Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1858-03-19
IN RICHMOND ENQUIRER.
nv RITCHIK g. DUNNAVANT.
.1IDAY, MARCH 10, 1855.
T,y0N OUR STATE CREDIT.

sa1DAY, MARCH 10, 1855.
7ayTaX ON OUR STATE CREDIT.
.,.,;ou. article, We have called attention to
INN. evils attendant on this novel sytsem OF re-
,,on One point, however, We have not recur'
18th sufficient dstiuctness-and that is that
.oy IMPOSED on STATE BONDS ENTIRELY
,,,. rpr ,uRrHER ISSUE OF OUCH BONDS.
..nons,rs,s ,bis, we must resort to recapitu.
: i.c,. already stated. The State tax alone
1 :. ma pteres, received by the stockholder on 9
., al, per cent. bond. to S 60 per cent-the
..,ton "a. Of Richmond further reduces the same
a o.r cent, Other corporations are empowered
,ml.r taxes, and we may take the instance Of
e,,,d A, A criterion. Now nothing 10 more spps-
,,,o ,bs. our own capitalists will not consent TO
!, ,ssir money in stocks yielding but 4 60 per
\ ,s,cs there can be no doubt that the further
4, ,ock by the State to her own citizens 10
,,s, possible under the present system. The
!. i.,us of bonds to non.residents is equally
AHA. The State ia precluded from selling her
hosd. below par. The tax which she imposes
,.rui,s her own municipal corporations to
a.. keeps her bonds below par in her own
., The current price at Richmond is at this
.-p, down to per cent. below par. Richmond
!, ,hs criterion for the price of State stocks in
III, spd the Virginia price is the criterion for all
markets in the case of Our own stocks. No
uscbsn, elsewhere will consent to pay higher
"a, Virginia bonds than they will command at
orn home market. The State of Virginia de-
|. "a, value; the merchant in New York, Phila-
n Paris, or London offers but 81 per cent. The
canpo, sbsts her price, nor can the foreign
h.u, raise bis. Any bargain and sale is clearly
}aib!. under the circumstances, and would be
1v impossible, we're Virginia bonds quoted at s9
| st OF %. Virginia bonds must stand at par in
rn market, before the State can issue single
a;o foreign purchaser.
rs THE ISSUE OF STATE BONDS, ~ ANY MANNER
IbRx 10 RENDERED AS ABsoLUTELY IMPOSSIBLE
n ,Coys1lruTIoSAL PROVISION Positively PRO-
trp The STATE FROM CONTRACTING ANY LOAN
EryrS And what is the effect-the 6rst i'm
be, necessary effect Simply this: No ArPRo.
hos WHATEVER CAN Re APPLIED To ANY WORK
|nsslL IMPROVEMENT, GREAT OR SMALL. Let
suas OF internal Improvement take hold of this
J, boldly. 1t is the first step necessary; until
u IN State bonds is removed, any appropriation
srsl improvements will be a mocker and a
The enemies of internal Improvement can as
gran, nominal appropriation Of $1,000 QUO,
(a,VOO to the CoviDgton asd Ohio road. In.
as4OO. 900, they may accord $40 ,OOO,O to the
sud Ale1apdria road. and then laugh in their
d,hey can only induce the friends OF these
work. 10 continue the taI on State bonds
p,ropria,ion made, will not be worth the paper
ich il is printed. Until thi, tax shall be rescind-
sy appropriation will simply authorize the re-
,ublc works by the sale of bonds ,ohich cannot
! Be sold.
State credit is begesred, internal improve.
rs left unfinished. the honor Of the Common
lis compromit,ed, the people are taxed for the
20, Of debt already incurred by the State, and
Phich the State cannot derive farthing Of profit,
Z q, remains invested in balffnished works.
,hi. damaged debt aud dishonor are weighing
cn the energies of the State in order to Sc
arevsnus Of less than THREE THoUsASD DOL
Did any Esau ever sell his birthright for
uess of pot,age
perfectly dsmonstrable that the yearly reve-
FcTciug 10 the state, from this tax on her own
canno: exceed, and probably falls much below
n above stated. The loans aud discounts Of
,aks .a-Oughout the State, in January, 1857,
fted 10 nearly S25.00O,OO0. We may safely
s. apart from State bonds) that bonds, secu
&c. &C., yielding taxable interest, amount.
,;ths same year to at least half Of the extent
SunOda,ion afforded by the banks. We will
tat ls'a than half-say II ,250,O 200 for the en-.
AZ OF 1857. That this is an under estimate
De denied. A taI Of six and two thirds per
o. ~ ,aterea Of this amount would yield ex-
ASN@ of revenue. Now. the report Of the
Auditor shows that the entire amount of tax
20 on "in,erest" throughout the State Estate
ac'uded) does not amount to $47 500. This
is bOUds to less than $4,000.
nniy does this prove the absurd insufficiency
wages Of dshonored credit, but it demon.
'ns fact that not a tithe of the State debt re-
htns hands ct our citizens. Virginia citizens
afford to purchase the bonds Of their own
'nseslth, even at heavy diacount, and when
% them hawked about in q foreign Market
have before demonstrated, no more State
an be issued at all, and Virginia bonds already
an never become a profitable investment for
'esp'salists, until persistence in the present
shall further reduce their value in the mar.
'och depreciation Of the State credit as will
hem to be purchased for seventy seven cents
"i.n,
nom this disheartening picture, and see what
W 'he eject Of removing all taxes from the
'edR' Bonds which yield an interest Of 4 GO
Fa'r are intrinsically worth about seventy.
400 notwithstanding this reduced intrinsic
'asS are quoted 10 Richmond at ninety. four.
1e market value exceeds the intrinsic value by
"sl'!'lhres per cent.
-''s'ae tax, and our bonds will yield clear
'""I per cent; and thus their intrinsic value
ahr. Can 1t be possible that the market
4'not then, a, now, rise above the instrinsic
~ THE TAX. AND VIRGINIA BONDS MUST
PREMIUM. Then there will be DO diff.
"s immediate negotiation Of any loan which
Dscs'sary for the great purposes Of State i'm.
~" And every such loan will either afford
'" profitable investment for our own capital,
'aer'zsn' will be enabled to purchase state
p"' and then sell them at premium to the
capitalist. thus making our financial opera
means Of profit TO ourselves at the expense
''f'h instead. as it has been hitherto, Of
10 our own stockholders, to the profit Of
aspeculators.
s''o call the earnest attention of our legis.
:. 'He'r constituents 10 the urgent necessity
"s 'his blot upon the honor of the State
"' winch has been imposed on her energies
''ner view, and which answers no other oh.
prevent all further relief or assistance 70
"uusd prosecution of our internal improve
aOaORED RESIGNATION.
,hoIos, March l5.-lt 10 ascertaiped that tho
c, vu. =" Lord Nspier's intended resignation Of
Mon Sos't'on near this government are without