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view of another in July, purporting to come from the same authority, maintaining slavery. Until this was settled they must wait. While on the abstract question of the recognition of belligerence there was much latitude of opinion, he did not hesitate to adopt that interpretation of international law which placed war and all that make for war under the strongest restrictions, believing that in this way he should best promote civilization and obtain new security for international peace.

From the case of Spain he would pass to that of England, contenting himself with a brief explanation. On this subject he had never broken silence except with pain, and he hoped not to say any thing now which would augment difficulties, although when he considered how British anger was aroused by an effort in another place, judged by all who heard it most pacific in character, he did not know that even these few words might not be mistaken. There could be no doubt that they received from England incalculable wronggreater, he had often said, than was ever before received by one civilized Power from another, short of unjust war. He did not say this in bitterness, but in sadness. There could be no doubt that, through English complicity, their carrying trade was transferred to English bottoms; their foreign commerce sacrificed, while England gained what they lost; their blockade rendered more expensive; and, generally, that their war, with all its fearful cost of blood and treasure, was prolonged indefinitely. This terrible complicity began with a wrongful recognition of rebel belligerence, under the shelter of which pirate-ships were built and supplies were sent forth. All this was at the very moment of their mortal agony, in the midst of a struggle for national life, and it was done in support of rebels, whose single declared object of separate existence as a nation was slavery, being in this respect clearly distinguishable from a Power where slavery was tolerated without being made the corner-stone. Such is the case. Who should fix the measure of this great accountability? for the present it was enough to expose it. He made no demand -not a dollar of money-not a word of apology. He showed simply what England had done to them. It would be for her to determine what reparation to offer. It would be for the American people to determine what reparation to require. On this head he contented himself with the aspiration that out of it might come some enduring safeguard for the future, some landmark of humanity. He had little hope of any adequate settlement until their case, in its full extent, had been heard. In all controversies the first stage of justice was to understand the case, and, sooner or later, England must understand theirs.

The English argument, so far as argument could be found in the recent heats, had not in any respect impaired the justice of our complaint. Loudly it was said that there could be no sentimental damages, or damages for wounded feeling; and then their case was dismissed as having nothing but this foundation. Without undertaking to say there was no remedy in the case supposed, he wished

it understood that their complaint was for damages traced directly to England. If the amount was unprecedented, so also was the wrong. The scale of damages was naturally in proportion to the scale of operations. Who among them doubted that these damages were received? The records showed how their commerce suffered, and witnesses without number testified how the war was prolonged. In view of this great wrong, it was a disparagement of international law to say there was no remedy. An eminent English judge once pronounced from the bench that "the law is astute to find a remedy;" but no astuteness was required in this case-nothing but simple justice. Then it was said, Why not consider their good friends in England, and especially those noble working-men who stood by them so bravely? They did consider them always, and give them gratitude for their generous alliance. But they are not England. They trace no damages to them, nor to any class, high or low, but to England-corporate England-through whose Government they suffered. Again, it was asked, Why not exhibit an account against France? For the good reason that while France erred with England in recognition of rebel belligerence, no pirate-ships or blockaderunners were built under shelter of that recognition to prey upon their commerce. The two cases were wide asunder, and they were distinguished by two different phases of the common law. The recognition of rebel belligerence in France was damnum absque injuria, or wrong without injury; but that same recognition in England was damnum cum injurid, or wrong with injury; and it was of this unquestionable injury that they complained.

It could not be doubted that the pendency of this great question would always be a cloud upon the relations of the two Powers when there should be sunshine. Good men on both sides should desire its settlement in such a way as to most promote goodwill and make the best precedent for civilization. There could be no goodwill without justice, nor could any "snap-judgment" make friends, or establish any rule for the future. Sometimes there were whispers of territorial compensation, and Canada was named as the consideration. But he knew little of England or of English liberty, or of that great liberty which was theirs, who supposed such a transfer could be made or received. On each side there was impossibility. Territory might be conveyed, but not a people. He alluded to this suggestion only because it had been made in the public press, and had been answered from England. But the United States could never be indifferent to Canada, nor to the other British provinces, near neighbours and kindred. It was well known, historically, that even before the Declaration of Independence their fathers hoped that Canada would take part with them. The Continental Congress by solemn resolution invited Canada, and appointed a commission with Franklin at its head "to form a union between the colonies and the people of Canada." Long ago the Continental Congress passed away, but the invitation survived, not only in the archives of their history, but in all American hearts, constant and continuing as

when first issued, believing, as they did, that such a union in the fulness of time, with the goodwill of the Mother Country and the accord of both parties, must be the harbinger of infinite good. Nor did he doubt that this would be accomplished. Such a union was clearly foreseen by the late Richard Cobden, who, in a letter to him (Mr. Sumner) dated London, November 7, 1849, wrote, "I agree with you that nature has decided that Canada and the United States must become one for all purposes of intercommunication. Whether they also shall be united in the same federal government must depend upon the two parties to the union. I can assure you that there will be no repetition of the policy of 1776 on our part to prevent our North American colonies from pursuing their interests in their own way. If the people of Canada are tolerably unanimous in wishing to sever the very slight thread which now binds them to this country, I see no reason why, if good faith and ordinary temper be observed, it should not be done amicably."

Nearly twenty years had passed since these prophetic words, and enough had already occurred to give assurance to the rest. Reciprocity, so often desired on both sides, would be transfigured in union. The end was certain; nor would they wait long for its fulfilment. In the procession of events it was now at hand, and he was blind who did not discern it. From the Frozen Sea to the Mexican Gulf, from the Atlantic to the Pacific, the whole vast continent, rich in population and resources, would be the great Republic, one and indivisible, with a common constitution, a common liberty, and a common glory.

Congress reassembled in the beginning of December, and the President transmitted his Annual Message which, being the first of his term of office, we give in extenso, as follows :

:

"TO THE SENATE AND HOUSE OF REPRESENTATIVES :

"In coming before you for the first time as Chief Magistrate of this great nation, it is with gratitude to the Giver of all good for the many benefits we enjoy: we are blessed with peace at home, and are without entangling alliances abroad to forebode trouble; with a territory unsurpassed in fertility, of an area equal to the abundant support of five hundred millions of people, and abounding in every variety of useful mineral in quantity sufficient to supply the world for generations; with exuberant crops; with a variety of climate adapted to the production of every species of earth's riches, and suited to the habits, tastes, and requirements of every living thing; with a population of forty millions of free people, all speaking one language; with facilities for every mortal to acquire an education; with institutions closing to none the avenues to fame or any blessing of fortune that may be coveted; with freedom of the pulpit, the press, and the school; with a revenue flowing into the national treasury beyond the requirements of the government. Happily, harmony is being rapidly restored within our own borders. Manu

factures hitherto unknown in our country are springing up in all sections, producing a degree of national independence unequalled by that of any other power.

"These blessings, and countless others, are entrusted to your care and mine for safe-keeping for the brief period of our tenure of office. In a short time we must, each of us, return to the ranks of the people who have conferred upon us our honours, and account to them for our stewardship. I earnestly desire that neither you nor I may be condemned by a free and enlightened constituency, nor by our

own consciences.

"Emerging from a rebellion of gigantic magnitude, aided as it was by the sympathies and assistance of nations with which we were at peace, eleven States of the Union were, four years ago, left without legal State governments. A national debt had been contracted; American commerce was almost driven from the seas; the industry of one-half of the country had been taken from the control of the capitalist and placed where all labour rightfully belongs-in the keeping of the labourer. The work of restoring State governments loyal to the Union, of protecting and fostering free labour, and providing means for paying the interest on the public debt, has received ample attention from Congress. Although your efforts have not met with the success in all particulars that might have been desired, yet, on the whole, they have been more successful than could have been reasonably anticipated.

"Seven States which passed ordinances of secession have been fully restored to their places in the Union. The eighth, Georgia, held an election at which she ratified her constitution, republican in form, elected a governor, members of Congress, a State legislature, and all other officers required.

"The governor was duly installed, and the legislature met and performed all the acts then required of them by the reconstruction acts of Congress. Subsequently, however, in violation of the constitution which they had just ratified (as since decided by the supreme court of the State), they unseated the coloured members of the Legislature and admitted to seats some members who are disqualified by the third clause of the fourteenth amendment to the Constitution, an article which they themselves had contributed to ratify. Under these circumstances, I would submit to you whether it would not be wise, without delay, to enact a law authorizing the Governor of Georgia to convene the members originally elected to the legislature, requiring each member to take the oath prescribed by the reconstruction acts, and none to be admitted who are ineligible under the third clause of the fourteenth amendment.

"The freedmen, under the protection which they have received, are making rapid progress in learning, and no complaints are heard of lack of industry on their part where they receive fair remuneration for their labour. The means provided for paying the interest on the public debt, with all other expenses of government, are more than ample. The loss of our commerce is the only result of the

late rebellion which has not received sufficient attention from you. To this subject I call your earnest attention. I will not now suggest plans by which this object may be effected, but will, if necessary, make it the subject of a special message during the session of Congress.

"At the March term, Congress by joint resolution authorized the Executive to order elections in the States of Virginia, Mississippi, and Texas, to submit to them the constitutions which each had previously, in convention, framed, and submit the constitutions, either entire or in separate parts, to be voted upon, at the discretion of the Executive. Under this authority elections were called. "In Virginia the election took place on the 6th of July, 1869. The governor and lieutenant-governor elected have been installed. The legislature met and did all required by this resolution and by all the reconstruction acts of Congress, and abstained from all doubtful authority. I recommend that her senators and representatives be promptly admitted to their seats, and that the State be fully restored to its place in the family of States. Elections were called in Mississippi and Texas, to commence on the 30th of November, 1869, and to last two days in Mississippi and four days - in Texas. The elections have taken place, but the result is not known. It is to be hoped that the acts of the legislatures of these States, when they meet, will be such as to receive your approval, and thus close the work of reconstruction.

"Among the evils growing out of the rebellion, and not yet referred to, is that of an irredeemable currency. It is an evil which I hope will receive your most earnest attention. It is a duty, and one of the highest duties of Government, to secure to the citizen a medium of exchange of fixed, unvarying value. This implies a return to a specie basis, and no substitute for it can be devised. It should be commenced now and reached at the earliest practicable moment consistent with a fair regard to the interests of the debtor class. Immediate resumption, if practicable, would not be desirable. It would compel the debtor class to pay, beyond their contracts, the premium on gold at the date of their purchase, and would bring bankruptcy and ruin to thousands. Fluctuations, however, in the paper value of the measure of all values (gold) is detrimental to the interests of trade. It makes the man of business an involuntary gambler, for in all sales where future payment is to be made both parties speculate as to what will be the value of the currency to be paid and received. I earnestly recommend to you, then, such legislation as will ensure a gradual return to specie payments and put an immediate stop to fluctuations in the value of currency.

"The methods to secure the former of these results are as numerous as are the speculators on political economy. To secure the latter, I see but one way, and that is to authorize the Treasury to redeem its own paper, at a fixed price, whenever presented; and to withhold from circulation all currency so redeemed until sold again for gold. "The vast resources of the nation, both developed and undeveloped,

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