machinery is now in full operation, and it is for the interest of the owners, the people, and the Government that the supplies should be furnished by our own workmen, paying them fairly instead of sending our money to support the laborers of Europe. But if while they are manufacturing to this enormous extent the Government should obtain supplies from Europe they would find that when their gods were made the market would be glutted. Self- preservation, therefore, would warn them to stop operations, throw their hands out of employment, and innocently on their part-nay, of necessity-spread dismay, distress, and ruin among the people.
The woolen manufacturers who made contracts with the War Department on both occasions in Philadelphia and also in New York, in the aggregate can hardly expect to make a dollar profit in fulfilling them. Their estimates for the cost of production were based upon wool and indigo, the principal materials, at very low prices as the market then was, since which an advance of fully 50 per cent. and even more has taken place, and great pressure for these goods has induced the owners to run their machinery extra time, and some do no stop it day or night. This always involves a much larger expense for labor and a greater depreciation of property. Water has been very short during the summer, depriving them of their power, and steam, where it was practicable, has been substituted at great expense for labor and a greater depreciation of property. Water has been very short during the summer, depriving them of their power, and steam, where it was practicable, has been substituted at great expense. In order, however, that the greatest promptness and the largest supplies shall be secured, it is necessary that both the contracting parties should faithfully carry out their obligations. If, after the delivery of his goods, the manufacturer cannot obtain prompt payment, all his plans are frustrated; he cannot meet his obligations; his operatives, who are depending upon their wages for their daily bread, are distressed, and the whole system is thrown into disorder. Loud complaints are made by many in this respect, and in some instances they have refused to deliver their goods because the Government does not pay for what it has had. Surely if this be so, the want of supply does not lie at the door of those who are to furnish the goods; nor would it be remedied by sending to Europe. Would it not be better for all to be prompt, and Government and people use their utmost endeavors to make the burdens and the benefits reciprocal, the Government, the moneyed institutions,all unfitting in one glorious movemench other and put down this wicked rebellion?
Another effect of this policy of purchasing in Europe will be to enhance the prices of coarse wool and indigo there. If orders go and large contracts are made for woolen goods for the United States, it will put anew set of purchasers into the market in competition with agents now there purchasing these articles for the use of the manufacturers here, hence the price must advance. If the orders are not to be revoked for the purchase of goods in Europe, our people ought to be informed of that determination, that they may countermand their orders for wool and indigo, and make changes in other arrangements which have been based upon the supposition that the Government would seek a home supply, or stop their machinery altogether, that the loss to the manufacturers may be made as small as possible.
The committee have as briefly as possible placed before you the reasons why they deem the matter under consideration to be most disastrous to the country and the Government. If there be any diplomatic reasons connected with the movement it does not become the committee to express any opinion further than to say that in their judgment no reasons of diplomacy connected with any foreign Government can be of