The Iowa transcript. (Toledo, Tama County, Iowa) 1858-1866, 1863-02-05
Comparative Rescurces and
Taxation Of the Loyal and Re-
bel States.

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Taxation Of the Loyal and Re-
bel states.
Tho report Of Secretary Chase shows
THAT on the 1st Of December last the
public debt Of the United States-ex
elusive Of sso, 100000 contracted before
the war-was ssos, ,0oo,o 900 Estimating
our expenditure in excess Of income for
December at $50, 100000, we should
have as the war debt Of the nation on
January 1st, 1863, the sum Of $40, ,000,-
0oo.' On the other side papers laid
before the rebel Congress show taat on
the lst Of August last the debt Of the
"Confederacy" was $4,000, 900. The
estimates Of the rebel Secretary Of the
Treasury calculated upon an addition
to this, up TO January lst, Of o,oOo,-
900 making a total debt at the be-
ginning Of 1863 amounting to $3.50
900. Now this debt distributed among
a population Of three and half millions
Of free people gives an average debt OF
sl5o per head. On tho other side, we
have federal debt Of $640 GOO 900 10
be distributed among twenty-three
millions of free population, giving an
average ofs27 per head in other words
the deb, Of the rebel government is
nearly six-fo!d larger than that Of the
United States, estimated according to
the proportion Of citizens IN the two
sections. 1t is, therefore, clear beyond
all ditpute that the rebels are incuring
a debt enormously out Of proportion to
their population. Heavily as Great
Britain is bur,hened, yet its debt
averaSes only sl43 rer head Of its
population, or sl6 per head less that
the ratio Of the rebel confederacv.
Already then JEFF. Davis s Co, the
prudent and economical tinanciers Of
Richmond, have incurred debt, pro
portionately viewed, larger than that of
any government in the world.
Nor can It be said that lis resources
are well adequate to sustain such an
enormous Indebtedness.
II is capable Of being shown from the
returns ofthc las. census that the whole
anual increase Of wealth in the rebel
States, in ordinary times, scarcely
equals its present expenditure for war
purposes. For the last two years the
trade of the South has been so complete
ly suspended, that its product has
scarcely been equa! to its consumption.
The war therefore has not been draw
ing upon its savings, or surplus product,
bnt upon the resources accumulated
before the war. The rebellion has thus
been in the most liberal AMI positive
sense, impoverishing aud exhausting to
the South. It has been exrcnding its
wealth at the rate Of some hundred
millions 4 year, without at the same time
campensating for the loss BY market
able surplus of production over con-
sumption. The rebel States are thus
poorer than at the commencement Of
the war, by 50 much as the war has cost
them in direct expenditure, and in the
destruction Of property by the operation
Of the contendlng forces.
With the North the case is widely
different. The free States, during the
decade ending with 1860, added annually
to their wealth at the rate of over one
thousand million year,-.',at being the
measure Of their production in excess
ef their consumption. After dedac:ing,
therefore, the expenses Of the war, we
have still left about 5000, 100000 a
year Of the annual accumulation Of
wealth. In other words the South is
wasting allits produce on the war, while
tie North is saving ont Of 5000, 100000
a year,-1his clearly shows where lies
the ability to sustain 4 war expenditure,
and surpors substantial national
credit.
From, the United States Economist.
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