNL.Kti>i> 20 013 787 050 2 add tlioiisiinds more to their miinhers. At a time when the business of tlie country ie(iuired peace and quiet, it paralyzed the industry of the nation by opening up the jiresidential question, thereby rendering all business enteriu'isos uncertain and unsafe. Partisanshij) rather than right has determined who should occujjy the contested seats on this lloor, and the young Commonwealth of Colorado, in particular, was grossly outraged by having her legally elected Ilepresentative ejected from this House. Finally, although no party controlling a majority of the popular branch of Congress ever had a better opportunity to win the grati- tude of Ihe people, never before has a party so utterly failed to come up to their just expectations. The entire course of the democratic majority of this House has been marked by incompetency, blunders, and failures. Taught by this bitter experience let us hope that the people will see to it that the next House is placed under the control of men liberal and progressive, men who will cherish the rights and liberties of the j)eople, foster free education, protect labor, maintain a sound system of tinance, aud so cultivate the arts of peace that we may have lasting prosperity.