ly warranted, he having received the necessary
technical training as a graduate of the Naval Academy, where he stood
No. 1 in his class; and such action is recommended partly in deference
to what is understood to be his own desire, although, he being now a
prisoner in the hands of the enemy, no direct communication on the
subject has been received from him, and partly for the reason that the
abilities displayed by him at Santiago are of such a character as to
indicate especial fitness for the duties of the line.

WILLIAM McKINLEY.

SECOND ANNUAL MESSAGE.

EXECUTIVE MANSION, _December 5, 1898_.

_To the Senate and House of Representatives:_

Notwithstanding the added burdens rendered necessary by the war, our
people rejoice in a very satisfactory and steadily increasing degree of
prosperity, evidenced by the largest volume of business ever recorded.
Manufacture has been productive, agricultural pursuits have yielded
abundant returns, labor in all fields of industry is better rewarded,
revenue legislation passed by the present Congress has increased the
Treasury's receipts to the amount estimated by its authors, the finances
of the Government have been successfully administered and its credit
advanced to the first rank, while its currency has been maintained at
the world's highest standard. Military service under a common flag and
for a righteous cause has strengthened the national spirit and served to
cement more closely than ever the fraternal bonds between every section
of the country.

A review of the relation of the United States to other powers, always
appropriate, is this year of primary importance in view of the momentous
issues which have arisen, demanding in one instance the ultimate
determination by arms and involving far-reaching consequences which will
require the earnest attention of the Congress.

In my last annual message[12] very full consideration was given to the
question of the duty of the Government of the United States toward Spain
and the Cuban insurrection as being by far the most important problem
with which we were then called upon to deal. The considerations then
advanced and the exposition of the views therein expressed disclosed
my sense of the extreme gravity of the situation. Setting aside as
logically unfounded or practically inadmissible the recognition of the
Cuban insurgents as belligerents, the recognition of the independence
of Cuba, neutral intervention to end the war by