it—invited mediation; but the republican president sternly and steadily refused it. The popular vote sanctioned his course a few months later in re-electing him constitutional president of the Republic.
The defeat of the army of the Church was not immediately followed by peace, its scattered forces formed themselves into marauding bands, which robbed and murdered indiscriminately. It was not the fault of Juarez that peace was not at once restored, for, in addition to foes without, he had enemies in his own party. Personal ambition, and the desire of each one to carry out his various theories of government, caused divisions in the Liberal ranks. "The people had risen in arms against despotism; it was necessary to restore this body to their normal condition in the republic, and to cause them to return to their distinct social positions, from which they had been forcibly driven by the tumult and the necessities of the conflict. Each several State considered itself as a political entity, and was accustomed during the civil war to an unlimited sovereignty.
"With the varied and conflicting elements of the difficult situation were interwoven the pretensions of the diplomatic representatives, growing out of the different international questions which had arisen in the nation during the course of the civil war."
The country was entirely exhausted, it was impoverished, and the government without funds. To provide these it was compelled to resort to extraordinary measures, even to imprison capitalists and negotiate forced loans. [1] In this great strait it was resolved to suspend payment of the
- ↑ The obnoxious article in the law of 17th July, 1861, is as follows:— "Art. I. From the date of this law the government of the Union will recover the complete product of the federal revenues, deducting from them only the expenses of the administration of collecting and all payments are suspended for two years, including the assignments for the loan made in London and for the foreign conventions."
