The Lancaster gazette. (Lancaster, Ohio) 1846-1852, 1847-12-17
THE PRESIDENTS MESSAGE,
CONCLUDED

part we sent, in an extra, last week, to
most of our subscribers. If any have
not received it, we will, as far as we are
able, supply them, if they call at the Of
fee.
Congress is, therefore, called upon 10
determine whether il is wiser to impose
the war duties recommended. or, by o.
mitting to do so, increase the public debt
annually three millions of dollars so long
as loans shall be required to prosecute
the war, and afterwards provide, in some
other form, to pay the semi-annual inter-
est upon it, and ultimately to extinguish
the principal. If, in addition to these
duties, Congress should graduate and re-
duce the price of such of the public lands
as experience has proved will not com
mand the price placed upon them by the
government, an additional annual income
to the treasury of between half million
and million of dollars, it is estimated
would be derived from this source
Should both measures receive the sane
ton Of Congress, the annual amount of
public debt necessary to be contracted
during the continuance of The war would
be reduced near four millions of dollars.
The duties recommended to be levied on
tea and coffee, it is proposed shall be
limited in their duration to the end of
the war; and until the public debt rem
dered necessary to be contracted by it
shall be discharged. The amount of the
public debt to be contracted should be
limited TO the lowest practical sum, and
should be extinguished as early after the
conclusion of the war as the means of the
treasury will permit.
With this view, it is recommended that
as soon as the war shall be over, all the
surplus in the treasury. not needed for
other indispensable objects, shall consti-
tute sinking fund, and be applied to
the purchase of the funded debt, and that
authority be conferred by law for that
purpose.
The act of the sixth of August, 1876,
"to establish warehousing system" has
been in operation more than a year, and
has proved to be an important auxiliary
TO the tariff act of 1916, in augmenting
the revenue, and extending the com
merce of the country. Whilst it has ten
ded to enlarge commerce, it has been
beneficial to our manufactures, by dimin-
ishing forced sales at auction of foreign
goods at low prices, to raise the duties 10
be advanced on them, and by checking
fluctuations in the market. The system
although sanctioned by the experience ol
other countries, was entirely new in the
United States, and is susceptible of i'm
provement in some of its provisions
The Secretary of the Treasury, upon
whom was devolved large discretionary
powers in carrying this measure into ef.
feet, has collected, and is now collating
the practical results of the system in 9th
er countries, where ithaslonglbeen estab
lished, and will report at an early period
of your session such further regulation:
suggested by the investigation as may
render it still more effective and 5ene6
cial.
By the act 10 "provide for the bette
organization of the treasury. and for tht
collection safe-keeping, and disbursement
of the public revenue" all banks wer,
discontinued as fiscal agents of the gov
eminent, and the paper currency ISSUED
by them was no longer permitted to bt
received in payment of public dues.
The constitutional treasury created b,
this act went into operation on the first o
January last. Under the system estab
lished by it, the public moneys have beef
collected safely kept, and disbursed b,
the direct agency of Officers of the gov
ernmentin in gold and silver; and transfer
of large amounts have been made from
points of collection to points of disburse
ment, without loss 10 the treasury, or in
Jury or Inconvenience to the trade of thl
country.
While the fiscal operations of the go
vernment have been conducted with reg
ularity and ease, under this system, i
has had salutary effect in checking ant
preventing an undue imitation Of the pa
per currency issued by the banks whicl
exist under State charters. Requiring
as it does, all dues to the government t.
be paid in gold and silver, its effect is Il
restrain excessive issues of bank pape
by the banks disproportioned TO the spe
Gle in their vaults, for the reason that the,
are at all times liable to be called on b,
the holders of their notes for their re
demption, in order to obtain specie 70
the payment of duties and other publ
dues. The banks therefore. must keel
their business within prudent limits, AM
be always in condition to meet sue
calls, or run the hazard of being com
PEELED to suspend specie payments, AM
! be thereby discredited. The amount q
specie imported into the United State
during the last fiscal year was twenty fou
| million one hundred and twenty on
} thousand two hundred aud eightnin
dollars; of which there was retained j
the country twenty-five million two hun
dred aud seventy-sx thousand one hun
dred and seventy dollars. Had the fol
mer financial system prevailed, and tn
! public moneys been placed on deposit
in banks, nearly the whole of this amour
would have gone into their vaults, not I
be thrown into circulation by them, br