Who will continue the story of the greatest country in history?

The myth of George Washington chopping down a cherry tree appears on this tin mechanical badge, which dates to 1889.

By Jim O’Neal

It is always a pleasant surprise to discover an obscure name that has been lost in the sands of America’s history. Charles Thomson (1729-1824) falls into that category. He was Secretary of the Continental Congress from 1774 continuously until the U.S. Constitution was firmly in place and the bi-cameral government was functioning in 1789.

He was also the only non-delegate to actually sign the Declaration of Independence. A surprisingly active participant in the Revolutionary War, he wrote a 1,000-page manuscript on the politics of the times. It included the formation of the Continental Congress and a daily recap of speeches and debates right up to the agreement to go forward. In concept, it was a remarkable, contemporary record that is unique (except for notes James Madison complied). The public was not allowed to even attend the meetings in Philadelphia.

Alas, Thomson’s manuscript was never published since he destroyed it. Purportedly, it was because he wanted to preserve the reputations of these heroes and assumed that others would write about these historic times. The obvious implication is that his candid verbatim notes might tarnish some of his fellow colleagues. Thomson receives credit for helping design the Great Seal of the United States and since he personally chose what to include in the official journal of the Continental Congress, we’re left to wonder what he omitted or later burned … another example of why history is normally not considered precisely correct.

Charles Thomson

As Secretary of the Congress, Thomson personally rode to Mount Vernon, Va., and delivered the news to George Washington that he had been elected president of the United States. He told Washington that Congress was delighted he’d agreed “to sacrifice domestic ease and private enjoyments to preserve the happiness of your country.” Washington, in turn, said he couldn’t promise to be a great president, but could promise only “that which can be done by honest zeal.”

Political pundits opine that the office of the president was perfectly suited for George Washington, especially during the early formative years of the nation. A well-known hero in the fight for independence, he was a national leader who gained power without compromising himself or his principles. Absent the burden of a political party, he could have easily assumed the kind of monarchical power the nation had fought against. But, like his hero Cincinnatus, he had laid down his sword and returned to the plow. Clearly, this was a case of the office seeking the man as opposed to the reverse.

Washington truly did not aspire to the presidency – perhaps unique compared to all the men who followed. In his own words, he considered those eight years a personal sacrifice. In that era, land was the ultimate symbol of wealth and prestige. Through inheritance, he had acquired Mount Vernon and roughly 2,000 acres. That was not close to satisfying his ambitions and he spent much of his private life in a search of more … much more!

Historian John Clark called him an “inveterate land-grabber” and there’s plenty of evidence to support the claim. In 1767, he grabbed land set aside for Indians by the Crown by telling the surveyor to keep it a secret. This was followed by another 20,000 acres designated for soldiers in the French and Indian War. Washington arranged for officers to participate and then bought the land after telling the solders it was hilly, scrubby acreage. Washington would later boast that he had received “the cream of the country.”

Most biographies have been consistent in pointing out that land may have been a prime factor in his decision to court the widow Martha Parke Custis. They invariably point to his strong affection for Sally Fairfax, but she was his best friend’s wife. Martha was not without attraction. As one of the richest widows in North America, her marriage to George resulted in a windfall since what was hers became his. In addition to nearly 100 slaves, her 6,000 acres made George a very rich man. Details of their relationship are not available since Martha burned their love letters after his death.

However, since slaves over 12 were taxed, there are public records. During the first year of their marriage (he was 26 and she was 28), he acquired 13 slaves, then another 42 between 1761 and 1773. From tax records, we know he personally owned 56 slaves in 1761 … 62 in 1762 … 78 in 1765 … and 87 in the 1770s. Washington, Jefferson, Madison and most Virginia planters openly acknowledged the immorality of slavery, while confessing an inability to abolish it without financial ruin.

Washington had a reputation for tirelessly providing medical treatment for his slaves. But, was it for regard of property or more humane considerations? I suspect the answer lies somewhere in between.

As the first president, the paramount issue – among the many priorities of his first term – was to resolve the new government’s crushing debt. In 1790, the debt was estimated at $42 million. It was owed to common citizens of modest means and to thousands of Revolutionary War veterans whose IOUs had never been redeemed as stipulated by the Articles of Confederation. The war pension certificates they held had declined dramatically by 15 to 20 percent of face value.

Raising taxes was too risky and states might rebel. Ignore the debt, as had been the custom for several years, and the federal government risked its already weak reputation. The new president had to turn to his Cabinet for advice. He had an excellent eye for talent and the brilliant Alexander Hamilton was Treasury Secretary. He quickly formed a plan to create a new Bank of the United States (BUS). Since the bank would be backed by the federal government, people would feel safer about lending money and, as creditors, they would have a stake in both the bank and the government. Although Thomas Jefferson opposed the BUS, Washington prevailed in Congress.

Washington was re-elected four years later, again with a unanimous vote in the Electoral College. The first popular voting would not occur until 1824 and since that time, five presidential candidates have been elected despite losing the popular vote: John Quincy Adams (1824), Rutherford Hayes (1876), Benjamin Harrison (1888), George W. Bush (2000), and Donald J. Trump (2016).

It’s not easy starting a new country. There were no cherry trees to chop down as Parson Weems’ story describes. George Washington did not throw a silver dollar across the Rappahannock River. These are all fairy tales that grew over time. Yes, George Washington owned slaves and told a lie now and then. He was obsessed with land at one time. But, when it came to crunch time, he stepped up and committed eight years of his life to his country.

The big question now seems to be where we’ll find another man or woman to continue the story of the greatest country in history?

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

Are we ready to continue building this great nation?

Two weeks before the Treaty of Paris ended the Spanish-American War, Princeton Professor Woodrow Wilson in this letter to an anti-imperialist says it’s too late to protest and that the focus should be on the “momentous responsibilities” facing the nation.

By Jim O’Neal

Many historians believe that the European exploration of the Western Hemisphere (1500 to 1800) was one of the most transformative eras in the history of civilization. The great Scottish philosopher Adam Smith (1723-1790) took it a step further and labeled it “one of the two greatest and most important events recorded in the history of mankind.” Much of the modern world is a direct result of these 400 years of colonization and transference of culture. In the end, the world seemed inexorably on the way to what we now call “globalization.”

It seems overly dramatic to me (and omits great chunks of transformative periods) but also unambiguously clear that – despite the broad participation of other important nations – the people from England and Spain had the most influence on the vast territories of the New World. However, these two genuinely great empires ultimately evolved into dramatically different societies. Also in the crystal-clear category is that, in the end, they both managed to dissipate the powerful advantages they had created.

A quick snapshot of the world today confirms this devolution. The once mighty Spanish Empire is reduced to a relatively small, unimportant European nation (with a shaky economy, disturbing brain drain and geographic unrest). The other powerful empire of even greater influence in the world is now back to being a small island, wracked with political dissent over further retreat from the European Union (Brexit) and a dangerously unstable government.

In their place is the most powerful, democratic, innovative nation in the history of the world. But even the remarkable United States has developed troubling signs that pose a real threat to a continuation of prosperity. If we don’t find a way to reverse the issues that divide us (basically almost every single issue of importance) and close the inequality gap, our future will inevitably end up like those that went before. An economic boomlet has masked deep, difficult issues that politicians are blithely hoping will somehow be solved by some unknown means. We lack leadership at a time when Waiting for “Superman” is not a prudent strategy.

Some believe we are in a steady decline and that China will surpass America in many important areas this century. However, that is pessimistic conjecture. It’s more useful to re-examine the factors that propelled us to a pinnacle of unprecedented prosperity. I find it more interesting to visit the past rather than speculate on a future with so many possible outcomes (e.g. extinction via asteroid collisions, interstellar travel or a billion robots with superior intellect). It is an unknowable with questionable benefits.

One simplistic way is to skip our story of independence from England and correlate the decline of the Spanish Empire with our annexation of the Spanish-speaking borderlands. It broadly occurred in three phases, starting with the annexation of Florida and the Southeast by 1820. This was followed by California, Texas and the greater Southwest by 1855. Mexico lost 50 percent of its land and up to 80 percent of its mineral wealth. The final phase occurred with the Spanish-American War of 1898, which added Central America and the Caribbean to complete the New American Empire.

Virtually every American president was complicit in varying degrees, bookended by Thomas Jefferson and Teddy Roosevelt, who wrote as if this was preordained by a benevolent entity. With immigrants flowing into the East, the promise of free land and the lure of gold in California, the land between the oceans became steadily populated and blended. The short war with Spain was merely the capstone for a century of annexation, population growth and a perfect balance of territory, people and economic development. The motivation was clear (“sea to sea”) and the manipulation perfectly illustrated by this anecdote:

Publisher William Randolph Hearst (eager to have a war to sell more newspapers) hired Frederic Remington to illustrate the revolution erupting in Cuba. In January 1897, Remington wrote to Hearst, “Everything is quiet. There is no trouble. There will be no war. I wish to come home.” Hearst quickly responded, “Please remain. You furnish the pictures and I WILL FURNISH THE WAR.”

A year later, the Treaty of Paris was signed and Spain relinquished all claims of sovereignty and title to Cuba (long coveted by the U.S. for its sugar and labor), then ceded Puerto Rico and Guam to America. The Philippines was (much) more complicated. The islands had been under Spanish rule for four centuries and waging a war for independence since 1896. The U.S. Navy prevailed and Spain sold the Philippines to the U.S. for $20 million. However, Filipino nationalists had no interest in trading one colonial master for another. They declared war on the United States. Finally, in 1946, the U.S. recognized the Philippines’ independence.

And that, dear friends, is how you build (and lose) an empire.

In a different time, we would simply annex the rest of Mexico, eliminate the border with Canada and create a North American juggernaut to counter China and end squabbling over a wall. We could help Mexico (now perhaps a few U.S. states), eliminate drug cartels, develop the entire Baja California coastline to match Malibu and take advantage of the outstanding Mexican labor force to rebuild infrastructure. All the wasted money on border security (DHS, ICE, asylum, deportations, etc.) would be spent rebuilding old stuff.

But, I will need your vote for 2020! (I feel certain Adam Smith would agree.)

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

Does America still have ‘the right stuff’ to continue this remarkable story?

This 1903 Louisiana Purchase Gold Dollar, Jefferson Design, minted to commemorate the centennial of the Louisiana Purchase, realized $37,600 at an April 2017 Heritage auction.

By Jim O’Neal

The 19th century in the United States was by any standard an unusually remarkable period. In 1800, John Adams was still president, but had lost his bid for re-election to Vice President Thomas Jefferson, the man behind the words in our precious Bill of Rights. Alexander Hamilton had used his personal New York influence to break a tie with Aaron Burr, since Jefferson was considered the least disliked of the two political enemies. (Burr would kill Hamilton in a duel in 1803 by cleverly escalating a disagreement into a matter of honor.)

There were 16 states in 1800 (Ohio would join the Union as no. 17) and the nation’s population had grown to 5.3 million. Within weeks of becoming president, Jefferson learned that Spain had receded a large portion of its North American territory to France. Napoleon now owned 530 million acres, more than what the United States controlled. Fearful that losing control of New Orleans to our new French neighbor would lead to losing control of the strategically important Mississippi River, he developed a plan without including Congress.

He dispatched Robert Livingston and James Monroe to buy greater New Orleans for $10 million. They were pleasantly surprised when the French offered to sell 100 percent of their North American territories for $15 million cash … less several million in pending claims. Concerned that the French would change their offer before they could get formal approval, an agreement in principle was agreed to (later formally approved by Congress after James Madison’s assurance of its constitutionality.)

What a prize! 828,000 square miles for 3 cents an acre, virtually doubling the size of the United States and gaining control of the mighty Mississippi and shipping into the Gulf of Mexico. With this uncertainty removed, cotton production now expanded rapidly south and soon represented over 50 percent of total exports. With the aid of the cotton gin and slave labor, the United States now controlled 70 percent of the world’s production. Ominously, seeds of a great civil war were planted with each cotton plant.

For millions of people overseas, conquest or riches were not their primary ambition. Escaping the clutches of famine trumped all other hardships of life. 1842 was the first year in America’s history that more than 100,000 immigrants arrived in a single year. Five years later, the number from Ireland alone exceeded this, with Irish coming to America to escape the scourge of the Great Famine. In the 1840s and ’50s, 20 percent of the entire population of Ireland crossed the Atlantic in search of a better life. In sharp contrast to the Pilgrims on the Mayflower – who were on a financial venture supplied with rations – the Catholic Irish left in rags to avoid starvation in a mainly Protestant nation.

Concurrently, another wave from the European mainland was fleeing revolution and counterrevolution. In Germany, half-a-million left in a three-year period (1852-55) as a spirit of revolt captured the European continent. “We are sleeping on a volcano,” warned Alexis de Tocqueville. Meanwhile, two German thinkers (Karl Marx and Friedrich Engels) penned their intellectual nonsense, The Communist Manifesto, from the safety and luxury of London.

In the United States, just before the impending boomlet of immigration in 1846, total railroad mileage was a meager 5,000 miles. Ten years later, it quintupled to 25,000 as the influx of labor to lay iron rails was a perfect match for $400 million in capital. As famine and revolution were destroying Europe, their foreign transplants were busy transforming their new homeland. Also, the transition of coal to steam to steamboats scampering around the newly dug connecting canals would inspire new communications like the telegraph and Pony Express. While the country had been busy absorbing the wave of immigrants, it had also been in the throes of a decades-long internal migration west.

Thomas Jefferson had predicted it would be 1,000 years before the frontier reached the Pacific Ocean. Only 23 years after his death in 1826, gold was discovered in California and the fever to get rich started a westward movement that expanded globally. Once under way, the richness of the soil and massive new resources of rivers, forests, fish and bison would expand the migration to include farmers and their families. Horace Greeley shouted, “Go West, young man” and they did.

With room to grow and prosper, by 1900 the population would expand by a factor of 15 times to 76 million. They resided in 45 states after the Utah territories joined the Union in 1896. Fulfilling the vision of Manifest Destiny (from sea to sea), the rural population of 95 percent evolved as urbanization grew to 40 percent as industrialization and worker immigrants staffed the factories and cities. A short war with Mexico added California, Arizona and New Mexico, and President Polk’s annexation of Texas in 1845 filled in the contiguous states.

However, it was the railroads that created the permanence. With 30,000 miles of track in 1860, America already surpassed every other nation in the world. The continual growth was phenomenal: 1870 (53k), 1880 (93k), 1890 (160k) and by 1900 almost 200,000 … a six-fold increase in a mere 40-year period. Yes, there were problems: Illinois had 11 time zones and Wisconsin 38, but this was harmonized by 1883. Most importantly, they connected virtually every city and town in America and employed 1 million people!

Throw in a few extras like electricity, oil wells, steel mills and voila! The greatest nation ever built from scratch. Today, we have 6 percent of the people on 6 percent of the land and 30 percent of the world’s economic activity … and we are celebrating the 50-year anniversary of putting a man on the moon.

Do we still have “the right stuff” to continue this remarkable story? I say definitely, if we demand that our leaders remember how we got here.

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

Throughout U.S. history, a lot of money has been made from tobacco

Peter Stackpole’s gelatin silver print titled Camel Cigarette Billboard Sign, Times Square, 1944, went to auction in 2013.

By Jim O’Neal

In 1976, while planning a new Frito-Lay plant for Charlotte, N.C., a small group of us made a trip to Winston-Salem to visit R.J. Reynolds Tobacco. They had spent $1B on a computer-integrated manufacturing plant (C.I.M.) that was recognized as the largest and most modern cigarette plant in the world. We were interested in the latest automation technologies available for possible application in our new plant.

My two most vivid memories include the pervasive odor outside the plant that I (correctly) identified as menthol. This was not too tough since the plant was the major producer of Salem brand cigarettes (I assumed the rest were Winstons, given the town we were in). Second was that every single manager we met was a heavy smoker, with the biggest clue being the distinctive deep-yellow stain between their index and middle fingers. It was like being in a 1940s Bette Davis movie.

We finished up with an enjoyable dinner with David P. Reynolds, chairman emeritus of Reynolds Metals, whom I had known since my days involving aluminum foil and beer cans. He amused the group by telling old company stories, including “Lucky Strike Green Goes to War.” It seems that in 1942, they wanted to change the package design by substituting white ink for the more familiar green. Both copper and chromium were expensive ingredients in the green ink, so it simply “went to war” (and never returned). There was another story involving Camel and Kaiser Wilhelm (the original name favored for the cigarette that debuted in 1913). I don’t remember the details, but the moral of the story was … never name a product after a living person.

Later, I learned about Operation Berkshire, a secret 1976 agreement between all tobacco CEOs to form a collective defense against anti-smoking legislation (anywhere). Each pledged to never concede that smoking had any adverse health effects. We all recall the “Seven Dwarfs” testifying in April 1994 to the U.S. Congress (under oath) that nicotine was not addictive and smoking did not cause cancer. Movie tip: The Insider starring Russell Crowe ranks No. 23 on AFI’s list of the “100 Greatest Performances of All Time.” It tells the tobacco story of today brilliantly.

Lucky Strike was introduced as chewing tobacco in 1871, evolving into a cigarette by the early 1900s.

More than 400 years earlier, in 1604, King James I had written a scathing rebuke to the evils of tobacco in A Counterblaste to Tobacco. He was the son of Mary, Queen of Scots, and ascended to the English throne when Elizabeth I died childless. He wrote of tobacco as “lothsome to the eye, hatefull to the Nose, harmefull to the braine, [and] dangerous to the Lungs.” He equated tobacco with “a branche of the sinne of drunkenness, which is the roote of all sinned.”

Tobacco was late to arrive in England. Fifteenth-century European explorers had observed American Indians smoking it for medicinal and religious purposes. By the early 16th century, ships returning to Spain took back tobacco, touting its therapeutic qualities. The Iberian Peninsula eagerly adopted its use.

When English settlers arrived in Jamestown in 1607, they became the first Europeans on the North American mainland to cultivate tobacco. Spotting an opportunity in 1610, John Rolfe (of Pocahontas fame) shipped a cargo to England, but the naturally occurring plant in the Chesapeake region was considered too harsh and bitter. The following year, Rolfe obtained seeds of the milder Nicotiana tabacum from the Spanish West Indies and soon production was rapidly growing and spreading to Maryland. By the middle of the 18th century, Virginia and Maryland were shipping nearly 70 million pounds of tobacco to Britain.

Even as many Colonial leaders in America believed that smoking was evil and hazardous to health, it had little effect on the relentless spread of tobacco farming. By the eve of the Revolutionary War, tobacco was the leading cash crop produced by the Colonies. Exports to Britain rose to over 100 million pounds … 50 percent of all Colonial trade. Never was a marriage of soil and seed more bountiful.

But tobacco cultivation and manufacturing were extremely labor-intensive activities. Initially, white indentured servants were used to harvest the crop and inducements to come to America often came in the form of a formal “indentured servitude” agreement. Typically, in exchange for agreeing to work for seven years, the servant would receive his own land to farm. This system was preferred over slavery; losing a slave was seen as more costly than losing an indentured servant.

Then the economics started shifting as land became scarcer and slaves more plentiful due to King Charles II. He decided to create the Royal African Company of England and grant it a monopoly with exclusive rights to supply slaves to the Colonies. Then, with the explosion of cotton production, there was an enormous demand for more slaves.

A cynic might note that the formation of the United States was first led by men from Virginia and then governed by them. President Washington, followed by Thomas Jefferson, James Madison and, finally, James Monroe … four of the first five presidents … all from Virginia and all with slave plantations.

Throughout our history, there has been a lot of money made from tobacco. As the plant manager at that C.I.M. plant explained, “We ship about 800 rail cars filled with cigarettes every eight hours and they come back loaded with cash.”

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

President Coolidge deserves credit for his guiding hand

An official inaugural medal for Calvin Coolidge, inscribed “Inauguration March 4, 1925,” sold for $16,250 at a May 2019 Heritage auction.

By Jim O’Neal

There must have been thousands of American veterans of World War I still alive when I was born in 1937. After all, it had been less than 19 years since the Peace Armistice had been signed in November 1918. Although the war started in Europe in 1914, the United States didn’t get directly involved until April 1917 after a series of events provoked President Wilson to ask Congress to declare war.

However, my only recollections are about the Second World War, when my father and five of my mother’s brothers went to strange-sounding places like Iwo Jima, Guadalcanal, Tarawa and Okinawa. My Saturdays at the movies were (seemingly) exclusively Westerns and war films. Of course, there were the newsreels narrated mostly by Lowell Thomas, the voice of Movietone News. This was the generation that suffered through the Great Depression and earned the title of “the Greatest Generation” (Tom Brokaw) for their courage, sacrifice and honor. I give them a lot of credit for a time in the 1950s that I fondly recall with television, my own car, more money than I could spend and unlimited basketball, baseball and surfing.

Still, historians agree that the First World War had a major impact in shaping the modern world. A war of unprecedented violence, it upended the Victorian Era’s peace and prosperity. It unleashed mechanized warfare and death on a level that was staggering. Concurrently, it fundamentally altered the social norms for economics, psychology and liberalism that dated back to the Enlightenment. No one has developed an acceptable theory on the confluence of events that shattered the relationships of monarchies with blood and familial ties. The complicating treaties and alliances served as an obvious domino factor, but a single circuit breaker had the power to defuse the entire situation if it had been employed early.

Yet not a single leader had the courage or foresight to simply call “Time out!” and stop the equivalent of a runaway train. This strategic void led directly to the loss of 10 million lives and the destruction of a continent that had slowly evolved a benevolent culture with so much potential. Fortunately, the war was primarily rural and most of the grand historic buildings were spared; fate would not be so kind to the next confrontation … with thousands of bombers, guided bombs and the destruction of entire cities.

Perhaps worse, though, was the post-war legacy of hatred that made the horrific second tragedy inevitable. Consider the mindset of Adolf Hitler on Sept. 18, 1922, when he warned, “It cannot be that 2 million Germans should have fallen in vain … No, we do not pardon, we demand … vengeance!” Are these the words of a sane man who would be satisfied to regroup, rebuild and start over? Or a clever psychopath who would corrupt the minds of people, even as they were struggling with the punishment required by the Treaty of Versailles and the English, French and Russians exacting their revenge? Thousands of books have answered this with clarity.

Sadly, Americans and especially President Wilson would be seduced by a vague concept of a “14 Point Peace Plan” and a “League of Nations” to prevent future war, yet couldn’t even pass an obstinate Congress. It was another academic chimera, followed by a disabling stroke. Wilson’s successor was a flawed man, surrounded by corrupt men and public scandal. President Harding’s death in 1920 was unexpected but provided the opportunity for his vice president to perform an overdue house cleaning.

Calvin Coolidge was just the man to address the scandal-ridden administration of Warren G. Harding. His list of accomplishments are still not well known, but included cutting taxes four times, a budget surplus every year in office, and reduction of the national debt by a third. In many respects, he was a man of a bygone era. He wrote his own speeches, had only one secretary and didn’t even have a telephone on his presidential desk. Little wonder that President Reagan, who admired Coolidge’s efforts toward a smaller government and lower taxes, placed Silent Cal’s portrait in the White House Cabinet Room next to Lincoln and Jefferson.

Today, it’s not clear precisely how many wars we are in and how many have the exit strategy that Colin Powell considers essential to any military action (along with a clear objective and overwhelming forces to ensure victory). I wish I’d heard more from those WWI veterans that prompted this lesson!

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

Eliminating national debt will require a bit of financial wizardry

An intimate and honest letter by John Adams to Vice President Elbridge Gerry, dated April 26, 1813, sold for $46,875 at an October 2014 Heritage auction.

By Jim O’Neal

President James Madison set the rather dubious record of having both of his vice presidents die in office. George Clinton went first on April 20, 1812. Clinton also set a record as the first person to lie in state at the Capitol. However, it was for only two hours pending finalization of his burial services.

Then Vice President Elbridge Gerry died on Nov. 23, 1814, during Madison’s second term as president. Gerry’s name is still in common use today … “gerrymandering” is a way to draw voting districts to favor a candidate or political party. Gerry also holds the distinction of being the sole signer of the Declaration of Independence to be buried in the nation’s capital. He is interned at the Congressional Cemetery, which is the only “cemetery of national memory” founded before the Civil War. Although it is privately owned, the federal government has 806 plots that are used for ex-members of importance.

Neither VPs Clinton nor Gerry were replaced, since the Constitution at the time did not have a provision for filling a vice presidential vacancy. If a VP died, the job was held open pending the next election. Congress finally got around to addressing this in 1967 with the ratification of the 25th Amendment. In the aftermath of President John F. Kennedy’s assassination, the 25th provides the specific procedures for replacing the president or vice president in the event of death, removal, resignation or incapacitation (better late than never!).

Clinton had earlier served as Thomas Jefferson’s second vice president (Aaron Burr was the first) and was one of two vice presidents who served under two different presidents. John C. Calhoun was the other to have this iffy honor.

Calhoun was VP for John Quincy Adams and then Adams’ successor, Andrew Jackson. Calhoun then resigned the vice presidency to become a senator from South Carolina. The South Carolina legislature had voted to nullify federal tariff laws and threatened to secede from the Union if the issue was not resolved. Calhoun, ever the politician, thought the tariff issue could best be resolved by Congress and he thought he would be of more help to South Carolina as a senator.

However, Jackson began mobilizing federal troops to send to Charleston and made headlines by stating he would hang Calhoun if South Carolina went ahead with their threat to secede from the Union. In December 1832, Jackson issued a “Proclamation on Nullification,” warning that disunion by force was treason! Recall that this was nearly 30 years before the Civil War started.

President Jackson remained steadfast on federal tariffs. First, he was adamant that the Constitution trumped states’ rights. Asked if he had a message to those who threatened to secede, he replied: “Yes, give them my compliments and say that if a single drop of blood is shed in opposition to the laws of the United States, I will hang the first man upon the first tree I can reach!”

Secondly, he knew the federal tariffs were critical to his firm pledge to pay off the national debt. Remarkably, Jackson made good on his promise to eliminate the national debt. On Jan. 8, 1835, the federal government paid off 100 percent of the national debt … the first time in the history of the country. Fittingly, it was the 20th anniversary of the Battle of New Orleans. The following year, an even more astonishing event occurred. President Jackson approved returning surplus treasury funds to individual states.

With the current national debt at more than $22 trillion, and another $100 trillion in liabilities (Social Security and Medicare), I suspect zero national debt will require a degree of financial wizardry not seen since Bernie Madoff was reluctantly letting people give him their money to invest.

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

As delegates hissed, Martin Van Buren became his party’s presidential nominee

Five miniature portraits of George Washington, John Adams, Thomas Jefferson, James Madison and Martin Van Buren, likely produced in Europe during Van Buren’s presidency, sold for $14,340 at a May 2012 Heritage auction.

By Jim O’Neal

Andrew Jackson had been denied the presidency in the election of 1824, despite winning most of the popular votes and electoral votes. In situations where a political candidate did not secure a majority, the House of Representatives decided which of the top three candidates (by vote totals) would become president. The top three in 1824 were Jackson, John Quincy Adams and William Crawford. Henry Clay had finished fourth and was dropped from consideration.

The House then voted and picked Adams for president and he subsequently appointed Clay to be Secretary of State. Critics claimed that Clay had persuaded the House to vote for Adams in a secret quid pro quo for the Cabinet position. The dispute became notorious and was dubbed “the Corrupt Bargain” by Jackson supporters.

However, Jackson bounced back four years later and soundly defeated JQA for the presidency. This was the second time an incumbent president had been defeated. Thomas Jefferson had defeated President John Adams in the election of 1800. Both Adamses, father and son, were bitter about their defeats, and the “Era of Good Feelings” that existed for eight years (1817-1825) under President James Monroe came to an abrupt end. The deterioration into partisan politics was precisely what George Washington had warned about if political parties were allowed to flourish. He was a man wise beyond his years, as we know so well today.

After Jackson served two tumultuous terms (1829-1837), the Hero of New Orleans was tired and ready to go home. He had abandoned the idea of a third term and even seriously considered an early retirement that would allow close friend and adviser Vice President Martin Van Buren to assume the presidency. This would help ensure a peaceful continuation of Jacksonianism and put Van Buren in a strong place for the 1836 election. Van Buren consistently opposed this and finally the idea was dropped. Jackson would patiently wait for the end of his term.

However, earlier in 1835, Jackson had strongly urged party leaders to hold a national convention composed of delegates “fresh from the people” to pick the nominees. He made no secret of his personal preferences: Martin Van Buren for president and Col. Richard Johnson of Kentucky for vice president. This was not a popular choice, especially in the South, where many considered Van Buren a slick New York politician and Johnson worse … much worse. Johnson was anathema to Southerners. His common-law wife was a black woman and they had two children, which Johnson openly acknowledged.

To others, the “Van Buren Convention” was a farce. They complained that several states didn’t send delegates and others sent too many. They singled out Tennessee, which didn’t have delegates, but simply found a merchant from Tennessee who was in Baltimore on business at the time, quickly admitted him to the convention and allowed him to cast all 15 Tennessee votes for Van Buren and Johnson. His name was Edward Rucker and “ruckerize” (assuming a position or function without credentials) entered the jargon as a pejorative with an easy definition. Eventually, Van Buren and Johnson were selected as the Democratic-Republican Party ticket, with the delegates from Virginia hissing as they walked out of the convention.

Van Buren’s opposition in 1836 was composed of various anti-Jackson parties that had formed a new party called the Whigs. The old English Whigs had fought against royal despotism, and the American Whigs were dedicated to fighting “King Andrew the 1st.” They were too dispersed to hold a national meeting, so they simply nominated regional favorite sons: Daniel Webster (New England), Senator Hugh White (South) and General William Henry Harrison (West). Their hope was to divide the electoral vote, deny Van Buren the majority and have the election settled in the House as in 1824.

The strategy failed as Van Buren got almost 51 percent of the vote and was elected president. Richard Johnson had a tougher time. Twenty-three of the Virginia delegates refused to vote for him as “faithless electors” and he was one vote short of the 148 requirements. This time, the VP election was tossed to the Senate and for the only time in history, the Senate elected the vice president of the United States, 34 to 16.

Concurrently, word was received in Washington that Sam Houston had taken the president of Mexico as a prisoner, and Texas was applying for annexation as a state. Jackson was hesitant to accept a new state over the slavery issue. However, on the last day of his term of office, he recognized Texas independence – setting the stage for future annexation. Two days later, after handing over the reins of government to now-President Martin Van Buren, he left Washington by train to return to his beloved Hermitage.

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

How does a prosperous continent mobilize for total war?

The U.S. Mint in 2013 issued its First Spouse gold coin commemorating Ellen Wilson.

By Jim O’Neal

In 1912, President William Howard Taft and ex-President Theodore Roosevelt managed to divide the Republican Party to the extent that (Thomas) Woodrow Wilson regained the White House for the Democrats. Even Socialist Eugene V. Debs snared nearly a million votes for his policy to replace America’s capitalist system with a socialized economic system. Wilson was the only Democratic Party president elected between 1892 and 1932.

Success in office came easily for Wilson. He was more effective with groups than one-on-one and he broke a tradition that extended back to Thomas Jefferson. He read his State of the Union to Congress rather than submitting a written report. Another change was to keep a sharp line between his public and personal life (a habit developed during his days in academia). Surprisingly, he did not believe in racial equality and some Cabinet organizations were totally racially segregated. His wife Ellen was different. Despite supporting the racial segregation that resulted from the appointment of Southern Senators, she was appalled by the slums that surrounded the White House and became an active crusader to clean up the densely populated, alley blight that was pervasive.

Her failing health was exacerbated when she tripped on a throw rug and fell. She was confined her to bed each day for four hours. In July 1914, she was diagnosed with tuberculosis of the kidneys – a form of Bright’s disease that proved fatal. She died on Aug. 6, 1914. In addition to being stricken with grief, Wilson was dismayed by what would become World War I, when Austria declared war on Serbia after an assassination. The president was grateful that the First Lady was never made aware that the world was crashing into ruin. “It would have broken her heart.”

As the world continued toward a catastrophic war, President Wilson buried himself in work and public appearances were scarce. Newspaper front pages were dominated by the war in Europe and there was a palpable hostility against imperial Germany, despite the president urging for moderation. A European land war did not appear to be a threat to the United States. Our oceans ensured our domestic security.

Occasional positive events punctuated the war clouds, which were growing darker. On Jan. 15, 1915, Wilson hosted a ceremony to inaugurate the first transcontinental telephone call from New York to San Francisco. Ten days later, Germany ominously announced the beginning of submarine warfare around the British Isles. Wilson rushed to mediate (another hopeless gesture), followed by a formal warning reminding Germany of the rights of neutrality for American ships. Sensing a deeper involvement, Secretary of State William Jennings Bryan protested the statement as Wilson remained steadfast.

Sixteen months after Ellen’s death, Wilson remarried and during this interlude the president continued to guide America over the hazardous shoals of neutrality. It was obvious that American involvement could tip the scales of war to either side, but the choice was to avoid war and treat it as rivalry between degenerate political systems. After the Germans sank the RMS Lusitania, the loss of life offended the sense of American justice and extensive war propaganda inflamed it further. The distant war seemed ever so closer.

In the fall of 1916, Wilson produced a message to the warring nations of Europe to lay down their arms, accept American mediation and work together to ensure peace and justice throughout the world. He considered it a masterpiece. “There are some sentences,” he wrote in his diary, “that will live as long as human history.” (Uh, maybe not).

When the United States entered the war, American armies propped up France and England when they were on the brink of collapse. The entire European financial system was crumbling sans U.S. credit.

When Wilson traveled to Paris to pursue his lofty goal of creating a just peace, America’s world prestige and power was at an all-time high. His idealistic 14-point plan was lauded around the world – promising democracy and self-determination for all. Wilson was arguably the most famous man alive. Had he merely presented his plan for a peace framework, his position would have been impregnable. He could have departed and ruled from the safety of the White House. Instead, he stayed and got ensnared by his sharp-elbowed allies, who proceeded to exploit his proximity and inculcate their tribal animosities. Most disastrous was his stubborn inability to compromise.

The ensuing meetings were little short of a disaster and he managed to alienate both his allies and the Germans. Upon his return, he was unable to get even his colleagues to support his plan for a League of Nations; he had a stroke and was unable to govern. It is still a mystery how little was accomplished and how much carnage was suffered. Worse was the planting of seeds guaranteeing a short reprieve followed by a resumption of hostilities.

But then, the First World War was a real mystery … its origins baffling, as were the events that followed. How is it possible for a prosperous continent – a symbol of wealth, global power, at the peak of intellectual and cultural achievement – opt to mobilize for total war, and in the process commit their future to pointless slaughter?

If reincarnated, their first question would likely be, What’s changed?

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

Here’s why DeWitt Clinton had real nerve, visionary leadership

This DeWitt Clinton memorial pewter rim went to auction in February 2018.

By Jim O’Neal

If you’re not weary yet of presidential politics, hold on. Bill and Hil Clinton are on a 13-city speaking tour using a conversational format followed by a Q&A session. They are most likely eyeing 2020 as yet another chance to move into a big white house in the 1600 block of Pennsylvania Avenue in Washington, D.C. The current occupants do not seem to have a good chance of making it two more years, but next in line is a family named Pence.

The name “Clinton” was also prominent in Washington, D.C., and NYC during the 18th and 19th centuries, and perhaps even more pervasively. George Clinton (1739-1812) is generally considered a Founding Father as he participated in the French and Indian War and was a brigadier general in the Continental Army. He was also a delegate to the Continental Congress in 1776, but opposed adoption of the U.S. Constitution. Like Samuel Adams, he finally relented when the Bill of Rights was added.

He then turned to politics and in 1777 was elected (concurrently) to become lieutenant governor and governor of New York. In the second presidential election in 1792, he came in third behind George Washington and John Adams, but ahead of Thomas Jefferson and Aaron Burr. Clinton served four more years as governor of New York and held the record for longest-serving governor (21 years) until it was broken in December 2015 by Terry Branstad of Iowa. Branstad is now the U.S. Ambassador to China.

George Clinton then served as vice president for Thomas Jefferson in his second term (1805-1809) after Jefferson dropped Aaron Burr (presumably because he killed Alexander Hamilton in a duel in 1804). Clinton then served as vice president for James Madison until Clinton’s death in 1812. This was the first time the office of vice president was vacant and also the first time a VP served for two different presidents. Later, John C. Calhoun would serve as vice president for two different presidents (John Quincy Adams and Andrew Jackson) as he unsuccessfully tried to position himself for the top spot.

However, we are more interested in George Clinton’s nephew, DeWitt Clinton (1769-1828), who challenged James Madison for the presidency in 1812. DeWitt was a U.S. Senator from New York, mayor of NYC, and the sixth governor of New York. It was during his time as governor that he made his mark on history.

At the time, the great American rivers on the Eastern seaboard – like the Hudson, Delaware and Connecticut – were woefully underutilized for transportation or commerce. The primary modes for river transportation were limited to the currents, wind, various animals or one’s own feet. And, of course, going upstream against the currents was difficult and essentially impractical. But there were exciting things going on in Europe that would help transform the United States.

James Watt’s coal-fired steam engines were powering the spinning machines that transformed cotton into high-grade cloth. The cost was so low that the material could be shipped all the way to India and still be cheaper than local hand looms. Since England was sitting on huge supplies of coal and the coalmines could use the abundance of labor, it was a near-perfect situation. The remarkable Industrial Revolution was in full swing, transforming a nation of shopkeepers into a modern nation. The same near-perfect balance occurred in steel production following Henry Bessemer’s technique that obsoleted iron.

Attaching a steam engine to a boat was the next big thing and America’s ingenuity took over. By 1807, an American who had spent most of his life in England and France decided to return to America and tackle this obvious opportunity. Robert Fulton’s boat, the North River Steamboat, was 133 feet long with a tonnage of 160. It literally dwarfed all other experimental steamboats and was ready for a trial run to Albany.

Most skeptics believed Fulton would not be able to ever move 1 mile per hour or be of any utility. With smoke plumes marking its progress, the North River headed north on the Hudson. It arrived in Albany in 32 hours, averaging nearly 5 mph … upstream. On the return, it was back in a mere 30 hours. Vindicated, Fulton predicted it would soon be providing quick and cheap conveyance on the Mississippi, Missouri and others. He was right, as the Mississippi, Ohio and every other major river would soon have steamboats churning up and down their waters.

Even as steam had conquered America’s rivers, other geographic features limited commerce. Mountains were near impossible, and flat lands required the considerable exertion of horses, oxen and people. Land-based commerce – which was rapidly becoming the major activity – was both limited and expensive. One solution was canals and that’s where Governor DeWitt Clinton re-enters the picture. He personally championed the Erie Canal when others (including Thomas Jefferson) thought the idea was “little short of madness.”

Thanks to Clinton’s unwavering efforts to overcome all objections, on July 4, 1817, construction began on a 363-mile canal that was dug all the way from Lake Erie to Albany, N.Y. … blasting its way through mountains with powder from E.I. Du Pont de Nemours;  the powder was DuPont’s only product for the company’s first 60 years of its existence. It took eight years and a budget of $6 million, raised from bonds from the public rather than squabbling with state bean counters. It was a lot of money; for perspective, the entire federal government budget for 1811 was $8 million. So hats off to a Clinton with real nerve, perspective and the kind of leadership vision that built this nation.

As an aside, today the federal government spends $8 million every 56 seconds. Maybe that’s why we have bridges that crumble, airports that lag third-world countries and we owe someone $22 trillion.

Intelligent Collector blogger JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].

John Adams saw the White House as a home for ‘honest and wise men’

A vintage creamware punch bowl, commemorating “John Adams President of the United States,” sold for $15,535 at a March 2008 Heritage auction.

By Jim O’Neal

As the states prepared for the first presidential election under the new Constitution, it was clear that George Washington was the overwhelming favorite to become the first president of the United States.

Under the rules, each state would cast two votes and at the February 1789 Electoral College, all 69 Electors cast one of their votes for Washington, making him the unanimous choice of 10 states. Two of the original Colonies (North Carolina and Rhode Island) had not yet ratified the Constitution, and New York had an internal dispute and did not chose Electors in time to participate. Eleven other men received a total of 69 votes, with John Adams topping the list with 34 votes, slightly less than 50 percent. He became the first vice president.

Four years later, there were 15 states (Vermont and Kentucky) and the Electoral College increased to 132 Electors. Again, Washington was elected president unanimously, with 132 votes. Adams was also re-elected with 77 votes, besting George Clinton, Thomas Jefferson and Aaron Burr. All three of the runner-ups would later become vice presidents, with Clinton serving a term for two different presidents (Jefferson and Madison). Jefferson had cleverly picked Clinton as his VP due to his age, correctly assuming Clinton would be too old to secede him … thus ensuring that Secretary of State James Madison would be the logical choice. Clinton would actually be the first VP to die in office.

John Adams

Two-time Vice President John Adams would finally win the presidency on his third try after Washington decided not to seek a third term in 1796. Still, Adams barely squeaked by, defeating Jefferson 71-68. Jefferson would become vice president after finishing second. It was during the Adams presidency that the federal government would make its final move to the South after residing first in New York City and then Philadelphia.

This relocation was enabled by the 1790 Residence Act, a compromise that was brokered by Jefferson with Alexander Hamilton and James Madison, with the proviso that the federal government assume all remaining state debts from the Revolutionary War. In addition to specifying the Potomac River area as the permanent seat of the government, it further authorized the president to select the exact spot and allowed a 10-year window for completion.

Washington rather eagerly agreed to assume this responsibility and launched into it with zeal. He personally selected the exact spot, despite expert advice against it. He even set the stakes for the foundation himself and carefully supervised the myriad details involved during actual construction. When the stone walls were rising, everyone on the project assembled, laid the cornerstone and affixed an engraved plate. Once in the mortar, the plate sank and has never been located since. An effort was made to find it on the 200th anniversary in 1992. All the old maps were pored over and the area was X-rayed … all to no avail. It remained undetected.

The project was completed on time and with Washington in his grave for 10 months, plans were made to relocate the White House from Philadelphia. The first resident, President John Adams, entered the President’s House at 1 p.m. on Nov. 1, 1800. It was the 24th year of American independence and three weeks later, he would deliver his fourth State of the Union address to a joint session of Congress. It was the last annual message delivered personally for 113 years. Thomas Jefferson discontinued the practice and it was not revived until 1913 (by Woodrow Wilson). With the advent of radio, followed by television, it was just too tempting for any succeeding presidents to pass up the opportunity.

John Adams was a fifth-generation American. He followed his father to Harvard and dabbled in teaching before becoming a lawyer. His most well-known case was defending the British Captain and eight soldiers involved in the Boston Massacre on March 5, 1770. He was not involved in the Boston Tea Party, but rejoiced since he suspected it would inevitably lead to the convening of the First Continental Congress in Philadelphia in 1774.

He married Abigail Smith … the first woman married to a president who also had a son become president. Unlike Barbara Bush, she died 10 years before John Quincy Adams actually became president in 1825. Both father and son served only one term. Abigail had not yet joined the president at the White House, but the next morning he sent her a letter with a benediction for their new home: “I pray heaven to bestow the best blessing on this house and on all that shall hereafter inhabit it. May none but honest and wise men ever rule under this roof.” Franklin D. Roosevelt was so taken with it that he had it carved into the State Dining Room mantle in 1945.

Amen.

JIM O’NEAL is an avid collector and history buff. He is president and CEO of Frito-Lay International [retired] and earlier served as chair and CEO of PepsiCo Restaurants International [KFC Pizza Hut and Taco Bell].