The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-08-14
Che Ten nli,iicn L~sn-M 8lcssausn,s Adj
ns6i.sf@y1 M

Mr.. Secretary Cotb may COZ graduate him
set on the rtlnsrkab'e SUCCESS of bis tee millioo
loao-ihe first instslsces, Of the swen,y mill:ors
'utbor'zed by Congress, Upon tie heel OF az
expenditure OF sNenty millions of treasury
no'es ard in view OF an indefinite prclougatior
OF deficiency il tie annual tressury receipts
70 meet liz current expenditures, this loan is
great achievement From four to five per cent
pr ruium on ioaa or ten nailions at five per
cent for fifteen year, and with offers amounting
il I'll TO forty millions or so, cannot be other.
wiz tran highly gratifying to the head OF the
| department, the President and the country.
Upquesiiensbly the abundance of money in
| the country, and the want Of confidence in rail
roaG ard other speculative investments, result
ing from the general smash-up OF the late re-
vu!sion, have operated materially in this mat
| ter TO the advantage of the government; but
still the extraordinary success Of this ten mil
lion loan furnishes the most satisfactory evil
depce Of the confidence of the country in the
| government, and in the financial solidity aud
moral strength OF Mr. Buohauan's admins
trsi,ou. Our readers will all remember that
| under Martin Van Bnrens xdmi uistra.ion
| there was sn issue Of ten millions Of treasury
| poies; that 10 meet other deficiencies arising
| from the tremendous revuisou Of 1887 ther
was d loan Of twelve millions made in 1871 six
per cent ipterest), which Was increased to seven
teen millions in 1912, followed by an act autho-
Tizipg a reissue of treasury notes in 1Si3, and
that these loans went abegging in this country
anG in Europe, and that special act had to be
passt d to prevent the stock from being sold be
low par, while the treasury notes were looked
upon with anything but public confidence.
TIE gold of California and Australia and the
tariff of 1916, and the general mania which they
created by all sorts of speculations aud of extra
vagauce in foreign dry goods, from the time of
Gen. Taylor to the startling and crushing col
lapse Of 1857, kept the treasury full to over
flowing. This plethora under Mr. Guthrie the
immediate predecessor of Mr.. Cobb was so
oppressive that all his ingenuity was applied in
vain TO effect depletion, and the calculation
was 'hat, under the first year of bis management
Of the department Mr.. Cobb would be afflicted
with the insupportable surplus of at least
forty millions of dollars.
The New YORK HERALD, taking cooler view
Of the subject told different story, and, months
before the meeting of the late session of Con-
gress, predicted that the 6rst necessity with Mr..
Secretary Cobb would be a loan or an issue of
treasury notes. He has had to resort to both,
and twenty millions in each case have been
granted him to meet the treasury deficiencies
of the last and current fiscal years. Thus,
from the expensive legacies entaiied upon him
by bis predecessors, Pierce and Fillmore, and
from the pressure Of the late crushing collapse,
Mr.. Buchanan bas been compelled, at the first
session Of his first Congress, to assume aggre-
gate debt Of forty millions, and with the GER
tainty before him that, under our existing re-
venue laws, this debt, instead of being dimi-
nished, must be heavily increased for an indie
finite period 10 come And yet we find the
bulk of this ten million loan, at Eve per cent in
terest, taken up at five per cent premium, and
an excess Of money offered at lower rates 10 the
extent of thirty millions more.
We have said that this successful experiment
murt be materially attributed to the abundance
Of idle money in the country, and to the con-
tinued want of confidence In railroad and other
cooperative and joint stock securities; but we
may also argue that loan to the government
upon FIVE per cent interest, at FIVE per cent
premium. indicates very gratifying degree OF
confidence In the government and in the admin
istration Immediately charged with its RESPONSE
biities. Ii shows that all these allegations and
arguments of the opposition journals, to the eff
feet that Mr.. Buchanan has entered upon
policy of reckless extravaganza and corruption,
which Is carrying the government and the coun-
try headlopg down to bankruptcy and ruin, are
ail stuff aud moonshine. The long and the short
Of II IL that his administration has the cont
dence of our capitalists as we'll as Of the masses
of the people, and this Is the best evidence Of
the moral and financial strength of any admins
tration.
In fact. considering the obstacles against
which he has had to contend, and especially
within his own party camp, all the successes OF
Mr.. Bucbansn's administration. thus far. arc
mainly due 20 the considerations OF justice and
good faith, and TO the spirit Of moderation
and firmncss which has controlled the
President upon every question. foreign
and domestic, with which he has had
TO deal Thus be has reduced the ruflianism OF
Kansas 10 law and order, and the ferocious
Kansas agitation to q dead calm; thus he has
reduced the nuisance Of Mormondom into sub
mission to the laws, thus be has brought Eng
land to prompt abandonment (at least for the
prcsent) Of her unlawful searches and visi,stons
on the high seas; thus be has put an end TO the
stigma and reproach Of filibustering as part
and parcel of our republican system; thus be is
gradually bringing order and deeorum GU. of
the chaos of Central American affairs aud
thus while he has secured the confidence Of the
American people be has commanded the respect
and the moot satisfactory manifestations Of