Indiana State sentinel. [volume] (Indianapolis) 1841-1853, 1847-12-10


comforts OF life receiving wages and steady and
permanent employment than in any other country
any previous period of our own hrtory.
So successful have been all the branches Of indus
try foreign war; which generally dmishes the re-
Of nation, has in essential degree retarded
onward progress checked our general prosperity.
With such gratifying evidences OF prosperity and of the
successful operation of the act of 1896 every
consideration OF public policy recommends that IL shall
unchanged II is hoped that the system ofimpost
duties which established may be regarded the perma
policy and the great interests affected by II may not
be again subjected be iniuousy disturbed they
have heretofore been frequently and sometimes with
sudden changes.
For the purpose of increasing the revenue, and with
out changing or modifying the imposed by the act of
1876 duIabe articles embraced in Its provisions,
again recommend 10 your favorable consideration the
expedency of evyng revenue duty on tea and coffee
The policy which exempted these articles from duty dur
ing ceases to exist when the country engaged
war; requires the of all Its available resources.
1t is a tax which would be generally dfussd that it
would be felt Oppressyely by none, and be complained of
by nome Ii is believes that there IS not in the list Of inn
porlant articles any which more properly the subjects
of duties 1t estimated that So 900 would
be derived annually from imposed these articles.
Should Congress avail itself of this additional source
of revenue not only would the amount of public loans
rendered necessary by the with Mexico, be diminish
ed To that extent, but the pubic credit and the public
confidence in the ability and determination Of the govern
ment TO meet all its engagements promptly, would be
more permanently established, and the reduced amount
of the oans which It may be necessary negotiate,
Congress therefore called upon to determine, wheth
or it is wiser to impose the duties or by emitting
do So increase the public debt annually $4,000 OOO
long Is shall be required prosecute war; and
afterwards, provide in other form 10 pay the semi
annual interest upon it, and ultimately extngush the
principal If, in addition to those duties, Congress would
graduate and reduce the prices OF such of the public
lands experience has proved will not command the
price placed upon them by government, additional an
nual increase 10 the treasury, of between half million
and million of dollars it Is estimated would be derived
from this source. Should both measures receive the
sanction of Congress the annual of public debt
necessary be contracted during the continuance of the
war; will he reduced "a 900 600. The duties recon-
mended be levied and coffee should be limited
in their duration the end OF the war; and until the pub
lie debt rendered necessary be contracted by shall
be discharged The amount of the public debt to be
tacted should be limited to the lowest practical sum, and
should be extngulshed nearly alter the conclusion of
the war as the means of the treasury will permit With
this view, recommended that the war is
over the surplus in the treasury needed for other in
dispensable Objects shall constitute sinking fund.- and
be applied the purchase of the funded debt, and that
authority be conferred, by law: for that purpose.
The act of August 9th, 1876, TO establish ware
housing system, has been in operation than
year. and has proved to be an important auxiliary to
the tariff act of 1916, in augmentins the revenue
and extending the commerce of the country. Whilst
it has tended to enlarge our commerce. it has been
beneficial to manufactures, by diminishing forced
sales auction for foreign goods at low prices and
TO raise the duties to be advanced On Them by check
;ng fluctuations in the market. The system, al
though sanctioned BY the experience of other
tries, entirely in the United States, and is
susceptible of Improvements of It's provisions.
The Secretary of the Treasury upon whom was
devolved large discretionary powers in carrying this
measure into effect Is collecting the practical
results of the system, in other countries, where it
has long been established, and will report, at an
early period of your session. such further regulations
suggested by these Investigations, will render it
still more effective and beneficial.
By the Z" provide for the better organization
Of the treasury and for the collection, safe keeping,
and disbursement of the public revenue" all banks
discontinued, the fiscal agents of the govern
men, and paper currency was no longer allowed to
be receivd in payment Of public dues.
The Constitutional treasury enacted by this act,
went into operation on the 4th Of January last.
Under the system established by it, the public monies
have been collected, safely kept, and discussed by
the direct agency of the officers of the government
In gold and silver and transfers of large amounts
have been made from points of collection, points
Of disbursement, without loss to the treasury, in
convenience to the traffic of the country
When the fiscal operations of the government
have been conducted with regularity and care under
this system, it has had sautary effect in checking
an undue imitation of the paper currency issued from
the banks, which exist under State charters. Re-
curing, does all dues to the government be
paid in gold and silver Its effect is to restrain
slve issues of bank paper disproportioned to the
specie In their vaults for the that they are
at all times be called on by the holders of their
notes for redemption in order TO obtain specie for the
payment of duties and other public dues. The banks,
therefore, must keep their business within prudent
limits, aud be always in condition to meet such
calls, the hazard of being compelled suspend
specie payment and be therefore discredited.
The amount of specie imported to the United
States during tina last fiscal year. was S25, 221 2S9
of which there retained in the country So, 1885,
ITO. Had the former financial system prevailed,
and the public money been placed deposit in banks
nearly the whole of this amount would have gone
into tn rvauts, not to be drawn into circulation by
them, bat withheld from the hands of the people, and
made the basis of new and enormous isues of bank
paper large proportion of the specie imported,
has been paid into the treasury for public dues and
after having been to great extent re-coned at the
mint has been paid out to the public creditors and
gone into circulation currency among the people.
The amount of gold and silver coin now in circula-
ton in the country, is larger than at any former
period
The financial system established by the constitutional
treasury has thus far been emnenty successful ope-
ration, and recommend adherence all its
provisions, and especially to that vital provision which full
lY separates the government from all connection with
banks, and excludes bank paper from all revenues
ceiyed.
la Of its details not involving its general princi-
ple the system defective and will require modification
These defects and such amendments needed and
are deemed important, set forth in the last report OF
the Secretary Of the Treasury through me- and
commended the early and favorable consideration Of
Congress.
During the past year the coinage at the mnt and its
branches has exceeded twenty millions of dollars this
has consisted converting the coins of foreign countries
into American coins.
The largest of foreign coins imported has been
received at New York. and If branch mint estab-