Semi-weekly standard. [volume] (Raleigh, N.C.) 1853-18??, 1863-01-27
The New Financial Project.

Inc new FINANCIAL frOJects
Taxation, to a reasonable limit justly and equal
ly imposed, upon the productive wealth of the peo-
pie of the Confederate States is the only safe and
sure method of maintaining the credit of the gov
eminent during the war. This, of ITSELF would at
once render unnecessary the excessive issue OF Con-
federate Treasury notes; would lead to the bonding
of the Confederate debt at safe rate OF interest,
and give ample naturalization to its creditors
This wholesome method has been studiously ig-
nored by the present Congress, more perhaps from
the fear that such step would lead to the punish
ment of their numerous shortcomings and sins, by
a constituency usually slow in administering it.
than from any conviction that the people could not
or would not bear it To prevent the immediate
necessity of taxation, well to put off the evil
day, and give encouragement extortion and spec
uation, it is now proposed that the State govern
ments shall guarantee the payment of the present
and future debt of the Confederate States incurred
on account of the war. The intimation that the
States Eust in effect assume the debt is denied,
simply because they only in form guarantee it
But surety in law is always regarded as much the
debtor as the principal, and when from any cause
the principal becomes obstinate or untrustworthy,
the security is made to pay the debt.
By the Constitution, the Confederate government
has the sole right to make and conduct war against
foreign powers, and to levy taxes for maintaining
it or paying the debt incurred by it. The States
have no such rights, having surrendered them in the
formation of the compact For the States, there
fore, to guarantee the payment of the war debt is
to assume an obligation which they have no means
of discharging. The guaranty would in fact be
wholly inadequate, and hence no guaranty at all.
For instance, supPosing that the war should end
year hence-and few can even hope that it will end
sooner-the proportion of North Carolina, according
to the Alabama proposition would be $3.50 0000 600.
Can any one tell US by what process this State
could even pay the interest such a debt? But
add her own debt to this, and it would make about
S175, 00OOO0I What could she do with such
debt? Does any one suppose that North Carolina
would ever submit to direct tarSto meet her pro-
portion? The idea is prepoSterous But it will be
said that North Carolina will never be called npon
to pay any part of t-that there is possibility of
such result If not why should she guarantee
it? If so, would the guaranty be worth any
thing?
But very wild idea prevails in some well-meanng
minds, that if the Confederacy fails, which we will
not admit to be possible, that the States must fail
also-that if Confederate money or bonds become
worthless State money and State bonds will become
worthless also. This by no means follows. 1t is
mere clap-trap. The Confederacy is a creature of
| circumstances-the States made it and the States
or circumstances may unmake it But the States
realities powers of SOW
ereignty, and therefore may be perpetual. The
! COnfederacy may may not exist ten or one hun
hundred years hence; but the States will doubtless
exist if they are true to themselves many centu-
ries, though the compacts into which they may
| enter may be broken al infnitum
But to the point. The proposition of Alabama is
monstrous. She proposes to guarantee her proper
ton of the debt according to her Congressional
representation Who would have expected so I'M
just proposition from wealthy and magnanimous
State? She has scarcely felt the tread of the iron
hoof of war. Virginia, Tennessee, Louisiana, Ar
kansas apd h,Garrlir hnr are represented in
the Confederate Congress, not likely to assume
any part of the burden. Can the other States be
so blind to accede to any such proposition? The
productive wealth of Alabama is, perhaps, three
times as great as that of North Carolina, and yet
she is willing to guarantee only her proportion
according to representation!
South Carolina, more chary, is willing to assume
her proportion of only OOOO 900, "a drop in the
! bucket and then her citizens must have prior
claim to purchase her bondsI This is guaranty
with witness. Florida comes into line promptly
and agrees to bear her share according to repree-
tation, and well she may, when her productive
wealth. in few years. will rival most of the States
| The scheme if adopted, will prove perplexing and
injurious, and must intimately fail TO compass its
object Georgia, the Empire State of the South
adjourned her Legislature without touching it.
North Carolina will do we'll to initiate her example
|
| The Yankees in FIizo hefh Citv