of State banks, amounting to fourteen financial history for the last forty years. hundred or more, and the vast and It has been a history of extravagant alarming increase of paper currency, he expansions in the business of the counremarked:-" Thus it appears that try, followed by ruinous contractions." these banks, in the aggregate, have Congress, in my opinion, possess considerably less than one dollar in the power to pass a uniform bankrupt seven of gold and silver compared with law applicable to all banking institu their circulation and deposits. It was tions throughout the United States, and palpable, therefore, that the very first I strongly recommend its exercise. This pressure must drive them to suspension, would make it the irreversible organic and deprive the people of a convertible law of each bank's existence, that a currency, with all its disastrous conse- suspension of specie payments shall quences. It is truly wonderful that produce its civil death. The instinct of they should have so long continued to self-preservation would then compel it preserve their credit, when a demand to perform its duties in such a manner for the payment of one seventh of their as to escape the penalty and preserve immediate liabilities would have driven its life. The existence of banks and them into insolvency. And this is the the circulation of bank paper are so condition of the banks, notwithstanding identified with the habits of our people, that four hundred millions of gold from that they cannot, at this day, be sud California have flowed in upon us within denly abolished without much immedithe last eight years, and the tide still ate injury to the country. If we could continues to flow. Indeed, such has confine them to their appropriate sphere, been the extravagance of bank credits and prevent them from administering that the banks now hold a considerably to the spirit of wild and reckless specless amount of specie, either in propor-ulation by extravagant loans and issues, tion to their capital or to their circula- they might be continued with advantion and deposits combined, than they tage to the public." did before the discovery of gold in Cal- The affairs of Kansas and Utah were ifornia. Whilst in the year 1848 their discussed very fully, as above noted. specie, in proportion to their capital, In regard to the former, the President was more than equal to one dollar for said: "Whether Kansas shall be a four and a half, in 1857 it does not free or a slave State must eventually, amount to one dollar for every six dol- under some authority, be decided by lars and thirty-three cents of their cap- an election; and the question can never ital. In the year .1848 the specie was be more clearly or distinctly presented equal, within a very small fraction, to to the people than it is at the present one dollar in five of their circulation moment. Should this cpportunity be and deposits; in 1857 it is not equal to rejected, she may be involved for years one dollar in seven and a half of their in domestic discord, and possibly in circulation and deposits. From this civil war, before she can again make up statement it is easy to account for our the issue now so fortunately tendered. CH. IX.] AFFAIRS OF KANSAS IN CONGRESS. 539 No mons for military service. ty of "wise and judicious economy both in public and private expenditures." The affairs of Kansas caused a considerable degree of excitement in Congress. and again reach the point she has already attained. Kansas has for some years occupied too much of the public attention. It is high time this should be directed to far more important objects. When once admitted into the Union, whether with or without slavery, the excitement beyond her own limits will speedily pass away, and she will then, for the first time, be left, as Having recommended the Pacific she ought to have been long since, to Railroad to the attention of Congress, manage her own affairs in her own the raising four additional regiments way." for the army, the construction of ten As to the "Latter-Day Saints," in war steamers of light draught, and vaUtah, the President spoke strongly:-rious other matters, Mr. Buchanan con"The people of Utah, almost exclusive- cluded his message with some sensible ly belong to this church, and believing, advice as to the advantages and necessiwith a fanatical spirit, that Brigham Young is governor of the territory by Divine appointment, they obey his commands as if these were direct revelations from Heaven. If, therefore, he chooses that his government shall come into collision with the government of the United States, the members of the Mormon church will yield implicit obedience to his will. Unfortunately, existing facts leave but little doubt that such is his determination. He knows that the continuance of his despotic power depends upon the exclusion of all settlers from the territory, except those who will acknowledge his divine mission and implicitly obey his will; and that an enlightened public opinion there would soon prostrate institutions at war with the laws both of God and man. He has, therefore, for several years, in order to maintain his independence, the policy of the administra been industriously employed in collect- tion. After many disagreements being and fabricating arms and munitions tween the two Houses, a proposition of war, and in disciplining the Mor- of Mr. Montgomery was adopted, Several propositions were brought forward, discussed, and voted upon; but party differences and sectional views were too strong to allow any harmonious or decisive action to take place. The president manifestly leaned towards the pro-slavery side of the question, and threw all the weight of his influence in favor of those who were determined to force the Lecompton constitution upon Kansas. Senator Douglas energetically opposed the views and purposes of the president, and of that part of the democratic party who agreed with him. In the House also, a considerable number of the democrats voted against 1858. April 30th, by a small majority. By this bill valuable bounties were offered to the people of Kansas, in the way of public lands to be donated to them for schools, etc. There was also added, as a further inducement, five per cent. of the net proceeds of the sales of all public lands within the State. If the people accepted these offers, Kansas was to be admitted at once into the Union with the Lecompton constitution; if they rejected them, the admission of the new state was postponed indefinitely. The question, as we have already noted, (p. 536), was submitted to the people, and most decidedly rejected. Walker, of whose "filibustering" efforts some notice has already been taken (see pp. 516, 517), attempted another expedition against Nicaragua, in November, 1857. He succeeded in escaping the vigilance of the United States officers, and landed in Nicaragua; but Commodore Paulding, of 1857. the United States frigate Wabash, arriving early in December, and deeming it his duty, under the president's orders, took a sufficient force on shore and arrested Walker and his company. The president, in reply to the call for information, sent a message to Congress, in which, although he commended the motives of Commodore Paulding, he gave it as his opinion, that he had "committed a grave error." Deeming it "beyond question the destiny of our race to spread themselves over the Continent of North America, and this at no distant day," he went on to say: "Had one-half the number of American citizens who have miserably perished in the first disastrous expedition of General Walker settled in Nicaragua as peaceful emigrants, the object which we all desire would ere this have been in a great degree accomplished. These expeditions have caused the people of the Central American states to regard us with dread and suspicion. It is our true policy to remove this apprehension, and to convince them that we intend to do them good, and not evil. We desire, as the leading power on this continent, to open, and, if need be, to protect every transit route across the isthmus, not only for our own benefit, but that of the world, and thus open a free access to Central America, and through it to our Pacific possessions. This policy was commenced under favorable auspices, when the expedition under the command of General Walker escaped from our territories and proceeded to Punta Arenas. Should another expedition, of a similar character, again evade the vigilance of our officers, and proceed to Nicaragua, this would be fatal, at least for a season, to the peaceful settlement of these countries, and to the policy of American prog ress." 1858. Walker met with a great deal of sympathy at the south, and did not hesi tate to affirm that his expedi tion had been set on foot with the sanction of the government, although, for obvious reasons, not openly expressed. How much of truth there was in this statement may be doubted.* *See Hon. J. R. Giddings "History of the Rebellion : Its Authors and Causes," pp. 414-418. Mr. G. speaks with great severity of "the abject obsequiousness of the Executive" to the slave power, and is disposed tc hold Mr. Buchanan responsible for the famous filibus CH. IX.] THE ATLANTIC TELEGRAPH. 541 The differences with Paraguay, with trade, many of our vessels were dereference to which Congress had voted layed and hindered while engaged in several additional steamers of light the lawful pursuits of commerce. As draft (p. 539), received prompt atten- this matter of the right of search is one tion, and early in the next year (1859) they were amicably settled, through the agency of Commissioner Bowlin. Congress did not, however, deem it expedient to accede to the president's recommendation to add to the army four new regiments (p. 539). He was authorized simply to call for volunteers in order to protect the frontier from Indian attacks and ravages. During the present session (in May, 1858), Minnesota was admitted into the Union, after considerable opposition. Oregon also applied, and the Senate voted in its favor; but the bill was not acted on in the House. At the next session, however (in Febru ary, 1859), Oregon took its place as one of the United States of America.* The British cruisers in the Gulf of Mexico, having, in the early part of this year, undertaken to stop and board all vessels in the vicinity of Cuba, under the plea that it was necessary to take this course, in order, as far as possible, to prevent the slave 1858. ter's doings. We may also mention here, that Walker, not satisfied with his attempts on Nicaragua, exerted himself to get up another expedition to Central America. The president issued a proclamation, calling upon all public officers to be active in preventing all ilegal enterprises. Walker, however, persisted, and in the summer of 1860, reached Honduras, with a small body of followers. After a brief space, he was taken pris oner by Gen. Alvarez, tried by the authorities of Hon duras, and shot on the 12th of September. The per sons with him were sent back to the United States. * It may be mentioned here, as a matter of general interest, that the Hon. Thomas H. Benton, who had held for many years a prominent place on the political stage, died at Washington, April 10th, 1858, aged 76 years on which the American people have always been very sensitive, steps of this kind on the part of the English vessels of war immediately aroused the nation. In Congress, the subject was warmly discussed, and proposals were made to resent all such acts immediately and effectively. Appropriations were made, and the president sent several ships to the Gulf. The British government, however, disavowed any intention of wrong in the matter, directed their cruisers in the Gulf to let American vessels alone, and did every thing that was proper in order to maintain existing friendly relations. Congress, having finished its business, and made provision for the deficiency in the revenue, adjourned on the 14th of June. 1858. The attempt made to connect the Old and the New World, by means of a submarine telegraph, was vigorously prosecuted during the summer (see p. 522). The Niagara and Agamemnon met in mid-ocean, on the 26th of June, having the cable equally divided between them, ready for paying out. A splice was made, and the Niagara headed westwardly, and the Agamemnon in the opposite direction. Various vexatious mishaps occurred; the cable broke; was mended; broke again, when the vessels were about 300 miles apart; and for the time, success was not to be attained. On the 29th of July, however, the vessels met again, and having been favored with a Queen on the success of the great international enterprise accomplished by the science, skill, and indomitable energy of the two countries. "It is a triumph more glorious, because far more useful to mankind, than was ever won by conqueror on the field of battle. tolerably smooth sea, they were enabled to accomplish their eventful mission. The Niagara reached Trinity Bay, Newfoundland, on the 5th of August, and on the same day the Agamemnon reached Valentia Bay, Ireland. "Glory to God in the highest; on earth peace, good-will towards men!" were the first words sent over the wires; and, "May the Atlantic telegraph, under in accordance with previous arrange the blessing of Heaven, prove to be a ments, as well as evident propriety, the bond of perpetual peace and friendship first dispatches which passed between between the kindred nations, and an the two countries, were the following instrument destined by Divine Provi message from Queen Victoria and Presidence to diffuse religion, civilization, dent Buchanan's reply: liberty and law throughout the world. "The Queen is convinced that the President will join with her in fervently hoping that the electric cable, which now connects Great Britain with the United States, will prove an additional link between the nations, whose friend. ship is founded upon their common in terest and reciprocal esteem. "The Queen has much pleasure in thus communicating with the President, and renewing to him her wishes for the prosperity of the United States." THE PRESIDENT'S REPLY. "WASHINGTON CITY, August 10, 1858. TO HER MAJESTY VICTORIA, THE QUEEN OF GREAT BRITAIN : "The President cordially reciprocates the congratulations of her majesty the "In this view, will not all nations of Christendom spontaneously unite in the declaration that it shall be forever neutral, and that its communications shall be held sacred in passing to their places of destination, even in the midst of hos tilities? "JAMES BUCHANAN." Great rejoicings followed this success; the brightest anticipations were indulged in, and the utmost enthusiasm was displayed in both countries; but, unhappily, the result did not justify the anticipations of the public. From the first, the line had not worked well, and within a month there were certain evidences of partial, if not total failure. The company, though by no means abandoning their design, were compelled to defer to a later day the perfecting the connection between Europe and America through the Atlantic cable. This great work of our age did not reach its entire and successful com pletion until the summer of 1366. |