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THE REACTIONARIES AND THE COMING PRESI

DENTIAL STRUGGLE HIS is the time---about one year before the presi

Chicago Holds an Election and dential candidates are nominated—for all sorts of

Discusses Prosperity. trial balloons to be sent up in the air in the efforts to THIS medley of names is taken as a sign of revived "start something." All the possibilities of politics are

Republican hopes. There is no doubt about the

reality of such a revival. It rests upon two main props being aired or soon will be. From the Panama Journal

—the rapid return of the Progressives and the slow recomes the nomination of General Goethals for the

turn of Prosperity. Much is made in Republican quarPresidency. From St. Paul comes the rumor of a

ters of the municipal election last month in Chicago. A coming alliance between President W'ilson and Senator La Follette , based, apparently, upon nothing more tangi- jority of 139,000. The Progressives failed to make any

Republican mayor was elected by the unprecedented mable than the fact that “the two men are personally very

nomination and seem to have supported the Republican friendly.” From New York city comes a rapturous shout for “Theodore Roosevelt for President of the

nominee, tho the Chicago Tribunc refused to take sides.

The Democratic leaders explain that the result was due United States on the Prohibition ticket.” From Louisiana comes word that a “Protection Party” is in process

to "local issues," especially to the fight between Harrison

and Sullivan, rival Democratic leaders. The successof organization. From Washington, where all echoes

ful candidate-William Hale Thompson-attributes his gather and are reverberated back over the country, come the names of more than a dozen Republican pos

victory to the "vote of the unemployed and the dis

tressed business men who are tired of this depression." sibilities: Beveridge, Hadley, Cummins, Johnson (of California), Mann, Brumbaugh (of Pennsylvania), La

He adds jubilantly, “The country can get ready for a Follette, Herrick, Weeks (of Massachusetts), Fair

return of prosperity.” The election the same day of a

Republican board of aldermen in St. Louis is hailed as banks, Borah, Burton, Hughes, Taft, Root and Roose

another indication of the prevailing discontent. The velt. If we have missed any, we apologize. From the

Detroit Free Press sees the country turning away from N. Y. Times correspondent we learn one day that Root is the first choice of the leaders in spite of his age (he is policies of destruction and now demanding policies of now seventy) and his reluctance. From the corre

construction. That is its interpretation of the Chicago

election. It says: spondent of the N. Y. Evening Post we learn on another day that the name that comes most persistently to the "It [the country] has wearied of theories and visions, of front is that of Theodore E. Burton. From the Boston feeble attempts by critics to equal what they blithely critiTranscript's correspondent we learn on still another day cized in others. It has seen the harvest of muckraking and that the contest is simmering down to one between faultfinding, and the harvest is all chaff. It is groping Borah, "candidate of the West," and Weeks, "candidate about for guides to lead it to actualities, to gripping with of the East.” Of Democratic candidates there seems

facts and bringing real and abiding prosperity again. It to be little or no gossip. There is only one name seri

is heartily tired of a prosperity it must hypnotize itself

to see.” ously considered and its initials are W. W. The only food for conjecture lies in the possibility of his refusing The Springfield Republican refuses to take that view a second term.

cf the Chicago election. The result was not due, it

ances.

thinks, to the “prosperity” campaign but to the fact that

The Growing Reaction Against the “the Progressive party of 1912 has absolutely ceased to

Curbing of Business. exist." The unprecedented majority was due in large WIDE discussion has followed Senator Root's utter

The Philadelphia Ledger, which under its part to the vote of the women, who divided about as

new management seems at times to be almost as reacthe men did, and who, without changing the results, added to the aggregates.

tionary as the Los Angeles Times or the N. Y. Sun, declares that the Democratic party is attacking the very

structure of business itself. The Republican party has Senator Root's “Keynote"

been affected by the same germ. But the country has Speech.

had enough of this sort of thing, and no candidate for THAT HAT there is a distinct réaction from the agitation the Presidency will have any chance of success "unless

against business is acknowledged on all hands. The he makes it clearly understood that he proposes to use Republicans claim it as a revolt from the policy of their all his influence to build up American business and exenemies. The Democrats claim it as an indication of tend American enterprize, instead of tearing it down their success in restoring harmony between business and hampering it in every possible way for a narrow methods and political principles. President Wilson calls mind to conceive.” The Financial Chronicle finds that it “the new freedom." Republicans call it a “return to public sentiment is ripe for a movement to curb the prosperity.” Just how far this reaction is to carry us powers that have been given for the regulation of inwill be the most interesting question to be answered in dustry and it calls for "a concerted attempt" to take the next election. What is called here in the East "the away from the Interstate Commerce Commission its keynote” of the Republican campaign was sounded sev right to fix rates for the railways. The Houston Post eral weeks ago by Senator Root. In it he calls a halt deplores the multiplication of laws, which has greatly on the regulation of business by legislation. In the five increased the cost of government, created countless years 11:at prior to 1914, the Senator tells us, 62,000 commissions and boards, restricted the liberty of the instatutes have been enacted by the state legislatures and dividual and placed an embargo upon the real progress 45,000 decisions have been handed down by courts of of the nation. “Is there no cure for this growing itch last resort. In the election of McKinley in 1896 and in for legislation?" asks the Chicago Herald, and, as it 1900 the business men controlled the election. To-day considers the number—31,427—of bills and resolutions the Senator finds the railroads trembling before the introduced in the late session of Congress, it adds: Interstate Commerce Commission, the banks trem- “Certainly no remedy is in sight at present." But the bling before the new Federal Reserve Board and the N. Y. Evening Post sees no reason for being downcast. controller of the currency, the express companies fear The country, it thinks, is to-day more nearly in the ing the Postmaster-General, the industrial establish middle of the road on the questions relating to business ments fearing the new Federal Trade Commission, than it has been at any other time since the first Bryan manufacturers of food products viewing the Depart- campaign. We have made a “prodigious advance” since ment of Agriculture with alarm. The reason why busi the days when state legislatures were "owned" by railness does not start, he declares, is that “way down in way interests. If the business interests have been silent the heart of Americans there is a doubt as to what is of late, it is because, when they were at the front in going to happen at the hands of a hostile government.” politics, “they furnished so much reason for the asperThe men who are running the government to-day, he sions as to make an aggressive defence very hard indeed thinks, have fought the railroads, the trusts and the to undertake.” Business is now on its good behavior tariff so long that they can't rid themselves of an under

and the agitator is unpopular; but it hopes Mr. Root's lying hostility to American enterprize." Measures af

advice will not result in "rampant reactionism.” fecting business both great and small have been framed and put into effect under influences that have rejected

Stampeding the American People the voice of those most immediately affected. "Knowl

Back to Hannaism. edge of the business affairs of the country has

disquali- THE appeal which

Senator Root makes seems to the fied men from taking any part in the conduct of the in Montgomery Advertizer a dangerous one for the creasing participation of the government in the control Democratic party at this time, tho it stoutly denies that or direction of business affairs.” This feeling is not ac the party, as a party, has made any war on business. cidental nor individual. It is a development of the feel The Buffalo Courier reminds us that Mr. Root himself ing of the whole country. It is due in part to “the old was an aider and abettor of the Rooseveltian agitation hatred of wealth,” which is more than half the mere vul “that did more than anything else to bring about what gar worship of wealthi," and in part to the almost entire Mr. Root now calls the misunderstanding between the failure of understanding of the complex processes, re farmers of the West and South and the capitalists of the quirements and results of modern business. He calls East and North.” It insists that the relations to-day upon the business men to assert themselves and to put between business and government are quieter than at upon foot a campaign of education and end the "new any time in either the Roosevelt or Taft régime. The sectionalism” which has resulted from the envy and mis N. Y. World devotes a series of forcible editorials to understanding of the greater wealth of the East and the Senator's addresses. It declares that “the Wilson the North. “Merely electing a Republican President administration is not warring on business, but business ought not to be enough”—the misunderstanding itself is warring on the Wilson administration in an attempt must be eliminated. “We are honest, free and true to stampede the American people back to Hannaism." Americans, and we must not and we will not live in an It adds: “When the government at Washington is conatmosphere of suspicion and distrust. We will not be fronted by the most delicate and perplexing problems governed by men who look upon us as unfit to partici- that have beset any administration since Lincoln's, and pate in government.”

the country itself is distracted by the disturbing con

THE RETURNING TIDE OF PROSPERITY

303

Cannon are specified as leaders who can serve the Re- NATURALLY the Democratic leaders are doing

šeğuences of the greatest war in history, plutocracy panding activity” in general trade. The April crop rethinks it sees a chance to reestablish itself again in port gave promise of another great yield of winter Washington for another reign of dollar-despotism.” wheat. The advance in the price of cotton was noted Not in twenty years, the IVorld asserts, has business had as even more vital to the restoration of good business so little to fear from government as now.

conditions. And the way in which foreign offerings of

American securities have been taken care of on the "What the country needs is not a business men's agitation against Government, as Vír. Root thinks, but a little

Stock Exchange indicates to the Review that this counmore public spirit on the part of private business in adjust

try has been fast building up “a commanding financial ing itself to the country's standards of economic justice. independence.” The normal excess of exports over imThere is now practically no hostile agitation against busi ports for this country is $50,000,000 a month. For the ness. All that has ended. Government by denunciation has last four or five months the average has been about ceased. Vot in twenty years has the demagog played so $150,000,000. Since last September the aggregate balsmall a part in political affairs or wielded so little influence. ance of trade in our favor is well over $800,000,000. Mr. Root believes that the country is ignorant of business, “The reversal in our international trade movement since and hence all this trouble. The actual fact is that business

the war,” the Newark Evening News remarks, "has is still ignorant of the country and is terrorized by ghosts.”

been of the most spectacularly improbable character." The Boston Transcript (Rep.) finds reactionary leadership coming to the fore in the Republican party in many

Democratic Leaders Hail the at Barnes and Penrose and

of

anything except weep over this turn in the tide of publican party best by self-effacement, and it appeals

business and are jubilantly predicting its continuance. to the Progressives to return at once as their influence

Secretary Lane, of the Interior Department, after a is needed now in the selection of leaders more than it

trip to the Pacific Coast, declares that good times have will be a year hence in driving the Democrats from

already come and better times are on the way. In six power.

months an unemployed man who wants work will, he

thinks, be a curiosity. The Secretary of the Treasury The Tide Turns Toward Prosperity.

adds to the song of joy by giving to the public a sumIF THE issue in the next election is to be, as one cor

mary of the reports of bank examiners, who describe respondent puts it, "whether the Professor can stop “a permanent improvement in business," with Maine as the leak in the dinner-pail in time for dinner," then the only state where real depression still lingers. The the tone of business during the last few weeks must Secretary of Commerce is not backward about joining be regarded with considerable satisfaction by the Demo the Glee Club. He reports agricultural conditions "gencrats. Even the N. Y. Evening Sun admits that a more erally excellent," commercial lines "enlarging their activhopeful note pervades business discussion and that ities," manufacturing “on the increase," and the market “many observers believe that the tide of industrial de for steel rails, cars and structural iron expanding. The pression has definitely turned." The N. Y. Erening

The N. Y. Etening Washington Post several weeks ago noted that of the Post notes a "very extraordinary turn of economic af $750,000,000 of emergency currency issued in this fairs in favor of this country." "Calamity for the sake country after the war broke out, only $15,000,000 was of next year's politics,” remarks the N. Y. World, then outstanding. On 102,398 miles of railroad a gain “seems to have met wit a check along its whole 3,000 ir net revenue was shown for the short month of Febmile front." The facts that give this buoyant tone to ruary of more than $4,000,000—an average of about recent utterances from all over the land are numerous. $40 a mile. Everywhere the Post finds “a realization *The sensational advances in the stock market last of the favorable conditions for our domestic business month were at first attributed to manipulation, but this that certainly will cause expansion in trade in every theory lost ground rapidly. The Wall Street Journal, state of the Union.” Other factors in the situation one of the most reliable of the financial journals, de were set down as follows in a circular letter issued the clared, after expert investigation into this theory, that first of last month by Spencer Trask & Company: "probably no more legitimate advance in the stock market has taken place in ten years or more than the pres

“Besides the general considerations as affecting the ent upward movement, following a period of genuine foreign outlook, the results of decisions recently made in accumulation after the Stock Exchange reopened."

this country have all been along lines indicating a return

of impartiality towards corporations. The Supreme Court New York City has now, according to the Springfield

has decided in two cases that States have not the right to Republican, “the only stock market in the world where

force transportation companies to carry freight at unremushares can be bought and sold without restriction.”

nerative rates; the Interstate Commerce Commission has In spite of the fact that business failures for the first agreed to grant express companies an opportunity to prove three months of the year were 45 per cent. in excess of that their present rates are unreasonably low, and two those for the same period last year, it sees in the grad

United States Courts have rendered decisions on broad ual increase of bank clearings a sure tho moderate ex lines, one in the prosecution of the United Shoe Machinery pansion of general trade, tho it thinks it very doubtful

Company, the other of the officials of the National Cash

Register Company. We are satisfied that all these deciwhether a general and broad revival can come until

sions show a fairer spirit and the effect of the change in peace is declared. The N. Y. Times notes that “the

heart which we noted in the Administration at Washington experienced wager-makers at Lloyds are betting even

several months ago.” that the war will be over by September and offering large odds that peace will be declared before Decem If the business depression has indeed been a "psychober.” By the middle of last month Dun's Reticw was logical depression,” all these hopeful utterances cerable to announce "an unmistakable trend toward ex tainly indicate that the psychology is rapidly changing.

THhow-torbe trunk nesadar'in offiei presten Wat off en dis

NEUTRAL UNCLE SAM IN THE DANGER ZONES OF

GERMAN AND BRITISH WAR DIPLOMACY HE German Ambassador's official attempt to tell us which the ambassador cites is no parallel at all. The Amer

ican position of responsibility toward Mexico is unique a host of American newspapers. "Insulting," the Phila among international relationships, and, moreover, President delphia Ledger calls it. A lecture on the duty of the

Wilson had extraordinary authority to deal with the MexAmerican Government, the N. Y. Sun styles it, and a

ican situation. . . . It is not likely that thinking Americans,

no matter how strongly they may sympathize with Germany, lecture "pronounced in a voice of well-nigh intolerable

will approve of this strangely undiplomatic pronunciamento stridency” by "a person without license to chide or

by the German diplomat. They will appreciate that, dedictate.” Most of the questions pertaining to our rights spite manifold difficulties, the American government is as a neutral nation had been piloted into what seemed to maintaining the strictest and most conseientious neutrality." be rather calm diplomatic channels. But "under instructions from Berlin,” Count von Bernstorff presented a

Does Germany Intend to Force memorandum to the State Department in which it is

an Issue With Us? explicitly assumed that the United States Government THE published version of the note was sent to the “has accepted England's violations of international law"

press direct from the German Embassy one week on the seas.

after it reached the State Department. This publication Furthermore it is argued that contrary to a real spirit of neutrality an enormous new industry

of the note, as well as its terms, is resented. Imputations in war materials of every kind is being built up in the

of "stupidity," "discourtesy," "impertinence" and "insoUnited States which “is supplying only Germany's

lence,” demands for the Ambassadors recall and declaraenemies," a fact which, as Count von Bernstorff sees

tions that his usefulness is at an end have appeared in

Nevertheless the press it, “is in no way modified by the purely theoretical

various papers of influence. willingness to furnish Germany as well, if it were possi

very generally assume that the note has fairly repreble.” The ambassadorial note not only protests to our

sented a determination on Germany's part to force an

issue at this time, and this issue, it is assumed, is corgovernment but seems to appeal directly to the American people in the following words: "If the American

rectly put in the question addressed by the Hamburg people desire to observe true neutrality they will find

Nachrichten to the United States: “Are you neutral means to stop the exclusive exportation of arms to one

or are you our enemy?” In German-American papers

like the New York Staats-Zeitung the note is stoutly side, or at least to use this export trade as a means to

defended. Therein it is described as "a not unfriendly uphold the legitimate trade with Germany, especially the trade in foodstuffs. This spirit of neutrality should

statement of the appreciation of Germany of our failure

to uphold traditional theories and recent enunciationsappear the more justified to the United States as it has been maintained towards Mexico.” President Wilson's

a failure with not inconsequential effects upon a friendly words in connection with Mexico are quoted and it is

nation now fighting a just war in self-defence.” The claimed that the same conception of the spirit of neu

editor of the Staats-Zeitung, Herman Ridder, says that trality, if applied to the present case, “would lead to an

"anyone who can still convince himself that this country embargo on arms.”

is, or from the beginning has been, neutral in the cor

rect sense of the word might, with excellent chance of Von Bernstorff's Note Con

success, seek a job during the present week in Madison strued as Highly Offensive. GERMANY and not the United States is the prin

cipal victim of "this amazing blunder" on the part of its Ambassador, insists the N. Y. World. "If the Allies were directing the affairs of the German Embassy in Washington they could hardly have hit upon anything more shrewdly calculated to prejudice American opinion against the German cause than the Bernstorff note." The Boston Transcript, like many other papers, finds the gravity of the offense in the "obvious purpose to interfere in American politics by exciting an element of our population to antagonism to our government's course in a matter of foreign policy.” The N. Y. Tribune declares that without regard to the popularity of an administration the country has always stood for non-interference in domestic affairs by foreign diplomats. “From Genet, the most flagrant of all offenders, down to Catacazy and Sackville-West, we have never brooked attempts to go behind the President and the State Department and work on the susceptibilities of the public.” The specifications of the note are illogical and unconvincing and can bring no change in American policy, in the opinion of the Cleveland Plain Dealer:

LAW

INTERNATIONAL

TREATY CENTS

NEUTRAL
RIGHTS

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TROUBLES IN KEEPING NEUTRAL

305

Square Garden as a mental equilibrist.” Our conduct, he asserts, “has been a cause for ridicule and criticism throughout both of the armed camps of Europe." He alleges "obligations” rather than rights under present “unparalleled conditions,” and says further:

Giving John Bull Some Positive

Views on Rights of Neutral

Nations.
OUR State Department's protest against the British

order-in-council establishing a new type of blockade has been generally praised as a temperate, skilful presentation of the legal status of neutral rights. For specific infringements of these rights the note assumes that full reparation will be made. We could not, it is admitted, protest against an "effective blockade" against enemy ships, and we recognize the right of visit and search for contraband; but we protest against a "block

"Our Government has entered the war on the side of the Allies. It has allowed the Allies to draw upon our factories for the munitions of war which they could not supply themselves with. We have been as much a party to the war as Great Britain or Germany. We see now the point to which this course has brought us. We are friends of none: the enemy of all. Those whom we have befriended most are the most ready to run over us. Our 'petitions' to Great Britain have been received by the British Government with promises and by the British press with petulant protest. They have borne no fruit. And when a friendly nation points out to us the inconsistency of our procedure and intimates that it would like fair play our anglicized press demands that its ambassador be given his passports !"

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Appeal of 374 Editors Against

Supplying War Materials.
THE
HE American sense of humor appears to be struck

BRITISH BLOCKADE
by the fact that an appeal against supplying muni-
tions of war should come from the country of the
Krupps and their international armament scandals.
“Boiled down to its bones,” the scheme of an embargo
on arms, according to the Chicago Journal, "means that
the United States would make Germany a present of
an equivalent to the British fleet.” We are not to blame,
says the Boston Post, for a situation in which Germany's
navy is bottled up and does not come out to fight. “Nor
are we called upon to make up for its weakness by
putting a tremendous and unneutral weapon into Ger-
many's hands—the weapon of the embargo." It comes
with peculiarly ill grace for Germany to ask us to, adds
the Post-"Germany, that has munitioned every war
that has been fought for the last thirty years, that has
supplied all belligerents alike if they had the money."
Aside from the recognized legal right of citizens of
neutral nations to sell arms to belligerents subject to
war risks, the necessity of our preserving the means
of national self-protection in future wars, in which we
may be dependent upon neutral nations for munitions,
is emphasized by American papers. This phase of the

PEVANS

IN THE STOCKS situation was made prominent also in editorial replies

-Evans in Baltimore American to a recent appeal which appeared as a full-page advertizement in perhaps 200 American newspapers.

The ade" of neutral ports as an invasion of sovereign rights names of 374 editors or publishers of newspapers issued of neutral nations on the high seas. "It is confidently in foreign languages in the United States were printed assumed," so runs our note, "that his Majesty's Governas signers of this appeal, which was addressed “to the ment will not deny that it is a rule sanctioned by genAmerican people, industries and workmen,” and which eral practice that, even tho a blockade should exist and urged us “not to manufacture, sell or ship powder, the doctrine of contraband as to unblockaded territory shrapnel or shot of any kind or description to any of be rigidly enforced, innocent shipments may be freely the warring nations of Europe, or Japan.” The "patri- transported to and from the United States through neuotic" character of the reply of the New York American tral countries to belligerent territory, without being subis typical :

ject to the penalties of contraband traffic or breach of

blockade, much less to detention, requisition, or confis“It is vitally necessary that the United States should do cation.” We assume also that in maintaining the sonothing to destroy or weaken the right of a belligerent to

called blockade commanders of warships will be inbuy munitions of war from a neutral nation. For we have

structed not to impose undue or unlawful restrictions no Krupps, nor are we likely to develop any institution of

upon neutral trade. The Philadelphia Telegraph says like character. We have always entered upon war ill

that under the actual war conditions the United States prepared, and certainly this is not the moment to cherish the hope that we shall not continue to do so. The right to

can do little more than to declare its position and make arm ourselves from neutral stores must be jealously guarded.

clear its own understanding of its rights as a neutral. It can be best defended by recognizing the right to-day of "There is small prospect that it will secure full recognibelligerents to seek needed arms from us.”

tion of those rights while Great Britain and Germany

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