The New York herald., 1862-01-09
Secretary Chase's Gigantic Financial
scheme.

ltrom the London Times, Tee. %.
Everything in America is magnificent scale. She
has mammoth rivers her waterfalls tumbling foods
her mountains tower head and shoulders the pgmy
attitudes OF Europe She is a continent of very marked
features. But there is nothing her physical phonome
which taxes astonishment the moral inrncn
sites she has atey developed We have got used to the
thunders II Niagara and the tremendous distances
Mississippi and tho high shooting peaks Of the Andes
we aro not altogether incapable Of sensation
closed to the tremendous vegetation OF her national
debt and the magnificent scale of her deficits
marsabe for the wonderful financial statement sy OF M
Chase the Secretary Of the Treasury In other respects
IL IL still but an uncertain sound The populace Of New
York yet huggpg the fond delusion that the seizure
or tho Trent would be passed over without resentment
The organs which 10 represent the policy of Mr.
Seward and the opinion Of the inhabitants cf New York
were slil keeping up their spirits by big words sti
boastpg that England had too many interests stake
risk quarrel with the United States, and comforting
themselves with tho braggart notion that Canada is
within two days railway Journey Of half a million Of
armed men, and has frontier that oer no resistance
them that England had heard Of the exploit Of Commo
dorc Wilkes. II VIII be remembered that at the Hrst
moment Il was receivedtwith some ssionishmcnt, but
with great calmness The primary impulse was not
10 buster, but 10 inquire. The people Of New York
Judging too much by their habits delighted to
ind calm, and telegraph 1t that the effect Of
the news England SO unfavorabls a. was expect
ed" In this TOOLS paradise they had yet be dis
turbcd They had yet TO learn that the calmly and
deliberately sensible nation examines the ground il
proposes TO take up the resolute will In main
tanning that ground. We as far from being
ftp6rot1OQ
hnd them but II there should have been any doubt upon
the mind of the federal leaders, opinion
among the federal populace when Lord Lyons made his
communication, that magnificent and stnpondous dect
Of forty three millions sterling remaining at the end Of
year during which the borrowing Of the federal
States taxed 10 the utmost ought aid these people
10 their position Mr.. Chase prudent or rather
jealous Secretary Of the Treasury 20 out OF his
way to mention dlsagreebe facts He does not tell us
how much Of the expenditure Of 1851 was raised by
oans, and how much by taxes doe he the
resent amount Sof the ncwy-born national Adebt Of
hu IA q k.t . 49,
quite enough 10 enable any Of business Judge how
long this Of subugaton last and what the proba
that from July 1851 July 1892 the expenses
will be- In round nrmbers f109 600 600 sterling which
he has succeeded In borrowing about Gao 900 0o0 and
taxation Of about 60 500 600 n he can get
the loans and people viii take his paper money and IL
they will also pay he will then be able TO make
both ends up 20 July 1907 But the south should
be subugaed by that early date he tells his country
plainly that he shall want seventy six millions
ling for service OF the next year. that the end
Of June 1863 the national debt of the federal states VIII
be nine hundred millions Of dollars.
This IL pretty well for three years Yet,
to examine Mr.. Chases figures very
closely, should ind the estimate OF expenditure,
very much understated. However, let that pass
Two hundred millions in three years form not
bad nucleus 10 respectable national debt 1t will be
observed that there no question here as to where tho
lenders 70 from who supply all the money
There can be doubt Of course, that they will rush
from all parts Of tho earth TO al MP the vacuum in the
federal treasury. II is, presume, consistent with all
the experience OF American hnancicrs that the more
pressing the need OF borrower the greater becomes
the zeal OF lenders 70 assist him. and the deeply
the security becomes deterorated by mortgage the more
ready the cal alis Is TO double his advances For the
first tme Mr.. Chase gives glimpse as " what this
security is. Of national security means the
national patience Of taxation. Mr.. Chase ~ about
TO make the great experiment whether nny such
security exists in the federal states He proposes 10
raise by an income tax the moderate sym Of G2 600 OOO
IL is but fifth of what raise by IL tax but
when Mr. Chase has obi aimed his E2 COO sba have
faith his security which have not nav. Ho hopea
also 70 get another four millions from other direct taxes
These SIX millions, when he gets them will no. 60 far as
he must admit but then he has complete az excise
stills and spirits, and sugar, and tea, and codee and
lobacco he has impost prepared for bank notes
siss scd oarriaess and-oh, ~. John Bright now ca