THE PRESIDENTS r m n nnrn 1NUHL V JDHbL TQUmUKERS Recommends Legislation -on New and Important Subjects INCOME - INHERITANCE TAX He Believes Such Laws Would Curb Growth of Fortunes to Dan gerous Proportions His Views on Negro Question Asks for Currency Reform and Shipping Bill Would Make Citizens of Japs Many Other Important Subjects Discussed Washington Dec 3 President Roose velts message to the -second session of tho Fifty ninth congress deals with a number of new and important subjects Chief of which is the government prose cution of the trusts the abuse of injunc tions in labor troubles the negro ques tion the preaching of class hatred between capital and labor additional legis lation for the control of large corpora tions a federal Inheritance and Income tax law and currency reform Tho message opens with a statement Of what tho last congress left unfinished and of this he says I again recommend a law prohibiting all corporations from contributing to tho campaign expenses of any party Such a bill has already past one house of con gress Let individuals contribute- as they desire but let us prohibit in effective fashion all corporations from making contributions for any political purpose directly or indirectly Another bill which has just past one house of tho congress and which is frently necessary should be exacted into aw is that conferring upon the govern ment tho right of appeal in criminal cases on questions of law This right exists In many of the states it exists In the District of Columbia by act of the congress It is of course not proposed that in any case a verdict for the de fendant on the merits should be sot aside Recently in one district where the government had indicted certain per sons for conspiracy In connection with rebates tho court sustained the defend ants demurrer while in another juris diction an indictment for conspiracy to obtain rebates has been sustained by the court convictions obtained under it and -two defendants sentenced to impris onment Tho two cases referred to may not bo in real conflict with each other but it is unfortunate that there should even be an apparent conflict At pres ent there is no way by which the gov ernment can cause such a conflict when It occurs to be solved by an appoal to a higher court and the wheels of justice ore blocked without any real decision of tho question I can not too strongly Urge the passage of the bill in question A failure to pass will result in seriously hampering the government in its effort to obtain justice especially against wealthy individuals or corporations who do wrong and may also prevent the government from obtaining- justice for wageworkers who are not themselves able effectively to contest a case where the judgment of an inferior court has been against them 1 have specifically In view a recent decision by a district judge leaving railway employees with out remedy for violation of a certain so called labor statute It seems an absurd ity to permit a single district judge against what may be the judgment of the immense majority of his colleagues on the bench to declare a law solemnly enacted by the congress to be uncon stitutional and then to deny to the government the right to have the su preme court definitely decide the ques tion Evasion by Technicalities In connection with this matter I would like to call attention to the very unsat isfactory state of our criminal law re sulting in large part from the habt of setting aside the judgments of inferior courts on technicalities absolutely un connected with the merits of the case and where there is no attempt to show that there has been any failure of sub stantial justice It would be well to en act a law providing something to the effect that No judgment shall be set aside or new trial granted in any cause civil or crim inal on the ground of misdirection of the jury or the improper admission or re jection of evidence or for error as to any matter of pleading or procedure unless In the opinion of the court to which the application is made after an examina tion of the entire cause it shall affirma tively appear that the error complained 01 has resulted in a miscarriage of Justice t Injunctions On the subject of the abolition of in junctions in labor disputes he says In my last message I suggested the en actment of a law in connection with the Issuance of Injunctions attention hav ing been sharply drawn to the matter by the demand that the right of apply ing injunctions in labor cases should be wholly abolished It is at least doubtful Whether a law abolishing altogether the ise of injunctions in such cases would Stand the test of the courts in which case of course the legislation would be Ineffective Moreover 1 believe it would be wrong altogether to prohibit the use of injunctions It is criminal to permit sympathy with criminals to weaken our hands in upholding the law and if men seek to destroy life or property by mob violence there should be no impairment of the power of the courts to deal with them in the most summary and effective way possible But so far as possible the abuse of the power should be provided against by some such law as I advocated last year In this matter of Injunctions there is lodged in the hands of the judiciary a necessary power which is nevertheless subject to the possibility of grave abuse It is a power that should be exercised with extreme care and should be sub fleet to the jealous scrutiny of all men and condemnation should be meted out as much to the judge who fails to use It boldly when necessary as to the Judge who uses it wantonly or oppressively Of course a judge strong enough to be fit for his office will enjoin any resort to violence or intimidation especially by conspiracy no matter what his opinion may be of the rights of the original quar rel There must be no hesitation in dealing with disorder But there must likewise be no such abuse of the in junctive power as is implied in forbidding laboring men to strive for their own bet terment in peaceful and lawful ways nor must the Injunction be used merely to aid some big corporation in carrying out schemes for its own aggrandizement It must be remembered that a prelim inary injunction in a labor case if granted without adequate proof even when authority can be found to support the conclusions of law on which it is founded may often settle the dispute between the parties and therefore if improperlv granted may do irreparable wrong Yet there are many judges who assume a matter-of-fact course granting of a preliminary Injunction to be tho ordinary and proper judicial disposition of such cases and there have undoubt edly been flagrant wrongs committed by Judges In connection with labor dis putes even within the last few years altho I think much less often than in former years Such judges by their un wise action immensely strengthen the hands of those w arc striving entirely to do away with the power of injunction and therefore such careless use of tho Injunctive process tends to threaten its very existence for If tho American peo ple over become convinced that this process In habitually abused whether in matters affecting labor or In matters af fecting corporations it will bo well nigh Impossible to prevent Its abolition The Negro Problem The negro problem Is given considera ble attention after calling attention to tho fact that no section of the country Is froo from faults andthat no section has occasion to jeer at tho shortcomings of any other section he turns to the sub ject of lynchlngs and especially as ap plied to the negro of the south He says the greatest existing cause for mob law Is tho perpetration by the blacks of the crimo of rapo a crime which he terms even worse than murder He quotes the admonitions to the white people spoken by Gov Candler of Georgia some years ago and by Gov Jclks of Alabama re cently and then says EVery colored man should realize that the worst enemy of his race is the negro criminal and above all the ne gro criminal who commits the dread ful crime of rape and It should be felt as In tho highest degree an offense against the whole country and against the colored race In particular for a colored man to fall to help the officers of the law In hunting down with all possible earnestness and zeal every such infamous offender Moreover In my judgment the crime of rape should always be punished with death as is the case with murder assault with In tent to commit rape should bo made a capital crime at least in the discretion of the court and provision should be made by which the punishment may follow Immediately upon the heels of the offense while the trial should be so conducted that the victim need not be wantonly shamed while giving tes timony and that the least possible publicity shall be given to the details The members of the white race on the other hand should understand that every lynching represents by just so much a loosening of the bands of civ ilization that Hhe spirit of lynching Inevitably throws Into prominence in the community all the foul and evil creatures who dwell therein No man can take part In the torture of a hu man being without having his own moral nature permanently lowered Every lynching means just so much moral deterioration in all tho children who have any knowledge of It and therefore just so much additional trouble for the next generation of Americans Let justice be both sure and swift but let it be justice under the law and not the wild and crooked savagery of a mob Need for Negro Education There is another matter which has a direct bearing upon this matter of lynching and of the brutal crime which sometimes calls It forth and at other times merely furnishes the excuse for its existence It Is out of the question for our people as a whole permanently to rise by treading down any of their own number Even those who them selves for the moment profit by such maltreatment of their fellows will in the long run also suffer No more shortsighted policy can be imagined than In the fancied interest of one class to prevent the education of an other class The free public school the chance for each boy or girl to get a good elementary education lies at the foundation of our whole political situ ation In every community the poor est citizens those who need the schools most would be deprived of them if they only received school facilities proportionately to the taxes they paid This is as true of one portion of our country as of another It is as true for the negro as for the white man The white man if he is wise will de cline to allow the negroes in a mass to grow to manhood and womanhood without education Unquestionably ed ucation such as is obtained in our pub lic schools does not do everything to wards making a man a good citizen but it does much The lowest and most brutal criminals those for instance who commit the crime of rape are in the great majority men who have had either no education or very litle just as they are almost invariably men who own no property for the man who puts money by out of his earnings like the man who acquires education Is usually lifted above mere brutal criminality Of course the best type of education for the colored man ta ken as a whole is such education as Is conferred in schools like Hampton and Tuskegee where the boys and girls the young men and young wo men aro trained industrially as well as in the ordinary public school branches The graduates of these schools turn out well In the great ma jority of cases and hardly any of them become criminals while what little criminality there is never takes the form of that brutal violence which In vites lynch law Every graduate of these schools and for the matter of that every oher colored man or wo man who leads a lifo so useful and honorable as to win the good will and respect of thoso whites whoso neigh bor he or she is thereby helps the whole colored race as it can be holpod In no other way for next to the negro himself tho man who can do most to help the negro is his white neighbor who lives near him and our steady effort should be to better the relations between the two Great tho the bone fit of these schools has been to their colored pupils and to the colored peo ple it may well be questioned whether the benefit has not been at least as great to the white people among whom these colored pupils live after thoy graduate Capital and Labor On the subject of capital and labor tho president takes the agitators of class hatred to task and says to preach hatred to the rich man as such to seek to mislead and inflame to mad ness honest men whose lives aro hard and who have not the kind of mental training which will permit them to ap preciate the danger In tho doctrines preached Is to commit a crime against tho body politic and to be false to every worthy principle and tradition of Amer ican national life Continuing on this subject he says The plain people who think the mechanics farmers merchants work ers with head or hand the men to whom American traditions are dear who love their country and try to act decently by their neighbors owe it to themselves to remember that the most damaging blow that can be given pop ular government is to elect an un worthv and sinister agitator on a platform of violence and hypocrisy Whenever such an issue is raised in this country nothing can be gained by flinching from it for in such case dem ocracy is itself on trial popular self government under republican forms is itself on trial The triumph of the mob is just as evil a thing as the tri umph of the plutocracy and to have escaped one danger avails nothing whatever if we sucuumb to the other In the end the honest manwhether rich or poor who earns his own living and tries to deal justly by his fellows has as much to fear from the insincere and unworthy demagog promising much and performing nothl ng or else performing nothing but ovil who would set on the mob to plunder the rich as from the crafty corruptlontst who for his own ends would permit the common people to be exploited by the very wealthy If we ever let this government fall into the hands of men of either of these two classes we shall show ourselves false to Americas past Moreover the demagog and corrup tlonlst often work hand In hand There are at this moment wealthy reaction aries of such obtuse morality that they regard the public servant who prose cutes them when they violate the law or who seeks to make them bear their proper share of the public burdens as being even more objectionable than the violent agitator whp liounds on the mob to plunder the rich There Is nothing to choose between such a re actionary and such an agitator funda mentally they arc alike In their selfish disregard of the rights of others and it is natural that they should join in opposition to any movement of which the aim Is fearlessly to do exact- and even justice to all Railroad Employees Hours He asks for the passing of the bill lim iting the number of hours of employment of railroad employes and classesthe measure as a very moderate one He says the aim of all should be to cteadilv roxltica tho numhar at hours taaffssggssK sasaar of labor with a3 a goal the general In troduction of an eight hour day but In sists that on the Isthmus of Panama tho conditions are so different from what they aro hero that tho Introduction of an eight hour day on the canal would be absurd and continues just about as ab surd as It is so far as tho isthmus is concerned where white labor cannot bo employed to bother as to whether the work is done by alien black men or alien yellow men Investigation of Disputes He urges the enactment of a drastic child labor law for the District of Co lumbia and the territories and a foderal Investigation of the subject of child and female labor throughout the country He reviews the work of the commission appointed to investigate labor conditions in the coal fields of Pennsylvania in 1902 and refers to the wish of the commission that the state and federal governments should provide the machinery for what may be called the compulsory investiga tion of controversies between employers and employes when they arise After roferrlng to the fact that a bill has aj ready been introduced to this end he says Many of these strikes and lockouts would not have occurred had the parties to the dispute been required to appear before an unprejudiced body representing tho nation and face to face state the reasons for their contention In most Instances the dispute would doubtless be found to be duo to a misunderstanding by each of the others rights aggravated by an unwillingness of either party to ac cept as true the statements of the other as to the justice or Injustice of the mat ters In dispute The exercise of a ju dicial spirit by a disinterested body representing the federal government such as would be provided by a commis sion on conciliation and arbitration would tend to create an atmosphere of friendliness and conciliation between con tending parties and the giving each side an equal opportunity to present fully its case in the presence of the other would prevent many disputes from developing into serious strikes or lockouts and in other cases would enable the commis sion to persuade the opposing parties to conio to terms In this age of great corporate and la bor combinations neither employers nor employees should be left completely at the mercy of the stronger party to a dis pute regardless of the righteousness of their respective claims The proposed measure would be In the line of securing recognition of the fact that in many strikes the public has Itself an interest which cannot wisely be disregarded an interest not merely of general conven ience for the question of a Just and proper public policy must also be con sidered In all legislation of this kind It Is well to advance cautiously testing each step by the actual results the step proposed can surely be safely taken for the decisions of the commission would not bind the parties in legal fashion and yet would give a chance for public opin ion to exert Its full force for the right Control of Corporations A considerable portion of the message is devoted to the subject of federal con trol of corporations in what he refers to tho passage at the last session of the rate meat inspection and food laws and says that all of these have already justi fied their enactment but recommends the amendment of the meat inspection law so as to put dates on the labels of meat products and also to place the cost of Inspection on the packers rather than on the government Continuing on this subject of the control of corporations by the federal government he says It cannot too often be repeated that ex perience has conclusively shown the im possibility of securing by the actions of nearly half a hundred different state legislatures anything but Ineffective chaos in the way of dealing with the great corporations which do not operate exclusively within the limits of any one state In some method whether by a national license lav or in other fashion we must exorcise and that at an early date a far more complete control than at present over these great corpora tionsa control that will among other things prevent the evils of excessive overcapitalization and that will compel the disclosures by each big corporation of its stockholders and of its properties and business whether owned directly or thru subsidiary or affiliated corporations This will tend to put a sop to the secur ing of Inordinate profits by favored Individuals at the expense whother of the general public the stockholders or the wageworkers Our effort should be not so much to prevent consolidation as such but so to supervise and control it as to seo that it results in no harm to the people The reactionary or ultracon servtivo apologists for the misuse of wealth assail the effort to secure such control as a step toward socialism As a matter of fact it is these reactionaries and ultraconservatives who are them selves most potent In Increasing socialis tic feeling One of the most efficient methods of averting tho consequonces of a dangerous agitation which is SO per cent wrong is to remedy the 0 per cent of evil as to which the agitation is well founded The best way to avert the very undesirable move for the governmental ownership of railways is to secure by tho government on behalf of tho people as a whole such adequate control and regulation of the great interstate com mon carriers as will do away with the evils which give rise to the agitation against them So tho proper antidote to the dangerous and wicked agitation against tho men of wealth as such is to and executive secure by proper legislation tive action the abolition of the grave abuses which actually do obtain in con nection with tho business use of wealth under our present system or rather no system of failure to exercise any ade quate control at all Some persons speak as If the exercise of such governmental control would do away with tho freedom of individual initiative and dwarf indi vidual effort This is not a fact It would be a veritable calamity to fall to put a premium upon Individual initiative individual capacity and effort upon the energy character and foresight which it Is so Important to encourage in the individual But as a matter of fact the deadening and degrading effect of pure socialism and especially of its extreme form communism and the destruction of Individual character which they would bring about aro in part achieved by the wholly unregulated competition which results in a single individual or corpor ation rising at the expense of all others until his or Its rise effectually checks all competition and reduces former competi tors to a position of utter inferiority and subordination In enacting and enforcing such legis lation as this congress already has to its credit we aro working on a coherent plan with tho steady endeavor to secure the needed reform by the joint action of tho moderate men the plain men who do not wish anything hysterical or dangerous but who do intend to deal In resolute commonsenso fashion with the real and great evils of the present system Tho reactionaries ana the vio lent extremists show symptomB of join ing hands against us Both assert for instance that If logical we should go to government ownership of railroads and the like the reactionaries because on such an issue they think the people would stand with them while the ex tremists care rather to preach discontent and agitation than to achieve solid re sults As a matter of fact our position is as remote from that of the bourbon reactionary as from that of the imprac ticable or sinister visionary Wo hold that the government should not conduct the business of the nation but that it should exercise such supervision as will Insure Its being conducted in the inter est of the nation Our aim is so far as may be to secure for all decent hard working men equality of opportunity and equality of burden Combinations Are Necessary The actual working of our laws has shown that the effort to prohibit all com bination good or bad is noxious where it is not Ineffective Combination of capital like combination of labor is a necessary element of our present indus trial system It is not possible completely to prevent It and If It were possible such complete prevention would do dam age to the body pontic What we need Is not vainly to prevent all combination but to secure such rigorous and adequate control and supervision of the combina tions as to prevent their injuring the public or existing in such form as Inev itably to threaten injury for the mere fact that a combination has secured practically complete control of a neces sary of life would under any circum stances show that such combination was to be presumed to be adverse to the pub lic interest It Is unfortunate that our present laws should forbid all combina tions instead of sharply discriminating between those combinations which do evil Rebates for instance are as often due to the pressure of big shippers as jiZZS was shown In the investigation of tho Standard OH company und as has been shown since by tho Investigation of tho tobacco and sugar trusts as to the initi ative of big railroads Often railroads would like to combine for the purpose of preventing a big shipper from maintain ing improper advantages at the expense of small shippers and of the general pub lic Such a combination Instead of being forbidden by law should be favored In other words It should be permitted to railroads to make agreements provided these agreements were sanctioned by the interstate commerce commission and wero published With these two condi tions complied with It Is Impossible to see what harm such a combination could do to tho public at large It is a public evil to have on tho statute books a law Incapable of full enforcement because both judges and juries realize that its full enforcement would destroy the busi ness of the country for tho result is to make decent railroad men violators of the law against their will and to put a premium on the behavior of the wilful wrongdoers Such a result In turn tend to throw tho decent man and the wilful wrongdoer Into close association and in the end to drag down the former to the lattera level for the man who becomes a lawbreaker In one way unhappily tends to lose all respect for law and to be willing to break It In many ways No more scathing condemnation could be visited upon a law than is contained In tho words of the Interstate commerce commission when In commenting upon the fact that the numerous Joint traffic associations do technically violate the law they say The decision of the United States supreme court in the TransmississippI case and the Joint Traffic association case has produced no practical effect upon the railway opera tions of the country Such associations in fact exist now as they did before these decisions and with the same gen eral effect In justice to all parties wc ought probably to add that it is difficult to see how our interstate railways could be operated with due regard to the inter est of the shipper and the railway without concerted action of the kind af forded thru ttieso associations This means that the law as construed by the supreme court is such that the business of the country cannot be con ducted without breaking it I recommend that you give careful and early consider ation to this subject and if you find the opinion of the interstate commerce com mission justified that you amend the law so as to obviato the evil disclosed Inheritance and Income Tax It was expected that the president would refer in some way to his belief In tho necessity for the curbing of enor mous fortunes and he has done so by recommending legislation for both in come and an Inheritance tax He be lieves the government should impose a graduated inheritance tax and If possi ble a graduated income tax He says I am well aware that such a subject as this needs long and careful study in order that the people may become famil iar with what is proposed to be done may clearly see the necessity of proceed ing with wisdom and self restraint and may make up their minds just how far they are willing to go in the matter while only trained legislators can work out the project in necessary detail But I feel that in the near future our nation al legislators should enact a law provid ing for a graduated inheritance tax by which a steadily increasing rate of duty should be put upon all moneys or other valuables coming by gift bequest or devise to any individual or corporation It may be well to make the tax heavy In proportion as tho individual benefited is remote of kin In any event in my judgment the pro rata of the tax should Increase very heavily with the increase of the amount left to any one Individual after a certain point has been reached It is most desirable to encourage thrift and ambition and a potent source of thrift and ambition Is the desire on the part of the breadwinner to leave his chil dren well off This object can be attained by making the tax very small on moder ate amounts of property left because the prime object should be to put a con stantly increasing burden on the inher itance of those swollen fortunes which it is certainly of no benefit to this coun try to perpetuate There can be no question of the eth ical propriety of the government thus de termining the conditions upon which any gift or inheritance should be received Exactly how far the inheritance tax would as an incident have the effect of limiting tho transmission by devise or gift of the enormous fortunes in question it Is not necessary at present to discuss It is wise that progress in this direction should be gradual At first a permanent national inheritance tax while it might be more substantial than any such tax has hitherto been need not approximate either in amount or in the extent of thi increase by graduation to what such s tax should ultimately be Inheritance Tax Constitutional This species of tax has again and again been imposed altho only temporarily by the national government It was first imposed by the act of July 6 17S7 when the makers of the Constitution were alive and at the head of affairs It was a graduated tax tho small In amount the rate was increased with tho amount left to any Individual exceptions being made in the case of certain close kin A similar tax was again imposed by the act of July 1 1S62 a minimum sum of 51000 in personal property being excepted from taxation the tax then becoming progressive according to the remoteness of kin The war revenue act of Juno 13 1S98 provided for an inheritance tax on any sum exceeding the value of 10000 the rate of tax increasing both in accord ance with the amounts left and In ac cordance with the legatees remoteness of kin The supreme court has held that the succession tax imposed at tlTe time of the civil war was not a direct tax but an impose of excise which was both con stitutional and valid More recently the court In an opinion delivered by Mr Justice White which contained an ex ceedingly able and elaborate discussion of the powers of the congress to impose death duties sustained tho constitution ality of the inheritance tax feature of the war revenue act of 1S9S Is Income Tax Constitutional In its incidents and apart from the main purpose of raising revenue an income tax stands on an entirely differ ent footing from an inheritance tax be cause it involves no question of the per petuation of fortunes swollen to an un healthy size The question is in its essence a question of the proper adjust ment of burdens to benefits As the iaw now stands it is undoubtedly diffi cult to devise a national income tax which shall be constitutional But whether it is absolutely impossible is an other question and if possible it is most certainly desirable The first purely in come tax Taw was past by the congress in 1S61 but the most important law deal ing with the subject was that of 1S94 This the court held to be The question is undoubtedly very In tricate delicate and troublesome The decision of the court was only reached by one majority It Is tho law of the land and of course 53 excepted as such and loyallv obeyed by all good citizens Nevertheless the hesitation evidently felt by the court as a whole in coming to a conclusion when considered to gether with the previous decisions on the subject may perhaps Indicate the possibilitv of devising a constitutional income tax law which shall substan tially acccomplish the results aimed at The dlfiicultv of amending the con stitution is so great that only real ne cessity can justify a resort thereto Every effort should be made In dealing with this subject as with the subject of the proper control by the national government over the use of corporate wealth in interstate business to devise legislation which without such action shall attain the desired end but if this fails there will ultimately be no al ternative to a constitutional amend- He makes a strong plea for technical and industrial education for the nasscs and while the federal government can do but little in this line he asks that schools of this character be established Fn the District of Columbia as an ex ample to the various states Agricultural Interests He appeals for every encouragement that the congress can give to the agri cultural Interests of the country He points to the good that is being done by the various forms of grange organiza tions and says Several factors must cooperate in the improvement of the farmers condition He must have the chance to be educated in the widest possible sense in the sense i which Keeps ever m vic m mi relationship between the theory of edu cation und tho facts of lifo In nil education wo should widen our alms It Is a good thing to produce a certain num ber of trained rcholars anil students but the education superintended by tho sUUe must seek rather to produco a hun dred good citizens than merely one scholar and It must be turned now and then from the class book to tho study of tho great book of nature Itself This Is especially true of tho farmer as has been pointed out again and again by all observers most competent to pass prac tical Judgment on tho problems of our country life All studonts now realize that education must seek to train the executive powers of young people and to confer more real significance upon tho phrase dignity of labor and to pre pare tho pupils so that in addition to each developing in the highest degree his individual capacity for work they may together help create a right public opinion and show In many ways social and cooperative spirit Organization has become necessary in the business world and it has accomplished much for good In the world of labor It is no less neces sary for farmers Such a movement as the grange movement Is good in itself and Is capable of a well nigh Infinlto fur ther extension for good so long as It In kept to its own legitimate business The benefits to be derived by the association of farmers for mutual advantage are partly economic and partly sociological Moreover while In the long run volun tary effort will prove more efficacious than government assistance while the farmers must primarily do most for themselves yet the government can also do much The department of agriculture has broken new ground In many direc tions and year by year it finds how it can improve its methods and develop fresh usefulness Its constant effort is to give the governmental assistance In the most effective way that is thru as sociations of farmers rather than to or thru individual farmers It is also striv ing to coordinate its work with the agri cultural departments of the several states and so far as its own work is educational to coordinate it with the work of other educational authorities Agricultural education is necessarily based upon general education but our agricultural educational institutions are wisely specializing themselves making their course relate to the actual teaching of the agricultural and kindred sciences to young country people or young city people who wish to live In the country Great progress has already been made among farmers by the creation of farmers institutes of dairy associa tions of breeders associations horti cultural associations and the like A striking example of how the govern ment and the farmers can cooperate is shown in connection with the menace offered to the cotton growers of the southern states by the advance of the boll weevil The department is doing all it can to organize the farmers in the threatened districts just as it has been doing all it can to organize them in aid of its work to eradicate the cat tle fever tick in the south The depart ment can and will cooperate with all such associations and it must have their help If its own work Is to be done in the most efficient style He urges the extension of the irriga tion and forest preservation system and asks for an appropriation for building a memorial theater at Arlington Marriage and Divorce As a means of bringing about national regulation of marriage and divorce he suggests a constitutional amendment and says it is not safe to leave these ques tions to be dealt with by he various states Continuing on this subject he says When home ties are loosened when men and women cease to regard a worthy family life with all its duties fully performed and all its responsi bilities lived up to as the life best worth living then evil days for tho commonwealth are at hand There are regions in our land and classes of our population where the birth rate has sunk below the death rate Surely it should need no demonstration to show that wilful sterility is from the standpoint of tho nation from me standpoint of the human race tho one sin for which the penalty is national death race death a sin for which there is no atonement a sin which is tho more dreadful oxactly In propor tion as the mon and women guilty thereof are in othor respects in char acter and bodily and mental powers those whom for the sake of tho it would be well to seo the fathers and mothers of manv healthy childron well brourht up in homes made happy by their presence No man no woman can shirk the primary duties of life whother for love of ease and pleasure or for any other cause and retain his or her self respect Th president asks for the enactment into lav of a shipping bill that will place American interests on the seas on a par with those of othor countrios and urges especially that something bo done that will establish direct steamship commu nication witii South American ports Currency Reform Amendments to the present currency laws are asked for and after showing that present laws are inadequate because of the wide fluctuation of interest charges he says The mere statement of these facts shows that our present system is seri ously defectlvq There Is need of a change Unfortunately however many of the proooscd changes must be ruled from consideration because they are complicated are not easy of compre hension and tend to disturb existing rights and interests We must also rule out any plan which would ma terially Impair the value of the United States two per cent bonds now pledged to secure circulation the issue of which was made under conditions pe culiarly creditable to tho treasury I do not press any special plan Various plans have recently been proposed by expert committees of bankers Amnnj the plans which are possibly feasible and which cortainly should rocoive your consideration Is that repeatedly brought to your attention by tho pres ent secretary of the treasury tho es sential features of which have boon approved by many prominent bankers and business men According to this plan national banks should be per mitted to issue a specified proportion of their capital in notes of a given kind the issuo to bo taxed at so high a rate as to drive the notes back whin not wanted in legitimate trade This plan would not permit the issuo of currency to give banks additional profits but to moot the emergency pre sented by times of stringency Need of Automatic System I do not say that this is the right system I only advance it to empha size my belief that there Is need for the adoption of some system which shall be automatic and open to all sound banks so as to avoid all pos sibility of discrimination and favorit ism Such a plan would tend to pre vent the spasms of high money and speculation which now obtain in the Kew York market for at present there is too much currency at certain seasons of the year and its accumu lation at New York tempts bankers to lend it at low rates for speculative purposes whereas at other times when the crops are bing moved there Is urgent need for a large but temporary increase in the cum ncy supply It must never bo forgotten that this question concerns business men gen erally quite as much as bankers es pecially is this true of stockmen farmers and business men In the west for at present at certain seasons of the year the difference in interest rates between the east and tho west is from six to ten per cont whereas in Canada the corresponding difference is but two per cent Any plan must of course guard tho interests of west ern and southern bankers as carefully as it guards tho interests of New York or Chicago bankers and must be drawn from the standpoints of tho farmer and the merchant no less than from tho standpoints of the city banker and tho country banker The law should be amended so as to specifically to provide that the funds de rived from customs duties may be treat ed by the secretary of the treasury as he treats funds obtained under the In ternal revenue laws There should be a considerable Increase In bills of small denominations Permission should be given banks if necessary under settled restrictions to Fetire tbeir circulation to a larger amount than 000000 a month He again asks for free trade with this country for the Philippines and in the same connection reviews the work done by this country in the islands and says if we have erred In the Philippines It has been in proceeding too rapidly in h aMW SLESSW T Z uro of 8uI sovCJV sho urn he con American citizenship forred on tho citizens l Rico Ti harbor of San Juan forto should bo rtredeed l and jprov T vto deral co ur expenses of tho federal Rico should bo oi the af treasury Tho administration n t faf Blco together of Porto Havra I and ou 4 of the Philippines an should Insular possessions t y ed under ono ec or the department or sim preference tho department of war Naturalization of Japs asiUtrfoan So iTh X to play a constantly oent Wo the groat ocean of the wish as we ought to wish for a sreat commercial development In r P1 Ings with Asia and it Yy pcrmanenuy question that wc should we rree unless lave such development lv and gladly extend to other nationi the 1 measure of justice and goo J treatment which we expect to recede In return It Is only a very mainody of our citizens that act badly J en It the federal government J power will deal summarily with anj siicn Whore the several states have power I earnestly ask that thoy also denl with such con wisely ami promptly duct or else this small body of wrong the great doers may bring shame upon mans of their Innocent and rUiu thinklns fellows that is upon onr Good mann rn nation as a whole should be an international no less than an Individual attribute I ask fair treatment for the Japanese as I would ask fair treatment for Germans or Englishmen Frenchmen Russians m Italians I ask it as duo to humanlt and civilization I ask it as due to ourselves because we must act up rightly toward all men I recommend to the congress that an act be passed specifically provdlng for the naturalization of Japanese who come hero intending to become American cit izens One of the great embarrassments attending the performance of our In ternational obligations Is the fact that the statutes of the United States gov ernment are entirely inadequate They fail to give to the national government sufficiently ample power through United States courts and by the use of the army and navy to protect aliens In the rights secured to them under so emn treaties which aro the law of the land I therefore earnestly recommend that the criminal and civil statutes of the United States be so amended and added to as to enable the president acting for the United States government which is responsible in our international rela tions to enforce the rights of aliens un der treaties Even as the law npw ia something can be done by the federal government toward this end and In the matter now before me affecting tho Jap anese everything that it is in rny power to do will be done ard rs of the foreps militarv and civil of the United States which I may lawfully employ will be so employed There should however bo no particle of doubt as to the power of the national government completely to perform nnd enforce its own obligations to other nations The mob of a single city may at any time perform acts of lawless violence against some class of foreigners which would plunge us Into war The city by itself would be power less to make defense against the for eign power thus assaulted and if inde pendent of this government it would never venture to perform or permit the performance of the acts complained of The entire power and tho whole duty to protect the offending city or the offend ing community lies In the hands of the United States government It is un thinkable that we should continue a pol icy under which a given locality may be allowed to commit a crime against a friendly nation and the United States government limited not to preventing the commission of the crime but in tho last resort to defending the people who have committed it against the conse quences of their own wrongdoing Cuban Intervention The rebellion in Cuba and tho inci dents leading up to the establishment of the provisional government is reviewed and the president says When tho election has been held and the new government Inaugurated In peaceful and orderly fashion of the provi sional government will come to an end take this opportunity of expressing upon behalf of the American people with all possible solemnity our most earnest hope that the people of Cuba will realize the imperative need of pre serving justice and keeping order in the island The United States wishes noth ing of Cuba except that it shall prosper morally anil materially and wishes noth ing of the Cubans save that they shall be able to preserve order among them selves and therefore to preserve their independence If the elections become a farce and if the Insurrectionary habit becomes confirmed in the island it is ab solutely out of the question that tho island should continue independent and the United States which has assumed the sporsorship before the civilized world for Cubas career as a nation would again have to intervene and to see that the government was managed In such orderly fashion as to secure the safety of life and property The path to be trodden by those who exercise self-government is always hard and we should have every charity and patience with the Cubans as they tread this difficult parth I have the utmost sympathy with and regard for them but I most earnestly adjure them solemnly to weigh their re sponsibilities and to see that when their new government is started it shall run smoothly and with freedom from fla grant denial of right on the one hand and from insurrectionary disturbances on the other Considerable space Is devoted to the international conference of American re publics and the visit of Secretary Root to South America and points to the fact that our efforts in behalf of the nations of that country are appreciated by them On the subject of the Panama canal he promises a special message in the near future The Army and Navy The message closes with a plea for the maintenance of the navy at its pres ent standard to do which he says would mean the building of one battleship each year Of the present efficiency of the army and navy he says The readiness and efficiency of both tho army and navy in dealing with the re cent sudden crisis in Cuba Illustrates afresh their value to the nation This readiness and efficiency would have been very much less had It not been for tho existence of the general staff In the armv and the general board in the navy both are essential to the proper development and use of our military forces afloat and ashore The troops that were sent to Cuba were handled flawlessly It was the swiftest mobilization and dispatch of troops over sea ever accomplished bv our government The expedition landed completely equipped and ready for im mediate service several of its organisa tions hardly remaining in Havana over night before splitting up into detach ments and going to their several posts It was a fine demonstration of the valor and efficiency or the general staff Sim ilarly it was owing in large part to tho general board that the navy was able at the outset to meet the Cuban crisis with such instant efficiencv ship after ship appearing on the shortest notice at any threatened point while the marina corps in particular performed ndlspens able service The army and navy war colleges are of incalculable value to the two services and they cooperate with SortanSe1 mCreasine efficiency and lm- pTie coSress has most wisely provided for a national board for the promotion of rifle practise Excellent result have already come from this law but it does Ur RIar is so small that In anv srrent ay should have to trust mainly to vol unteers and in such event these voln teers should already know how to shoJt7 for If a soldier has the ff htlnn S and ability to take S care of hlmse the open his efficiency on the fine of battle is almost directly proportionate to excCilce m marksmanship W short establish shooting galleries in all the large public and military schools shouli sKa5wissgrfflrSS t f f 1 9 I P r