The Columbian fountain., 1845-12-04

thousand nine hundred and ninety dollars and
hity-slx cents. The expenditures for the same
period were twenty-nine millions nine hundred
and sixty-eight thousand two hundred and six dol
lars and ninety eight cents Of which, eight mill
lions hive hundred and eighty-eight thousand one
hundred and ffty-seyen dollars and sixty-two
cents were applied TO the payment of the public
debt The balance in the treasury on the first Of
July last, was seven millions six hundred and fifty
eight thousand three hundred and six dollars and
twenty-five cents
The amount of the public debt remaining unpaid
on the first OF October last was seventeen millions
seyenty-five thousand four hundred and forty-fiye
dollars and htty-two cents. Further payments Of
the public debt would have been ade, in anticipa-
tion OF the period of its reimbursement under the
authority conferred upon the Secretary of the
Treasury by the acts of July twentyrst, l84l, and
OF April fifteenth, 1912, and March third, lS43
had not the unsettled state of our relations with
Mexico menaced hostile collision with that power
In view OF such contingency, il was deemed pru-
dent to retain IN the treasury an amount unusually
large for ordinary purposes.
A few years ago, our whole national debt grow
ing out Of the Revolution and the war of 1912 with
Great Britain was extnguished, and we presented
to the world the rare and noble spectacle of a
great and growing people who had fully discharged
every obligation. Since that time, the existing
debt has been contracted; and small as it is, in
comparison with the similar burdens of most other
nations, it should be eXtingushed at the earliest
practicable period Should the state of the coun-
try permit, and, especially, if our foreignrelations
interpose no obstacle, il is contemplated to apply
all the moneys in the treasury as they accrue be-
yond what is required for the appropriations by
Congress, to its liquidation | cherish the hope of
soon being able to congratulate the country on
its recovering once more the lofty position which
It SO recently occupied. Our country, which eX-
hbts to the world the benefits of self-goyernment,
in developing all the sources of national prosperi-
ty, owes to mankind the permanent example of
nation free from the blighting influence of public
debt.
The attention OF Congress is invited to the I'M
portance Of making suitable notifications and re-
ductions of the rates of duty imposed by our pres
ent tarifflaws. The object of imposing duties on
imports should be to raise revenue to pay the ne
cessary expenses of government Congress may
in the exercise of sound discretion,
discriminate in arranging the rates of duty diff
ferent articles; but the determinations should be
within the revenue standard, and be made with
the view to raise money for the support of govern
ment.
1t become important to understand distinctly
what is meant by revenue standard, the maxi
mum of which should not be exceeded in the rates
of duty imposed. 1t is conceded, and experience
proves, that duties may be laid SO high as to di-
any given article, and thereby lessen or destroy
the revenue which, at lower rates, would be de-
rived from its importation. Such duties exceed
the revenue rates, and are not imposed to raise
money for the support of government. IL Congress
levy duty for revenue of one per cent. on a Civ
en- article, twill produce given amount of mon
ey to afford protection or advantage TO the amount
of per cent. to the home manufacturer of SIM
liar or like article over the importer. If the duty
ha raica IN tp1T rrIll Inna
er amount of money and afford gI eater protection.
If it be still raised to twenty twenty-five, or thr-
ty per cent and if, it is raised, the revenue de-
rived from il is found to be increased, the protec-
ton advantage will also be increased but If it
be raised to thirty-one per cent. and it is found
that the revenue produced at that rate is less than
at thirty per cent, it ceases to be revenue duty
The precise point is the ascending scale of duties
at which it is asceraned from experience that the
revenue is greatest, is the maximum rate of duty
which can be laid for the bona fde purpose Of col
lecting money for the support of government. To
raise the duties higher than that point and thereby
diminish the amount collected, is to levy them for
protection merely, and not for revenue. As long,
then, as Congress may gradually increase the rate
Of duty on given article, and the revenue is in
creased by such increase of duty, they are within
the revenue standard When they go beyond that
point, and as they increase the duties the revenue
is diminished destroyed, the act ceases to have
for its object the raising of money to support gov
but is for protection merely.
1t does not follow that Congress should levy the |
highest duty on all articles Of import which they
will bear within the revenue standard for such |
rates would probably produce a much larger
amount than the economical administration Of the |
government would require. Nor does it follow /
that the duties all articles should be at the same
or a horizontal rate. Some articles will bear |
much higher revenue duty than others. Below
the maximum of the revenue standard Congress |
may and ought to discriminate in the rates impos-
ed, taking cn e so to adjust them on different ar
ticles as TO produce in the aggregate the amount
which, when added to the proceeds of sales of pub
lie lands, may be needed TO pay the economical
expenses of the government.
In leyying tariff Of duties, Congress exercise
the taxing power, and for purposes of revenue
may select the objects Of taxation. They NAV
exempt certain articles altogether and permit |
their importation free Of duty. On Others they
may impose low duties. In these classes should
be embraced such articles Of necessity as are in
general USE and especially such as are consumed
by the laborer and the poor, as well as by the
wealthy citizen. Care should be taken that all
the great interests of the country, including man
ufactures, agriculture, commerce, navigation, and
the mechanic arts, should, as far as may be prac-
cable, derive equal advantages from the nciden-
lal protection which a just system of revenue du-
lies may afford. Taxation, direct or Indirect is
a burden, and should be so imposed as to operate
as equally as may be, on all classes in the pro-
portion Of their ability to bear it. To make the
taxing power an actual benefit to one class
necessarily increases the burden of the others be-
yond their proportion, and would be manfestly