A History of the United States

by Charles Kendall Adams; William P. Trent

648. Repeal of the Sherman Act.—As the Treasury was still obliged by the Sherman Act to continue purchasing silver, the President called a special session of Congress to modify or repeal the law. The clause of the bill authorizing the purchase of silver was quickly repealed by the House, when Congress met in August, but the measure was strenuously opposed in the Senate by numerous advocates of the unrestricted use of silver currency. The repealing act was finally carried and became a law, November 1, 1893. Its remedial effects, however, were not speedily visible. At the beginning of winter it was estimated that as many as two hundred and sixty thousand laboring men were unoccupied in Chicago, New York, and Philadelphia. Moreover, the repeal of the Sherman Act and the persistent decline in the price of silver caused nearly all the silver mines in the West to be closed. In Colorado alone, from fifteen to twenty thousand miners not only lost their employment, but became dependent on charity for food and shelter. The demand for free coinage of silver at the rate of sixteen to one consequently became emphatic in the far West and was supported by the Populists and many Democrats in the East.

649. The Wilson Tariff Law.—As the Democrats were pledged to modify the tariff law, this subject was taken up at the beginning of the first regular session of Congress in December, 1893. William L. Wilson of West Virginia, Chairman of the House Committee on Ways and Means, brought in a bill which greatly reduced the tariff on many articles. This measure, after being much altered on account of opposition in the Senate, was finally passed. The President, however, since the bill in its ultimate form reduced duties only about one quarter on an average, regarded it as a modification of a protective tariff, rather than as a measure in the interests of freer trade, and therefore allowed it to become a law without his approval or signature. It was anticipated that the law would fail to produce the necessary revenue, and, largely on this account, a clause was added which provided for an income tax of two per cent on all incomes of more than four thousand dollars. It was expected that the income tax would yield not less than forty million dollars a year. The Supreme Court, however, declared this portion of the act unconstitutional and therefore null and void. The natural consequences followed. The income of the government was insufficient to meet the current expenses; gold continued to be exported for the payment of bonds offered for redemption. To meet these demands new bonds had to be issued; and consequently, before the end of the administration, the public debt had been increased by about two hundred and fifty million dollars. It is no wonder, in view of the unsatisfactory character of the Democratic legislation in 1893–1894, that in the congressional elections of 1894 the Republicans should have swept the country.

FOREIGN AFFAIRS.

650. Revolution in Hawaii.—Early in his administration, President Cleveland was obliged to consider the condition of affairs in Hawaii. While Harrison was in office, discontented resident Americans and Sandwich Islanders had overthrown the government of Queen Liliuokalani and established a republican form of government. The leaders hoped that they could secure the annexation of the Islands to the United States. American seamen were landed for the avowed purpose of protecting American citizens, but it was charged, with probable truthfulness, that they actively supported the revolutionary movement. The insurgents sent commissioners to Washington, who were influential enough to secure the draft of a treaty of annexation, which was sent by Harrison to the Senate for confirmation. Before the Senate was ready to act on the treaty, however, Harrison’s administration came to an end; and one of Cleveland’s first acts was to withdraw the treaty and send a commissioner to the Islands to investigate and report on the condition of affairs. On his arrival the commissioner declared the previously established American protectorate at an end and took down the American flag. In his final report to the President, he asserted that the success of the revolution had resulted chiefly from the efforts of the American Minister and the support of the American troops. The President thereupon withdrew all such support and wrote a letter of regret and sympathy to the queen. He also sent a minister to help her to regain her authority,—an act for which he was much criticised by the many persons who disapproved of his Hawaiian policy. The movement on the Islands, however, had been so successful that the queen was unable to regain her throne and finally sold her rights. The annexationists were completely successful four years later (§ [672]).

651. The Venezuelan Dispute.—Two years later, President Cleveland proved to the critics of his Hawaiian policy that he had a firmer grasp on foreign affairs than they thought. For nearly half a century a difference of opinion had existed between Great Britain and Venezuela as to the boundary line between their possessions in South America. Great Britain had received by treaty, nearly a hundred years before, the territory in South America which belonged to Holland; while the rights of Venezuela had been derived from Spain. The boundary line had never been clearly defined, and, as time progressed, disputes with regard to it became more and more serious. Venezuela finally appealed to the United States for assistance. President Cleveland’s Secretary of State, Richard Olney of Massachusetts, entered into correspondence with the British government for the purpose of securing a settlement of the dispute by arbitration. Great Britain took the ground that the question was one not appropriate for arbitration, inasmuch as it involved the possible surrender of territory which had long been believed to be British and had been occupied by British subjects, whose rights should not be put in jeopardy. The correspondence became animated, and finally, in December, 1895, President Cleveland submitted the papers to Congress with a special message. He took the ground that the United States, following out the Monroe Doctrine, would be bound to resist in every possible way any encroachment by Great Britain upon any territory belonging to Venezuela. He asked for an appropriation by Congress to provide for a commission to investigate the whole subject of the boundary dispute. Congress at once appropriated one hundred thousand dollars for that purpose. The message of the President startled every one and made a profound sensation, not only in the United States, but also in Great Britain and in other parts of Europe. The possibility, even the probability, of war was freely talked of,[^[292]] although the people of neither country desired it. The commission entered promptly upon its work, but before it was ready to report, the British government agreed to submit to arbitration all questions pertaining to lands other than those that could be shown, before a joint commission, to have been occupied by British subjects for at least fifty years. In this way the contentions of both governments were satisfied. The joint commission of arbitration met in Paris in the summer of 1899, and in due form rendered a final judgment, which was on the whole favorable to Great Britain. Cleveland’s action in the matter, while harshly criticised in some quarters, especially on account of the direct language employed in his message, was on the whole supported with great enthusiasm by the people at large, regardless of party. The policy he advocated with respect to the relations of the United States toward the weaker republics to the south may be regarded as an extension of the Monroe Doctrine, to which Congress and the people have given their consent.

DOMESTIC EVENTS.

652. The World’s Columbian Exposition.—One of the most conspicuous events of Cleveland’s second administration was the Columbian Exposition, commemorative of the four hundredth anniversary of the discovery of America by Columbus. There was active competition among the great cities for the privilege of holding the exhibition. Congress decided upon Chicago. The exposition was projected for the year 1892, but the preparations to be made were so vast that postponement till 1893 was necessary. A large appropriation was made by Congress, and the state of Illinois also rendered important assistance; but the remarkable success of the undertaking was chiefly due to the enterprise of the people of Chicago. No other exhibition ever presented so magnificent an appearance. Jackson Park, on the shore of Lake Michigan, was chosen as a site, and the preparation of grounds and buildings was intrusted to a board of the most eminent landscape gardeners and architects in the country. Machinery and manufactured products were brought together from all lands, and an important impulse was given to every form of American and European industry. But while the exhibits were most satisfactory, the beauty of the grounds and buildings was more important, since it encouraged the belief that America could become in time as notable for her artistic as for her industrial achievements. The exposition was visited by more than twenty-seven millions of people—nearly three times as many as visited the Centennial at Philadelphia in 1876 (§ [595]).

653. Strikes and Riots.—The Columbian Exposition represented the benefits of industrial peace; but while it was being held, the panic already described (§§ [645]-[649]) was in progress, and the country’s industries were thrown into great confusion. As had so often happened in the twenty years preceding, discontent among the working classes caused much agitation and rioting. An “army” of unemployed men and tramps, under the leadership of a person named Coxey, actually marched to Washington to demand redress for their grievances. They were easily dispersed; but a great strike, which took place at Chicago in the summer of 1894, was put down only with the use of considerable force. General inactivity in business had led the Pullman Car Company to make a reduction in the price of labor in their shops. The strike just mentioned followed; and, after some weeks of turbulence, the American Railway Union ordered the employees of all those railroads in Chicago that did not refuse to use the Pullman cars to cease work. The consequence was a practical cessation of traffic for some days. When an attempt was made to move the trains, the trainmen were assaulted. Cars were wrecked and set on fire, and many men were killed or wounded. President Cleveland, though having no precedent for the act, with characteristic energy and decision sent United States troops to protect United States property, to secure the unhindered transmission of the mails, and to prevent interference with interstate commerce. His firmness restored order in Chicago and prevented outbreaks of lawlessness in other places.

654. The Political Condition of New York City.—The city of New York had long been disgracefully ruled by corrupt politicians affiliated with Tammany Hall. In 1894, an investigating committee exposed the system of blackmail and plunder by which the politicians maintained themselves in power. In consequence of these revelations, a reform ticket was victorious in the fall of 1894 and the government of the city was improved.