Indiana State sentinel. (Indianapolis, Ind.) 1861-1865, 1861-07-24
VOL. XXI. No. 8.


Congress-The Means-The Tariff.
On Thursday, the 4th inst, Congress met in
session at Washington. The most important
thing for them to do is to provide for raising the
means with which to prosecute the var. Men are
abundant and ready. Ii is no exaggeratiOn to
say that million of hardy, brave, intelligent men,
can, if necessary, be readily raised who will fight
to the last in support of the Union and the Con-
sttutiOn, if the means are provided to make them
effective. 1t seems TO be very generally conceded
that provision ought to be made for raising two
hundred and fifty million of dollars at this session.
Three modes of doing this are suggested: First,
by popular loan by the issue of bonds in sums
of fifty dollars and upwards, bearing interest at
seven per cent. This plan is similar to adopt
ed by Napoleon in the Crimean war. Second, by q
foreign loan; and third, by the issue of treasury
notes bearing interest, receivable for public debts,
and in small sums, with the view of having them
circulate as a currency. Should the war continue
any length of time there is no doubt that all these
modes will have 10 be resorted to sooner or later
The issue of treasury notes to be used as cur
rency in any great amount, should only be re-
sorted to after all other modes have failed. Is
sued in limited quantities, and with fair rate
Of interest, they would keep ut par. If rea-
sOnable limit should be exceeded they would de
preciate and the issuing by the government of a
deprecated currency with which to pay its obli-
cations, would seriously impair its credit, and
therefore should be adopted only as a last resort
If loans to be resorted to, the first indispen-
sable step is to make provision for the payment
of the interest promptly and a portion of the
principle annually. Otherwise you can find no
sale for your bonds, either at home or abroad, ex
cept at ruinOus sacrifices. In doing this let there
be no such financial folly attempted, the using
of the principle to pay the interest. or to pay the
ordinary expenses of the government. Reliable
pro bo do for raio;
amount, either from customs or by direct taxation
sufficient for the payment of all the ordinary ex-
penses of the government, the interest upon our
present debt, something less than one hundred
millions of dollars, and the interest upon the pro
posed loans, say two hundred and fifty millions of
dollars, beside providing a sinking fund for the
payment of the principal. Nothing less than
this will preserve the nations credit, and enable
us to raise the necessary means for the prosecu-
ton of the war, at anything like fair rates.
Let ms figure:
Interest slO0, 900 600, present debt, ate
per cent OBSERVATION-DISCLOSURES. 200
Interest on $3.50, ,0oo, 900, proposed loans at
per cent. H. ,500, 900
Ordinary expenses of the Government, ex-
elusive Of payments upon the public
debt, estimated the same that Of the
fiscal year ending June 80, 1860. 60,0O0, 900
Sinking fund for payment Of portion Of the
principal annually ly.-...........-..- 25,oO0Ooo
seNNeoeAy
This is the lowest amount it will be safe to
make annual provision for, aside from the pro-
ceeds Of the sale of the war bonds. How shall
it be done? We have but three sources to draw
from-the proceeds of the sales of the public
lands, the revenue from customs, and, lastly, di-
rect taxation.
The proceeds of the sales of the public lands,
in these times, will be very small. For the year
ending June 80. 1860, they were only 81 ,77S,-
~ n
cient to be taken into the account. The receipts
from customs for the year ending June 30th, 1860,
were $53, ,lS7 ,5l1. For the year ending June 80,
1861, they are estimated at $40, ,000, 900. This is
not satisfactory unless it is desirable to resort to
heavy direct taxes 1t is very evident that the first
step taken should be, the repeal of that financial
monstrosity. the "Morrill tariff" 1t is insult
ferably bunging in detail, impracticable in opera
ton and prohibitory in its effects. The well set
tied policy of the Government, generally acqui-
esced in by all parties, is the levyng of duties for
revenue, with only incidental or accidental pro-
lection. Revenue the object, protection the Incl
dent. The present tariff reverses that principle
with its other glaring defects. But this only re-
fers to its workings at home. Abroad its effects
are none the less detrimental. 1t lever in
the hands of the secession emissaries in England
and used with effect in creating prejudice there
against our cause. 1t checks commerce, and
makes the balance of trade so much In our favor
| that, if an attempt is made to sell our bonds in
Europe, their purchase would be discouraged be
cause of the financial arrangement which wculC
follow from the shipment to Us of that increased
amount of coin. Since November last, there
has been received from England, as balances
upwards of thirty million dollars in coin
Should We offer one hundred million dollars o.
our bonds to them for sale, so much as would
be sold would have to be paid in coin, as they
have to trade balances to draw against. This W,
believe would prevent their sale to any great ex
tent. We repeat, then, repeal this mOnstrosity
for we believe it has not redeeming point in on,
of its features. The re-enactment Of the tariff O
( 1857, with some amendments chiefly reducing tn,
free list, to increase the amount of revenue, will
be the best thing that can be DONE A duty upOr
tea, coffee and sugar is suggested and if adopted
would largely increase the amount of revenue. III
the depressed condition of all branches of trade
consequent upon the war, the importations viii
be light, but with iudicious arrangement of sh'
tariff, with revenue for the object, it is probabl
that seventy-fve or eighty millions of dollar
might be realized annually. This would leav,
from twenty FIVE to thirty millions defcienc,
which must be raised by direct taxes upon tn
people. From this there must be no shrinking
but manly determination must be evinced Il
meet the exigency as becomes a people engages
in great and Just cause.-Defroit Free Press.
I