Boon's Lick times. [volume] (Fayette, Mo.) 1840-1848, 1844-12-21

and meeting an instalment OF the debts Of the /
corporate cities Of the District OF Colum5ia--an |
estimated surplus OF upwards OF $7,000,000, |
over and above the existing appropriations, will
remain in the Treasury at the close Of the fiscal
year.
Should the Treasury notes continue outstanding, |
as heretofore, that surplus will be considerably |
augmented. Although all interest has ceased
upon them, and the Government has invited
their return to the Treasury, yet they remain
outstanding sflordng great facilities to commerce,
and establishing the fact, that under well
regulated system Of finance, the Government has
resources within ITSELF which render il independ
en-. in time Of need, not only OF private loans
but also Of bank facilities.
BE only remaining subject Of regret is, that
the remaining stocks Of the government do not
fall due OF an earlier day, since their redemption
would be entirely within its control AS It's, ii
may be well worthy the consideration Of Congress-,
whether the law establishing the sinking fund
under the operation Of which the debts OF the
Revolution and last war with Great Britain were,
to great extent, extinguished-s should not with
proper mod fcations, $50 as to prevent an accu
mutation Of SURPRISES, and limited in amount to
specific sum- be reenacted Such provision,
which would authorize the Government TO 60
into the market for purchase Of its own stock,
on fair terms, would serve 10 maintain its credit
at the highest point, and prevent, TO a great extent,
those fluctuations in the price Of its securities,
which might under other circumstances, affect its
credit. No apprehension Of this sort is, at this
moment, entertained; since the stocks oil the
Government which but two years ago were offered
! for sale 10 capitalists, at home and abroad at a
depreciation, and could find no purchasers, are
now greatly above par in the hands of the
| Ill L. A,,,o
shes US TO place beyond the reach Of contingency
the public credit.
1t must also be a matter Of unmingled gratif
cation, that, under the existing financial system
resting upon the act of 1799 and the resolution Of
18l6-the currency Of the country has attained
a state OF perfect soundness; and the rates Of
exchange between different parts OF the Union,
which, in lS4l, denoted, by their enormous
amount the great depreciation, and in fact worth
lessness Of the currency in most Of the States
are now reduced TO little more than the mere ex.
pense Of transporting specie from place to place,
and the risk ncden tai 10 the operation. In a
new country like that Of the United States
where so many inducements are held out Tor
speculation--the repositories Of the surplus reve
nue., consisting OF Banks Of any descriptio n,
when il reaches any considerable amount, require
the closest vigilance on the part of the govern
ment. All banking institutions, under whatever
, denomination they may pass, are governed by an
t almost exclusive regard to the interest of the
stockholders. That interest consists in the aug
: mentation Of profits, in the form Of dividends,
and a large surplus revenue entrusted to their
custody is but too apt TO lead 10 excessive loans
5 and to extIavagantly large issues Of paper. As
necessary consequence, prices are nomnaIy
t increased, and the speculative mania every where
I seizes upon the public mind. A fictitious state
Of prosperity for season exists; and, in the Ian
guage OF the day, money becomes plenty.
D Contracts are entered into by individuals, rest
ing on this unsubstantal state Of things, but the
} deluson speedily passes away, and the country is
e overrun by an Indebtedness so weighty as tc
n overwhelm many, and to visit every department
S Of industry with great and ruinous embarrassment
S The greatest vigilance becomes necessary on the
part Of Government TO guard against this state Of
9 things. The repositories must be given distinctly
10 understand that the favors OF the Government
t will be altogether Withdrawn, or substantially
diminished If its revenues shall be regarded as
additions 10 their banking capital, or The foun
I daon OF an enlarged circulation. The Govern
ment, through lis revenue has, al all times, an
e important part TO perform in connection with the
currency; and it greatly depends upon its vigi.
lance and care, whether the country be involved
+ in embanassments similar to those which it has
had recently to encounter; or aided by the action
r Of the Treasury, shall be preserved in a sound
and healthy condition.
, The dangers to be guarded against are greatly
augmented by too large surplus OF revenue.
When that surplus greatly exceeds in amount
what shall be required by wise and prudent
forecast TO meet unforeseen contingencies, the
Legislature itself may come to be seized with a
disposition to indulge in extravagant appropra
tons to objects, many OF which may-and most
2 probably would-be found to conflict with the
S Constitution. A fanc led expectancy is elevated
? above constitutional authority; and reckless
= and wasleiu extavagance but too certainly fol-
lows.
The important power Of taxation, which,
! when exercised in its most restricted form, is
! a burden on labor and production, is resorted TO,
under various prctexts, for purposes having no
J affinity 10 the motives which dictated its grant,
I and the extravaganza Of Government stimulates
! individual extravaganza, until the spirit OF wild
and illleguated speculation, involves one and
all in its unfortunate results. Ia view Of such
fatal consequences, it may be laid down as an
axiom, founded in moral and political truth, that
no greater taxes should be imposed than are ne.
: cessary for an economical administration OF the
Government and that whatever exists beyond,
should be reduced or modified.
4 This doctrine does in no way conflict with the
exercise Of a sound discrimination in the seec.
ton Of the articles to be taxed, which due re-
I gard 10 the public veal would at all times sug.
gest to the Legislative mind. 1t leaves the range
{ Of selection underlined; and such selections should
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