sed new taxes and duties. Tobacco, cotton, sugar,
hides, and other exports, were taxed; and 10 per cent. was levied on
house rent, on the sale of real property, and harbour dues.

All this, however, was insufficient, and as a last resort the expedient
of tampering with the currency was tried. Dollars were sent into
circulation at 20 per cent. above their commercial value. Money was
borrowed from the bank, which was in close connection with the mint, and
taxes were mortgaged in advance; while even the royal regalia was
pledged as security. Notes were issued far beyond the amount of cash
available for redemption, and a few years later the bank, its affairs
brought to irremediable confusion, stopped payment.

While these things were occurring, public discontent was growing; and in
order to divert the attention of the populace from internal troubles, a
war was determined on. French Guiana was near, and provided an
admirable object for the purpose. In 1809, when France was fully engaged
in European struggles, Guiana was attacked and captured with little
trouble. The colony capitulated, and remained Brazilian for six years,
when the Treaty of Vienna restored it to French rule.

The conquest was of great indirect value to Brazil, in that it led to
the introduction and free cultivation of agricultural products which had
either been non-existent in Brazil up to that time, or extirpated by the
crippling policy which Portugal pursued towards her colonies. Cinnamon,
for instance, had hitherto been destroyed wherever found in Brazil,
being regarded as a monopoly of the East Indies.

[Illustration: ARMS OF THE EMPIRE OF BRAZIL.]

[Illustration: ARMS OF UNITED KINGDOMS OF PORTUGAL, THE ALGARVES, AND
BRAZIL.]

The easy victory over Guiana induced the Regent to make attacks on the
Spanish colonies to the south and west of Brazil. Here, however willing
the colonists were to shake off their subjection to Spain, they by no
means desired to become subject to Brazil. It was just at this period
that the War of Independence was raging, and the Spanish colonies were
forming themselves into republics. Joao, fearing republicanism more
than he hated Spain, aided Elio, the Spanish Governor of the Plate
districts, with money and men in his attacks on the insurgents.

[Illustration: PEDRO I., EMPEROR OF BRAZIL.

_A. Rischgitz._]

Elio was defeated, and the new Republicans made a hostile entry into Rio
Grande and Sao Paolo. The Regent, feari