supplements to this were subsequently enacted, and a most onerous and exacting duty was imposed upon the executive in enforcing their provisions.

The reconstruction of the states recently in rebellion now progressed rapidly under the 14th amendment, which guaranteed equal civil rights to all citizens, and in July, 1870, all the states had ratified this amendment and been readmitted to the Union. The votes of Arkansas and Louisiana were not received by congress in the presidential election of 1872; but this was on account of fraud and illegal practices at the polls. In the president's annual message to congress, December, 1869, he recommended the passage of an act authorizing the funding of the public debt at a lower rate of interest. This was followed by the passing of an act, approved 14 July, 1870, which authorized the secretary of the treasury to issue bonds to the amount of $200,000,000, bearing interest at the rate of 5 per cent., $300,000,000 at the rate of 42 per cent., and $1,000,000,ooo at the rate of 4 per cent. Under this act, and subsequent amendments thereto, the national debt has been refunded from time to time, until the average rate of actual interest does not exceed 32 per cent.

In 1870 President Grant sent special messages to congress urging upon that body the necessity of building up our merchant marine, and the adopting of methods for increasing our foreign commerce, and regarding our relations with Spain, which had become

strained in consequence of the action of Spanish officials.

in Cuba. In August of this year, soon after the beginning of the war between France and Ger

many, he issued a proclamation of neutrality as to both of those nations, and defined the duties of Americans toward the belligerents. He directed the U. S. minister to France, Elihu B. Washburne, to remain at his post in Paris, and extend the protection of the American flag to peoples of all nationalities. who were without the protection of their own flag-an act that saved much suffering and loss to individuals.

In his annual message in 1870, the president took strong ground in favor of civil service reform, saying: "I would have it govern, not the tenure, but the manner of making all appointments," and "The present system does not secure the best men, and not even fit men, for public place." This subject gave rise to a spirited controversy in congress, many declaring the principle to be wholly un-American, and calculated to build up a favored class, who would be in great measure independent of their executive chiefs, etc. But on 3 March, 1871, an act was passed authorizing the president to appoint a civil service commission, and to prescribe rules and regulations governing the appointments of civil officers. He appointed seven gentlemen on this commission, selecting those who had been most prominent in advocating the measure, and transmitted their report to congress, with a special message urging favorable action. The plan recommended, which provided for competitive examinations, was approved, and was put into operation 1 Jan., 1872. An appropriation was procured for the expenses of the commission and the carrying out of the plan, but congress gave little countenance to the measure. Up to 1874 the president continued to urge that body to give legislative sanction to the rules and methods proposed, and declared that it was impossible to maintain the system without the "positive support of congress." He finally notified congress that if it adjourned without action he would regard it as a disapproval of the system, and would abandon it; but he continued it until its expenses were no longer provided for. The agitation of the question had been productive of much good. The seeds thus sown had taken deep root in the minds of the people, and bore good fruit in after years. In March, 1871, the disorders in the southern states, growing out of conflicts between the whites and the blacks, had assumed such proportions that the president sent a special message to congress requesting "such legislation as shall effectually secure life, liberty, and property, and the enforcement of law in all parts of the United States." On 20 April congress passed an act that authorized the president to suspend, under certain defined circumstances, the writ of habeas corpus in any district, and to use the army and navy in suppressing insurrections. He issued a proclamation, 4 May, ordering all unlawful armed bands to disperse, and, after expressing his

reluctance to use the extraordinary power conferred upon him, said he would "not hesitate to exhaust the power thus vested in the executive, whenever and wherever it shall become necessary to do so for the purpose of securing to all citizens of the United States the peaceful enjoyment of the rights. guaranteed to them by the constitution and the laws." As this did not produce the desired effect, he issued a proclamation of warning, 12 Oct., and on the 17th suspended the writ of habeas corpus in parts of North and South Carolina. He followed this by vigorous prosecutions, which resulted in sending a number of prominent offenders to prison, and the outrages soon ceased. The most important measure of foreign policy during President Grant's administration was the treaty with Great Britain of 8 May, 1871, known as the treaty of Washington. Early in his administration the president had begun negotiations looking to the settlement of the claims made by the United States against Great Britain, arising from the depredations upon American vessels and commerce by Confederate cruisers that had been fitted out or obtained supplies in British ports, and the questions growing out of the Canadian fishery disputes and the location of our northern boundary-line at its junction with the Pacific ocean, which left the jurisdiction of the island of San Juan in controversy. Neither of the two last-mentioned questions had been settled by the treaty of peace of 1783, or any subsequent treaties. The fishery question was referred to arbitration by three commissioners, one to be chosen by the United States, one by Great Britain, and the third by the other two, provided they should make a choice within a stated time, otherwise the selection to be made by the Emperor of Austria. The two commissioners having failed to agree, the third was named by the Austrian emperor. The award was unsatisfactory to the United States, the decision of the commission was severely criticised, and the dispute has from time to time been reopened to the detriment of both countries. The San Juan question was referred to the emperor of Germany as arbitrator, with sole power. His award fully sustained the claim of the United States. A high joint commission had assembled at Washington, composed of American and English statesmen, which formulated the treaty of Washington, and by its terms the claims against Great Britain. growing out of the operations of the Confederate cruisers,

commonly known as the "Alabama claims," were referred to a court of arbitration, which held its session at Geneva, Switzerland. In September, 1872, it awarded the United States the sum of $15,500,000, which was subsequently paid by the British government. War had at one time seemed imminent, . on account of the bitterness felt against Great Britain in consequence of her unfriendly acts during our civil war; but the president was a man who had seen so much of the evils of war that he became a confirmed believer in pacific measures as long as there was hope through such means. In his inaugural address he said: "In regard to foreign policy, I would deal with nations as equitable law requires individuals to deal with each other. . . . I would respect the rights of all nations, demanding equal respect for our own. If others depart from this rule in their dealings with us, we may be compelled to follow their precedent." The adoption of the treaty was a signal triumph for those who advocated the settlement of international disputes by peaceful methods. The adoption of the rules contained in the treaty for the government of neutral nations was of far more importance than the money award. These rules were to govern the action of the two contracting parties, and they agreed to bring them to the notice. of other nations, and invite them to follow the precedent thus established. The rules stipulated that a neutral shall not permit a belligerent to fit out, arm, or equip in its ports any vessel that it has reasonable ground to believe is intended to cruise or carry on war against a nation with which it is at peace and that neither of the contracting parties shall permit a belligerent to make use of its ports or waters as a base of operations against the other. The two nations also agreed to use due diligence to prevent any infraction of these rules.

On 22 May, 1872, the amnesty bill was passed by congress, restoring their civil rights to all but about 350 persons in the south who had held conspicuous positions under the Confederate government. President Grant's first administration had been vigorous and progressive. Important reforms had been inaugurated, and measures of vital moment to the nation, both at home and abroad, had been carried to a successful conclusion in the face of opposition from some of the most prominent men of his own political party. Not a few Republicans became estranged, feeling that they were being ignored

by the executive, and formed themselves into an organization under the name of "Liberal Republicans." This opposition resulted in the holding of a convention in Cincinnati, and the nomination of Horace Greeley as its candidate for the presidency, which nomination was afterward adopted by the Democratic party. The Republican convention met in Philadelphia, 5 June, 1872, renominated President Grant, and adopted a platform approving the principles advocated by him in his previous administration. When the election took place, he carried 31 states, with a popular vote of 3,597,070, the largest that had ever been given for any president, while Greeley carried 6 states with a popular vote of 2,834,079. Grant received 286 electoral votes against 66 that would have been cast for Mr. Greeley if he had lived. The 14 votes of Arkansas and Louisiana were not counted, because of fraud and illegality in the election. The canvass had been one of the most aggressive and exciting in the history of the country, and abounded in personal attacks upon the candidates. Gen. Grant, in his inaugural address on 4 March, 1873, said, in alluding to the personal abuse that had been aimed at him: "Today I feel that I can disregard it, in view of your verdict, which I gratefully accept as my vindication." term was a continuation of the policy that had characterized his first. His foreign policy was steadfast, dignified, and just, always exhibiting a conscientious regard for the rights of foreign nations, and at the same time maintaining the rights of our own. He instructed the ministers to China and Japan to deal with those powers as "we would wish a strong nation to deal with us if we were weak." During the insurrection in the island of Cuba, which had lasted for several years, a number of American citizens had been arrested by the Spanish authorities, under the pretence that they had been furnishing aid to the insurgents, and American vessels plying in Cuban waters had at times been subjected to much inconvenience. Then matters culminated in the seizure by Spain, without justification, of an American vessel named the "Virginius." The excitement created in the United States by this outrage was intense, and many statesmen were clamorous for war. But the president believed that pacific measures would accomplish a better result, and, by acting with promptness and firmness, he soon wrung from Spain ample apology and full reparation.

His second