Constitutional Whig. [volume] (Richmond, Va.) 1824-1832, 1825-12-30

of debt which could by the ordinary
of the Treasury discharged in 1896 and 1927, the debt
redeema bic in year then standing l9O0OOO0
should he thrown in equal portions upon the years 1899
and 1880 To carry this into effect, ar
applied tie year 1926, loan of twelve millions
recommended, i've per cent half TO be redeemahe
in 1929, the other half 1885, the entire twelve millions
being intended fund with which, conjunc
ton with the annual surplus of the Treasury to pay
of the millions rcticemahe in 1896. The prinCi
pie Of the recommendation adopted by Congress but
not its precise An act was passed on the thd OF
March, 1925, authorizing exchange OF stock TO the
amount of twelve millions of dollars. at four and half per
cents for stock of like IT SIX per cent? the latter
being much Of the stock Of 1913 intended by the
act to be redeemed. The also authorized loan to the
same amount aud at the of interest to accom-
pish the object; both modes not TO be pursued,
either succeeded. The stock of four and half per
CENT whether proceeding from the exchange the oan
was by the OF the act be subject TO redemption in
1917 and 1850 in equal portions The proper measures
were taken 20 execute this act bur have prevailed only to
ineh extent The operation o exchange, winch was hrS
TeSotcd the of Slr85, lS8 80,
and ths divided into equal parts forms the two sums
that now stand in the general table OF TIC debt as redeem
able in the wears 1929 and 1890, whilst they have also
we'd to diminish 10y much the six per stock OF 1873
Proposals for loan fo the residue of the wanted we're
next Issued but offers received The causes Of
tire failure it he presumed the low rate of nte
rest and hoi periods of redemption. held by the act
IN conjunction with activity in the commercial and
manufacturing operations Of the country. aordmg higher
investment oil capital. his mode OF
sealing with the debt, whereby through the nstrumenay
oil new loans, stock high interest converted into stock
nj reduced interest, and whereby also the extnsuhment
OF the principal made fall in payments nearly equal
as may be throughout given nunbcr of years. is evident
y advantageous 10 the public; since only lessons the
national expenditure account OF interest but guard
against the possible accumulation of money in the Trca-
suy in when might remain inactive towards the
progressive reduction of the debt. AS il is mode fully
sanctioned by Congress hcetofore respectfully
ended on this OCCASION that an act be passed at an ear
day OF the session. giving authority to borrow ninc mil
nous OF collars at an interest not exceeding five cent
redeemabe IN equal portions in 1899 and 1880: in order
that the Treasury may be enabled pay off, in 1896, the
entire remaining of the six per stock OF 1915
reasonable in that year. Nine millions, with the dispo-
sable means which the Treasury will probably have at
command in 1926 it is believed, will form a
surate with this object. Five per named the
maximum Of interest," and considering the short periods of
redemption, ii not probable that the could be
tanned at lower rate. The contingencies of the money
market might indeed produce more favorable offers: but
these are net to be counted upon with any approach
that certainty which should form the basis of uan
cal operation.
Should the act in question be passed. it is further re-
specially recommended that in the of the loan he
ing obtained under 1t, authority be given issue the
holders of the stock uHer the Sd of March lat. cxchane
ed stock equal to the of the subscr ,ton before
stated, viz: ,5S5158 90, bearing the same rate of in
teest that which may be issued under the net noposcd
The two acts will have had precisely the same object
The second should succeed will only have constlmmat
cd an operaon which will date siucepon from the first
~ IS therefore, considered, that II will heNng proper
esnhte OF good aith to place stockholders under
both acts upon footing of equality. Those who W. 70
willing to accede to the of government at an early
7ay IN TINS transaction, shcGd left in worse stu
at"n than those who may have held back in the hope of
better offers Let ali be treated alike II E Inns that the
government will exa itself before the nation II is TINS
'ha substituting an expanded Justice the mere eer Of
bargain 1t will be likely invite still
III ure 1t rs thus that ii will ultimately he he gamer
by ihat connection invariably subsisting the
eh' interest OF every government. and lis standing
lie creditor. ~ F
Should an act for the loan OF nine millions be passed
cohS"erahe surplus OF debt at six rpr cent win remain II
pe PROVIDED io Tor the service wear 1897 NIore
than ID millions OF stock Of 1914 lfscor,i,r lhI
III 1871! the whole cannot be redeemed in thar wear Inn,
with the aid OF loan. loan of six millions viii he f
hcie ID all probability, for this purpose. lnd accord
IngIy recommended The interest not to exceed FIVE NOR
cent ana the amount to De also subject to tedomption in
1923 and 1850. in equal portions The cnrct n tho ,
'"anS recommended which il would ne most desirable 10
auhoze IN dstinct acts would it is believed be to en-
~ Use goVeInnent 10 redeem the whole of the ix per
@ St"ck 81 1915 and 1871, in the course of 1926 aud
1877 IL would also throw upon each of the wear. 1900
ana o' an amount of debt equal Ia about EIGHT m lliops
d"" hai' instead OF less than million according to
ne oih"oh as at present existing The only rena nino
OF SIN per cent would then be that of 1915 in anount
under nine millions and half s,decmahIe ~ to5o CtIJ
u" Unforeseen expenditures arise. and proprr ecouomv
De sP upIn the public administration it may reasonable
e eo' as before animated that the surplus revenue a,
me disposal OF the treasury in 1928 will be enual IN In,
reimbursement Of that sum- After 1890 the whole .
" dct on The results herein assumed wouId stand ~ 40
onS, one ha!f OF which will he redeemabie at the plea
sure OF the government No portion of will be AT an in
terest exceeding five per whilst the principal
De al rate still lower With these views Of the r,lic
"eo so encouraging in their bearing upon IFS sreci,. cor
'"n ana regular extimguishnen il not deemed nacessa
~ 70 recommend al present any other measure in relation
10 1t than the two loans described.
u he n, ,