CHAPTER XII.

VAN BUREN'S ADMINISTRATION,

1837-1841.

PRESIDENT'S POLICY.

Van Buren continued Jackson's cabinet, and promised "to follow in the footsteps of his illustrious predecessor." The reduced democratic majority in the non-slaveholding states which he had received, made it apparent that a re-election must come, if at all, from the south. He improved the earliest opportunities of making advances in that direction, and declared that he "went into the Presidential chair the inflexible and uncompromising opponent of every attempt on the part of Congress to abolish slavery in the District of Columbia, against the wishes of the slaveholding states; and, with equal determination, he would resist the slightest interference with it in the states where it existed."

PANIC OF '37.

The circumstances attending the accession of the new President to power were very inauspicious. The doing away with the United States bank, and the making of gold and silver the medium of exchange, produced a money pressure, which culminated in May, 1837. During this month the banks of New York suspended specie payment. Their example was followed by other banks throughout the country. Commercial distress and business prostration followed immediately. Property depreciated, and the whole country was filled with distress and consternation. This condition of things was the more embarrassing to the new administration,

because it had grown out of measures enacted and sanctioned by the previous one, to the continuation of which Van Buren had pledged himself. He was urged to repeal the specie circular, and call an extra session of Congress.

Congress met September 4, 1837. The democrats were in Twenty-fifth Congress, the majority, but the whigs had made Extra Session. great gains. James K. Polk, of Tennessee, was elected Speaker. The President, in his message, went into a lengthly discussion of the causes instrumental in bringing about such a condition of affairs, and held that the government should not attempt to interfere directly with the panie, but let it right itself, which it would finally do more easily and satisfactorily than could be done in any other way. He held that the panic was due, in large part, to the overstimulated condition of commerce and trade, engendered by an excessive issue of bank paper, previous to the issuing of the "specie circular," and that the country must look to the development of its resources as a means of bridging over the financial distress. He, therefore, refused to rescind the "specie circular," but proposed, instead, a

SUB-TREASURY.

This plan met with strong opposition from the whigs, and some of the democrats, the latter assuming the title of "conservatives," and, as a rule, voting with the whigs on financial measures. The measure establishing the sub-treasury, though passed in the Senate, was lost in the House; but an act was passed authorizing the issue of $10,000,000 in treasury notes, and giving merchants further time on their revenue bonds. Congress adjourned October 16.

Congress met December 4, 1837. The bill for the estabTwenty-fifth Congress,lishment of the independent treasury First Session. was again recommended by the President, and again passed in the Senate, but killed in the House.

As a measure of relief to business, a joint resolution was passed, authorizing the secretary of the treasury to receive the notes of specie-paying banks in payment for public lands. This annulled the specie circular.

ANNEXATION OF TEXAS.

During this session a bill was offered by Senator Preston, of South Carolina, which proposed as follows: "Be it Resolved, That with the consent of the said state previously had, and whenever it can be effected consistently with the faith and treaty stipulations of the United States, it is desirable and expedient to re-annex the said territory to the United States." This was the beginning of a great agitation, involving the extension of slavery and the dangerous supremacy of the slave power. After some discussion the subject was laid on the table. Congress adjourned July 9, 1838.

STATE BANK DEPOSITORIES VS. SUB-TREASURY.

In the course of the controversies upon the bank and financial matters generally, it will be observed that each party in time changed its position and involved itself in inconsistency. The whigs, during Jackson's administration, opposed the use of state banks as depositories for government moneys and favored a sub-treasury. When Van Buren recommended the latter scheme the whigs brought all their influence to bear against it, and advocated state banks as depositories instead. In justification of this change of position they argued that frequent changes in the policy of the government were more injurious than the "intrinsic defects of any particular plan of finance." The democrats, who were supporting the administration, were involved in the same inconsistency. Under Jackson's last term they had favored the state bank system, while now they were arrayed squarely against it. This change the people could not understand,

and, as a consequence, their views upon the question were greatly confused.

THE RIGHT OF PETITION.

There was little of party interest occurred this session. Twenty-fifth Congress, Congress and the administration apSecond Session. Speared disinclined to interfere in the financial troubles of the country, which tended to weaken the democratic party in its hold upon the people. During this session the question of the "right of petition," which was sprung in Jackson's administration, came up. Mr. Atherton reported a series of resolutions, which closed with the provision "that every petition, or paper, in any way relating to slavery, as aforesaid, should, on presentation, without further action thereon, be laid on the table without being debated or referred." This was adopted by majorities ranging from forty-eight to fifty-eight. Since the question had begun to be agitated, similar resolutions had been passed at three other sessions. In 1840, one was passed by a majority of six, and in 1845 the rule was rescinded and Congress "consented to receive and treat respectfully all petitions on the subject of slavery." Congress adjourned March 3, 1839.

THE ABOLITION PARTY.

The passage of resolutions against the right of petition, and the strong pressure brought to bear to prohibit anti-slavery literature from being carried in the mails, aroused quite an excitement in the north, and many who had never entertained any sympathy for the abolitionists now sided with them. By this means they grew in strength till, in November, 1839, they were enabled to organize; which they did at Warsaw, New York, under the name of the abolition party. (Plate VI.)

LIBERTY PARTY.

The state convention of the New York abolitionists, which

met at Arcade, in January, 1840, issued a call for a national convention, to meet at Albany, to consider the advisability of forming a political party of their own. The anti-slavery leaders generally assumed an attitude of indifference or coolness towards the proposed movement, and the Massachusetts anti-slavery society issued an address, in which it took strong grounds against it. When the convention met there were found to be only seventeen delegates present, outside of New York. Notwithstanding, a new political party was formed, and the name "Liberty party" adopted. It drew strength from both democrats and whigs. (Plate VI.)

Congress met December 2, 1839. The whigs had made Twenty-sixth Congress, great gains, and were quite hopeful First Session. of having a majority in the House. A contest arose over the New Jersey delegation, there being five whig candidates with certificates of election, and five democrats, contesting their claim on the grounds of a miscount in one county. The congressmen were at this time chosen on a general ticket by the whole state. The question was not settled until March, 1840, when the democratic delegation was admitted to their seats. This session is noted as being the one in which the independent treasury scheme finally succeeded. It was passed by both Houses, and signed by the President. This completely divorced the bank and state, a thing which the President had greatly desired. The policy of making appropriations for internal improvements was done away with under the strict constructionist influence of the President. Congress adjourned July 21, 1840.

ELECTION OF 1840.

In the campaign of 1840, the abolitionists appeared as a distinctive party. At their convention in 1839, they had nominated James G. Birney and Francis J. Lemoyne. These nominations were declined; but the organization, the follow