The Sun.
London, England, 1845-11-24 00:00:00

AMERICAN STATE DEBTS.

(From the New York Courier and Enquirer, of Oct. 22.)
The legislatures of the different states being shortly to
meet, it is hoped and expected that some earnest and efficient
measures will be adopted by that portion of them who have
neglected to fulfil their obligations to their creditors, to
secure the prompt and regular payment of the interest upon
their debts, and also for the gradual extinguishment of the

principal as it becomes due.
It is now time that the delinquent states should enter upon
the discharge of this great duty; for there never was a period
more propitious than the present for :such a purpose, when
the whole country is enjoying a high state of prosperity, and
all branches of trade are in a flourishing and profitable condi-
tion. Besides the justice of the measure, it is the obvious in-
terest of those states to commence some efficient action on
the subject; and, could no other appeal be made to them,
this alone should be sufficient to stimulate them into the
adoption of a wise and honest policy in reference to their
public obligations. There can be no doubt that the resto-
ration of their credit, by the adoption of measures calculated
to inspire confidence in their good faith, would, in the course
of a few years, give a powerful stimulus to their population
and resources, and enable them to provide for the payment of
their debts without any serious burdens upon the labour and
industry of their citizens.
The manifest injustice of the present indifference of the
defaulting states to the just claims of their creditors needs
no comment; and the period has arrived when some earnest
and efficient efforts should be made in order to remove the
stigma which rests so heavily upon them in the eyes of the
world.
'The question of state faith is one which should rise above
all party considerations, and receive the unanimous support
of all classes, without reference to their views or opinions
upon other political subjects. It is a great moral question
in which there cannot be any serious difference of opinion,
among citizens; and, however difficult or embarrassing may
seem the task, they are bound by every principle of duty and
good faith to meet it cheerfully, and with an honest desire to
render justice to those whose claims have been so long and
seriously neglected.
The temporary insolvency of some of the states, in conse-
quence of the severe financial embarrassments which for a
time prostrated the business and resources of the whole
country, may be no just cause of reproach. It is the con-
tinued indisposition of the people of those states to submit to
the necessary sacrifices to meet their obligations, which ren-
ders them obnoxious to the censure of the world. Now thatt
the country has revived from its difficulties, and prosperi4
has once more given activity and profit to every branch
industry, there can be no justification for their neglecttopro
vide for these claims. The rapid growth of the west ern states,
notwithstanding the embarrassments which surroundery serious
them,
cannot but satisfy every candid mind that
tno
obstacles exist against the adoption of a .sy s em which sh
theirall
provide for the gradual and final extinguishment of
obligations. We allude more particularly in these remarks
to the states of Indiana, Illinois, and Michigan—states which
are gradually filling up with an industrious, enterprising, and
intelligent population, and which will, in a few years, be
abundantly able, from the vast increase of their resources.
consequent upon this increase of their population, to pay all
their obligations without difficulty.
The debts of some of the smaller states of Europe are
greater than those of either of the three states alluded to
above, and yet the confidence in their integrity and good
faith has never been brought into question.
In 1841, when Indiana ceased paying the interest upon its
debt, the population of that state was very nearly 800,000,
and that of Illinois was probably something over half a
million. Since that period a large increase has taken place,
both in their population and resources, and consequently in
their ability to pay their indebtedness.
It is now nearly four years since the last semlLannual pay-
ment of the interest, by the state of Illinois, upon its debt.
An addition of 24 per cent. has thus been added to the prin-
cipal, the obligation to pay which is equally binding upon
her honour and good faith. The legislature at its next ses-
sion should authorise the issue of new bonds to meet this
sum, and adopt a revenue system which should enable her to
provide for all future payments. This cannot be a serious
difficulty for her people, and the entire debt of the state
could be finally extinguished without serious embarrass-
ment to her citizens.
The people must do something for themselves. It ib