In its attitude toward manufacturing, the National Grange was less sane. Not content with the elimination of the middlemen, the farmers were determined to control the manufacture of their implements. With the small manufacturer they managed to deal fairly well, for they could usually find some one who would supply the Grange with implements at less than the retail price. In Iowa, where the state Grange early established an agency for cooperative buying, the agent managed to persuade a manufacturer of plows to give a discount to Grangers. As a result, this manufacturer's plows are reported to have left the factory with the paint scarcely dry, while his competitors, who had refused to make special terms, had difficulty in disposing of their stock. But the manufacturers of harvesters persistently refused to sell at wholesale rates. The Iowa Grange thereupon determined to do its own manufacturing and succeeded in buying a patent for a harvester which it could make and sell for about half what other harvesters cost. In 1874 some 250 of these machines were manufactured, and the prospects looked bright.

Deceived by the apparent success of grange manufacturing in Iowa, officers of the order at once planned to embark in manufacturing on a large scale. The National Grange was rich in funds at this time; it had within a year received well over $250,000 in dispensation fees from seventeen thousand new Granges. Angered at what was felt to be the tyranny of monopoly, the officers of the National Grange decided to use this capital in manufacturing agricultural implements which were to be sold to Patrons at very low prices. They went about the country buying patents for all sorts of farm implements, but not always making sure of the worth of the machinery or the validity of the patents. In Kansas, Iowa, Missouri, Wisconsin, Illinois, Indiana, and Kentucky, they planned factories to make harvesters, plows, wagons, sewing-machines, threshing-machines, and all sorts of farm implements. Then came the crash. The Iowa harvester factory failed in 1875 and bankrupted the state Grange. Other failures followed; suits for patent infringements were brought against some of the factories; local Granges disbanded for fear they might be held responsible for the debts incurred; and in the Northwest, where the activity had been the greatest, the order almost disappeared.

Although the Grange had a mushroom growth, it nevertheless exerted a real and enduring influence upon farmers both as individuals and as members of a class. Even the experiments in cooperation, disastrous though they were in the end, were not without useful results. While they lasted they undoubtedly effected a considerable saving for the farmers. As Grange agents or as stockholders in cooperative stores or Grange factories, many farmers gained valuable business experience which helped to prevent them from being victimized thereafter. The farmers learned, moreover, the wisdom of working through the accepted channels of business. Those who had scoffed at the Rochdale plan of cooperation, in the homely belief that any scheme made in America must necessarily be better than an English importation, came to see that self-confidence and independence must be tempered by willingness to learn from the experience of others. Most important of all, these experiments in business taught the farmers that the middlemen and manufacturers performed services essential to the agriculturalist and that the production and distribution of manufactured articles and the distribution of crops are far more complex affairs than the farmers had imagined and perhaps worthy of more compensation than they had been accustomed to think just. On their side, the manufacturers and dealers learned that the farmers were not entirely helpless and that to gain their goodwill by fair prices was on the whole wiser than to force them into competition. Thus these ventures resulted in the development of a new tolerance and a new respect between the two traditionally antagonistic classes.

The social and intellectual stimulus which the farmers received from the movement was probably even more important than any direct political or economic results. It is difficult for the present generation to form any conception of the dreariness and dullness of farm life half a century ago. Especially in the West, where farms were large, opportunities for social intercourse were few, and weeks might pass without the farmer seeing any but his nearest neighbors. For his wife existence was even more drear. She went to the market town less often than he and the routine of her life on the farm kept her close to the farmhouse and prevented visits even to her neighbors' dwellings. The difficulty of getting domestic servants made the work of the farmer's wife extremely laborious; and at that time there were none of the modern conveniences which lighten work such as power churns, cream separators, and washing-machines. Even more than the husband, the wife was likely to degenerate into a drudge without the hope—and eventually without the desire—of anything better. The church formed, to be sure, a means of social intercourse; but according to prevailing religious notions the churchyard was not the place nor the Sabbath the time for that healthy but unrestrained hilarity which is essential to the well-being of man.

Into lives thus circumscribed the Grange came as a liberalizing and uplifting influence. Its admission of women into the order on the same terms as men made it a real community servant and gave both women and men a new sense of the dignity of woman. More important perhaps than any change in theories concerning womankind, it afforded an opportunity for men and women to work and play together, apparently much to the satisfaction and enjoyment of both sexes. Not only in Grange meetings, which came at least once a month and often more frequently, but also in Grange picnics and festivals the farmers and their wives and children came together for joyous human intercourse. Such frequent meetings were bound to work a change of heart. Much of man's self-respect arises from the esteem of others, and the desire to keep that esteem is certainly a powerful agent in social welfare. It was reported that in many communities the advent of the Grange created a marked improvement in the dress and manners of the members. Crabbed men came out of their shells and grew genial; disheartened women became cheerful; repressed children delighted in the chance to play with other boys and girls of their own age.

The ritual of the Grange, inculcating lessons of orderliness, industry, thrift, and temperance, expressed the members' ideals in more dignified and pleasing language than they themselves could have invented. The songs of the Grange gave an opportunity for the exercise of the musical sense of people not too critical of literary quality, when with "spontaneous trills on every tongue," as one of the songs has it, the members varied the ritual with music.

One of the virtues especially enjoined on Grange members was charity. Ceres, Pomona, and Flora, offices of the Grange to be filled only by women, were made to represent Faith, Hope, and Charity, respectively; and in the ceremony of dedicating the Grange hall these three stood always beside the altar while the chaplain read the thirteenth chapter of First Corinthians. Not only in theory but in practice did the order proclaim its devotion to charitable work. It was not uncommon for members of a local Grange to foregather and harvest the crops for a sick brother or help rebuild a house destroyed by fire or tornado. In times of drought or plague both state and national Granges were generous in donations for the sufferers; in 1874, when the Mississippi River overflowed its banks in its lower reaches, money and supplies were sent to the farmers of Louisiana and Alabama; again in the same year relief was sent to those Patrons who suffered from the grasshopper plague west of the Mississippi; and in 1876 money was sent to South Carolina to aid sufferers from a prolonged drought in that State. These charitable deeds, endearing giver and receiver to each other, resulted in a better understanding and a greater tolerance between people of different parts of the country.

The meetings of the local Granges were forums in which the members trained themselves in public speaking and parliamentary practice. Programs were arranged, sometimes with the help of suggestions from officers of the state Grange; and the discussion of a wide variety of topics, mostly economic and usually concerned especially with the interests of the farmer, could not help being stimulating, even if conclusions were sometimes reached which were at variance with orthodox political economy. The Grange was responsible, too, for a great increase in the number and circulation of agricultural journals. Many of these papers were recognized as official organs of the order and, by publishing news of the Granges and discussing the political and economic phases of the farmers' movement, they built up an extensive circulation. Rural postmasters everywhere reported a great increase in their mails after the establishment of a Grange in the vicinity. One said that after the advent of the order there were thirty newspapers taken at his office where previously there had been but one. Papers for which members or local Granges subscribed were read, passed from hand to hand, and thoroughly discussed. This is good evidence that farmers were forming the habit of reading. All the Granger laws might have been repealed; all the schemes for cooperation might have come to naught; all the moral and religious teachings of the Grange might have been left to the church; but if the Granger movement had created nothing else than this desire to read, it would have been worth while. For after the farmer began to read, he was no longer like deadwood floating in the backwaters of the current; he became more like a propelled vessel in midstream—sometimes, to be sure, driven into turbulent waters, sometimes tossed about by conflicting currents, but at least making progress.



CHAPTER VI. THE GREENBACK INTERLUDE

Whatever may have been the causes of the collapse of the Granger movement in 1875 and 1876, returning prosperity for the Western farmer was certainly not one of them, for the general agricultural depression showed no signs of lifting until nearly the end of the decade. During the Granger period the farmer attempted to increase his narrow margin of profit or to turn a deficit into a profit by decreasing the cost of transportation and eliminating the middleman. Failing in this attempt, he decided that the remedy for the situation was to be found in increasing the prices for his products and checking the appreciation of his debts by increasing the amount of money in circulation.

This demand for currency inflation was by no means new when it was taken up by the Western farmers. It had played a prominent part in American history from colonial days, especially in periods of depression and in the less prosperous sections of the ever advancing frontier. During the Civil War, inflation was actually accomplished through the issue of over $400,000,000 in legal-tender notes known as "greenbacks." No definite time for the redemption of these notes was specified, and they quickly declined in value as compared with gold. At the close of the war a paper dollar was worth only about half its face value in gold. An attempt was made to raise the relative value of the greenbacks and to prepare for the resumption of specie payments by retiring the paper money from circulation as rapidly as possible. This policy meant, of course, a contraction of the volume of currency and consequently met with immediate opposition. In February, 1868, Congress prohibited the further retirement of greenbacks and left to the discretion of the Secretary of the Treasury the reissue of the $44,000,000 which had been retired. Only small amounts were reissued, however, until after the panic of 1873; and when Congress attempted, in April, 1874, to force a permanent increase of the currency to $400,000,000, President Grant vetoed the bill.

Closely related to the currency problem was that of the medium to be used in the payment of the principal of bonds issued during the Civil War. When the bonds were sold, it was generally understood that they would be redeemed in gold or its equivalent. Some of the issues, however, were covered by no specific declaration to that effect, and a considerable sentiment arose in favor of redeeming them with currency, or lawful money, as it was called.

These questions were not party issues at first, and there was no clear-cut division upon them between the two old parties throughout the period. The alinement was by class and section rather than by party; and inflationists and advocates of the redemption of the bonds in currency were to be found not only among the rank and file but also among the leaders of both parties. The failure of either the Democrats or the Republicans to take a decided stand on these questions resulted, as so often before, in the development of third parties which made them the main planks in the new platform.

The first attempts at organized political activity in behalf of greenbackism came not from the farmers of the West but from the laboring men of the East, whose growing class consciousness resulted in the organization of the National Labor Union in 1868. Accompanying, if not resulting from the Government's policy of contraction, came a fall of prices and widespread unemployment. It is not strange, therefore, that this body at once declared itself in favor of inflation. The plan proposed was what was known as the "American System of Finance": money was to be issued only by the Government and in the form of legal-tender paper redeemable only with bonds bearing a low rate of interest, these bonds in turn to be convertible into greenbacks at the option of the holder. The National Labor Union recommended the nomination of workingmen's candidates for offices and made arrangements for the organization of a National Labor party. This convened in Columbus in February, 1872, adopted a Greenback platform, and nominated David Davis of Illinois as its candidate for the presidency. After the nomination of Horace Greeley by the Liberal Republicans, Davis declined this nomination, and the executive committee of his party then decided that it was too late to name another candidate.

This early period of inflation propaganda has been described as "the social reform period, or the wage-earners' period of greenbackism, as distinguished from the inflationist, or farmers' period that followed." The primary objects of the labor reformers were, it appears, to lower the rate of interest on money and to reduce taxation by the transformation of the war debt into interconvertible bonds. The farmers, on the other hand, were interested primarily in the expansion of the currency in the hope that this would result in higher prices for their products. It was not until the panic of 1873 had intensified the agricultural depression and the Granger movement had failed to relieve the situation that the farmers of the West took hold of greenbackism and made it a major political issue.

The independent parties of the Granger period, as a rule, were not in favor of inflation. Their platforms in some cases demanded a speedy return to specie payment. In 1873 Ignatius Donnelly, in a pamphlet entitled "Facts for the Granges", declared: "There is too much paper money. The currency is DILUTED—WATERED—WEAKENED .... We have no interest in an inflated money market... As we have to sell our wheat at the world's price, it is our interest that everything we buy should be at the world's price. Specie payments would practically add eighteen cents to the price of every bushel of wheat we have to sell!" In Indiana and Illinois, however, the independent parties were captured by the Greenbackers, and the Indiana party issued the call for the conference at Indianapolis in November, 1874, which led to the organization of the National Greenback party.

This conference was attended by representatives from seven States and included several who had been prominent in the Labor Reform movement. "The political Moses of the 'New Party, "' according to the Chicago Tribune, was James Buchanan of Indianapolis, a lawyer "with an ability and shrewdness that compel respect, however much his theories may be ridiculed and abused." He was also the editor of the Sun, a weekly paper which supported the farmers' movement. The platform committee of the conference reported in favor of "a new political organization of the people, by the people, and for the people, to restrain the aggressions of combined capital upon the rights and interests of the masses, to reduce taxation, correct abuses, and to purify all departments of the Government." The most important issue before the people was declared to be "the proper solution of the money question," meaning thereby the issue of greenbacks interconvertible with bonds. A national convention of the party was called to meet at Cleveland on March 11, 1875.

The Cleveland convention, attended by representatives of twelve States, completed the organization of the Independent party, as it was officially named, and made arrangements for the nominating convention. This was held at Indianapolis on May 17, 1876, with 240 delegates representing eighteen States. Ignatius Donnelly, who had apparently changed his mind on the currency question since 1873, was the temporary president. The platform contained the usual endorsement of a circulating medium composed of legal-tender notes interconvertible with bonds but gave first place to a demand for "the immediate and unconditional repeal of the specie-resumption act." This measure, passed by Congress in January, 1875, had fixed January 1, 1879, as the date when the Government would redeem greenbacks at their face value in coin. Although the act made provision for the permanent retirement of only a part of the greenbacks from circulation, the new party denounced it as a "suicidal and destructive policy of contraction." Another plank in the platform, and one of special interest in view of the later free silver agitation, was a protest against the sale of bonds for the purpose of purchasing silver to be substituted for the fractional currency of war times. This measure, it was asserted, "although well calculated to enrich owners of silver mines will still further oppress, in taxation, an already overburdened people."

There was a strong movement in the convention for the nomination of David Davis for the presidency, but this seems to have met with opposition from Eastern delegates who remembered his desertion of the National Labor Reform party in 1872. Peter Cooper of New York was finally selected as the candidate. He was a philanthropist rather than a politician and was now eighty-five years old. Having made a large fortune as a pioneer in the manufacture of iron, he left his business cares to other members of his family and devoted himself to the education and elevation of the working classes. His principal contribution to this cause was the endowment of the famous Cooper Union in New York, where several thousand persons, mostly mechanics, attended classes in a variety of technical and educational subjects and enjoyed the privileges of a free library and reading room. When notified of his nomination, Cooper at first expressed the hope that one or both of the old parties might adopt such currency planks as would make the new movement unnecessary. Later he accepted unconditionally but took no active part in the campaign.

The Greenback movement at first made but slow progress in the various States. In Indiana and Illinois the existing independent organizations became component parts of the new party, although in Illinois, at least, quite a number of the former leaders returned to the old parties. In the other Western States, however, the third parties of the Granger period had gone to pieces or had been absorbed by means of fusion, and new organizations had to be created. In Indiana the Independent party developed sufficient strength to scare the Republican leaders and to cause one of them to write to Hayes: "A bloody-shirt campaign, with money, and Indiana is safe; a financial campaign and no money and we are beaten."

The Independents do not appear to have made a very vigorous campaign in 1876. The coffers of the party were as empty as the pockets of the farmers who were soon to swell its ranks; and this made a campaign of the usual sort impossible. One big meeting was held in Chicago in August, with Samuel F. Cary, the nominee for Vice-President, as the principal attraction; and this was followed by a torchlight procession. A number of papers published by men who were active in the movement, such as Buchanan's Indianapolis Star, Noonan's Industrial Age of Chicago, and Donnelly's Anti-Monopolist of St. Paul, labored not without avail to spread the gospel among their readers. The most effective means of propaganda, however, was probably the Greenback Club. At a conference in Detroit in August, 1875, "the organization of Greenback Clubs in every State in the Union" was recommended, and the work was carried on under the leadership of Marcus M. Pomeroy. "Brick" Pomeroy was a journalist, whose sobriquet resulted from a series of Brickdust Sketches of prominent Wisconsin men which he published in one of his papers. As the editor of Brick Pomeroy's Democrat, a sensational paper published in New York, he had gained considerable notoriety. In 1875, after the failure of this enterprise he undertook to retrieve his broken fortunes by editing a Greenback paper in Chicago and by organizing Greenback clubs for which this paper served as an organ. Pomeroy also wrote and circulated a series of tracts with such alluring titles as Hot Drops and Meat for Men. Several thousand clubs were organized in the Northwest during the next few years, principally in the rural regions, and the secrecy of their proceedings aroused the fear that they were advocating communism. The members of the clubs and their leaders constituted, as a matter of fact, the more radical of the Greenbackers. They usually opposed fusion with the Democrats and often refused to follow the regular leaders of the party.

In the election the Greenback ticket polled only about eighty thousand votes, or less than one per cent of the total. In spite of the activity of former members of the Labor Reform party in the movement, Pennsylvania was the only Eastern State in which the new party made any considerable showing. In the West over 6000 votes were cast in each of the five States—Indiana, Illinois, Michigan, Iowa, and Kansas. The agrarian aspect of the movement was now uppermost, but the vote of 17,000 polled in Illinois, though the largest of the group, was less than a quarter of the votes cast by the state Independent Reform party in 1874 when railroad regulation had been the dominant issue. Clearly many farmers were not yet convinced of the necessity of a Greenback party. The only tangible achievement of the party in 1876 was the election of a few members of the Illinois Legislature who held the balance between the old parties and were instrumental in sending David Davis to the United States Senate. This vote, it is interesting to note, kept Davis from serving on the electoral commission and thus probably prevented Tilden from becoming President.

But the Greenback movement was to find fresh impetus in 1877, a year of exceptional unrest and discontent throughout the Union. The agricultural depression was even greater than in preceding years, while the great railroad strikes were evidence of the distress of the workingmen. This situation was reflected in politics by the rapid growth of the Greenback party and the reappearance of labor parties with Greenback planks.*

* In state elections from Massachusetts to Kansas the Greenback and labor candidates polled from 5 to 15 per cent of the total vote, and in most cases the Greenback vote would probably have been much greater had not one or the other, and in some cases both, of the old parties incorporated part of the Greenback demands in their platforms. In Wisconsin, for example, there was little difference between Democrats and Greenbackers on the currency question, and even the Republicans in their platform leaned toward inflation, although the candidates declared against it. No general elections were held in 1877 in some of the States where the Greenback sentiment was most pronounced.

In the following year the new party had an excellent opportunity to demonstrate its strength wherever it existed. In February, 1878, a conference was held at Toledo for the purpose of welding the various political organizations of workingmen and advocates of inflation into an effective weapon as a single united party. This conference, which was attended by several hundred delegates from twenty-eight States, adopted "National" as the name of the party, but it was usually known from this time on as the Greenback Labor party. The Toledo platform, as the resolutions adopted by this conference came to be designated, first denounced "the limiting of the legal-tender quality of greenbacks, the changing of currency-bonds into coin-bonds, the demonetization of the silver dollar, the excepting of bonds from taxation, the contraction of the circulating medium, the proposed forced resumption of specie payments, and the prodigal waste of the public lands." The resolutions which followed demanded the suppression of bank notes and the issue of all money by the Government, such money to be full legal-tender at its stamped value and to be provided in sufficient quantity to insure the full employment of labor and to establish a rate of interest which would secure to labor its just reward. Other planks called for the coinage of silver on the same basis as that of gold, reservation of the public lands for actual settlers, legislative reduction of the hours of labor, establishment of labor bureaus, abolition of the contract system of employing prison labor, and suppression of Chinese immigration. It is clear that in this platform the interests of labor received full consideration. Just before the conference adjourned it adopted two additional resolutions. One of these, adopted in response to a telegram from General B. F. Butler, denounced the silver bill just passed by Congress because it had been so modified as to limit the amount of silver to be coined. The other, which was offered by "Brick" Pomeroy, declared: "We will not affiliate in any degree with any of the old parties, but in all cases and localities will organize anew... and... vote only for men who entirely abandon old party lines and organizations." This attempt to forestall fusion was to be of no avail, as the sequel will show, but Pomeroy and his followers in the Greenback clubs adhered throughout to their declaration.

In the elections of 1878, the high-water mark of the movement, about a million votes were cast for Greenback candidates. Approximately two-thirds of the strength of the party was in the Middle West and one-third in the East. That the movement, even in the East, was largely agrarian, is indicated by the famous argument of Solon Chase, chairman of the party convention in Maine. "Inflate the currency, and you raise the price of my steers and at the same time pay the public debt." "Them steers" gave Chase a prominent place in politics for half a decade. The most important achievement of the movement at this time was the election to Congress of fifteen members who were classified as Nationals—six from the East, six from the Middle West, and three from the South. In most cases these men secured their election through fusion or through the failure of one of the old parties to make nominations.

Easily first among the Greenbackers elected to Congress in 1878 was General James B. Weaver of Iowa. When ten years of age, Weaver had been taken by his parents to Iowa from Ohio, his native State. In 1854, he graduated from a law school in Cincinnati, and for some years thereafter practiced his profession and edited a paper at Bloomfield in Davis County, Iowa. He enlisted in the army as a private in 1861, displayed great bravery at the battles of Donelson and Shiloh, and received rapid promotion to the rank of colonel. At the close of the war he received a commission as brigadier general by brevet. Weaver ran his first tilt in state politics in an unsuccessful attempt to obtain the Republican nomination for lieutenant governor in 1865. Although an ardent advocate of prohibition and of state regulation of railroads, Weaver remained loyal to the Republican party during the Granger period and in 1875 was a formidable candidate for the gubernatorial nomination. It is said that a majority of the delegates to the convention had been instructed in his favor, but the railroad and liquor interests succeeded in stampeding the convention to Samuel J. Kirkwood, the popular war governor. In the following year Weaver took part in the organization of the Independent or Greenback party in Iowa and accepted a position on its state committee. Though resentment at the treatment which he had received from the Republicans may have influenced him to break the old ties, he was doubtless sincerely convinced that the Republican party was beyond redemption and that the only hope for reform lay in the new party movement.

Weaver was gifted with remarkable talent as an orator. His fine face and soldierly bearing, his rich sympathetic voice and vivid imagination, made him a favorite speaker at soldiers' reunions and in political campaigns. Lacking the eccentricities of so many of his third party associates and never inclined to go to extremes in his radicalism, he was one of the ablest and, from the standpoint of the Republicans, the most dangerous of the Greenback leaders. In Congress Weaver won the respect of his colleagues. Always ready to promote what he believed to be the interests of the common people and especially of the farmers, he espoused the cause of the Oklahoma "boomers," who were opposed by a powerful lobby representing the interests of the "cattle barons." He declared that, in a choice between bullocks and babies, he would stand for babies, and he staged a successful filibuster at the close of a session in order to force the consideration of a bill for the opening of part of Oklahoma to settlement.

The preliminaries of the campaign of 1880 were vexed by dissension within the ranks of the Greenbackers. In March the radical faction led by Pomeroy held a convention in St. Louis which claimed to speak for ten thousand Greenback clubs and two million voters. After Stephen D. Dillaye of New York had refused the presidential nomination at the hands of this convention, it adjourned to meet in Chicago on the 9th of June the place and time already selected for the regular convention of the National party. One reason for the attitude of this faction appears to have been the fear of fusion with the Democrats. The Chicago convention finally succeeded in absorbing these malcontents, as well as a group of socialist delegates and representatives of various labor organizations who asked to be admitted. Dennis Kearney, the notorious sand-lot agitator of California was made chief sergeant at arms, and Susan B. Anthony was allowed to give a suffrage speech. The platform differed from earlier Greenback documents in that it contained no denunciation of the Resumption Act. That was now a dead issue, for on January 1, 1879, resumption became an accomplished fact, and the paper currency was worth its face value in gold. Apart from this the platform was much the same as that adopted at Toledo in 1878, with the addition of planks favoring women's suffrage, a graduated income tax, and congressional regulation of interstate commerce. On the first ballot, General Weaver received a majority of the votes for presidential nominee; and B. J. Chambers of Texas was nominated for Vice-President.

General Weaver in his letter of acceptance declared it to be his intention "to visit the various sections of the Union and talk to the people." This he did, covering the country from Arkansas to Maine and from Lake Michigan to the Gulf, speaking in Faneuil Hall at Boston and in the Cooper Union at New York, but spending the greater part of his time in the Southern States. He declared that he traveled twenty thousand miles, made fully one hundred speeches, shook the hands of thirty thousand people, and was heard by half a million. Weaver was the first presidential candidate to conduct a campaign of this sort, and the results were not commensurate with his efforts. The Greenback vote was only 308,578, about three per cent of the total. One explanation of the small vote would seem to be the usual disinclination of people to vote for a man who has no chance of election, however much they may approve of him and his principles, when they have the opportunity to make their votes count in deciding between two other candidates. Then, too, the sun of prosperity was beginning at last to dissipate the clouds of depression. The crops of corn, wheat, and oats raised in 1880 were the largest the country had ever known; and the price of corn for once failed to decline as production rose, so that the crop was worth half as much again as that of 1878. When the farmer had large crops to dispose of at remunerative prices, he lost interest in the inflation of the currency.

After 1880 the Greenback party rapidly disintegrated. There was no longer any hope of its becoming a major party, in the near future at least, and the more conservative leaders began to drift back into the old parties or to make plans for fusion with one of them in coming elections. But fusion could at best only defer the end. The congressional election of 1882 clearly demonstrated that the party was moribund. Ten of the Congressmen elected in 1880 had been classified as Nationals; of these only one was reelected in 1882, and no new names appear in the list. It is probable, however, that a number of Congressmen classified as Democrats owed their election in part to fusion between the Democratic and Greenback parties.

The last appearance of the Greenbackers in national politics was in the presidential election of 1884. In May of that year a convention of "The Anti-Monopoly Organization of the United States," held in Chicago, adopted a platform voicing a demand for legislative control of corporations and monopolies in the interests of the people and nominated General Benjamin F. Butler for President. The convention of the Greenback or National party met in Indianapolis, and selected Butler as its candidate also. General Weaver presided over the convention. The platform contained the usual demands of the party with the exception of the resolution for the "free and unlimited coinage of gold and silver," which was rejected by a vote of 218 to 164. It would appear that the majority of the delegates preferred to rely upon legal-tender paper to furnish the ample supply of money desired. General Butler was at this time acting with the Democrats in Massachusetts, and his first response was noncommittal. Although he subsequently accepted both nominations, he did not make an active campaign, and his total popular vote was only 175,370. Butler's personal popularity and his labor affiliations brought increased votes in some of the Eastern States and in Michigan, but in those Western States where the party had been strongest in 1880 and where it had been distinctly a farmers' movement there was a great falling off in the Greenback vote.

Though the forces of agrarian discontent attained national political organization for the first time in the Greenback party, its leaders were never able to obtain the support of more than a minority of the farmers. The habit of voting the Republican or the Democratic ticket, firmly established by the Civil War and by Reconstruction, was too strong to be lightly broken; and many who favored inflation could not yet bring themselves to the point of supporting the Greenback party. On the other hand there were undoubtedly many farmers and others who felt that the old parties were hopelessly subservient to capitalistic interests, who were ready to join in radical movements for reform and for the advancement of the welfare of the industrial classes, but who were not convinced that the structure of permanent prosperity for farmer and workingman could be built on a foundation of fiat money. Although the platforms of the Greenbackers contained many demands which were soundly progressive, inflation was the paramount issue in them; and with this issue the party was unable to obtain the support of all the forces of discontent, radicalism, and reform which had been engendered by the economic and political conditions of the times. The Greenback movement was ephemeral. Failing to solve the problem of agricultural depression, it passed away as had the Granger movement before it; but the greater farmers' movement of which both were a part went on.



CHAPTER VII. THE PLIGHT OF THE FARMER

An English observer of agricultural conditions in 1893 finds that agricultural unrest was not peculiar to the United States in the last quarter of the nineteenth century, but existed in all the more advanced countries of the world:

"Almost everywhere, certainly in England, France, Germany, Italy, Scandinavia, and the United States, the agriculturists, formerly so instinctively conservative, are becoming fiercely discontented, declare they gained less by civilization than the rest of the community, and are looking about for remedies of a drastic nature. In England they are hoping for aid from councils of all kinds; in France they have put on protective duties which have been increased in vain twice over; in Germany they put on and relaxed similar duties and are screaming for them again; in Scandinavia Denmark more particularly—they limit the aggregation of land; and in the United States they create organizations like the Grangers, the Farmers' Leagues, and the Populists."*

*The Spectator, Vol. LXX, p. 247.

It is to general causes, indeed, that one must turn before trying to find the local circumstances which aggravated the unrest in the United States, or at least appeared to do so. The application of power—first steam, then electricity—to machinery had not only vastly increased the productivity of mankind but had stimulated invention to still wider activity and lengthened the distance between man and that gaunt specter of famine which had dogged his footsteps from the beginning. With a constantly, growing supply of the things necessary for the maintenance of life, population increased tremendously: England, which a few centuries before had been overcrowded with fewer than four million' people, was now more bountifully feeding and clothing forty millions. Perhaps, all in all, mankind was better off than it had ever been before; yet different groups maintained unequal progress. The tillers of the soil as a whole remained more nearly in their primitive condition than did the dwellers of the city. The farmer, it is true, produced a greater yield of crops, was surrounded by more comforts, and was able to enjoy greater leisure than his kind had ever done before. The scythe and cradle had been supplanted by the mower and reaper; horse harrows, cultivators, and rakes had transferred much of the physical exertion of farming to the draft animals. But, after all, the farmer owed less to steam and electricity than the craftsman and the artisan of the cities.

The American farmer, if he read the census reports, might learn that rural wealth had increased from nearly $4,000,000,000 in 1850 to not quite $16,000,000,000 in 1890; but he would also discover that in the same period urban wealth had advanced from a little over $3,000,000,000 to more than $49,000,000,000. Forty years before the capital of rural districts comprised more than half that of the whole country, now it formed only twenty-five per cent. The rural population had shown a steady proportionate decrease: when the first census was taken in 1790, the dwellers of the country numbered more than ten times those of the city, but at the end of the nineteenth century they formed only about one-third of the total. Of course the intelligent farmer might have observed that food for the consumption of all could be produced by the work of fewer hands, and vastly more bountifully as well, and so he might have explained the relative decline of rural population and wealth; but when the average farmer saw his sons and his neighbors' sons more and more inclined to seek work in town and leave the farm, he put two and two together and came to the conclusion that farming was in a perilous state. He heard the boy who had gone to the city boast that his hours were shorter, his toil less severe, and his return in money much greater than had been the case on the farm; and he knew that this was true. Perhaps the farmer did not realize that he had some compensations: greater security of position and a reasonable expectation that old age would find him enjoying some sort of home, untroubled by the worry which might attend the artisan or shopkeeper.

Whether or not the American farmer realized that the nineteenth century had seen a total change in the economic relations of the world, he did perceive clearly that something was wrong in his own case. The first and most impressive evidence of this was to be found in the prices he received for what he had to sell. From 1883 to 1889 inclusive the average price of wheat was seventy-three cents a bushel, of corn thirty-six cents, of oats twenty-eight cents. In 1890 crops were poor in most of the grain areas, while prosperous times continued to keep the consuming public of the manufacturing regions able to buy; consequently corn and oats nearly doubled in price, and wheat advanced 20 per cent. Nevertheless, such was the shortage, except in the case of corn, that the total return was smaller than it had been for a year or two before. In 1891 bumper crops of wheat, corn, oats, rye, and barley drove the price down on all except wheat and rye, but not to the level of 1889. Despite a much smaller harvest in 1892 the decline continued, to the intense disgust of the farmers of Nebraska and Minnesota who failed to note that the entire production of wheat in the world was normal in that year, that considerable stores of the previous crop had been held over and that more than a third of the yield in the United States was sent forth to compete everywhere with the crops of Argentine, Russia, and the other grain producing countries. No wonder the average farmer of the Mississippi basin was ready to give ear to any one who could suggest a remedy for his ills.

Cotton, which averaged nearly eleven cents a pound for the decade ending in 1890, dropped to less than nine cents in 1891 and to less than eight in 1892. Cattle, hogs, sheep, horses, and mules brought more in the late than in the early eighties, yet these, too, showed a decline about 1890. The abnormal war-time price of wool which was more than one dollar a pound in October, 1864, dropped precipitately with peace, rose a little just before the panic of 1873, and then declined with almost no reaction until it reached thirty-three cents for the highest grade in 1892.

The "roaring eighties," with all their superficial appearance of prosperity, had apparently not brought equal cheer to all. And then came the "heart-breaking nineties." In February, 1893, the Philadelphia and Reading Railroad Company failed, a break in the stock market followed, and an old-fashioned panic seized the country in its grasp. A period of hitherto unparalleled speculative frenzy came thus to an end, and sober years followed in which the American people had ample opportunity to contemplate the evils arising from their economic debauch.

Prices of agricultural products continued their downward trend. Wheat touched bottom in 1894 with an average price of forty-nine cents; corn, two years later, reached twenty-one cents. All the other grains were likewise affected. Middling cotton which had sold at eight and a half cents a pound in 1893, dropped below seven cents the following year, recovered until it reached nearly eight cents in 1896, and was at its lowest in 1898 at just under six cents. Of all the marketable products of the farm, cattle, hay, and hogs alone maintained the price level of the decade prior to 1892. Average prices, moreover, do not fully indicate the small return which many farmers received. In December, 1891, for instance, the average value of a bushel of corn was about forty cents, but in Nebraska, on January 1, 1892, corn brought only twenty-six cents. When, a few years later, corn was worth, according to the statistics, just over twenty-one cents, it was literally cheaper to burn it in Kansas or Nebraska than to cart it to town, sell it, and buy coal with the money received; and this is just what hundreds of despairing farmers did. Even crop shortage did little to increase the price of the grain that was raised. When a drought seriously diminished the returns in Ohio, Indiana, and Michigan in 1895, the importation from States farther west prevented any rise in price.

Prices dropped, but the interest on mortgages remained the same. One hundred and seventy-four bushels of wheat would pay the interest at 8 per cent on a $2000 mortgage in 1888, when the price of wheat was higher than it had been for ten years and higher than it was to be again for a dozen years. In 1894 or 1895 when the price was hovering around fifty cents, it took 320 bushels to pay the same interest. Frequently the interest was higher than 8 per cent, and outrageous commissions on renewals increased the burden of the farmer. The result was one foreclosure after another. The mortgage shark was identified as the servant of the "Wall Street Octopus," and between them there was little hope for the farmer. In Kansas, according to a contemporary investigator,* "the whole western third of the State was settled by a boom in farm lands. Multitudes of settlers took claims without means of their own, expecting to pay for the land from the immediate profits of farming. Multitudes of them mortgaged the land for improvements, and multitudes more expended the proceeds of mortgages in living. When it was found that the proceeds of farming in that part of the State were very uncertain, at best, the mortgages became due. And in many instances those who had been nominally owners remained upon the farms as tenants after foreclosure. These are but the natural effects in reaction from a tremendous boom." In eastern Kansas, where settlement was older, the pressure of hard times was withstood with less difficulty. It was in western Kansas, by the way, that Populism had its strongest following; and, after the election of 1892, a movement to separate the State into two commonwealths received serious consideration.

* G. T. Fairchild, Pol. Se. Q., vol. 11, p. 614.

Even more inexorable than the holder of the mortgage or his agent was the tax collector. It was easy to demonstrate that the farmer, with little or nothing but his land, his stock, and a meager outfit of implements and furniture, all readily to be seen and assessed, paid taxes higher in proportion to his ability to pay than did the business man or the corporation. Although his equity in the land he owned might be much less than its assessed value, he was not allowed to make any deduction for mortgages. The revenue of the Federal Government was raised wholly by indirect taxes levied principally upon articles of common consumption; and the farmer and other people of small means paid an undue share of the burden in the form of higher prices demanded for commodities.

Low prices for his produce, further depressed by the rapacity of the railroads and the other intermediaries between the producer and the consumer, mortgages with high interest rates, and an inequitable system of taxation formed the burden of the farmer's complaint during the last two decades of the nineteenth century. These grievances and all sorts of remedies proposed for them were discussed in farmers' gatherings, in agricultural weeklies, even in city dailies, and ultimately in legislative chambers. Investigations demonstrated that, even when reduced to a minimum, the legitimate grounds for complaint were extensive; and the resultant reports suggested a variety of remedies. Generally, however, popular sentiment swung around again to the tack it had taken in the late seventies: the real cure for all the evils was more money. Wall Street and the national banks could suck the blood from the western community because of their monopoly of the money supply. According to one irate editor, "Few people are aware of the boundless advantages that the national banks have under our present accursed system. They have usurped the credit of the people and are fattening a thousand-fold annually from the unlimited resources at their command." Another editor wrote:

We find the following printed card on our desk: "The last report of the Secretary of the Treasury shows the banks as loaning $1,970,022,687"! Four times the amount of money there is to loan. Four interests in every dollar! They are drawing from the people enough to run the National Government. How long will it take them to gather in all the money of the nation? This does not include the amounts loaned by state, private, and savings banks. Add to this the billions of dollars of other loans and think if it is any wonder times are hard. Will the American people never wake up to the fact that they are being pauperized? Four people are paying interest upon each dollar you have in your pocket—if you have any. Wake up! Wake up!

Whatever the ultimate effects of an inflated and consequently depreciated currency might be, the debtor class, to which a large portion of the Western farmers belonged, would obviously benefit immediately by the injection of large quantities of money into the circulating medium. The purchasing power of money would be lower; hence the farmer would receive more in dollars and cents and would be in a better position to pay his standing debts. Whether or not the rise in the prices of his products would be offset or more than offset by the increased prices which he would have to pay for the things he purchased would depend upon the relative rate at which different commodities adjusted themselves to the new scale of money value. In the end, of course, other things being equal, there would be a return of old conditions; but the farmers did not look so far ahead. Hence it was that less attention was paid to taxation, to railroad rates and discriminations, to elevator companies, to grain gamblers, or to corporations as such; and the main force of the agrarian movements from 1875 onward was exerted, first for an increased paper currency and then for free silver.



CHAPTER VIII. THE FARMERS' ALLIANCE

The hope of welding the farmers into an organization which would enable them to present a united front to their enemies and to work together for the promotion of their interests—social, economic, and political—was too alluring to be allowed to die out with the decline of the Patrons of Husbandry. Farmers who had experienced the benefits of the Grange, even though they had deserted it in its hour of trial, were easily induced to join another organization embodying all its essential features but proposing to avoid its mistakes. The conditions which brought about the rapid spread of the Grange in the seventies still prevailed; and as soon as the reaction from the Granger movement was spent, orders of farmers began to appear in various places and to spread rapidly throughout the South and West. This second movement for agricultural organization differed from the first in that it sprang from the soil, as it were, and, like Topsy, "just grooved" instead of being deliberately planned and put into operation by a group of founders.

A local farmers' club or alliance was organized in 1874 or 1875 in the frontier county of Lampasas, Texas, for mutual protection against horse thieves and land sharks and for cooperation in the rounding up of strayed stock and in the purchase of supplies. That it might accomplish its purposes more effectively, the club adopted a secret ritual of three degrees; and it is said that at first this contained a formula for catching horse thieves. Affiliated lodges were soon established in neighboring communities, and in 1878 a Grand State Alliance was organized. Some one connected with this movement must have been familiar with the Grange, for the Declaration of Purposes adopted by the State Alliance in 1880 is but a crude paraphrase of the declaration adopted by the earlier order at St. Louis in 1874. These promising beginnings were quickly wrecked by political dissension, particularly in connection with the Greenback movement, and the first State Alliance held its last meeting in 1879. In that year, however, a member of the order who removed to Poolville in Parker County, Texas, organized there a distinctly non-partisan alliance. From this new center the movement spread more rapidly; a second Grand State Alliance was organized; and the order grew with such rapidity that by 1886 there were nearly three thousand local lodges in the State. The social aspect was prominent in the Alliance movement in Texas from the beginning. Women were admitted to full membership, and negroes were excluded. In 1882 the three degrees of the ritual were combined into one so that all members might be on the same footing.

The early minutes of the State Alliance indicate that the rounding up of estrays was the most important practical feature of the order at that time, but in a few years this was overshadowed by cooperation. Trade agreements were made with dealers, joint stock stores and Alliance cotton-yards were established, and finally a state exchange was organized with a nominal capital of half a million dollars to handle the business of the members. All the difficulties which the Grange had encountered in its attempts at cooperation beset the Alliance ventures: dissension was spread by merchants and commission men fighting for their livelihood; mistakes were made by agents and directors; too much was attempted at once; and in a few years the house of cards tumbled to the ground.

While its business ventures were still promising, the Texas Alliance came near being wrecked once more on the shoals of politics. The state meeting in August, 1886, adopted an elaborate set of "Demands," which included higher taxation of lands held for speculative purposes, prohibition of alien land ownership, laws to "prevent the dealing in futures of all agricultural products," full taxation of railroad property, "the rapid extinguishment of the public debt of the United States, by operating the mints to their fullest capacity in coining silver and gold, and the tendering of the same without discrimination to the public creditors," the issue of legal tender notes on a per capita basis and their substitution for bank notes, a national bureau of labor statistics, an interstate commerce law, and the abolition of the contract system of employing convicts. Provision was made for a committee of three to press these demands upon Congress and the State Legislature. At the close of the meeting, some of the members, fearing that the adoption of this report would lead to an attempt to establish a new political party, held another meeting and organized a rival State Alliance.

Considerable confusion prevailed for a few months; the president and vice-president of the regular State Alliance resigned, and the whole order seemed on the verge of disruption. At this point there appeared on the stage the man who was destined not only to save the Alliance in Texas but also to take the lead in making it a national organization—C. W. Macune, the chairman of the executive committee. Assuming the position of acting president, Macune called a special session of the State Alliance to meet in January, 1887. At this meeting the constitution was amended to include a declaration that it was the purpose of the order "to labor for the education of the agricultural classes in the science of economical government, in a strictly nonpartisan spirit"; and attention was then directed to a plan for "the organization of the cotton belt of America." The first step in this direction was taken in the same month when the Texas Alliance joined with the Farmers' Union of Louisiana and formed the National Farmers' Alliance and Cooperative Union of America.*

* The Farmers' Union was the outgrowth of an open farmers' club organized in Lincoln Parish, Louisiana, in 1880. In 1885 this was transformed into a secret society with a ritual modeled after that of the Grange and with a constitution adapted from the constitution used by the Texas alliances. Before the year was over the order spread into the adjoining parishes and a state union was established.

Macune, who was elected president of the national body, at once sent organizers into most of the Southern States; and local alliances, followed rapidly by state organization, appeared in State after State. When the next meeting was held in October, 1887, delegates were present from nine Southern States.* The "Demands" adopted at this meeting were very like those which had split the Texas Alliance in the preceding year, with the addition of sections calling for the reduction of the tariff to a revenue basis, a graduated income tax, promotion of industrial and agricultural education, restriction of immigration, and popular election of United States senators.

* By December, 1888, it was claimed that there were 10,000 alliances in 16 States with a total membership of about 400,000. It was evident that the organization of the farmers of the cotton belt was rapidly being consummated.

As the Alliance spread into Arkansas and some of the adjoining States, it encountered another farmers' association of a very similar character and purpose. The Agricultural Wheel, as it was known, originated in a local club in Prairie County, Arkansas, in 1882, and soon expanded into a state-wide organization. After amalgamating with another agricultural order, known as the Brothers of Freedom, the Wheel began to roll into the adjoining States. In 1886 delegates from Tennessee and Kentucky attended the meeting of the Arkansas State Wheel and took part in the organization of the National Agricultural Wheel.* When the National Wheel held its first annual meeting in November, 1887, eight state organizations had been established, all in the Southwest, with a total membership of half a million.

* Some difficulty was occasioned at this meeting by the question of admitting negroes to the order, but this was finally settled by making provision for separate lodges for colored members.

With two great orders of farmers expanding in much the same territory and having practically identical objects, the desirability of union was obvious. The subject was discussed at meetings of both bodies, and committees of conference were appointed. Both organizations finally convened in December, 1888, at Meridian, Mississippi, and appointed a joint committee to work out the details of amalgamation. The outcome was a new constitution, which was accepted by each body acting separately and was finally ratified by the state organizations. The combined order was to be known as the Farmers' and Laborers' Union of America.

While this development had been going on in the South, another movement, somewhat different in character and quite independent in origin, had been launched by the farmers of the Northwest. The founder of the National Farmers' Alliance, or the Northwestern Alliance, as it was called to distinguish it from the Southern organization, was Milton George, editor of the Western Rural of Chicago, who had been instrumental in organizing a local alliance in Cook County. This Alliance began issuing charters to other locals, and in October, at the close of a convention in Chicago attended by about "five hundred, representing alliances, granges, farmers' clubs, etc.," a national organization was formed. The constitution adopted at this time declared the object of the order to be "to unite the farmers of the United States for their protection against class legislation, and the encroachments of concentrated capital and the tyranny of monopoly;... to oppose, in our respective political parties, the election of any candidate to office, state or national, who is not thoroughly in sympathy with the farmers' interests; to demand that the existing political parties shall nominate farmers, or those who are in sympathy with them, for all offices within the gift of the people, and to do everything in a legitimate manner that may serve to benefit the producer." The specific measures for which the promoters of the Northwestern Alliance intended to work were set forth in a platform adopted at the second annual meeting in Chicago, October 5, 1881, which demanded: equal taxation of all property, including deduction of the amount of mortgages from assessments of mortgaged property; "a just income tax"; reduction of salaries of officials and their election instead of appointment, so far as practicable; regulation of interstate commerce; reform of the patent laws; and prevention of the adulteration of food. "The combination and consolidation of railroad capital... in the maintenance of an oppressive and tyrannical transportation system" was particularly denounced, and the farmers of the country were called upon to organize "for systematic and persistent action" for "the emancipation of the people from this terrible oppression."

The Northwestern Alliance did not attempt cooperation in business so extensively as did its Southern contemporaries, but a number of Alliance grain elevators were established in Minnesota and Dakota, cooperative creameries flourished in Illinois, and many of the alliances appointed agents to handle produce and purchase supplies for the members. It was in the field of politics, however, that the activity of the order was most notable. The methods by which the farmers of the Northwest attempted to use their organizations for political ends are well illustrated by the resolutions adopted at the annual meeting of the Minnesota State Alliance in 1886 which declared that "the Alliance, while not a partisan association, is political in the sense that it seeks to correct the evils of misgovernment through the ballot-box," and called upon all the producers of the State "to unite with us at the ballot-box next November to secure a legislature that will work in the interests of the many against the exactions of the few." The specific demands included state regulation of railroads, free coinage of silver, reduction of the tariff to a revenue basis, revision of the patent laws, high taxation of oleomargarine, and reduction of the legal rate of interest from 10 to 8 per cent. The secretary was directed to forward copies of these resolutions to federal and state officers and to the delegation of the State in Congress; and the members of local alliances were "urged to submit this platform of principles to every candidate for the legislature in their respective districts, and to vote as a unit against every man who refuses to publicly subscribe his name to the same and pledge himself, if elected, to live up to it."

The resolutions adopted by the National Alliance in 1887 show that the political purposes of the order had become considerably more comprehensive than they were when it was getting under way in 1881. First place was now given to a plank favoring the free coinage of silver and the issuance of "all paper money direct to the people." The demand for railroad regulation was accompanied by a statement that "the ultimate solution of the transportation problem may be found in the ownership and operation by the Government of one or more transcontinental lines"; and the immediate acquisition of the Union Pacific, then in financial difficulties, was suggested. Other resolutions called for government ownership and operation of the telegraph, improvement of waterways, restriction of the liquor traffic, industrial education in the public schools, restoration of agricultural colleges "to the high purpose of their creation," and popular election of Senators. The national body does not appear to have attempted, at this time, to force its platform upon candidates for office; but it urged "farmers throughout the country to aid in the work of immediate organization, that we may act in concert for our own and the common good."

The culmination of this general movement for the organization of the farmers of the country came in 1889 and 1890. The Farmers' and Laborers' Union and the Northwestern Alliance met at St. Louis on December 3, 1889. The meeting of the Southern organization, which was renamed the National Farmers' Alliance and Industrial Union, was attended by about a hundred delegates representing Indiana, Kansas, and every Southern State from Maryland to Texas, with the exception of West Virginia. The purpose of the two orders in holding their meetings at the same time and place was obviously to effect some sort of union, and committees of conference were at once appointed. Difficulties soon confronted these committees: the Southern Alliance wanted to effect a complete merger but insisted upon retention of the secret features and the exclusion of negroes, at least from the national body; the Northwestern Alliance preferred a federation in which each organization might retain its identity. Arrangements were finally made for future conferences to effect federation but nothing came of them. The real obstacles seem to have been differences of policy with reference to political activity and a survival of sectional feeling.

With the failure of the movement for union, the Southern Alliance began active work in the Northern States; and when the Supreme Council, as the national body was now called, held its next meeting at Ocala, Florida, in December, 1890, delegates were present from state alliances of seven Northern and Western States, in addition to those represented at the St. Louis meeting. The Farmers' Mutual Benefit Association, a secret order with about two hundred thousand members, had a committee in attendance at this meeting, and the Colored Farmers' Alliance, which had been founded in Texas in 1886 and claimed a membership of over a million, held its national meeting at the same time and place. Plans were formulated for a federation of these three bodies, and of such other farmers' and laborers' associations as might join with them, to the end that all might work unitedly for legislation in the interests of the industrial classes.

Signs of approaching dissolution of the Alliance movement were already apparent at the Ocala meeting. The finances of the Southern Alliance had been so badly managed that there was a deficit of about $6000 in the treasury of the Supreme Council. This was due in part to reckless expenditure and in part to difficulties in collecting dues from the state organizations. Discord had arisen, moreover, from the political campaign of 1890, and an investigating committee expressed its disapproval of the actions of the officers in connection with a senatorial contest in Georgia. The decline of the Southern Alliance after 1890 was even more rapid than that of the Grange had been. The failure of many of the cooperative ventures contributed to this decline; but complications and dissensions resulting from the establishment of a new political party which took over the Alliance platform, were principally responsible. The Northwestern Alliance continued for a few years, practically as an adjunct to the new party but it, too, lost rapidly in membership and influence. With the year 1890 interest shifts from social to political organization, from Alliances to Populism.



CHAPTER IX. THE PEOPLE'S PARTY LAUNCHED

Alliances, wheels, leagues—all the agrarian organizations which multiplied during the eighties gave tangible form to the underlying unrest created by the economic conditions of that superficially prosperous decade. Only slowly, however, did there develop a feeling that a new political party was necessary in order to apply the remedies which, it was believed, would cure some if not all the ills of the agricultural class. Old party ties were still strong. Only with reluctance could the Republican or Democrat of long standing bring himself to depart from the familiar fold. Then, too, the recent ignominious failures of the Greenback party might well cool the ardor of all but the most sanguine advocates of a third party movement. Among the leaders of the agrarian organizations were many, moreover, who foresaw that to become involved in partisan politics could mean nothing less than the defeat of all their original purposes.

One disappointment after another, however, made it apparent that little was to be expected from the Republican or the Democratic party. Trust in individual politicians proved equally vain, since promises easily made during a hot campaign were as easily forgotten after the battle was over. One speaker before a state convention of the Northwest Alliance put into words what many were thinking: "There may be some contingencies when you may have to act politically. If other parties will not nominate men friendly to your interest, then your influence will have to be felt in some way or you may as well disband. If all parties nominate your enemies, then put some of your own friends into the race and then stand by them as a Christian stands by his religion." In other words, if nothing was to be gained by scattering votes among the candidates of the old parties, independent action remained the only course. Hence it was that the late eighties saw the beginnings of another party of protest, dominated by the farmers and so formidable as to cause the machine politicians to realize that a new force was abroad in the land.

After the Greenback party lost the place it had for a fleeting moment obtained, labor once more essayed the role of a third party. In 1886, for instance, the Knights of Labor and the trades unions, for once cooperating harmoniously, joined forces locally with the moribund Greenbackers and with farmers' organizations and won notable successes at the polls in various parts of the Union, particularly in the Middle Atlantic and Western States. Emboldened by such victories, the discontented farmers were induced to cast in their lot with labor; and for the next few years, the nation saw the manifestoes of a party which combined the demands of labor and agriculture in platforms constructed not unlike a crazy-quilt, with Henry George, James Buchanan, and Alson J. Streeter presiding at the sewing-bee and attempting to fit into the patchwork the diverse and frequently clashing shades of opinion represented in the party. In 1888, Streeter, ex-president of the Northwestern Alliance, was nominated for President on the Union Labor ticket and received 146,935 votes in 27 of the 38 States. Despite its name and some support from the Eastern workers, the new party was predominantly Western: more than half of its total vote was polled in Kansas, Texas, Missouri, and Arkansas. In the local elections of 1889 and 1890 the party still appeared but was obviously passing off the stage to make way for a greater attraction.

The meager vote for Streeter in 1888 demonstrated that the organized farmers were yet far from accepting the idea of separate political action. President Macune of the Southern Alliance probably voiced the sentiments of most of that order when he said in his address to the delegates at Shreveport in 1887: "Let the Alliance be a business organization for business purposes, and as such, necessarily secret, and as secret, necessarily nonpolitical."* Even the Northwestern Alliance had given no sign of official approval to the political party in which so many of its own members played a conspicuous part.

* At the next annual meeting, in December, 1888, no change in policy was enunciated: the plan for a national organ, unanimously adopted by the Alliance, provided that it should be "strictly non-partisan in politics and non-sectarian in religion."

But after the election of 1888, those who had continued to put their trust in non-political organizations gradually awoke to the fact that neither fulminations against transportation abuses, monopolies, and the protective tariff, nor the lobbying of the Southern Alliance in Washington had produced reforms. Even Macune was moved to say at the St. Louis session in December, 1889: "We have reached a period in the history of our Government when confidence in our political leaders and great political organizations is almost destroyed, and estrangement between them and the people is becoming more manifest everyday." Yet the formation of a new party under the auspices of the Alliance was probably not contemplated at this time, except possibly as a last resort, for the Alliance agreed to "support for office only such men as can be depended upon to enact these principles into statute laws, uninfluenced by party caucus." Although the demands framed at this St. Louis convention read like a party platform and, indeed, became the basis of the platform of the People's Party in 1892, they were little more than a restatement of earlier programs put forth by the Alliance and the Wheel. They called for the substitution of greenbacks for national bank notes, laws to "prevent the dealing in futures of all agricultural and mechanical productions," free and unlimited coinage of silver, prohibition of alien ownership of land, reclamation from the railroads of lands held by them in excess of actual needs, reduction and equalization of taxation, the issue of fractional paper currency for use in the mails, and, finally, government ownership and operation of the means of communication and transportation.

The real contribution which this meeting made to the agrarian movement was contained in the report of the committee on the monetary system, of which C. W. Macune was chairman. This was the famous sub-treasury scheme, soon to become the paramount issue with the Alliance and the Populists in the South and in some parts of the West. The committee proposed "that the system of using certain banks as United States depositories be abolished, and in place of said system, establish in every county in each of the States that offers for sale during the one year $500,000 worth of farm products—including wheat, corn, oats, barley, rye, rice, tobacco, cotton, wool, and sugar, all together—a sub-treasury office." In connection with this office there were to be warehouses or elevators in which the farmers might deposit their crops, receiving a certificate of the deposit showing the amount and quality, and a loan of United States legal tender paper equal to eighty per cent of the local current value of the products deposited. The interest on this loan was to be at the rate of one per cent per annum; and the farmer, or the person to whom he might sell his certificate, was to be allowed one year in which to redeem the property; otherwise it would be sold at public auction for the satisfaction of the debt. This project was expected to benefit the farmers in two ways: it would increase and make flexible the volume of currency in circulation; and it would enable them to hold their crops in anticipation of a rise in price.

The Northwestern Alliance also hesitated to play the role of a third party, but it adopted a program which was virtually a party platform. In place of the sub-treasury scheme as a means of increasing the volume of currency in circulation and at the same time enabling the farmer to borrow money at low rates of interest, this organization favored the establishment of a land loan bureau operated by the Government. Legal tender currency to the amount of $100,000,000 or more if necessary, was to be placed at the disposal of this bureau for loans upon the security of agricultural land in amounts not to exceed one-half the value of the land and at an interest rate of two per cent per annum. These loans might run for twenty years but were to be payable at any time at the option of the borrower.

With two strong organizations assuming all the functions of political parties, except the nomination of candidates, the stage was set in 1890 for a drama of unusual interest. One scene was laid in Washington, where in the House and Senate and in the lobbies the sub-treasury scheme was aired and argued. Lending their strength to the men from the mining States, the Alliance men aided the passage of the Silver Purchase Act, the nearest approach to free silver which Congress could be induced to make. By the familiar practice of "log-rolling," the silverites prevented the passage of the McKinley tariff bill until the manufacturers of the East were willing to yield in part their objections to silver legislation. But both the tariff and the silver bill seemed to the angry farmers of the West mere bones thrown to the dog under the table. They had demanded FREE silver and had secured a mere increase in the amount to be purchased; they had called for a downward revision of the duties upon manufactured products and had been given more or less meaningless "protection" of their farm produce; they had insisted upon adequate control of the trusts and had been presented with the Sherman Act, a law which might or might not curb the monopolies under which they believed themselves crushed. All the unrest which had been gathering during the previous decade, all the venom which had been distilled by fourteen cent corn and ten per cent interest, all the blind striving to frustrate the industrial consolidation which the farmer did not understand but feared and hated, found expression in the political campaign of 1890.

The Alliance suited its political activities to local necessities. In many of the Southern States, notably Florida, Georgia, and the Carolinas, Alliance men took possession of the Democratic conventions and forced both the incorporation of their demands into the platforms and the nomination of candidates who agreed to support those demands. The result was the control of the legislatures of five Southern States by members or supporters of the order and the election of three governors, one United States Senator, and forty-four Congressmen who championed the principles of the Alliance. In the West the Alliance worked by itself and, instead of dominating an old party, created a new one. It is true that the order did not formally become a political party; but its officers took the lead in organizing People's, Independent, or Industrial parties in the different States, the membership of which was nearly identical with that of the Alliance. Nor was the farmer alone in his efforts. Throughout the whole country the prices of manufactured articles had suddenly risen, and popular opinion, fastening upon the McKinley tariff as the cause, manifested itself in a widespread desire to punish the Republican party.

The events of 1890 constituted not only a political revolt but a social upheaval in the West. Nowhere was the overturn more complete than in Kansas. If the West in general was uneasy, Kansas yeas in the throes of a mighty convulsion; it was swept as by the combination of a tornado and a prairie fire. As a sympathetic commentator of later days puts it, "It was a religious revival, a crusade, a pentecost of politics in which a tongue of flame sat upon every man, and each spake as the spirit gave him utterance."* All over the State, meetings were held in schoolhouses, churches, and public halls. Alliance picnics were all-day expositions of the doctrines of the People's Party. Up and down the State, and from Kansas City to Sharon Springs, Mary Elizabeth Lease, "Sockless" Jerry Simpson, Anna L. Diggs, William A. Peffer, Cyrus Corning, and twice a score more, were in constant demand for lectures, while lesser lights illumined the dark places when the stars of the first magnitude were scintillating elsewhere.

* Elizabeth N. Barr, "The Populist Uprising", in William E. Connelly's "Standard History of Kansas and Kansans", vol. II, p. 1148.

Mrs. Lease, who is reported to have made 160 speeches in the summer and autumn of 1890, was a curiosity in American politics. Of Irish birth and New York upbringing, she went to Kansas and, before she was twenty years old, married Charles L. Lease. Twelve years later she was admitted to the bar. At the time of the campaign of 1890 she was a tall, mannish-looking, but not unattractive woman of thirty-seven years, the mother of four children. She was characterized by her friends as refined, magnetic, and witty; by her enemies of the Republican party as a hard, unlovely shrew. The hostile press made the most of popular prejudice against a woman stump speaker and attempted by ridicule and invective to drive her from the stage. But Mrs. Lease continued to talk. She it was who told the Kansas farmers that what they needed was to "raise less corn and more HELL!"

Wall Street owns the country [she proclaimed]. It is no longer a government of the people, by the people, and for the people, but a government of Wall Street, by Wall Street, and for Wall Street .... Money rules, and our Vice-President is a London banker. Our laws are the output of a system that clothes rascals in robes and honesty in rags. The parties lie to us, and the political speakers mislead us. We were told two years ago to go to work and raise a big crop and that was all we needed. We went to work and plowed and planted; the rains fell, the sun shone, nature smiled, and we raised the big crop that they told us to; and what came of it? Eight-cent corn, ten-cent oats, two-cent beef, and no price at all for butter and eggs—that's what came of it.... The main question is the money question.... We want money, land, and transportation. We want the abolition of the National Banks, and we want the power to make loans directly from the Government. We want the accursed foreclosure system wiped out. Land equal to a tract 30 miles wide and 90 miles long has been foreclosed and bought in by loan companies of Kansas in a year.... The people are at bay, and the blood-hounds of money who have dogged us thus far beware!

A typical feature of this campaign in Kansas was the contest between Jerry Simpson and Colonel James R. Hallowell for a seat in Congress. Simpson nicknamed his fastidious opponent "Prince Hal" and pointed to his silk stockings as an evidence of aristocracy. Young Victor Murdock, then a cub reporter, promptly wrote a story to the effect that Simpson himself wore no socks at all. "Sockless Jerry," "Sockless Simpson," and then "Sockless Socrates" were sobriquets then and thereafter applied to the stalwart Populist. Simpson was at this time forty-eight years old, a man with a long, square-jawed face, his skin tanned by exposure on shipboard, in the army, and on the farm, and his mustache cut in a straight line over a large straight mouth. He wore clerical eyeglasses and unclerical clothes. His opponents called him clownish; his friends declared him Lincolnesque. Failing to make headway against him by ridicule, the Republicans arranged a series of joint debates between the candidates; but the audience at the first meeting was so obviously partial to Simpson that Hallowell refused to meet him again. The supporters of the "sockless" statesman, though less influential and less prosperous than those of Hallowell, proved more numerous and triumphantly elected him to Congress. In Washington he acquitted himself creditably and was perhaps disappointingly conventional in speech and attire.

The outcome of this misery, disgust, anger, and hatred on the part of the people of Kansas focused by shrewd common sense and rank demagogism, was the election of five Populist Congressmen and a large Populist majority in the lower house of the state legislature; the Republican state officers were elected by greatly reduced majorities. In Nebraska, the People's Independent party obtained a majority of the members of the legislature and reduced the Republican party to third place in the vote for governor, the victory going to the Democrats by a very small plurality. The South Dakota Independent party, with the president of the state Alliance as its standard bearer, was unable to defeat the Republican candidates for state offices but obtained the balance of power in the legislature. In Indiana, Michigan, and Minnesota, the new party movement manifested considerable strength, but, with the exception of one Alliance Congressman from Minnesota and a number of legislators, the fruits of its activity were gathered by the Democrats.

Among the results of the new party movements in the Western States in 1890 should be included the election of two United States Senators, neither of whom was a farmer, although both were ardent advocates of the farmers' cause. In South Dakota, where no one of the three parties had a majority in the legislature, the Reverend James H. Kyle, the Independent candidate, was elected to the United State Senate, when, after thirty-nine ballots, the Democrats gave him their votes. Kyle, who was only thirty-seven years old at this time, was a Congregational minister, a graduate of Oberlin College and of Alleghany Theological Seminary. He had held pastorates in Colorado and South Dakota, and at the time of his election was financial agent for Yankton College. A radical Fourth of July oration which he delivered at Aberdeen brought him into favor with the Alliance, and he was elected to the state senate on the Independent ticket in 1890. Prior to this election Kyle had been a Republican.

The other senatorial victory was gained in Kansas, where the choice fell on William A. Peffer, whose long whiskers made him a favorite object of ridicule and caricature in Eastern papers. He was born in Pennsylvania in 1831, and as a young man had gone to California during the gold boom. Returning after two years with a considerable sum of money, he engaged in farming first in Indiana and then in Missouri. When the Civil War began, his avowed Unionist sentiments got him into trouble; and in 1862 he moved to Illinois, where after a few months he enlisted in the army. At the close of the war he settled in Tennessee and began the practice of law, which he had been studying at intervals for a number of years. He removed in 1870 to Kansas, where he played some part in politics as a Republican, was elected to the state senate, and served as a delegate to the national convention of 1880. After a number of newspaper ventures he became the editor of the Kansas Farmer of Topeka in 1880 and continued in that position until he was elected to the United States Senate. He was a member of the Knights of Labor and was an ardent prohibitionist and, above all, an advocate of currency inflation.

After the elections of November, 1890, came definite action in the direction of forming a new national party. The Citizens' Alliance, a secret political organization of members of the Southern Alliance, held a convention with the Knights of Labor at Cincinnati on May 19, 1891. By that time the tide of sentiment in favor of a new party was running strong. Some fourteen hundred delegates, a majority of whom were from the five States of Ohio, Kansas, Indiana, Illinois, and Nebraska, attended the convention and provided for a committee to make arrangements, in conjunction with other reform organizations if possible, for a convention of the party to nominate candidates for the presidential election of 1892. To those who were anxious to have something done immediately the process of preparing the ground for a new third party seemed long and laborious. Seen in its proper perspective, the movement now appears to have been as swift as it was inevitable. Once more, and with greater unanimity than ever before, the farmers, especially in the West, threw aside their old party allegiance to fight for the things which they deemed not only essential to their own welfare but beneficial to the whole country. Some aid, it is true, was brought by labor, some by the mining communities of the mountain region, some 'by various reform organizations; but the movement as a whole was distinctly and essentially agrarian.



CHAPTER X. THE POPULIST BOMBSHELL OF 1892

The advent of the Populists as a full-fledged party in the domain of national politics took place at Omaha in July, 1892. Nearly thirteen hundred delegates from all parts of the Union flocked to the convention to take part in the selection of candidates for President and Vice-President and to adopt a platform for the new party. The "Demands" of the Alliances supplied the material from which was constructed a platform characterized by one unsympathetic observer as "that furious and hysterical arraignment of the present times, that incoherent intermingling of Jeremiah and Bellamy." The document opened with a general condemnation of national conditions and a bitter denunciation of the old parties for permitting "the existing dreadful conditions to develop without serious effort to prevent or restrain them." Then followed three declarations: "that the union of the labor forces of the United States this day consummated shall be permanent and perpetual"; that "wealth belongs to him who creates it, and every dollar taken from industry without an equivalent is robbery"; and "that the time has come when the railroad corporations will either own the people or the people must own the railroads." Next came the demands. Heading these were the monetary planks: "a national currency, safe, sound, and flexible, issued by the general Government poly, a full legal tender for all debts," with the subtreasury system of loans "or a better system; free and unlimited coinage of silver and gold at the present legal ratio of sixteen to one"; and an increase in the circulating medium until there should be not less than $50 per capita. With demands for a graduated income tax, for honesty and economy in governmental expenditures, and for postal savings banks, the financial part of the platform was complete. The usual plank declaring for government ownership and control of railroads and telegraphs now included the telephone systems as well, and the land plank opposed alien ownership and demanded the return of lands held by corporations in excess of their actual needs. Other resolutions, adopted but not included in the platform, expressed sympathy with labor's demands for shorter hours, condemned the use of Pinkerton detectives in labor strife, and favored greater restriction of immigration, the initiative and referendum, direct election of United States senators, and one term for the President and Vice-President.

The platform, according to a news dispatch of the time, was "received with tremendous enthusiasm... and was read and adopted almost before the people knew it was read. Instantly there was enacted the mightiest scene ever witnessed by the human race. Fifteen thousand people yelled, shrieked, threw papers, hats, fans, and parasols, gathered up banners, mounted shoulders. Mrs. Lease's little girl was mounted on Dr. Fish's shoulders—he on a table on the high platform. The two bands were swamped with noise.... Five minutes passed, ten minutes, twenty, still the noise and hurrahs poured from hoarse throats." After forty minutes the demonstration died out and the convention was ready to proceed with the nomination of a presidential candidate.

No such unanimity marked this further procedure, however. Just before the convention the leaders of the People's Party had thrown the old parties into consternation by announcing that Judge Walter Q. Gresham, of Indiana, would be offered the nomination. Judge Gresham, a Republican with a long and honorable public record, had been urged upon the Republican party in 1884 and 1888, and "Anti-Monopolists" had considered him with favor on account of his opinions and decisions regarding the operation and control of railroads. Just after the adoption of the platform a telegram from the judge announced that he would accept a unanimous nomination. Since unanimity was unobtainable, however, his name was withdrawn later in the day.