blockade, by shutting off the European supply of raw cotton, on both
sides the channel, was the cause of measureless unemployment, of
intolerable misery. There was talk in both countries of intervention.
Napoleon, especially, loomed large on the horizon as a possible ally of
the Confederacy. And yet, all this while, Lincoln had it in his power at
any minute to lay the specter of foreign intervention. A pledge to the
"Liberal party throughout the world" that the war would bring about the
destruction of slavery, and great political powers both in England and
in France would at once cross the paths of their governments should they
move toward intervention. Weighty as were all these reasons for a change
of policy--turning the flank of the Vindictives on the war powers,
committing the Abolitionists to the Administration, winning over the
European Liberals--there was a fourth reason which, very probably,
weighed upon Lincoln most powerfully of them all. Profound gloom had
settled upon the country. There was no enthusiasm for military
service. And Stanton, who lacked entirely the psychologic vision of the
statesman, had recently committed an astounding blunder. After a few
months in power he had concluded that the government had enough soldiers
and had closed the recruiting offices.(11) Why Lincoln permitted this
singular proceeding has never been satisfactorily explained.* Now he was
reaping the fruits. A defeated army, a hopeless country, and no
prospect of swift reinforcement! If a shift of ground on the question
of emancipation would arouse new enthusiasm, bring in a new stream of
recruits, Lincoln was prepared to shift.

*Stanton's motive was probably economy. Congress was
terrified by the expense of the war. The Committee was
deeply alarmed over the political effect of war taxation.
They and Stanton were all convinced that McClellan was amply
strong enough to crush the Confederacy.

But even in this dire extremity, he would not give way without a last
attempt to save his earlier policy. On July twelfth, he called together
the Senators and Representatives of the Border States. He read to them
a written argument in favor of compensated emancipation, the Federal
government to assist the States in providing funds for the purpose.

"Let the States that are in rebellion," said he, "see definitely and
certainly that in no event will the States you represent ever join their
proposed Confederacy, and t