The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1846-12-19

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four millions Of dollars The loan proposed, Il
estimated. wilihe sufficient to cover the necessar
expenditures. b6lb for the war and ali other purpo
ses, up to the S0th June, l646; and 20 amount o
this loan, not exceeding one-haIf, may be require,
during the present fiscal year. andihe greater par
oi the remainder during the first half Of the 6sca
year succeeding.
In order that timely notice may be given, ans
proper measures taken to effect the loan or sucl
portion of II as NAV be required, Il is,importan
that the authority Of Congress to make Il be giyer
at an early period of your present session. Il il
suggested that the loan should be contracted for
period Of twenty years. with authority 70 purchase
the stock and pay it off, tan earlier PERIOD az ~
market value, out of any surplus which may az any
time be in the treasury applicable to that purpose.
After the establishment peace with Mexico, II is
supposed that considerable surplus will exist, and
that the debt may be extinguished in much short
er period than that for which 1t may be contracted.
The period of twenty years, as that for which the
proposed loan may be contracted, in preference to
shorter period, is suggested. because all expert
ence both at home and abroad, has shown that
loans are effected upon much better terms upon
long time, than when they are reimbursable at
short dates. e1 5gW
| Necessary as this measure Is to sustain the hon.
or and the interests of the country, engaged in q
foreign war. il Is not doubted but that Congress
will promptly authorize IT, 1t s1rs
The balance in the treasury on the first of July
last exceeded nine millions OF dollars. nvtwith-
standing considerable expenditures had been made
for the war during the months OF May and June
preceding. But for the war, the whole public debt
could and would have been extinguished within
short period; and il was part Of my settled policy
to do so. and thus relieve the people from its bur-
den, and place the government IL position which
would enable il to reduce the public expenditures
to that economical standard which is most consis-
| tent with the general welfare, and the pure and
wholesome progress of our institutions.
Among our just causes Of compliant against
Mexco arising out of her refusal to treat for peace,
as well before as since the war so unjustly COM
menced on her part, are the extraordinary expen-
penditures in which we have been involved. JUS
tice to our people will make il proper that Mexico
should be heIdresponsibe for these expidenditures
Economy in the public expenditures is at all
tines high duty which all public functonaries OF
the government owe to the people This duty be-
comes the more imperative In period OF war,
when large and extraordinary expenditures become
unavoidable. During the existence OF the war
with Mexico all our resources should be husband
ed and no appropriations made except such as are
absolutely necessary for ITS vigorous prosecution
and the due administration Of the government
Objects of appropriation, which in peace may be
deemed useful or proper, but which are not indIs-
pensable for the public service, may when the
country is engaged in foreign war. be well post.
poned 10 a future PERIOD By the obser, snce Of
this policy at your present session, large amounts
may be saved 10 the treasury, and be applied to OBJ
jects of pressing and urgent necessity. and thus
the creation OF corresponding amount OF public
debt may be avoided.
Its not meant to recommend that the ordinary
and necessary appropriations for the support of
government should be withheld, but il is well
known that at every session Of Congress appropri-
atons are proposed for numerous objects which
may or may not be- made, without materially affect
ing the public interests; and these it is recommend
ed should not be granted. s e
The act passed at your last session Producing the
duties on imposts" not having gone into operation
until the hrst of the present month"; there has not
been time for its practical effect upon the revenue
and the business Of the country, TO be developed
II is not doubted, ho wever, that the just policy
which it adopts will add largely to our foreign
trade, and promote the general prosperity. AL
though it cannot be certainly foreseen what amount
Of revenue il will yield, il is estimated that it will
exceed that produced by the act of lS42. which it
superseded The leading principles established by
IT are, to levy the taxes with view 10 raise reve-
nue., and TO impose them upon the articles imported
according 10 their actual value. ..fafa
The act of 1912, by the excessive rates OF duty
which II imposed on many articles, either totally
excluded them from importation. or greatly reduc-
ed the amount imported, and. thus diminished in
stead of producing revenue. BY il the taxes were
imposed not for the legitimate purpose Of raising
revenue, but TO afford advantages to favored class
es, at the expense Of large majority OF their fel
low-citizens. Those employed in agriculture,
mechanical pursuits, commerce, and nav j.
cation, were compe led to contribute from their
substance swell the profits and overgrown wealth
of the comparatively few who had invested their
capital in manufactures. The taxes were not levi
ed IN proportion to the value of the articles upon
which they were imposed; but, widely departing
from this just rule the lighter taxes were, in ma
ny cases, levied upon articles Of luxury and high
price. and the heavier taxes on those OF necessity
and low price, consumed by the great mass of the
people. 1t was system. the inevitable effect of
which was to relieve favored classes and the
wealthy few from contributing their just proportion
for the support Of government. and TO lay the bur-
den on the labor of the many, engaged in other
pursuits than manufactures. II
A system SO unequal and unjust has been super,
seded by the existing, which imposes duties not for
the benefit or injury Of classes pursuits, but dis
tributes, and, as far as practicable equalizes the
public burdens among all classes and occupations.
The favored classes, who, under the uneqal and
unjust system which has been repealed, have here
tofore realized large profits, and many Of them
amassed large fortunes, at the expense Of the ma
ny who have been made tributary to them, will
have no reason to complain If they shall be requir-
ed to bear their just proportion Of the taxes peces-
sary for the support Of government So far from
it, 1t will be perceived, by an examination of the
existing law, that determinations in the rates Of
duty imposed, within the revenue principle, have
been retained in their favor. The incidental and
against foreign competition which they still enjoy
gives them an advantage which no other pursuits
possess; but Of this none Others will complain, be-
cause the duties levied are necessary for revenue
These revenue duties, including freights and char
ges, which the importer must pay before he can
come in competition with the home manufacturer
in our markets, amount, on nearly all our leading
branches Of manufacture, to more than one-third
Of the value OF the imported article, and 10 some
cases to almost one halt its value. With such ad-
vantages II il not doubted that our domestic manu-
facures will continue to prosper, realizing n well
conducted establishments even greater profits than
can be derived from any other regular business
Indeed, far from requiring the protection Of even
incidental revenue duties. our manufacturers, in
several leading branches are extenting their busi
ness. giving evidence Of great ingenuity and skill.
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