of wat, and to have their country desolated. Be it noted that "The concessions made in the manifesto and proclamation by the commissioners, contain a renunciation of every principle upon which the king's ministers have pretended to justify the founda tion, or the pursuit of any one object of the war. Thus the ir retrievable disgrace of having waged a cruel war for anjustifiable and destructive ends, is fixed upon Britain, by a public avowal upon principle, that the terms offered by America in 1774, before the war, ought to have been accepted as foundations of peace, from their own intrinsic equity and merit, as being more beneficial tothe mother country, and more safe to all parties."* Several packages of manifestos, which enclosed a number translated into the German language, and one printed on vellum and signed by lord Carlisle, Sir Henry Clinton, and William Eden, esq. were made up in order to be sent with flags to con gress and the particular states in the union. Congress upon being informed of it, declared that the agents employed to distribute the said papers were not entitled to protection from a flag, while engaged in the prosecution of such nefarious purposes; and re commended it to the several states to secure and keep them in close custody, but at the same time to print the manifestos in the news-papers, to convince the people of the insiduous designs of the commissioners. [Oct. 30.] They also published a manifes to, on their part, in which they complained bitterly of the mode practised by the British in carrying on the war, of the treatment their soldiers and sailors had met with, and of their meanly as sailing the representatives of America with bribes, with deceit, and the servility of adulation. After other charges, expressed in the severest language, they concluded with solemnly declaring→→ "If our enemies presume to execute their threats, or persist in their present career of barbarity, we will take such exemplary vengeance as shall deter others from a like conduct. We appeal to that God who searcheth the hearts of men, for the rectitude of our intentions; and in his holy presence declare, that as we are not moved by any light and hasty suggestions of anger or revenge, so, through every possible change of fortune, we will adhere to this our determination.".

The commission has been attended with the singular circumstance of a letter from the marquis de la Fayette, to the earl of Carlisle, challenging that nobleman, as first commissioner, to the field, there to answer in his own person, and in single combat, for some harsh reflections on the conduct of the French court and nation, which appeared in those public instruments that he and his brethren had issued in their political capacity. The inexperience and heat of youth hurried him into this impropriety against * Hartley.

the

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the advice of his warmest American friends, who foresaw that his challenge would of necessity be slighted.

The other proceedings of congress, which have been passed over, while the negociation has been considered, are now to be related.

Congress being convinced by experience, that the regulation of prices was an evil, and increased instead of lessening the dif ficulties it was meant to cure, recommended in the beginning of June, to the several legislatures that had adopted the measure, the suspension or repeal of their laws for that purpose. The commissary general, col. Wadsworth, had no hope of feeding the army, while the regalating acts prevailed. Before the recom mendation it was supplied by a violation of the acts, or by con tracts made before they took place. [June 27.] Congress ad journed to meet the Thursday following at the state-house in Philadelphia. When a sufficient number of states were repre sented, July 7.] they had before them a packet of letters which had passed between gen. Heath and gen. Philips, consequent to the death of lieut. Richard Brown of the 21st British regiment, belonging to the convention troops at Cambridge. He deter mined upon passing the lines on the 17th of June (in a chaise, between two women of easy virtue) contrary to general orders. The sentry upon stopping him was treated with contempt. The lieutenant would go on without assigning any reason, though repeatedly ordered to stop, on which the sentry shot him through the head at Prospect-hill. The language of Philip's letter upon the occasion, was so offensive, that Heath confined him to his quarters, under a guard; and insisted on his signing a new parole. These measures produced other letters pro and con. The whole were submitted to the inspection of congress, who approv ed of Heath's conduct...

[July 16.] They had before them a paper from Mr. Gerard, wherein he thanked them for the quick dispatch with which they had provided for the first wants of the French squadron; it was accompanied with a memorandum of the provisions that would be further wanted. Congress meaning to procure it upon the easiest terms, appointed a committee to make the purchases; but Mr. Chase one of the Maryland delagates, improved, the knowledge his seat secured him, for directing in season a private ac quaintance to buy; and thereby counteracted the committce so effectually, that they could not answer the end of their appointment. It is no extravagant, conjecture, that Mr. Chase shared in the profits made by his communications.

[Aug. 6.] The hon. Sieur Gerard was introduced to an audience by two members of congress appointed for the purpose, and

and being seated in his chair, his secretary delivered to the president a letter from his most Christian majesty, informing his very dear great friends and allies, that he had nominated the Sieur Gerard, to reside among them in the quality of minister plenipotentiary. The minister was after the reading of it, announced to the house whereupon he arose and addressed congress in a speech, which when finished in the French language, was delivered by his secretary to the president; to which the latter returned an answer in English. A profusion of compliments passed upon the occasion, in the hearing and presence of a numerous audience for the vice-president, the supreme executive council, the speaker and assembly of Pennsylvania, were invited to be there; and each member of congress had the liberty of giving two tickets for the admittance of other persons. An entertainment given by congress to the Sieur Gerard, closed the novel, important and joyful transactions of the day.

[Sept. 11.] Congress resolved upon an application to Sir Henry Clinton for passports to American vessels to transport provisions and fuel to Boston for the use of the convention troops; and that if such passports were not granted within three days after application, or measures adopted by him for supplying them by the 5th of October, they would deem themselves justifiable in removing the said troops to such parts of the United States as they can be best subsisted in. The applications to Sir Henry having had no effect, they resolved on the 16th of October, that the necessary steps should be taken for removing, with all convenient speed, the convention prisoners to Charlotte-ville, in Albemarle county, Virginia.

[Sept. 14.] Congress proceeded to the clection of a minister plenipotentiary to the court of France, and the ballots being taken, Dr. Benjamin Franklin was elected. In their instructions to him on the 26th of October, he was directed to obtain, if possible, the French king's consent for expunging from the treaty of commerce the 11th and 12th articles, as inconsistent with that equality and reciprocity which form the best security for perpetuating the whole. The marquis de la Fayette had entered into arrangements with congress for co-operating with the court of France in an expedition against Canada; the plan of which the doctor was also to lay before the minister. It was proposed that 4 or 5000 French troops should be sent to assist in the business. The marquis's attachment to the American cause and thirst for glory, would naturally engage him in such a project (wherein he would be likely to hold a considerable command) with the utmost purity of intention. But how far Mr. Gerard might artfully insinuate the first idea into his mind, in expectation of introducing a

larger

larger body of French troops into Canada for distant political purposes, to which the marquis was a tatal stranger, cannot be easily ascertained. The docter was to inculcate the certainty of ruining the British fishery on the banks of Newfoundland, and Consequently the British marine by reducing Halifax and Quebec. The importance of such reduction to France on the one hand, and to America on the other, was stated.

The following observations on the finances of America were likewise to be communicated to the French minister.

"At the commencement of the war, it was obvious that the permanent revenues and resources of Great-Britain must eventually overbalance the sudden and impetuous sallies of men contending for freedom on the spur of the occasion, without regular discipline, determinate plan, or permanent means of defence. America having never been much taxed, nor for a continuing: length of time, being without a fixed government, and contended against what was once the lawful authority, had no funds to support the war; and the contest being upon the very question of taxation, the levying of imposts, unless from the last necessity, would have been madness. To borrow from individuals, without any visible means of repaying them, while the loss was certain from ill success, was visionary.A measure therefore which had been early adopted, and thence became familiar to the people, was pursued; this was the issuing of paper notes representing specie, for the redemption of which the public faith was pledged. As these were to circulate from hand to hand, there was no great individual risk unless from holding them too long, and no man refused to receive them for one commodity, while they would purchase every other. This general credit however, did not last long. It menaced so deeply the views of our enemies, who had built their hopes on the defeat of our resources, that they and their partizans used every effort to impeach its value. Their success in one instance of this kind, alway made room for another, because he who could not relieve his wants with our paper would not part with has property to procure it.-To remedy this evil, the states as soon as formed into any shape of legislature, enacted laws to make the continental paper a lawful tender, and indeed to determine its value, fixing it by penalties at the sum of specie expressed on the face of it. These laws produced monopoly throughout. The monopoly of commodities, the interruption of commerce, and the successes of the enemy, produced a depreciation: the laws devised to remedy this evil, either increased or were followed by an increase of it.This demanded more plentiful emissions, thereby increasing the circulating medium to such a degree as not only to exclude all others, but

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furnish

furnish a superabundant quantity to increase the depreciation The several states, instead of laying taxes to defray their own private expences, followed the example of congress, and issued notes of different denominations and forms. Therefore to counterfeit became easier, and the enemy did not neglect to availthemselves of this great, though base advantage; and hence arose a further depreciation. Calling the husbandman frequently to arms, who had indeed lost the incitements to industry from the cheap. ness of the necessaries of life in the beginning, compared with other articles, which took a more rapid rise, soon feduced that abundance which preceded the war; this, added to the greater consumption, together with the ravages and subsistence of the enemy, at length pointed the depreciation to the means of sup port. The issues from this moment became enormous and consequently increased the disease from which they arose, and which must soon have become fatal, had not the successes of America and the alliance with France kept it from sinking entirely. The certainty of its redemption being now evident, we only suffer from the quantity. This however, impairs not only the value simply in itself, but as it calls for continued large emissions, so the certainty that every thing will be dearer than it is, renders every thing dearer than it otherwise would be; and vice versa. Could we possibly absorb a part of the inundation which overwhelms us, every thing would be cheaper, from the certainty that it would become cheaper. The money can be absorbed but three ways The first is by taxation, which cannot reach the evil while the war continues; because the emissions must continue, to supply what is necessary over and above even the nominal produce of taxes; and the taxes cannot be very productive, by reason of the possession of part and ravagement of other parts of the country by the enemy; and also from the weakness of governments yet in their infancy, and not arrived to that power, method and firmness, which are the portion of elder states The second method is by borrowing, and is not efficient, because no interest can tempt men to lend paper now, which paid together with that interest in paper a year hence, will not probably be worth half as much as the principal sum is at present; and whenever the case shall alter, then in proportion to the depreciation will be the loss of the public in what they borrow, to say nothing of the enormous burdens for which they must pay interest in specie, or what is equal to, if so much as what hath been emitted could be borrowed as to render the remainder equally valuable with silver. The last method is by very considerable loans or subsidies in Europe, and is the only mode at once equal to the effect desired, and free from the foregoing exceptions, for