Congress convened in
September. The President in his message proposed the establishment of an
independent treasury for the custody of the public funds, and their
total separation from banking institutions. Such a bill failed, but it
became a law in 1840. Congress, however, obtained temporary relief by
authorizing the issue of $10,000,000 in treasury notes.

The fact remained, however, that the country was rich, and though much
distress prevailed, the financial stress began to lessen as more healthy
methods of business were adopted. In 1838 most of the banks resumed
specie payments, but the effect of the panic was felt for years. Since
the distress occurred while Van Buren was President, the blame was
placed by many upon the administration.

At that time the present Dominion of Canada was divided into two
provinces, known as Upper and Lower Canada. Dissatisfaction with some of
the features of Great Britain's rule caused a rebellion in Lower Canada
in 1837. Much sympathy was felt for them in this country, and especially
in New York, from which a force of 700 men seized and fortified Navy
Island, in Niagara River. There were plenty of loyalists in Canada, who
made an attempt to capture the place, but failed. On the night of
December 29, 1837, they impetuously attacked the supply steamer
_Caroline_, killed twelve of the defenders, set the boat on fire, and
sent it over Niagara Falls.

President Van Buren issued a proclamation forbidding all interference in
the affairs of Canada, and General Wool was sent to the frontier with a
military force strong enough to compel obedience. He obliged the
insurgents on Navy Island to surrender and pledge themselves to refrain
from all unlawful acts. These vigorous measures soon brought quiet to
the border, and England's wise policy toward the disaffected provinces
has made Canada one of her most loyal provinces.

The population of the United States in 1840 was 17,649,453, further
evidence of the real prosperity of the country. Railroad building went
on vigorously, there being fully 4,000 miles in operation at the close
of Van Buren's term.

PRESIDENTIAL ELECTION OF 1840.

The following was the presidential vote of 1840: William Henry Harrison,
of Ohio, Whig, 234; Martin Van Buren, 70. For Vice-President, John
Tyler, 234; E.M. Johnson, 48; L.W. Tazewell, of Virginia, Democrat, 11;
James K. Polk, of Tennessee, Democrat, 1.

WILLIAM HENRY HARRISON.

[Illustration: WILLIAM HENRY