4,885,777 tons; the number cleared 10,810, of 4319,439 tons. Of the total tonnage 30 per cent. was national, 30 per cent. British, 16 per cent. French, and 7 per cent. Italian.

Railroads. There were 6,940 miles of railroad completed in 1889, and 2,990 miles under construction. The receipts were $21,000,000 and the expenses $12,250,000 in 1888.

Post-Office and Telegraphs.--Of 14,700 miles of telegraph lines in operation in 1888 the state owned 7,300 miles, The total length of wires was 25,550 miles. The number of dispatches in 1889 was 3,511,420. In November, 1889, a concession was granted for a direct cable between Buenos Ayres and Europe, to be ready for operation within two years and a half. The postal traffic in 1889 was 42,965,555 letters, 965,269 postal cards, and 32,793,607 newspapers, etc.

The Army and Navy.-The regular army consists of 1,000 artillery, 2,500 cavalry, and 3,500 infantry, exclusive of officers, who number 1,129 of all grades. The militia comprises 236,000 men between the ages of seventeen and fortyfive years.

The navy in 1889 comprised 1 sea-going armorclad, the "Almirante Brown," of 4,200 tons displacement, with 9-inch steel-faced armor; 2 ironclad monitors; 1 deck-protected cruiser; 6 gunboats; and 9 torpedo boats, besides dispatch boats, transports, and sailing vessels. Two torpedo gunboats, each armed with 6 Nordenfeldt quick-firing guns, 2 gatling guns, and 5 torpedo tubes, were launched in England in 1890.

Financial History.-The material development of the Argentine Republic was begun by the reforms of Gen. Roca, who became President in 1880. In the former era, when cattlebreeding was the only large industry of the country and hides were almost the only article of export, the city and province of Buenos Ayres dominated the confederation, and political power was attained by adventurers who lavished their money in attaching to their fortunes a sufficient following of guacho desperadoes, the semi-civilized half-breed cattle-men of the plains, who constituted the only fighting class in the community. Roca neutralized this turbulent element by creating a disciplined army armed with repeating rifles. The federal republic became more of a reality when the city of Buenos Ayres was separated from the province and made the national capital, and the provincial debt was assumed by the Federal Government, and when public improvements were introduced with the aid of the Central Government in the other provinces. With the promise of orderly political conditions and the encouragement given by the Government to agriculture and sheep growing, capital and labor poured into the country from Europe. The building of railroads, mainly with money borrowed in England, was attended with jobbery and political corruption of the most flagrant character. A period of excessive speculation followed, and this was stimulated by European bankers, who, on the strength of the remarkable growth of production and commerce, could find a ready market for any kind of Argentine securities. Even cedulas, a species of mortgage bonds secured on private lands payable to bearer, that were issued on the guarantee of the Provincial Hypothecary Bank, a branch of the ProVOL. XXX.-2 A

vincial Bank of Buenos Ayres, were put on the market, first by the Deutsch Bank of Berlin, and found purchasers all over Europe. The Provincial and Hypothecary banks, which, through the privileges granted by the Government of Buenos Ayres, possessed almost a monopoly of the credit business of the country, were owned and controlled by Buenos Ayrean politicians, who exerted their financial influence to secure the succession to the presidency for the governor of the province. To counterbalance their power, President Roca, who had selected his brother-inlaw, Juarez Celman, to succeed him, founded, in 1884, the National Bank, which was made the fiscal agent of the National Government and of all the provinces except Buenos Ayres, and to this the Congress annexed in the following session a National Hypothecary Bank, with power to issue cedulas on real estate in the capital and national territories. These transferrable mortgage deeds, passing from hand to hand, served as a kind of money, and thus inflated the circulating medium. By means of these financial institutions and by military and official violence and intimidation, Celman was elected and the ascendency secured for the "Cordoba gang,” who have the reputation among the Argentines not of their province of being the most corrupt band of public plunderers that ever infested and ruined a prosperous country. These charges they met at the beginning of Celman's administration by an investigation of the affairs of the Provincial Bank, which proved fraud and peculation to be rife also among their rivals, the politicians of Buenos Ayres.

Paper money stood at par with gold from 1883 till 1885, the amount in circulation when it began to depreciate being $58,000,000. In those two years foreign commerce increased by $33,810,699. The revenue of the Government increased rapidly, and expenditures at a still greater rate. With the influx of Italian and Spanish immigrants began an era of wild speculation and the creation of fictitious values. In response to a call for an increased circulating medium, the Congress authorized the National Bank to issue $41,000,000 additional of paper currency. Under the pretense of reforming the financial system and creating a secured currency, but in reality to satisfy the demand for inflation, a law was passed on Nov. 3, 1887, establishing a system of national banks on the model of those of the United States. Under this law there sprang into existence forty banks, with a capital of $350,000,000, and by October, 1889, they had issued $158,000,000 of currency, secured by national bonds deposited with the Government. emission and the continued influx of British, French, Belgian, and German capital, led to a still greater inflation of values. From $750,000,000 to $1,000,000,000 of English capital is said to be invested in the Argentine Republic and its securities. The gold agio, instead of being lowered by the national banking law, was aggravated. Then came the free banking law, and in a little while the issue of paper currency amounted to $190,000,000, which was increased subsequently to $225,000,000 by clandestine issues that were legalized by the Government. The cedulas, which were practically an addition to the paper currency, continued to be issued

This

without restriction, the total amount outstanding on July 1, 1890, being $411,440,000. The Government attempted to check the depreciation of the currency by the childish and futile expedient of prohibiting speculation in gold, and at the same time authorized a new emission of $40,000,000 of bank notes. The movement was momentarily arrested by the law passed on Oct. 18, 1889, ordering the currency issues to be gradually reduced to $100,000,000, and declaring that no new notes should be issued before May 1, 1891. Taking advantage of a reaction in speculative values and the general distrust of the capabilities of the ministers to deal with the crisis, manipulators of the gold market afterward sent up the premium to 215. The mercantile community saw ruin before them, and the laboring classes, who form three fourths in number of the depositors in the banks, witnessed their savings reduced by two thirds, with the prospect of the dollar becoming worth only five cents in gold, as formerly. A mass meeting was called in Buenos Ayres, which was attended by 15,000 armed men, and a revolution was imminent, when the pressure of public opinion made the ministers, who with the President were held to be chiefly responsible for the financial crisis, resign. When Francisco Uriburu assumed the department of Finance, in April, 1890, his advent was welcomed by an immediate fall in gold of 75 points. The corruption of the previous ministers was made apparent by the discovery of custom-house frauds amounting to ten or fifteen million dollars a year. An English syndicate that was heavily interested in Argentine securities bought the Western Railroad of Buenos Ayres from the state for $41,000,000 in gold, in order to provide means to arrest the crisis. But this object was frustrated by the surreptitious issue of additional paper currency, on the discovery of which Señor Uriburu called for the removal of Señor Pacheco and the other directors of the National Bank.

The New Financial Programme.-President Celman saved himself by changing ministers, and his fate depended on the performance of the new Cabinet. At the opening of the Congress on May 10, he declared that it was not the intention of the Government to inflate the currency, but to reduce expenditure, and proposed that import duties should be made payable half in gold, a measure that was carried out. He declared that, instead of discouraging, he would welcome the formation of opposition parties. The bane of Argentine politics has been the dictatorial and partisan exercise by the President of powers far in excess of any contemplated in the Constitution and the subordination of all the interests of the country to the advantage of the party in control of the Government. No President had made himself more hated than Juarez Celman. But even his enemies regarded his acceptance of independent ministers and his patriotic professions as indicative of a radical change of methods and policy. Señor Uriburu arranged the preliminaries of an English loan of £10,000,000 sterling, and on June 7 the Cabinet approved his financial scheme, including the dismissal of the Government directors of the National Bank. Dr. Celman was not sufficiently free from party dictation to sanction this step, and when he re

fused to sign the order Señor Uriburu resigned, and on June 9 was succeeded by Juan Augustin Garcia. The Minister of Justice likewise retired, José Antiqueta taking this portfolio. Señor Garcia promised to carry out the economical and administrative reforms announced by the retiring minister, and to place the currency on a sound basis by realizing on the securities in the treasury of the value of $65,000,000, and concluding the English loan on the conditions proposed, which were that no new paper currency or cedulas should be issued for three years. In order to rescue his friends from the consequences of the illegal issues of notes that had already been made, the President decided to reverse this policy. On July 7 he sent a message to the Chambers authorizing the issue of $100,000,000 of cedula or hypothecary notes. The financial situation was already disturbed by the passing of dividends by the National Bank. The price of gold rose to 215. Distrust of the Government and of the National Bank, increasing with each new authorized or unauthorized emission of bank notes, caused an actual dearth of money because the banks added to their reserves as the situation became more critical, and thus withdrew more and more currency from the general circulation. Individuals also began to hoard, losing faith in all banks. Some clamored for the issue of notes to take up all the cedula, others for unlimited emissions of paper, with the cancellation of all gold contracts.

Revolutionary Outbreak.-The Union Civica was a party organized to oppose the criminal improvidence and misgovernment of the President and his party. Celman was reputed to have amassed a fortune of $50,000,000 in gold during his tenure of office, while his subordinates were said to be more dangerous and unprincipled than himself. For months the assassination of the President was debated as the best means of ridding the Republic of the incubus under which it was sinking. When a state of panic resulted from the violation of his pledges of reform, with gold fluctuating between 200 and 300, and the credit system in danger of breaking down altogether, the revolutionary spirit rose to the critical point. Without the army a revolutionary uprising must necessarily fail; but in the army the Opposition had strong and devoted adherents. It was among the officers that the violent overthrow of the Government was favored, rather than among the civilians, who feared that the effects would be more disastrous to the country than the evils of bad government. Two officers, named Palma and Morisine, informed the civil authorities that there existed among their brotherofficers of the garrison of Buenos Ayres a conspiracy to upset the Celman Government and banishthe President from the country. In consequence of their revelations Gen. Campos, Col. Figueroa, Maj. Casariego, and other officers were arrested and armed police and cavalry were set to watch suspected bodies of infantry and artillery. These measures did not tend to allay disaffection, and the situation was felt to be so grave that Gen. Roca, Vice-President Pellegrini, and other leaders of his own party warned Celman that he must promptly adopt a reform policy to avert disaster. On July 23 he promised to submit the nomination of his successor to a convention of all former

office-holders, and to abstain from official interference in the elections.

An insurrection broke out on the morning of July 26. It was begun by the troops commanded by the imprisoned officers, the artillery making the first manifestation. The leaders of the Union Civica joined the insurgent troops with many civilians, who were armed with Remington rifles that were provided for them. Only two battalions of infantry and the police remained faithful to the Government. The police began the firing. The barracks and the arsenal were in the hands of the Opposition. Gen. Manuel J. Campos, who, with the other imprisoned officers was set at liberty, took command. The people of the city were in sympathy with the movement, and many of them took part in the fighting, firing on the police from their houses. A regiment of artillery, three of infantry, the engineers, and the school of cadets were engaged in the insurrection. A revolutionary committee, composed of the leaders of the Union Civica, took control and issued edicts as a provisional government. They were Dr. Leandro N. Alem, the President of the Union Civica, Lucio Vicente Lopez, Professor of Constitutional Law in the university, Aristobulo del Valle, ex-President of the Senate, Juan José Romero, ex-Minister of Finance, Michael Goyena, ex-Minister of Justice and ex-President of the Chamber of Deputies, and Mariano de Maria, a distinguished lawyer and former Deputy. The result of the first day's fighting, which was very severe, was adverse to the Government. On the 27th, a battalion of the Government troops went over to the insurgents. The President went to San Martin on the first day to bring provincial troops to his aid. He proclaimed the country in a state of siege, and called out the National Guard at Buenos Ayres, Cordoba, and Santa Fe. Dr. Pellegrini directed operations on the side of the Government. On the second day the artillery and the ships in the harbor, the navy having chosen the popular side, fired on the Government House. An armistice was arranged in the afternoon. The Minister of War was wounded, and the Minister of Finance made prisoner by the Civicas. On the morning of the 28th, before the armistice was over, Dr. Celman returned with fresh troops, consisting of a large force of guacho militia and forty pieces of artillery. The Union Civica had not pressed the advantage gained on the first day, but had agreed to an armistice and entered into negotiations for surrender for the reason that all the cartridges were exhausted. When the soldiers went to the arsenal for a fresh supply, they found nothing but empty boxes. Though the Government now had them at its mercy, it did not proceed to extreme measures, but came to a compromise. The soldiers and civilians who took part in the revolt were promised immunity, bat officers of the grade of captain and above were to lose their commissions. The President, on his part, promised that the ministry should be reconstituted and reforms prosecuted. During the fighting at least 1,000 people were killed and 5,000 wounded.

Retirement of Celman.-Gen. Roca and Vice-President Pellegrini, who brought about a cessation of the civil disturbances, obtained a pledge from President Celman that he would re

sign. When the authority of the Government was re-established in the capital and the military helplessness of the Opposition was made apparent he again changed his mind and determined to hold on to power, although he dared not show himself in public without a military guard. At a Cabinet meeting it was decided to postpone all payments from the treasury for thirty days, and the question of a forced paper currency was discussed. Dr. Pellegrini and Gen. Roca, who were present, insisted on the resignation of the President, but he proposed to escape from his difficulties by taking Roca and Eduardo Costa into the Cabinet as Ministers of the Interior and of Public Instruction. They refused, and Dr. Pellegrini declared that he would resign his office of Vice-President unless the President retired. Abandoned by the respectable portion of his own party, Celman offered the Cabinet posts to the chiefs of the Opposition, and these also insisted on his laying down his office as the prime condition. Failing in this quarter, the President endeavored to placate the menacing citizens by proposing to secure for the capital autonomous government and other tempting rights and immunities, but with sullen persistence they called on him to resign. The resignation of the Ministers of Foreign Affairs and of Finance, Saenz Peña and Garcia, from the Cabinet left him more impotent and isolated, and when Gen. Levalle, the Minister of War, informed him that the army could not be relied on to defend him in the Presidency he finally offered his resignation on Aug. 5, after Señor Dardo Rocha had made a vain attempt to form a ministry. The faction of Celman and Carcano demanded as a condition of the acceptance of the resignation that Dr. Pellegrini, Celman's constitutional successor, should retire at the same time in order that one of their friends might succeed to the control of affairs; but the committee of the Chambers that had had charge of the matter threatened Celman with removal and impeachment if he withdrew his resignation. Under the fear of exposure and punishment, he therefore, on Aug. 6, presented his resignation in a formal message to the Congress, which accepted it by a vote of 61 to 22 in joint session.

The New Government.-President Pellegrini succeeded on Aug. 7 in obtaining a ministry, composed as follows: Minister of Finance, Fidel Vicente Lopez, the President of the Provincial Bank; Minister of Foreign Affairs, Eduardo Costa; Minister of Justice and Education, José M. Gutierrez Lastra; Minister of the Interior, Gen Roca: Minister of War, Gen Levalle. The first acts of the new Government were to raise the state of siege proclaimed by President Celman and restore the liberties of the press, that had been suspended. The emission of $100,000,000 of hypothecatory notes that was sanctioned by the Chambers was canceled by the Government, which obtained authority to issue $60,000,000 of treasury notes and to borrow $35,000,000 on 44-per-cent, bonds for the purpose of withdrawing the unauthorized issue of National Bank notes; also to raise a foreign loan of $20,000,000 at 5 per cent. in order to pay off obligations maturing in 1891. Notwithstanding the fresh expansion of the currency, confidence in the new administration of the Government and of

the banks brought down the premium on gold from 315 to less than 200. All the officers implicated in the revolution were restored to their former ranks, against the judgment of Gen. Levalle, who retired from the ministry on Aug. 21, together with the Minister of Finance, whose treatment of the men that were responsible for irregularities in the banks was considered too stringent.

ARIZONA, a Territory of the United States, organized Feb. 24, 1863; area, 113,020 square miles. The population, according to each decennial census, was 9,658 in 1870; 40,440 in 1880; and 59,691 in 1890. Capital, Phenix.

Government. The following were the Territorial officers during the year: Governor, Lewis Wolfley, Republican, who resigned early in September, and was succeeded by Secretary Murphy as acting Governor until the confirmation of John M. Irwin, of Iowa, Republican, in October; Secretary, Nathan O. Murphy; Treasurer, John Y. T. Smith; Auditor, Thomas Hughes; Attorney-General, Clark Churchill; Superintendent of Public Instruction, George W. Cheyney; Commissioner of Immigration, John A. Black; Chief Justice of the Supreme Court, James H. Wright, succeeded by Henry C. Gooding; Associate Justices, Joseph H. Kibbey and Richard E. Sloan (who, in October, 1889, succeeded Justice William H. Barnes). A bill providing for the appointment of a fourth justice was signed by President Harrison on Oct. 1.

When the year began, the contest over the leading Territorial offices between the Democratic appointees of the late Gov. Zulick and the Republican appointees of Gov. Wolfley was still undecided. Treasurer Foster had yielded his office to the Republican claimant, John Y. T. Smith, pursuant to a decision of the court; but the Democratic Auditor, Attorney-General, Superintendent of Public Instruction, Commissioner of Immigration, Insane Asylum commissioners, prison commissioners, and directors of the normal school were still in possession of their offices, having refused the formal demands of the Republican claimants. The case of these officials differed from that of the Treasurer, inasmuch as the Territorial law provided that the Treasurer should be commissioned by the Governor alone and fixed no term for his office (the court decided that by implication his term was during the pleasure of the Governor); while in case of the other officials the law required the consent of the Legislative Council to their appointment and limited their terms to two years, the Governor having power to fill vacancies. It was claimed by the Democratic incumbents that the law of Congress limiting the legislative sessions to sixty days should be construed to mean sixty consecutive days from the opening of the session; that the session of 1889 had expired by this limitation before Gov. Wolfley was appointed; that the latter when he assumed office had no authority to make appointments, as the vacancies in the Territorial offices had already been filled by Gov. Zulick after the sixty-day limit had expired; that the appointees of the latter, therefore, had a right to their offices till the next Legislature should assemble; and that the action of the Republican members of the Legislature of 1889 in prolonging the session beyond the sixty

day limit and confirming Gov. Wolfley's appointments was null and void. The Republican claim was that "sixty days" meant the sixty days on which the Legislature was actually in session, or legislative days; and that when the appointees of Gov. Wolfley were confirmed the sixty legis lative days had not expired. Early in 1889 the opinion of United States Attorney-General Miller was sought upon the question, and by a decision rendered on March 16 and renewed on July 16 of that year he declared that the law meant sixty consecutive days, and that all legislative action thereafter taken was void, This opinion, sustaining the course of the Democratic officials, greatly hampered the Governor, for under the new Territorial code, adopted at the session of 1887, he had not even the power of removal for cause. The question could not be definitely decided until the courts had been appealed to, and the Governor was not disposed to recognize the "hold-overs" before that time. Early in January George W. Cheyney, the Republican appointee for Superintendent of Public Instruction, began a suit against Treasurer Smith which indirectly involved the determination of the dispute. He petitioned the Supreme Court for a mandamus directing the Treasurer to pay him the amount of his salary as Superintendent, the appropriation bill therefor having been passed by the last Legislature after the sixty consecutive days had elapsed. The opinion of the court was delivered in March, two of the three judges deciding that "sixty days" meant sixty legislative days, and that the appropriation bill was therefore passed legally. This decision, which was directly contrary to the opinion of Attorney-General Miller, disposed of the claim of the "holdovers." The same court had already decided to recognize Hon. Clark Churchill as the de facto Attorney-General, and the Democratic Auditor and Superintendent of Public Instruction also soon relinquished their claims. But Immigration Commissioner Farish and the Democratic commissioners of the Territorial institutions still refused to yield, and late in April Attorney-General Churchill began suits against them for illegally usurping their offices. All these suits were decided against the defendants, and before the end of July Gov. Wolfley's appointees were everywhere established in control.

Finances. The total bonded debt of the Territory is $633,000, on which the annual interest is $45,780, an average rate of about 7.25 per cent. There is also a floating debt bearing 10 per cent. interest, represented by unpaid warrants, which on Sept. 1 amounted to $124,158.95, making the total Territorial debt $757,158.95. The aggre gate of the county debt is $2,221,010. The following table shows the indebtedness of the cities:

is estimated at less than $40,000, making the total public indebtedness, Territorial and local, nearly $3,500,000.

An act was passed by Congress and approved June 25 of this year which provides for funding all the floating indebtedness-Territoral, county, municipal, and school, and such of the bonded indebtedness as can be lawfully redeemed-at a rate of interest not to exceed 5 per cent. per annum, the bonds to run fifty years, but redeemable after twenty years. The Territory, under the act, assumes the obligations of counties and municipalities, and all securities that can be funded are made Territorial, the Territory being protected by equalized taxation. The law provides, not only for the funding of outstanding indebtedness, but also authorizes the placing of sufficient bonds to provide for all the legitimate expenses of government now due or to become due up to Jan. 1, 1891. After that date all expenses must be met by a tax levy sufficient to prevent indebtedness.

The total assessed valuation of the Territory for 1890 was $28,050,234.73. Included in the assessment were 3,493,062 acres of land valued at $3,938,564; improvements thereon valued at

COUNTIES.

$2,139,049; city and town lots valued at $1,863,893; improvements thereon valued at $2,232,968: 641,016 head of cattle valued at $5,321,809; 291,238 sheep valued at $436,849; 40,956 horses valued at $1,071,963; 1,695 mules valued at $64,289; and railroad property, including 1,093 miles of track, valued at $6,615,467. The tax rate for Territorial purposes in 1890 was 80 cents on each $100.

Education. Each county in the Territory is divided into school districts, which are governed by three trustees, elected at a special election in which both men and women participate. The probate judge of each county is ex officio superintendent of schools for his county. The schools are supported by a direct Territorial tax of 3 cents on each $100 value of taxable property, collected and paid into the Territorial treasury, and then apportioned to the counties on the basis of school population. In addition a tax is levied on each county at a rate of not less than 50 cents nor more than 80 cents on each $100 valuation for the support of the schools in that county. The Territorial normal school at Tempe, Maricopa County, was established in 1886. Seventy-nine students have been enrolled, of whom eleven have been graduated and are now teaching in the Ter

Copper in pounds.

Gold.

Silver.

11,232,000

11,926,000 6,003,220 438,780 31,600,000

1,256 10

1,000 00

Indians.-There has been no regular outbreak since the surrender of Geronimo in 1888, but several murders have been committed by Indians, and a general feeling of distrust prevails in portions of the Territory adjacent to the San Carlos reservation, upon which the most objectionable Indians are placed. In November, 1889, while Sheriff Jefferson Reynolds and his deputy, of Pinal County, were taking eight convicted Apache murderers to their punishment, the officers were overpowered and killed, and the Indians escaped. The outlaws have all been run down and killed or captured except one. Several murders have been committed by Indians since the escape of these prisoners.

Mormons.-The Governor says in his last annual report: "This Territory borders Utah on the south, and is very accessible to immigration from that Territory, and at this time the county government and the public schools of Apache County are largely subservient to Mormon influences, and great dissatisfaction is expressed by the people. Yavapai County also borders on Utah, and the northeastern part of the county has several Mormon settlements. Graham County lies directly south of Apache County, and has quite a large Mormon population. Cochise