The American Chamber of Commerce Journal

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Part of The American Chamber of Commerce Journal

Title: The American Chamber of Commerce Journal
Issue Date: Volume 8 (Issue No. 8) August 1928
Publisher: The American Chamber of Commerce of the Philippine Islands
Year: 1928
Language: English
Subject: Philippines -- Commerce -- Periodicals.; Philippines -- Economic conditions -- Periodicals.
Rights
Place of publication: Manila
extracted text: Ilarc .imaltur Photo by K. E. Kobinson Cloud Effects Looking East Over Rizal Monument at Sunset, Luneta Park, Manila TE S NUMBER COMMEMORATES OCCUPATION DAY: AUGUST 13, 1898 WANTED! That every member of this Chamber learn for himself how good a cigar can be without being expensive The proof is in our TABACALERA CORONAS SPECIFY RED LINE S to simplify your LUBRICAEMS. LUBRICATING SERVned an excellent reputation in Philippine Sugar Centrals. BRICANTS are manufactured N OIL COMPANY OF CALd marketed in the Philippine MKh the OIL department of— Parsons Hardware MANILA Ongping 509-519 Company, Inc. P. O. Box 422 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 1 NOW’S THE TIME TO GO! Not Dangerous But Magnificent! Mount Mayon in Active Eruption On the Manila Railroad: The World’s Most Perfect Volcano THE SUNSET ON TABACO BAY, OR ANYWHERE ON THE GULF OF LAGONOY—THE SIGHT OF A LIFE TIME! MILLER’S A Perfectly Good Hotel in Legaspi, Next Door to International Club This Trip Through the Most Exquisite Portion of Luzon Can Be Taken with Comfort via the MANILA RAILROAD Starting on the Bikol Express from Paco Station at 12:00 a. m. and going to Aloneros by same train; then a comfortably appointed Night Boat to Pasacao, down the picturesque Ragay Gulf; then by Motor to Pamplona, a thrilling morning ride of half an hour; and then the Railway into either Legaspi or Tabaco. Unless you have seen Bikolandia, you have not seen the Philippines. Out in less than 24 hours; back in same time. P46.36 ROUND TRIP FIRST CLASS TO LEGASPI P19.75 THIRD CLASS THE MANILA RAILROAD COMPANY 943 AZCARRAGA MANILA, P. I. PHONE 4-98-61 Downtown Office Just Off the Escolta: Dasmarinas 517-519: Phone 2-31-83 Also Bookings at the Manila Hotel: Baggage Called For IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 2 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE GIANT THERE is nothing like the newspaper for universal appeal, immediate and frequent appearance and localized circulation. No other advertising medium possesses these inherent advantages in so high a degree. The distributing and selling possibilities pent up in this advertising giant may be enlisted for an exclusive campaign, may be summoned to co operate with other mediums, may be used for support in weak territories or may be marshalled for a swift drive in emergencies. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 3 ANNOUNCEMENT Philippine Education Co., Inc., and Frank & Co., Inc., announce to their customers and friends that the Philippine Education Co., Inc., has purchased the entire wholesale and retail business and firm name of Frank & Co., Inc., including the rubber-stamp and brass-sign departments. The former wholesale business of Frank & Co., Inc., will be carried on by the wholesale department of Philippine Edui cation Co., Inc., on the second floor of the Gaches Building, 115 Pinpin, Telephone 2-21-31. | The retail business will be continued at the old Frank & I l Co., Inc., store, corner Escolta and Pinpin, Telephone 2-35-39. GENUINE CLEARANCE SALE I ■ The surplus stock of Frank & Co., Inc., will be disposed I of at Frank’s Retail Store at I ; i PRICES BEFORE UNHEARD-OF The customers and friends of both companies are urged not to allow this opportunity to pass to replenish their stock j of all kinds of i Stationery and Office Supplies FRANK’S RETAIL STORE ! Corner Escolta and Pinpin IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 4 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Interior Street-Car Advertising Small in Cost—Large in Results [ For Rates and Particulars Call Up I Tel. 2-19-11 i MANILA ELECTRIC COMPANY A. B. TIGH i Advertising Manager ! 134 San Marcelino Manila, P. I. I_______________________________ CORONAS DE LA ALHAMBRA HALF-A-CORONA EXCELENTES ESPECIALES BELLEZAS PRESIDENTES Etc,, Etc. TAR The most economical and efficient preserver of Wooden Bridges, Culverts, Ties, Build ings, Fences, Etc., against Dry Rot, Anay (white ants), and the effects of extreme dampness. GAS COKE For smelting, forging and in all machine shop work where extreme and steady heat is essential Manila Gas Corporation Calle Otis, Paco P. O. Box 1206 MANILA Tel. 5-69-34 Watch For The Name ALHAMBRA On Rings and Labels— It’s Your Protection Alhambra Cigar and Gigarette Mfg. Co. 31 Tayuman Manila, P. I. IM IT A TED BUT NEVER EQUALLED! IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL DIRECTORS PUBLISHED MONTHLY BY The American Chamber of Commerce OF THE Philippine Islands (Member Chamber of Commerce of the United States) ENTERED AS SECOND CLASS MATTER May 25, 1921, at the POST OFFICE AT MANILA, P. I. Locd! Subscription: P4.00 per year Foreign Subscription: $3.00 U. S. Currency, per year Single Copies: 35 Centavos WALTER ROBB, Editor and Manager President P. A. Meyer, Vice-President H. L. Heath, Vice-President B. A. Green, Treasurer C. M. Cotterman, Vice-President J. '.V. Haussermann, Vice-President E. E. Selph, General Counsel Fred A. Leas H. M. Cavender W. L. Applegate ALTERNATE DIRECTORS Walter 2. Smith A. B. Cresap R. S. Rogers J. L. Headington John R. Wilson, Secretary EXECUTIVE: Chairman P. A. Meyer R. S. Rogers RELIEF: W. J. Odom, Chairman Carl Hess John Gordon MANUFACTURING: John Pickett, Chairman W. J. Shaw LEGISLATIVE: W. Z. Smith, Chairman Wm. J. Rohde Horace B. Pond COMMITTEES FINANCE AND AUDIT: John Headington, Chairman A. B. Cresap J. R. Wilson FOREIGN TRADE: M. M. Saleeby, Chairma, W. C. Brune Julius Reese PUBLICATIONS: Chairman Roy Bennett BANKING AND CURRENCY: (Vacant) RECEPTION AND ENTERTAINMENT: H. H. Harrison, Chairman J. R. Wilson HOUSE: B. A. Green, Chairman J. R. Wilson LIBRARY: John Gordon, Chairman J. R. Wilson SHIPPING: J. E. Gardner, Jr., Chairman G. P. Bradford J. R. Lloyd INVESTMENTS: R. J. Harrison, Chairman B. A. Green MIDSUMMER RAINS The rains of May intensify in June, after the monsoon changes to the southwest. The peas ants immediately prepare their seedbeds for the rice, which will be told about forthwith. But first of all a word is in order about the monsoon that brings the season of six months’ rain to all the western Philippines and to all the remainder of the islands not cut off by cordilleras too high for the clouds to scale; for they are heavy clouds, floating low and as ready to debouch their benison on the land as old crones on beggars* day are to receive alms. It is the same monsoon that before Raffles’ time would not let the British squadrons return to Calcutta, once they had sallied forth to the Straits Settlements, so that the British, of course, had to take Penang and make a naval rendezvous of it and a new trading post. But, as they could not suppress the piracy in the Malaccan straits by only stopping up one end of them, they had to acquire Singapore and erect it too into a naval station and trading post. The British, one remembers, are the people who say it is an ill wind that blows nobody good. However, let us have nothing to do with the monsoon until it reaches the Philippines and its rainy curtains shut us off from the rest of the world. Rain, rain every day, and a steady patter on the roofs at night. No one likes to visit us now, for the windows of heaven open and the floods descend and cover the land. If the sun shines, it shines for all it is worth—suck ing up the vapors of the sea and making ready more downpours. Passenger lists on incoming steamers are light. But many people go away, determined to get away from the rain. Oldtimers don’t; they welcome the midsum mer rains—a freshening breeze at the window and not a fleck of dust anywhere. Let it rain. It is not like the darky said in the cotton field, mo' rain, mo’ rest; it is more rain, more rice; and as for ’that, more rain, more work. Most of the work the Filipino peasants do in a year is done in the rain, the persistent summer rain. With the first monitory showers of the season, the peasants are early afield mending their dikes. Hauling off the last crop, the carts cut ruts through the fields and broke down the dikes everywhere; before that, for the threshing, the dikes had to be cut down for the tractor and separator to be brought to the stockyards, and during the threshing, of course, the dikes round the stackyards were broken. It is a part of the peasants’ agreement as tenants to keep the dikes repaired, and these are the main repairs to be made. But there are many minor ones; between harvest and planting the fields are used as pastures and the dikes are rudely trampled by the loose livestock, especially the idle cara baos, lobbing moist spots near the dikes into mud wallows. After the crop is hauled off and until the mon soon changes is the slack time of the peasants’ year, but the foraging carabaos blundering about the fields pile up work for their masters. The landlords, in' their turn, have odd jobs laid out to be done: it is the lot of the poor to do this free. Peasants born and bred, they do not mind it at all if the landlord is a considerate man; though really their dealings are more with mistress, she who holds the purse strings and counts the pennies, than with master. Master is of the gentry, and may be preoccupied with politics or the pursuit of one of the polite professions, law, or medicine, or the holding of petty office, elective or appointive. The roads, where the bare feet of the peasants and the unshod hoofs of their carabaos make paths along the edges, are made for master: he puts on starched gar ments, all white, and whizzes over the roads in his automobile. Officials drive over the roads too, inspecting, sometimes collecting taxes, and Castilas, Americanos and extranjeros generally use the roads. The peasant merely observes these things, they are not for him. But when he is through with his work, the peasant uses the roads too. Trucks take his rice to mill over them, and other trucks equipped for pasajeros give him cheap rides into the villages. They carry him ten kilometers for one peseta, ten cents. These rides are merry outings. Well, he is not through work now; he is just beginning, since the rains have come. The dikes repaired, the fields have filled with water. This must be watched, that it doesn’t break through the dikes; the sluices must be regulated to the quantity of rainfall and the ditches kept open, and between times the seedbed must be made. The highest paddy is selected for this. Mucked into a weedless loblolly, it is sown thick with rice seed, enough for seedlings for all the fields. Then it is fenced with bamboo posts and slats, and thorny bamboo brush is piled round the fence to keep the larger animals from pushing it down and the smaller ones from crawl ing through. A few sunny mornings, and the seedbed is yellow-green; a few more, and the seedlings are tall and vigorous, yellow only just above the ground. The plowing must be hurried along. The rains keep falling, time presses. The peasant’s broad bolo, with which he made the fence, is busy again—a new runner for the sludge (to haul the seedlings to the paddies), a new handle for his plow, a new grip for his har row. For all these needs the bolo, the nearby forest and his ingenuity suffice. All his tools are light, since he must carry them to and from work. His plow is little more than a mattock, his harrow just a heavy rake, and his bolo is often fashioned from a rusty file. These and his sledge are all he has. He plows away now, for dear life; and every boy big enough to follow the plowtail follows it. As soon as the fields are plowed they must be mucked with the harrow. The carabao pulls this big rake, the peasant holds it at the proper slant, and as it gathers up the fallow growth he stops and lugs this off the field. It is best to go over the fields twice with plow and harrow, for clean fields are best even for rice, rank grass that it is. Lately, too, there is some vague talk going around about fertilizer, a heavy dirty powdery stuff sold in Manila. But who ever heard of this before? Did one’s fathers fertilize these fields? However, the talk seems to come from the extranjeros, the comerciantes. At least it is not from the all-compelling gobierno, that distant, awful, tax-making and law-making power that knows not the peasants’ ways. Given a good season the fields will yield enough —they always have. Mystic, peasant philos ophy. Now the planting! Everyone to the fields— father, mother, children, neighbors from th*e village! The feeblest pull the seedlings up and tie them into bundles: not counting, but getting nearly the same number into every bundle, like the cigarette girls in Manila, who never fail of it. The strongest wade knee deep side by side in the slushy fields, planting in such unison and with such precision that the seedlings stand in regimental rows from whatever angle they are viewed. It is perfect dexterity, sometimes help ed by a plaintive song which all sing in minor key, sometimes by the tunes of wandering min strels who come and sit on the dikes and twang a banduria or scrape a wheezy fiddle; and some times these strolling peasant minstrels are blind men, led by furtive little children. The peas ants give them pennies for their wallets, rice for their muslin pokes. So the planting proceeds, so fall the heavy monsoon rains. A very favorite planting song runs to the effect that the work is no jest, it keeps one bent like an ox-yoke all day, not a moment for rest, not even for straightening up. But this, being interpreted, is not a plaint about the planting, in which the peasants truly rejoice, but merely a lilting pastoral of which the rhythm aids in keeping all hands in time and the lengthen ing rows of green seedlings trim and straight. As to the work, sun and rain upon the backs of men, women and children barefoot in the ooze and slush, it is preferred of all work and is all but a religious festival—if not quite that. The cross often guards the planted fields: San Isidro Labrador, the peasants’ patron, always watches over them. For P4.00 Per Year you can keep your home-town editor in America conversant with the Philippines by sending him— The Journal 6 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 An Historical Sketch of the Walls of Manila* In May, 1570, Captain Juan Salcedo, the grandson of Legaspi the conqueror, was de spatched from Cebu to the island of Luzon to reconnoitre the territory and bring it under Spanish dominion. It appears that a few soldiers under Martin de Goiti, who afterward overran the Pampanga country, accompanied Salcedo to the north. Goiti was killed as Maestre de Campo during the attack of the Chinese in 1574. They were well received by the native chiefs Lacandola, Rajah of Tondo, and his nephew, the young Rajah Soliman of Manila. The sight of a body of European troops armed as was the custom in the 16th century, must have profoundly impressed these chieftains; otherwise it seems hardly credible that they should have consented, without attempt at resistance or protest, to give over their land, yield their independence, and become the sub jects of an invading foreigner. A treaty of peace was signed, and ratified by an exchange of drops of blood; promises of re wards made to the Lacandola family, under oath; together with a remission of tribute in perpetuity. Legaspi being advised of what had occurred in Luzon, proceeded to Manila, took formal possession of the surrounding territory, declared Manila to be the capital of the archipelago, and proclaimed the sovereignty of the King of Spain over the whole group of islands. Gaspar de San Agustin, writing of this period, says: “Legaspi ordered the natives to finish the building of the fort in construction at the mouth of the Pasig so that His Majesty’s artillery might be mounted therein for the defense of the port and town. Also he ordered them to build a large house inside the battlement walls for Legaspi’s own residence, and another large house and church for the priests, etc. Besides these two large houses he told them to erect 150 dwellings of moderate size for the remainder of the Spaniards to live in. All this they prompt ly promised to do, but they did not obey, for the Spaniards were themselves obliged to complete the work of the fortification.” There exists a tradition, the main elements of which seem sufficiently well authenticated, that a palisaded fort, or cota, had been built on the river side some time before the Spaniards came, and that this fort was armed with bronze guns, the art of casting having been derived from the Japanese or Chinese with whom the Tagalos had considerable intercourse. Padre Juan de la Concepcidn writing in 1788 says (page 398, chap. IV, part II, vol. 1, History of the Philippines) “The Maestre de Campo, Goiti, made a landing with 80 men, after turning over to Captain Salcedo the command of the fleet and the rest of the forces. He then at tacked a palisaded fort situated on the river ♦By Major J. C. Batea and Captain A. C. McComb, in the annual report of Major General George W. Davis, Philippine Department Commander, 1903. bank and armed with twelve good pieces, which were being excellently handled by the Moros of the fort. He directed his men to take care ful aim at the men working the guns, and so well was this done that the chief gunner, who seemed to be a European, together with others, fell dead. The Moros abandoned their artillery and Goiti was able to engage in a hand to hand fight with the enemy. Both sides fought with desperate valor but the heavy mortality finally caused the enemy to show their backs, and flee, closely pursued by our men who were at their heels. In the meantime the Indians who were friendly to the fleet had set fire to the town of Manila; though it is also said that this was done by the inhabitants for the purpose of destroying the spoil, believed to have been considerable, Puerta Postigo Walled up now, this postern gate to the walled city formerly appeared as here shown and was for the private used of the governor general and the archbishop. which would have fallen into the hands of the Spaniards but for this circumstance. During the entire fight the house of the old Rajah bore a little white flag in proof of his pacific inten tions and that he not only kept out of the fight himself, but that he had not consented to any of his partisans engaging therein.” (This fight occurred May, 1570. Montero y Vidal, page 36, vol. 1, says the chief gunner was a Portuguese and that the old Rajah was Lacandola.) The use of the word “Moro” and the designa tions Rajah and Soliman indicated a condition, also sufficiently established; namely, that certain of the Malays, professing the Mohammedan religion, had formed a settlement at or near Manila; and that this religion had obtained a hold upon the people. Most of the natives of these islands are of Malay origin and certain of them, as in Minda nao today, are of this religion.—J. C. B. The City Council of Manila was constituted on the 24th day of June, 1571. 1570 would, therefore, appear to be the date of the inception of Fort Santiago and the walls of Manila. These primitive works were built of timber. The first stone walls raised on the enceinte owed their origin, it is believed, to the efforts of the Gov ernor, Santiago de Vera. Perez Dasmarinas, who arrived in 1590, continued and improved these walls and also completed the erection of the stone Fort Santiago. Montero y Vidal states, Vol. 1, p. 100, that these works were constructed under the super vision of the engineer Leonardo Iturriano be tween the years 1590-1593. These erections were probably hastened by the events of 1574, the period when the possession of the islands was unsuccessfully disputed by a rival expedition under command of a Chinese, Li-ma-hong. His fleet consisted of 62 war junks, having on board 2,000 sailors, 2,000 soldiers, a number of artisans, and all that could be carried with which to gain and organize a kingdom. On the 29th of November, 1574, the squadron arrived in the Bay of Manila, and Li-ma-hong sent forward his Lieutenant—Sioco, a Japanese— at the head of 600 men to demand the surrender of the Spaniards; who, refusing to give credence to reports and alarms, found the Chinese within their gates before resistance could be offered. By daybreak, December 3rd, Li-ma-hong disembarked 1,500 men who advanced in three divisions under the leadership of Sioco. The city was set on fire, and the enemy moved upon the fort while the fleet supported the attack. Sioco at length entered Santiago, and a handto-hand fight ensued. For a time the issue seemed doubtful, but Salcedo finally gained the victory and pursued the Chinese, who, harassed on all sides, fled in disorder to their ships. By royal decree, King Philip later directed that the City of Manila be fortified in a manner to ensure it against all further attack and up risings. Gomez Perez Dasmarinas, the next Governor, brought with him from Spain the royal instruc tions to carry into effect the above decree. Hence the work began in 1590, and continued under many governors till 1872. As this con struction was carried on during different periods, often far apart, the building was not executed, therefore, according to any uniform plan. Evi dence of this is clearly apparent not only in the character of material employed, but in the varied and various systems of fortification represented, thus rendering the enceinte a most interesting study. Earth, brick, and volcanic tufa appear to be the materials used; brick for facing em brasures and parapets, earth and tufa for walls. By this same decree the number of European troops in the colony was fixed at 400 men-atarms, divided into six companies, each under a captain, a sub-lieutenant, a sergeant, and two corporals. 'XXT'ITH a new Ford you can face the steepest grades with ’ ’ confidence for you know you have power to climb them all without greatly reduced speed, without strain, or unnecessary shifting of gears. Prove this for yourself by ar ranging for a demonstration! Ford Service Available Throughout The Islands Over 120 Ford Service Stations “After We Sell We Serve” Manila Trading & Supply Company MANILA — ILOILO — BACOLOD — CEBU IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 7 Recruits from Mexico were not to enlist under the age of 15 years. The Captain-General was allowed a body guard of 24 halberdiers under the immediate command of a captain, the whole forming a strange force for so large an undertaking. History records that in the year 1603, two Chinese mandarins came to Manila as ambas sadors from the Emperor to the Governor General of the Philippines. These officials shortly returned to their own country. But the greatest anxiety prevailed in Manila where rumors circulated that another Chinese invasion was in preparation. The natives openly avowed to the Chinese, who had entered the country in large numbers, that whenever they saw the first signs of a hostile fleet arriving they would murder them all. The Chinese were accused of secreting arms; the cry was falsely raised that the Spaniards had fixed a day for their exter mination; they daily saw weapons being cleaned and put in order. There was, in short, every circumstantial evidence that the fight for their existence would ere long be forced upon them. In this extremity they were constrained to act on the offensive, and finally on the eve of St. Francis’ day, the Chinese openly declared hostil ities and threatened the city. They totally defeated the Spanish force sent against them, killed ex-Governor Dasmarinas, and encouraged by this first victory, besieged the city. After a prolonged struggle they were defeated, and obliged to yield. It is estimated that 24,000 Chinese were slain or taken prisoners in this revolt. Further wall building followed. Juan de Silva executed certain work on the fortifications in 1609; which was improved by Juan Nino de Tabora in 1626; and again im proved by Diego Fajardo in 1644, the erection of the San Diego bastion being completed in that year. This bastion formerly called Fundici6n or Foundry, and situated at the extreme southern angle of the enceinte—facing bay and land—appears to have been the first of the large bastions added to the encircling walls; then of no great height nor of finished construction. Buzeta, writing in 1851, declares Diego to have been the only fort existing on this part of the line for some time after its construction. In trace it appears to exemplify the method of Errard de Bar-le-Duc, the engineer of Henry of Navarre (about 1606). The shape of the bastion very much resembles that of an ace of spades; its orillons or curved corners (ears) masking small pieces of ordnance placed on the drawn-in flanks; and sometimes on the ears themselves, to defend the ditch. One marked characteristic of this earlier work, as regards trace, results from placing the flanks of bastions perpendicular to the curtain—the portion of wall joining two bastions. Previous to 1645, when Count de Pagan of France published his treatise, which contained the development of a system that in a short titne entirely superseded those of his predecessors, all bastion flanks were placed either perpendicular to the faces of the bastions themselves or to the cur tain wall. This last condition is exemplified in all the work on the Manila enceinte built before 1739. Pagan made the flank perpendicular to the line of defense—the line joining the curtain angle of one bastion with the salient of the next— in order as much as possible to cover the face of the opposite bastion. Vauban, 1633-1707, “followed up the prin ciples suggested by Pagan and employed them extensively, with consummate skill and judg ment.” An example of his first method appears upon the walls later on. Jose Torralba erected another flanking element close to the Almacenes gate on the Pasig river side (1715). This flank defense fell about 1796 to make way for the new front of that date; and the Almacenes gate and the curtain wall on Calle de la Maestranza have very recently, 1903, been demolished to afford more room near the Muelle de Almacenes (storehouse wharf). In 1729, Governor General Fernando Valdes y Tam6n restored the walls, which were afterATryst in the Sunset Glow, Sta. Lucia Gate, Walled City wards heightened by Juan Arrechedera in 1745. The inscription over the portal inside Fort Santiago clearly proves that Valdes y Tam6n had made certain additions to this fort, and the walls in general, during the restoration in ques tion. And it seems equally certain that Fort Santiago and the curtain walls on the west, or bay side, and the east, or land side, remain today very much as Tam6n and Arrechedera left them. Certain detached redoubts and one modern bastion have been added to these two fronts, but the scarp remains otherwise practically un changed. The work of Valdes y Tam6n and Arrechedera completes the wall construction under old school methods; the methods of the Italian masters; of Errard; and the “Compound System” of de Ville (1629), which united the methods of the Italian and Spanish schools. An examination of the wall at the end of this period cannot be without interest and the map of Valdes y Tam6n affords a clear idea of its condition. La Real Fuerza de Santiago (The Royal Stronghold of Santiago) as Dasmarinas left it, consisted of a castellated structure, without towers, trapezoidal in trace, its straight, grey front projecting into the river mouth. Arches supported an open gun platform above, called battery Santa Barbara—the patron saint of all good artillerists. These arches formed case mates which afforded a lower tier of fire thro’ embrasures. Curtain walls of simplest character, without counter forts or interior buttresses, extended the flanks to a fourth front facing the city. Valdes y Tam6n seems to have added, at a lower level, a large semi-circular gun-platform to the front, and another of lesser dimensions to the river flank. The casemates were then filled in, and embrasures closed. He also changed the curtain facing cityward to a bastion front on a system prior to that of Vauban. A lower parapet bordering the interior moat connects the bastion salients.* * Fort Santiago, Manila. Montero’s “Historia de Filipinas,” Vol. II, page 29, footnote 2, gives a descrip tion of this Citadel of the former Spanish power in the Orient, the same being an extract from the voluminous final report of the Governor and Captain General of the Philippines, Don Fernando Valdis y Tam6n, rendered to the King of Spain in the-year 1739, when the Governor, being about to conclude his occupancy of the office, was no doubt preparing to return to Spain. The original report makes reference to various plans and maps which accompanied it. Unfortunately these interesting papers are not at hand; though it is believed that the Map of the City of Manila which was drawn up during Governor Tam6n’s term of office and is referred to in this report, is identical with the Map of Manila carried to England by General Draper after his success ful siege of Manila in 1762. This copy of Tam6n’s map is now deposited in the British Museum in London; it has been photographed on a reduced scale, and Mr. Pardo de Tavcra has brought to Manila one of the photographic copies. The date of execution of the original map is not included in the legend it bears, but it is considered safe to assume that this date was 1739, such being the date of the report which no doubt this map accompanied: “Report rendered by order of His Catholic Majesty (God guard him) giving the fortress, citadels, forts, and penitentiaries under Royal charge in the provinces of the Philippine Islands, with plans of the same, and exact information as to armaments, garrisons, pay, rations, and stores for their maintenance; gross expenses for the year and gross income, together with the sources from which obtained. Together with a description of all tlje provinces, with notes as to important and curious matters, and a review of what they produce for the Royal Treasury. “There is also herewith an account of the expense of holding and maintaining the same, made by Field Mar shal D. Fernando Valdis y Tam6n, in whose charge is the government of these islands, year 1739. "The fort has a perimeter of 2,030 feet and it is of a nearly triangular form. The south front which looks towards the city is a curtain with a terrcplein, flanked by two demi-bastions; having also a lower and a more advanced rampart with a ditch connecting with the river; near the beginning of the north face there has been built instead of a bastion, a cavalier with three faces of batteries, one looking seawards over the anchorage place, one facing the entrance, and the third looking upon the river. The latter is united with a tower of the same height as the walls, through which there is a descent to the water battery placed upon a semi-circular platform; thus completing the triangular form of the fort. “The walls are pierced for the necessary communica tions; the principal entrance being in the south wall and facing the city, the communication with the river and the sea being by a postern gate. “The foregoing description can be better understood by reference to the plan which also gives the guard stations together with the barracks of the troops of the garrison and quarters of the warden and his subalterns. VETERANS in the field of lubricants and motor fuel SDCDNY MOTOR OILS AND GASOLINE IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 8 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Retail American whoiesa Importers Agents v BOTICA BO1E ° MANILA Heavy Chemicals—Fertilizer—Manufacturers We have been selling drugs for 97 years JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 9 various convents and churches outside of, but within close cannon shot of, the encircling walls of the fortress. He issued orders for the demoli tion of these structures, but from the bitter controversy this brought on with certain reli gious orders, the removal of the edifices was delayed until the sudden death of the Governor on the night of May 31, 1759. His successor does not seem to have pushed the point of the removal of these buildings, and so they remained; and by the counter defense they afforded the English in their attack upon Manila in 1762, the fortress was breached near the San Diego Teachers of the Empire Days By Maud N. Parker The opening year of the twentieth century brought the dawn of peace to the people of the Philippines after four harrowing years of war and unrest. American soldiers gladly threw away the bayonet, shaped a feather pen, grabbed up the first available book, and began teaching the children of the islands. II In July 1901 an epochal event was under way. All was bustle and hurry on the transport dock at San Francisco. Some six hundred young Americans, gathered from all over the United States, were boarding the Thomas on their way to the orient, the vanguard of a movement un exampled in history—a movement that has continued uninterrupted for twenty-seven years. These young people, who boarded the trans port, came from all walks of life and were care fully selected as representatives of a nation bent on giving to a foreign people the best in educa tional opportunity. Some of these men and women had been chosen by their chiefs for demonstrated worth as teachers in the service of Uncle Sam in Indian education, others for successful work as teachers in various school systems of the States, and all of them for stab ility of character, since they were to represent their country on the outskirts of its dominions as their pioneer fathers and grandfathers had done for a century or more. Midst tears and cheers theship sailed out, taking with it best wishes for success from the whole nation and carrying to every hamlet and town in the Philippines a loved one from some village or city in the homeland, tying up the two nations with bonds of sympathy and common interest. The same wharf that held the friends of these pioneer educators, had held, only a few years before, a more madly cheering crowd seeing the soldiers off to the Philippines. The pioneer teachers followed in their tracks with arms laden with books. The task of the teachers was a difficult one, since they came on the heels of war, among a people who could not understand their purpose. It was but natural to find the people unresponsive, suspicious and sullen, and as the American teachers spread out over the islands they found that patience was the one great necessity if success was to be achieved. Misfits were soon weeded out by the hard conditions. Little was known of the hinterland of the Bastion and taken by assault. There were 16 fortified outposts in the Prov inces, including Zamboanga, besides the Camp of Manila, Fort Santiago, and Cavite Arsenal and Fort (1757). This fairly represents the military situation at the time the British laid siege to the city in 1762. As a result of the “Family Compact” and the consequent effort to diminish the power and pres tige of Great Britain, war was declared by this power against France and Spain. (Conclusion in September) provinces by those responsible for the assign ment of teachers, and at first grave errors were made. In one case a young university girl, with her aged mother, was sent to a large barrio of a river town where there was no road but a slough, no school house but a room under a dwelling, and no place to live except with a big family in a small, bamboo house. Some men were assigned to stations which they never The grounds have since been parked. reached, since there was no transportation for months at a time. But there was little discon tent expressed. It was all in the day’s work, and had to be done, and many ingenious ways and means were found to do the impossible. No more interesting hour can be spent in these latter days than in listening to reminiscences of pioneer teachers, and the best combination for entertainment is a soldier-teacher, a Thomasite, and a Filipino pioneer of the Spanish-American regimes. The first year was spent in organizing schools, training teachers in night schools and on Satur days and Sundays, so that they could teach in the day schools. The native teacher, for the first year, was barely one jump ahead of his pupils, since he too had to learn a new language. This was especially difficult for the old Spanishtrained teacher, whose pronunciation was past changing; the results were often amusing and form the basis for good stories handed down to the present. And the next year Asiatic cholera swept the islands from end to end. Teachers became sanitary inspectors and cholera police during the long vacation in 1902. Some fell victims to the scourge. The next year or two saw a large exodus of teachers who had had enough tropical service to last them a life time, but the remainder simply dug in a little deeper and stuck a little tighter. Good stories are yet told of teachers who stayed at their stations for a full year and came out at the end with every check uncashed, having lived on their night-school pay for the entire time. These were the pioneer days. Pupils had to be reported daily to the police, who captured them and brought them to school; as sanitary inspector the teacher served notices personally on many violators of fundamental rules of hygiene, as a postmaster he received and distributed the daily or weekly mail and as night-school teacher he taught the town presi dents, priest and other prominent aspirants for a speaking knowledge of English. Twelve to eighteen hours a day were spent in work, the rest in learning a dialect or two, getting acquainted with the people and their customs, and perhaps in getting a little rest. With the work of winning the confidence of the people, wading rice paddies to establish schools in distant barrios, fighting epidemics, recovering from attacks of dysentery, malaria, break-bone fever and itch, the pioneer teacher was kept busy. Many fell in the front lines and now rest in lonely half-forgotten graves covered with cogon grass, lush under a tropic sun. Pruitt, who died of smallpox, contracted at his station in Pozorrubio, was buried in a tangle of tropical growth outside the walls of the cemetery. The early years of the American occupation wore slowly on, the teacher still on the front lines. In his footsteps came the American engineers, building roads, bridges and school houses; came the American doctors, bringing health; came the American nurses and hospitals, for as yet there were no graduates from the schools under the pioneer teachers. Many weary years were re quired to educate the Filipino engineers, doctors, nurses and all the other men and women who are now taking over the direction of activities in each community. All owe their present posi tions, their power, their wealth to the work of the pioneer teachers, American and Filipino. Few are the pioneer teachers yet in the service and the Thomasites of 1901 can be counted on the fingers of one hand. ASSOCIATED OIL CO. QUALITY PRODUCTS FOR THOSE WHO DEMAND THE BEST ASSOCIATED GASOLINE CYCOL MOTOR OILS CUP KEROSENE CYCOL GREASES MARINE AND INDUSTRIAL OILS ILOILO MANILA LEGASPI IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 10 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THIRTY YEARS AFTER MERRITT Peace, public order, the conquest of epidemics, a consequent rapid increase of population; a sound gold currency, widely diffused education, progress against usury, lowering interest rates, increasing public revenues, the Torrens land-title system and the cadastral survey, physical training and the promotion of outdoor sports, manifold stimuli to industry—numerous banks, modern ocean ships, cable lines and radio service, regular mails, free entry of products into America, improved ports, truck lines and rail way lines, daily official market reports—these are some of the benefits the Philippines have from American sovereignty, the sovereignty of the flag Major General Wesley Merritt raised over the balcony of the Ayuntamiento August 13, 1898. An independent judiciary (not as competent as it might be, however), a civil marriage act, codified laws, the bill of rights, the classified civil service, all these and many others may properly be men tioned. No tangible obstacle restrains the humblest barrio boy or girl from a career of the highest honor and emolument. Americans may share with Filipinos, and with the Spaniards who laid the foundations during 350 years, pride in the Philippines as they are today—and they do. But there is a debit side. Containing, we think, few items, it still contains one big one mightily tending to balance all the beneficences and to make them ephemeral. That item is, America has never determined the islands’ exact position within the nation; she has kept them merely hanging on, and indicated from time to time her inclination to cast them off entirely. Here we intended to grow serious, but our eloquent periods, reduced to type, seemed ridiculous. Dogs may bay the moon, but what does the moon care? Really, the uncertainty adds zest to the game, which is specu lative rather than straight business. America may be enacting one of the tragic ironies of history, lifting the islands aloft only to plunge them back with more fatal force into the maelstrom of the orient. But again, she may not be doing this at all; her part may be the master part in one of history’s noblest dramas. The play unfolds but slowly, the plot is involved, occult; and all that anyone really knows about it is that, up to the present, it is worth the price of admission. The rest is in the making—in the wings, behind the scenes, where the lugubrious author sits, still working on his scroll, seizing upon ideas as they present themselves and, with the ups and downs of parties in the United States, sometimes recasting the whole show. It is a play to watch with interest, but surely not serious interest. If one began taking Author Demos seriously, he might guffaw in one’s face. That is to say, one might be left flat broke, his paper back from the bank unhonored. That, indeed, has happened often enough. But generally speaking men watch only amusedly, gambling on the outcome rather than risking in ordinary confidence. In these islands more than elsewhere, perhaps, America must be taken as precisely what she is: a mighty government whose might rests in the people at large, the powers of its headship purposely distributed to secure the constant ascendency of the popular will. Perhaps the scheme doesn’t work perfectly, the thing is that it does work: one congress undoes the work of another, a willful senate rejects a president’s treaty; a president sends troops to Nicaragua, and a foreign-affairs chairman demands their arbitrary repatriation by Christmas. Nor can the Philippines be unaware of how the November election may affect them.' As the audience watching the show (and, we insist, with pleasure), we in the Philippines have evolved a kind of patron’s technique. The next act may always be, for all we know, the picking of our pockets, or the goading us incontinently from our seats. Then the show would be over, the final curtain down. Yes, we must have our patron’s technique at such performances. In farming we must produce the staples, preferably those on America’s free list. If, for instar.ce, we mill sugar, which is not on the free list, we amortize our capital, bonds and stocks alike, in thirty years, the life of the milling contracts; and we are much more anxious to do this in fifteen years than in thirty, which may be fatally long. If we manu facture, we do so modestly, not venturing to draw the fire of our homeland competitors—else zestful comedy may suddenly change to climatic tragedy. So the show moves on, seemingly without end, but always threatening an end, and every enterprise far more an unwonted gamble than it should be. The very risks make it all a good deal of fun, and men keep risking more and more in every direction. And so, surprising as it may seem, capital is actually accumulating. Capital is deriving, more and more every year, straight from our soil, little worked and inadequately worked as it is. Now a new commotion, and an old familiar cry, are heard from the wings. The scene is to change, the stage to be reset, the whole play recast— new dramatis personae charactered. As this, besides being interesting, may be profitable, it should be encouraged with a united audience. Author Demos may be preparing to do us a good turn, a really fair turn, already too long delayed. If so, let’s have it, by all means. But meantime let us just keep sane and happy (easy things to do in this tranquil, abundant land), and plow and sow and reap and mill and trade and manufacture and garner lawful gains. For we’re not running the show, and never can. With hardly any influence with the management, we’re just the audience, the paying crowd. Then, too, we’re something more—pioneers, Kipling’s wanderer, takin’ our fun where we find it, in the Philippines. If anything comes of Governor Stimson’s message, excellent; and if this message and the Hammond report and the unfolding new policy bring new energy to the islands to tackle new enterprises, again—excellent. Tickets to that kind of a show would be cheaper: the ones we are now compelled to take all come at scalpers’ prices. AT SEA IN A BOWL OF BROTH The doctrine that the government is bound to see that Manila is sup plied with fresh beef has us very much at sea. On this doctrine is justified the recent extension of the contract one importer enjoys to fetch to Manila live beef from Australia. We cannot .see that the government is so obli gated. If to Manila, why not to Cebu, Iloilo, Dagupan, Batangas? And if beef, why not mutton, haddock, red herring, shad roe? This all seems to us like a lot of hooey upholding the government in postponing the day when the special privilege of special interests in the beef market of Manila is to be taken away. If the government has any obligation in the matter, and it unquestionably has, then its obligation is to take the word of taxpayers, the cattlemen, that they can supply Manila beef in the same way they are now actually supplying all the rest of the islands, and to rely on the actual war-time record when this was done. If some day there should be a shortage of beef, no one would starve; just a few more quarters would come out of cold storage. But the contractor has a large investment in Sisiman and Manila, his terminal and killing facilities? Well, does it require special facilities for Australian bullocks that will not serve for homegrown steers? Is he going to write off his P300.000 if his contract is cancelled? Tell that to the marines. What he is going to do, in all likelihood, is to make arrange ments for homegrown shipments and keep on doing business at the old stand. This is all just another nauseating example of how hard it is to develop domestic industries: it is a hangover of the system of overseas com merce with the islands dating from the opening of Suez. In our opinion, the time has come to quash it. “Buy in the cheapest market and sell in the dearest,” say the practical British, “and buy f. o. b. and sell c. i. f.” That policy, applied to the Manila beef market, is good for Australian pastures and bad for our own. Ours should come first. TRIBUTOS? A bill in Representative Suner’s list proposes to have women pay a peso cedula tax each year. In Spanish times couples used to pay annual tribute, every couple was a tributo. There were times when the tribute was farmed out (when such practices were common in Europe; for instance, the excise in Scotland); and sometimes payment was made in kind, some times in cash. If the government entertains Suner’s suggestion favorably, which is doubtful, a study of the tribute tax in old times would be in order. There was also a fund, la caja de comunidad, used for community pur poses. Should this be studied, as a preliminary to shifting to the towns the burdens they ought to bear, now borne by the insular government? We believe it to be true, whether laid down as yet as a principle, that com munities will impose higher taxes on themselves for their own purposes than they are willing to pay to a central government; and we believe this is true in the Philippines, and that Manila demonstrates that it is. Here the widening demand for charters for the larger towns has significance. In drafting these charters the authority to levy taxes should be carefully stated. It should be ample, but it should likewise preclude onslaughts on industries. Let the legislature, in considering the proposed charters, be competently on guard in behatf of our infant industries. In the present state of civic consciousness, many a council would willingly starve them out. GOING UP—EXPRESS! George H. Fairchild’s comment on Mr. Pond’s proposed reform of the sales tax contains much concise information. It has been published in the Bulletin. Upward, ever upward the course of taxes takes its way: two million added for government personnel last year, twelve million during the Wood administration—two million every year then. Going some, to say the least. That’s only half of it, earning bureaus like the posts are drained for the general fund; so that we greatly favor the proposal in the legislature to stop this and devote posts revenues to that bureau’s better ment. Something is up too (we don’t know what, it seeps out so slowly) to ease the telegraph system into private ownership, at least the radio part of it; and we are sure this would be a forward step from continued govern ment owner-management of a service merely inherited from the army signal corps. The army was quitting in 1900, giving up its telegraph keys, so as it stepped out the civil government had no alternative but to step in; and it is now the government’s time to step out and let in private enter prise. August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 11 Four Best Manila Newspaper July Editorials University Selection: Also the Best Among the Four WHAT FOR? There have been various proposals for the establishment of an information bureau in Europe, preferably at Geneva, to furnish data about us and the Philippines to those who may apply for them. The idea naturally is to let Europe know that there is such a country as the Philippines, and that the Filipinos are aspiring for independence. Filipinos traveling in Europe often receive a shock when Europeans evince complete igno rance of our country. It hurts their pride. They, therefore, urge the opening of an infor mation office in some central point in Europe. It is a wonderful plan. A Philippine infor mation bureau at Geneva, or in any European city accessible to the greatest number of Euro peans, will undoubtedly be most helpful in letting the world know that we exist. But who will pay for such a service? The government? We believe that the money part of the plan is the thing that makes it rather difficult to realize. We should not lose sight of the fact that even in the United States, which is supposed to take greater interest in its outlying possession in the Far East, the Philippines is barely known. There are millions of Americans who believe that the Philippines is somewhere around Cuba. If with the thousands of pesos that the public is asked to contribute to keep alive propaganda about the Philippines in the United States, we can reach only a small portion of the American people, how could it be possible for us to maintain a decent office in Europe for similar purposes. The government? Not until the government can show that it is able to appropriate an ade quate amount of money so that all children of school age may be given room and facilities to obtain primary education, will it perhaps be time for us to consider the luxury of maintaining an information office in Europe. Rather than go abroad and do things haphazardly, it would be preferable for us to stay at home and project our advertising from here. Propaganda or advertising is a very costly affair. To make it effective and attractive, there is need for a huge outlay. We cannot be slovenly in our form of advertising. In the first place we are to be judged by the manner we run that proposed office in Europe. If we cannot maintain it ac cording to the high standards of Europe, it would fail right then and there of its purpose. Why do we want to make love to Europe? Politics? What sort of politics will it be? Will it have any bearing on Philippine independence? The Philippines is a colony of the United States, and Philippine politics is no concern of Europe. The United States alone can solve the Philip pine problem.—Hera Id, July 15. THE REFUGEES FIRST In the opinion of an evening contemporary, it is to be regretted that science has failed to calm the fear of the people in the vicinity ofMayon volcano, which has been showing signs of an impending eruption. In our opinion, it is not science that has failed. If any fault is to be pointed out, the fault lies in the assurances that the votaries of science give anent the possibility of an eruption. What scientific prophecies have come to our knowledge in this respect, may be set down as sham. They are expressed in a vague way. There has been no going to bedrock conditions without circumlo cution. Science has not spoken effectively to keep the refugees from stampeding from the volcano, simply because what science has been saying has not been said in black and white. Again, in the opinion of the contemporary, it is the ignorance of the people that makes them distrust the verdict of science. In our opinion, it is not so. The fleeing villagers have the testimony of their sense of sight and of their sense of hearing. The volcano is there, a fiery fact, an incandescent circumstance. Before its obvious menace, it is not a sign of ignorance to flee and seek haven of safety. The fact of how near or how remote an eruption and the fact of how wise or how ignorant the people of Albay living near the volcano, are not the immediate concern of the government. The government has before it the problem that the refugees may bring about. Upon it, there can be no difference of criterion. The govern ment must husband its resources and apply them with efficiency to the welfare of possibly thousands of refugees. One aspect of that problem is that of housing and feeding these thousands. Another, and this is just as vital, if not more so, is the necessity of forestalling the breaking out of an epidemic. That, for the present, is the issue of more consequence. — Tribune, July 3. COMMITTEE AWARDS Best of the Month— What For?—(Herald, July 15)— Selected by the Committee. Best in Each Paper— What- For?—(Herald, July 15)— Selected by Professor Jamias. The Refugees First.—(Tribune, July 3)—Selected by Professor Dyson. Financing Education.—(Times, July 16)—Selected by Professor Hilario. Said with Action.—(Bulletin, July 26)—Selected by Mr. Valenzuela. FINANCING EDUCATION Senator Camilo Osias, chairman of the senate committee on education, is author of a bill which seeks to appropriate from the insular treasury the sum of P55,000,000, to be made available in ten years, for the extension of free elementary instruction all over the Philippines. Any measure aimed at providing free instruc tion to thousands of Filipino children who are at present kept out of school because of lack of accommodation, is commendable in principle. Public education is as much a problem elsewhere as in the Philippines. But it should be ap proached with a financier’s practical view rather than by the mere act of presenting bills proposing to withdraw so much money each year from the public funds. The revenues of the government have been stationary for some time, as Governor General Stimson says, and while the administration expenditures have been increasing nothing has been accomplished to increase the government income. A large part of the government ex pendituresisalready devoted to public education. There is no objection to having more money appropriated for it, provided the insular treasury funds are not low. But there is objection to the indiscriminate way of setting aside sums from the treasury with nothing having been done to replenish it. With the present record, public education in the Philippines will become a more serious BABCOCK 8s TEMPLETON, INC. IMPORTERS—EXPORTERS HEMP COPRA MAGUEY PHILIPPINE PRODUCTS FINE LITHO AND PRINTING INKS Agents for JOHN KIDD & Co., Ltd. LONDON NEW YORK MANILA CEBU SAN FRANCISCO problem each year. There is no denying the fact that it is a state duty to provide the children with free elementary instruction. This being the case, why can’t the municipalities, including chartered cities such as Manila and Baguio, and the cities of Cebu, Iloilo and Zamboanga, impose a special tax or set aside a small percent age of say, the land and cedula taxes, for public schools alone? The thing is to establish a permanent source of taxation for public education. In other words, what should be done is to finance it properly instead of merely presenting bills which would take away millions from the treas ury with nothing to replenish the empty sacks. This is done in road building, the automobile tax, the gasoline tax and the cedula tax being used for it. No reason why a similar thing can’t be done for the public schools of these islands.—Times, July 26. SAID WITH ACTION A manifestation of the workability of the program of constructive cooperation between the different branches of the government is found in the introduction of a bill calling for a standing annual appropriation of P250.000. Prompt passage would be a more impressive .manifestation. The evidences of an understanding among the legislative leaders to support this measure give rise to hopes that it will be enacted into law without delay, which means putting into opera tion the plans toward which executive-legislative accord have been shaping for some time. This action comes in response to the suggestion that the Willis-Keiss bill before congress would not be pressed if action were taken here to relieve the necessity for the appropriation proposed in that measure. The sponsors of the measure through which congress would provide the governor general with advisers have indicated a disposition to leave the matter in abeyance pending action in Manila. Present procedure indicates an understanding between Washington and Manila. The bill introduced in the legislature calls for an appropriation of approximately one-sixth of the sum which the United States government now presents unconditionally to the Philippine government, a sum derived from internal revenue taxes collected in the United States on products from the Philippines. (This must not be con fused with a tariff. It is identical with the taxes collected on American products sold alongside the Philippine goods.) At first it was proposed in the United States that the whole sum (Pl,400,000 to Pl,500,000) be placed at the disposal of the governor general for advisers, but the later proposals were for the use of only a part of the sum. The need of a competent staff of permanent advisers and assistants for the governor general has been recognized by leaders in the legislature. It is apparent to all. Preference for civilians for this staff has been expressed on all sides. But under the circumstances the necessity of looking to the army for men not otherwise pro curable is apparent. We have been traveling in circles long enough. Much time has been wasted and many oppor tunities lost, opportunities for progress. If we are going to preach harmony, let us have the results which rightfully should be expected of it.—Bulletin, July 26. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 12 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 There was a boat leaving for the States on the tenth. That would give him enough time to hand in his resignation, settle whatever affairs needed settling, and spend a week in Baguio or take that long cherished trip to the southern islands, before returning home. The lone occu pant of the office gazed gloomily out of the window, his eyes resting mechanically on the tugs and lighters and interisland vessels in the Pasig. He shook his head despondently over the cheerless prospects. There was no use sticking out here any longer; he would never get anywhere. The odds were against him. He seemed to lack something that spelled success in the islands. He was not a mixer. Bill was. They had come out on the same boat, John under contract, Bill on a wild chance that he might land something nice. By a strange co incidence they found themselves working in the same office. That was two years ago. And now, though they both started from scratch, so to speak, the future held no inviting promise for John. Bill seemed to have insinuated himself into the good graces of the boss and was being mentioned openly as the logical man to succeed Larkin, the former assistant manager. The brooding John harbored no ill-feeling for his co-worker. If the latter got the job he undoubtedly deserved it. He was a mixer, and the boss apparently wanted that type for the position. Out nearly every night in the week until two and three o’clock in the morning, Bill often confessed laughingly that he lost track of the number of scotch and sodas he had put away on a previous evening. “Gosh, I don’t even know how I got home. They must have poured me in!” he was wont to grin, and his cronies slapped him on the back and laughed hilariously. He belonged to every worthwhile club in Manila, his chit was recog nized everywhere, even at the Chinese tienda. Of a Saturday night his voice could be heard accompanying'the hotel orchestra in My Wild Irish Rose, or leading the gang at the bar in the old reliable Sweet Adeline. Why, even the boss called him by his first name! “Here, Bill. Look these over, will you?” he would say as he handed some papers to that enviable individual. With John it was an entirely different procedure. “Please attend to these reports, Warner. We will need them by Friday.” That was all. Not even the shadow of a smile or a friendly look. What chance was there against these heavy odds? Another month or two, and Bill would be calling the boss by his first name, John smiled sadly. Thus had things come to pass, meditated the disconsolate John at his desk. It was a Friday, after office hours. The rest of the force had left. He had stayed behind pretending to clean up some back work, but in reality he wanted to be alone with his thoughts. He had overheard a remark that Bill was certain to be switched to Larkin’s desk, as assistant manager, a position he himself had been secretly wooing—yes, and expecting too. But now the best thing left for him to do would be to take the boat back to California and start all over. Inwardly, he nearly shrivelled with envy when Bill came to work two hours late one morning and described the wonderful time he had had at the boss’s home the night before. “Bridge till twelve, all the drinks you wanted, and a swim on the beach. Oh, boy!” It wasn’t the bridge, or the drinks, or the moonlight swim that tormented him so. It was the growing intimacy between Bill and Helen, the boss’s daughter. Silently, from afar, John worshiped the very air that possessed that delicate wisp of femini nity. Twenty-one, she surcharged the sur rounding atmosphere with a dash and spirit of a spring day, of cherry trees in blossom. Vivacious, gifted, alluringly lovable, she brought with her everywhere a touch of home to the oldtimers who thought they were long past the stage of ever feeling homesick. John started to his feet whenever she dropped in at the office to see her dad. She smiled sweetly at him, called him Mr. Warner, which made him wonder where and how she had learned his name, and once, he thought, he caught her looking back at him as she was about to leave the office. But he quickly smiled at his conceit and ascribed it to an overwrought imagination. He had as much chance of breaking into her set as he had of landing the assistant manager’s job. And yet here was Bill becoming more and more intimate with her. It was nothing for him to edge over to John’s desk and inform that tortured soul The West Coast Life Insurance Company offers a full line of modern life insurance contracts designed to meet every need of business or personal protection. For particulars and quotations consult the Philippine Branch Office West Coast Life Insurance Co. Kneedler Building Manila, P. I. Telephone 2-36-74 1926 INCOMES A preliminary report of United States income taxes for 1926 paid up to August 31, 1927, has been made (January 1, 1928) by the Commissioner of Internal Revenue. The individual income returns by classes are shown by the following table reprinted from the New York Herald-Tribune of January 2, 1928: incomes of $5,000,000 incomes of $4,000,000 incomes of $3,000,000 incomes of incomes of ncomes of ncomes of incomes of incomes ider $8,000 to $5,000,000 to $4,000,000 to $3,000,000 to $2,000,000 to $1,500,000 to $1,000,000 to $750,000 to $500,000 to $400,000 to $300,000 to $250,000 to $200,000 to $150,000 to $100,000 to $90,000 to $80,000 to $70,000 to $60,000 to $50,000 to $40,000 to $30,000 to $25,000 to $20,000 to $15,000 to $14,000 to $13,000 to $12,000 to $11,000 to $10,000 $7,000 $6,000 $4,000 $3,000 $2,000 $1,000 $1,000 to $8,000 to $7,000 to $6,000 to $5,000 to $4,000 to $3,000 to $2,000 4,075,542 1,644,662 Non-taxable 2,430,880 Taxable ♦Non-taxable. Specific exemptions exceed net According to the report, fourteen in dividuals had incomes of $5,000,000 or more. The average net income of those who made out returns is shown in the report as $5,291.36. that he had dated up Helen for the movies that evening. “Say, can you let me have ten pesos till pay day? I’m a little short and I’m taking Helen to the movies tonight.” One cannot sign chits at the movies. That would give rise to another flood of heart burning bitterness. Four-flushers! That’s what they all were out here. A big front, mess jackets, hotel parties, garage cars—on next month’s salary! More than once he had dropped in at the hotel to watch the gliding figures on the dance floor, rt brought him an indescribable peace to sit over a glass of beer and look on. But the cynic in him was soon awakened when he caught a glimpse of a three-hundred-pesos-a-month clerk in tuxedo, ordering champagne. Two days’ salary for a bottle, he contemplated ironically. A young miss at one of the tables he recognized as a stenographer at the Quartermaster’s. To one who did not know her, she assumed all of the meteoric phosphorescence of a movie star. Tomorrow would find them both at their desks, Mr. Smith and Miss Jones, dull, drab hirelings. Suggest to the girl that you walk to the hotel, a distance of three blocks, and the indignant glint in her eye would send you posthaste to the nearest phone to summon a garage car without further argument. Yet this same girl, John knew on good authority, often walked to the office to save twelve centavos. This was the life that awaited him here, he reflected sorrowfully. Another good reason IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 13 why he should pull out before it was too late. He could never become part of it. It wasn’t in him. Or, as viewed from the other side, he didn’t fit in. He tried to drive the thought away, but it clung to him like a leech: he was a misfit. His sober judgment told him plainly that he could not afford to live this life. In the first place, it would take up too much of his time. His reading alone called for two evenings a week in his room. A magazine, a book, an occasional paper from his hometown made it imperative that he stay in at least twice a week. Then there was his language study. Twice a week he closeted himself with the Spanish professor and listened intently to a half intelligible discourse in an effort to accustom his ear to that tongue. The boss had let fall a hint more than once that Spanish was essential in their business. Financially, too, John shook his head at the hopelessness of trying to keep up with the crowd; that is, without becoming swallowed up by debt. After payments on insurance and his regular deposit at the savings bank, and the ordinary items such as room and board and laundry and the little entertainment he permitted himself now and then, there was too small a margin left for stepping out. He admitted to himself there was a lure to the life, if indulged in moderately. He liked his occasional highball, spent a weekend at Los Banos, shot the rapids at Pagsanjan, enjoyed the movies, bowled, and played tennis. It wasn’t a case of sour grapes. He admitted that the grapes were sweet, and tempting, but he just didn’t seem to get on, and there was no use sticking along. He was a misfit. A forlorn figure, he continued to gaze silently out of the window at the motley scene below. Tomorrow he would drop in at the ticket office and book transportation on the boat that was leaving on the tenth. Approaching footsteps interrupted his glum revery. The next moment the door opened and the boss entered the office. He started in sur prise at the solitary occupant. “Just finishing up some work,” John explained in answer to the questioning glance at the clock. “I was about to close up.” The boss nodded indifferently and was about to enter his private office when he turned back. “Oh, say, Warner, I would like to see you a moment before you go. Come in when you are through.” The blood rushed to John’s head. Here’s where he would learn the sad news! Well, no time like the present. A good time, also, to let the boss know that he intended to resign at the end of the month. He straightened out a few things on the desk, made certain that the drawers were locked, and made for the private office. “No doubt you know that we are looking for a Telephone China Bank Bldg. 2-21-86 Manila, P. I. A. A. U. FIRE-MARINE-LIFE-AUTOMOBILE INSURANCE CENTRAL AGENTS AND ATTORNEYS: United States Fire Insurance Company of New York Agricultural Insurance Company of Watertown, N. Y. North River Insurance Company National Union Fire Insurance Company of Pittsburg, Pa. National Union Indemnity Company of Pittsburg, Pa. Asia Life Insurance Company of Wilmington. Delaware AMERICAN ASIATIC UNDERWRITERS, INC. man to fill Mr. Larkin’s place,” the boss began, after John was seated. A curt nod was the only answer. John wished there was no beating about the bush, none of this hemming and hawing. It would only prolong the agony. Let him say that he planned to give the job to Bill and be done with it. John was almost defiant in his attitude, but he controlled himself. “We have been keeping your work under pretty close observance and have found it very satisfactory. -The men in the office speak very highly of the way you treat them. Do you think you can handle the job?” The floor crumpled beneath his feet. He was speechless for a moment. Surely he must be dreaming. Could he handle the job? With a superhuman effort he regained his presence of mind and maintained a calm, almost nonchalant exterior. “I have no doubt of it,” he replied, his jaws grimly set, his eyes meeting those of the boss with unflinching directness. “I have often gone over many of the problems with Mr. Larkin and understand the nature of his work.” Silence for a few moments that felt like days to John. He bit his lips to keep from pouring forth a tale of woe—of the thousand and one little things he had been doing around the office apparently unnoticed by others. But he thought it was better to remain silent. “Well, suppose we consider it settled, then. Beginning tomorrow, you will move over to Larkin’s desk. I will notify the office force to take their orders from you.” John’s face was suffused with color. He didn’t know how to express his feelings. He gripped ^Reinsurance tund-is an asset to any TofheWdow-MAIMj omfortand provide,^ cation for the chRd^I1 Whatlsi to You The Insular Life Assurance Co., Ltd. MANILA, P. I. Low rates iberal conditions ocal investments oans on real estates repayable monthly instalments, at ow interest If a mindful man with a fixed salary dies, he will only leave a small saving to his family For about P31.00 annually our company guarantees the payment of Pl,000 to your wife or sons in case of death, or to the insured himself if he survives the policy. Call or write for particulars to: The Manufacturers Life Insurance Co. E. E. ELSER, General Agent 405 Kneedler Building, Manila P. O. Box 598 Phone 2-24-29 HOME OFFICE 4th Floor, Filipinas Bldg. Plaza Moraga, Manila, P. I. P. O. Box 128 C. S. SALMON 3rd Floor, Gaches Bldg. Escolta cor. T. Pinpin 115 P. O. Box 734, Manila V. SINGSON ENCARNACION, President J. McMICKING, Manager IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 14 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 the boss’s extended hand and was about to rise and leave, but felt a restraining urge. “And say, why don’t you drop around to the house once in a while? Don’t be such a stranger.” Now he was certain it was all a dream. “Why don’t you drop around?” How often had he listened to these words in imaginary conversa tions with Helen! “I would be delighted to!” he blurted, half afraid he would destroy the enchantment. “Well then, let’s say' Wednesday evening. That’s Helen’s stay-at-home. We will expect you about nine.” John floated out of the office, as in a trance. The boss had said We will expect you, hadn’t he? And that included Helen, didn’t it? * * * There was a boat leaving for the States on the tenth. Well, let it leave, what did he care? He had a “solo” date with Helen on that day and couldn’t be bothered with such trivialities as sailing schedules. And besides, who said anything about leaving the islands? But it wasn’t a solo date after all, not alto gether. Bill was there, it was really a despedida for Bill; for he, it seemed, was the one who was going away—sailing at midnight. They gave him a very merry evening; and then they all trooped off to the boat, Helen riding with Warner and Bill, to cap it all with a grand send-off—good byes, bon voyage, luck, serpentine—until they were dinned off the boat by the tom-toms of the mess boys, and stood in the shadows of the gaunt pier out over the milling waters as Bill’s ship eased away from the dock and turned into the fairway. Helen’s father was with them for the ride back home, but he saw no objection, when he got out, to their going to the hotel for an hour's dancing. “Just an hour, though, Helen, Mr. Warner has new duties nowadays, you know.” “Yep, Dad, I know! And orders is orders'” So! She knew. And Warner wondered if she had had anything to do with it. “Biggest failure of a decade!” had been her father’s cogent soliloquy on the way back from the boat—his one remark, evidently about Bill. It was just before he got out of the car and sent the young people on alone to their hour’s revel. Now Helen snuggled much closer to Warner than was absolutely necessary, and she cuddled his arm as if she thought quite a little of him. “Well, Mr..........John, you aren’t a failure, I know that!” That pressure on his arm was thrilling, the best episode of the whole day’s dreaming. So he resolved to make the most of it. “I don’t know,” he said deprecatingly, turning toward her and giving glance for glance. “I don't know. I have some plans, a plan, that is, and ... it may not succeed. ... I’m not sure.” “Oh, what is it? Something to make you rich?” “No,” and he got hold of her little hands and gripped them much harder than he should have. “No, possibly to make me poor, but . . . It’s something to make me happy, if you know what I mean!” Some of the raillery of the evening had turned on this colyumist’s phrase, if you know what I mean.' “Oh, that:” she said, fidgeting into the crook of his arm. “Yes, I know what you mean, I ... I hope, John; but why should it make you poor?” “Because two can’t live as cheaply as one, you know.” “No,” she -agreed, “that's true, they can’t. But one can get a higher position tomorrow, and still a better one next year or soon after; and surely one may always hope?” “May one, may I hope, Helen?” They were now at the hotel. “Foolish! You can do even better. You can help me out of this car and go straight to that orchestra leader with a tip in your hand and honey on your words and beg hirn to play. ...” She puckered her lips and whistled ever so softly: “Let me call you sweetheart, I’m in love with you!” “You bet I can!” said John, making off with strides as proud as a prince’s. “You bet I can! Wait!” “Hurry!” she called laughingly, and teasingly, “I don’t want to wait!” And their hour was all too short, but with many more in prospect, what were the odds? BUREAUCRACY’S ASCENDING COST The best evidence of the tremendous increase in the expense of government for unnecessary personnel is found in the following statistics taken from the report of the Philippine civil service at the beginning of the Harrison adminis tration and the termination of the Wood admin istration: and the exports and imports for the years 1921, 1920 and 1927, from a report of the bureau of customs: 2,680 Am. P 9,247,124 P3.450.419 6,033 Fil.. 5,468,175 906.377 8713 P14.715.299 Pl,688.890 582 Am. P 2,372.316 P4.076.144 12.561 Fil.. 14.297,062 1,138.210 Overseas Commerce Ex. P109.846.600 Im. 123,335,802 P233,182,402 Ex. P302.247.711 Im. 298,876,565 13.143 P16.669.378 Pl.267.882 P601,124,276 ' 491 Am P 2,045,366 P4,165.714 Ex. P311,148,170 19,667 Fil. 24,445,660 1,242.978 Im. 231,902,943 20,158 P26.491.026 Pl,314,169 P542.851.113 —George H. Fairchild. His Excellency, Governor General Henry Lewis Stimson is to address the chamber of commerce at a luncheon Wednesday, August 15. Most of the pictures published in this issue, including those in the two full-page engravings, are from the bureau of science: the city gates, etc. The pictures of the governors general, save that of Governor Stimson, are from the printing bureau. All this material is acknowledged with thanks. Goodrich Silvertowns Are Durable IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 15 * * * Let’s Go To The Movies * * * By Mrs. George Read* GRETA GARBO Forecast. Mystery has an eternal, staple appeal. Beginning with theearliest known Sanscrit writings, it has been one of the most cherished elements of popular legends and stories. Modern fiction-mongers how ever are hard put to it to make our latter-day insensitive spines creep, our callous blood curdle, our mechani cally curled and care fully glostorified hair stand on end. For one thing, the motion picture thriller is in the way of making us all absolutely shock— to say nothing of sheik—proof. It is all in the day’s entertainment to sec volcanoes erupt and lay waste perfectly good land, property and apparently human lives; Cain after Cain kill Abel after Abel; foes, families, friends, knock down and drag out one another as fast as you can count; villains steal house and home from innocent widows and orphans; fire, blood, man* Now that we have calmed down, the defects Mrs. R But. wi 'c were afternoon them, Bi If the superfluous he eady slipped >f our mind; but / nor the stewardess, nor the broken:h us. the Coogan ine in the school ol heroes, child heroes are not least among them.—Ed. slaughther, rapine; miracle plays; and the Thief of Bagdad on his magic carpet circling blithely round Yembo and Jiddah’s minarets. If there be anything left to the imagination, be assured the movie directors of this earth, en masse, will soon track it down and convert its magic into uncompromising realism. After all, what more could a realistic age ask for? We have all developed double-exposure brains and our mental physiognomy resembles the actual one of Ben Turpin. We grin blankly and see the same thing at once in two directions, and it’s all the same to us whether we get bonuses or blows. At this rate, at the end of the tether lies the Frankenstein monster waiting to absorb each and every one of us. But seriously speaking, there is still an active hang-over from the original sum and substance of honest-to-goodness mystery. We have evi dence of it in the adventures of Sherlock Holmes; in the sea stories of Herman Melville, of Joseph Conrad, Morgan Robertson and others; in the pirate tales of Howard Pyle; in the saga of Gengbis Khan, and so on. There is the same element, greatly diluted, in detective stories— good, bad and indifferent—and in mystery plays world without end. The Cat and the Canary, Seven Keys To Baldpate, Outward Bound, Loyalties, are examples of the latter, reading from worst to best. And so on to The Bellamy Trial, by Frances Noyes Hart, recently published in serial form in The Saturday Evening Post and now out in a convenient volume. The Bellamy Trial. Now being filmed at Hollywood. Before many years roll by we trust it will be shown in Manila. Metro-GoldwynMayer has in fact sent the Cine Ideal advance news that is in the offing. It is a first rate detective story, told by a young yet adroit fiction writer who brings a freshness and a sensitiveness to all people and circum stances that concern her in the course of her yarns. Miss Hart has a faculty for making details stand out distinctly and at the same time delicately, so that incidents and accents make a definite impression without wearing too deep a rut on the reader’s mind and thus tiring him to death. The murder of a beautiful woman, with which the trial concerns itself, is the basis of a succession of colorful moments. The body of the story comes from witnesses called for defense and prosecution of the two principal characters who are both accused of the murder. It has a modern locale in an American metrop olis. Miss Hart got the flesh, if not the blood, of her material from an actual celebrated murder case on which she reported for a prominent eastern daily. Heat. According to advance information not the Isa Glenn story of our Intramuros. We are not sure whether we should thank kind fate for this or not, since it may well be a case of flying to evils that we know not of. Certainly it could hardly be less convincing than the tale of that ineffectual young West Point officer and his subnormal vacillations between an American grade-school teacher and an utterly unreal Spanish aristocrat. While Heat, (number two) shall we say, is also a story of tropical adventure, it bears the name of John Colton as author, the New York playwright of Shanghai Gesture fame. Greta Garbo is to appear in the star role. The Naked Woman. Shown at the Palace in June and brought back by special request for several days in July. One must go to see movies nowadays in spite of their titles, which have absurdly run to the pornographic. Man, Woman and Sin, for example, is an excellent picture, branded for publicity purposes with the above-mentioned type of title. And here is another, The Naked Woman, deriving its name from the portrait of a nude figure which wins first prize for Bernier the painter during the course of the drama at the Grand Palais. As movies go, there is nothing extraordinarily and certainly nothing delightfully wicked about it. If you know your Paris, and like it, you will If the choice is left to YOU......... make it ROBERTSON’S SCOTCH WHISKY The mellow flavor pleases most men Served wherever good drinks are the rule Kuenzle & Streiff, Inc. Exclusive Distributors 343 T. Pinpin Tel. 2-39-36 Give it to the children three times a day. It will make them strong and healthy! SOLD IN LARGE AND SMALL CANS EVERYWHERE IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 16 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 get a good deal of pictorial entertainment out of Andr6 Nox’s film. While it is full to the brim with highly emotional incidents of the usual order, they are convincingly handled. French actors, even generally speaking, manage to be simpler and less artificial and sentimental in emotional moments than we do. The plot follows the career of Bernier and Lolette, the model of Rouchard. Bernier, (Ivan Petrovitch), conceives a burning attach ment for her and marries her. Lolette, (Louise Lagrange), is the inspiration for the aforemen tioned portrait which takes first prize at the spring Salon, and subsequently is bought for a fabulous sum of money. To celebrate their good fortune, Bernier and Lolette leave Mont martre and autobus es, and take the famous Blue Train for the Riviera, where their troubles begin. During their first dinner de luxe, the new lion becomes the victim of a subtle voluptueuse, (Nita Naldi), who with the nearest despatch di vorces her husband— pays him well, too, for thetitlehehas bestowLARS HANSON ed upon her—rifts the lute of Lolette and Bernier's love, and with Bernier as close to her heels as a well-fed dog, goes off to her villa at Cimiez. The plot gets rusty toward the end and squeaks through one anticlimax after another. However, it is a relief to see a film that has escaped the Hollywood stamp for the most part. One may often see good foreign films at the Cine Palace, a theatre that may not be so auspiciously situated as some others in Manila, but which turns out to be quite as comfortable. Paradise For Two. Cine Lyric. Betty Bronson and Richard Dix. Miss Bronson was Sir James Barrie’s choice for the role of Peter Pan when his charming fairy tale was screened a few years ago. She has an elfin profile, certain ly, and her movements are as thistledownly quaint as the pixie folk of Walter de la Mare’s illustrations. But, we often wonder with what sense of betrayal the sensitive Barrie must have chosen a second impersonator of this well-loved brain child, when the first was his darling, Maude Adams. Was he pleased with the outcome? We do not even know, for, having a peculiar tenderness for Peter, encircled as he is with all the iridescense of Barrie’s imagination, we did not like the idea of his getting into the hands of Hollywood, so avoided seeing the picture. Still, it was the association of the name of Betty Bronson with the characterization of Peter Pan, that sent us to see Paradise For Two. Miss Bronson is indeed a cunning thing. But not witty. Perhaps that is why she might be more convincing in child roles than in grown-up ones. Perhaps her trim little figure and sprightly movements in juxtaposition to a great hulking male frame like Richard Dix’s accounts for a good deal of the comedy element in Paradise For Two. It is the story of a genial misogynist who, in desperate need of funds, fakes a marriage in order to inherit his share of his uncle’s fortune, the will stipulating that the nephew must be married. The impromptu nuptials with a young would-be actress whom he has never seen before, bring the nephew at once into a series of highly embarrassing and incongruous circumstances which make good entertainment if one does not expect too much from an ordinary movie comedy. Love ’Em and Leave ’Em. Cine Lyric. Evelyn Brent, Louise Brooks and Lawrence Gray. An amusing tale from John V. A. Weaver’s play of the same name. Evelyn Brent is the Burne-Jones type of beauty; Louise Brooks is the less classic but more marketable Clara Bow type. The sketch is hinged on an interesting analysis of two characters, not too deeply gone into, though excellently sustained. Two sisters, one born serious-minded, the other born frivo lous-minded, demonstrate the effect of It, in two antipodal molds, upon a more responsive than responsible young department-store clerk. Buttons. Cine Ideal. Jackie Coogan, Lars Hanson. Buttons bears the burden of a cheap love theme and a tale of heroism carried to the limits of absurdity. The good ship aboard which all the commotion takes place, charges an ice berg and goes down. However, all the legion of passengers are safely loaded into the life boats, with room to spare. So it is a severe strain on one’s patience to have to see the gallant captain arbitrarily refuse to depart, though he might have had at least one life boat all to him self. No; in tragic attitude he watches the waters rising round him. Just before the ship makes her last plunge before settling beneath the waves, Buttons, alias Jackie Coogan, swims back to the ship from the life boat—to his ship and his captain—and is forgiven for all pre ceding misdemeanors, the while the salt waters rise from the bed of ocean and the salt tears fall from the eyes of the emo tion-harried captain. Miraculously enough, a second or two after the tremendous liner has disappeared like JACKIE a minnow beneath the water, the gallant captain and the faithful Buttons are to be seen floating over practically calm waters on a bit of wreckage, entirely clear of the great suction trough undoubtedly made by the descent of the ship. Jackie is a charming child, but we do wish his parents would snatch him off the lot and put him regularly in school. As The Kid he was ir resistible, but even the most ardent fan must deplore him in the sophisticated plots Hollywood now hatches up for him. Unfortunately he couldn’t stay an immortal five-year-old, any more than any other fascinating child. If If You Want a Real Floor Get Your FLOORING From Cadwallader-Gibson Lumber Co. Yakal—Narra—Guijo—Apitong P. O. Box 602 63-77 Nagtahan Phone 6-75-16 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 17 sophisticated roles are to be hi* inevitable lot, then wait until he is old enough to possess a little sophistication. Or, if his padres insist that he knows enough without going to school, give him some Penrod incidents to revivify, or some strange interludes in the life of Huck Finn and Tom Sawyer. The Road to Romance. Cine Ideal. Ramon Navarro, Marceline Day. The story is Joseph Conrad’s and Ford Maddox Hueffer’s Road to Romance, reason enough for going to see any movie. Fortunately, John S. Robertson, the director, has not been so stupid as to try to improve upon what the original authors did with the tale. Photographically it is too good to be true. The Spanish Main; pirate raids upon superb Spanish galleons; for the first time in Origin of the Mandayas on the Mayo River So many peoples in primitive, fertile Min danao, so many folk stories! Rivers and moun tain ranges form natural barriers between the peoples, numbering about twenty tribes. The aggressive Moros command the coasts, the farther into the hills one goes the more timid the people are; in the deepest recesses of the prime val forest, sometimes building their little dwellings high in the trees so as to be more secure from marauding enemies, they are making their last stand. Wandering, they do the forest no good. Here they burn a clearing one year, and there the next; and having sown and reaped they travel on, leaving the charred clearings to be claimed by the jungle instead of the sheltering forests that protect the water sheds in nature. But poor people have poor ways, and the lore of even the naked nomads of Mindanao in dicates a nobler past—a past far back, almost lost, only traditional. One of the primitive peoples of Mindanao is the Mandayas, on the banks of Mayo river. Like the others, their lives are governed by omens; to the most casual incidents they ascribe supernatural importance. The dove is a bird of omen to the Mandaya, just as it was to the Hebrew in Noah’s day. Its coo is ominous, sorinetimes foretelling good fortune, sometimes evn. The dove is likewise associated in Man dayan lore with man’s beginning on earth. The dove called limokon laid two eggs, one at the mouth of the Mayo and one upstream; and these eggs, conjured by the Great Spirit, hatched man and woman, the one at the coast brought forth mam and the one upstream brought forth woman, and man and woman were very lonely, forlorn creatures. The woman bathed in the Mayo. Its crystal surface was a mirror to her, and there she comb ed and braided her hair. Loose strands of hair floated downstream, and man discovered them. Surmising that someone must be living upstream, he got into his dugout and paddled up the Mayo on a voyage of adventure. It was a most successful adventure, for he kept on rowing until he found woman; and he courted her, and she was willing, and they married. From their union came many children, the forbears of the Mandayas. With similar imagination the Mandayas explain the starry heavens. Sun and moon being marrjed, were not happy because the sun is hot-tempered and quarrelsome. They are divine, their quarrel is eternal; the sun is always chasing the lovely moon, sometimes almost catching her. At other times he tempts celes tial demons to seize her; they approach so near sometimes that their baleful shadow darkens her golden face, and then the Mandayas sally forth and beat their tomtoms and shout and cast their weapons at the sky until the demon is driven away from the moon—-or until, in other words, the eclipse passes. The first child of this unhappy union of the sun and moon was a gigantic male star. In a fit of rage one day his father, the sun, chastised him; indeed the fiery sun seized the star and cut it into many golden pieces which he scattered about the vacant heavens, where they became 9. the firmament. ages the real thrill of the sea, whose psychological effect upon men Conrad felt so keenly and could so vividly suggest—all registered upon the in animate surface of the silver screen. It is the most enjoyable sea picture we have seen since Ibanez’ Mare Nostrum was filmed. Every body is familiar enough with the plot. Why detail? We wonder if the scenes in the cave, when Serafina and her young adventurer were slowly starving to death, struck anyone else as Rodinesque? The attitudes of the lovers against the rough stone background of the cave had a great deal of the nobility, the epic significance of many of Rodin’s studies of man and woman— such as The Kiss, The Eternal Idol, Meta morphosis, According to Ovid. Do you re member Mirko in the Merry Widow? He is as BURKE’S Golfrite Graduated Irons Means more snap Means more pep Longer, truer shots A better game Try Them! Have You Tried Harlequin Golf Balls? There is None Better SQUIRES BINGHAM CO. Sportsmen's Headquarters 15 Plaza Goiti Manila, P. I. bright and hard a villain as ever. Another child of the sun and moon is a monster crab that lives in a cavern in the depths of the sea. When he confines himself to his bailiwick there is high tide, but when he prowls abroad the waters rush into the cavern to fill it up and there is low tide. The sea is stormy with high waves when he moves about. Like the sun, his father, he is a confirmed misanthrope. But he is a spirit, though an evil one, and must be propitiated. Mandayas have much trouble to keep him within bounds. Among other demons, he too is one who will at times attack his gentle moon mother, when a mighty hubbub mjjst be raised to drive him back to his lair in the depths of the sea. Mandayas work on the new plantations opened in their part of Mindanao, and a few Mandayan children go to school. The advance of the modern era is changing them. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 18 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 The Manila Stock Market During July By W. P. G. Elliott The news of the month has been most favor able as regards the stock market, the message of the governor general to the legislature, pleading the cause of economic development to be made possible through the investment of foreign capital in these islands, being the chief feature. The message also makes the telling observation that increasing productivity must go hand in hand with greater facilities for marketing. The mes sage was well received by all, as it points the way to constructive cooperation which really means financial independence. The Hammond report was likewise an interesting document and sized up the local economic situation in no un certain manner. Boiled down it is really a sales talk to sell prosperity to the Philippines. Another step in the right direction is the cooperation of the bar associations with the legislature in the formulation of new laws, which should make for laws as free from defects as possible. The open discussion on the present sales tax, and proposals for its abolition or modi fication, by the members of the chamber of commerce, while not productive of any decision, nevertheless gave exporters, importers and manu facturers an opportunity to exchange views on this most important subject and should un doubtedly in the near future result in further discussions leading to a beneficial solution of the problem. Another news item of interest is the request of the internal revenue collector petitioning the United States supreme court to review two cases involving his right under Philippine law to tax stock dividends. The supreme court of the Philippines, in a decision handed down early this year, ruled that stock dividends are not subject to taxation, and that should be sufficient, but the appeal to Washington will settle the question once and for all and clear up what has been a decided impediment to business. There is a feeling in general that business is about to witness a great revival, due to con structive cooperation, and this feeling has been reflected in the market by increased public interest resulting in active and heavy trading. The tone of the market has remained firm to strong, with prices well sustained and a great many advances recorded. Money is plentiful for sound investments, funds that have heretofore been hidden away or left on fixed deposits are now coming into the market seeking gilt-edged securities. ■ Banks ruled active and strong during July, with Bank of the Philippines on fairly heavy trading closing at P170.— China Banks declared the usual dividend, 3-1, 2%, for the six months period ending June 30, and can be placed at P82.—• Mercantile Banks likewise declared 3% for the first half of the year and are wanted at ?41.—■ Hongkong Banks on fairly large transac tions closed at HKS1300 bid and will pay an interim dividend of 3 £ per share August 10.— Chartered Banks on good buying firmed up 10 shillings and are now quoted at 22 £. Sugars are strong with buyers of BacolodMurcias at P5.— Cariotas are offered at P290, and paid an interim dividend of 15 % on July 20.— Tarlacs eased off a trifle, a moderate amount of shares changing "hands at P200, a drop of 30 points from previous sales.—Bogo Medellins are offered at P26 and Cebus have sellers at P22.— Bais can be had at P1080 and it is rumor ed that the dividend this year may be in excess of the usual 20%.—Central Luzons opened at P155 and were bid up to P158 of fairly heavy trading, closing firm at Pl60.— Hawaiian-Phil ippines are offered at P55.— Kabankalans are firm at P280 asked. It is expected that a divi dend announcement will be made shortly, the rumor is that 10% in cash and 10% in stock will be paid. Street gossip has it the Luzon sugar interests are about to accept an offer for their property which should net present stockholders approxi mately three to one, a small parcel is available at Pl000.— Mount Arayats are firm at Pl25 and are much favored by certain interests.—Pampanga Sugar Developments are offered at P61 and the acquisition of Mr. Trinidad should be welcome news for Pasudeco shareholders as his services should be invaluable in connection with the bank the company proposes to organize. He retires from the management of the Philip pine National. In the unlisted sugars Pilars on fairly large transactions were done at Pl500 and TalisaySilays were bid up to P2O.5O. Officials of the latter company have signified their intention to list these shares on the exchange in the regular way-—Pamplonas after selling at P80 on mod erate transactions have dropped to P70 bid.— Polos could probably be placed at P400.—Macopa Plantations expect to pay 10% on opera tions for the first year and with increased acre r Production i The machine for figure work of every kind—com bining all previous Monroe advantages, plus many new ones—with the dis tinctive outstanding Mon roe features, such as: Success in modern business permits no guess work. Accurate, up-to-thehour figuies are vital for fixing sales quotas, analyzing market condi tions, determining pro duction costs—as well as for the routine of ac counting, billing, and payroll departments. 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City_____________________________ ________ age planted for the second year’s crop should do even better in the way of dividends. Little interest has been shown in mines. Benguet Consolidated is firm at Pl.70 bid at the close, and advance of 5 centavos over the last sale, but very little stock has been offered since the passing of the June dividend, and only a few thousand shares have changed hands. The gossip on the street is to the effect that Consoli dated will not pay dividends for a year, but nevertheless the price holds firm and the stock seems to be a favorite for the long pull. Balatocs on small transactions eased off to P2.10 with further buyers at P2.00.—Itogons are quiet at P9.50 sellers, reports for June state that the mill operated 27-1/2 days and that 1283 tons of ore were treated of an approximate value of 812.80. The bullion production amounted to 1639.31 ounces valued at P30,792.93. New equipment necessary for pneumatic stoping has been purchased; this will make it possible to operate the mill at full capacity, approximately 2200 tons, and the bullion production should increase accordingly. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 19 Philippine Educations are very active with buyers of common willing to pay P125 and small offerings at P135. A large amount of preferred was placed at Pl00.—Insular Drugs are steady at P10 and San Miguels have buyers at P120. The market closed firm and active, with sales for the month totaling 34,976 shares. Dividends declared: Insular Life Assurance Co., Ltd., 6% a/c. 1928 payable July 2. Philippine Guaranty Co., 6% a/c. 1928 pay able July 2. Cia Filipinas, 6% a./c. 1928 payable July 2. Central Luzon Milling Co., 15% stock payRenewing the Journey with Early Franciscans In the last chapter in this series of articles on the mission trail in the Philippines we en camped with the early Franciscans at Goa, and now we go on with them through Camarines Sur. Calabanga.—A former visita of Quipayo erected into a parish July 15, 1749, with Fr. Jose de la Bastida as priest. The original church, dedicated to N. S. de la Porteria, was destroyed by earthquake in 1811, and in 1849 Fr. Francisco Bayad built another of bricks and boards with nipa roof. Magarao.—Originally a visita of Canaman, made a separate parish in 1750 with Fr. Francisco de los Angeles as priest. The earthquake of 1811 destroyed the original church, the permanent one was begun in 1826, continued “as the resources of the town permitted,” and completed in 1849 by Fr. Gabriel de Lillo. Bato.—So named from the scarp on which it is built, this town united several former visitas of the vicinity and was made an independent parish in 1753, with Fr. Manuel de Torralba as the first parish priest. The church, dedicated to the Holy Trinity, “is of stone, very solid, constructed in 1784 and the years immediately following by Fr. Gines Antonio Fernandez, and in 1850 the roof was repaired by Fr. Andres Barrachina, .who also begun and nearly com pleted the parish house, which is likewise of stone.” Ragay.—“The conversion of this town was effected by the zealous Fr. Juan de la Hoz, in the years 1701 and following, who tirelessly journeyed across the rugged mountains to the north of Lupi, of which Ragay remained a visita until 1753, when it was made a separate parish.” When Fr. Felix de Huerta wrote in 1865, Ragay had no permanent church building. Patron, the Holy Trinity. Baao.—Mentioned in the Franciscan chron icles as a visita of the town of Bula in 1656, and erroneously (Huerta believes) dated in the Franciscan history from the time of Fr. Pedro Bautista, the beatified martyr of the Japanese persecution. Made a separate parish in 1793, with Fr. Domingo de Palencia as its first priest. Patron, San Bartolome Apdstol, the church dating from 1731 and the tower left unrestored after the earthquake of 1811. Fr. Francisco Cabrera repaired the church extensively in 1850. Camaligan.—A former visita of Naga, made a separate parish in 1795, with Fr. Rafael de Benavente as priest. The church dates from 1842 only, the work of Frs. Isidro Pons and Juan RamOs; but, burned in 1856, it was rebuilt more solidly by Fr. Juan Ontiveros. Patron, San Antonio de Padua. Sipocot.—Separated from Lupi and made a parish in 1781. No permanent church had been built up to 1865. Patron, San Juan Bau tista. Bombon.—“This pueblo was separated from Quipayo in civil affairs in 1749 and in spiritual affairs in 1804, at which time Fr. Juan de la Torre was assigned there as priest.” Patron, N. S. del Rosario. Masonry church, begun by de la Torre and completed by Fr. Jose Ribaya. Pili.—Dates from 1819 only, with Fr. Antonio Andres the first priest. Patron, the archangel San Rafael. When Huerta wrote there was no permanent church in Pili. Mabatobato.—In English this might be Rocky Point. It was still a mission when able July 2, old issue, and 3-3/4% in stock pay able October 2, new issue. China Banking Corporation, 3-1/2% a/c. 1928 payable July 14. Mercantile Bank of China, 3% a/c. 1928 pay able July 14. Central Azucarera de La Cariota, 15% in terim payable July 20. Hongkong and Shanghai Banking Corpora tion, 3£ interim payable August 10. The above article from Mr. Elliott inaugurates a new department in the Journal reviewing monthly the Phil ippine investment market. Inquiries from abroad will receive prompt attention.—ED. Huerta wrote, with only a temporary thatch church. Tinambac.—This too was an isolated mission when Huerta wrote, with only a temporary MOTOR SHELL OILS Sold in Five Grades (I Single “SHELL” Light Body Double “SHELL” Medium (| Triple “SHELL” Heavy Body Golden “SHELL” Extra Heavy Body “SHELL” Gear Oil Every drop tells AS GOOD AS SHELL GASOLINE thatch church. Siruma.—Still another mission in 1865, which had been a visita of Quipayo since 1687. Huerta sums up 24 towns and three mission districts in Camarines Sur in 1865, with 29,264 tributos and 108,420 inhabitants, and our series has made note of all of them. Now comes Tayabas, another large and fertile province of the southeastern section of Luzon, with a denser population enjoying much better contact with Manila. The original name of the province was Calilaya, because the capital was in the town of that name. “The first apostles in this province were our ministers, the venerable Fathers Juan de Plasencia and Diego de Oropesa, Who in the years 1578 and following traversed the rugged bosques of this region, planting the Cross and establishing various towns, though it is true that many of these towns were afterward ceded to others.” It is most pleasant traveling in Camarines Sur, roads there are good and the fields green throughout the year; the people are hospitable. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 20 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 many having comfortable and even luxurious homes in which to make the stranger welcome. The trip down is comfortable too, the noon train Saturdays, Tuesdays or Thursdays from Paco station to Hondagua, then the night boat down Ragay gulf to Pasacao; and then, if you have your car with you, you are launched on a trip that may well cover the entire Bikol region beyond Pasacao. Or from Pasacao a short motor ride takes you to rail head, and the trip is completed by train. What more thrilling, just now especially, than this trip, extended to Legaspi and Tabaco, where Mayon volcano is spluttering and rumbling by day and alight with vulcanic rage by night? As Vulcan finishes his handiwork, he tosses it red-hot from the anvil out of the crater of the mountain, and it rolls all ablaze down the caverned slopes. Who knows? It is a careless age of men, if not of gods; for all one has heard, perhaps Vulcan’s wife, Venus, has been seeing Endymion again. At any rate, the peasants flee from the villages on the slopes and the terror demoralizes the whole countryside. The world’s most beautiful volcano, Mayon, is in active eruption; it may be weeks or months yet, before it gets its bad temper under control again. Why do folk not go to see? Why are not excursions organized? Just because, per haps; because it is in the Philippines, where no one thinks of grandeur and magnificence in nature as out of the ordinary. But though nothing surpasses travel in Bikolandia, destined one day to be one of the world’s winter playgrounds, travel in Tayabas is exhil arating also, and is nearer by—the hundred miles to Lukban, the Atimonan pass over the mountains to the little towns along the sea. The beach at Siain, the cove drive to Gumaca! “At present,” says Huerta in 1865, “the sons of the patriarch San Francisco administer the following towns in Tayabas”: Tayabas.—Gives its name to the province, of which it was the capital town from 16(15 until very late in the Spanish period, when the capital was removed to Lucena. The quaint old Taya bas bridge is the work of Fr. Antonio Mateos, “who at the same time paid the workmen.” Time, 1840. It crQsses the Malagonlong river and is 445 feet long with five arches, the main one 36 feet high. Here is a good example of the friars’ engineering skill put to practical purposes. Fr. Bartolome Galan built the four-arch bridge over the Alitao river in 1826, at his personal expense. Huerta believes the first church dated from 1580, or not later than 1585, “because on August 3. 1586, our venerable father Fr. Fran cisco de Galagarza, who, before taking our habit, had been secretary to Sr. D. Martin Enriquez, viceroy of New Spain, died in the chorus of this holy church, embracing a crucifix. In the year 1590 it was repaired by order of our sainted martyr San Pedro Bautista.” Better churches followed, but the stone one built in 1600 was destroyed by earthquake in 1743 and the present one dates only from that year. Patron, the archangel San Miguel, St. Michael. The image of San Diego de Alcala “is worshipped with extraordinary devotion by a multitude of the faithful, even those from dis tant towns, which surely is the best argument for the many benefits which God has dispensed them through the intercession of this holy legacy.” Lukban.—-Visited by the missionaries Plasencia and Oropesa in 1578, but the first regularly appointed priest was Fr. Miguel de Talavera, 1595, when D. Marcos Tigla was made gobernadorcillo; and in 1629 the town was removed from the first site to that it now occupies, high, well drained, with the church crowning the high est hilltop. The church was begun in 1630 and completed in 1640, and the monastery in 1650, Fr. Francisco de Huerta changing the roofs on both edifices in 1683 from nipa to tile. Both were ruined by fire in 1733, and rebuilt by Fr. Pascual Martinez, who completed them as they now stand in 1738. Lukban is a town of good residences; as the center of the buntal hat in dustry it is prosperous, its inhabitants being thrifty and industrious. It is hard to procure pictures of Lukban girls weaving hats as they really do weave them, because they pose when they see the camera; so it is best to visit the town itself and give an hour or two to a study of the buntal industry. The material, obtained from the buri palm, is available everywhere in the islands. The hats and notions—cigarette cases, card cases, etc.—made from it are usually in such demand that the exporters wonder why other communities don’t take up the industry. As Civil Governor of the Philippines Taft arranged the purchase of the friar lands. INVITES ASTRONOMERS TO OUR ECLIPSE Scientific importance is given to the Philip pines because of the total eclipse of the sun which will occur here May 9, 1929. The Hamburg (Germany) Observatory has already arranged to have an observing party in the Philippines on that date. It is expected in Manila that the U. S. Naval Observatory will send a party, as will other observatories in the United States and Europe. Full information has been for warded by Father Miguel Selga, S.J., director of the Philippine weather bureau and Manila FRED M. HARDEN Philippine Importer They offer encouragement, but with little result: the buntal hat industry remains centered in Lukban, Tayabas, and Baliuag, Bulakan. It is not restricted by guild agreements, only by custom. If an exporter asks a girl making buri hats in a neighboring town to make him buntal hats for which he will pay 10 or 20 times as much, she replies: “We do not have that custom, sir; that is the custom of Lukban!” Journeying with the friars among these de lightful people of Tayabas in our next paper, the first town we shall visit is Sariaya. observatory, to the astronomers meeting in Leyden next month. Two factors warrant the expense of sending parties, Father Selga says: first, the great probability of clear weather, and second, the duration of the total eclipse over accessible and convenient observation points. The plane of total eclipse extends across the middle islands of the Philippines, the Visayan group, through the 10th and 2/3 of the 11th degrees of latitude, N. On the western coast the duration of the total eclipse over this area will be 3 m 54.5s; this in the vicinity of Dumaran island, Palawan. On the eastern coast at good vantage points the duration will range between 3 m 42.3 s to 3 m 28.7 s. The longest duration of any eclipse is only about seven minutes and such eclipses are infrequent even speaking astronomically. There will be places outside the Philippines, in Sumatra and Siam for example, where the eclipse may also be observed; and while Father Selga is little familiar with the accommodations that may be found there he thinks some of the foreign parties may choose those points. He thinks however that all American parties should choose the Philippines, to which end he has prepared the bulletin of information on living accommodations, sites, etc., appended to his scientific data. From the U. S. Coast and Geodetic survey he has added a detailed map of the islands embraced in the plane of totality. “Under no circumstances should astronomers be discouraged from trying the eclipse of May 9, 1929, in the Philippines,” he says. He has traced back the weather on May 9 at four con venient observation points during a period of 25 years. The chances are very great that May 9 next year will be dry and clear. The date is prior to the change of the monsoon, and, while at that season of the year there are nearly always some clouds floating about during the day, at the afternoon hour of the eclipse the sky is almost certain to be clear. He selects eastern coast points, fronting the open sea. If there are clouds, they will be hovering around the mountains to the west. The points he thinks best are Tacloban, Leyte; Iloilo, Iloilo; Cebu, Cebu; San Jose de Buenavista, Antique. It is sheer enjoyment of smoking that has made CAMEL the most popular cigarette of all time. Nothing takes the place of fragrant, mellow to baccos. PLAZA LUNCH Manila. P. I. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 21 The Household Searchlight: Hail to Cocolait! By Lucile Kelly A new coconut product is coming on the market next month, Cocolait, an achievement (and the patent of) Herbert Walker, well known Philippine chemist. This month I am going to talk about it. It is a new beverage which may mean a great deal in the Philippine household very soon. In fact I am enthusiastic about it, having tested it as a beverage, in other bever ages as an ingredient, as a mixer, and in cooking. The story of its discovery was particularly interesting to me, another illustration of the rewards of perseverance. Years ago, when Mr. Walker was chief of the organic chemistry divi sion of the Bureau of Science, he worked on the coconut and wrote extensively on its commercial possibilities. But the work was not taken up in a practical way. Mr. Walker left the science bureau to accept a position in the sugar industry, and, with Mrs. Walker, moved to Bacolod, Oc cidental Negros. There the Walkers converted their kitchen into a practical laboratory, dug out the old memoranda on the coconut work, and evolved Cocolait. They have returned to Manila now, and Mr. Walker is devoting him self to the manufacture of the new product. Cocolait resembles milk, even a cream rises to the top, and when fresh it foams like milk fresh from the dairy. It also sours like milk, and the sour Cocolait cream makes the most delicious sour-cream salad dressing I have ever tasted. Cottage cheese is another Cocolait dish; in fact, its possibilities in cooking are those of milk. It is a combination of fresh coconut milk and the emulsion pressed from the meat of the nut, scientifically blended and sterilized. But it is not a substitute for milk, it is of course different from milk, with a taste and flavor of its own. Here are recipes in which Cocolait has been used: Caramel Pie.—1-1 2 cups Cocolait, 1 cup sugar, 1 teaspoon vanilla, 4 eggs, 1 tablespoon butter, 3 tablespoons flour. Beat eggs and 1/2 cup sugar light. Mix flour smooth with a little Cocolait, add balance of Cocolait to egg mixture. Melt remaining sugar in frying pan to a light brown liquid. Cook in a double boiler, stirring until quite thick. Just before removing from fire, add butter, and after removing add the vanilla. Turn the mix ture in partly baked pie crust, and bake just long enough to let the custard set. Rice Pudding.—1 cup rice, 3/4 cup sugar, 1 /2 grated lemon rind, 2 teaspoons lemon juice, 1 quart Cocolait, 4 eggs, 1 tablespoon butter, 1/2 teaspoon salt. Clean and wash rice, adding salt and Coco lait. Cook slowly until done, about one hour, stirring occasionally. Cream and butter, add well-beaten egg yolks, add sugar and beat light. Add cooked rice, mix well and add lemon juice. Add stiffly beaten egg whites last, and bake in a greased pudding dish in a moderately hot oven 45 minutes. From your experience with these recipes you will know how to apply Cocolait to others. After it is on the market and available at grocers this department may say something more about it. Before this is in print I am leaving Manila for China and Japan, and in September I will write of Chinese recipes and their preparation. The winning essays on Why I Am Learning to Cook claim space this month. My congratula tions to the winners. Their reasons for becom ing true mistresses of the kitchen are excellent. First Prize: P10 I want to learn how to cook so that I can open a tea room in the United States like my mother’s, and be able to make the cakes and pies myself. If they are good I will make money. If I do not want to run a tea room I might open a boarding house out in the country, and get tourists to come and board. First I must go to cooking school for experience so that I will know how to cook well, then I will not have to have JESSIE WALTERS a cook. If I am a good cook the word may be spread all over the world, then many people will come to board in my boarding house. I will get orders to make cakes for birthdays, weddings and tea parties. Also I will be able to teach my daughters how to cook and they may take an interest in the business and carry it on. If I find it difficult to run a tea room or boarding house there are many other things I can do to make a living by cooking. If I am a good cook I can make money without many ex penses. I can buy a stove and advertise in the papers that I can make cakes, pies, candies and other sweets. Then I will get orders and I can make a living. If I am an excel lent cook I will win prizes at the fairs for making the best cakes, pies and can dies. Even if I do not want to make a living by cooking every woman should know how to cook so that she can cook for her own family and if she is a good cook her children will be strong and healthy. —Jessie Walters: 7 Plaza Moraga, "The Copper Kettle.” “BRUNSVIGA” CALCULATING MACHINES REITHER, SIEFKEN & CO, 143 JUAN LUNA Second Prize: P5 From the early stages of civilization, when men first learned to cook their food, cooking has come to be one of the most essential factors in household comfort and harmony. A well-set table with good appetizing food saves many a housewife or hostess the embarrassment of having an unexpected guest to dinner. It may be good, but is it much served and liked? Does it have that touch and distinction that invite? Learn cooking, and you’ll get the IT of dessert making. Home-made cakes and pastries bring the party spirit in our meals. Just think of the satisfac tion one gets at the sight of the approval in Dad’s and the kids’ faces as they tty your cookies! No greater reward could be given us than when we hear them say: Gee, Sis (or Ma), this is fine! I think that at such a moment we feel the same pride as did Napoleon when hailed conqueror of the world. We may be called upon by fate to share the responsibilities of a household. Are we fitted to hold such a position? Do we think that marriage means being the head of a house having servants to command, sleep and enjoy life, or to cooperate with our mate in the making of a home? If we get the first idea, we are sure to be a failure; whereas, if we take upon ourselves the responsibilities of a true housewife, success and CAROLINA SILVA happiness will reign supreme. If no children are to be looked after, could we not help in our home economy, depriving ourselves the use of a cook? We could help keep an apple for a rainy day, by such a step. Will not we stand higher in the affection and regard of our husband by acting thus? Everybody can cook, but do we cook as we ought to, to please? How could we do all this, if we don’t learn? How can we expect our food to taste good, unless the things we make them of taste good? This essential fact in cooking has led me, as well as others, to learn to cook at the Purico Cooking School at Santa Cruz Bridge. There the secret of many a good dish, cake and cooky is set out in the very name of the school. . . . Thus, to please parents or husband in the most essential requirement of a house hold and ability in women, I find myself and the rest of the young ladies in our cooking school, as well as those who will soon learn to appreciate this wonder ful opportunity offered us, answering the ques tion—Why I Am Learning to Cook. —Miss Carolina de Silva: 410 Colorado, Manila. The essay of Maria Louisa Abella, 509 San Marcelino, Manila, is herewith awarded honor able mention as the third best among those received. Mrs. Abella is given the compliments of this department and the Journal free for one P. O. BOX 1932 year. Other announcements for the future will be made soon. Watch for them. RIU HERMANOS 623 ESCOLTA’ 623 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 22 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 The Governor General of the Philippines under Spain and the United States By David P. Barrows* In the organization of the office of chief exec utive of great colonial dependencies is involved a political problem of first magnitude. The responsibilities of the government of an alien race, often permeated with discontent and dif ficult to control, require the deposit in the local executive of great and impressive powers, but there must be assurance that these powers will be exercised in subordination to the will of the home government and in accord with standards of humane and enlightened policy. Public opinion in a dependency cannot be relied upon for control and is always characterized by moods of hostility. Public opinion, and frequently official opinion in the metropolitan country, is usually ill-informed and incapable of imagina tion. The history of certain of these great officers like the viceroy of India, or the governor general of Netherlands-India or French Indo China, perfectly illustrates the dilemma. It exhibits both the abuses of entrusting undis ciplined authority to officers imperfectly respon sible, and also the spectacle of rare capacity made impotent by a superior control that was dis trustful, jealous, and incapable of allowing adequate discretion. Of the several impressive offices of this char acter still existent in the modern world, not the least in importance and the oldest in point of history is under the sovereignty of the United States, and the recurring problem of its organiza tion, which baffled Spanish political effort for attention of American statesmanship. The governorship of the Philippines, in the seventeen years of American rule, has passed through several forms and its further reorganization awaits the attention of the present Congress of the United States. It seems clear that such a problem of administration can be intelligently solved only by proper regard for the history of the institution and the place that it has occupied in the good and evil fortunes of the archipelago. The office of governor and captain general of the Philippines was created by royal cedula of King Philip II in 1567, immediately upon receipt of news of the successful occupation of the archipelago, and was conferred upon the adelantado and conqueror of the islands, Don Miguel L6pez de Legazpi. For the space of two hun dred years it underwent little development, but continued to illustrate perhaps more admirably than any other similar position in the Spanish colonial empire the typical character and vicis situdes of the institution. Then toward the close of the eighteenth century it shared in those important administrative changes which in America, are associated with the work of Galvez. It entered on a third phase of its history after the loss of the Spanish-American empire and from about 1840 down to 1897 was, together with the whole body of colonial administration, the object of constant solicitude and modification. This period is most instructive because it exhibits a great office facing the modern difficulties of colo nial government, and after of contest end ing in failure to sustain the y of Spain. ship of the Philippines exists of the disturbing but great and The Bilan Story of the Creation The ethnological lore of the Philippines sharpens in interest the more it is delved into by scholars; it is replete with stories of the creation, of the beginnings of things human and terrestrial, and it is as audacious and self-sufficient as the lore of the Greeks and the Hebrews. “In the beginning,” Genesis says, “the Lord made heaven and earth,” and goes on with a familiar tale. But down in Mindanao a smallish people called the Bilans have a tale quite as romantic. In the beginning, the Bilans say, there were four beings, Melu, Fiuweigh, Diwata and Saweigh, cooped on a tiny island nude of trees and grasses; but the four beings could live there, of course, because they were divine spirits. Only they and single bird were on the island, and they sent the bird forth and i returned with some clay, a sprig of rattan and some fruit. Then Melu, the mightiest of the four, took the clay the bird had brought back and molded and worked it like women mold clay pots; and he rounded it off nicely (somehow the Bilans understand, perhaps always have understood, that the earth is round!) and made it into the earth. The rattan and the fruits were planted, soon covering the virgin earth with foliage. But what was the use of all this after all? The four divin ities, though they were but demigods, needed no fructifying earth; without man the earth was just a vegetating jungle. So it was decided to make man, who should therefore be “a little lower than the angels,” to utilize the fruits and plants and grasses of the earth. Wax was tried at first, the demigods fashioned men from wax; but when they would have hardened these waxen figures in the fire the figures all melted back into formless wax again. Then they chose the clay of the earth itself, which baked in the fire and served admirably : the demigods now had their robots, mankind, to work their ironic will upon. The Bilans do not go into details, but the demigods, Melu at least, must have breath ed into these strutting creatures the breath of life. All was a success from the outset except the noses. These one of the divine craftsmen turned nostrils-up at first, and Melu knew that if they were left this way the men would all be drowned in the first monsoon. So while the others were not looking he turned the noses downwai^, but in his hurry he pinched them sharply at the root—a mark man is doomed to carry to the end of time! Collections of Philippine folklore are being made. This tale is one of those gathered by Mabel Cook Cole which is pub lished in her Philippine Folk Tales, McClurg 8s Co., Chicago. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 23 magnetic positions upon which depend the efforts of the white race to control the political future of tropical peoples. It is proposed in this paper to view this office in outline in its several periods and then to offer some reflections based on a comparison of Spanish and American experience. The office was created on the model which had originated in Spain and been worked out in the New World. Seventy-three years intervened between the first voyage of Columbus and the definite occupation of the Philippines, and in this period the Spaniards had had some excep tionally severe lessons and gained much hard experience in colonial empire. This American experience was behind the Philippine conquest and determined its character. The institutions whereby Spain for two hundred and fifty years governed her vast empire were carried as a nearly completed system to the Philippines. A great body of law defining the powers and rela tions of colonial officers already existed and was put into effect in the new possession. Thus the Philippines were spared a repetition of the period of extravagant waste of life and accompanying disorder that fill the early pages of the history of most Spanish-American colonies. The list of governors exhibits not a few who were weak and inept, but no Ovando or Pedrarias. During the period of conquest and settlement of the Philippines, America was relied on to supply most of the governors. Not a few had been developed in those remarkable training schools of colonial officials, the audiencias of the new world. The adelantado Legazpi, a model of courage, prudence and humane moderation, was appointed to lead the expedition that effect ed the conquest from the post of escribano mayor and alcalde ordinario of Mexico; Sande (1575-80) was an oidor of the audiencia of New Spain, and Gonzalo Ronquillo (1580-83) and Don de Vera (1584-90), officials of the same government. Bravo de Acuna (1602-06) had been governor of Cartagena, Hurtado de Corcuera (1635-44) governor of Panama, Manrique de Lara (1653-1663) Castellano of Acapulco, and Torre Campo (1721-29) governor of Guate mala. There can be no question of the immense value to the government in the Philippines of the long training of these men in the American service Another field of promotion to the post of Philippine governor was the army in Flanders. Between 1609 and 1678 at least six governors, Juan de Silva (1609-16), Fajardo de Tenza (1615-24), Nino de Tabora (1626-32), Salcedo (1663-1668), a native of Brussels, Manuel de Ledn (1669-77), a hero of Lutzen and Nordlingen, and Vargas Hurtado (1678-84), were appointed from Spanish armies serving in the Low Coun tries. Several of these men were nobles or mem bers of distinguished orders. To the intrepid and ambitious soldiers and lawyers of that day the Philippine appointment unquestionably appeared an opportunity for audacious service in the East, and a stepping-stone to higher re wards in the great offices of the New World, but the vast distance, the hardships of the long voy age, the tropical disease that assailed so many, and the bitter trials of the office itself all but rarely wore out these men and hardly one return ed. Few, indeed, like Manrique de Lara were able to endure a long term of service (in his case the unprecedented period of ten years), endure the persecutions of a severe residencia and return to Spain to die of old age in his native Malaga. To most the Philippine appointment was the end. The selection of the governor was personally made by the king from a list of officers proposed by the Council of the Indies. When Nino de Tabora was appointed, not less than thirteen names were proposed, including one man, de Vivero, who had served an ad interim appoint ment as Philippine governor and returned to the governorship of Panama.1 To read the terse dossiers of these nominees is to see outlined in a few pages the adventurous lives of the Spanish conquerors of the New World and the wide field of services presented by Spain’s amazing empire. The appointment was set for eight years but, in case the governor survived, it sometimes extend ed to nine or ten. The average duration of office, however, was low and drew frequent un favorable comment, especially when contrasted with the long periods of service of the dignitaries of the church. During the latter part of the seventeenth and most of the eighteenth century, when Spanish national life sank after the exhausting efforts of wars and conquest, emigration to the islands nearly ceased, and commercial restrictions checked economic development, torpor succeeded the intense energy of an earlier time. In this situation the governorship was repeatedly con ferred upon the Archbishop of Manila or one of the several prelates. After the close of the eighteenth century the governor of the Philip pines was nearly always a military or naval officer of high rank. In the beginning the Philippines were regarded as an outpost for further eastern conquests; the Spice Islands, the coasts of Siam and Indo-China were all essayed by Spanish expeditions, and designs of conquest of Japan and China filled the feverish brain of some of these daring exiles. But the sparse population of the archipelago, less than a million natives and a few hundred Span iards, the insufficiency of revenues, and the enormous difficulties of Pacific transport even tually enforced a policy of economy, and extreme simplicity of administration. The governor represented the all-embracing authority of the king. He was governor of the civil administra tion, appointed the provincial chiefs, or alcaldes mayores, and except where these officers received royal appointments, the other administrative officials. As civil head he sent and received embassies from the countries of the East and made peace and war. As captain general he commanded all the armed forces in the colony, equipped fleets to invade the Moluccas or repel the pirates of Mindanao, built or repaired the fortifications of Manila and the naval yard of Cavite, and built and despatched the Acapulco galleon, eventually the sole communication with Mexico and Spain. The perilous situation of the colony, the menace of China and Japan, the struggle for the Moluccas, the centuries of Malay piracy and the incursions of the Dutch gave great prominence to the military responsibilities and the functions of the governor as captain general. He had full responsibility for the reve nues, nominated to encomiendas until these grants disappeared in the eighteenth- century, and established the estancos or government monopolies. He allotted the boletas or tickets entitling the holder to cargo space on the Aca pulco galleon, an economic privilege of vast importance to the colony. As vice-patron and representative of the king, he nominated to church benefices and controlled the financial support of the missions. For the discharge of these numerous services he had relatively few Atlantic Gulf and Pacific Co. OF MANILA ENGINEERS MANUFACTURERS CONTRACTORS 71-77 Muelle de la Industria MANILA, P. I. 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The official ceremonies attending his arrival and induction into office were elabo rately prescribed. A guard of halberdiers attend ed him when he walked abroad,2 and a mounted escort when he rode. These formalities, how•“Report of the Spanish Council of State on the appoint ment of a governor of the Philippines,” 1625. Blair and Robertson, The Philippine Island*, vol. 22, p. 27. 2 The antique halberds of this guard, which was sup pressed ia 1868, were part of the military trophies of the American army after the capture of Manila. The writer saw a number of them then. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 24 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 ever inconsistent with the actual resources of the position, were highly esteemed by the Spaniards. The complaint filed by the audiencia with the king against the governor, Tello de Guzman, in 1598, has mainly to do with his offense of attend ing a meeting of that body in a short, colored coat and a hat with plumes.3 While encouraging and abetting the heroic enterprises of her expatriated sons, Spain early sought to provide balances and restrictions upon their overtopping ambitions. These attempted limitations can perhaps nowhere be better stud ied than in the history of the Philippines, where the remoteness of the colony and the difficulty of supervision occasioned situations of the most sensational character. Some of the practices used as checks by the Spanish government would not be approved by the more advanced expe rience of the present day, but they are at least characteristic of the thought of the period, which was singularly distrustful , and counted no public servant too loyal or exalted to be watched and restrained. In the first place, Spanish officialdom encourage4 direct report on the policy and character of the governor from subordinate officials and from the ecclesiastical administration. From the foundation of the colony at Manila other royal officials than the governor wrote directly to the king. Of the first expedition to settle the Philip pines, Legazpi, the treasurer, Lavezaris, and the factor Mirandaola, all wrote independently to Philip II. The fiscal, Ayala, in 1589, wrote ex pressing complaints both of civil and ecclesiastical administration. The ayuntamiento of Manila THE MANILA TIMES An Evening Newspaper With Sunday Morning Edition Truth, Accuracy and Fairness An Ideal Medium for Seekers for News and for Advertisers The Manila Times in 1601 registered its complaints against the oidor and lieutenant governor, Dr. Antonio Morga. A letter of Bishop Santibanez of 1598 informs the king that Governor Tello de Guzman had called together all the honorable people, even to the master of camp, and all the captains, and while they stood bare-headed, berated them worse than he would his cobbler: “You do not realize that I can have all your heads cut off, and you think that I do not know that you have written to the king against me.” “Your majesty,” says the bishop in this letter, “should not inquiie into the.particular vices of Don Fran cisco Tello, but should picture to yourself the universal idea of all vices brought to the utmost degree and placed in a lawyer. If one were to seek faithfully over all Spain for a man of most debauched conscience, even the vilest and most vicious to come to this country and corrupt it with his example, there could not be found one more so than he.”4 It does not appear that the Council of the Indies or the king followed the practice of acquainting the governor with these attacks upon his policy or his character nor do they appear to have been moved thereby to any deci sive action, but we must suppose that they had their effect in creating distrust at the Spanish court, undermining its confidence in the governor and weakening the loyal support of his efforts. Modern administration follows the principle of requiring official correspondence between the government of a dependency and the home au HENRY C. IDE Followed Wright as governor general. thorities to proceed within the cognizance of the chief executives of the dependency, and presentday standards of loyalty and of subordination forbid irresponsible criticism, but Spain pro ceeded upon the different principle of setting subordinates to watch their superiors, and trust ed to jealousy, pique and self-interest to expose the deficiencies or corrupt character of those set in authority. The legitimate balance upon the authority of the governor was the audiencia. The Audiencia of Manila was created on the model of the Amer ican audiencias, and was the tenth to be estab lished by the Spanish government in their organ ization of empire.5 It was first erected in 1584 under the presidency of the governor, Dr. Santiago de Vera, but was suppressed, largely for reasons of economy, in 1590, and reestablished in 1598 by_a royal decree dated November 26, 1595. On the vacancy of the office of governor the audiencia regularly assumed the duties of the position, the direction of military affairs being confided to the maestre de campo, or more usually to one member of the audiencia.6 It had the power to grant encomiendas of Indians if the governor neglected this duty. It reported annually on the operation of local gov ernment and was a board for the audit of ac counts, and for the taking of the residencia of 3“Report of the Audiencia on the conduct of Tello,” B. and R., vol. 10, p. 183. <Blair and Robertson, The Philippine Islands, vol. 10, pp. 146, 147. 3 Recopilaci6n de Lepes de las Indias. Libro 2, tit. 15, ley 11. c Recap., vol. 2, pp. 15, 57, 58. PERMANENCE IS ECONOMY When building SEE that “APO” Portland, the Super-Cement is employed in your construction “APO” is Best by Test—Makes Best Concrete Sold only by reliable dealers and the CEBU PORTLAND CEMENT COMPANY China Bank Building MANUFACTURERS Manila, P. I. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL “From my own experience, and judging from the experience of others who have distributed finer grades of Philippine cigars to friends in the United States, I believe the demand for high grade cigars of all Philippine tobacco in the United States among smokers who are more concerned with quality than the cost of their cigars can be greatly stimulated.” —Lyman P. Hammond’s Report to His Excellency, Governor General Henry Lewis Stimson. ^Manila Cigars “MANILA CIGARS,” which are HAND-MADE LONG FILLER, are a product which both the wholesaler and the retailer can depend upon for profit. To the wholesaler, “MANILA CIGARS” offer quick turnovers. To the retailer, this product is a repeater. Such results are made possible by the combination of good qualities of Philippine leaf tobacco seldom found in other tobacco. A pleasing taste, delicate aroma, and even bum are inherent in the selected tobacco used, grown in the Cagayan Valley which is annually fertilized by Nature by the overflowing of the Cagayan River. The more one smokes “MANILA CIGARS,” the surer he is of this product’s un excelled qualities. There are “MANILA CIGARS” of all shapes and classes which offer wonderful values. List of Distributors Furnished on Request CHARLES A. BOND Philippine Tobacco Agent 15 William Street, New York City, U. S. A. or THE COLLECTOR OF INTERNAL REVENUE Manila, P. I. “Generally speaking, the cost of Philippine cigars consideras of the first grade in Manila seems to approximate half price of Havana cigars of equal reputation on the '■ lr seaboard." Lyman P. Ha His Excellenc Henry Lewis IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER O THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 SPANISH TIMES IN THE PHILIPPINES hauling Manila hemp to market, a calesa, street traffic—long before the advent of the automobile. Center:— hreshing rice, the Legaspi-Urdaneta monument in Manila, on the site of an old battery. Right:—Interior of St. rom Malecon drive, the Bridge of Spain, the Escolta, showing oldtime rigs, the quilez and the victoria. August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL HI AMERICAN TIMES IN THE PHILIPPINES Top.-—Baguio Zigzag, Jones Bridge. Second row:—Nurses’ home, Philippine General Hospital, a provincial bridge, Laguna Capitol building. Center:—An evening gathering on the Luneta. Fourth row:—Threshing rice, Ateneo de Manila cadets drilling on the sunken gardens, power plowing. Bottom row:—Ocean steamers at Pier Seven, the Bureau of Science. IV THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Negros Philippine Lumber Corporation Manufacturers and Exporters of Philippine Mahogany Sawn Lumber and Logs Band Sawmills at Cadiz Negros Occidental, P. I. Annual Production: 30,000,000 Board Feet Cargo Shipments a Specialty Shipments Made to All Parts of the World Manila Office: 1028 Juan Luna Cable Address: “MAHOGANY” Manila, P. I. Codes Used: Bentley Acme Western Union IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 25 subordinate officials.7 Sitting as a chamber of “royal consent” (sa/a de real acuerdo) it con sulted upon matters of government and adminis tration and participated in the enactment of local ordinances. Such a resolution was called an auto acordado.6 It also discharged certain commissions such as the management of the praedial tithes, the public lands, temporalities, and the fondos de Agafia, which seem to have been funds for the support of the establishment in the Marianas Islands or the Ladrones.9 It It was the church that constituted the real counts of an official at the end of his terrnby his utive in great delay and expense and not in frequently in heavy penalties. The case of Corcuera has already been referred to, and some of his successors were hardly more fortunate. The Italian traveler Gemelli Careri, who visit ed the Philippines in 1697, thus recorded his impression of the proceeding: “This Grandeur and Power [of the governor] is somewhat eclips’d by a dreadful Trial the wicked People of Manila make their governors go through. . . . The Accusers have 60 Days allow’d them, after Pro clamation made through the Province, to bring in their Complaints, and 30 Days to Prosecute before the Judge, who is generally the Successor in the Government by Special Commission from the King and his Supream Council of the In dies." After citing the cases of Corcuera, Fa jardo and lyianrique de Lara, the last of whom, after a life of extraordinary adventure ending with his residencia at Manila, regained his native land to die in orders, Gemelli records: “In short since the Islands were Conquer’d, nd Governor has returned to Spain but he had and one more: for all of them either break their Hearts at their Tryal or Dye with Hardship by the way. It is certain this Tryal is worth one hundred thousand Crowns to the new governor which he that goes off must have ready to come off well in this dreadful Tryal.”10 It can hardly be doubted that the prospect of this bitter experience awaiting a governor at the termination of his office undermined his courage and weakened his conduct of affairs. Besides the ordeal of the residencia the gov ernment of the Philippines was occasionally sub jected to the inspection of a visitador. In 1631 the oidor Rojas of the audiencia of Mexico was sent to the Philippines in this capacity and sus pended the oidores of the Manila audiencia. The exact relation between the administration of the Philippines and that of Mexico and the degree of control exercised by the latter over the former are somewhat difficult to determine. Theoretically the Philippines, like the captain cies general of Yucatan and Guatemala were 1898. The higher intelligence of the nation from time to time discerned the weaknesses of the and the end was revolt and disaster. The his tory of these attempts to modernize the Spanish the actual degree of oversight does not seem to have been great, nor to have had appreciable structive, but only its main outlines can be THIS TRADE-MARK GUARANTEES ASANO PORTLAND CEMENT SOLD BY ALL RELIABLE DEALERS IN THE PHILIPPINE ISLANDS and conscious of the grim day of reckoning at the end of their terms, the governors of the Philip pines during most of the eighteenth century sank in character, and their achievements were too futile to be recalled. The task of reorganizing and reinvigorating the government of the Philippines began with the last third of the eighteenth century, and continued with fluctuations down to the end of IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 26 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 The capture of Manila by the English in 1762 aroused the Spanish government to the appoint ment and support of governors of ability, among them Anda y Salazar and Basco y Vargas. The latter, who placed the finances of the Philippines upon an independent basis through the establish ment of the tobacco monopoly, and who did something to encourage agriculture and indus tries, was also responsible for introducing into the administration of the Philippines the separa tion of governmental and financial administra tion which had been effected in the vice-royalties of Mexico and Peru. On recommendation of Basco there was issued the royal order of July 7, 1784, creating the Intendency of the Army and of Finance, and to the position of intendant was appointed an oidor of the audiencia, Carvajal. This official established in the islands five subor dinate intendencies and submitted plans for the fiscal and agricultural development of the islands. The new organization, however, was short lived. In 1787 the superintendence of finance, by royal decree, devolved once more upon the governor and captain general. The modification of the earlier unspecialized centralization of authority in the direction of segregating financial adminis tration rested upon a sufficiently definite theory to commend itself to Spanish authority, and after a half century of experiment, the financial administration was reorganized as the Intendencia de Hacienda. The governor continued to be the “superior head” of this branch, but the immediate direction was confided to the Intendente General.11 A further specialization of 1861 deprived the governor general of his judicial powers. At the same time the audiencia was divested of its administrative and consultative functions and became simply the supreme court for the archi pelago.12 With this change there was created a new body advisory to the governor, known as the -Council of Administration (Consejo de Administracidn), made up of high officials, civil, military and ecclesiastic. An inner advisory body was the Board of Authorities (.Junta, de Autoridades). The principle that the Spanish sought to apply here was one which has been widely used in the colonial administration of the French, the Dutch, and the English, namely, to concentrate executive authority in a single person, but to subject the exercise of this author ity to the expert advice of responsible associates. Expectations of the usefulness of this body in the Philippines do not seem, however, to have been realized, and at the time of the ending of its existence it was declared a useless organization.13 Its last assembling took place in the city of Manila under the guns of Dewey’s fleet and amidst the general apprehension that prevailed on that occasion. Still further specialization took place with the creation of a general department of civil adminis tration. The conception of this reform was to segregate from military affairs and from the determination of policy the execution of functions having to do with civil service and with the development of the islands, the people and re sources. The Direccibn General de Administracibn Civil was decreed as early as 1858,H but actually established in 1874, and the position of director was occupied in the last decades of Spanish rule by a number of men who made a distinct impression upon the well-being of the islands. It had two branches, Gobierno and Fomento, and embraced the bureaus (inspecciones) of mines, forests, public works, poor relief, sanitation ’ and public instruction. As advisory bodies to the chiefs of these bureaus there were formed a number of consultative boards on the principle above noted. In case of death or absence the governor general was succeeded by a general next in com mand of the military forces, who was designated the Segundo Cabo, and in case of his disability and the absence of another army officer, of general rank, a decree of 1862 provided that the government should be exercised by the naval officer in command of the Philippine station.15 With the awakening of new interest in depend encies observable in the last half century of the Spanish period, and with the creation in 1863 of the Ministerio de Ultramar,16 initiative in legislation seems to have passed to the official dom in Spain. This appears to have been inCHARTERED BANK OF IN^An chuintaral,a Capital and Reserve Fund...............................................£8,000,000 Reserve Liability of Proprietor..................................... 3,000,000 MANILA BRANCH ESTABLISHED 1872 SUB-BRANCHES AT CEBU, ILOILO AND ZAMBOANGA Every description of banking business transacted. Branches in every important town throughout India, China, Japan, Java, Straits Settlements, Federated Malay States, French Indo-China, Siam, and Borneo; also in New York. Head Office: 38 Bishopsgate, London, E. C. T. H. FRASER, Manager. Manila. creasingly so after the establishment of steam ship connection by way of the Suez Canal and the connection of Manila by telegraph cable with the government at Madrid. Before this period the development of the Philippine administration seems to have been largely in the hands of the governors at Manila, subject to the approval of the government in Spain; thus the governorship of Claveria (1844-49) was characterized by the initiation of many reforms, the establishment of new provincial governments, the bestowal of surnames upon the natives, the correction of the calendar, the final suppression of piracy; and his proposals seem to have invariably found ap proval at Madrid. Probably no governor after JAMES F. SMITH He died only a few weeks ago and was governor general during 1907-1909, preceding Forbes.—He was the first governor general in history to deal with an elective Philippine legislative body, the Assembly. Claveria made so original an impression upon the islands. What the later governors did effect, however, was to reflect the changes in the politics of Spain. The momentary triumph of liberal politics at Madrid meant encouragement to the aspiration of the natives of the Philippines, frequently to be followed by the adoption of a conservative policy and the appointment of a representative of reaction. Thus the period of advancement and reform from 1880 to 1888, represented by the “liberal” governors, Primo de Rivera, Jovellar and Terrero, was followed by the reactionary rule of General Valeriano Weyler, 1888-91, whose name is familiar to Americans through his disastrous government of Cuba, and who exem plified both the possibilities and the abuses of the office as it was in the last period of its exist ence.17 One final point must be made in estimating the character of this office under Spain, and this was the jealous reservation by the home govern ment of the legislative power. Neither in the Philippines nor in the Western Hemisphere was there ever a colonial legislature established under Spanish authority. The great laws and decrees of the Spanish colonial system were drafted and promulgated in Spain. This impairment of legislative responsibility in the colony had its undoubted effect in retarding and discouraging the progress of the government, and giving to colonial laws the effect of detachment from the actual conditions which they were meant to remedy. In spite of their august source and the solemnity of their promulgation, it is of interest to note how frequently they were disregarded. Morga, writing as early as 1597, states frankly that royal decrees sent to the Philippines by His Majesty are mostly suspended or not effect ively observed.18 Indeed, the Spanish author ities at Madird seemed to hesitate to give full and immediate effect to their determinations and to have promoted the development of a power in the local government to suspend or limit the action of a decree pending further correspond ence.” This power of the cumplase, as it came to be known, was sometimes exercised in matters of extraordinary significance. Two whole “titles” of the Civil Code promulgated for the Philippines in 1889 were suspended and the greater part of the Civil Marriage Act of 1870 was suppressed by the governor general. The radical decree of Moret transforming the Domi nican University of Santo Tomas into a govern ment institution, which threw the religious orders in the Philippines into consternation, was entirely withheld from publication by the gov ernor general and never went into force. The reform law of local government, the “Maura decree,”20 was made effective only in certain provinces and had hardly become operative when the Spanish system fell before the Amer ican conquest of the islands. The city of Manila was captured by the Amer ican expeditionary forces on August 13, 1898, and on the following day terms of capitulation were signed. From this date American govern ment in the Philippines begins. General Wesley Merritt, commanding the American army, issued a proclamation announcing the establishment of military rule and assuring the Filipinos of pro tection and guarantees. It was published in accordance with instructions of the President which the commanding general brought.21 Gen eral Arthur McArthur was appointed “provost marshal general and civil governor of Manila,’” and other officers were detailed to necessary administrative positions. The office of military governor covers the period-August 14, 1898, to July 4, 1901. It was filled by the following officers of the United States army: Major General Wesley Merritt, n San Pedro, op. cit., vol. 13, p. 10. 12 San Pedro, op. cit, vol. 7, p. 38. 13 See the testimony of Don Cayetano Arellano before the Philippine Commission in 1899. Report of the Phil ippine Commission, 1900, vol. 2, p. 24. HBerriz, Diccionario de la Administracibn de Filipinos, Anuario de 1888, vol. 1, pp. 634-643, San Pedro, op. cit.. vol. 1, p. 134. l^San Pedro, op. cit., vol. 1, p. 134. lilbid., vol. 1, p. 185. nW. E. Retana, Hondo del General Weyler en Filipinos (Madrid, 1896). USee “Report of Conditions,” B. and R., vol. 10, p. 81. lOThis discretion wasrecognized very early by the Laws of the Indies and received a late interpretation in a Royal Order of 1876. Given in Berriz, Diccionario, Anuario, 1888, vol. 2, p. 95. 20See LeRoy, Americans in the Philippines, vol. 1, p.43. 21 Senate Document 208, p. 85, Report of General Otis for 1899, p. 17. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 27 for the brief period Aug. 14-29, 1898, Major General E. S. Otis, August 29, 1898 to May 5, 1900, and Major General Arthur McArthur, May 5, 1900 to July 4, 1901. The powers exer cised by these military governors were very extensive and had an important influence upon the subsequent government of the archipelago. Acting under authority from the President of the United States and in the absence of congressional legislation, the military governors exercised a most liberal legislative power. By proclamation and by general orders they continued in opera tion the municipal law that had prevailed under :he Spanish government, reestablished a system of courts, including provost-courts and the supreme court or audiencia, and for the trial of criminal offences subsequently established a system of military commissions.22 Where the Spanish law was believed to need correction it was unhesitatingly reformed. An entirely new code of criminal procedure, introducing into the jurisprudence of the islands the English principles of search warrants and the writ of habeas corpus, was promulgated by General Order No. 58, April 23, 1900, and is still the law of criminal procedure for the archipelago.23 The law of civil marriage, which had long been a question of intense political and ecclesiastical controversy, was similarly promulgated.24 Under military supervision municipal governments were set up and first one and subsequently another more elaborate municipal code was decreed. Military authority put into prompt operation provisional tariff laws and immigration regulations, which excluded the Chinese from entrance into the islands. These latter regulations were later reformed and regulated by act of Congress. It was quite in keeping with the past powers of the position and with the policy long followed by the Spanish governors of Manila that General Otis should have commissioned a general officer to proceed to the Sulu archipelago and negotiate with the Sultan of Sulu a treaty of peace and protection. This document, which was secured with difficulty and misapprehension on both sides, followed the traditional lines of Spanish policy in handling this semi-independent Malay power. One article of the treaty however, which recognized slavery in the Sulu archipelago, was disapproved by the President of the United States. Following closely along the lines of traditional Spanish authority also was the power exercised by the military governor to expel or exile un desirable persons. This power was used against Americans as well as aliens, but perhaps the case that attracted most attention was that of the exile and confinement on the island of Guam of thirty-nine Filipino “Irreconcilables,” including the leading Filipino revolutionist Apolinario MaThe Philippine Guaranty Company, Incorporated (Accepted by all the Bureaus of the Insular Government) Executes bonds of all kinds for Customs, Immigration and Internal Revenue. DOCUMENTS SURETYSHIPS For Executors, Administrators, Receivers, Guardians, etc. We also write Fire and Marine Insurance Low rates iberal conditions ocal investments oans on real estate repayable by monthly or quarterly instal ments at low interest Call or write for particulars Room 403, Filipinas Bldg. P. O. Box 128 Manila, P. I. Bank of the Philippine Islands The Oldest Bank in the Philippines. (Established 1851) Authorized Capital - - - - Pl0,000,000.00 Paid-up Capital and Surplus - - 9,000,000.00 GENERAL BANKING OPERATIONS. Telegraphic Transfers, Commercial and Travelers’ Letters of Credit, Travelers’ Checks, Drafts, Collections, and every description of exchange and banking business. All kinds of administration, fiduciary and trustee business. Safe Deposit Boxes for Rent. Interest is also allowed on Current Accounts, Time Deposits and Savings Accounts. CORRESPONDENTS: BRANCHES: Thruout the World. Iloilo, Cebu and Zamboanga. HEAD OFFICE: No. 10 Plaza Cervantes, Manila. P. O. Box 777. bini. Was it also the tradition of the cumplase which induced General Otis to omit certain por tions and modify others of President McKinley’s notable proclamation of American sovereignty cabled to Manila at the end of December 1898?25 On the administrative side the Filipino govern ment as finally constituted by military and civil authorities shows even more definitely the in fluence of the Spanish institutions and traditions that had preceded it. Except in the single case W. CAMERON FORBES Governor General of the Philippines 1909-1913, he was a member of the Wood-Forbes probe committee in 1921 and has since written a two-volume work on the islands which is for sale by the Philippine Education Co. He calls it The Philippine Islands. of the presidency of the United States American prejudice has been strong against conferring centralized administrative control upon a single executive head. The American State governor, while he has arisen in recent years to a position of great political importance, is in no case the executive head of State administration, which is distributed among State officers having a similar tenure with the governor or confided to com missions and boards only partially under his control. The same disposition has manifested itself in the creation by Congress of government for the territories, as is exhibited to-day in the cases of Hawaii and Alaska. In neither of these two last cases is the governor of the territory the center of the administration and the recog nized avenue of communication between all departments of the federal and local govern ments. Such a diffusion of responsibility was happily prevented in the Philippines, first we may believe by the abiding influence of the office of governor general under Spain, and in the second place by the period of military govern ment now being described. As branches of civil administration were recreated during the period of military governorship these offices were not subordinated to departments at Wash ington, but were made responsible to the military governor. The responsibility for captured funds and property occasioned prompt action with respect to those branches of Spanish administration which had been embraced in the Intendencia General de Hacienda. By General Order No. 5, September 17, 1898, the office of Intendente General was suspended. The duties had already been separated into several depart ments: the treasury, the department of audits (General Order No. 3, 1898), the department of customs (August 20, 1898), and a department of internal revenue (August 21, 1898). Later on those branches of administration which had been under the Direccidn General de Administraci6n Civil were taken up and their work revived. Public instruction in the city of Manila was com mitted to the oversight of a chaplain of one of the army regiments and later an army officer was detailed for the entire archipelago. Public health was entrusted to the medical corps of the army. In March, 1900 (General Order No. 31) the Mining Bureau restored the Inspeccidn de Minas and inherited its collections and labor atory, and on April 14 of the same year the Forestry Bureau took up the forestry work of 22 Report of Major General McArthur, 1901, vol. 2, PP 3 Printed in Public Laus enacted by the Philippine Commission, vol. 1, p. 1082. 2< General Order No. 68, December 1899, amended by General Order No. 70, 1900, printed in Public Laus enacted by the Philippine Commission, vol. 1, p. 1078 ff. 21 General Otis omitted entirely from the proclamation the statement of the right of the United States to the archipelago both by conquest and cession, andtheintenOther clauses were expanded and to certain assurances from Washington he added his own. (See Senate Docu ment 331, pp. 776-778; and General Otis’ Report, 1899, opposite p. 359. See also the account in LeRoy, Ameri cans in the Philippines, p. 401 and note.) IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 28 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 the former Inspecci6n General de Montes. The organization of these offices as well as others which followed, under legislation of the Phil ippine Commission, took on a bureaucratic character, and thus from the beginning Phil ippine administration in American hands was unified, centralized, and made responsible to the chief executive of the archipelago. Superficial critics and observers of the Phil ippine government have on a few occasions advocated the placing of one or another field of Philippine administration, as for example educa tion, under the direction of the corresponding bureau of the United States federal service. Fortunately such suggestions have received no encouragement. Both American and European experience fully justify the course which Phil ippine administration has taken. The French experimented for years under the influence of “assimilation” ideas with an attempt to admin ister Algeria through extension to their African possessions of the administrative work of the several ministries at Paris. During this period, which extended from 1881 to 1896, local officials in the several departments reported not to the governor general at Algiers, but to their respect ive ministries of the national government. This system of services rat tachos gave such un satisfactory results that a senatorial commis sion under the chairmanship of M. Jules Ferry reported in 1892 in favor of its abandonment. The policy of centralization under the governor general was inaugurated with generally excellent results.26 Alaska, however, is a present example of a dependency where administrative authority instead of being concentrated in the territorial governor is distributed between numerous local representatives of ununited services, who report to their distant heads at Washington. The unanimous voice of those qualified to judge of the workings of this decentralized system testi fies to its disadvantages. On September 1, 1900, the Philippine Com mission, composed of Hon. William H. Taft of Ohio, Professor Dean C. Worcester of Mich igan, Hon. Luke E. Wright of Tennessee, Hon. Henry C. Ide of Vermont, and Professor Bernard Moses of California, entered upon its official responsibilities in the Philippines. Its powers are defined in the President’s instructions to the commission transmitted through the Secretary of War under date of April 7, 1900.27 Its general mandate was to “continue and perfect the work of organizing and establishing civil government already commenced by the military authorities.” On the first day of September that part of the power of government in the Philippine Islands which was of a legislative nature was to be transferred from the military governor to the commission. This was specifically described as including the powers of taxation and appro priation of public funds, establishment of an educational system, of a civil service, of courts and municipal and departmental governments. It was further provided that the commission should have the power to appoint officers “under the judicial, educational, and civil service systems and in the municipal and departmental govern ments as shall be provided for.” Drake Captures a Carrack and Learns the Secret of “Trading into the Eastern Seas” Perhaps everyone who values old books has had strange experiences in collecting them. Among my Oriental history references is one book in particular, “The Naval History of England In All Its Branches from the Norman Conquest to the Conclusion of 1734,” which was acquired purely by accident, for a silver dime. The Philippine Legislature had neglected to supply the government library with funds for the rebinding of books. White ants had attacked some of the shelves and partially devoured hundreds of books. They had eaten the backs off of these books and generally mussed them up. The director of the library, to save his other books, had the damaged ones taken out of the shelves and was preparing to make a huge bonfire of them when my casual inquiry stayed the hand at the fagot. Learning of what was EARLY DAYSI—Gunboat of "Mosquito Fleet” on Pasig River Patrol It seems that it was the original intention of the President of the United States in appoint ing the Philippine Commission to create a plural executive. The instructions read: “The com missioners . . . will meet and act as a board, and the Hon. William H. Taft is designated as president of the board.” Power and respon sibility obviously were collegiate and not indiabout to happen, I arranged, between the library director and the insular auditor, that I might select what books I wanted, make a list of them and buy them at ten cents apiece; and upon the certified list the auditor would release the libra rian from his reponsibility for the books. In this way I came to own the history of which I have just told, written in 1734, “by Thomas Lediard, Gent.” The Book, a huge volume with records of meticulous accuracy, embracing accounts of England’s affairs at sea during 700 years, has proved rather priceless. Thomas Lediard, gentleman, delved patiently into, and copied generously from, "authentick records and manuscripts, scarce tracts, original journals, 8sc.” His manner of writing is reserved and digni fied, until he introduces Queen Elizabeth’s reign. He then falls into rhapsodies. The Monte de Piedad An Institution established and operated for the benefit of the people. Its principal aim is to encourage thrift and to protect needy persons against usury. For that purpose it accepts Savings Deposits at 4^% Fixed Deposits at 5% and makes loans under liberal terms secured by Jewelry, Precious Stones and Metals; Real Estate in Manila or Bordering Municipalities; and Bonds, fully secured and readily marketable. Monte de Piedad Bldg. Plaza Goiti, Manila, P. I. Phone 2-27-41: Manager Phohe 2-13-79: Office "I am now entering upon a reign,” he assures the reader, “which will afford abundant matter for this history: A reign, which gave more oppor tunity to the English to exercise themselves in naval affairs, which produced more discoveries for the advancement of trade, and bred a greater number of brave sea officers, than all the pre ceding reigns, since the Conquest.” So the eulogy runs on, with the capitalization of many nouns to lend it force and emphasis. Then he tells of Frobisher, Gilbert, Raleigh and the rest, and the gallant captains of Elizabeth’s fleets. There is “Sir Francis Drake’s and Sir John Norris’s Grand Expedition to Portugal”. Farther along there is “Sir Francis Drake’s and Sir John Hawkin’s last Expedition to the West Indies, with the death of those two great Commanders.” Elizabeth indeed had constant need of every one of her dashing naval officers. Her little realm was threatened by the giant empire of Philip, commanding the assistance of Rome. When the struggle was at last over, hers was the great empire, Philip’s the feebler one, and none was so great as not to pay homage to her throne. She set about humbling the power and pride of Philip in a very matter-of-fact way. She learned in 1587, “not long after the death of Mary, Queen of Scots, that the King of Spain was equipping a vast naval armament, which was to be em ployed against her dominions.” Drake learned that “the Spaniards had provision of bread and wine, sufficient to maintain forty thousand men a whole year.” IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 29 Walsingham, prime minister, learned that the expedition was outfitting against England. “He had intelligence from Madrid, that Philip had told his council, he had despatched an express to Rome, with a letter written with his own hand to the Pope, acquainting him with the true design of his preparations, and asking his blessing upon it; which, for some reasons, he would not yet disclose to them, until the return of the courier. The secret being thus lodged with the Pope, Walsingham, by the means of a Venetian priest, retained at Rome, as his spy, got a copy of the original letter which was stolen out of the Pope’s cabinet, while he slept.” Walsingham, one peiceives, was resourceful. But the incident is a mere comment on the times. There were conferences in London, and Elizabeth sent Drake with thirty sail to ravish the Spanish coast. Thomas Lediard, Gent., tells of it: “They got intelligence that there was a great store of ammunition and provisions at Cadiz and thereabouts, which lay ready to be sent to Lisbon.” Drake accordingly went to Cadiz, forced six gallies to retire under the shelter of the castle “and then took, sunk or burnt about a hundred ships which lay in the bay and in which were great quantities of ammunition and pro visions. Among others was a great new galleon of 1,200 tons, belonging to the Marquis of Santa Cruz; and a rich merchant ship of Ragusa, of 1,000 tons and 40 brass guns. All this service was performed in one day and two nights, with very small loss.” Despoiling the coast and its shipping con tinued. The Marquis of Santa Cruz was chal lenged to an engagement but was, “upon no account, to be brought to it; but suffered Drake to spoil the coast, and plunder and burn ships there, to the number of 100 more, without control.” In Drake’s fleet there “were several large ships belonging to the City of London,” and Lediard explains: “Sir Francis Drake perceiving that though he had done important service for the state, by this successful attempt, yet it would not give satis faction to the merchants, who were adventurers in the expedition, and expected some present real gain, in return for their disbursements; for this reason he steered his course from Cascals towards the islands of the Azores, and near the Island of St. Michael, falling in with a large Spanish Carrack, called the St. Philip, bound homeward from the East Indies, richly laden, he soon became master of her. “The taking of this ship was of a greater advantage to the English merchants than the value of her cargo to the captors; for, by the papers found on board, they so fully under stood the rich value of the Indian Merchandises, and the manner of trading into the Eastern world, that they afterwards set up a gainful trade and traffick, and established a company of East India Merchants." Who could be more naive than Thomas Lediard, Gent.? In these few graphic words he describes almost as of little significance, one of the master strokes of luck and courage that went into the founding of the British Empire! But he had seven centuries of operations at sea to cover: it must suffice to say that a gainful trade and traffic was set up, and the East India Company established. However, certain reflec tions cannot be avoided. A Drake defeated by the St. Philip, and, possibly, no India and no Gandhi problem today. Greater daring in the Marquis of Santa Cruz, and victory over half of England’s strength that later crushed the Invincible Armada. England today fortifies Singapore because on that day Drake easily became master of the carrack St. Philip with its secrets of trafficking with East. “The provisions and stores which the Spaniards lost at Cadiz,” remarks Thomas Lediard, Gent., “the taking of the gallions and the carrack, and the rest of the damages they sustained, obliged Philip to defer, at least for this year, his projected expedition against England. “These were not, however, the only causes which retarded this expedition. A master stroke of policy of that great statesman, Wal singham, did not a little contribute to it. This wise minister had not so mean an opinion of the We Have The Largest and Most Complete Stock of Drygoods in the Philippines If you need silks, linens, cottons, or notions you can serve yourself best by choosing from our large stocks We also carry haberdashery, and make men’s suits and shirts Manuel Pellicer y Co., Inc. 44 Escolta, Manila Phone 2-11-06 merchants of London, but that he employed them, and they were the happy instrument of executing what he had projected; for, by their means, he got all the Spanish bills, which were to supply the King with money to carry on the preparations, protested at Genoa. Sir Wil liam Monson, who does not always speak the most favorably of these expeditions, concludes his account of this by saying, ‘This voyage proceeded prosperously, and without exception; for there was both honour and wealth gained, and the enemy was greatly damaged’.” But the next year, 1588, the armada was dispatched, formidable in tonnage, guns, men, and supplies, but no longer of invincible strength as had been boasted. “In the space of one month, and with the loss of only one small ship and 100 men, was brought to destruction that formidable armada which had been three whole years fitting out, at an incredible expense, and which had made all Europe tremble. The loss of nobility and gentry on board this fleet was so great, that there was hardly a family in Spain but was mourning on this occasion; and King Philip was obliged, by proclamation, to shorten the usual time; as the Romans of old, upon their great defeat at Cannas, found it necessary to limit the public grief to thirty days. Peoples Bank and Trust Company Manila, P. I. Branch at San Pablo Capital, Surplus and Reserves Pl,027,833.89 Acts as Trustee of Corporation Mortgages, Fiscal Agent for Corporations and Individuals, Transfet Agent and Registrar. Depositary under plans of reorganization. Acts as Executoi, Administrator, Guardian, Trustee, Receiver, Attorney and Agent, being especially organized for careful management and settlement of estates of every character. Securities Held on Deposit for Out-of-town Corporations and Persons We Pay Per Annum on Savings Accounts 5% Per Annum on Fixed Deposits Wm. J. N. E. Mullen. President Fred A. Leas, Vice-President Carlos Palanca, Vice-President W. J. Odom Francisco Ortigas W. Douglas. Treasurer Castor P. Cruz, Secretary “In the meantime, England resounded with acclamations of joy. The Queen, having made a public thanksgiving, with great solemnity, at St. Paul’s, applied herself to distribute rewards to the Lord High Admiral and the officers and Seamen of the Fleet, for their gallant behavior.” We may in fact have no doubt that with right good glee the men and officers of England’s fleet spliced the main brace, indulged in that famous libation to victory they mutually partake of, and have as an inheritance from their Saxon fathers and the wassail bowl. But fie upon Sir William Monson, a noble knight, who could not always speak favorably of Elizabeth’s expe ditions!—of Walsingham’s schemes! Could he not visualize a decadent Genoa, a Rialto in Venice no longer an international bourse, the riches and resources of them both transferred to the pugnacious city on the Thames, with its' merchants engaged in gainful trade and traffic with the Eastern world? Some will ever cast aspersions. Our good Thomas Lediard, Gent., is not among them. He leaves Drake tugging home the carrack, and takes the reader voyaging with Cavendish, “the second English circum navigator, who like Drake was a severe scourge to the Spaniards.” —W. R. DIRECTORS f, Chairman of Board Julius S. Reese, Chairman, Executive Committee R. J. Fernandez, Vice-President Edwin Burke Emil M. Bachrach A. T. Simmie Ladislao Samson, Asst. Treasurer Nicasio Osmefia, Asst. Secretary IN RESPO NDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 30 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Patrolman Waite Waited Long for Laguna Land ❖ <§> <§> What Would Be Rotten in Denmark, Only That It's Over Here When Frank Waite got word in February that he had fallen heir to an estate of undeter mined but evidently considerable value from his foster mother, who left several southern Cal ifornia town and city properties, the Journal Flailing Rice made occasion to interview Waite in his home out in the government’s half of the San Lazaro estate. On a modest little street out there, Frank Waite owns a little house and lot making a comfortable home for him and his wife, who have no children. No matter how much he may have inherited, whether $1000 or $100,000, Waite is going to keep this little home and keep on living there. He has decided that much, assuaging the natural misgivings of a helpmeet no longer young. The Journal believes it can tell something of the story of Frank Waite in the Philippines, and illustrate thereby one of the fundamental Luzon Stevedoring Co., Inc. Lightering, Marine Contractors Towboats, Launches, Waterboats Shipbuilders and Provisions SIMMIE 8s GRILK Phone 2-16-61 Port Area inadequacies of the government. Though the story relates the experiences of an American pioneer, the reader must bear in mind that it has no peculiar American angle. Precisely the things that happened to Frank Waite on the border here, happen to Filipino pioneers num bered by thousands; and similar things would have happened in America, to thwart the pion eers, if the homestead border had been left in the amorphous condition, legally speaking, of our own: if the boundaries of the public lands and the titles thereto had not been determined: if the business of the public lands had been for the account of the struggling territories, and the settlers had been at the mercy of the terri torial courts and executive administration: if the tracts set aside for settlers had not been surveyed, and the corners of the homestead parcels marked so that a settler could ascertain the survey numbers and preempt a claim. Born in St. Louis, Mo., about 50 years ago, Frank Waite was orphaned before he was five years old, when he was legally adopted by the Waites, farmers owning and working about a section of land in Riley county, Kansas, Clay Center being the county seat. In this region of the United States, John Cowper Powis tells us, after the repeated observations during his travels everywhere in America—he being a poet and philosopher observant of such things—the purest pioneer American stock remains: in the section of Missouri where Waite was born, in that section of Kansas where he was raised on a big farm, in Oklahoma to the south, and in the bordering section of Arkansas and adjacent portions of Texas. Here Waite was born to the soil and reared upon the endless struggle with it, just as our thousands and thousands of Ilokano boys are born and reared in the Philippines. For 14 years he worked on that huge Kansas farm, getting a little schooling in the winter time, but never so much as a common-school education. This privation, however, did not rob him of his soily sagacity and common sense, characters which are native in his blood. Hard work, thrift and honesty were, and are, his native virtues. After interviewing him, the Journal avers that his principles are of the highest: the main difference between men like Waite and the more eminent men of their times is the knowl edge contained in a dozen books which the neces sity to work prevented them from acquiring. Lacking this knowledge, they remain producers of wealth. One winter Waite could not attend school at all; that was the winter he husked and binned 5000 bushels of corn, his foster father being away from the farm on business. Ever since he has been in the Philippines, the soil has been calling Frank Waite with an insi dious invitation his virile muscles could not resist; he has wanted to do here the hard farm jobs of his youth in Kansas. But conditions which ought not to exist have made impossible the fruition of his ambition; time and time again they have driven him away from the soil, and at last he is a mendicant like us all, subsisting himself upon what others produce. Thus the Philippines drive their sons from the soil, just as they drive away the American. Waite came to Manila as a volunteer soldier for the campaigns of the insurrection, joining the city police force when it was organized in 1901. Presently he married, secured a lot out on calle Batangas in the district where he now lives, and built a house on it. The land was considerable, Waite and his wife improved it, filling it in and planting gardens and trees. Their habits were sober and frugal, they lived simply and saved money with the object of putting it into this place, which at last they had to give up. Earnings were too small. Waite and his young wife moved away. Their next venture in home-buying was on calle Felix Huerta, lease with the right to pur chase. Here they filled in the land, larger than their first piece, and they added poultry to their fruit trees and their gardens. But again cir cumstances were overwhelming, Waite sold the little homestead for what the house alone had cost him, 1’1500. Lumber was cheap in those early years, Waite had built the house himself; but he got nothing for his work, nothing for his wife’s work, which was a great deal more than even his own. “She worked like a slave,” he says, “and we lost it all. But I told her we’d make it back, that she’d always have a home, and that the next land we built a house on would be ours.” He kept his word. “My foster father was always a man of his word,” he says, “and he raised me that way too. He never had no use for no feller that couldn’t keep his word.” In the course of years Waite became a guard at Bilibid and built where he now lives, disputes being at last cleared up so that he could get title to the lot. He built a house of strong materials, worth about 1’10,000, in the confi dence that he could obtain insurance, as no nipa structures were to be allowed in the neighbor hood. But after he had built, the vacillating city rescinded its original decree and let nipa into the district. Waite couldn’t get insurance, IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 31 and in a fire six years ago, remembered as one of the most cruel which the city has suffered, Waite’s home burned to the ground. The one he has been able to build since, now clear of the loan association, is worth about half what the first one was. What losses! to a man no longer in the prime of life, struggling along on a patrolman’s salary! Thus the government saps the people’s sub stance. The man who bought the Felix Huerta prop erty offered to stake Waite at homesteading, and, with three other men, one of them Dad Spengler (as Waite pronounces it) from St. Louis, who, incidentally, has taken his family back to Missouri and is doing well, Waite leased land near Jalajala, on Laguna de Bay, from the government. Many things could be grown, and some crops would return cash almost im mediately, so that prospects were excellent. The four American farmers, all veteran friends, raised and marketed green fodder, getting as much as $400 from a single acre, while other fields were prepared for fruits, coconuts, etc. Planting Rice But as soon as. a few acres were under cultiva tion, claimants appeared for the land and a border quarrel ensued. The lessees were ad vised to forfeit their leases, move off the land for 48 hours, then move back to it and file home stead claims, which they did. The quarrel then became the government’s; if the government won, the men would have their homesteads. But the situation was such that it was useless to go ahead; sabotage, the incendiary, the stealthy belligerence common the world over to the peasant type, made the game not worth the candle, and the settlers returned to their jobs in Manila. Three years later they were summoned to court, the long notice being in Spanish, which required interpretation. Waite went to see Spengler, living in Pasay, and on the appointed morning, at the stipulated hour, the two appeared in court, where the judge arrived sometime later and opened the session— in Spanish. Waite and Spengler were duly sworn, to gether with another witness who testified in dia lect for about two hours, the judge disesteeming his testimony, which failed to hold together. Waite and Spengler were therefore not examined. “Senior Waite!”, said the judge. Waite stood up. “The land is yours!” “Senior Spengler!”, said the judge. Dad Spengler stood up. “The land is yours!” The session closed, the witness and his lawyer departed, the judge retired to his chambers for meditation. Waite and Spengler, left alone in the courtroom, turned to each other. Waite said, drawing a hand from his trousers’ pocket and scratching his head: “Dad, I wonder what the hell land he means?” Said Dad Spengler: “Damned if I know, Frank, unless it’s them damned homesteads out yonder in Laguna!” These men, with families to support, had been driven so far away from Laguna de Bay by cir cumstances, in the interim elapsed since their THE MANILA HOTEL LEADING HOTEL IN THE ORIENT Designed and constructed to secure coolness, sanitation and comfort under tropic climatic conditions Provides every Western convenience combined with every Oriental luxury Finest Dance Orchestra in the Far East Management - - WALTER E. ANTRIM claims were filed, that the claims were wellnigh forgotten. Governments ought always be aware of the fact that most of the people governed are compelled to earn a living every day, and if it cannot be earned at one occupa tion it must be earned at another. Time cannot be lost, nor the law’s delays counted upon. Waite wanted to go back to the claims, but Spengler wouldn’t go; apparently the other two original homesteaders had left the islands or died. Again the Journal would say that this sort of thing happens to Filipinos more than to Americans, there being far more Filipino ap plicants for land. It’s an agrarian, not a racial question. Make Your Money Work For You The sooner you open your account, the sooner it will begin to work. Our Savings Accounts Department is anxious to assist you. Do not worry about your time. We will give you quick and efficient service. Your time is gold and so is ours. 4J4% interest annually, added and compounded quarterly Do your Banking by mail Our provincial customers are highly satisfied with our banking process and their deposits are mailed to us regularly. Won’t you be one of them? One Peso will open a Savings Account with us Write us for further particulars regarding Savings Accounts Philippine Trust Company Commercial and Savings Bank “The Good Service Bank” Tel. 2-12-55 Plaza Goiti, Manila P- O. Box 150 Waite still hungered for land, and found some homestead country in Nueva Ecija, where he mapped roughly several homesteads which he and some friends applied for. Observe that he always gathered about him other men, and that his success, if it could have come to pass, would have meant the success of a little community. In Cabanatuan, at the land office, the men were told that their applications couldn’t be accepted. At the head office in Manila they were told the applications would be accepted, that the land was public land beyond doubt. (But it wasn’t beyond doubt: the government had not cleared up the doubts and wiped out rival claims). Before going farther, since by this time his con fidence in governmental assurances was not as firm as it had been, Waite ascertained what the fate of other settlers in that vicinity had been. When he had done this, he did not go back to the land in Nueva Ecija; he kept his job on the police force in Manila, which he still holds, as watchman at Malacanang palace. About 1912 his foster father sold the Kansas farm for $10,000, auctioned off the livestock and chattels of all sorts and moved to Cal ifornia, where he bought and developed orange lands—like Filipinos forced out of the Philip pines are commencing to do, there being 25,000 of these young farmers settled in the Sacra mento Valley. The Waite estate in California is now worth some $150,000 or $200,000. When the elder Waite took a claim in Kansas, the government had title to the land and had sur veyed and marked it into claims; the home steader had but to put the plow to the furrow and prepare and sow his fields. In California his capital and his labor enjoyed like security. He prospered. With no less goodwill, character and determination, his foster son could not duplicate his success in the Philippines. Why he could not is what provokes emigration and keeps the islands poor. ■IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 32 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Philippine and Arctic Contrasts and Comparisons NOTE.—Smiling, ingratiating on the instant, but persistent and indomitable, Junius B. Wood, one of the greatest living world-news correspondents, penetrated the Russian arctic to Murmansk this spring to see what there was for to see and note it all down for five special articles for the Chiratio Daily -V< «-s I'orciyn Seriicr. With due acknowledgments to the Chicano Daily Xmt the Journal will publish Mr. Wood’s sparkling series, running single articles from time to time as space permits, because of the contrasts and comparisons between extreme geographical regions, subtropic and subarcti- Ed.' n Murmansk, U. S. S. R., March 7.—Just as every village in the United States has a band stand, every settlement in the Soviet Union has its tribunal. Making speeches is an important part of bolshevik culture. Philosophers say that the Russian was deprived of free speech for so many centuries that, after the revolution, his ears were starved. Murmansk has a two-story, concrete tribunal, the only thing rising through the smooth snowcovered surface of the big public park east of the two-story building of the Gubispolkom (provincial executive committee). The tribunal is strung with colored incandescent lights and at night shines as an eternal beacon, until day light shows that it is a shrine as well as spell binders’ rostrum. Underneath is a new monu ment, also of concrete, with a bronze slab show ing a five-pointed star and the legend: “To the victims of the intervention of 1918-20 in Mur mansk. Workers and fishermen. Erected in the 10th year of the great October.” How many and who were the victims is not enumer ated but the allies and the United States are remembered. Nature’s generous oblitering mantle of snow is not sufficient to cover the stains of civilization in this boom city of the north. Refuse is stark in the snow-trodden streets, slops thrown from the doors freeze into dull, No Disposal unwholesome gray, while goats System and snapping dogs supplant carrion buzzards of torrid climes as the city’s only sewer system. The railroad divides the hill which curves along the bay. Below is the harbor and old town with an occasional forgotten sign telling of allied occupation and the same rounded cor rugated tin roofs of Nissen huts which marked British sectors in France. A higher hill cuts off the view toward the Arctic ocean. Between the hill and the railroad is the new city—a sprawling two-story log hotel, a cooperative store of concrete bricks, a public park with a ski slide, a postoffice, a prison stockade, scattered storesand straight streets of log houses. On the windswept peak a little house was buried to its roof while at its side half a dozen men were digging a pit in the ten feet of snow for the site of another—home building under difficulties. The public market, two long low buildings divided into little cubicles for private stores, is beyond the square. About one-fourth of them are closed and empty, showing the inroads of the state-encouraged cooperative. Candles were asked for in one. The alert proprietor knew it was something about light and promptly un screwed an electric bulb and handed it across the counter. A customer attempted to interpret and the proprietor produced a fur cap. More head shaking. “Do you speak English?” he finally inquired. “Oh, you want a'candle, that’s easy.” “Museum open every day—-free!” was the sign on the door of a little building. It was the only museum, art gallery, exhibit or other show which I saw free in the Soviet Union. A quiet young man inside made visitors Land of not only free but welcome. His the Lapps eyes lit up as he explained the stuffed fish and seals, bones of whales, samples of grain which may be grown in the arctic and the inevitable charts of progress in schools, health, communist cells and other culture. The Kola peninsula, of which Murmansk is the capital, is the Russian, or eastern end of Lapland which stretches across Norway, Sweden and Finland. According to Vassily C. Alymov, the well-informed local statistician, there are only 30,000 Lapps in the world, of whom 1,708 are in Soviet Russia, all in the Kola peninsula. The remainder are divided roughly: Norway, 20,000; Sweden, 6,500, and Finland, 2,000. The peninsula’s 49,614 square miles of alter nating snow and swamp has a population of 23,000, classified as: Russians, 16,800; Lapps, 1,700; Finns, 1,380; Sirjan, 700; Ijentzi, 600, and Samoied, 230. Raising reindeer in the interior and fishing on the coast are the chief occupations beyond supplying local needs. The catch of 5,000 Murmansk fishermen in 1927, mostly by trawlers, was 28,000 tons, of which cod made 10,700. Salmon was next with 300 Kola, six and one-half miles south of Mur mansk, is the oldest settlement on the peninsula, mentioned in history in 1264 and as a town in the sixteenth century. Varzuga, on the south coast on the White sea, started in 1419. Alexandrovsk, twenty miles north of Murmansk, with an arctic natural history museum, was located in 1899. Even in those days this was accessible only after weary days of plodding through swamp or snow. When the railroad, which made Murmansk the present arctic metropolis, was being pushed north in 1916, 100,000 laborers were employed, 20,000 brought from China. Two, with trays of cigarettes and indigestible Chinamen Out candies, were outside of one of Luck of the town’s three movie theaters. “I come Chefoo,” one admitted. “Yes, I’ve been in Chefoo,” I added, and business dissolved into a torrent of Chinese. The other came over. “He’s Tsinan man,” the first explained. They rattled questions in limping Russian about China. A Russian girl with felt boots and an overload of vodka reeled affectionately into the From Every From All Trace of Earthy Microbe Life THE FAMOUS RADIO-ACTIVE NATURAL WATER TAN SAN STANDS ALONE! Willamette logging engines are leaders in the forest throughout the world o, . All parts arc built oversize Sturdy Construction: to ;„vide ample safety margin for the hardest work. This is responsible for the low maintenance cost and remarkably long life of Willamette Yarders. WILLAMETTE Offices and Bodegas in Manila Address inquiries to Manila and Zamboanga or Zamboanga Spare parts carried in stock in Manila and Zamboanga by SOLD EVERYWHERE MEYER-MUZZALL COMPANY 221 Pacific Building, Manila \ IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 33 circle, but thoughts were far away with the ancestral gates and old pagodas of sunny Shan tung. “We go back when we got enough money,” he said solemnly—twelve years of pinching kopeks since the railroad was finished and still not enough. Mr. Wood’s next article will appear soon. Often contributing to the Geographic, he now has a book out, Incredible Siberia, The Dial Press.—Ed. COPRA AND ITS PRODUCTS By E. A. Seidenspinner Vice-President and Manager, Copra Milling Copra.—The local copra market has been characterized by weak ness during the entire month of July. Sellers’ offerings for nearby and future positions have been liberal, and with further bearish reports from foreign markets, prices at Manila regis tered a net decline of 25 centavos per picul Ar rival Resecado basis during the month.'Re viewing conditions in the American market, it seems quite probable that a further drop must take place here during the comingmonth, although we believe the decline will be gradual. The arrivals at Manila for July, totaling 396,005 bags, were heavier than those of the correspond ing month for the preceding five years. Notwith standing the strength of Manila receipts during July, the total deliveries at Manila, January to July 31, were approximately 75,000 bags less than for the corresponding period of 1927. The U. S. copra market also ruled weak during July with buyers claiming purchases of South Sea parcels at the equivalent of 4-13/16 cents. However, it is probable that up to 4-7/8 cents would be paid for F. M. M. copra delivery up to the end of the year. The European market for this item eased off with the American market and from a high of £26/0/0 F. M. M., it is now reported dull at £25/10, 0. Latest cable advices follow: Manila, Pl2.25 to Pl2.375 godown stocks; London, Cebu £25/15/0, F. M. M. £25/10/0; San Francisco, Sellers S.05 F. M. M., Buyers S.04-3/4 to S.04-7/8. Coconut Oil.—Locally, asking prices for coconut oil in drums have been reduced 1/2 of a centavo per kilo and the market is quoted quiet at 34-1/2 centavos. The U. S. coconut oil market dropped 1/4 of a cent per pound during the month due primarily to the very bearish cotton crop data and nearby selling pressure. During June, weather conditions in the cotton belt were very unfavorable with a predicted crop of 13,000,000 bales. At this writing, due to excellent weather during July, it is believed in many quarters that final figures will show a production of 15,000,000 bales. This develop ment caused a liberal discount in fall positions for cottonseed oil, and with nearby selling pressure in coconut oil the outlook for materially improved prices for the remainder of the year is exceedingly gloomy. Latest cable advices follow: San Francisco, S.07-3/4 f. o. b. tank cars, sellers, with limited buying; New York, S.08; London, no quotation. Copra Cake.—European bids for this item were well sustained during the month despite temporary quietness due to periodic withdrawal of buyers from the market. Potential demand is good up to the end of the year and prices paid for copra cake are better than those offered for other feeding stuffs. Latest cable advices follow: Hamburg, £10/5/0 market steady; San Fran cisco, $41.00 of 2000 lbs. meal, nominal. Manila, Buyers P74.00 to P75.00 per metric ton, Sellers P76.00 to P78.00. Manila, P. I., August 4, 1928. REVIEW OF THE HEMP MARKET By L. L. Spellman Macleod and Company This report covers the markets for Manila hemp for the month of July with statistics up to and including July 30. U. S. Grades The New York market has remained quiet through out the entire month with the buyers show ing little, or no, inter est. At the first of the month shippers were offering the following prices: E, 13-3/4 cents; F, 10-5/8 cents; G, 8-3/4 cents; I, 10 cents; JI, 9-5/8 cents; SI, 10-3/8 cents; S2, 10 cents; S3, 9-5/8 cents. By the middle of the month E had declined to 13-1/8 cents with the other grades about 1/8 of a cent lower. The market closed with shippers offering a fair quantity on the basis of E, 13-1/8 cents; F, 10-1/2 cents; G, 8-3/4 cents; I, 10 cents; JI, 9-1/2 cents; SI, 10-1/2 cents. The grades of S2 and S3 were not being offered. The market in Manila for U. S. grades has remained fairly steady, and the fluctuations during the entire period were less than 25 cents per picul on the average. There does not seem to be any excess quantity on the market for sale, neither do the exporters appear at all anxious to buy. Prices are as follows: A, P42.00; B, P38.00; C, P36.00; D, P33.00; E, P30.00; F, P24.00; G, P18.75; H, P16.25; I, P22.5O; JI, P21.50; SI, P23.50; S2, P22.50; S3, P21.50. There has been probably more sales of the better grades made in the U. K. and Japan than in the U. S., and this probably accounts for the market remaining fairly steady. London: Beginning the month shippers were offering at the following prices: J2, £37.10/-; K, £31.10/—; LI, £31.10/-; L2, £27.5/-, Ml, £27.5/-;M2, £26.15/-; DL, £26.15/-; DM, £25. About the middle of the month the market was easier, and prices declined about ten shillings a ton on the average. Towards the end of the month there was a slight reaction due to a fair amount of selling, and the market closed fairly steady with shippers offering at the following range of 786,167 715,936 Total............................ The finest of Manila fibers—careful craftsmanship Johnson Pickett Pure Manila Rope For marine use, for the plantation and farm, for lumbering, for the mine,—wherever rope is required JOHNSON-PICKETT ROPE CO. P. O. BOX 1457 MANILA, P. I. “PICKETROPE” prices: J2, £37.5; K, £30.5; LI, £30.5; L2, £26.15; Ml, £26.15; M2, £26; DL, £26; DM, £24. The end of the month the buyers were showing rather more interest, and the prices quoted were being obtained. Japan was taking a fair amount from only districts giving good grades. In Manila the shippers were paying the follow ing prices on the first of the month: J2, £12.2; K, £14.2; LI, £14.2; L2, £12; Ml, £12; M2, £11.6; DL, £11.6; DM, £10.6. About the middle of the month prices had declined to the following: J2, £17.4; K, £13.4; LI, £13.4; L2, £11.4; Ml, £11.4; M2, £11.2; DL, £11; DM, £10.4. At the end of the month the nominal market was 25 cents per picul higher, but the shippers were not so much interested due to the low prices prevailing in the consuming markets. Japan:—Buying for the Japan market of all grades was, no doubt, restricted considerably by the decline in exchange. The heavy rains and storms in a number of the hemp producing sections have naturally interfered with production; notwithstanding receipts continue to be fairly heavy. There seems to be differences of opinion as to what effect the present activity of Mt. May on will have on hemp production and directly on the hemp market itself. The district immediately surrounding the volcano produces a large quan tity of hemp, principally of the U. K. grades. Many of the plantations have been seriously affected, and it may result in considerable over cleaning in order to save what they can, and this will affect production later on. Freight Rates: There is no change in the rates on either fibre or manufactured cordage since the last report. Statistics: We give below figures (in bales) for the period ending July 30: Manila Hemp On hand January 1st........... Receipts to date.................... 1928 1927 139,624 112,382 781,312 742,106 Supply to date............... 920,936 854,488 Shipments since January 1 to— United Kingdom.................... 203,856 Continent................................. 121,424 United States.......................... 207,762 Japan........................................ 187,929 All Others............................... 30,196 Local Consumption............... 35,000 194,979 78,363 230,077 150,793 28,724 33,000 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 34 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 SHIPPING REVIEW By J- E. GARDNER. Jr. .IUih.C General Agent. The Robert Dollar Company The decrease in the total movement of cargo from the Philippines as mentioned in our last report continues, as for the month of June there was a total of 104,878 tons of cargo exported as against 111,182 tons for May. The move ment of certain com modities, however, is very active, especial ly cigars, embroideries, desiccated coconut. The statistics f<?r the first six months of 1928 as compared with 1927 show some very interest ing developments. The exportation of desic cated coconut has increased 50% and cigars 20%: sugar to both the Pacific and Atlantic coasts increased approximately 7%. On the other hand, hemp to the Pacific coast decreased approximately 8% and to the Atlantic coast 20%. There has, however, been a good move ment of hemp to European ports, this having increased approximately 20%. The present controversy between the coco nut oil mills and the copra shippers regarding direct loading at outports is being watched carefully by most steamship lines. In recent years the loading of copra, sugar, logs and lumber at various Philippine outports has been increas ing, so the final decision of the governor general on the protest of the coconut oil mills is awaited with great interest. From statistics- compiled by the Associated Steamship Lines there were exported from the Philippines during the month of June, 1928: to China and Japan ports 10,697 tons, with a total of 45 sailings, of which 3,310 tons were carried in American bottoms with 13 sailings; to Pacific coast for local delivery 25,404 tons, with 13 sailings, of which 18,324 tons were carried in American bottoms with 9 sailings; to Pacific coast for transhipment 3,491 tons with 10 sailings, of which 3,414 tons were carried in American bottoms with 8 sailings; to Atlantic coast 47,647 tons with 13 sailings, of which 16,794 tons were carried in American bottoms with 4 sailings; to European ports 16,944 tons with 19 sailings, of which 516 tons were carried in American bottoms with 2 sailings; to Australian ports 695 tons with 4 sailings, of which American bottoms carried none; or a grand total of 104,878 tons with 70 sailings, of which American bottoms carried 42,358 tons with 16 sailings. From statistics compiled by the Associated Steamship Lines there were exported from the Philippines during the first six months of 1928, 76,300 tons with a total of 253 sailings, of which 40,914 tons were carried in American bottoms with 79 sailings: to Pacific coast for local delivery 164,391 tons with a total of 74 sailings, of which 106,257 tons were carried in American bottoms with 57 sailings; to Pacific coast for transhipment 14,051 tons with a total of 58 sailings, of which 13,416 tons were carried in American bottoms with 48 sailings; to the Atlantic coast direct 407,589 tons with a total of 99 sailings, of which 196,506 tons were carried in American bottoms with 37 sailings; to European ports 94,167 tons with a total of 105 sailings, of which American bottoms carried 2,221 tons with 14 sailings; to Australian ports 5,102 tons with a total of 22 sailings, of which American bottoms carried none; or a grand total of 761,600 tons with a grand total of 405 sailings, of which American bottoms carried 359,214 tons with a grand total of 108 sailings. Passenger traffic as a whole during the month of June showed a decrease over that of May, there being a total of 2078 passengers, all classes, departing from the Philippines; while during May there was a total of 2400 passengers departing. (First figure represents cabin passengers, second figure steerage): to China 8s Japan 168-529; to Pacific coast 69-543; to Honolulu 4-729; to Straits Settlements 15-0; to Mediterranean ports 21-0. Shipping Personals “Vic” Smith, assistant director for Orient, U. S. Shipping Board, returned to Manila August 2 aboard the ss President Cleveland from a business trip to China and Japan. THE YOKOHAMA SPECIE BANK ■ ■ LTD. =^====== (ESTABLISHED 1880) HEAD OFFICE: YOKOHAMA, JAPAN Yen Capital (Paid Up) - - 100,000,000.00 Reserve Fund - 99,500,000.00 Undivided Profits 7,223,536.48 MANILA BRANCH 34 PLAZA CERVANTES, MANILA K. YABUKI Manager PHONE 2-37-59—MANAGER PHONE 2-37-58—GENERAL OFFICE Mrs. G. P. Bradford, wife of the general agent in Manila for the Columbia Pacific Shipping Company, together with their three children, arrived in Manila August 2 aboard the ss Pres ident Cleveland, having spent almost a year in the United States. Dan Gould of the Seattle office of the American Mail Line, together with Mrs. Gould, spent a week in Manila during the latter part of July and departed on the ss President Garfield August 1, continuing their trip around the world. Mr. and Mrs. Gould were recently married in Seattle and are on their honeymoon. Mrs. Gould is the daughter of A. F. Haines, vice president of the American Mail Line. R. C. Morton, director for Orient, U. S. Shipping Board, was confined to his home on account of illness during July, but we are glad to report that he has now recovered and is back on the job. T. B. Wilson, general agent for the Dollar Steamship Line at Hongkong and formerly with the Manila Office, arrived in Manila August 6 aboard the ss President Madison. Mr. Wilson is spending about ten days here before leaving for the United States on a holiday. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 35 (Continued from page 28) vidual. The president of the board was clearly only a presiding officer. However, as the Phil ippine insurrection drew to a close in the spring of 1901 and the improvement in the military condition of the archipelago warranted the establishment of a complete civil government, and the substitution for the office of military governor of one of a civil character, the plan of a collegiate executive underwent transforma tion, and on June 21 the Secretary of War issued to the president of the commission an appoint ment as civil governor of the Philippine Islands, with the power to “exercise the executive author ity in all civil affairs in the government of the Philippine Islands heretofore exercised in such affairs by the military governor of the Phil ippines.” The appointment provided that “the power to appoint civil officers, heretofore vested in the Philippine Commission, or in the military governor, will be exercised by the civil governor with the advice and consent of the commission.” The military governor by the same order was relieved from the performance of civil duties, although his authority was to continue in dis tricts where insurrection still continued or public order was not sufficiently restored. Under date of October 29, 1901, President Roosevelt ap pointed Mr. Luke E. Wright “vice-governor” with authority to act in the absence or incapa city of the civil governor. The tendency of “government by commis sion” is to work away from the principle of col legiate responsibility with which commission government begins, and commit specific respon sibilities to individual members. As a con sequence, unless by a rigid practice all important actions of individual members are reviewed and approved in commission, the principle of joint responsibility is impaired. This was the develop ment which the Philippine Commission even tually underwent. Acting under instructions from the Secretary of War on September 6, 1901, the commission enacted Act No. 222, which provided for the organization of four departments: Interior, Commerce and Police, Finance and Justice, and Public Instruction, to the head of which departments the President, through the Secretary of War, appointed the four original colleagues of Mr. Taft. Section 5 of this act provides that the secretaries shall exercise the executive control conferred upon them under the general supervision of the civil governor, and that the executive control of the central government over provincial and municTOBACCO REVIEW Alhambra Cigar and Cigarette Manufacturing Co. Raw Leaf: Manila market continues very quiet. Exports decreased all around as shown by following figures for July shipments: Leaf Tobacco an,I Scraps Kilos China............................................. 9,359 Hongkong..................................... 43,743 Japan............................................. 37,800 North Atlantic (Europe)......... 14,995 Spain.............................................. 204,102 Manila to New York via Suez and Europe See the Old World on your trip home. Stops of several days in many ports. You can travel through Europe and catch our boat for New York via Southampton, England, at Bremen. “The Most Interesting Trip In The World.” NORDDEUTSGHER LLOYD ZuelJig & von Knobelsdorff Agents 90 Rosario, Manila Phone 22324 ipal governments and the civil service should be exercised directly by the civil governor through an executive secretary. 2«Girault, Prindpcs ./<■ Colonisation c( ,le Leuislalioii Colonialc (1904), vol. 2, pp. 388-389. 2< Printed in Public Laws o' the Philippine Commis sion. vol. 1, p. 43 ff. __________ (Conclusion in September) Straits Settlements................... 1,176 United States............................. 93,316 404,491 1928 Crop: Sporadic buying, mainly in the Cagayan districts, has been reported during the past month; prices vary. The quality, especially of Ysabela Tobacco, is considerably below average. Cigars : Exports to the United States continue to be much higher than last year’s. July ship ments fell off somewhat against preceding month. Comparative figures are: July 1928, 17,228,142; June 1928, 17,908,204; July 1927, 14,664,998, all in units of cigars. AMERICAN MAIL LINE DOLLAR STEAMSHIP LINE COMBINED TRANSPACIFIC SERVICE SAILING ONCE A WEEK The “President” Liners Offer Speed—Service—Courtesy—Comfort Excellent Food, Comfortable Cabins, Broad Decks, American Orchestra, Dancing, Swimming Pool, Sports SAILING ONCE A WEEK TO SAN FRANCISCO AND LOS ANGELES via Hongkong, Shanghai, Kobe, Yokohama, and Honolulu SAILINGS ON ALTERNATE FRIDAYS ROUND THE WORLD Sailings every fortnight President Harrison - - Aug. President Monroe - - Aug. President Wilson Sept. President Van Buren - - Sept. President Hayes - Oct. President Polk - Oct. 24 Calle David MANILA VICTORIA AND 15 SEATTLE 29' via 12 Hongkong, Shanghai, Kobe, 26 and Yokohama 10 24 SAILINGS ON ALTERNATE SATURDAYS Telephone No. 2-24-41 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 36 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Message of the Governor General to the Eighth Philippine Legislature (Delivered by His Excellency in the Hall of the House of Representatives on July 16, 1928) Gentlemen of the Legislature: It is my privilege and pleasure to extend to you a cordial welcome to Manila. My first duty is the pleasant one of expressing my desire and hope that we shall have the most sym pathetic mutual cooperation in the common task of government which is imposed upon us and of making to your honorable body, on behalf of myself and the other members of the executive branch of the Government, a sincere tender of such cooperation. The fact that the Legislature and the Governor General approach each other for this cooperation, from two different sources of appointment and from different constituencies situated in widely separate lands, is due to no faulty accident of our Organic Law. On the contrary, it is merely indicative of the true character and complexity of the problem which these two branches of our Government must execute in cooperation with each other; namely, the problem of achieving here in the Orient on the part of the Filipino people, with the friendly assistance of Occidental America, a new political, industrial, and social civilization of a kind different from any of the governments or civilizations to which the Filipinos have been accustomed in the past. The year that has passed since the opening of the last legislative session has been an un usually quiet and prosperous one to the great body of the Filipino people. Generally speaking, public order has been excellent and health con ditions good with a notable freedom from epi demic diseases. No floods, typhoons, or similar natural disasters, have reached the magnitude of those frequently experienced in previous years. The country has passed through a gen eral election with most commendable freedom from disorder, although the department in charge of the supervision of that election has reported to me a growing and dangerous increase in the corrupt use oT money at the polls. The general condition of the country is reason ably prosperous, and the financial condition of the Government at the close of the fiscal year was very good. Thanks to the efforts of pre ceding administrations, aided by previous legis latures, the currency is now amply secured and the payment of the bonded indebtedness at its maturity is provided for by adequate sinking funds. In 1927, the revenues exceeded the expenditures of government by over three million pesos, and the balance sheet of the Government shows a surplus over all commitments of about seven million pesos. It must not be forgotten, however, that while the ordinary expenses of government increased last year by about five million pesos, and will necessarily continue to increase hereafter with the growth of population and of governmental activities in the Islands, the revenues for some years have been substan tially stationary and the surplus in the Treasury has, therefore, decreased and is necessarily decreasing. The provincial and municipal governments report an increase in the assessed value of prop erty and an improvement in the collection of taxes. The total trade of the Islands showed in 1927 an increase of over thirty million pesos over 1926. The area planted to most of our leading crops was larger than ever before re corded, the increase in the production of rice being particularly encouraging. Economic Development In my inaugural address I attempted to point out the importance of a greater economic de velopment of these Islands and the necessity of encouraging the entry of American capital for that purpose. I believe that problem is the fundamental problem of the Philippine Is lands today, underlying nearly all other problems, and it is the subject to which I now wish to direct the principal attention of your honorable body. Many years ago the Filipino people turned their faces from the Orient towards the West and accepted a Western civilization. With the progress of time, their tastes have become more firmly set upon the ideals of the Occident. Not only in their material surroundings are they grasping after and becoming dependent upon the comforts and advantages peculiar to a West ern civilization, but in their political ideals and in their education they are vigorously cultivating a mental aptitude and desire for such advantages. The improved roads and motorbuses which transport your people from province to province with an ease and rapidity undreamed of a few years ago are no more significant of this change than are the political and educational activities, the elections, the schools and universities, the libraries and museums, and the to her centers of Insular Lumber Company FABRICA, OCCIDENTAL NEGROS, P. I. OPERATORS OF Sawmills—Planing Mills—Dry Kilns—and Box Factory Output 50 million board feet annually MANUFACTURERS AND DEALERS IN BANDSAWN LUMBER TANGUILI RED and WHITE LAUAN BAGTICAN ALMON APITONG COMPLETE STOCK OF ALL SIZES ALWAYS ON HAND We solicit orders for special cuttings and milled stocks of all descriptions including— FLOORING—CEILING—SIDING—INTERIOR TRIM Kiln-dried or Air-dried Box Shooks made from Kiln-dried lumber exclusively Quality—Service government, education, recreation, and culture which are scattered throughout your land today. The Filipino people today constitute a com munity in the Orient filled with eager Western desire and hunger for the mental and material good things of this life, but are held back from a gratification of this desire by their failure thus far to achieve the mechanical and economic progress by which alone such desires can be gratified. At the same time, the Philippine Islands contain a wealth of natural resources which, under proper development, could be made to satisfy these unfilled desires of their people. These great resources have been left virtually untouched. In spite of this demand for material comforts, it is pointed out by experts that great masses of our population are today under nourished from lack of a proper food supply and suffer greatly from diseases arising from lack of nutrition like tuberculosis and beriberi; that they are scourged by other diseases, epidemic and otherwise, arising from preventable causes; and that all of this could be controlled or eliminated IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 37 by a wise expenditure of money if their Govern ment only had that money to expend. We find a similar situation in respect to the functions of government which touch the social, political, and intellectual activities of the people. The present wealth of the Islands will not sup port the taxation necessary to support such activities. Every man in this room is familiar with needed undertakings in his province, such as the construction of necessary roads and bridges, the establishment of better hospitals, public buildings and schools, additional courses of education, and other activities of a highly bene ficial character to his constituents, which cannot be undertaken owing to the limitations of the Budget. What is the cause of this singular anomaly? Why is it that a people who have shown such remarkable interest in and adaptability for the advantages of modern civilization, and have exhibited so much intelligence, self-sacrifice and zeal in their pursuit, and who at the same time are the heirs of such wonderful natural resources, should be held up and turned back at the very entrance to the Promised Land, like a thirsty Tan talus at the vision of his springs of living water? Recently I had the good fortune to secure for the use of this Government a critical investiga tion and survey of the economic conditions of these Islands by a competent and experienced authority. On my request, Mr. Lyman P. Hammond, the vice-president of one of the fore most electric utility systems of the United States, spent nearly three months here visiting every portion of the Islands and bringing to bear upon the problem the intelligence of a highly trained mind familiar with the recent growth of progres sive industry in both North and South America. His observations have been presented to me in a report which is now printed and available for your use. In substance, he finds that this singular condition of the Filipino people, this disparity between the ideals and tastes which they have cultivated and their present power to satisfy those tastes, arises directly out of their failure to make use of the service and power of modern machinery and modern mechanical methods. He further points out that this service can only be obtained by that kind of cooperation which is known as modern large business and by the use of large quantities of capital properly organized and intelligently applied according to modern standards. His Excellency HENRY LEWIS STIMSON In summing up his carefully recorded observa tions, he says: “The comparison of the economic situation in the Philippines with that in the United States is a ’comparison of hand labor and small productive units versus the machine and large productive units. It is as the comparison between the modern sugar central consuming hundreds of tons of cane daily and recovering 92 per cent of the sugar, and the slow, labo rious carabao mill, the daily capacity of which is better expressed in kilos than in tons and where something like 40 per cent of the sugar in the cane is lost or wasted in the milling process. The imperative need of Philippine industry that I see is the large unit, the machin ery and equipment that can only be worked in large units, and the capital to provide that machinery and equipment. Things must be done on a larger scale here if the Philippines are to expand in the face of world competi tion. * * * “The iron ore deposits of Surigao and Calambayanga cannot be worked by the spade; the steam shovel is necessary. The deeply buried gold-bearing strata in the Mountain Province cannot be located with the prospec tor’s pick; the diamond drill or extension of the deep workings of the mines will be required for that discovery. The coal deposits will come into profitable operation when power consuming industries come in size and number to justify mining operations on a large enough scale ’with modern mining and conveying equipment. Domestic manufactures will come with improvement in the scale of living and increase in the purchasing power of the people. Philippine manufacture for foreign markets will come only as the machine replaces the hand no matter how cheap the labor. “In my opinion, Philippine development now calls for operation in and by big business units. What is needed here is the corporation with ample resources of capital and technical and expert talent.” Agriculture is today, and long will be, the chief industry of the people of the Philippines. Mr. Hammond’s report drives home the fact, which is patent to every thoughtful observer, that even in agriculture, under modern conditions of pro duction and marketing, the Philippine farmer is dependent upon capital in large units for the disposal of his crop. The Philippines are so far VETERANS of Shoedom The Hike Shoe industry—born in the midst of economic strife in 1900—has become the greatest factor in the Phil ippine footwear market. Hikes are veterans of shoedom HIKE SHOE FACTORY 286 San Marcelino Manila, P. I. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 38 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 distant from their natural markets that most of their agricultural products cannot be transported without local fabrication and reduction in bulk. The small sugar planter can only profitably harvest his crop if capital has planted an expen sive central within reach of his holdings, while the growers of coconuts, pineapple, rubber, and many other crops, require similar assistance. In other words, unless the Filipino farmers are willing to remain in their present unsatisfactory condition, which in many parts of the Islands gives them so narrow a margin of living as to leave them in constant economic serfdom to the neighboring money-lender or the monopolistic shipowner who controls transportation to their markets, these Islands must have the benefit of modern machinery, modern capital, and modern methods to establish among them the necessary agencies by which the standards of agriculture can be improved and the fruits of agriculture marketed. The small producer alone is an easy victim of oppression from middle men and transportation agent alike. Un supported he can never get far enough ahead to win for the Philippines their proper place in the markets of the world. To accomplish that de velopment, he and his fellows must assemble themselves in large groups about, common centers—sugar centrals, canning factories, coco nut mills, or drying plants—with which they are united by the terms of equitable contract under which the production of the individual farmer is stimulated and assisted, and the marketing of his produce insured. Such cooperation is the rule of the world today, and the nation which fails to follow it is doomed to fail in the race. But the basis of such cooperation can only be furnished by the introduction of large amounts of capital. Again, electricity is the chief handmaiden of modern civilization. It furnishes communica tion, light, power, and—a matter of fundamental importance to the Tropics—refrigeration. The development of all these applications of elec tricity in the Philippines today is rudimentary. Whereas in the United States there is a tele phone for every seven inhabitants, there is here only one for every six hundred and ninety. Whereas in the United States we can telephone to every part of that vast country and do business by voice over the wire, in these Islands long distance telephoning is practically unknown. I am informed that only six of our cities enjoy a twenty-four hour electric light service. This means that in none of the other cities, towns, or localities of these Islands, can electricity be made available for power and refrigeration, or for anything except light. These constitute fatal obstacles to any real economic development of the Islands. Such a development depends more than anything else upon quick and easy commu nication, upon cheap and flexible power, and upon the preservation of food and other products by refrigeration. As one of the first steps toward such development, every effort should be made to encourage American capital to establish here the same cheap and efficient electrical service that has made America preeminent throughout the entire world. Certain thoughtless critics havesoughttoarouse suspicion and enmity by saying that to invite the help of such capital would be to institute economic serfdom' to America. It would be hard to conceive a more disastrous error. By exciting an unfounded fear, these critics would block the only avenue towards economic, and therefore political, independence for these Islands. The Philippine Islands today stand in much the same economic situation as the United States stood one hundred and fifty years ago. We in America were then possessors of the boundless resources of a great continent, but we were poor and lacked the means to develop those resources. We borrowed freely from Europe, including many countries with whose political institutions we had no sympathy and even held in profound distrust. Is America in economic serfdom to these countries today? She has developed her resources; she has paid back her debts; and today is not only independent of her former creditors, but is able to lend to and support them in their later troubles. Again, these critics fear lest we shall mortgage the heritage of future Philippine generations. My own attitude on such a proposition should be well-known, for as Secretary of War, in America, I was one of the pioneers in the movement for the conservation of our natural resources in cluding particularly water power. No measure calculated to waste or squander such resources will ever knowingly be favored or approved by me. But conservation does not mean the in definite locking up of resources; it means their wise use for the welfare and happiness of the people. At the present rate with which the agri cultural land of these Islands is being distributed among their people, it will be four hundred years before that great asset, that great guardian of a people’s stability, is fully put to use. This is not conservation; this is waste. Idle land does not minister to the welfare of a people; while land wisely distributed and wisely used is a most valuable instrument to lead them into habits of thrift and patriotism and into condi tions of comfort and individual independence. There is thus pressing upon us the twofold prob lem; first, to eliminate the delays in the distri bution of our land among the people and to establish upon that land a great home-making and home-loving population holding clear and undisputed titles to their land; and then secondly, by a wise encouragement of capital, to provide the necessary centrals and other institutions which will ensure the prosperity and independ ence of these small farmers by assisting in the production and marketing of their crops. While there has been such criticism as I have alluded to and while to excite mutual suspicion and hostility between the Philippines and the United States tends naturally to make capital timid and to discourage it from seeking opera tions in this neighborhood, yet I do not think that in such causes can we find the principal reason why capital has been lacking and our development backward. On the contrary, com pared with some countries in Central and South America where American capital has freely and abundantly entered, the disposition of the Fili pino people as a whole is not only politically conservative but friendly and hospitable toward Americans; and, indeed, in the recent election they have given unmistakable evidence of their favorable attitude on this question. I believe that the chief obstacle to our development has lain in certain unwise limitations of law, most Heat that Freezes A tiny gas flame inside the refrigerator and a freezing liquid combine to make intense cold in the new ELECTRO LUX The GAS Refrigerator Made by SERVEL - - - New York No moving parts to get out of order or to annoy. Lined with ARMCO Ingot Iron. Finished with DUCO. Economical, efficient, reasonably priced. See Them At Our Display Room Manila Gas Corporation Calle Otis, Paco Tel. 5-69-34 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 39 of them introduced here a generation ago from the United States under the influence of the theories then prevailing but which have long since been exploded in the land of their origin. Bring these laws up to date; make them conform to the modern laws under which modern Ameri can progress has been reached, and I believe that the difficulty will cease. Other tropical countries including Cuba, Panama, and Hawaii and several in South America have already revised their corporation laws with the purpose of inviting foreign capital to assist their develop ment and the result is said to have been most satisfactory. I believe that American capital has learned the unwisdom and the danger of attempting un fairly to exploit the land in which it enters. I believe that it is ready to come here, and it certainly will be permitted to come here only upon terms of fairness with respect to the treat ment of its Filipino partners and its Filipino labor. What capital demands, and what it has a right to expect, is safety of investment and the certainty of fair treatment under the law of the country where the investment is made. The greater that safety and certainty, the more cheaply can capital be obtained. High rates of interest are demanded only where the hazard is great. Capital will not rely upon the chances of favors or discretionary benefits; it demands equality and safety before the law. I, therefore, recommend that your honorable body institute a thorough revision of your laws governing the creation of corporations and the regulation of their activities, including the control over your public utilities and including a wise and conservative revision of your land laws, as well as of all the laws under which capital comes into contact with government; that these laws be so revised as to bring them up to a parity with the modern legislation of other advanced countries, so as to insure the people who are willing to lend money to you that the enterprise in which they invest will be fairly, justly, and equitably treated by your public officials and that the title of the securities which the investors receive in exchange for their money will be sound and safe. I have been fortunate indeed to find that prior to my coming to these Islands this subject had already begun to receive the attention of an able joint committee of the two bar associations of this city, the American and the Filipino Bar Associations. The names of the members of this committee are such as to guarantee the ability and integrity of their work. I have turned over to them copies of Mr. Hammond’s report and all other information on this subject which is in my possession, and I have requested them to give the subject attention and to assist your honorable body with a report as to the changes in your laws which they recommend as advisable to forward this end. Until that report is forthcoming it will be unnecessary for me to go into further detail as to such specific measures. Long-Distance Electrical Communication and Inter-Island Transportation I wish to call your attention to two subjects intimately connected with this matter of our economic development, in both of which I believe there is great need of improvement and reform. One is the subject of long-distance electrical communication, whether by telegraph, tele phone, or radio, and the other is the subject of interisland transportation. Quick and easy communication and quick and easy transporta tion are the two pillars upon which the develop ment Of commerce principally rests. In these Islands we have neither. The visitor coming here from abroad and seeking to do business according to the modern methods of communi cation or transportation feels as if he had stepped into the past'. Real economic progress is im possible until these vital subjects receive ade quate treatment. Today both our telegraphs and our shipping are in the hands of artificial monopolies—the former a monopoly enjoyed by the Government; the latter monopolies fostered in favored individuals or firms by restrictive legislation. I do not criticize the wisdom of the policy which has sought by this legislation to encourage the development of a Philippine mer chant marine in the hands of Filipinos and Americans. But all artificial monopolies such as these must be constantly and carefully watch ed lest other and broader public interests suffer in consequence. Here, in the case of both these systems, I believe that it is clear that serious evils exist and that today Philippine trade and commerce are being injured and the lives and safety of Philippine travelers jeopardized to an extent which much more than offsets the benefits now being derived from these monopolies. Both of these subjects have been called to the atten tion of previous legislatures by my predecessors. In each of them we have the benefit of careful investigations and reports made by special com mittees created for that purpose. Long-Distance Electrical Communica tion.—I submit for your consideration the report of a special committee which I designated to investigate the subject of the telegraph service rendered by the Bureau of Posts between the principal business centers of the Islands, Manila, Cebu, Iloilo, Davao, and Zamboanga. The de lays and the irregularities occurring in that serv ice would be unbelievable if they were not familiar to every person having occasion to rely upon it. I do not criticize individuals but a system, nor am I oblivious of the fact that under our present system of government telegraphs we have ob tained telegraphic service to remote points of the Islands where a commercial service by private corporations would not yet be self-supporting. But I believe that no economic fact is better established in the world today than the fact that, taken by and large, government operation of such electrical utilities is far less efficient than private operation thereof. Furthermore, no where in the world today does there exist a com bined telegraph and telephone service of such surpassing efficiency as is furnished by private operation in the United States. I believe that this is the ideal for which we should strive, and that as rapidly as we can find efficient and respon sible private companies to take it over, we should place our electrical communications in private hands. To retain such an important service as that between Manila and Cebu and Iloilo in the Bureau of Posts simply to produce a better governmental balance sheet for that Bureau at the cost by so doing of throttling trade and com merce between those important cities, is penny wise and pound foolish. I i i WHEN TRAVELING NATIONAL CITY BANK OF NEW YORK LETTERS of CREDIT -------- tm -----------------TRAVELERS CHECKS SAFE - - CONVENIENT - - SELF-IDENTIFYING INTERNATIONAL BANKING CORPORATION PACIFIC BUILDING MANILA, P. I. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 40 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 Interisland Transportation.—The people of these Islands have learned the importance of improved transportation on land. There is no purpose for which they are more ready to expend their governmental revenues than for modern roads; and the rapid increase in public transpor tation on those roads within the past two or three years is one of the most striking features of development in the Islands. And yet, with their population scattered among hundreds of islands connected with a natural medium of communica tion furnished by nature itself, the sea, they have been singularly slow in insisting upon adequate and speedy communication by water. This subject received the earnest attention of the Acting Governor General in his message to the final session of the last legislature, and a careful investigation of the subject was made by an advisory committee appointed by him, the report of which committee unfortunately did not reach the Legislature until rather late in its session. I earnestly commend the report and recommen dations of that committee to your attention. This committee found that the existing ton nage engaged in interisland shipping is ina dequate; that the ships are old, obsolete, un sanitary, ineffectively managed, and not suited to the needs of interisland transportation; that monopolistic conditions exist under the law which prevent free competition and retard the normal improvement of facilities; that numerous abuses and discriminations exist; and that adequate provision is not made for the safety, comfort, and convenience of passengers. In short, they found that a condition exists in regard to trans portation on the sea which in adequacy, effi ciency, and safety is in shocking contrast to that which exists upon the land. The Seventh Legislature enacted certain important remedial legislation, but they left without action many of the recommendations of this committee including the one which that committee had set forth as “the first and most important step to be taken for the permanent improvement of the present unsatisfactory conditions,” namely, the repeal of the present law which prevents the foreign companies or firms which are engaged in interisland shipping from replacing with new vessels the antiquated vessels now used by them. It is difficult to defend a system of law which permits an individual or company to engage LEONARD WOOD in the business of transporting lives and property, but at the same time forbids them to do it with safety or efficiency. I commend to your honor able body this provision of law as one which requires special attention. The entire subject is so important and vital and has been so com prehensively dealt with in the report of this committee that I trust not only the foregoing recommendation but the other recommendations therein will be most carefully considered. One of the evils pointed out in the report above mentioned on interisland shipping is the restrict ed terminal facilities for the handling of the cargoes of such shipping in the City of Manila. At present these shipments are handled on the Pasig River, where inadequate wharfage exists and where the trucks delivering and removing freight from the vessels have such restricted approaches on shore that their necessary opera tion causes great obstruction to the traffic in the adjacent streets. Plans have been proposed to former legislatures for the development of a new harbor north of the Pasig River which would furnish among other things ample and modern wharfage facilities for all interisland ships. Without expressing at present any opinion as to the various methods proposed for financing such an improvement, I think the project is one which has a vital and intimate bearing upon the commercial develop ment of the Islands and should receive the careful attention of the Legislature. In this address I have necessarily only pre sented to you certain principal topics which I believe to merit your special attention. There are, of course, many other matters, most of which have been laid before you by my pre decessors, which I deem to be important and also worthy of action. I shall, however, not enu merate them today but shall bring them to your attention specifically by messages in the near future. I again wish to assure you that at all times I and the other members of the Executive stand ready to assist you in any way which lies within our power, whether it be to assist in the prep aration of bills, or in supplying information necessary for legislation, or in giving you our best judgment on proposed bills. I shall always welcome opportunities for conference and shall do everything in my power to secure that neces sary cooperation without which wise and well considered legislation cannot be obtained. “Caterpillar” Tractors get the tough jobs “Caterpillar” Tractors, the world over, are bearing the brunt of the toughest tasks—in desert, through jungle, over mountains, in swamps — hauling loads, building roads, moving earth, logging, farming. Because they successfully handle the toughest jobs, “Caterpillar” Tractors are better for every job. For even the ordinary work demands plentiful power, sure traction and—• above all—the unfaltering dependability that insures steady, uninterrupted service. With dependable power—-“Caterpillar” power •—at his command, the logger, the farmer, the contractor or road builder has confidence of accomplishment. Better—Quicker— Cheaper Write for Special Bulletin on “Caterpillar” Tractors PACIFIC COMMERCIAL COMPANY CEBU MANILA ILOILO IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 41 RICE IN AUSTRALIA Canberra, Tuesday, June 28.—Answering Mr. Killen (C. P., N. S. W.) in the House of Representatives today, the Prime Minister (Mr. Bruce) said production of rice in Australia in 1925 was 1146 tons, in 1926, 4029 tons; and in 1927, from 8,000 to 16,000 tons. Before the duty on rice was imposed the price paid by millers to growers in the Murrumbidgee irrigation area, said Mr. Bruce, was £10, 10/ a ton. The duty on uncleaned imported rice was equivalent to £3/14 8 a ton, and the price paid by millers for this season’s crop was £11 a ton, due to the low market price of imported rice. The Commonwealth had no power to control prices. MANILA BEEF MARKET By Philippine Cooperative Livestock Association Prices for beef in Manila remained steady throughout July with practically no fluctuations, wholesale prices ranging from 48 to 60 centavos per kilo, dressed. From July 20 to July 25 there was an actual oversupply of native cattle offering, and shippers experienced trouble in finding buyers. Reports that a shortage of native cattle on the market caused a rise in prices are entirely erroneous. Stocks of native beef were ample at all times; in fact, there was a surplus and some animals were held three weeks awaiting offers. Statistics for July follow: Supply On hand July 1.......................... 189 372 Shipments during July............. 1,278 619 Total available for killing... . L467 991 Actual kill during July............. 1,033 *776 Remaining unkilled................... 434 215 Native cattle shipped out. . . . 216 (work stock) Loss by death............................. 2 On hand August 1................. 218 213 "In actual weight, the kill of foreign beef :dcd that of native beef. JOURNAL 42 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 WELDING Fully Equip ped Oxy-Ace tylene Weld ing Shops HYDROGEN Compressed Hydrogen 99.8% pure OXYGEN Compressed Oxygen 99.5% pure BATTERIES Prest-O-Lite i Electric Stor age Batteries ACETYLENE Dissolved Acetylene for all purposes Philippine Acetylene Co 281 CALLE CRISTOBAL, PACO MANILA, P. I. Manila Cordage Co. P. O. Box 131 Manila, P. I. TOWLINE BRAND High Quality Pure Manila Rope CROWN BRAND Good Quality Pure Manila Rope PLOW BRAND Mixed Fiber Rope Low in Price DRAGON BRAND Made of Pure Philippine Maguey Ask for Prices BUDGET FOR 1929 SUBMITTED BY G. G. LEAVES MARGIN OF P3,151,988; TOTAL AMOUNT REQUESTED IS P75.520.852 INCOME Revenue from taxation.. . . Incidental revenue............... Earnings and other credits. EXPENDITURES................. 1929 Requested 78,672,840.00 1928 Authorized 1928 Estimated 79,161,060.00 1927 77,728,114.33 57,751,660.00 57,861,510.00 58,421,549.41 4,627,870.00 5,106,980.00 5,070,537.60 16,293,310.00 16,192,570.00 14,236,027.32 75,520,852.00 74,972,495.79 74,346,267.33 P724.550.00 P724,550.00 P724,550.00 P679,282.98 1,290,270.00 1,285,820.00 1,285,820.00 1,208,512.94 12,125.00 12,125.00 12,125.00 12,125.00 1,201,836.00 1,186,863.00 1,186,863.00 1,272,631.32 320,631.00 271,997.00 271,997.00 260,647.35 804,980.00 768,840.00 768,840.00 736,606.81 460,167.58 530,975.00 468,835.00 463,835.00 117,005.00 118,005.00 118,005.00 110,640.83 157,000.00 187,000.00 187,000.00 165,798.40 8,185,506.00 8,054,307.43 8,047,088.00 7,912,704.60 245,382.00 263,882.00 263,882.00 247,109.27 632,844.00 617,844.00 617,844.00 611,413.34 5,491,569.00 5,324,300.43 5,317,081.00 5,306,128.55 1,066,208.00 1,096,778.00 1,096,778.00 1,031,602.66 694,918.00 . 698,918.00 698,918.00 677,608.69 54,585.00 52,585.00 52,585.00 38,842.09 21,063,101.00 16,780,637.00 21,076,507.00 21,076,507.00 20,138,391.99 17,180,837.00 17,180,837.00 3,730,426.00 16,468,846.08 4,117,220.00 3,730,426.00 3,539,922.18 165,244.00 165,244.00 3,876,575.00 165,244.00 129,623.73 4,087,472.00 3,876,575.00 3,908,732.43 1,742,001.00 1,130,788.00 1,130,788.00 1,096,983.72 987,932.00 960,128.00 960,128.00 1,188,271.34 683,739.71 187,986.00 629,106.00 629,106.00 1,169,553.00 1,156,553.00 1,156,553.00 939,737.66 4,255,989.00 4,129,442.79 4,129,442.79 4,023,690.38 205,270.00 210,600.00 210,600.00 216,246.57 1,964,316.00 1,955,736.00 1,955,736.00 1,898,376.44 488,748.00 486,233.00 486,233.00 447,915.67 293,665.00 209,798.79 209,798.79 171,060.23 973,840.00 901,875.00 901,875.00 960,417.86 246,240.00 246,240.00 246,240.00 216,633.29 137,910.00 118,960,00 118,960.00 113,040.32 4,824,709.00 4,529,979.00 1,388,315.00 4,529,979.00 4,657,764.74 1,427,955.00 1,388,315.00 1,339,733.99 788,094.00 706,709.00 706,709.00 674,845.58 1,578,060.00 1,449,365.00 1,449,365.00 1,692,297.50 771,000.00 734,600.00 734,600.00 722,556.10 259,600.00 250,990.00 250,990.00 228,331.57 7,889,403.00 7,855,668.00 7,855,668.00 7,815,399.66 1,098,510.00 1,262,570.00 1,262,570.00 1,807,447.56 3,840,315.00 3,706,750.00 3,706,750.00 3,385,165.26 307,387.00 307,387.00 307,387.00 290,278.11 466,620.00 478,620.00 478,620.00 422,939.85 1,169,219.00 1,093,019.00 1,093,019.00 1,079,290.72 514,486.00 514,286.00 514,286.00 358,112.52 197,434.00 197,434.00 197,434.00 165,217.20 299,642.00 289,662.00 289,662.00 300,654.54 5,790.00 5,940.00 5,940.00 6,293.90 1,800,000.00 1,800,000.00 1,800.000.00 1,800,000.00 9,857,280.00 9,657,041.00 9,657,041.00 9,836,071.70 220,000.00 220,000.00 220,000.00 193,031.86 710,000.00 710,000.00 710,000.00 887,239.40 8,263,000.00 8,820,000.00 8,820,000.00 9,003,434.17 P75,520,852.00 P74,979,715.22 P74,972,495.79 P74.346.267.33 3,151,988.00 4,188,564.21 7,320,454.50 3,381,847.00 32.209.719.39 35.591.566.39 11,509,018.71 4,000,000.00 28,271,111.89 7,509,018.71 7,320,454.50 Senate................................................... House of Representatives............... Resident Commissioners to the United States................................. The Executive................................... Supreme Court.................................. Offices under the Gov. General. . . Bureau of Audits.......................... Bureau of Civil Service............... General Purposes.......................... Department of the Interior........... Executive Bureau......................... Bureau of Non-Christian Tribes Philippine Constabulary............. Philippine General Hospital.. . . Public Welfare Commissioner . . Boards of Medical, Pharmaceu tical, Dental, Optical and Nurse Examiners...................... Department of Public Instruction. Bureau of Education................... Philippine Health Service........... Bureau of Quarantine Service. . Department of Finance................... Bureau of Customs...................... Bureau of Internal Revenue... . Bureau of the Treasury.............. Bureau of Printing....................... Department of Justice..................... Bureau of Justice.......................... Court of First Instance and Justice of the Peace Courts. . General Land ‘Registration Of fice ................................................ Philippine Library and Museum Bureau of Prisons......................... Bureau of Prisons—Industrial Division....................................... Public Service Commission.... Department of Agriculture and Natural Resources........................ Bureau of Agriculture.................. Bureau of Forestry...................... Bureau of Lands........................... Bureau of Science......................... Weather Bureau............................ Department of Commerce and Communications........................... Bureau of Public Works............. Bureau of Posts............................. Bureau of Supply.......................... Bureau of Supply—Division of Cold Storage.............................. Bureau of Commerce and In dustry........................................... Marine Railway and Repair Bureau of Labor............................ Bureau of Coast and Geodetic Supply.......................................... Board of Accountancy................ University of the Philippines........ Public Debt......................................... Extraordinary Charges.................... Investments........................................ Public Works Funds........................ Grand Total.. . . EXCESS OF INCOME OVER EX PENDITURES................................. SURPLUS, JANUARY 1................. SURPLUS, DECEMBER 31.......... DEDUCTIONS. CASH SURPLUS AT THE END OF THE YEAR.............................. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 43 Lyman P. Hammond’s Side of the Horse Trade Readers of the Journal all realize of course that there’s a political horse trade on between the executive and the legislature. After two years’ dickering the swap is not yet made, but the executive brought its boss out of the stall twice recently (when Governor Stimson addres sed the legislature July 16, and when he released the Hammond report July 20) and seemed willing to strike a bargain. The legislature is going over the creature now; the executive having put it through its paces, the legislature proceeds to look into its mouth, flirt a hat before its eyes, examine its hoofs and hocks, put an inquisitive ear to its flank to see if it is windy, and examine its legs for splints and spavins. “It’s a good hoss,” says the executive. “We all ain’t sure,” says the legislature, “what ’ll y’ give to boot?” Here are the Hammond suggestions: In my opinion Philippine development now calls for operation in and by big busi ness units. What is needed here is the cor poration with ample resources in capital, and in technical and expert talent. But as I construe the more important of the laws bearing on the economic situation here in my lay opinion, without material modification they absolutely preclude any hope of organizing and financing large business units for operation here. The Land Law provides (to) the effect that no corporation may buy, hold, or lease more than 1,024 hectares of public land and appears intended to apply this prohibition to any land that originated actually or presumptively in the public domain. The law reflects so great a fear of alien ownership or domination that apparently title is impaired if at any time more than 39 per cent of the corporation stock wafc owned by persons not citizens of the Philippines or the United States. The mining laws require location by dis covery of mineral in place whereas the values here are generally found at depth, and they are obviously intended to restrict mining to small operations; proper enough in bonanza territory but all wrong where large tonnages of low and medium grade are mined on a strictly industrial basis. The Corporation Law estops formation of holding companies in the domain of agriculture and mining, prohibits the is suance of bonds at discount, recognizes only stock of par value and seems to impose a very burdensome responsibility upon cor porate officers in connection with the appraisal of property acquired in consider ation of stock. It is not at all adopted to modern corporate finance in the needs of a growing business. It expressly dis courages the permanent investment of earnings in expansion of the business by prohibiting the stock dividend which accom plishes that result. The Public Utility Law fails to recognize that the public interest is fully protected by fixing earnings at a “fair return on the fair value of the property used and use ful in the service’’ and that capitalization of the public service company is wholly immaterial 'under this ruling, nor does it matter who owns the property so long as the authorities are empowered to require the company to provide good and adequate service at rates which meet the rule above quoted. Whereas the law requires that the Commission approve every issue of secu rities by a public service company, the acquisition of one company by, and the merger of one company with, another like company. Examples of modern corporation and public utility laws suited to the needs of modern business while protecting every legitimate interest of the people are afford ed by the Corporation Law of the State of Florida, adopted there in 1925, and the recently proposed Uniform Public Utility Law drafted and recommended by the American Bar Association after 30 years of American experience in the regulation of public service companies. Finance, the raising of capital, is a science in itself. It is one thing for a few indi viduals to organize and finance a S100.000 venture, and quite another thing to organ ize and finance a S10,000,000 corporation. In the latter case investment bankers must function to underwrite or purchase the securities and distribute them among hundreds of investors. About the first thing the experienced investment banker does when approached with a financial project is to call in his lawyers for an opinion on the legality of the project, and the extent to which the controlling laws are favorable Cross America on the New 0riental£i'mifcd Seattle to Chicago—No Extra Fare Treated as an honored guest every moment you are on the Oriental Limited, you will find our afternoon teas just another expression of our hospitality. And every service you desire for luxurious living—showers, maid, valet, barber, hairdresser— unexcelled dining car service, lounge, and compartment observation car—will make you feel as much at ease as in your own home. En route you will traverse 60 miles of Glacier National Park and arrive in Chicago without change of cars to make direct connections for points East. Great Northern representatives board ship at Victoria to make reservations for you. Full information from J. Wesley Young, G. A.,P.D. 1205 Fourth Avenue Seattle, Wash. A. H. Hebb, Agent 916 Government Street Victoria, B. C. M. J. Costello, Western Traffic Manager Seattle, Wash. Cable address: Hillrail or adverse to the proposed enterprise. The lawyer will of necessity interpret the laws as meaning just what they say and, if his opinion is not favorable, the project gen erally dies right there. It is idle to talk of doing business on any large scale in the Philippines by subterfuge or evasion of the law. It is idle to attempt to interest large amounts of capital under a theory that the laws as interpreted and administered here will be found more favorable than their terms, whether stated or implied. The law must be hospitable, fair, and reason able in spirit and plain and unequivocal in the letter, if the capital the natural opportunities should attract to the Phil ippines, is to be forthcoming. Lyman P. Hammond is a vice president of the Electric Bond and Share Company of New York. He made the economic survey of the Philippines at Governor Stimson’s request, Governor Stimson having arranged with his company for him to do so. Edw. A. Dye, General Agent 607 Hastings Street Vancouver, B. C. C. A. Gerken, General Agent 1009 Hearst Building San Francisco, Cal. A Dependable Railway IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 44 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 JULY SUGAR REVIEW By George H. Fairchild New York Market: The American sugar market for the month under review continued in a depressed and dull condition and prices de clined further to the lowest level since 1926. Small sales of present shipment were made at prices ranging between 2-9 16 cents c. and f. (4.33 cents 1. t.) and 2-19 32 cents c. and f. (4.37 cents 1. t.) during the first week, declining gradually to 2-3/8 cents c. and f. (4.15 cents 1. t.) on the 13th. In fluenced, however, by the report that the Cuban Export Commission had sold to the U. K. buyers 300,000 tons from the amount allotted to the U. S. at 2.31 cents f.o.b. (4.23 cents 1. t.), the market developed a slight improvement and prices rose to 4.21 cents 1. t. on the 16th and to 4.27 cents 1. t. on the 17th. This improvement was not maintained, apparently due to pressure to sell on the part of second-hand holders and dis appointed “bulls” and prices again declined to 4.08 cents 1.1. on the 19th. Thereafter the trend of prices became irregular and fluctuated be tween 4.08 cents and 4.21 cents 1.1. At the close of the month the market had another setback and sellers could not find buyers at 4.02 cents 1.1. It is, however, the consensus of opinion that the present trend of prices does not reflect the true sugar situation in view of the following “bull” factors: 1. The increase of 1 per cent in the distri bution of refined in the United States for the first six months of the year reported by “Facts About Sugar” indicates a substantial decrease in the invisible stocks since the meltings by the Atlantic Coast refineries for the first six months of this year registered a decrease of 300,000 tons. 2. According to the U. S. Department of Agriculture, the U. S. beet crop for the coming season will be 180,000 tons less than the previous crop while the next Louisiana crop will be 100,000 tons over that of last year, making a net deficit of 80,000 tons in the U. S. continental production. 3. The European beet crop is reported to be two weeks behind in growth than that of last year. 4. According to an eminent statistician the European consumption covering a period of October/April for the seven principal countries increased 13 per cent over that of last year. 5. The milling season in Cuba, it is rumored, will not commence until January 15. Stocks. The world’s stocks are 3,343,000 tons as compared with 3,049,000 tons in 1927 and 3,555,000 tons in 1926. Futures. On the New York Exchange, quota tions for future deliveries fluctuated as follows: PA CIFIC 3 1 A inis July................... September........ December........ January............. March............... juiy:::. Hiuh 2.51 2^2 2.70 2.64 2.72 2.58 L,i test 2.29 2.15 2.30 2.32 2.35 2.51 USE the Canadian Pacific Route to Europe and dispose of all the troublesome details that usually arise out of a 10,000 mile overseas journey. When you travel Canadian Pacific there is only one transaction—the initial one between our agent and you. Your trip across the Pacific, across Canada, and across the Atlantic is made on Canadian Pacific ships and trains; your stopovers at Canadian Pacific hotels. Philippine Sales. A total of 26,500 tons of Philippine centrifugal sugar was sold inthe Atlantic Coast during the month under review at prices ranging between 4.02 cents 1. t. and 4.33 cents. 1. t. Local Market: There was limited trading in the local market for centrifugals. Exporters’ quotations fluctuated from P9.75 to P10.50 while prices paid on parcels sold for local con sumption ranged between P10.25 and P10.75. In view of the scarcity of supplies, the market for muscovados was practically inanimate, only very insignificant quantities were traded in. Crop Prospects. For the first three weeks, the weather has been unfavorable for the growth of the cane with excessive rains accompanied by typhoons. The extent of damage is not yet ascertained but with the good weather prevailing during the last two and three days it is believed only the cane on low undrained land suffered slight damage. Philippine Exports* Exports of sugar from the Philippines for the 1927-28 crop from November 1, 1927 to July 28, 1928 amounted to 520,889 metric tons, particulars of which follow in terms of metric tons: November, 1927.. December............. January, 1928. . . . February............... March................... April...................... May....................... June....................... July 28**.............. fuyals 55,< 506 81,785 45,060 47,295 12,150 l/ mi 3,350 11,545 5,784 II,fined Total 69 14,676 172 55,627 405 86,171 380 78,373 754 79,877 582 88,151 920 52,102 899 53,762 12,150 Total............. 483,190 33,518 4,181 520,889 One ticket One service • e The utmost in speed and comfort. « CANADIAN PACIFIC 14-16 CALLE DAVID, MANILA, P. I. WORLD’S GREATEST TRAVEL SYSTEM9* * Bureau of Customs. ♦* Exports from Iloilo only. Annual Sugar Convention. The Philip pine Sugar Association will hold its annual Convention in Manila on September 17-22 of this year. One of the main subjects to be discussed will be the limitation of the free entry of Philippine sugar into the United States. The Board of Trustees of the Association appointed a committee composed of Geo. H. Fairchild, President of Welch-Fairchild, Ltd., as chairman; Rafael Corpus, President of the Philippine National Bank; and Felipe Buencamino, Jr., member of the law firm of Paredes, Buencamino & Yulo, to prepare a statement of the essential facts and statistics of the Philippine sugar industry as a preliminary measure to combat the Timberlake resolution. The state ment is now before jthe Trustees of the Associa tion for such action as they deem advisable. Java Market: Influenced by the depression in the American sugar market, the Java market was dull and weak throughout the first three weeks of the month under review. During the last week it became steady at the following quotations for Superiors: (Continued on page 45) IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 45 REVIEW OF THE EXCHANGE MARKET By Richard E. Shaw Manager International Banking Corporation. Telegraphic transfers on New York closed on June 30 with sellers at 1-1/8% premium for ready and forward deliv ery and buyers at 3/4% premium near and 5, 8%premium forward. Rates remained steady at these levels through out July. There were few usance bills making but a certain number of 60 d/s credit bills were settled at 5/8% discount. Several banks bought small amounts of O/D credit bills at 3/8% premium for prompt delivery, but the current rate was actually 1/ 4% premium. The seasonal dullness in the ex change market prevailed. Purchases of telegraphic transfers from the Insular Treasury since last report have been as follows: Week ending June 23............. $500 000 Week ending June 30............ Nil Week ending July 7............ $300,000 Week ending July 14............ $125,000 Week ending July 21............ $700,000 Sterling cable transfers were quoted at 2/5/16 sellers and 2, —1/ 2 buyers on June 30 but, with the dropping New York-London cross-rate, were gradually revised until at the close of business on July 31 there were sellers of TT at 2'-7/16 and buyers at 2/-9/16. At the month end buyers were quoting 2 -11/16 for O, D credit bills and 2/1 for 90 d, s credit bills. The New York-London cross-rate closed at 487-11 16 on June 30 and weakened steadily throughout July, until it had reached a level of 485-23 32 at the month end. London bar silver was quoted at 27—7/16 spot and 27-3/8 forward on June 30, touched a low of 27—1/16 spot and 27 forward on July 9 and 10, reached a high of 27-1/2 spot and 27-1/2 forward on July 27 and closed on the last day of the month at 27-5/16 spot and 27-5/26 forward. New York bar silver closed at 59-3,'4 on June 30, touched a low of 58-3/4 on July 23, reached a high of 59-7/8 on July 28 and on July 31 closed at 59-1 2. Telegraphic transfers on other points were quoted nominally at the close as follows: Paris 12.40, Madrid 167-1/2, Singapore 115-1/2, Japan 92-1 2, Shanghai 74-1/4, Hongkong 102-1/8, India 135-1/4 and Java 122-1/2. THE RICE INDUSTRY By Percy A. Hill of Munoz, Nueza Ec.ja, Director, Hire Producers' Association Prices of rice at con sumingcenters have risen approximately 35 to 40 ctvs. per sack of 57-1/2 kilos and now range between P6.90-P6.95 for the lower grades to P8.30-P8.35 for supe rior. Prices for palay should have risen in like proportion, but they remain very much under what they should be, considering the supply and the retail prices. Imports to June this year total a value of only P800.000 and indicate that the estimates for this year’s domestic crop were correct. In connection with this, for the first time in two years shipments direct from Saigon (Cholon) to Cebu arrived—some 55,000 piculs to Cebu and 10,000 piculs to Zamboanga. The approxi mate price c. i. f. was P8 per picul of 139.3 lbs., each picul containing about 15 lbs. over the usual weight of Philippine rice per sack. The value of these shipments was P520.000 approximately, and they were the largest importation recorded in some time. Low ocean freights as compared with interisland rates were the principal induce ment. The low prices for palay are causing producers uneasiness. When prices were ample and offer ed a profit, in 1925-1926, the producers extended their plantings. At present it is estimated that at least 12,000 to 13,000 hectares in the Luzon central plain are being planted to cane, but they are offset by at least that area of expansion in rice by homestead growers in Nueva Ecija. During the past two years the low prices pre vailing for palay have not given the producers legal interest on their capital investment. As a result, the industry must force itself to lower production costs. This is easier said than done, but it can be done and is being done by producers who keep accurate records of their costs. The cost of transplanting can only be lowered when field units are self-containing: the use of fertilizers is also dependent upon the price of the product. Transportation and threshing charges have gone Travel East via the “North Coast Limited” NOW on a new, fast sched ule—68 hours between the North Pacific Coast and Chicago! Leaves Seattle at 11:00 A. M. for all the principal cities of the United States. Two days of sightseeing through America’s greatest mountains. A particularly satisfying fea ture of Northern Pacific travel is its diner service. The luxurious, new Observa tion-Club car with its deep, rest ful lounge—cushioned chairs— library—writing corner—club rooms—showers—and maid and valet service—affords many hours of pleasure. New-type Pullmans and pow erful, new locomotives. You will find unusual travel comfort and courteous, personal service aboard this fine train. The Japan Tourist Bureau, American Express Company, Thos. Cook & Son, Shanghai Commercial & Savings Bank or any trans-Pacific steamship company, will (gladly furnish additional information. Northern Pacific Railway 1081 down and may still be further reduced. The whole secret, to the producer, is one of intelli gence; it is obviously impossible to go on paying high production costs when the financial barom eter is that of net gains on the prices offered. Economic health in the industry is not con noted if the profits are too small for the capital and labor invested plus the gamble on the weather. Nor can the men engaged in the industry be economically free unless, from the profits, they can meet their obligations to them selves, their families and society. As for export ing any surplus that might accrue, in competition with the orient, this is but a dream of the mis informed—so long as the local industry is pro tected by the tariff. And to withdraw the tariff would mean that 2/3 of the area now cultivated to rice would be forced to other crops for exist ence. Shipments to Manila during June from the Luzon central plain were: Nueva Ecija, 150,687 sacks; Tarlac, 36,727; Bulacan, 25,602; Pangasinan, 22,180; Pampanga, 21,378: a total of 256,574 sacks, or about 9000 sacks less than during June last year. July Sugar Review.—Continued from page 44. Spot and August, Gs. 13-3/8 (P7.22 per P. I. picul); October, Gs. 13-1 2 (P7.28 per P. I. picul); and November, Gs. 13-5.'8 (P7.34 per P. I. picul). Stop off at Yellowstone Park Season June iS-Sept. 30 Without exception this is the most unique outdoor playground in all the world—3,500 square miles of geysers in eruption—hot col ored pools—boiling lakes—the deep, brilliant gulf of the Grand Canyon—and big, friendly bears to amuse you. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 46 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 YOUR LOGGING PROBLEM can be solved readily by some type of WASHINGTON LOGGING ENGINE The Washington Simplex Yarder above leads all Yarders in ease of operation and low cost of upkeep. Washington Iron Works, Seattle, U. S. A. Agents for the Philippine Islands The Edward J. Nell Co., Ltd.,—Manila. WASHINGTON ENGINES LUMBER REVIEW For the First Six Months of 1928 By Arthur F. Fischer Director of Forestry 1 That Philippine woods are already well-known in the important mar kets of the world and that appreciation for their qualities is in creasing from day to day, are clearly shown by the fact that figures covering export of Phil ippine lumber are con tinually increasing. For instance, the export fig ures for the first six months of this year show a shipment of 40,153,672 board feet valued at ?2,905,985, or about 10% greater than the figures corresponding to similar period last year, which were 30,717,528 board feet valued at P2,450,859. This increase, which indicates greater consumption abroad of Philippine lumber, is of significant importance because determined efforts are being exerted in certain parts of the world to restrict the entry of Phil ippine woods. Australia, for instance, has recently promulgated a new tariff which imposes very heavy duty on Philippine lumber; while dealers in African and other mahogany in the United States were able to convince the Second Circuit Court of Appeals in New York to confirm the “cease and desist” decision of the Federal Trade Commission with respect to the use of the name “Philippine Mahogany” as applied to Philippine woods. According to the figures cited above, however, such efforts to limit the consumption of Philippine lumber abroad are not producing the desired effects. As regards the United States market, it is felt by those who have kept track of the progress of the lumber trade between that country and the Commercial Printing is a silent but Powerful Messenger Your letter heads, bill heads, cards, envelopes, etc., when well printed, all help to build up that “feeling of confidence”. Our reputation for producing GOOD PRINTING has been earned and merits your patronage. McCullough Printing Company 424 Rizal Ave. Phone 2-18-01 islands that should the Supreme Court of the United States confirm the decision of the Federal Trade Commission, the consumption by the American people of Philippine woods will never theless continue to increase, for the reason that the reputation of Philippine lumber is already firmly established among wood users in the United States. It is conceded that a period of readjustment will undoubtedly take place, but such period will only be temporary. Speaking of the other countries, the prospects « can not be other than promising. The Japanese market, for example, is growing at a rapid rate, as indicated in the table below. In China, the consumption of Philippine woods for the first six months of this year is more than double the amount exported to China during the same period last year. England and certain countries under British control have also indicated a grow ing appreciation for Philippine woods. Great Britain and Hongkong in particular deserve special notice because of their steady demand for apitong. The presence of the names of other countries in the table, in addition to those already mentioned, proves what has already been said above that Philippine woods are be coming better and better known in the various lumber markets in the world. Practically every lumberman in the Islands was satisfied with the market during the first six months of the year because of favorable prices obtaining locally and of the large demand abroad. As usual, however, the coming of the rainy season tends to slow up activities in the local market, but such slowing up does not mean necessarily lowering of prices. In fact prices in the local market now are slightly higher than prices obtaining during the dry season, due to small stocks in the local lumber yards, and the number of logs coming to the Manila market from the provinces is small as prices offered by local dealers or tablerias are very low. Reports from 34 mills during this period show a production of 103,631,832 board feet as com pared with 86,304,418 board feet for the same period last year; lumber shipment, 96,868,179 board feet as compared with 87,934,497 board feet for the first six months in 1927; and lumber inventory at the end of June this year was 29,240,977 board feet as compared with 28,115,681 board feet on June 30 of last year, showing an increase of over 17,000,000 board feet in production and about 9,000,000 board feet in shipment while the amount of lumber in the various lumber yards on June 30 of this year was 1,000,000 board feet greater than that of June 30, last year. Production and shipment, there fore, increased by about 20% and 10%, respect ively. 1928 1927 January to June January to June Destination------------------------------------------------------------Bd. Ft. Value Bd. Ft. Value U. S.......... Japan........ China........ Gt. Britain Australia . . Hongkong. Egypt........ Netherl’ds.. B. Africa. . Guam........ Germany... France.... Spain........ Belgium.... 119,144 10,890 848 290 4,453 3,614 Total... 40,153,672 P2,905,985 30,717,528P2,450,859 RAIL COMMODITY MOVEMENTS By M. D. Royer Traffic Manager, Manila Railroad Company The following commodities were received in Manila June 26, 1928 to July 25, 1928, both inclusive, via Manila Railroad: July, 1928 June, 1928 Rice, cavans...................... 306,500 Sugar, piculs...................... 12,208 Tobacco, bales.................. 38,160 Copra, piculs..................... 152,500 Coconuts.............................. 3,334,100 Lumber, B. F.................... 737,100 Desiccated coconu.ts, cases................................. 20,582 249,125 13,216 30,960 132,850 2,895,200 631,800 20,254 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 47 ?:? ° o-47 ?:? l.i o.? 0.6 0.7 13653 3657 }|?:66£ o°:? o°.1 W °ol ° 0.l o°.1 !»7 o°1 48 THE AMERICAN CHAMBER OF COMMERCE JOURNAL August, 1928 BUSINESS AND PROFESSIONAL DIRECTORY Kerr Steamship Co., Inc. General Agents “SILVER FLEET” Express Freight Services Philippines-New York via Java and Singapore Roosevelt Steamship Agency Agents Chaco Bldg. Phone 2-14-20 Manila, P. I. Myers-Buck Co., Inc. Surveying and Mapping PRIVATE MINERAL AND PUBLIC LAND 230 Kneedler Bldg. Tel. 2-16-10 PHILIPPINES COLD STORES Wholesale and Retail Dealers in American and Australian Refrigerated Produce STORES AND OFFICES Calle Echague Manila, P. I. MACLEOD & COMPANY Manila Cebu Vigan Davao Iloilo Exporters of Hemp and Maguey Agents for INTERNATIONAL HARVESTER CO. Agricultural Machinery Rosenberg’s Garage TELEPHONE 5-69-55 ff ® ® * CHINA BANKING CORPORATION MANILA, P. I. Domestic and Foreign Banking of Every Description “LA URBANA’’ (Sociedad MGtua de Construcci6n y Prfstamos) Prestamos Hipotecarios Inversiones de Capital 111 Plaza Sta. Cruz Manila, P. I. P. O. Box 1394 Telephone 22070 J. A. STIVER Attorney-At-Law Notary Public Certified Public Accountant Investments Collections Income Tax 121 Real, Intramuros Manila, P. I. HANSON & ORTH, Inc. Manila, P. I. Buyers and Exporters of Hemp and Other Fibers 612-613 Pacific Bldg. Tel. 2-24-18 BRANCHES: New York—London—Merida—Davao SALEEBY FIBER CO., INC. Fiber Merchants P. O. Box 1423 Manila, P. I Room 318, Pacific Building Cable Address: "SALEFIBER” MANILA BUREAU OF AN/LYSIS makes examinations of BLOOD, FECES, SPUTUM, URINE, etc., and offers a "HEALTH PROTECTION” service. Ask for our brochure "IF I HAD ONLY KNOWN,” a scientific exposition of man's neces sity for a PERIODIC HEALTH EXAMINA TION through urinalysis. Opens at 7:30 A. M. Phone 2-25-71 Suites E-F 497 Ongpin at Raon Manila MADRIGAL & CO. 8 Muelle del Banco Nacional Manila, P. I. Coal Contractors and Coconut Oil Manufacturers MILL LOCATED AT CEBU Derham Building Phone 22516 Manila P. O. Box 2103 MORTON & ERICKSEN, INC. Surveyors AMERICAN BUREAU OF SHIPPING Marine and Cargo Surveyors Sworn Measurers Mr. MANUEL VALENTIN TAILOR Formerly Chief Cutter for P. B. Florence & Co. 244 Plaza Sta. Cruz Manila, P. I. Phone 2-61-30 The Earnshaws Docks and Honolulu Iron Works Sugar Machinery Slipways Machine Shops Port Area Manila, P. I. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL CORONAS ORIENTE EL ORIENTE FABRICA DE TABACOS, INC. 72 Calle Evangelista MANILA MANUFACTURERS OF Coronas Oriente Jean Valjean Fighting Bob HIGH GRADE CIGARS BECK’S 89 Escolta 91 Largest Assortment Men’s, Women’s and Children’s Outfittings FRANK G. HAUGIIWOUT 915 M. H. del Pilar Manila, P. I. Stool, Blood and Urine Examinations Special Sunday and Holiday Hours for Business Men: 8 to 9 a.m.; 3 to 5 p.m. Week-days: 7:30 a.m. to 12 m.; 1:30 to 5 p.m. Manila Wine Merchants, Ltd. 174 Juan Luna Manila, P. I. P. O. Box 403 Phones: 2-25-67 and 2-25-68 WEANDSCO Western Equipment and Supply Co. Distributers in the Philippines for Western Electric Co. Graybar Electric Co Westinghouse 119 Calle T. Pinpin P. O. Box C Manila, P. I. Recommended By Leading Doctors WANTED Drink It For Your Health’s Sake gACK NUMBERS. AMERICANCHAMBER OF COMMERCE JOURNAL: Vol. I. numbers I. 3. 6. (1921): Vol. 2. number 2. (1922): Vol. No. 4. number 11. (1924): and Vol. 5. number 5. (1925). I will pay cash for complete copies of any of these numbers or will exchange for other numbers of which I have various dupli cates. Communicate with room 601. | TEL. 5-73-06 Nature's Best Mineral Water Pacific Building, or P. O. Box 760. Manila. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL Performance—With Economy and Safety Dodge Brothers Standard Six develops more horse power per pound of car weight than any other car in its price class. This roomy, good looking car is typically Dodge Brothers in its fine quality of materials and workmanship. Low fuel consumption, another characteristic of Dodge Brothers products, is here expressed to a degree most remark able for a Six. With this car you can enjoy low-priced, spectacular, 6-cylinder performance with the knowledge that it is safe, dependable and economical. Dodge Brothers complete line of passenger vehicles includes the Standard Six, the Victory Six and the Senior Six. Sole Distributors: ESTRELLA AUTO PALACE LEVY HERMANOS, Inc. 536 568 Gandara Iloilo MANILA Cebu Oodeb Brothe-rs Mil I ll i 111