served as a financial conduit; peace had now made it a catch
basin whose excess accumulations embarrassed the Treasury and at
the same time, caused the business world to suffer from a
scarcity of currency. In his annual message on December 6, 1881,
President Arthur cautiously observed that it seemed to him "that
the time has arrived when the people may justly demand some
relief from the present onerous burden." In his message of
December 4, 1882, he was much more emphatic. Calling attention to
the fact that the annual surplus had increased to more than
$145,000,000, he observed that "either the surplus must lie idle
in the Treasury or the Government will be forced to buy at market
rates its bonds not then redeemable, and which under such
circumstances cannot fail to command an enormous premium, or the
swollen revenues will be devoted to extravagant expenditures,
which, as experience has taught, is ever the bane of an
overflowing treasury."

The congressional agents of the protected industries were
confronted by an exacting situation. The country was at peace but
it was still burdened by war taxes, although the Government did
not need the accumulating revenue and was actually embarrassed by
its excess. The President had already made himself the spokesman
of the popular demand for a substantial reduction of taxes. Such
a combination of forces in favor of lightening the popular burden
might seem to be constitutionally irresistible, but by adroit
maneuvering the congressional supporters of protection managed to
have the war rates generally maintained and, in some cases, even
increased. The case is a typical example of the way in which
advantage of strategic position in a governmental system can
prevail against mere numbers.