INAUGURATION ADDRESS OF PRESIDENT TAFT NEW CHIEF EXECUTIVE OUTLINES POLICIES Definite Announcement That Extra Session of Congress Will Be Called to Consider Tariff Revision—Postal Savings Bank Is to Be Pushed—Other Recommendations. Washington, March 4. —President Taft's inaugural address, delivered after he had taken the oath of office, was as follows: My Fellow Citizens: Any one who takes the oath I have just taken must feel a heavy weight of responsibility. If not, he has no conception of the powers and duties of the office upon which he is about to enter, or he is lacking in a proper sense of the obli gation which the oath imposes. The office of an inaugural address Is to give a summary outline of the main policies of the new administra tion, so far as they can be anticipated. I have had the honor to be one of the advisers of my distinguished prede- j cessor, and as such, to hold up his i hands in the reforms he has initiated. I 1 should be untrue to myself, to my , promises and to the declarations of 1 the party platform upon which I am elected to office, if I did not make the maintenance and enforcement of those reforms a most important feature of my administration. They were di- ' rected to the suppression of the law lessness and abuses of jMWer of the ureal, combinations of capital invested , in railroads and in industrial enter- j prises carrying on interstate com- i merce. The steps which my predeces-! sor took and the legislation passed on his recommendation have accom- | plished much, have caused a general halt in the vicious policies which cre ated popular alarm, and have brought about, in the business affected, a much higher regard for existing law. To render the reforms lasting, how sver, and to secure at the same time freedom from alarm on the part of those pursuing proper and progres sive business methods, further legisla tive and executive action are needed. Relief of the railroads from certain re strictions of the anti-trust law have been urged by my predecessor and will be urged by rne. On the other hand, the administration is pledged to legis lation looking to a proper federal su pervision and restriction to prevent ex cessive issues of bonds and stocks by companies owning and operating inter state commerce railroads. Then, too, a reorganization of tlu: department of justice, of the burea* of corporations in the department of commerce and labor, and of the inter state commerce commission, looking to effective co-operation of these agencies, is needed to secure a more rapid and certain enforcement of the laws affecting interstate railroads and industrial combinations. I hope to be able to submit, at the first regular session of the incoming congress, in December next, definite suggestions in respect to the needed amendments to the anti-trust and the interstate commerce law, and the changes required in the executive de partments concerned in their enforce ment. It. is believed that with the changes to be recommended, American busi ness can be assured of that measure of stability and certainty in respect to those things that may be done and those that are prohibited, which is es sential to the life and growth of all business. Such a plan must include the right of the people to avail them selves of those methods of combining capital and effort deemed necessary to reach the highest degree of econom ic efficiency, at the same time dif ferentiating between combinations based upon legitimate economic rea sons and those formed with the intent of creating monopolies and artificially controlling prices. The work of formulating into prac tical shape such changes is creative work of the highest order, and re quires all the deliberation possible in the interval. I believe that the amend ments to be proposed are just as nec essary in the protection of legitimate business as in the clinching of the re forms which properly bear the name of my predecessor. Extra Session for March 15. A matter of most pressing impor tance is the revision of the tariff. In accordance with the promises of the platform upon which I was edected, I shall call congress into extra session, to meet on the fifteenth day of March, in order that consideration may be at once given to a bill revising the Ding ley act. This should secure an ade quate revenue and adjust the duties in such a manner as to afford to labor and to all industries in this country, whethei ui the farm, mine or factory, protection by tariff equal to the dif ference between the cost of produc tion abroad and the cost of production here, and have a provision which shall put into force, upon executive determination of certain facts, a high er or maximum tariff against those countries whose trade policy toward us equitably requires such discrimi nation. It is thought that there has been such a change in conditions since •the enactment of the Dingley act, drafted on a similarly protective prin ciple, that the measure of the tariff above stated will permit the reduction of rates in certain schedules and will require the advancement of few, if any. The proposal to revise the tariff made in such an authoritative way as to lead the business community to count upon it, necessarily halts all those branches of business directly af fected, and as these are most impor tant, it disturbs the whole business of the country. It. is imperatively neces sary, therefore, that a tariff bill be drawn in good faith in accordance witli promises made before the elec tion by the party in power, and as promptly passed as due consideration will permit. It is not that the tariff is more important in the long run than the perfecting of the reforms in re spect to anti-trust legislation and in terstate commerce regulation, but the need for action when the revision of the tariff lias been determined upon, is more immediate to avoid embar rassment of business. To secure the needed speed in the passage of the tariff bill, it would seem wise to at tempt no other legislation at the ex tra session* I venture this as a sug gestion only, for the course to be tak en by congress, upon the call of the executive, is wholly within its discre tion. For Graduated Inheritance Tax. In the making of a tariff bill, the prime motive is taxation, and the se curing thereby of a revenue. Due largely to the business depression which followed the financial panic of 1907, the reverue from customs and other sources i .s decreased to such an extent that the expenditures for the current fiscal year will exceed the re ceipts by $100,000,000. It is impera tive that such a deficit shall not con tinue, and the framers of the tariff bill must of course have in mind the total revenues likely to be produced by it.and so arrange the duties as to, secure an adequate income. Should it be impossible to do so by import du ties, new kinds of taxation must be adopted, and among these I recom mend a graduated inheritance tax, as correct in principle and as certain and easy of collection. The obligation on the part of those responsible for theexpenditures madeto carry on the government, to be as eco nomical as possible, and to make the burden of taxation as light as possible, is plain and should be affirmed in every declaration of government pol icy. This is especially true when we are face to face with a heavy deficit. But when the desire to win the popu lar approval leads to the cutting off of expenditures really needed to make the government effective, and to en able it to accomplish its proper ob jects, the result is as much to be con demned as the waste of government funds in unnecessary expenditure. The scope of a modern government in what it can and ought to accomplish for its people has been widened far beyond the principles laid down by the old laissez faire school of political writers, and this widening has met popular approval. In (lie department of agriculture, the use of scientific experiments on a large scale, and the spread of informa tion derived from them for the im provement of general agriculture, must goon. The importance of supervising busi ness of great railways and indus trial combinations, and the necessary investigation and prosecution of un lawful business methods, are another necessary tax upon government which did not exist half a century ago. Necessary Expenditures. The putting into force of laws which shall secure the conservation of our resources, so far as they may be with in the jurisdiction of the federal gov ernment, including the most impor tant work of saving and restoring our forests, and the general improvement of waterways, are all proper govern ment functions which must involve largo expenditure if properly per formed. While some of them, like the reclamation of arid lands, are made to pay for themselves, others are of such an indirect benefit that this can not be expected of them. A perma nent improvement, like the Panama canal, should be treated as a distinct Muterprise, and should be paid for by the proceeds of bonds, the issue of which will distribute its cost between the present and future generations in accordance with the benefits derived. It may well be submitted to the seri ous consideration of congress whether the deepening and control of the chan nel of a great river system, like that of the Ohio or of the Mississippi, when definite and practical plans for the enterprise have been approved and determined upon, should not be pro vided for in the same way. Then, too, there are expenditures of government absolutely necessary if our country is to maintain its proper place among the nations of the world. CAMERON COUNTY PRESS., THURSDAY MARCH 11, 1909. and is to exercise its proper influence in defense of its own trade interests, in the maintenance of traditional American policy against the coloniza tion of European monarchies in this hemisphere, and in the promotion of peace and international morality. I refer to the cost of maintaining a proper army, a proper navy and suit able fortifications upon the mainland of the United States and in its depend encies. We should have an army so organ ized, and so officered, as to be capable in time of emergency, in co-operation with the national militia, and under the provisions of a proper national volunteer law, rapidly to expand into a force sufficient to resist all probable invasion from abroad and to furnish a respectable expeditionary force, if necessary, in the maintenance of our traditional American policy which bears the name of President Monroe. Calls for Army and Navy. Our fortifications are yet in a state of only partial completeness and the number of men toman them is insuffi cient. In a few years, however, the usual annual appropriations for our coast defenses both on the mainland and in the dependencies, will make them sufficient to resist all direct at tack, and by that time we may hope that the men toman them will be pro vided as a necessary adjunct. The distance of our shores from Europe and Asia of course reduces the neces sity for maintaining under arms a great army, but it does not take away the requirement of mere prudence, that we should have an army suffi ciently large and so constituted as to form a nucleus out of which a suit able force can quickly grow. What has been said of the army may be affirmed in even a more em phatic way of the navy. A modern navy cannot be improvised. It must be built and in existence when the emergency arises which calls for its use and operation. My distinguished predecessor has in many speeches and messages set out with great force and striking language the necessity for maintaining a strong navy commensur ate with the coast line, the govern mental resources and the foreign trade of our nation; and I wish to reiterate all the reasons which he has pre sented in favor of the policy of main taining a strong navy as the best con servator of our peace with other na tions and the best means of securing respect for the assertion of our rights, the defense of our interests and the exercise of our influence in interna tional matters. Our international policy is always to promote peace. We shall enter into any war with a full conscious ness of the awful consequences that it always entails, whether successful or not, and we, of course, shall make every effort, consistent with national honor and the highest national inter est, to avoid a resort to arms. We favor every Instrumentality, like that of The Hague tribunal and arbitration treaties made with a view to its use in all international controversies, in order to maintain peace and to avoid war. But we should be blind to ex isting conditions, and should allow ourselves to become foolish idealists, if we did not realize that with all the nations of the world armed and pre pared for war, we must be ourselves in a similar condition, in order to pre vent other nations from taking ad vantage of us and of our inability to defend our interests and assert our rights with a strong hand. In the international controversies that are likely to arise in tho orient, growing out of the question of the open door and other issues, the United States can maintain her interests Intact and can secure respect for her just de mands. She will not be able to do so, however, if it is understood that she never intends to back up her asser tion of right and her defense of her interest by anything but more verbal protest and diplomatic note. For these reasons, the expenses of the army and navy and of coast defenses should always bo considered as some thing which the government must pay for, and they should not be cut off through mere consideration of econ omy. Our government is able to af ford a suitable army and a suitable navy. It may maintain them without tho slightest danger to the republic or the cause of free institutions, and fear of additional taxation ought not to change a proper policy in this re gard. The policy of the United States in the Spanish war, and since, has given it a position of influence among the nations that it never had before, and should be constantly exerted to se curing to its bona fide citizens, wheth er native or naturalized, respect for them as such in foreign countries. We should make every effort to pre vent humiliating • and degrading pro hibition against any of our citizens wishing temporarily to sojourn in for eign countries, because of race or re ligion. Defect in Federal Jurisdiction. The admission of Asiatic immi grants who can not be amalgamated with our population has been made tho subject either of prohibitory clauses in our treaties and statutes, or of strict administrative regulation secured by diplomatic negotiation. I sincerely hope that we may continue to minimize the evils likely to arise from such immigration without un necessary friction and by mutual con cessions between self-respecting gov ernments. Meantime, we must take every precaution to prevent, or, fail ing that, to punish outbursts of race feeling among our people against for eigners of whatever nationality who have by our grant, a treaty right to pursue lawful business here and to be protected against lawless assault or injury. I This leads me to point out a serious defect In the present federal jurisdic tion which ought to be remedied at once. Having assured to other coun tries by treaty the protection of our laws for such of their subjects or citizens as we permit to come within our jurisdiction, wo now leave to a state or a city, not under the control of the federal government, a duty o t performing our international obliga tions in this respect. Hy proper legis lation we may, and ought to, place in the hands of the federal executive the means of enforcing the treaty rights of such aliens in the courts of the fed eral government. It puts our govern ment in a pusillanimous position to make definite engagements to protect aliens and then to excuse the failure to perform those engagements by an explanation that the duty to keep them is in states or cities, not within ,our control. If we would promise, we must put ourselves in a position to perform our promise. We cannot per mit the possible failure of justice due to local prejudice in any state or mu nicipal government to expose us to the risk of a war which might be avoided if federal jurisdiction was as serted by suitable legislation by con gress and carried out by proper pro ceedings instituted by the executive, in the courts of the national govern ment. Monetary and Banking Laws. One of the reforms to be carried out during the incoming administra tion is a change of our monetary and banking laws, so as to secure greater elasticity in the forms of currency available for trade, and to prevent the limitations of law from operating to increase the embarrassments of a financial panic. Tho monetary com mission lately appointed is giving full consideration to existing conditions and to all proposed remedies, and will doubtless suggest one that will meet the requirements of business and of public interest. We may hope that the report will embody neither the nar row view of those who believe that the sole purpose of the new system should be to secure''a large return on bank ing capital or of those who would have greater expansion of currency with little regard to provisions for Its immediate redemption or ultimate se curity. There is no subject of eco nomic discussion so intricate and so likely to evoke differing views and dogmatic statements as this one. The commission in studying the general in fluence of currency on business and of business on currency, have wisely extended their investigation in Euro pean banking and monetary methods. Urges Postal Savings Banks. The incoming congress should promptly fulfill the promise of the Re publican platform and pass a proper postal savings bank bill. It will not be unwise or excessive paternalism. The promise to repay by the govern ment will furnish an inducement to savings deposits which private enter prise cannot supply, and at such a low rate of interest as not to withdraw custom from existing banks. It will substantially increase the funds avail able for investment as capital in use ful enterprises. It will furnish the absolute security which makes the proposed scheme of guar anty of deposits so alluring without its pernicious results. I sincerely hope that the incoming congress will be alive, as it should be, to the importance of our foreign trade and of encouraging it in every way feasible. The possibility of increas ing this trade in the orient, in the Philippines and in South America are known to everyone who has given the matter attention. The importance which the depart ment of agriculture and of commerce and labor may play in ridding the markets of Europe of prohibitions and discriminations against the Importa tion of our products is fully under stood, and it is hoped that the use of the maximum and minimum feature of our tariff law to be soon passed will be effective to remove many of those restrictions. The Panama Canal. The Panama canal will have a most important bearing upon the trade be tween the eastern and the far western sections of our country, and will great ly increase the facilities for transpor tation between the eastern and west ern seaboard, and may possibly revo lutionize the transcontinental rates with respect to bulky merchandise. It will also have a most beneficial effect to increase tho trade between the east ern seaboard of the United States and the western coast of South America, and, indeed, with some of the im portant ports on the east coast of South America reached by rail from the west coast. The work on the canal is making most satisfactory progress. Tho type of the canal as a lock canal was fixed by congress after a full consideration of the conflicting reports of the majority and minority of the consulting board, and after the recommendation of the war depart ment and the executive upon those reports. Recent suggestion that some thing had occurred on the isthmus to make the lock type of the canal less feasible than it was supposed to be when the reports were made and the policy determined on, led to a visit to th 3 isthmus of a board of competent engineers to examine the Gatun dam and locks which are the key of the lock type. The report of that board shows that nothing has occurred in the nature of newly revealed evi dence which should change the views onse formed in original discussion. The construction will goon under a most effective organization controlled by Col. Goethals and his fellow army engineers associated with him. and will certainly be completed early in the next administration, if not before. Some type of canal must be con structed. .The lock type has been se- lected. We are all in favor of having it built as promptly as possible. We *nust not now, therefore, keep up a fire in the rear of the agents whom we have authorized to do our work on the Isthmus. We must hold up their hands, and speaking for the incoming administration, I wish to say that I propose to devote all the energy pos sible and under my control, to the pushing of this work on the plans which have been adopted, and to stand behind the men who are doing faithful hard work to bring about the early completion of this, the greatest con structive enterprise of modern times. The governments of our dependen cies in Porto Rico and the Philippines are progressing as favorably as could be desired. The prosperity of Porto Rico continues unabated. The busi ness conditions in the Philippines are not all that we could wish them to be, but with the passage of the new tariff bill permitting free trade between the United States and the archipelago, with such limitations in sugar and to bacco as shall prevent injury to the domestic interests on those products, we can count on an improvement in business conditions in the Philippines and the development of a mutually profitable trade between this country and the islands. Meantime our gov ernment in each dependency is up holding the traditions of civil liberty and increasing popular control which might be expected under American au spices. The work which we are doing there redounds to our credit as a na tion. Cites Progress of Negroes. I look forward with hope tq increas ing the already good feeling between the south and the other sections of the country. My chief purpose is not to effect a change in the electoral vote of the southern states. That is a sec ondary consideration. What I look for ward to is an increase in the tolerance of political views of all kinds and their advocacy throughout the south, and the existence of a respectable political opposition in every state; even more than this, to an increased feeling on the part of all the people In the south that this, government is their govern ment, and that its officers in their states are their officers. The consideration of this question cannot, however, be complete and full with reference to the negro race, its progress and its present condition. The 13th amendment secured them freedom; the 14th amendment due process of law, protection of property and the pursuit of happiness; and the 16th amendment attempted to secure the negro against any deprivation of tho priviliege to vote, because he was a negro. The 13th and 14th amend ments have been generally enforced and have secured the objects for which they were intended. While the iCth amendment has not been gener ally observed in the past, it ought to be observed, and the tendency of southern legislation to-day is toward the enactment of electoral qualifica tions which shall square with that amendment. Of course, the mere adoption of a constitutional law is only one step in the right direction. It must be fairly and justly enforced as well. In time both will come. Hence it is clear to all that the dom ination of an ignorant, irresponsible element can be prevented by consti tutional laws which shall exclude from voting both negroes and whites not having education or other qualifica tions thought to be necessary for a proper electorate. The danger of the control of an ignorant electorate lias therefore passed. With this change, the interest which many of the south ern white citizens take in the welfare of the negroes has increased. The colored man must base their hope on the results of their own industry, self restraint, thrift and business success, as well as upon the aid and comfort and sympathy which they may receive from their white neighbors of the south. There was a time when north erners who sympathized with the ne-' groin his necessary struggle for bet ter conditions sought to give to him the suffrage as a protection, and to enforce its exercise against the pre vailing sentiment of the south. The movement proved to be a failure. What remains is the 15th amendment to the constitution and the right to have statutes .of states specifying qualifications for electors subjected to the test of compliance with that amendment. This is a great protec tion to the negro. It will never be re pealed, and it never ought to be re pealed. If it had not been passsed, it might be difficult now to adopt it; but with it in our fundamental law, the policy of southern legislation must and will tend to obey it, and so long as the statutes of the states meet the test of this amendment and are not otherwise in conflict with the consti tution and laws of the United States, it is not the disposition or within the province of the federal government to interfere with the regulation by south ern slates of their domestic affairs There is in the south a stronger feel ing than ever among the intelligent, well-to-do and influential element in favor of the industrial education of the negro and the encouragement of the race to make themselves useful members of the community. The progress which the negro has made in the last 50 years from slavery, when its statistics are reviewed, is marvel ous, and it furnishes every reason to hope that in the next 25 years a still greater improvement in his condition as a productive member of society, on the farm, and in the shop and in other occupations, may come.# The negroes are now Americans. Their ancestors came here years ago against their 1 will, and this is their only country and their only flag. They have shown themselves anxious to live for it and wi'Jing to die for it. Encountering 1 the race feeling against them, sub- jecf«d at times to cruel injustice grow-, ing out of it, they may well have our profound sympathy and aid in tha 1 struggle they are making. We ar* charged with the sacred duty of mak ing their path as smooth and easy as we can. Any recognition of their distinguished men, any appointment to office from among their number, is properly taken as an encouragement, and an appreciation of their progress, and this just policy shall be pursued. Sees Era of Better Feeling. But it may well admit of doubt whether, in the case of any race, an appointment of one of their number to a local office in a community in which the race feeling is so wide spread and acute as to interfere with the ease and facility with which tho local government business can be done by the appointee, is of sufficient benefit by way of encouragement to the race to outweigh the recurrence and increase of race feeling with such an appointment is likely to engender. Therefore, the executive, in recogniz ing the negro race by appointments, must exercise a careful discretion not thereby to do it more harm than good. On the other hand we must be careful not to encourage the mere pretense of race feeling manufactured in the in terest of individual political ambition. Personally I have not the slightest race prejudice or feeling, and recogni tion of its existence only awakens in my heart a deeper sympathy for those who have to bear it or suffer from it, and I question the wisdom of a policy which is likely to increase it. Mean time, if nothing is done to prevent, a better feeling between the negroes and the whites in the south will con tinue to grow, and more and more of the white people will come to realize that the future of the south is to be much benefited by the industrial and intellectual progress of the negro. The exercise of political franchises by those of his race who are intelligent and well-to-do will be acquiesced in, and the right to vote will be withheld only from the ignorant and irresponsi ble of both races. Labor Legislation. There is one other matter to which I shall refer. It was made the subject of great controversy during the elec tion, and calls for at least a passing reference now. My distinguished prede cessor has given much attention to the cause of labor, with whose struggle for better things he has shown the sin cerest sympathy. At his instance, con gress has passed the bill fixing the lia bility of interstate carriers to their employes for injury sustained in the course of employment, abolishing the rule of fellow-servant and the common law rule as to contributory negligence. It has also passed a law fixing the compensation of government employes for injuries sustained in the employ of the government through the negli gence of the superior. It also passed a model child labor law for the Dis trict of Columbia. In previous admin istrations an arbitrary law for inter state commerce railroads and their employes, and laws for the application of safety devices to save the lives and limbs of employes of interstate rail roads had been passed. Additional legislation of this kind was passed by the outgoing congress. I wish to say that in so far as I can, I hope to promote the enactment of further legislation of this charac ter. I am strongly convinced that the government should make itself as re sponsible to employes injured in its employ as an interstate railway cor poration is made responsible by fed eral law to its employes. Federal Injunctions Upheld. Another labor question has arisen which has awakened the most excited discussion. That is in respect to the power of the federal courts to issue in junctions in industrial disputes. As to that, my convictions are fixed. Take away from the courts, if it could be taken away, the power to issue in junctions in labor disputes, and it would create a privileged class among the laborers and save the lawless among their number from a most need ful remedy available to all men for the protection of their business against lawless invasion. The proposition that business is not a property or pe cuniary right which can be protected by equitable injunction is utterly without foundation in precedent or reason. The proposition is usually linked with one to make the second ary boycott lawful. Such a proposi tion is at variance with the American instinct and will find no support in my judgment when submitted to the American people. The secondary boy cott is an instrument of tyranny, and ought not to be made legitimate. The issuing of a temporary restrain ing order without notice has in sev eral Instances been abused by its In considerate exercise, and to remedy this, the platform upon which I was elected recommends the formulation in . a. statute of the conditions under which such a temporary restraining order ought to issue. A statute can and ought to be framed to embody the best modern practioe, and can bring the subject so closely to the atten tion of the court as to make abuses of the process unlikely in the future. American people, if I understand them, insist that the authority of the courts shall bo sustained and are opposed to any change in the procedure by which the powers of a court may be weak- "• ened and the fearless and effective ad ministration of justice be interfered ' With. Having thus reviewed the questions ■ likely to recur during my administra tion, and having expressed in a sum mary way the position which I expect to take in recommendations to con gress and in my conduct as an ex ecutive, I invoke the considerate sym pathy and support of my fellow citi zens, and the aid of Almighty God in the discharge of my responsible du ties. 3