The New York herald., 1862-01-12


structing compromise between the North and South,
and thus prevent the restoration Of the Union Then
mencos war with the North But t6on we may the
naval Of France coming to the assistance OF the
Stars and Stripes against the British fleet and then the
struggle will proportions which set all further
calculations at defiance.
This last passage deserves particular notice, as it
comedies with tha change recently observed in the
tone assumed by tho French press in discuss
ing the Anglo-American question Your Paris cor
respondent has probably already mentioned an
article the OPINION Naonae saying that it would be
absolute madness for France to allow tho American navy
her natural ally TO be destroyed by the British her natu
raj enemy. 1t hardly be supposed that evident
truth can have escaped tho observation Of Louis Napo
leon.
A e 8. d. View Of Secretary Chasc's Re-
pOrt-How the English Look at Our
ifrom the london Times, Dec 2el
American finance is assuming character so truly un
paraleed and marvellous that must bespeak the
careful attention Of readers 10 the details just
ceved We should promise too, as adding to the woh
ders of the that everything appears to be dcne
principle. The Americans spending and 1orro,cing
IN any ignorant hedlss SPIRIT bat soih perfect kno'o-
about. The President himself, in his message TO Con-
gress after remarkng the 'signal success" which
had attended the operations Of the Treasury proceeded
national loan has been taken by citizens OF the indus
trial Classes whose confidence in their countrys faith
and their countrys deveance from its present
peril have induced them to contribute to the support Of
the government the whole Of their limited ac-
qusi,ions. This fact imposes peculiar obligations
to economy in disbursement and energy in &C
ton" How far these ''obigations have been fulfilled
the charges results OF the past campaign shall
hfe inquire bat advance at orcs to the princpes'
which the Secretary Of the Treasury lays down those
which ought todistngush American nancefrom budgets
on the European model ''The idea OF perpetual dcbt"
say he sis not OF American nativity and should not be
naturaZcd"s This is very sound doctrine and it's ap
pcaton should have thought, would have consisted
in ncurrng little debt possible and preventing the
accumulation Of burthen which is found by experience
so hard be shaken on. We should have expected Mr.
Chase TO 60 work like Mr. Gladstone with resolution
to make the years support far possible tho
years expenditures, without the supplement loan
Very lt ent however are the OF the Anne
rcan Here Is his wholc sysom expressed in
single cscneacc''raxaon I, prod:cc enough for ordi-
may expenditures for prompt payment OF interest on the
pubic debt; existing ani aaiiv. aud surplus fund
sufficient exiting gsh the rri cip within thirty years"
In other words every penny Of enormous expcndi-
tuo cntacd by the civil war is to paid with borrowed
money nothing being provided by taxes except the into
accruing On the debt and sinking fund for its
eventual extinction.
The operations of the Treasury have certainly
been in pretty complete accordance with this programme
The estimated expenditure for tho year ending In July
1862 is about f10s 600 coo sterling. or this SIM Mr.
Chase has go expects TO get, EGG 900 c00 and
more by taxaton f4O 900 900 be has already rsc by
borrowing money and he has not yet raised
all but hopes TO raise by borrowing The fcie-
raj government therefore, having fl09 900 600 TO pro-
vid for the wants OF the current year have deliberately
than thre,fourhs by loans although the Northern
States contain 10000 GOO Of pcope, singulary rcl
Mr. Chase declares and hitherto all but untaxed their
admirers in this country are necessarily asserting
As cases Of this kind are never mado c,ar by
contrasts, sub.oin an example or two of po.
hey in such matters taken from periods Of marked i'm
portance. In the yoar 1sl3 then being the twenty
OF most exhasting and sanguinary war, emb acng all
the STATS Of Europe ell 0o0 900 for the
vices of tho country This, it will be seen indeed
I s5 COO COO than the Americans expect to
want before july ncxt, bat,. as we had Gao co.,
aud proposing 10 lend El2,OOo,oOo more
| ia subsidies to Other nations, not to mention ilat
hal been at since 1913, tho difference Cali hagdly
be thought much aga in tho way OF carly cxrava
gance owover to meet this great demand We ra sed
t42 900 600 by permanent or ordinary taxation and G3l
Oc0Uo0 by extraordinary taxes, imposed for the support
| o. the war; nor was u until wo bad thus produced
973,0oo 0co from our own pockets that we ven
| tired In our needs TO borrow less than half as
much or f35, 900 900 Two years later these te rib
figures were stii further increased but agaln with
| resolutc consancy, maintained the proportion
between the two items of the account We aciay rails
ell by ordinary and extraordinary taxos 600 for
the service Of the year, and then but then only, we bor
COO 900.
un,axcd people and full 20 900 600 in number de-
lberatey borrowing in the very nrst year twice
mach As We borrowed In oar direst extremity, when
we were barely 100000 In number, and had been
groanng for generations under the pressure of taxation
Next year they propose to borrow, according to
their present estimates nearly much more, and con
sdcring that Mr. Chase already finds the army twice
large and the customs revenue only half large he
originally anticipated may be sure that his future es
tmaes are not likely 10 give him agreeable surprise
few months ago he h,ught the war; by jidcions ma
nagcment might be finished, for about $50 900 GOO by
ths spring Of 1s02 He Is now content 10 speculate on
July 1893 the porod of its possible termination and
to reckon that cleo 900 will have been spent
| upon ".
But thcrc Is another and an equally important branch
OF the 10 be considered Ali while as
thing TO be borrowed and nothing be paid Of course
the public debt will BE- mounting rapidly. Mr. Chase to
do him justice, grappes boldly with this ugly Liability
and tells his countrymen what the national debt Of
Northern America will be In July 1853 or within two
\ and n quarter after the FIRST III
should not at all the probable event In putting
this debt, in round numbers, at 600 900 stcrng
though the secretsrys predictions would bring only 10
f1s0,ooo 600 30. Now, AZ the public debt Of the
United states but about ELS 900 900 ON the st Of
| CLEO, 600, upwards OF ESQ 900 600 a year
will have been added TO It, We never maie
sach an addition during the course Of our
onal existence, and 1t took us full seventy years. Of
which nearly half wero years Of war, TO accomplish
that accumulation Of debt which the Americans
are achieving briskly In six andhrty months. At
tho beginning OF tbs last century owed E13 900 600
in the year after six years Of the American war;
The weight Of public debt is measured not by its no
mna amount much by the required for the
upon IT, IL the federal states are really so for.
unato as TO owe only E20o 900 600 year and half
hence, thoy will have to provide at least ETA 600
interest OF moncya point OF Indebtedness which we did
not reach, with all our wars and all wasto, till the
Bat M Chase contemplate he graua, and spedy esnc
tom f this db BY what means This is the most
derul feature in tho whole prospectus. 1t resembles
nothing much those piiiabic items In bankrupts
account where loan liability s labelled with the
memorandum, " 10 be discharged next year" How are
such debts be discharged and why at future time
rather than nowY We had a good excuse for
borrowing, as wc never borrowed till we could pay
our way no furshsf q ut what has Mr..
Chase and with what pres mption he conclude that
the Northern Amcrcans will pay between 1863 and 1898
what they will not pay at present. In point Of fact they
will be worse on then than now Now they arc paying
only enough for ordinary expenditure" with little or no
interest on loans. Then they will be paying only ,bs
'ordnary expenditure" infamed ~ u will certainly be
oy she results "a tho war, but heavy interest on Dor.
rowsd money 70 boot u requires no skiI in divina