will, and it was only by the aid of the Republican
minority that the passage of the repealing bill was at last made
possible (October 30th). The mischief, however, was not ended. The
deficit in the treasury made it inevitable that the gold reserve should
be used to meet current expenses. Holders of the government's legal
tender notes anticipating this fact presented them for redemption.
Borrowing was resorted to by the government. Bonds were issued and sold
to the amount of $162,000,000. The business world was in a state of
constant agitation. Bank failures were numerous and commercial distress
widespread. Among the consequences of the panic was a reduction of wages
in many employments, accompanied by labour troubles more or less
serious. The centre of disturbance was the Pullman strike at Chicago
(q.v.), whence the disorder extended to the Pacific coast, causing riot
and bloodshed in many places. President Cleveland waited a reasonable
time, as he conceived, for Governor Altgeld of Illinois to put an end to
the disorder in that state. On the 6th of July 1894, despite Governor
Altgeld's protest, he directed the military forces of the United States
to clear the way for trains carrying the mails. The rioters in and
around Chicago were dispersed in a single day, and within a week the
strike was broken.

Another important event was the action of the government as regards the
question of arbitration between Great Britain and Venezuela (q.v.), in
which Richard Olney, the secretary of state, played a somewhat
aggressive part. On the 17th of December 1895 President Cleveland sent
to Congress a special message calling attention to Great Britain's
action in regard to the disputed boundary line between British Guiana
and Venezuela, and declaring the necessity of action by the United
States to prevent an infringement of the Monroe Doctrine. Congress at
once appropriated funds for an American commission to investigate the
matter. The diplomatic situation became for the moment very acute, but
after a short period of bellicose talk the common-sense of both
countries prevailed. Negotiations with Great Britain ensued, and before
the American special commission finished its work, Great Britain had
agreed, November 1896, to arbitrate on terms which safeguarded the
national dignity on both sides.

Cleveland's independence was nowhere more strikingly shown during his
second term than in his action in regard to the tariff legislation of
h