In January, a protective tariff bill was introduced in the American Congress. It was opposed by the South and by New England. On May 22, Congress, by a majority of five in the House and four in the Senate, passed Clay's measure. The average rate of tariff was thirty-seven per cent. Before the passage of the bill England had been importing goods more cheaply than Americans could manufacture them. American manufacturers could now sell their goods at a profit. Even then there were believers in free trade, who held that the country would naturally produce that which was prohibited, and that the productions which were brought into existence by taxation put a portion of the people into unprofitable employment, advantageous only to the manufacturers. But the Middle and Western States, with the aid of the representatives from the manufacturing districts of New England, were strong enough to give the tariff a small majority. From 1824 the imposition of protective duties has been the bone of contention of the two great political parties in America. The economical struggle between protection and free trade has since gone on with varying features. Political leadership in the United States was passing from the South to the North. New York, Pennsylvania and Ohio were fast pushing to the front. Buffalo had 20,000 population; and other interior towns were growing rapidly. Millions of acres of valuable lands were put under cultivation in the central and western counties of New York and Pennsylvania and in Ohio; manufacturing industries multiplied. From a sparsely inhabited country in 1800, Ohio had grown, in 1824, to be the fifth State in population. [Sidenote: American letters] American letters were enriched in this year by Irving's "Tales of a Traveller," Paulding's "John Bull," Bancroft's "Politics in Ancient Greece," and Verplanck's "Revealed Religion." [Sidenote: South American republics recognized] During the first session of Congress a special message from President Monroe recommended the establishment of intercourse with the new independent States of South America--Venezuela, New Granada, Buenos Ayres, Chile and Peru. Congress voted for recognition by an overwhelming majority, and the President signed the bill. The United States was the first among the civilized powers to welcome the new republics. The struggle for independence in South America was furthered more than ever by the unsatisfactory state of affairs on the Peninsula. In Spain the return of absolute rule was still followed by a reign of terror. The people there relapsed into medieval barbarism. [Sidenote: Portuguese Constitution triumphant] [Sidenote: Growth of republican sentiment] [Sidenote: Iturbide shot] [Sidenote: Santa Anna in power]