Weekly national intelligencer. [volume] (Washington [D.C.]) 1841-1869, 1853-09-24
THE 81 RPLUs REVENUE.


The synopsis of tho state Of the Public Finances
which we inserted on Thursday, condensed from a
detailed exhibit prepared at the Treasury, induced
us to give the abcs,t some further consideration
The immens e &c emulation of surplus funds in
the National TreW sury has become an object of Sc
nous import and Of most important bearing upon
the generai mt erests of the country. Among the
questions co v hich it gives rise are
ISL. hat, shall be done with what has already
accumuJ atei and what will still continue to accumu
iaIe DC fore any measures can be carried into effect
to CD eek it? and,
d. What measWes should be adopted in order
70 maize the only equal to the fair and leg
Innate, wants of the country, and prevent such
.resul in future
As regards the first question, the natural and
most obvious application Of the surplus would be
she redemption Of the public debt; but unfortu-
natey the conditions under which the various
items Of the public debt have been created will not
allow the Treasury to redeem any portion of it,
except with the consent of the holders, until the
year 1885, and then only an amount not one-fourth
part Of what the Treasury could redeem in twenty
four hours and with perfect confidence as to ample
provision for the future current demands for the ge
neral service of the country. After 1856 no other
portion of the debt is redeemable until 1862
There is therefore, at present other mode of ex-
tinguishing any part Of the public debt except by
buying it up at the market rates, and even in that
mode it can be only obtained in limited quantities ;
for any attempt to make extensive purchases only
tends to increase the already exorbitant premium
which it bears in the stock market Every exer-
tion, however, should and we presume is making by
the Treasury 10 take in the stock in this mode,
though it is rather costly process to the Treasury
to buy up the stock at l21 and upwards, which the
United States negotiated at 100, and which, in a
few years when the period of redemption arrives,
they will have the privilege of redeeming at this
latter rate.
Another mode of reducing the surplus would be
for Congress to authorize the Treasury Department
to advance in the way of loan the par value of any
United States stock on pledge of it as security,
at low rate of interest say four, or even at three
per cent per annum. That would be preferable
to buying up the stock; for taking into view
the premium at which it is now seling-which pre-
MUM is an entire loss-the actual rate of interest
saved in purchasing the six per cent stock does not
exceed 81 to 81 per cent, and the Treasury would
in this mode retain the command Of the amount
thus loaned in case of any contingency in our TO-
reign relations which might require an extra amount
of funds, or could employ it in buying up the
stock on much more favorable terms than at pre-
SENT should any thing occur to reduce the value of
1t IN the market, at or near the par value
Those loans, at any rate, could be kept out until
1856, when all the debt redeemable in that year
could be called in and paid off at par, and thus
save the premium which it now bears.
We have no doubt that twenty millions of dol
lars could readily be lent out in the above man.
ner at and probably at8l per cent, making an
annual saving of interest equal to six or seven hun
dred thousand dollars, besides relieving the gene
raj financial and commercial business of the coun-
try by throwing that amount of specie into general
circulation instead of keeping it locked up in the
Treasury where it is not only as useless as if it
was at the bottom of the Red Sea, but is actually
very injurious in its effect upon the general interest
Of the country
We can see no reasonable objection to the above
mode, but, on the contrary, various advantages
some Of which are alluded to above 1t is in fact
temporary purchase Vi the sUOck at giving TO
the holders of it the right Of redemption at the
same rate they in the mean time abating por-
ton of the interest payable to them a compensa-
ton for the Of the money. The security Of
course would be most satisfactory and ample for the
principal, the United States themselves arc the
debtors; and for the interest the amount would be
retained from the semi-annual dividends on the
stock.
If Congress thought proper to fix the rate of in
terest on which these advances should be made at
four per cent, they might at the same time vest in
the Treasury the power to make, with the consent
Of the owners, definite purchase of any certif-
Gates thus pledged at premium per annum for the
unexpred time, up to the date at which said stock
was rcdeemable, equal to the difference between
said four per cent. and the rate Of interest the
stock bore.
We have not time to-day to discuss the second
question, but will resume the subject.
THE MARYLAND GUBERSAToRIAL CANvAss.-ATr LIGoS
has accepted the invitation Of Mr. BowIr to canvass the
State with him. and the following is list Of the public