The Pennsylvania packet, or, The general advertiser — Lancaster, Pa.;Philadelphia, Pa., 1783-05-31 00:00:00, page 2

Secondly. The Fate per cent, is fix'd, and it is not
t the option o' the United States to encreafe it.
Though the product wi I vary according to the variati
ons in trade yet,a there is this limitation of the rate,
it cannot be properly said to be indefinite as to q -an
tity.
By the confederation Congress havean ahfolifr dis
Cretion in determining the quantum of revenue r?qui
fite for the national expenditure. When this is done,
nothing remains for the ftat,s, fepirately, Mt the'mode
of rfig. Wo Rate can dispute the obligation to pay
the fun demanded without a breach of the coo'e^erati
on ; anl when the /money comes intot etrafury the
appropriation is toe exclusive province of the federal
government. This pr^vifirn of the route leration
(without which it would be an empty form) com pre
hends in it the principle in its fulleft latitude, which
the objection under configuration treats as repugnant
to the liberty ofte United dates t)wit, an indefinite
power of prefcrib' ig the quantity of mon^y to be rais
ed, and of appropriating it when railed.
If it be said that the fries individually, h ving the
col eaion in their own hands, may refufe a compliance
with exorbitant demands, the confederation will answer,
that this is a point of which they nave no confl itutional
liberty to judge. Such a refufal won d be an exertion
of power, not of right, and the fame power whici could
disregard a requfition made on the authority of the
confederation, might at any time arref lthe collection of
the duty.
The fame kind of responsibility which ^xirts wih re
in-fl to the expenditure of the m ney furnifh din the
forms hitherto praftifed, would be equally applicable
to the revenue fr m theimports
The troth is, the (security intended to the general
liberty in the confederation, corififts in the frequent
election, and io the rotation 6f the members of Congress,
by which there is a coilflant and an effectual check up
on them. This i- the security which the people in every
Rate enjoy ag-inft the ufurptions of their internal go
vernmens ; and it is the tro furce of security in a fre
prefentative republic. The government, so constituted
ought to have the means necessary to answer the end
of its institution. by Weakening its hands too mucn it
may be rendered incapable of providing for the interior
harmony, or the exterior defence of the date.
The measure in queflion, if not witnin toe letter,
is within the fplitofthe confed ration., Congress, by
that, are empowered to borrow money for the use of
the United States, and by implication, to concert the
means necessary to acc^mplifh the end. Rut without
infixing upon his argument, if the confederation has
not made proper prov-fion for the exigencies of the
Rates, it will be at all times the duty of Con r*fs to
suggest further provifiods; and when their proposals
are fubmi/td to the unanimous consent < f the Rates,
they can never be charged with exceeding the bounds
of their trust Such a cnfent is t e bafit and fandion
of the confederation, which expressly, in the 1 3th arti
cle, empowers Congress to agree to and propose such
additional provision.
The remarks hitherto made, have had referrence
principally to he future prosecution ofthe war- There
flill remains an interesting light in which the fubjed
ought to b> viewed.
the United States have already contracted debt in
Europe, and in this country, for wuicn toeir faith is
pledged. The capital of this d~bt can only be difchargtd
by degrees- ,but a fund for this purpose, and for pay
ing the interest annually, on every principle of p!icy
and juflice, ought to be provi ed. The omission
will be the depe'f ingratitude and cruelty to a large
number of meritorious individuals, who, io the most
Critical periods of the war, have adventured their
fortunes in fopport of our independence, it would
stamp the national character with indelible disgrace.
An annual provision for the purpose will be too pre
carious. If its continuance and application were cer
tain it would not afford comph^t relief. With many,
the regular payment of interest, by occasional grants,
would fuffice; but with many more it would not. These
want the use of the principal itfelf, and they have a
right to it ; but since it is not in our power to pay off
the principal, the next expedient is to fund tne debt
and render the evidences of it negociable.
Betides the advantage to individuals from this ar
rangement, the active Rock of the nation would be en
creafed by the whole amount of the dome flic debt, and
of course the abiliies of the community to contribute to
the public wants The national credit would revive
and Rand hereafter on a secure basts.
This was another object of the proposed du'y.
If it be conceded t<at a similar fund is necessary, it
can hardly be disputed that the one recommended is
the moR eligible, ft has been alre dy fhrwn that it
ass Cis all parts of the community, in proportion to
their consumption, and has therefore the best pretenti
ons to equality It is the moR agreeable tax to the
people that can be imposed, because it is paid insensi
bly and ferms to be voluntary.
It may perhaps be imagined that it is unfavourable
to comm:rce, but the contrary cn easily be demon-
Orated. It has been seen that it doesnot diminish the
profit of the merchant, and of course can be no di
minution of his inducements to trad . It is too mo
deratein its amount to difeourage the consumption
of imported goods, and cannot on that account a
bridge the extent of importations. If it even had
this eff cl it would be an advantage to commerce, by
lessening the proportion of our imports to our ex
ports, and iuc ining the balance in favour of this
country.
The principal thing to be confuted for the ad
vancement of commerce, is to promote exports. All
impediments to tnefe, either by way of prohibition or
by encreafing the prices of native commodities, de
creasing by that means their sale and consumption at
foreign markets, are injurious. Duties on exports
have this operation For the fame reasons, taxes on
possessions and the articles of our own growth or ma
nufacture, whether in the form of a land tax, excise,
or any other, are more hurtful to trade than import
duties. The tendency of all such taxes is to encreafe
the prices of those articles which are the objects of ex
porfation, ^nd to enable others to under-fell us abroad.
The farmer, if he pays a heavy laud tax, must endea
vour to get' more for the protects of his farm: the
mechanic ^d labourer, if they find the neceffar es of
lifr grow dear r by an excise, must endeavour to ex
'aft h ghey wages: and these causes will produce an
encreafeof prices within, and Oper te against foreign
commerce.
It i. , not, however, to be inferred, that the who'e re
venue ou?ht to ne drawn from imports ; ad extremes
are 'o be rejected. Toe chief thing to be attended to
is, that the weight ofthe taxes all not too heavily in
the firftrnflance upon particular parts of the com
munity. A judicious dillribetion to all kinds of
tax b e property, is a firfl principle in taxation. The
t ndency of these observations is only to fh°w, that
tax°s on posse rtions, on articles of our own growth
and manufacture, are more prejudicial to trade than
duties on imports.
The obfervatiOTiG which conclude the letter on which
these remarks are made naturally lead to reflations
that Heferve " e feriotis attention of every member of
the union. There isahaopy mean between too much
confidence and excessive jealousy, in which tee health
and prosperity of a state consist. Either extreme is a
dangerous vice; the sirs lis a temptation to men in
power to arrogate more than they have a right to—
the latter enervates government, prevents system in
the adminißration, defeats the most salutary measures,
breeds confufiou n the Rate, di'gurts and difeont^nts
among the people and may eventually prove as fatal
to liberty as the opposite temper.
It is certainly pernicious to leave any government in
a situation of refponfibidy difp/oportioned to its pow
er
The conduct of the war is entrufled to Cong-eD, and
the public expectation turned upon them without any
competent means at their command to fatisfy the im
portant trust. After the mod full and solemn delibe
ration, under a col eftive view, of all the public d ffi
curies, they recommend a measure which appears to
tem the corner Rone of the pubic fafety : they fee this
measure suspended for near two years-partially com
plied with by some of the Rates, rejected by one of
them, and in danger on that account to be frustrat
ed; the public embrraffm nts every day encreafing,
the diffatisfaftion of the army growing more serious,
theoth-r creditors of the public clamouring for justice;
both irrigated by the d-lay of measures for their pre
lent relief or future security, the hopes of our enemies
encouraged to protraC tthe war, the zeal of our friends
depressed by an appearance of remissness and want o'
exertion on our part, Congress harraffed, the national
character (offering and the national fafety at the mer
cy of events.
This state of things cannot but be extremely pain
ful to Congress, and appear to your committee to
make it their duty to be urgent to obviate the evils
With which it is pregnant."
Resolved, T^at Congress agree to the said report.
995,55°
Dedud for Collection, about 8 per cent. 79 594
Neat Revenue upon this Estimate, 915,955
There are no precise data from which this computa.
tion could be made with any degree of certainty. The
number of inhabitants has governed in part, and the
import of particular articles into the port of Phila
dlonia have been attended to.
The exactitude of the computation is of the Ids
consequence, as the aft of the 16th December, 1782,
provides, that if the revenue (hall at any time exceed
the annual interest, the residue shall form a finking
fund for the difeharge of the principal ; and if it shall
be found infufficient, the ftites will be called upon to
enlarge their grants of revenue.
[PAPER No. IV. ]
Extract of a Letter from the Honorable
B. Franklin to the Superintendant of Fi
nance, dated Paffy, December 23, 1782.
" [;R"AY last order was given to furnifh me wi'h
fix hundred thousand livres immediately, and
T was answered by M. de Vergennes " that the rest of
" the fix millons fhou d be paid us quarterly in the
" course of the year 1783."
777,773
On 2,000,000 gallons rum and other ^
spirits, 3-90ih566,665 60 90
per gallon,'
100,000dit. Madeira)
wine, ) 12 13 '333 30
600,000 ditto other),
40,000
wine, ) ™
300,000 Ilb. Bohea),
tea, ) 6 20 ^
25,000 ditto other) 6,666
teas, '
75,000 cwt. fhgar)
(includiog)s6 46,066
loaf) )
200,000 lib coffee &j _
cocoa, ) 2,222
2,000,000 gallons mo-)
laffa, )' 22 ^ 2 ?
[PAPER No. 111. ]
An Estimate of the Produce of the Impost
on Imported Articles.
BEFORE the war the exports from Great-Britain
to America were estimated at three and a half
millions Reruns, in which was included tea; but there
were importations from Ireland and Scotland, as well
as from Holland, not included in that estimate. It is
now t' ought best to eßimate the imports of all goods
from Europe, exclusive of tea, brandy and wine, at
3,500 0001. Rerlin^, at 4s. 6d. per dollar, is 15,555,554
dollars, impost of five per cent, ad valorem—
" I pressed hard for the whole fam demanded, but
was told " it was impossible"
''Our people certainly ought to do more for them
selves. It is absurd the pretending to be lovers of li
berty while they grudge paying for the defence of it.
It is fail here, that an impost of five per cent, on all
goods imported, though a most reasonable proposition,
had not been agreed to by all the Rates, and was there
fore fruftrated ; and that your news papers acquaint
the world with this, with trie non-payment of taxes b,
the people, and with the non-payment of interest to
the Creditors of the pub ic.
" The knowledge of these things have hurt our cre
dit and the loan in Holland, and wou d prevent our
getting any thing here but from government. The foun
dation for credit abroad should be laid at home ; and
certain funds Should be prepared and established be
fore hind, for the regular payment at least of the in
terest."
A letter from the H morable 'the Minister of France,
to the Superintendant of Finance.
Philadelphia, March 15, 1783,
SIR,
I HAVE the fatisfaftion to inform you, that his ma
jerty procures for the United States a loan of fix
milions, to be employed in the war department du
ring the course of the current year. While I an
nounce to you this new mark of the king's friend
(hip for the United States, I muff go into some de
tails which relate to your operations, and which will
inform you of the motives which have induced his
majesty to make a new effort in favour of his allies.
During the lad year, fir, I rendered an account to
his majesty's ministers of the order which appeared to
me to be introduced into your department, of the
re.ertablifhment of public credit, and of the ©econo
my which accompanied your operations. I added,
that I considered the eftablithment of a general reve
nue for paying the interest and gradual redemption
of the principal of the public debt, as extremely
probable. Toe delays and difficulties of communica
tion would not permit me to wait until that operation
was compleated by the different legislatures, before I
declared the wants of the United States; and there
fore I undertook to write to the count de Vergennes,
that the difpofirion of the people to fulfil the engage
ments taken and to be taken by Congress, seemed to
me fufficiently favourable to determine his majesty to
lend for the year, new fuccour to the United States, if
the situation of his finances would permit. These as
surances obtained the loan of fix millions; but the
event has proved that I was d ceived in the hopes
which I thought myfelf enabled to give my court; and
the affairs of your finances, far from being bettered!
since the month of September, the period at which my
letters on this fubjeft were written, have, on the con
trary, gone backward; so that I perceive no certain
ty of the reimbursement of the sums formerly lent, or
of those which now are so. Thus, fir, my hasty af
furaoces have induced his majesty to make that ad
vance, and in the moment when I am informed of it,
I am under the disagreeable necessity of informing his
minifler that the hopes I had given are vanished, and
that my assurances were without foundation. I will
fay nothing of the personal embarrassment which [
am reduced to by these circumflances but I will
take the liberty to observe, that the best remedy in
the present conjuncture is, to take as soon as poffi
b'e those measures which were not taken when i an
nounced them.
The count de Vergennes informs me, fir, thatthe fix
millions are lent to trie United States io the fame man
ner and under the fame conditions wih the sum which
was lent last year. That is to fay, that it shall be paid
monthly, at the rate of five hundred thousand livres
per month. But as it appears from what you did me
the honor to write on a former occafipn, th^t you had
anticipated a part of this subsidy, 1 muR pray you to
cons iier, that the firft months of this year will have
been employed in payment of those anticipations, and
that it will be proper so to combine your drafts, as
that they shall not be presented but at the monthly
periods in which the funds are to be provided.
I have had the honor to inform you, fir, that this
money is lent to the United States to enable them to
carry on the war. The wisdom of Congress will deter
mine according to circumßances, on the manner of ef
fecting that important object, and of compelling the
enemy by joint efforts to conclude a solid and perma
nent peace.
It remains for me to inform you, fir, that the king
was unable to make tins last effort without extreme
difficulty. I have had the honor to communicate those
which oppose considerable loans. They are so great,
that I am commanded to inform you, in the mo±
positive terms, that it will be impossible for the king,
in any case whatever, to obtain new advances for Con
gress for the next year. As to the resources which
you may seek elsewhere than in France, the details
contained in those letters which I had the honour to
read to you, will not permit a hope of success until the
United States shall have established a permanent public
revenue; and the delay and repugnance with which they
proceed in that business being Known in Europe, the
difpofirion to lend money to Congress ceases. Lenders
place th-ir money elsewhere: those (peculations which
would have been directed towards the United States
take a different turn, and it will be extremely difficult
to bring them back.
I abflain from repeating here the other parts of the
count de Vergennes's dilpatches, which I had the ho
nor to communicate, because the truths they contain
are well known to you, and because they may all be
reduced to this single position, that without a speed,
eflablifhment of (olid general revenue, and an ex
aft performance of the engagements which Congress
have made, you must renounce the expectation of loans
in Europe.
I am ordered also, fir, to inform Congress that my
court expert they will have taken final and (atisfado
ry measures to secure payment of the interest of the
debt contrasted with his majesty by the United States ;
but I content myfelf with communicating this circum-