88 ADMINISTRATION OF PRIETO. [1839. 



prohibiting the election of the same person for a third succes- 

 sive term. 



With the accession of Prieto to the Chief Magistracy, a 

 new era dawned upon Chili. He found everything in con- 

 fusion and disorder ; the military fast gaining the ascen- 

 dency ; and a national debt already contracted amounting 

 to the enormous sum of over eight million piasters.* He 

 was just the man for the crisis ; and he was warmly and 

 ibly seconded in his efforts to restore the credit and char- 

 icter of the country, by his minister of war and the interior, 

 Diego Portales. Certain means were taken to develop the 

 ^sources of the state ; commerce was fostered, and industry 

 md enterprise of every kind encouraged ; the government 

 vas administered firmly, but mildly ; the taxes were re- 

 duced, and order and economy rigidly enforced in every 

 branch of the public service. Congress kept pace with the 

 Executive ; and its legislation was so directed as to secure 

 the perfect liberty of the citizen, so far as was compatible 

 with the public safety, and absolute equality under the law 

 to every man. No titles or special privileges were permitted 

 to be conferred, and all distinctions between native and 

 adopted citizens were abolished. One happy result of the 

 financial measures of Prieto, was the rapid increase of the 

 revenue — an advance of more than two hundred and fifty 

 per cent, in the annual receipts being realized in the short 

 space of twelve years — and, as a necessary consequence, the 

 speedy extinguishment of the public debt. Ever since the 

 year 1835, there has been a surplus of the revenue over the 

 expenditure; in 1842, the former amounted to three million 

 eight hundred thousand piasters, and the latter to two million 

 four hundred thousand, — showing a surplus of nearly fourteen 

 hundred thousand piasters. In May, 1843, Chilian six per 

 cents rose to 93, and in 1845 they were quoted at 104. Too 

 much praise cannot be awarded to Prieto, for his wise, skil- 

 ful, and successful statesmanship ; the chief merit of accom- 

 plishing these splendid results within so brief a period is 



* About ten million dollars, federal currency. 



