Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1840-12-18


The immediate receipts if, the other hand 1t should
distribute the proceeds Of the sales among the States
that would diminish the revenue applicable to the pur-
poses off the General Government and render resort TO
new taxation, increased tariff oan ndispensa-
BILE, TO the extent Of the distribution.
The estimates of the rece pts from customs have been
essened: somewhat because the importation oil certain
articles paying duty will, in lS4l, be partially post
poned TO 1872 consequence of the great reduction
in the tariff them which will take place in the latter
year under the existing laws.
So have they been of the greater proper
tionate bnuntes aud drawbacks which now return
ed several articles, and beneficial operation
llcipatcd from the Independent Treasury in checking
speculation.
On the contrary, the revnlsons in business which
have occurred since the middle Of $780, and deeply af
fected the of other countries well
own and the protracted suspension OF specie pay
by many of The banks, which has continued over
large part of the u S. since October in that year,
will probably terminate soon, by the suutary reaction
of great commercial principles; and that event must be
accompanied by considerable increase of imports and
duties. The amount Of the latter therefore, has been
estimated higher than the actual receipts in the present
year, but not high they were in 1889 by about two
millions, nor high many anticipate they will be
Blu, if the banks do speedily resume, it TO be fear
ed that the estimate will prove larger instead ofsmaer
than events will verify.
The revenue from lands must continue to be lower
under the present laws than might otherwise be cg-
and 1886 which were made 10 speculators, must for
some years longer come into the market in competition
with the Government and the emigration TO Texas,
well the continuance of the suspension of specie
payments by the banks over much of the West and
Southwest, is likely to operate innriousy somewhat
longer though probably with force much diminished
In respect to the estimates for expenditures, it need
only be observed here, that any considerable addition
made by Congress to the new appropriations called
for, would require provision of further means to meet
them, corresponding in amount; and any dmlnution IN
those appropriations would also reduce, in a similar
manner, the amount OF means otherwise necessary.
VII II is proper advert next To the best mode Of
avoiding my inequality between the antic pated receipts
and expenditures, either in la4 or 1912.
Ii has already been shown that the whole amount Of
receipts o4 will probably be sufficient to discharge
all ordinary expenditures, and those parts OF the out
standing debt, funded unfunded, which may be-
come due. But the preservation of q suitable ba-
lance in the Treasury may require more than what
will probably he left after satisfying other purposes
The raising of any sum for that object in le4l could
however be obviated by authorizing contract to BE-
made, under proper restrictions, extending the period
Of payment for portion Of the temporary liabilities
falling due in that year. Yet, in the opinion Of the
undersigned the best mode of providing for this case
would be, without either extension of this kind or
oan or further issue of Treasury notes. change
in the Tariff but merely BY essening the nppropr,a
for the service of 1S4l below the estimates, or by
passing such decGatory clause TO the present Tariff
and such acts as 10 the public lands as have heretofore
been urged on the consde Grafton of Congress.
The arguments in favor Of some further dmlnution
in our expenditures, and the general items in which
the reduction is considered most compatible with the
public interests, fully exhibited in the last two
annual reports to render repetition Of them unne-
ccssary
1t was then believed that the laws could be altered
10 admit Of safely cutailing the appropriations
at once, TO such extent that the expenditures need
mt eyc seventeen
millions yearly. After more of the pensions term
nate, and the removal of the Indians is completed,
they could be benecally contracted TO even less than
that amount Such reduction as is first adrerted to
seems therefore, proper TO be adopted now, since Il
could be effected without the probability of injury To
any useful national establishment, would promote pub
lie fiugalty, and supersece the necessity either OF
higher tariffs, direct taxes, or permanent debts
If that be not DONE the secondary measures before
suggested such rs declnratory act 10 enforce the pre-
sent tariff, suitable modification Of the drawbacks
aud bountes and the passage of bills graduating the
price of public lands, well as creating some new
districts for the sale of them, would be likely, if taking
effect early, yield suitable supply in the course OF
the year.
twill be observed, however, that though under eli.
thpr Of these arrangements, enough might be obtained
within the whole of S41 for the objects contemplated,
yet due sufficient proportion in the first quar-
ter because By that time all the measures are not
likely 10 go into full operation, much Of the anti.
ties under existing laws Unusually heavy expenses
will also fall on that quarter in the next year. In ad-
dton TO a full portion Of most of the current expcn-
ses and the whole pension payments for the first hall
of the year. and third of million, or more for
all the annual fishing bounes, there will be imposed
on most of the charges for the whole year connected
with the session Of Congress and private bills, well
large payments for taking the census, and for the
first nstalment Of the debt of this District several of
them as early the first day of January.
From these circumstances, and the considerations
that all which is due from the banks may not he then
paid and that the balance in the Treasury under the
policy adopted by Congress Of late years, will of ne
cessity be small while the fluctuations and inequalities
are very great between the receipts and expenditures
in different portions of tho year, to which con-
slany exposed from that have on former occa.
sons been explained length, II must be Obvious that
entire safety requires conditional power TO be
ably conferred the Executive to obtain at any time
within lS4 such subsidiary may be needed tor
a few months and rs may be sufficient enable the
Treasury punctnnly discharge during that year, all
the liabilities imposed by Congress.
There another contingency under the existing laws,
as to dues which requires attention, with view 10 be
properly prepared for IT; though legislation concerning
The subec necessary early in the other case,
because the event which it depends cannot actually
happen till the year 1912.
Thus the progressive reduction Of the present tariff
which has been going on since 1898, will after Deem
her, lS4l take effect much larger extent than here
tofore Nearly two millions and half of dollars will
then be deducted at once.
On the lst of July afterwards, at least two millions
and half more Of duties will be removed; making an
aggregate, six months, of quite five millions. If the
imports then should not differ much from those in 1898,
this would leave nm income from them, not probably
exceeding ten eleven millions of dollars yearly 1t
will therefore be necessary to make corresponding re-
ductons the expenditures of 1912, seusonaby pro-
vide otherwise, in some permanent manner, TO supply
nlo1v IN han fr0u hIar
Shonld Congress conclude that such reduction in the
expenditures cannot properly be made, and that the inn
ports for 1912 will not increase beyond those in 1888,
The amount of the deficiency would, in those events,
probably differ but little from five millions. Such
deficiency would under these circumstances, be likely
to become permanent and may be considered The hrst
of that character which will under the Tariff act
of 1888.
The idea that such deficiency in time of peace ought
be supplied by issues ofTreasnry notes, or by n1n
has never been entertained by the undersigned Nor
can it be counienanced by any sound principles either
of finance political economy The inquiry then re-
ours, what other mode would be more elig'be' When
we possessed an extraordinary surplus it was con-
sdered prudent by Congress to make depostes with the