152 



CONGRESS. (THE PRESIDENT'S MESSAGE.) 



Western sections of the country have also availed 

 themselves largely of the privileges under the 

 new law. 



A large increase in national-bank note circula- 

 tion has resulted from the provision of the act 

 which permits national banks to issue circulat- 

 ing notes to the par value of the United States 

 bonds deposited as security instead of only 90 

 per cent, thereof, as heretofore. The increase_ m 

 circulating notes from March 14 to Nov. 30 is $77,- 

 889.570. 



The party in power is committed to such legis- 

 lation as will better make the currency respon- 

 sive to the varying needs of business at all sea- 

 sons and in all sections. 



Our foreign trade shows a remarkable record 

 of commercial and industrial progress. The total 

 of imports and exports for the first time in the 

 history of the country exceeded $2,000,000,000. 

 The exports are greater than they have ever been 

 before, the total for the fiscal year 1900 being 

 $1.394.483.082, an increase over 1899 of $167,459,- 

 780. an increase over 1898 of $163,000,752, over 

 1897 of $343,489,526, and greater than 1896 by 

 $511.876.144. 



The growth of manufactures in the United 

 States is evidenced by the fact that exports of 

 manufactured products largely exceed those of 

 any previous year, their value for 1900 being $433,- 

 851,756, against $339,592,146 in 1899, an increase 

 of 28 per cent. 



Agricultural products were also exported during 

 1900 in greater volume than in 1899, the total for 

 the year being $835,858,123, against $784,776,142 in 

 1899. 



The imports for the year amounted to $849,941,- 

 184, an increase over 1899 of $152,792,695. This 

 increase is largely in materials for manufacture, 

 and is in response to the rapid development of 

 manufacturing in the United States. While there 

 was imported for use in manufactures in 1900 ma- 

 terial to the value of $79,768,972 in excess of 

 1899, it is reassuring to observe that there is a 

 tendency toward decrease in the importation of 

 articles manufactured ready for consumption, 

 which in 1900 formed 15.17 per cent, of the total 

 imports, against 15.54 per cent, in 1899 and 21.09 

 per cent, in 1896. 



I recommend that the Congress at its present 

 session reduce the internal-revenue taxes imposed 

 to meet the expenses of the war with Spain in the 

 sum of $30,000,000. This reduction should be se- 

 cured by the remission of those taxes which ex- 

 perience has shown to be the most burdensome to 

 the industries of the people. 



I specially urge that there be included in what- 

 ever reduction is made the legacy tax on be- 

 quests for public uses of a literary, educational, 

 or charitable character. 



American vessels during the past three years 

 have carried about 9 per cent, of our exports and 

 imports. Foreign ships should carry the least, 

 not the greatest, part of American trade. The 

 remarkable growth of our steel industries, the 

 progress of shipbuilding for the domestic trade, 

 and our steadily maintained expenditures for the 

 navy have created an opportunity to place the 

 United States in the first rank of commercial 

 maritime powers. 



Besides realizing a proper national aspiration 

 this will mean the establishment and healthy 

 growth along all our coasts of a distinctive na- 

 tional industry, expanding the field for the prof- 

 itable employment of labor and capital. It will 

 increase the 'transportation facilities, and reduce 

 freight charges on the vast volume of products 

 brought from the interior to the seaboard for ex- 



port, and will strengthen an arm of the national 

 defense upon which the founders of the Govern- 

 ment and their successors have relied. In again 

 urging immediate action by the Congress on meas- 

 ures to promote American shipping and foreign 

 trade, I direct attention to the recommendations 

 on the subject in previous messages, and particu- 

 larly to the opinion expressed in the message of 

 1899: 



" I am satisfied the judgment of the country fa- 

 vors the policy of aid to our merchant marine, 

 which will broaden our commerce and markets 

 and upbuild our sea-carrying capacity for the 

 products of agriculture and manufacture, which, 

 with the increase of our navy, mean more work 

 and wages to our countrymen, as well as a safe- 

 guard to American interests in every part of the 

 world." 



The attention of the Congress is invited to the 

 recommendation of the Secretary of the Treasury 

 in his annual report for legislation in behalf of the 

 revenue-cutter service, and favorable action is 

 urged. 



In my last annual message to the Congress I 

 called attention to the necessity for early action 

 to remedy such evils as might be found to exist 

 in connection with combinations of capital or- 

 ganized into trusts, and again invite attention to 

 my discussion of the subject at that time, which 

 concluded with these words: 



" It is apparent that uniformity of legislation 

 upon this subject in the several States is much 

 to be desired. It is to be hoped that such uni- 

 formity, founded in a wise and just discrimina- 

 tion between what is injurious and what is useful 

 and necessary in business operations, may be ob- 

 tained, and that means may be found for the Con- 

 gress, within the limitations of its constitutional 

 power, so to supplement an effective code of State 

 legislation as to make a complete system of laws 

 throughout the United States adequate to com- 

 pel a general observance of the salutary rules to 

 which I have referred. 



"The whole question is so important and far- 

 reaching that I am sure no part of it will be 

 lightly considered, but every phase of it will have 

 the studied deliberation of the Congress, resulting 

 in wise and judicious action." 



Restraint upon such combinations as are injuri- 

 ous and which are within Federal jurisdiction 

 should be promptly applied by the Congress. 



In my last annual message I dwelt at some 

 length upon the condition of affairs in the Philip- 

 pines. While seeking to impress upon you that 

 the grave responsibility of the future government 

 of those islands rests with the Congress of the 

 United States, I abstained from recommending at 

 that time a specific and final form of government 

 for the territory actually held by the United 

 States forces and in which as long as insurrection 

 continues the military arm must necessarily be 

 supreme. I stated my purpose, until the Congress 

 shall have made the formal expression of 'its will, 

 to use the authority vested in me by the Constitu- 

 tion and the statutes to uphold the sovereignty of 

 the United States in those distant islands as in all 

 other places where our flag rightfully floats, pla- 

 cing, to that end, at the disposal of the army and 

 navy all the means which the liberality of the 

 Congress and the people have provided. No con- 

 trary expression of the will of the Congress hav- 

 ing been made, I have steadfastly pursued the pur- 

 pose so declared, employing the civil arm as well 

 toward the accomplishment of pacification and 

 the institution of local governments within the 

 lines of authority and law. 



Progress in the hoped-for direction has been fa- 



