ments which had sprung up in different parts of the country, in consequence of the abundance of capital, and the augmentation of duties by the last congress, were in a flourishing condition, and promised to secure a permanent footing among the great branches of American industry. The new markets which were opened in th America, and the greater ability of the country to engage in such employments, afforded them encouragement of a more certain and beneficial character, than prohibitory duties; and the increase of nearly a million of dollars in the exports of American manufactures, in 1825, over those of 1824, gave the most satisfactory evidence of the success of this branch of national industry. An increase in the same year of 30,000 tons of American shipping entering, and 40,000 tons departing from our ports, showed that the navigating interest was in a flourishing condition, and that the prosperity of the manufacturers was not caused by a subtraction of capital from the shipping business.

At the commencement of the year, great enterprise was manifested in every department of commerce, and a spirit of speculation began to enter into the regular course of trade. This was especially shown in the cotton business. A sudden advance in the price of that article took place in England,

produced partly by the small quantity then in market; but chiefly, by a spirit of commercial gambling, which had infected the whole mercantile community.

Cotton rose in a few weeks from 6d. to 16d. Coffee, spices, and other West India produce underwent a similar increase of price. Joint stock companies were created to further this disposition to adventure, and to facilitate the means of risking capital in mercantile speculations. Pearl fisheries, rail ways, canals, South American mines, were all proposed as the objects of stock companies, whose projectors promised enormous returns for small investments. The wildest and most extravagant schemes were proposed under the sanction of respectable names, and the price of stocks, both public and private, rose to a height that manifested rather the extent of the excitement, than any advance in the wealth of the community. The South Sea madness seemed to have revived, after the slumber of a century, and the intoxicating delirium of the moment was followed by as great a depression. In England, where this infatuation showed itself in its full strength, the revulsion produced the most extensive bankruptcies that had been known in that kingdom for many years. Cotton in a few weeks fell to its former price; and those in whose

hands it remained were ruined by the depression. These bankruptcies occasioned others, and the alarum and distrust became universal. The public funds fell rapidly. Many of the most eminent banking houses stopped payment, and the ministry were called upon to devise measures for present relief to the intense pecuniary distress. The fictitious wealth which the expansion of the bubbles had created, suddenly disappeared under this pressure; and thousands wakened from their dreams of golden splendor to beggary and ruin. The effects of these failures extended to other countries, and similar distress, though not equal

in degree, was felt on the continent, and in the United States. Over-trading, and an unnatural advance in prices, had their share in producing the embarrassment in this country; but it was not so general, and was not augmented by the panic which was produced in Europe by the readiness with which the community yielded to groundless alarum. Still, however, enough prevailed to give a serious check to the enterprise and prosperity of the mercantile class, and to diminish the confidence of capitalists in those untried projects, which, at the beginning of the year, had received such ready encouragement.

In conformity with the provisions of the constitution, the two houses of congress assembled in their respective chambers, on the 5th of December, 1825, and commenced the 1st session of the 19th congress. In the senate, 39 members appeared. In the house of representatives, 193 members answered upon the calling of the roll, and proceeded to organize the house. Upon the first ballot for speaker, John W. Taylor received 89, Louis M'Lane, 36, J. W.Campbell 41, and Andrew Stevenson 17 votes: scattering 11. On the second ballot, J. W. Taylor received 99 votes, and was declared to be duly chosen. The next day the president of the United States transmitted his message to congress, by his private secretary, John Adams, Jun. This document set forth the foreign and domestic affairs of the country in a succinct manner, and concluded with recommending certain subjects to the particular attention of congress. It stated that our foreign relations had undergone no material alteration, since the ad

journment of the preceding congress; but alluded to the recent important changes which had taken place in the commercial system of Great Britain, and to its effects, which as yet were not fully developed.

It recommended to congress to remove the only restriction to trade still remaining in the system of the United States, viz. that continuing the discriminating duty on articles, not produced nor manufactured in the country to which the vessel belongs, and to permit equal competition to the shipping of all nations. The attention of congress was called to the claims of our merchants upon France, the Netherlands, Naples, and Denmark, and to the unadjusted claims upon Great Britain, arising under the treaty of Ghent. It was still more earnestly directed to the claims of the remnant of the revolutionary army, and speedy relief to its destitute condition, strongly recommended.

A short review was given of the condition of the United States at

and of their progress since that event; and a new organization of some of the departments of the government suggested, to render the system more conformable to the advance of the country in wealth and population. The judicial system of the government was especially mentioned, as inadequate to the performance of its duties.

The president then proceeded, pursuant to the view, which he took of the powers of congress in his inaugural address, to urge upon the consideration of that body, the necessity of employing the resources of the country, in improving the internal communications between different parts of the union, and making such roads and canals as were either contemplated, or in a course of execution; reminding, however, congress, at the same time, that its authority was derived from a charter of limited powers. A national university and observatory were recommended; as was the exploration of the Northwest Coast, by one of the public ships, for the purpose of contributing to the advance of geographical and astronomical science. The successful efforts of our navy on the West India station, in suppressing piracy, were mentioned with approbation; and such an increase of the naval establishment was re

The acceptance, by the executive, of the invitation, extended by the South American republics to the United States, to send ministers to the Panama congress, was communicated to congress; as was the understanding between the several governments, that it was neither expected nor desired that any part should be taken by this country, which should compromit its neutrality.

The finances were said to be in a favorable state; the receipts having exceeded the anticipations of the secretary of the treasury, and the reduction of the public debt having amounted to nearly $8,000,000. The receipts of the post office department exceeded its expenses $45,000, though nearly 1,100 new post offices had been established the two preceding years. The message itself will be found in the second part of this volume, and this summary of its contents is given chiefly to show the subjects recommended to the consideration of the legislature, by the executive. Many of the most important of these suggestions were not acted on; other topics having occupied the attention of congress.

Among these, one of the most important in its bearing, though least so in its results, was the proposed