of cotton in the more Southern States, it was moderately cultivated for domestic purposes in North Carolina, Virginia, Maryland, Delaware, and even Southern Illinois. The ocean freights for many years, earned by Northern ships in transporting cotton, have averaged over twenty millions of dollars per annum. When the crops were smaller, the cost of transportation was higher, the vessels being of more limited capacity.

Among the branches of manufacture in the Northern States, that of cotton goods holds the first rank, both as to the capital employed and the value of the product. The Yankees have had a great advantage in having the raw material so close at hand. They have not been content with this, but have also demanded protection under what is called the American system,' a term borrowed by Henry Clay from Napoleon's expression, the 'continental system."

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The total value of cotton goods manufactured in the New England States in 1859 was $80,301,535, and in the middle States $26,272,111—an increase of 83-4 per cent. in the former and 77.7 in the latter since the last decade. The other States reached a value of $8,564,280, making the whole production $115,137,926, against $65,501,687 in 1850- an augmentation of 76 per cent. The extension in cotton manufacture was as follows:-Maine and New Jersey, 152 per cent.; Pennsylvania, 102 per cent.; New Hampshire and Connecticut, 87 per cent.; Massachusetts, 69 per cent.; and Rhode Island, 88 per cent. The value was at the rate of $3 for each individual in all the States, equivalent to 46 yards of cloth for every person, at 8 cts. per yard. The average production in 1850 was but 34 yards per head. The increase, therefore, was about 12 yards per individual, or equal to the entire consumption in 1830. The number of hands employed in the manufactories in 1859 was 45,315 males and 73,605 females-an increase of 10,020 and 10,944 respectively over 1850. The average product of an operative was $969, or about 2001. sterling. The spindles were returned at 5,035,798, against 3,633,693 in 1850-an advance of 1,402,105, or 38.5 per cent. The cotton manufacturing business of the New England States was 78.6 per cent. of the whole, Massachusetts alone being 29.3 per cent. The product per spindle was-In Maine, $228;

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Massachusetts, $211; New Hampshire, $24,87; Vermont, $18,13; Rhode Island, $16; Connecticut, $166. The average in the New England States is $20,30; in the Middle States, $30,48; and all the States together, $2286. The quantity of cotton consumed in the entire Union in 1859 was 364,036,123 lbs. ; of this amount the New England States took about twothirds, one-half of which was used in Massachusetts.

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The Yankees by these statements, which are compiled from the last census, have, it will be observed, been killing the goose that has laid their golden egg when they attempted to interfere with the people of the South, who have not only supplied them with the raw material, but who have been their principal customers for all their manufactures.

In dilating upon this subject, the Boston Post,' a Democratic paper, said in 1859, when speaking of the trade of the New England States with the South:

"The aggregate value of the merchandise sold to the South 'annually we estimate at some $60,000,000. The basis of the 'estimate is, first, the estimated amount of boots and shoes sold, 'which intelligent merchants place at from $20,000,000 to $30,000,000, including a limited amount that are manufac"tured with us and sold in New York. In the next place, we 'know, from merchants in the trade, that the amount of dry 'goods sold South yearly is many millions of dollars, and that 'the amount is second only to that of the sales of boots and 'shoes. In the third place, we learn from careful enquiry and 'from the best sources, that the fish of various kinds sold realise $3,000,000, or in that neighbourhood. Upwards of $1,000,000 is received for furniture sold in the South every year. The 'Southern States are a much better market than the Western for this article. It is true, since the establishment of branch 'houses in New York, Philadelphia, and other cities, many of 'the goods manufactured in New England have reached the 'South through those houses; but still the commerce of New England with the South, and this particular section of the country, receives the main advantage of that commerce. And 'what shall we say of New England ship-building, that is so 'greatly sustained by Southern wants? What shall we say of 'that large ocean fleet that, by being the common carriers of

the South, has brought so large an amount of money into the 'pockets of our merchants? We will not undertake to estimate 'the value of these interests, supported directly by the South.' Mr. Kettell, a New Yorker, in commenting upon the above article, said: "This estimate of the "Post" for New England 'alone is about half the aggregate that the census indicates as 'the sales of Northern manufactures to the South. The South 'manufactures nearly as much per head of the white popula'tion as does the West. Both these sections hold, however, a 'provincial position in relation to the East. As we have seen 'heretofore, the first accumulations of capital in the country were at the East from the earnings of navigation and the slave 'trade. These were invested in manufactures, "protected" by 'the tariffs imposed by the Federal Government. The opera6 tions of these tariffs was to tax the consumers in the South

and West pro rata upon what manufactures they purchased 'from the East, and, by so doing, to increase Eastern capital at 'the expense of those other sections. The articles mostly pro'tected, and of which the cost is enhanced to the consumers in 'proportion to the duties, are manufactured at the East to the 'extent of $320,000,000, of which $200,000,000 are sold South 'and West. This gives an annual drain of $50,000,000 from 'the consumers of those sections, as a bonus or protection to 'the capital employed in manufacturing at the North. The claim for this protection is based upon the necessity of pro'tecting home manufactures against the overwhelming capital of England. The manufacturers of the South and West have 'to contend, however, not only against the overwhelming capi'tal of New England created in manufactures, but against the 'drain of capital from each locality, caused by the protection to Eastern goods. In spite of this disability, as we have seen in 'the tables, the manufactures of those sections increase, and at 'the South faster than at the West. There is another feature of this manufacturing industry which deserves attention.

is, that one-third of the hands employed at the East are females, and the product of their labour is made efficient by 'steam-machinery. If we take the relative numbers employed ' in cotton manufacture in each section in the cotton trade, the 'result is as follows:

The Northern labour is largely performed by females, and 'this element of labour is supplied by immigration in nearly its 'whole extent, a very large proportion of the females employed in the factories being Irish. At the South, female labour is 'taking the same direction with great success.

'If we compare the whole number of persons employed in manufactures of all kinds at the South with those so employed 'at the West, as seen in the census tables for 1850, we find at 'the South the number employed is 151,944, or 1 in 41 of 'the white population. At the West the number so employed ' is 122,364, or 1 in 40 of the population. These figures 'give no advantage to the free-labour section, as opposed to the 'slave-labour section. There is here no evidence that the existence of slavery is in any degree opposed to the developement ' of white industry. It is only another evidence in corroboration of that afforded by the history of the Northern States: the 'theory has been advanced against the extension of slavery into 'the territories that slavery degrades labour and drives out free 'industry. In 1790, the New England and Middle States had 1,968,455 inhabitants, of which 40,370 were slaves. Did that 'slave labour drive out white labour? or has not the latter ex'tinguished the former, and cast adrift the then well-cared-for negroes, to starve in little bands on the outskirts of the towns ' and villages, their former happy homes, the wasting monuments of the incapacity of a race, and of the selfishness of that 'philanthropy which found a pecuniary relief in conferring the 'blessings of liberty on their henceforth useless servants?'

If there be added to these many advantages the benefits received by the North, in its capacity of importer, banker, commission merchant, and broker, it is not surprising that great cities grew up and a specious show of wealth has been paraded. But the truth is, that the natural resources of the American

States lie altogether in the South. Although that section has been thus partially drained, it is quite clear that she is better off this day than the North. Witness the fact that nearly all the bonds of the Southern States, municipalities, and various corporations, including banks and railways, are owned by their people. This is not the case in the North or the West, most of whose railway bonds and State stocks are held in Europe. The Northerners have preferred keeping their capital and that borrowed from Europe (the South has no commercial indebtedness) in an active condition, not content with ordinary interest: much of it is invested in mill property that must necessarily be valueless after the war is over, as their Southern custom is now gone for ever. That great loss, however, has not yet been felt by them, owing to the enormous expenditure for Federal war supplies, which fitted in to fill up the vacuum, as State after State withdrew from the Union. The war, too, with the large European demand for breadstuffs that existed for two years, has given temporary employment for Northern ships that had hitherto been engaged in transporting Southern produce.

Historians will record the Northern crusade against the South as the greatest folly ever committed. President Davis said, in his inaugural message, February 1861:

'An agricultural people, whose chief interest is the export of 'a commodity required in every manufacturing country, our 'true policy is peace, and the freest trade which our necessities 'will permit. It is alike our interest and that of those to whom we would sell and from whom we would buy, that there should 'be the fewest practicable restrictions upon the interchange of 'commodities. There can be but little rivalry between ours

' and any manufacturing or navigating community, such as the 'North-eastern States of the American Union. It must follow, therefore, that mutual interest would invite goodwill and kind offices. If, however, passion or lust of dominion should cloud 'the judgment or inflame the ambition of those States, we 'must prepare to meet the emergency, and maintain by the final 'arbitrament of the sword the position which we have assumed 'among the nations of the earth.'

As a further evidence of the superiority of the resources of the South over those of the North and West combined, the