resources were carefully used for self-development, while its domestic authority should rest only on consent. Which of these views was correct is quite another matter. Certain it is that the system so long and ably maintained by Mr. Gallatin was rudely overthrown by the war of 1812, and overthrew Mr. Gallatin with it. Equally certain it is that the United States naturally and safely gravitated back to Mr. Gallatin's system after the war of 1812, and has consistently followed it to the present time. The debt has been repeatedly discharged. Neither army nor navy has been increased over the proportions fixed by Mr. Gallatin and Mr. Jefferson. Commerce protects itself not by arms nor even by the fear of arms, but by the interests it creates. America has pursued in fact an American system,--the system of Mr. Gallatin. True it also is that this result does not settle the question as between Mr. Hamilton and Mr. Gallatin, for there were special circumstances which then made the situation exceptional. As has been said, the war of 1812 was a practical demonstration of at least the momentary failure of Mr. Gallatin's principle, and the failure occurred in dealing with precisely those difficulties which the Federalists had foreseen and tried to provide for. The question therefore recurs, whether the Federalist policy would have resulted better, and this is one of those inquiries which lose themselves in speculation. There is no answer to so large a problem. Congress rose on the 1st June, 1796, and Mr. and Mrs. Gallatin passed the summer in New York. Meanwhile, the co-partnership in which he had engaged had resulted in establishing on George's Creek a little settlement named New Geneva, and here were carried on various kinds of business, the most important and profitable of which was that of glass-making, begun during Mr. Gallatin's absence in the spring of 1797. Leaving his wife in New York, Mr. Gallatin went to New Geneva for a few weeks in the autumn of 1796. GALLATIN TO HIS WIFE. PHILADELPHIA, 26th September, 1796.