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cannot find a market at home, are and misery. Nearly in the same annually exported to foreign coun ratio that labour was depressed tries. With such rates of duty as capital was increased and concenthose established by the existing trated by the British protective law, the system will probably be policy. permanent ; and capitalists, who The evils of the system in have made, shall hereafter Great Britain were at length renmake, their investments in manu- dered intolerable, and it has been factures, will know upon what to abandoned, but not without a serely. The country will be satis vere struggle on the part of the fied with these rates, because the protected and favoured classes to advantages which the manufac- retain the unjust advantages which turers still enjoy result necessarily they have so long enjoyed. It from the collection of revenue for was to be expected that a similar the support of Government. High struggle would be made by the protective duties, from their unjust same classes in the United States operation upon the masses of the whenever an attempt was made to people, cannot fail to give rise to modify or abolish the same unjust extensive dissatisfaction and com system here. The protective poplaint, and to constant efforts to licy had been in operation in the change or repeal them, rendering United States for a much shorter all investments in manufactures period, and its pernicious effects uncertain and precarious. Lower were not, therefore, so clearly and more permanent rates of duty, perceived and felt. Enough, howat the same time that they will ever, was known of these effects yield to the manufacturer fair and to induce its repeal. remunerating profits, will secure It would be strange if, in the him against the danger of frequent face of the example of Great changes in the system, which can Britain, our principal foreign cusnot fail to ruinously affect his in tomer, and of the evils of a system terests.

rendered manifest in that country “Simultaneously with the re- by long and painful experience, laxation of the restrictive policy and in the face of the immense by the United States, Great Bri advantages which, under a more tain, from whose example we liberal commercial policy, we are derived the system, has relaxed already deriving, and must conhers. She has modified her Corn tinue to derive, by supplying her Laws, and reduced many other starving population with food, the duties to moderate revenue rates. United States should restore a poAfter ages of experience, the licy which she has been compelled statesmen of that country have to abandon, and thus diminish her been constrained by a stern ne ability to purchase from us the cessity, and by a public opinion, food and other articles which she having its deep foundation in the so much needs, and we so much sufferings and wants of impover desire to sell. By the simultaneished millions, to abandon a sys ous abandonment of the protective tem the effect of which was to policy of Great Britain and the build up immense fortunes in the United States new and important hands of a few, and to reduce the markets have already been opened labouring millions to pauperism for our agricultural and other pro

ducts; commerce and navigation other articles which they are cahave received a new impulse ; la. pable of producing, even at the bour and trade have been released most reduced prices, for the mafrom the artificial trammels which nifest reason that they cannot be have so long fettered them; and to consumed in the country. The a great extent reciprocity, in the United States can, from their exchange of commodities, has been immense surplus, supply not only introduced at the same time by the home demand, but the deboth countries, and greatly for the ficiencies of food required by the benefit of both. Great Britain has whole world. been forced, by the pressure of cir

“That the reduced production of cumstances at home, to abandon a some of the chief articles of food policy which has been upheld for in Great Britain and other parts ages, and to open her markets for of Europe may have contributed our immense surplus of breadstuffs; to increase the demand for our and it is confidently believed that breadstuffs and provisions is not other Powers of Europe will ulti- doubted ; but that the great and mately see the wisdom, if they be efficient cause of this increased not compelled by the pauperism demand, and of increased prices, and sufferings of their crowded consists in the removal of artificial population, to pursue a similar restrictions heretofore imposed, is policy

deemed to be equally certain. “Our farmers are more deeply That our exports of food already interested in maintaining the just increased, and increasing beyond and liberal policy of the existing former example, under the more law than any class of our citizens. liberal policy which has been They constitute a large majority adopted, will be still vastly enof our population ; and it is well larged, unless they be checked known that when they prosper all or prevented by a restoration of other pursuits prosper also. They the protective policy, cannot be have heretofore not only received doubted. That our commercial none of the bounties or favours of and navigating interests will be Government, but by the unequal enlarged in a corresponding ratio, operations of the protective policy with the increase of our trade, is have been made, by the burdens of equally certain ; while our manutaxation, which it imposed, to con- facturing interests will still be the tribute to the bounties which have favoured interests of the country, enriched others.

and receive the incidental protec“ When a foreign as well as a tion afforded them by revenue duhome market is opened to them, ties; and more than this they canthey must receive, as they are now not justly demand. receiving, increased prices for their • The Act of the 6th of August products. They will find a readier last—' To provide for the better sale, and at better prices, for their organization of the Treasury, and wheat, flour, rice, Indian corn, beef, for the collection, safe keeping, pork, lard, butter, cheese, and other transfer, and disbursement of the articles, which they produce. public revenue,' has been carried

“ The home market alone is in into execution as rapidly as the adequate to enable them to dispose delay necessarily arising out of of the immense surplus of food and the appointment of new officers,

taking and approving their bonds, routes as the public convenience and preparing and securing proper will suggest, require legislative au. places for the safe keeping of the thority. It will be proper, also, public money, would permit. It to establish a surveyor-general's is not proposed to depart in any office in that territory, and to make respect from the principles of po- the necessary provision for surveylicy on which this great measure ing the public lands, and bring is founded. There are, however, them into market. As our citis defects in the details of the mea zens, who now reside in that dissure, developed by its practical tant region, have been subjected operation, which are fully set forth to many hardships, privations, and in the report of the Secretary of sacrifices in their emigration, and the Treasury, to which the atten- by their improvements have ention of Congress is invited. These hanced the value of the public defects would impair, to some ex lands in the neighbourhood of tent, the successful operation of their settlements, it is recomthe law at all times, but are espe- mended that liberal grants be cially embarrassing when the coun- made to them of such portions try is engaged in a war, when the of these lands as they may ocexpenditures are greatly increased, cupy, and that similar grants or when loans are to be effected, and rights of pre-emption be made the disbursements are to be made to all who may emigrate thither at points many hundred miles dis- within a limited period, to be pretant, in some cases, from any de- scribed by law. pository, and a large portion of I refer you to the report of them in a foreign country. The the Secretary of the Navy for modifications suggested in the re a satisfactory view of the operaport of the Secretary of the Trea- tions of the department under his sury are recommended to your fa- charge during the past year. It vourable consideration.

is gratifying to perceive that while It will be important, during the war with Mexico has rendered your present Session, to establish it necessary to employ an unusual à territorial Government, and to number of our armed vessels on extend the jurisdiction and laws of her coasts, the protection due to the United States over the terri our commerce in other quarters tory of Oregon. Our laws regu- of the world bas not proved lating trade and intercourse with insufficient. No means will be the Indian tribes, east of the spared to give efficiency to the Rocky Mountains, should be ex naval service in the prosecution of tended to the Pacific Ocean ; and the war; and I am happy to know for the purpose of executing them, that the officers and men anxiously and preserving friendly relations desire to devote themselves to the with the Indian tribes within our service of their country in any enlimits, an additional number of ter prise, however difficult of exeIndian agencies will be required, cution. and should be authorized by law.

progress

and condition of The establishment of custom the mail service for the past year houses, and of post-offices and are fully presented in the report post roads, and provision for the of the Postmaster-General. The transportation of the mail, on such revenue, for the year ending on

“ The

the 30th of June last, amounted welfare and maintain the honour to 3,487,199 dollars, which is of our common country.” 802,642 dollars and 45 cents, less than that of the preceding year, MEXICO.-- In the early part of The payments for the department December, last year, a revolutionary during the same time amounted to movement took place in Mexico; 4,084,297 dollars and 22 cents. the result of which was that General Of this sum 597,097 dollars and Herrera, who was President of the 80 cents have been drawn from Republic, resigned his office at the the Treasury. The disbursements end of that month, and General for the year were 236,434 dollars Paredes, who had headed the army and 77 cents less than those of in its opposition to the existing the preceding year. While the Government, was without bloodshed disbursements have been thus di- elevated to the Presidency. Preminished, the mail facilities have viously to this struggle, negotiabeen enlarged by new mail routes tions had been pending between of 5,739 miles, an increase of Mexico and the United States, relatransportation of 1,764,145 miles, tive to the serious differences which and the establishment of 418 new existed between the two countries : post-ottices.

Contractors, post- the chief of which was caused by masters, and others, engaged in the recognition on the part of the this branch of the service, have American Government of the indeperformed their duties with energy pendence of Texas, and the subseand faithfulness deserving com- quent annexation of that republic, mendation. For many interesting which Mexico claims as one of her details connected with the opera own provinces, into the States of tions of this establishment you are the Union. The American Goreferred to the report of the Post vernment had despatched a Minister master-General ; and his sugges to Mexico for the ostensible purtions for improving its revenues pose of amicably adjusting the are recommended to your favour. quarrel, in the month of November, able consideration. I repeat the 1845. He arrived at the time opinion expressed in my last an when the revolution which overnual Message, that the business of threw General Herrera was on the this department should be so re- point of commencing ; and the gulated that the revenues derived Mexican Government refused to from it should be made to equal receive or accredit him. After the expenditures ; and it is be- General Paredes had established lieved that this may be done by himself as President, and the proper modifications of the pre new Government had acquired sent laws, as suggested in the some stability, the American Mireport of the Postmaster-General, nister on the 1st of March, in the without changing the present rates present year, again presented his of postage.

credentials to the Mexican Govern5. With full reliance upon the ment, and asked to be accredited wisdom and patriotism of your by it. On the 12th of that month deliberations, it will be my duty, his request was refused, and he as it will be my anxious desire, immediately demanded his passto co-operate with you in every ports and returned to the United constitutional effort to promote the States. War was afterwards form

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ally proclaimed by the American General Taylor, who had taken up President, on the 13th of May, as his position in an intrenched camp narrated in the last chapter, and before Matamoras, set out on the both countries prepared for the 1st of May with a body of about struggle.

1100 men, his whole force not It should be mentioned that exceeding 3000. He succeeded Santa Anna, the former President in his object; and having been reof the Mexican Republic, had been inforced to the extent of 23,000 expelled from power by a revolu- men, was returning to his camp tion which occurred in December, before Matamoras, when on the 1844, and was at this juncture 8th of May he fell in with the living in exile in Havannah. The Mexican army, the numbers of American Government believing which were estimated_at 6000, that he would be averse to a con

a stream called Pala Alto, flict with the United States, and and, after a severe conflict, disthat his presence in Mexico might lodged them from their position. counteract the power of Paredes, Next day a more decisive engageissued orders to its cruisers not to ment took place at Resaca de la obstruct the passage of Santa Anna Palma, about three miles from to Mexico, if he attempted to return. Matamoras, and the American

The which thus com- forces were victorious, menced was not ended at the close In a general order issued two of the present year. It is not our days after this battle, General intention to give any lengthened Taylor says "that he congratudetail of the operations, which lates the army under his comwould afford little interest to our mand

upon the signal success readers ; but we shall narrate a which has crowned its recent few of the most important and operations against the prominent incidents. The begin- The coolness and steadiness of the ning of the campaign was not troops during the action of the 8th, auspicious for the American arms. and the brilliant impetuosity with General Taylor, who commanded which the enemy's position and the forces of the United States, artillery were carried on the 9th, and who, since August 1845, had have displayed the best qualities of been encamped at Corpus Christi, the American soldier. To every in Texas, advanced in the month officer and soldier of his command, of March to the east bank of the the General publicly returns his Rio Grande, against the town and thanks for the noble manner in fortress of Matamoras, which were which they have sustained the strongly garrisoned by Mexican honour of the service and of the troops ; but frequent desertions country." took place amongst his men The Mexican army retreated his supplies were cut off,

and across the Rio Grande, and Gethe Mexicans inclosed him with neral Taylor prepared to take a superior force. A body of Matamoras by assault. The atAmerican troops occupied Point tacking columns were about to Isabel, and there was imminent cross the river which separated danger that they would be sur them from the city, on the 17th rounded and overpowered by the of May, when a Aag of truce was enemy. To relieve this place sent by General Arista, the com

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