in the Union, were fired
as the stars and stripes were lowered from Morro Castle and the other
fortresses. The American troops saluted the new emblem, fired twenty-one
guns in honor of the new nation, and then embarked for the United
States. Thus was kept to the letter--a noble example of public
faith--the promise we made when invading Cuba, that we would not acquire
territory.

[Illustration: Portrait.]
Copyright, 1902, by Underwood &Underwood, N.Y.
Tomaso Estrada y Palma,
First President of Cuba, in the palace, Havana.

[Illustration: Large American flag.]
Copyright. 1902, by Underwood & Underwood.
Lowering the Stars and Stripes on the palace,
May 20, 1902, for the flag of the Cuban Republic.

Those who prophesied a short life for the new republic and a reign of
fraud and corruption were mistaken. During the first year economy became
the rule in the administration of all branches of the public service,
the government was self supporting, and a balance accumulated in the
treasury. Moreover, the reforms inaugurated by Americans continued. Some
3,400 teachers were employed in the island and 120,000 pupils were in
constant attendance upon the schools. In all parts of the island the
effects of American rule were visible. Ten million dollars had been
expended in sanitation reforms and the cleansing of Havana and the other
cities. Industrial schools for orphan boys and girls were begun and
hospitals and asylums for the sick, helpless, and insane were
reestablished. By 1901 a railroad, with branch lines, was constructed
between Santiago and Havana, thus giving the whole island excellent
transportation facilities.

Cuba could not gain prosperity at a bound. Whereas the island should,
under natural conditions, have had $30,000,000 to $40,000,000 due her
from foreign countries in 1902, she was $50,000,000 in debt. Her
manufactures were insignificant. It was estimated that, in the year
named, $80,000,000 of American money was invested in Cuba. The main
enterprises were railroads, sugar and tobacco plantations, mines, and
fruit farms.

Free commercial intercourse with Spain no longer existing, Cuban sugar
and tobacco producers sought markets in the United States, leading to
the "reciprocity" conflict touched upon in Chapter XIII, Vol. V. During
1902 a reciprocity treaty was negotiated and promptly ratified in Cuba.
Our Senate amended it and returned it to Cuba for reconsideration.
Brought hither again, it was passe