The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1837-12-09


amounts from the banks situated in he latter quarter
Of the country. While this afforded longer in
diligence 10 the West and Southwest in the use of
the surplus which had accumulated there IL Is gra-
flying to reflect that all just cause Of jealousy has
been removed, and any sectional benefits from delay
IN paying over the public money equazed in great
degree, as the eastern, northern and middle States
were at the same time allowed TO enjoy a like in
dulgence, through their merchants rather Than
banks in the use Of the money due 10 the GoyeIn-
ment Tor duties instead Of lands
In The execution OF the other prominent measure
adopted al The last session, which permitted an issue
OF Treasury notes, the Department has moi yet been
required by the public exigences 10 make a large
one.
Nor is any occasion 10 keep out great amount
of these notes anticipated Entertaining such OPT
Mons concerning the currency as have been former
ly expressed By the undersigned any event would
be greatly deprecated which should lead 10 perma-
nent emission OF such notes or any kind of Govern
ment paper except for temporary purposes, and in
small amounts unless il be founded entirely on
specie and redeemable under circumstances similar
TO those explained at the last session.
The range OF the financial operations of the pre-
sent year has been very extensive Ii the receipts
from hostages, from the sales OF the Chickasaw
lands, from foreign ndemnicS and an other trusts
were included in the condensed statement of the f.
nanceS, the entire amount carried INFO the Treasury
during the year, with the balance the first of jan
uary last, would exceed $79OOOO0O. But without
entering here into explanations in detail under those
heads, Il will appear in the appropriate reports, thai
so far as connected with this department. an attempt
has been made TO conduct the whole in close con-
formiiy aspossble tothe acts OF Congress Nolwith-
standing the unusual magnitude and difficulties of
the duties deyolved upon the Treasury Departments
during the year. has scrupulously endeayored not
TO assume any doubtful powers. Nor, as mere Ex-
eculive branch of the Government, has il felt justified
under circumstances or reasons however plausible,
10 permit the public funds TO be employed Otherwise
than on objects and in manner that appeared TO BE-
clearly warranted by the limitations of The laws, and
those principles strictly applicable 10 mere financial
operations ..
G. Explanatory remarks the estimates of receipts
and expenditures for 1893.
The receipts from duties during the next year
have been estimated quite four millions higher, in
consequence OF the recent act Of Congress, bringing
wi hin il the payment of still larger amount which
originally fell due in the present year
Independent Of that circumstance, il is not consid
cred probable, that they would much exceed Sl3,
100000. The reasons for this opinion are, that
further reduction of two-tenhs of The present duties
which remain at rate OF more than twenty per
cent takes effect after the 3lSt instant, and that the
depression Of trade during the last half Of the year
has been severe and is likely TO continue SO for some
time. The actual imports during the quarter ending
in September having been only at the rate of about
ninety millions annually; and the average imports
from 1924 to 1880, before the commencement OF the
late exceSSes having been about eightylwo millions
il is deemed safe TO compute that they will not in
1888 exceed forty per cent on that average, or about
one hundred and fifteen millions. On the SUPPOSE
duties received the other half will not exceed
twenty-five per cent the amount paid into the Trea-
sury for them within the year, independent OF the
postponement above-named would not vary much
from thirteen and half millions.
The receipts from the sales of public lands have
likewise been estimated one million and half more
than they would have BEEN if considerable sums
were not expected TO be derived from the increased
sales of tracts newly brought into Market and from
the anticipated passage of another preempion law.
II is supposed that this last measure, deemed SO i'm
portant by many Of the pioneers on our frontiers
whose hardy pursuits exposures, and various Priva-
tons, often useful 10 the country at large will
meet with fewer objections, if il be more strictly
guarded and limited than others of the kind have
heretofore been. Those objections will perhaps be
lessened still further if it is considered that the re-
venue TO be al once derived from the measure, would
conduce much to the efficiency of our fiscal opera
TONS and that from the experience Of many years,
the nett receipts from the sales Of public land
not likely ever TO surpass, in any great degree the
minimum price per acre, which is paid by those hav-
ing pre-emptions.
offer of large quantities Of new lands, the under
signed is unable TO perceive any sound reason for
iimating the sales very differently from what has
been done by him for some years past. Public sales
cannot be needed for cultivation much beyond three
millions OF acres year, while somany private lands
are in the market as have been bought for resale
within the last three years. II demand should exist
for more than that quantity, except the gradual in
cielse with the increase OF our population 1t would
probably be the result OF causes accidental, or tran
sieni, or of new legislation.
1t may be useful TO add few general illustrations
of the reasons for some of the small estimates now
submitted and of the intrinsic difficulties in attain
ing much certainty concerning them during crises
Of over-action and Revision like the past and the
present. Whether they occur from over-trading,
over-blnkiGg other excuses, and the depressionS
consequent from them, the financial history of this
country shows strikngly how much our system of
business is exposed 10 them and The astonishing fuc
tuations they produce.
During the two years before the revulsions in
commerce in 1919, and including that year. the sales
of public land exceeded the unusual amount OF
nearly thirty millions of dollars, while in the three
following year they fell TO only about four millions,
or less than one-seventh The system being changed
from credit TO cash, may have co-operaled in pro-
ducing this result; though, at, the same time, the
minimum price per acre was reduced, in order, in
some degree to counleract the effect OF that change.
In the second and third quarters of 1885, also, the
receipts from the sales of land increased to nearly
fourteen millions OF dollars while in the correspond
ing quarters OF 1887, they diminished TO only twoand
and one-fourh millions
In truth the number of acres sold since the first
of January, 1885, has reached the extraordinary
quantity oi thrtyseven and half millions, and thus
have the sales widely departed from al precedent,
and every ordinary principle OF calculation, as TO
equal in less than three years, however incredible
the fact may appear the whole made during the for
tylive years which had elapsed from the adoption of
the Constitution.
Similar fluctuations have happened in, the amount
of our imports, and consequently in the amount of
duties.
Thus in 1908, the imports, affected by restrictive
legislation, and other causes fell off al The unprece
denied rate of over eighty millions of dollars; while
in 1915 influenced by the transition from wariopeace
an increase OF imports equal to one hundred millions
and increase OF duties from customs alone equal
to nearly thirty millions occurred in single year.
Ii may be remembered, also, that from 1918 to 1922
the vibrations from mere commercial causes were al
most as sudden as those incident TO any great
changes in legislation
Thus the imports diminished from over one hun
drcd and twenty-one millions in 1915 TO only about
eighty-Seven millions in 1872 and TO only about one
half or sxty-two and hall millions, IN 1921. They
fell nearly sixty millions in value in only three years
and in the last two Of them the revenue from duties