Indiana State sentinel. (Indianapolis, Ind.) 1861-1865, 1861-07-03
The War Debt.

Looking these figures, and bearing in mind
that with a population as great as that OF Great
Britain, we have a territory as great as all Eu-
rope, cheap roads, an energetic and highly intel
hgent people, and many sources of wealth which
older notions have not, we can not but conclude
that debt of twice five hundred millions lciH
giue us little trouble-N. Y. Evening Post.
The figures which the Post finds so reassuring
are the summaries of European debt:
England .-....--.....-.-. -, 600 millions
France J, 375 millions.
Austria. ........... 2,OOO mllhons.
Spain --.---.--..--..---.--- oOo miions-
Spain and Austria do not pay their interest ex-
cent by compounding it, and if We follow their
example we will have little trouble with ours.
France has wiped out one or two national debts
in the blood Of revolution, and it would not
trouble us to follow the example. England
shufies along with her debt, reducing interest
and taxing the income it affords, and can manage
it if invasion or revolution does not intervene.
But it will not do to make the proportion of
debt the measure of our capacity to psy. The
rate ofinterest is to be taken into consideration
If England and France pay a per cent, and we
per cent, our annual burden is so per cent
greater. &c nave OCciuCo IA NtA ~NA'P''S~sS
tenn. State debts and municipal debts. to enter
into the tax account. These latter amount to
hundreds Of millions
A Republican journal, speaking of the neces-
sity of direct taxation to support system Of
debt, says:
What could be realized from such a taxi From
the best data accessible, the aggregate wealth OF
- 10 @, xta nd mllllOnQ
OF dollars of which three fourths is iii the States
which still recognize the Union.
A tax of four mills on the dollar upon this
amount would produce at once forty eight mil
lions of dollars, leaving claim for twelve more
upon the Cotton States, which, perhaps, under
martial law, might be levied on their cotton as
our troops advance. We might reasonably rely
upon fifty millions from four mill tax.
Three fourths of $1,000 millions is ID 900 mil
lions, which would shrink somewhat when the
tax gatherer applied his touch stone to it. But,
accepting this, what are the other resources! We
quote from the same authority:
An additional duty of two cents on sugar. four
cents on coffee, and ten cents on tea, and twenty
per cent. on other free articles that do not enter
into manufactures, will add about S2l 900 ,OOO to
this amount, and carry our revenue up to Sio,-
000, 600.
If to this we add $50, 900 900 from direct tax
apportioned according to representation. S25 ,OOO
900 from State loans in aid of the Government,
we need raise little if any more than $50 OOO, OOO
from national 10 ms, and these loans would be
come most desirable investments.
If the English and French capitalists were
well disposed to us, we might borrow fifty mil
lions year for the national treasury, and twenty
FIVE millions year on the credit of the States;
if it were not for the chances of discredit which
the States are subject to. Will Virginia pay its
debt? Will Letcher government pay while
driven to the wall by enemies? Will the Carlisle
COVE nment pay? Can Missouri meet her inter
est? Her fugitive State administration will not
do it, nor can the Federal commanders who con-
troll now the government
Can the North west, with the blockade OF the
Mississippi cutting off its trade, pay the interest
on new debt as well as an old? 1t can pay in
domestic currency doubtless, but can it meet the
demands of foreign creditorf
When Congress meets, there will be these prob
lens to solve. By that time circumstances may
arise which will forbid us having recourse to the
foreign market; and the whole Of the vast sum
may have to be raised at home.-AlbGny Argus.