Test bank for introductory econometrics a modern approach 7th edition jeffrey m wooldridge

Test Bank for Introductory Econometrics: A Modern Approach, 7th Edition, Jeffrey M. Wooldrid

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Ch 01: The Nature of Econometrics and Economic Data d. dependent variable ANSWER: a 6. The constants of econometric models are referred to as _____. a. parameters b. statistics c. error terms d. hypotheses ANSWER: a 7. The parameters of an econometric model _____. a. include all unobserved factors affecting the variable being studied b. describe the strength of the relationship between the variable under study and the factors affecting it c. refer to the explanatory variables included in the model d. refer to the predictions that can be made using the model ANSWER: b 8. Which of the following is the first step in empirical economic analysis? a. Collection of data b. Statement of hypotheses c. Specification of an econometric model d. Testing of hypotheses ANSWER: c 9. A data set that consists of a sample of individuals, households, firms, cities, states, countries, or a variety of other units, taken at a given point in time, is called a(n) _____. a. cross-sectional data set b. longitudinal data set c. time series data set d. experimental data set ANSWER: a 10. Data on the income of law graduates collected at different times during the same year is _____. a. panel data b. experimental data c. time series data d. cross-sectional data ANSWER: d 11. A data set that consists of observations on a variable or several variables over time is called a _____ data set. a. binary b. cross-sectional c. time series d. experimental Copyright Cengage Learning. Powered by Cognero.

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Ch 01: The Nature of Econometrics and Economic Data ANSWER: c 12. Which of the following is true of time series data? a. The time series data is easier to analyze than cross-sectional data. b. The time series data are independent across time. c. The chronological ordering of observations in a time series conveys potentially important information. d. A time series data set consists of observations on a variable or several variables at a given time.

ANSWER: c 13. Which of the following is an example of time series data? a. Data on the unemployment rates in different parts of a country during a year. b. Data on the consumption of wheat by 200 households during a year. c. Data on the gross domestic product of a country over a period of 10 years. d. Data on the number of vacancies in various departments of an organization on a particular month.

ANSWER: c 14. Which of the following refers to panel data? a. Data on the unemployment rate in a country over a 5-year period b. Data on the birth rate, death rate and population growth rate in developing countries over a 10-year period. c. Data on the income of 5 members of a family on a particular year. d. Data on the price of a company’s share during a year.

ANSWER: b 15. Which of the following is a difference between panel and pooled cross-sectional data? a. A panel data set consists of data on different cross-sectional units over a given period of time while a pooled data set consists of data on the same cross-sectional units over a given period of time. b. A panel data set consists of data on the same cross-sectional units over a given period of time while a pooled data set consists of data on different cross-sectional units over a given period of time c. A panel data consists of data on a single variable measured at a given point in time while a pooled data set consists of data on the same cross-sectional units over a given period of time. d. A panel data set consists of data on a single variable measured at a given point in time while a pooled data set consists of data on more than one variable at a given point in time.

ANSWER: b 16. _____ has a causal effect on _____. a. Income; unemployment b. Height; health c. Income; consumption d. Age; wage ANSWER: c 17. Which of the following is true? a. A variable has a causal effect on another variable if both variables increase or decrease simultaneously. b. The notion of ‘ceteris paribus’ plays an important role in causal analysis. c. Difficulty in inferring causality disappears when studying data at fairly high levels of aggregation.

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Ch 01: The Nature of Econometrics and Economic Data d. The problem of inferring causality arises if experimental data is used for analysis.

ANSWER: b 18. Which of the following terms measures the association between two variables? a. Casual effect b. Independence c. Average d. Correlation ANSWER: d 19. Experimental data are sometimes called retrospective data. a. True b. False ANSWER: False 20. Experimental data are easy to obtain in the social sciences. a. True b. False ANSWER: False 21. An economic model consists of mathematical equations that describe various relationships between economic variables. a. True b. False ANSWER: True 22. Random sampling complicates the analysis of cross-sectional data. a. True b. False ANSWER: False 23. A cross-sectional data set consists of observations on a variable or several variables over time. a. True b. False ANSWER: False 24. A time series data is also called a longitudinal data set. a. True b. False ANSWER: False 25. The notion of ceteris paribus means “other factors being equal.” a. True b. False ANSWER: True Copyright Cengage Learning. Powered by Cognero.

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Ch 01: The Nature of Econometrics and Economic Data 26. In the following econometric model, wage = β0+ β1educ + u , which of the following factors would not be contained in the term u ? a. Experience (exper) b. Family background (fback) c. Innate ability (abil) d. Education (educ) ANSWER: d 27. Given the following econometric model, wage = β0+ β1educ + u, can we eliminate the error term u entirely? a. Yes, by including other observable factors, such as experience, that can also influence wage. b. Yes, by ensuring that everyone reports wage accurately and truthfully. c. No, because education is not always reported accurately. d. No, because many factors affect wage, that we cannot even list, let alone observe.

ANSWER: d 28. Why do labor economists often find it difficult to estimate the ceteris paribus return to education, in terms of wage, using non-experimental data? a. Education level in non-experimental data is probably dependent on other omitted factors that also affect wage. b. In a non-experimental setting, education level is often difficult to measure. c. Wage is often reported unreliably and inaccurately. d. Experience, another factor that also affects wage, is generally difficult to measure.

ANSWER: a

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W. Ransom, $4,817.60; B. F. Rice, $3,200; T. J. Robertson, $4,374.80; F. A. Sawyer, $4,294.40; George E. Spencer, $4,106; W. Sprague, $4,508; W. M. Stewart, $1,486.40; J. P. Stockton, $4,790; T. W. Tipton, $3,358; Lyman Trumbull, $3,980; G. Vickers, $4,880; J. R. West, $2,468 80.

III.—Names of Senators who covered into the Treasury amounts due them under retroactive provisions of law, with date of such action.

There is no record in my office showing that any Senator covered into the Treasury any money to which he was entitled by the retroactive provisions of either of the acts of September 22, 1789, March 19, 1816, January 22, 1818, August 16, 1856, or July 28, 1866.

The following Senators covered into the Treasury the amounts due them under the retroactive provision of the act of March 3, 1873, namely: 1873.—May 26, H. B. Anthony, $4,497.20; June 23, W. A. Buckingham, $4,553.60; May 21, R. E. Fenton, $4,184; June 2, F. T. Frelinghuysen, $4,644.80; May 19, H. Hamlin, $4,136; August 14, O. P. Morton, $3,922.40; April 9, D. D. Pratt, $4,121.60; August 25, A. Ramsey, $3,041.40; March 28, C. Schurz, $3,761.60; May 9, John Scott, $4,733.06; July 11, John Sherman, $4,336.40; May 2, C. Sumner, $4,445.60; May 22, A. G. Thurman, $4,359.20; March 28, Henry Wilson, $4,448; September 6, George G. Wright, $3,140 80.

Note.—Several of these Senators, as well as others who have not either drawn or covered into the Treasury the amounts due them under the retroactive provision of the act of 1873, expressed to me their intention to allow the money to lapse into the Treasury by the ordinary operation of law, which they supposed would occur July 3, 1873. After learning that it could not be covered in, except by their order, before July 3, 1875, some gave me written instructions to anticipate the latter date. I am unable to furnish from any information in my office the names of Senators who themselves paid into the Treasury salary drawn under the act of 1873 or previous acts.

I have not furnished the names of Senators who have left increased salary undrawn, as this information was not called for in the resolution.

IV.—A Comparative Statement.

Total compensation and allowance of Senators, under act of July 28, 1866, from March 4, 1871, to March 3, 1872: Compensation, $370,000; mileage, $37,041.20; stationery and newspapers, $9,250; total, $416,291.20; average per Senator, $5,625.55–²³⁄₃₇.

Under same act, from March 4, 1872, to March 3, 1873, during which year members of the Senate received mileage for attending the special session of the Senate, held in May, 1872, the following amounts were paid: Compensation, $370,000; mileage, $59,002.80; newspapers and stationery, $9,250; total, $438,252.80; average per Senator, $5,922 23–¹⁹⁄₃₇.

Total compensation and allowance of Senators under act of March 3, 1873: Compensation, $555,000; traveling expenses, based upon the certificates of forty-six Senators, (twenty-eight having presented none,) amounting to $4,607 95, giving an average of $100 17×74=$7,412.58; total, $562,412.58; average per Senator, $7,600 17.

In connection with this were statements, prepared by the Secretary of the Senate, and laid before that body by Senator Cameron, January 9, 1874, of the amounts of mileage paid in dollars (cents omitted) at particular dates under the acts of 1856 and 1866, are given. The act of 1856 fixed mileage at forty cents per mile each way, and the act of 1866 fixed it at twenty cents per mile each way.

Returning Boards.

At the second session of the 42d Congress that body, and the President as well, were compelled to consider a new question in connection with politics—an actual conflict of State Governments.

There had always been, in well regulated State governments, returning boards, but with a view the better to guard the newly enfranchised citizens of the South from intimidation, the Louisiana Republicans, under very bold and radical leaders, had greatly strengthened the powers of her returning boards. It could canvass the votes, reject the returns in part or as a whole of parishes where force or fraud had been used, and could declare results after such revision. The Governor of Louisiana had made several removals and appointments of State officers for the purpose mainly of making a friendly majority in the returning board, and this led to the appointment of two bodies, both claiming to be the legitimate returning board. There soon followed two State governments and legislatures, the Democratic headed by Governor John McEnery, the Republican by Governor Wm. Pitt Kellogg, later in the U. S. Senate.

Kellogg brought suit against the Democratic officers before Judge Durell, of the Federal District Court, and obtained an order that the U. S. Marshal (S. B. Packard, afterwards Governor), should seize the State House and prevent the meetings of the McEnery legislature.

Then both governments were hastily inaugurated, and claimed the recognition of Congress. The Senate Committee reported that Judge Durell’s decision was not warranted, but the report refused a decisive recognition of either government. A bill was introduced declaring the election of Nov. 4, 1872, on which this condition of affairs was based, null and void, and providing for a new election, but this bill was defeated by a close vote. Later on, Louisiana claimed a large share in National politics. Somewhat similar troubles occurred in Alabama, Arkansas, and Texas, but they were settled with far greater ease than those of Louisiana. The correspondence in all of these cases was too

voluminous to reproduce here, and we shall dismiss the subject until the period of actual hostilities were reached in Louisiana.

The Grangers.

So early as 1867 a secret society had been formed first in Washington, known as the Patrons of Husbandry, and it soon succeeded in forming subordinate lodges or granges in Illinois, Wisconsin, and other States. It was declared not to be political; that its object was co-operation among farmers in purchasing supplies from first hands, so as to do away with middle-men, but, like many other secret organizations, it was soon perverted to political purposes, and for a time greatly disturbed the political parties of the Western States. This was especially true of the years 1873–74, when the Grangers announced a contemplated war on railroad corporations, and succeeded in carrying the legislatures of Illinois and Wisconsin, and inducing them subsequently to pass acts, the validity of which the Supreme Courts of the State, under a temporary popular pressure which was apparently irresistible, could not sustain. The effect of these laws was to almost bankrupt the Illinois Central, theretofore wealthy, to cripple all railroads, to interfere largely with foreign exports, and to react against the interests of the people of the States passing them, that the demand for repeal was soon very much greater than the original demand for passage. As these laws, though repealed, are still often referred to in the discussion of political and corporate questions, we give the text of one of them:

Illinois Railroad Act of 1873.

An Act to prevent extortion and unjust discrimination in the rates charged for the transportation of passengers and freights on railroads in this State, and to punish the same, and prescribe a mode of procedure and rules of evidence in relation thereto, and to repeal an act entitled “An act to prevent unjust discrimination and extortions in the rates to be charged by the different railroads in this State for the transportation of freights on said roads,” approved April 7, A. D. 1871.

Section 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly, If any railroad corporation, organized or doing business in this State under any act of incorporation, or general law of this State now in force, or which may hereafter be enacted, or any railroad corporation organized or which may hereafter be organized under the laws of any other State, and doing business in this State, shall charge, collect, demand, or receive more than a fair and reasonable rate of toll or compensation for the transportation of passengers or freight of any description, or for the use and transportation of any railroad car upon its track, or any of the branches thereof, or upon any railroad within this State which it has the right, license, or permission to use, operate, or control, the same shall be deemed guilty of extortion, and upon conviction thereof shall be dealt with as hereinafter provided.

Sec. 2. If any such railroad corporation aforesaid shall make any unjust discrimination in its rates or charges of toll, or compensation, for the transportation of passengers or freight of any description, or for the use and transportation of any railroad car upon its said road, or upon any of the branches thereof, or upon railroads connected therewith, which it has the right, license, or permission to operate, control, or use, within this State, the same shall be deemed guilty of

having violated the provisions of this act, and upon conviction thereof shall be dealt with as hereinafter provided.

Sec. 3. If any such railroad corporation shall charge, collect, or receive for the transportation of any passenger, or freight of any description, upon its railroad, for any distance within this State, the same or a greater amount of toll or compensation than is at the same time charged, collected, or received for the transportation, in the same direction, of any passenger, or like quantity of freight of the same class, over a greater distance of the same railroad; or if it shall charge, collect, or receive at any point upon this railroad a higher rate of toll or compensation for receiving, handling, or delivering freight of the same class and quantity than it shall at the same time charge, collect, or receive at any other point upon the same railroad; or if it shall charge, collect or receive for the transportation of any passenger, or freight of any description, over its railroad a greater amount as toll or compensation than shall at the same time be charged, collected, or received by it for the transportation of any passenger or like quantity of freight of the same class, being transported in the same direction over any portion of the same railroad of equal distance; or if it shall charge, collect, or receive from any person or persons a higher or greater amount of toll or compensation than it shall at the same time charge, collect, or receive from any other person or persons for receiving, handling, or delivering freight of the same class and like quantity at the same point upon its railroad; or if it shall charge, collect, or receive from any person or persons for the transportation of any freight upon its railroad a higher or greater rate of toll or compensation than it shall at the same time charge, collect, or receive from any other person or persons for the transportation of the like quantity of freight of the same class being transported from the same direction over equal distances of the same railroad; or if it shall charge, collect, or receive from any person or persons for the use and transportation of any railroad car or cars upon its railroad for any distance the same or a greater amount of toll or compensation than is at the same time charged, collected, or received from any person or persons for the use and transportation of any railroad car of the same class or number, for a like purpose, being transported in the same direction over a greater distance of the same railroad; or if it shall charge, collect, or receive from any person or persons for the use and

transportation of any railroad car or cars upon its railroad a higher or greater rate of toll or compensation than it shall at the same time charge, collect, or receive from any other person or persons for the use and transportation of any railroad car or cars of the same class or number, for a like purpose, being transported from the same point in the same direction over an equal distance of the same railroad; all such discriminating rates, charges, collections, or receipts, whether made directly or by means of any rebate, drawback, or other shift or evasion, shall be deemed and taken against such railroad corporation as prima facie evidence of the unjust discriminations prohibited by the provisions of this act, and it shall not be deemed a sufficient excuse or justification of such discriminations on the part of such railroad corporation, that the railway station or point at which it shall charge, collect, or receive the same or less rates of toll or compensation for the transportation of such passenger or freight, or for the use and transportation of such railroad car the greater distance than for the shorter distance, is a railway station or point at which there exists competition with any other railroad or means of transportation. This section shall not be construed so as to exclude other evidence tending to show any unjust discrimination in freight and passenger rates. The provisions of this section shall extend and apply to any railroad, the branches thereof, and any road or roads which any railroad corporation has the right, license, or permission to use, operate, or control, wholly or in part, within the State: Provided, however, That nothing herein contained shall be so construed as to prevent railroad corporations from issuing commutation, excursion, or thousand mile tickets, as the same are now issued by such corporations.

Sec. 4. Any such railroad corporation guilty of extortion, or of making any unjust discrimination as to passenger or freight rates, or the rates for the use and transportation of railroad cars, or in receiving, handling, or delivering freights shall, upon conviction thereof, be fined in any sum not less than one thousand dollars ($1,000) nor more than five thousand dollars ($5,000) for the first offense; and for the second offense not less than five thousand dollars ($5,000) nor more than ten thousand dollars ($10,000;) and for the third offense not less than ten thousand dollars ($10,000) nor more than twenty thousand dollars ($20,000;) and for every subsequent offense and conviction thereof shall be liable to a fine of

twenty-five thousand dollars ($25,000:) Provided, That in all cases under this act either party shall have the right of trial by jury.

Sec. 5. The fines hereinbefore provided for may be recovered in an action of debt in the name of the people of the State of Illinois, and there may be several counts joined in the same declaration as to extortion and unjust discrimination, and as to passenger and freight rates, and rates for the use and transportation of railroad cars, and for receiving, handling, or delivering freights. If, upon the trial of any case instituted under this act, the jury shall find for the people, they shall assess and return with their verdict the amount of the fine to be imposed upon the defendant, at any sum not less than one thousand dollars ($1,000) nor more than five thousand dollars ($5,000,) and the court shall render judgment accordingly; and if the jury shall find for the people, and that the defendant has been once before convicted of a violation of the provisions of this act, they shall return such finding with their verdict, and shall assess and return with their verdict the amount of the fine to be imposed upon the defendant, at any sum not less than five thousand dollars ($5,000) nor more than ten thousand dollars ($10,000,) and the court shall render judgment accordingly; and if the jury shall find for the people, and that the defendant has been twice before convicted of a violation of the provisions of this act, with respect to extortion or unjust discrimination, they shall return such finding with their verdict, and shall assess and return with their verdict the amount of the fine to be imposed upon the defendant, at any sum not less than ten thousand dollars ($10,000) nor more than twenty thousand dollars ($20,000;) and in like manner for every subsequent offense and conviction such defendant shall be liable to a fine of twenty-five thousand dollars ($25,000.) Provided, That in all cases under the provisions of this act a preponderance of evidence in favor of the people shall be sufficient to authorize a verdict and judgment for the people.

Sec. 6. If any such railroad corporation shall, in violation of any of the provisions of this act, ask, demand, charge, or receive of any person or corporation, any extortionate charge or charges for the transportation of any passengers, goods, merchandise, or property, or for receiving, handling, or delivering freights, or shall make any unjust discrimination against any person or corporation in its charges therefor, the person or corporation so offended against may

for each offense recover of such railroad corporation, in any form of action, three times the amount of the damages sustained by the party aggrieved, together with cost of suit and a reasonable attorney’s fee, to be fixed by the court where the same is heard, on appeal or otherwise, and taxed as a part of the costs of the case.

Sec. 7. It shall be the duty of the railroad and warehouse commissioners to personally investigate and ascertain whether the provisions of this act are violated by any railroad corporation in this State, and to visit the various stations upon the line of each railroad for that purpose, as often as practicable; and whenever the facts in any manner ascertained by said commissioners shall in their judgment warrant such prosecution, it shall be the duty of said commissioners to immediately cause suits to be commenced and prosecuted against any railroad corporation which may violate the provisions of this act. Such suits and prosecutions may be instituted in any county in the State, through or into which the line of the railroad corporation sued for violating this act may extend. And such railroad and warehouse commissioners are hereby authorized, when the facts of the case presented to them shall, in their judgment, warrant the commencement of such action, to employ counsel to assist the Attorney-General in conducting such suit on behalf of the State. No such suits commenced by said commissioners shall be dismissed, except said railroad and warehouse commissioners and the Attorney-General shall consent thereto.

Sec. 8. The railroad and warehouse commissioners are hereby directed to make for each of the railroad corporations doing business in this State, as soon as practicable, a schedule of reasonable maximum rates of charges for the transportation of passengers and freight and cars on each of said railroads; and said schedule shall, in all suits brought against any such railroad corporations, wherein is in any way involved the charges of any such railroad corporation for the transportation of any passenger or freight or cars, or unjust discrimination in relation thereto, be deemed and taken, in all courts of this State, as prima facie evidence that the rates therein fixed are reasonable maximum rates of charges for the transportation of passengers and freights and cars upon the railroads for which said schedules may have been respectively prepared. Said commissioners shall, from time to time, and as often as circumstances may require,

change and revise said schedules. When such schedules shall have been made or revised as aforesaid, it shall be the duty of said commissioners to cause publication thereof to be made for three successive weeks, in some public newspaper published in the city of Springfield in this state: “Provided, That the schedules thus prepared shall not be taken as prima facie evidence as herein provided until schedules shall have been prepared and published as aforesaid for all the railroad companies now organized under the laws of this State, and until the fifteenth day of January, A. D. 1874, or until ten days after the meeting of the next session of this General Assembly, provided a session of the General Assembly shall be held previous to the fifteenth day of January aforesaid.” All such schedules, purporting to be printed and published as aforesaid, shall be received and held, in all such suits, as prima facie the schedules of said commissioners, without further proof than the production of the paper in which they were published, together with the certificate of the publisher of said paper that the schedule therein contained is a true copy of the schedule furnished for publication by said commissioners, and that it has been published the above specified time; and any such paper purporting to have been published at said city, and to be a public newspaper, shall be presumed to have been so published at the date thereof, and to be a public newspaper.

Sec. 10. In all cases under the provisions of this act, the rules of evidence shall be the same as in other civil actions, except as hereinbefore otherwise provided. All fines recovered under the provisions of this act shall be paid into the county treasury of the county in which the suit is tried, by the person collecting the same, in the manner now provided by law, to be used for county purposes.

The remedies hereby given shall be regarded as cumulative to the remedies now given by law against railroad corporations, and this act shall not be construed as repealing any statute giving such remedies.

Suits commenced under the provisions of this act shall have precedence over all other business, except criminal business.

Sec. 11. The term “railroad corporation,” contained in this act, shall be deemed and taken to mean all corporations, companies, or individuals now owning or operating, or which may hereafter own or operate any railroad, in whole or in part, in this State; and the provisions of this act shall apply to all persons, firms, and

companies, and to all associations of persons, whether incorporated or otherwise, that shall do business as common carriers upon any of the lines of railways in this State (street railways excepted) the same as to railroad corporations thereinbefore mentioned.

Sec. 12. An act entitled “An act to prevent unjust discriminations and extortions in the rates to be charged by the different railroads in this State for the transportation of freight on said roads,” approved April 7, A. D. 1871, is hereby repealed, but such repeal shall not affect nor repeal any penalty incurred or right accrued under said act prior to the time this act takes effect, nor any proceedings or prosecutions to enforce such rights or penalties.

Approved May 2, 1873.

S. M. Cullom, Speaker House of Representatives.

John Early, President of the Senate.

John L. Beveridge, Governor.

The same spirit, if not the same organization, led to many petitions to Congress for the regulation of inter-state commerce and freight rates, and to some able reports on the subject. Those which have commanded most attention were by Senator Windom of Minnesota and Representative Reagan of Texas, the latter being the author of a bill which commanded much consideration from Congress in the sessions of 1878–’80, but which has not yet secured favorable action.

In lieu of such bill Senator Cameron, of Pennsylvania, introduced a joint resolution for the appointment of a Commission to investigate and report upon the entire question. Final action has not yet been taken, and at this writing interest in the subject seems to have flagged.

The disastrous political action attempted by the Grangers in Illinois and Wisconsin, led to such general condemnation that subsequent attempts were abandoned save in isolated cases, and as a rule the society has passed away. The principle upon which it was

based was wholly unsound, and if strictly carried out, would destroy all home improvements and enterprise. Parties and societies based upon a class, and directed or perverted toward political objects, are very happily short-lived in this Republic of ours. If they could thrive, the Republic could not long endure.

Supplementary Civil Rights Bill.

Senator Sumner’s Supplementary Civil Rights Bill was passed by the second session of the 43d Congress, though its great author had died the year before—March 11th, 1874. The text of the Act is given in Book V. of this volume, on Existing Political Laws. Its validity was sustained by the U. S. District Courts in their instructions to grand juries. The first conviction under the Act was in Philadelphia, in February, 1876. Rev. Fields Cook, pastor of the Third Baptist colored church of Alexandria, Virginia, was refused sleeping and eating accommodations at the Bingham House, by Upton S. Newcomer, one of its clerks; and upon the trial of the case, in the U. S. District Court, John Cadwalader, Judge, instructed the jury as follows: The fourteenth amendment of the Constitution of the United States makes all persons born or naturalized in the United States, and subject to the jurisdiction thereof, citizens of the United States, and provides that no State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State * * * deny to any person within its jurisdiction the equal protection of the laws. This amendment expressly gives to Congress the power to enforce it by appropriate legislation. An act of Congress of March 1, 1875, enacts that all persons within the jurisdiction of the United States shall be entitled to the full and equal enjoyment of the accommodations, advantages, facilities and privileges of inns, public conveyances on land or water, theatres and other places of public amusement, subject only to the conditions and limitations established by law, and applicable alike to citizens of every race and color, and makes it a criminal offense to violate these enactments by denying to any citizen, except for reasons by law applicable to citizens of every race and color, * * * the full enjoyment of any of the accommodations, advantages, facilities or privileges enumerated. As the law of Pennsylvania had stood until the 22d of March, 1867, it was not wrongful for innkeepers or carriers by land

or water to discriminate against travelers of the colored race to such an extent as to exclude them from any part of the inns or public conveyances which was set apart for the exclusive accommodation of white travelers. The Legislature of Pennsylvania, by an act of 22d of March, 1867, altered the law in this respect as to passengers on railroads. But the law of the State was not changed as to inns by any act of the State Legislature. Therefore, independently of the amendment of the Constitution of the United States and of the act of Congress now in question, the conduct of the defendant on the occasion in question might, perhaps, have been lawful. It is not necessary to express an opinion upon this point, because the decision of the case depends upon the effect of this act of Congress. I am under opinion that under the Fourteenth Amendment of the Constitution the enactment of this law was within the legislative power of Congress, and that we are bound to give effect to the act of Congress according to its fair meaning. According to this meaning of the act I am of opinion that if this defendant, being in charge of the business of receiving travelers in this inn, and of providing necessary and proper accommodations for them in it, refused such accommodations to the witness Cook, then a traveler, by reason of his color, the defendant is guilty in manner and form as he stands indicted. If the case depended upon the unsupported testimony of this witness alone, there might be some reason to doubt whether this defendant was the person in charge of this part of the business. But under this head the additional testimony of Mr. Annan seems to be sufficient to remove all reasonable doubt. If the jury are convinced of the defendant’s identity, they will consider whether any reasonable doubt of his conduct or motives in refusing the accommodations to Fields Cook can exist. The case appears to the court to be proved; but this question is for the jury, not for the court. If the jury have any reasonable doubt, they should find the defendant not guilty; otherwise they will find him guilty.

The jury brought in a verdict of guilty, March 1, 1876, and the Court imposed a fine of $500.

The Morton Amendment.

In the session of ’73, Senator Morton, of Indiana, introduced an amendment to the Constitution providing for the general choice of Presidential Electors by Congressional districts, and delivered several speeches on the subject which attracted much attention at the time. Since then many amendments have been introduced on the subject, and it is a matter for annual discussion. We quote the Morton Amendment as the one most likely to command favorable action: “Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, (two-thirds of each House concurring therein:) That the following article is hereby proposed as an amendment to the Constitution of the United States, and, when ratified by the Legislatures of three-fourths of the several States, shall be valid, to all intents and purposes, as a part of the Constitution, to wit: “Article —.

“I. The President and Vice-President shall be elected by the direct vote of the people in the manner following: Each State shall be divided into districts, equal in number to the number of Representatives to which the State may be entitled in the Congress, to be composed of contiguous territory, and to be as nearly equal in population as may be; and the person having the highest number of votes in each district for President shall receive the vote of that district, which shall count one presidential vote.

“II. The person having the highest number of votes for President in a State shall receive two presidential votes from the State at large.

“III. The person having the highest number of presidential votes in the United States shall be President.

“IV. If two persons have the same number of votes in any State, it being the highest number, they shall receive each one presidential vote from the State at large; and if more than two persons shall have each the same number of votes in any State, it being the highest number, no presidential vote shall be counted from the State at large.

If more persons than one shall have the same number of votes, it being the highest number in any district, no presidential vote shall be counted from that district.

“V. The foregoing provisions shall apply to the election of VicePresident.

“VI. The Congress shall have power to provide for holding and conducting the elections of President and Vice-President, and to establish tribunals for the decision of such elections as may be contested.”

VII. The States shall be divided into districts by the legislatures thereof, but the Congress may at any time by law make or alter the same.

The present mode of election is given in Book V. of this volume.

The Whisky Ring.

During 1875 an extensive Whisky Ring, organized to control revenue legislation and avoidance of revenue taxes, was discovered in the West. It was an association of distillers in collusion with Federal officers, and for a time it succeeded in defrauding the government of the tax on distilled spirits. This form of corruption, after the declaration by President Grant—“let no guilty man escape”—was traced by detectives to the portals of the White House, but even partisan rancor could not connect the President therewith.

O. E. Babcock, however, was his private Secretary, and upon him was charged complicity with the fraud. He was tried and acquitted, but had to resign. Several Federal officers were convicted at St. Louis.

Impeachment of Belknap.

Another form of corruption was discovered in 1876, when the House impeached Wm. W. Belknap, the Secretary of War, on the charge of selling an Indian trading establishment. The first and main specification was, that— On or about the second day of November, eighteen hundred and seventy, said William W. Belknap, while Secretary of War as aforesaid, did receive from Caleb P. Marsh fifteen hundred dollars, in consideration of his having appointed said John S. Evans to maintain a trading establishment at Fort Sill aforesaid, and for continuing him therein.

The following summary of the record shows the result, and that Belknap escaped punishment by a refusal of two-thirds to vote “guilty:” The examination of witnesses was begun, and continued on various days, till July 26, when the case was closed.

August 1.—The Senate voted. On the first article, thirty-five voted guilty, and twenty-five not guilty. On the second, third and fourth, Mr. Maxey made the thirty-sixth who voted guilty. On the fifth, Mr. Morton made the thirty-seventh who voted guilty. The vote on first was: Voting Guilty—Messrs. Bayard, Booth, Cameron of Pennsylvania, Cockrell, Cooper, Davis, Dawes, Dennis, Edmunds, Gordon, Hamilton, Harvey, Hitchcock, Kelly, Kernan, Key, McCreery, McDonald, Merrimon, Mitchell, Morrill of Vermont, Norwood, Oglesby, Randolph, Ransom, Robertson, Sargent, Saulsbury, Sherman, Stevenson, Thurman, Wadleigh, Wallace, Whyte, Withers—35.

Voting Not Guilty—Messrs. Allison, Anthony, Boutwell, Bruce, Cameron of Wisconsin, Christiancy, Conkling, Conover, Cragin,

Dorsey, Eaton, Ferry of Michigan, Frelinghuysen, Hamlin, Howe, Ingalls, Jones of Nevada, Logan, McMillan, Paddock, Patterson, Spencer, West, Windom, Wright—25.

Mr. Jones of Florida declined to vote. Those “voting not guilty” generally denied jurisdiction, and so voted accordingly. Belknap had resigned and the claim was set up that he was a private citizen.

The White League.

By 1874 the Democrats of the South, who then generally classed themselves as Conservatives, had gained control of all the State governments except those of Louisiana, Florida and South Carolina.

In nearly all, the Republican governments had called upon President Grant for military aid in maintaining their positions, but this was declined except in the presence of such outbreak as the proper State authorities could not suppress. In Arkansas, Alabama, Mississippi, and Texas, Grant declined to interfere save to cause the AttorneyGeneral to give legal advice. The condition of all these governments demanded constant attention from the Executive, and his task was most difficult and dangerous. The cry came from the Democratic partisans in the South for home-rule; another came from the negroes that they were constantly disfranchised, intimidated and assaulted by the White League, a body of men organized in the Gulf States for the purpose of breaking up the “carpet-bag governments.” So conflicting were the stories, and so great the fear of a final and destructive war of races, that the Congressional elections in the North were for the first time since the war greatly influenced. The Forty-fourth Congress, which met in December, 1875, had been changed by what was called “the tidal wave,” from Republican to Democratic, and M. C. Kerr, of Indiana, was elected Speaker. The Senate remained Republican with a reduced margin.

The troubles in the South, and especially in Louisiana, had been in the year previous and were still of the gravest character. Gen’l Sheridan had been sent to New Orleans and on the 10th of January, 1875, made a report which startled the country as to the doings of the White League. As it still remains a subject for frequent quotation we give its text: SHERIDAN’S REPORT.

New Orleans, January 10, 1875.

Hon. W. W. Belknap, Secretary of War. Since the year 1866, nearly thirty-five hundred persons, a great majority of whom were colored men, have been killed and wounded in this State. In 1868 the official record shows that eighteen hundred and eighty-four were killed and wounded. From 1868 to the present time, no official investigation has been made, and the civil authorities in all but a few cases have been unable to arrest, convict and punish perpetrators. Consequently, there are no correct records to be consulted for information. There is ample evidence, however, to show that more than twelve hundred persons have been killed and wounded during this time, on account of their political sentiments.

Frightful massacres have occurred in the parishes of Bossier, Caddo, Catahoula, Saint Bernard, Saint Landry, Grant and Orleans. The general character of the massacres in the above named parishes is so well known that it is unnecessary to describe them. The isolated cases can best be illustrated by the following instances which I have taken from a mass of evidence now lying before me of men killed on account of their political principles. In Natchitoches Parish, the number of isolated cases reported is thirty-three. In the parish of Bienville, the number of men killed is thirty. In Red River Parish the number of isolated cases of men killed is thirty-four. In Winn Parish the number of isolated cases where men were killed is fifteen. In Jackson Parish the number killed is twenty; and in Catahoula Parish the number of isolated cases reported where men were killed is fifty; and most of the country parishes throughout the State will show a corresponding state of affairs. The following statement will illustrate the character and kind of these outrages. On the 29th of August, 1874, in Red River Parish, six State and parish officers, named Twitchell, Divers, Holland, Howell, Edgerton and Willis, were taken, together with four negroes, under guard, to be carried out of the State, and were deliberately murdered on the 30th of August, 1874.

The White League tried, sentenced, and hung two negroes on the 28th of August, 1874. Three negroes were shot and killed at Brownsville, just before the arrival of the United States troops in the parish. Two White Leaguers rode up to a negro cabin and called for a

drink of water. When the old colored man turned to draw it, they shot him in the back and killed him. The courts were all broken up in this district, and the district judge driven out. In the parish of Caddo, prior to the arrival of the United States troops, all of the officers at Shreveport were compelled to abdicate by the White League, which took possession of the place. Among those obliged to abdicate were Walsh, the mayor, Rapers, the sheriff, Wheaton, clerk of the court, Durant, the recorder, and Ferguson and Renfro, administrators. Two colored men, who had given evidence in regard to frauds committed in the parish, were compelled to flee for their lives and reached this city last night, having been smuggled through in a cargo of cotton. In the parish of Bossier the White League have attempted to force the abdication of Judge Baker, the United States Commissioner and parish judge, together with O’Neal, the sheriff, and Walker, the clerk of the court; and they have compelled the parish and district courts to suspend operations. Judge Baker states that the White Leaguers notified him several times that if he became a candidate on the republican ticket, or if he attempted to organize the republican party, he should not live until election.

They also tried to intimidate him through his family by making the same threats to his wife, and when told by him that he was a United States commissioner, they notified him not to attempt to exercise the functions of his office. In but few of the country parishes can it be truly said that the law is properly enforced, and in some of the parishes the judges have not been able to hold court for the past two years. Human life in this State is held so cheaply, that when men are killed on account of political opinions, the murderers are regarded rather as heroes than as criminals, in the localities where they reside, and by the White League and their supporters. An illustration of the ostracism that prevails in the State may be found in a resolution of a White League club in the parish of De Soto, which states, “That they pledge themselves under (no?) circumstances after the coming election to employ, rent land to, or in any other manner give aid, comfort, or credit, to any man, white or black, who votes against the nominees of the white man’s party.” Safety for individuals who express their opinion in the isolated portion of this State has existed only when that opinion was in favor of the principles and party supported by the Ku-Klux and White League organizations. Only yesterday Judge Myers, the parish judge of the parish of

Natchitoches, called on me upon his arrival in this city, and stated that in order to reach here alive, he was obliged to leave his home by stealth, and after nightfall, and make his way to Little Rock, Arkansas, and come to this city by way of Memphis. He further states that while his father was lying at the point of death in the same village, he was unable to visit him for fear of assassination; and yet he is a native of the parish, and proscribed for his political sentiments only. It is more than probable that if bad government has existed in this State it is the result of the armed organizations, which have now crystallized into what is called the White League; instead of bad government developing them, they have by their terrorism prevented to a considerable extent the collection of taxes, the holding of courts, the punishment of criminals, and vitiated public sentiment by familiarizing it with the scenes above described. I am now engaged in compiling evidence for a detailed report upon the above subject, but it will be some time before I can obtain all the requisite data to cover the cases that have occurred throughout the State. I will also report in due time upon the same subject in the States of Arkansas and Mississippi.

P. H. Sheridan, Lieutenant-General.

President Grant said in a special message to Congress, January 13, 1875:— “It has been bitterly and persistently alleged that Kellogg was not elected. Whether he was or not is not altogether certain, nor is it any more certain that his competitor, McEnery, was chosen. The election was a gigantic fraud, and there are no reliable returns of its result.

Kellogg obtained possession of the office, and in my opinion has more right to it than his competitor.

“On the 20th of February, 1873, the Committee on Privileges and Elections of the Senate made a report, in which they say they were satisfied by testimony that the manipulation of the election machinery by Warmoth and others was equivalent to twenty thousand votes; and they add, to recognize the McEnery government ‘would be recognizing a government based upon fraud, in defiance of the wishes and intention of the voters of the State.’ Assuming the correctness of the statements in this report, (and they seem to have

been generally accepted by the country,) the great crime in Louisiana, about which so much has been said, is, that one is holding the office of governor who was cheated out of twenty thousand votes, against another whose title to the office is undoubtedly based on fraud, and in defiance of the wishes and intentions of the voters of the State.

“Misinformed and misjudging as to the nature and extent of this report, the supporters of McEnery proceeded to displace by force in some counties of the State the appointees of Governor Kellogg; and on the 13th of April, in an effort of that kind, a butchery of citizens was committed at Colfax, which in blood-thirstiness and barbarity is hardly surpassed by any acts of savage warfare.

“To put this matter beyond controversy, I quote from the charge of Judge Woods, of the United States circuit court, to the jury in the case of the United States vs. Cruikshank and others, in New Orleans, in March, 1874. He said: “‘In the case on trial there are many facts not in controversy. I proceed to state some of them in the presence and hearing of counsel on both sides; and if I state as a conceded fact any matter that is disputed, they can correct me.’

“After stating the origin of the difficulty, which grew out of an attempt of white persons to drive the parish judge and sheriff, appointees of Kellogg, from office, and their attempted protection by colored persons, which led to some fighting in which quite a number of negroes were killed, the judge states: “‘Most of those who were not killed were taken prisoners. Fifteen or sixteen of the blacks had lifted the boards and taken refuge under the floor of the courthouse. They were all captured. About thirtyseven men were taken prisoners; the number is not definitely fixed.

They were kept under guard until dark. They were led out, two by two, and shot. Most of the men were shot to death. A few were wounded, not mortally, and by pretending to be dead were afterward, during the night, able to make their escape. Among them was the Levi Nelson named in the indictment. “‘The dead bodies of the negroes killed in this affair were left unburied until Tuesday, April 15, when they were buried by a deputy marshal and an officer of the militia from New Orleans. These

persons found fifty-nine dead bodies. They showed pistol-shot wounds, the great majority in the head, and most of them in the back of the head. In addition to the fifty-nine dead bodies found, some charred remains of dead bodies were discovered near the courthouse.

Six dead bodies were found under a warehouse, all shot in the head but one or two, which were shot in the breast. “‘The only white men injured from the beginning of these troubles to their close were Hadnot and Harris. The courthouse and its contents were entirely consumed. “‘There is no evidence that any one in the crowd of whites bore any lawful warrant for the arrest of any of the blacks. There is no evidence that either Nash or Cazabat, after the affair, ever demanded their offices, to which they had set up claim, but Register continued to act as parish judge, and Shaw as Sheriff. “‘These are facts in this case, as I understand them to be admitted.’

“To hold the people of Louisiana generally responsible for these atrocities would not be just; but it is a lamentable fact that insuperable obstructions were thrown in the way of punishing these murderers, and the so-called conservative papers of the State not only justified the massacre, but denounced as Federal tyranny and despotism the attempt of the United States officers to bring them to justice. Fierce denunciations ring through the country about officeholding and election matters in Louisiana, while every one of the Colfax miscreants goes unwhipped of justice, and no way can be found in this boasted land of civilization and Christianity to punish the perpetrators of this bloody and monstrous crime.

“Not unlike this was the massacre in August last. Several northern young men of capital and enterprise had started the little and flourishing town of Coushatta. Some of them were republicans and office-holders under Kellogg. They were therefore doomed to death.

Six of them were seized and carried away from their homes and murdered in cold blood. No one has been punished; and the conservative press of the State denounced all efforts to that end, and boldly justified the crime.”

The House on the 1st of March, 1875, by a strict party vote, 155 Republicans to 86 Democrats, recognized the Kellogg government.

The Senate did the same on March 5th, by 33 to 23, also a party vote.

Under the influence of the resolution unanimously adopted by the House of Representatives of the United States, recommending that the House of Representatives of that State seat the persons rightfully entitled thereto from certain districts, the whole subject was, by consent of parties, referred to the Special Committee of the House who examined into Louisiana affairs, viz.: Messrs. George F. Hoar, William A. Wheeler, William P. Frye, Charles Foster, William Walter Phelps, Clarkson N. Potter and Samuel S. Marshall, who, after careful examination, made an award, which was adopted by the Legislature in April, 1875. It is popularly known as the “Wheeler Compromise.”

Text of the Wheeler Compromise.

New Orleans, March, 1875.

Whereas, It is desirable to adjust the difficulties growing out of the general election in this State, in 1872, the action of the Returning Board in declaring and promulgating the results of the general election, in the month of November last, and the organization of the House of Representatives, on the 4th day of January last, such adjustment being deemed necessary to the re-establishment of peace and order in this State.

Now, therefore, the undersigned members of the Conservative party, claiming to have been elected members of the House of Representatives, and that their certificates of election have been illegally withheld by the Returning Board, hereby severally agree to submit their claims to seats in the House of Representatives to the award and arbitrament of George F. Hoar, William A. Wheeler, William P. Frye, Charles Foster, William Walter Phelps, Clarkson N. Potter, and Samuel S. Marshall, who are hereby authorized to examine and determine the same upon the equities of the several cases; and when such awards shall be made, we hereby severally agree to abide by the same: And such of us as may become members of the House of Representatives, under this arrangement, hereby severally agree to sustain by our influence and votes the joint resolution herein set forth.

[Here follow the signatures of the Democrats who claimed that their certificates of election as members of the House of Representatives had been illegally withheld by the Returning Board.]

And the undersigned claiming to have been elected Senators from the Eighth and Twenty-Second Senatorial Districts, hereby agree to

submit their claims to the foregoing award and arbitrament, and in all respects to abide the results of the same.

[Here follow the signatures of the Democrats, who made a like claim as to seats in the Senate.]

And the undersigned, holding certificates of election from the Returning Board, hereby severally agree that upon the coming in of the award of the foregoing arbitrators they will, when the same shall have been ratified by the report of the Committee on Elections and Qualifications of the body in session at the State House claiming to be the House of Representatives, attend the sitting of the said House for the purpose of adopting said report, and if said report shall be adopted, and the members embraced in the foregoing report shall be seated, then the undersigned severally agree that immediately upon the adoption of said report they will vote for the following joint resolution: [Here follow the signatures of the Democratic members of the House of Representatives in relation to whose seats there was no controversy.]

JOINT RESOLUTION. Resolved, by the General Assembly of the State of Louisiana, That said Assembly, without approving the same, will not disturb the present State Government claiming to have been elected in 1872, known as the Kellogg Government, or seek to impeach the Governor for any past official acts, and that henceforth it will accord to said Governor all necessary and legitimate support in maintaining the laws and advancing the peace and prosperity of the people of this State: and that the House of Representatives, as to its members, as constituted under the award of George F. Hoar, W. A. Wheeler, W. P. Frye, Charles Foster, Samuel S. Marshall, Clarkson N. Potter, and William Walter Phelps, shall remain without change except by resignation or death of members until a new general election, and that the Senate, as now organized, shall also remain unchanged except so far as that body shall make changes on contests.

TEXT OF THE AWARD. New York, March 13, 1875.

The undersigned having been requested to examine the claims of the persons hereinafter named to seats in the Senate and House of Representatives of the State of Louisiana, and having examined the returns and the evidence relating to such claims, are of opinion, and do hereby find, award and determine, that F. S. Goode is entitled to a seat in the Senate from the Twenty-second Senatorial District; and that J. B. Elam is not entitled to a seat in the Senate from the Eighth Senatorial District; and that the following named persons are entitled to seats in the House of Representatives from the following named parishes respectively: From the Parish of Assumption, R. R. Beaseley, E. F. X. Dugas; from the Parish of Bienville, James Brice; from the Parish of De Soto, J. S. Scales, Charles Schuler; from the Parish of Jackson, E. Kidd; from the Parish of Rapides, James Jeffries, R. C. Luckett, G. W. Stafford; from the Parish of Terrebone, Edward McCollum, W. H. Keyes; from the Parish of Winn, George A. Kelley. And that the following named persons are not entitled to seats which they claim from the following named parishes respectively, but that the persons now holding seats from said parishes are entitled to retain the seats now held by them; from the Parish of Avoyelles, J. O. Quinn; from the Parish of Iberie, W. F. Schwing; from the Parish of Caddo, A. D. Land, T. R. Vaughan, J. J. Horan. We are of opinion that no person is entitled to a seat from the Parish of Grant.

In regard to most of the cases, the undersigned are unanimous; as to the others the decision is that of a majority.

George F. Hoar, W. A. Wheeler, W. P. Frye, Charles Foster, Clarkson N. Potter, William Walter Phelps, Samuel S. Marshall.