The New York herald., 1864-10-17
FINANCIAL AND COMMERCIAL.
SrNpAy Oct l6 1894


v,-aa the cest goes on increasing
without that q raaavihlliy attaching TO (which
irvRTsay the assumption oil private oeii-
gstious Yet pghuc les tLan private debt must
be strictly provdef ,or The same consequences must
oyeslsgc the oue th4 d Inevitably attend the other.
TIE naiorsiea; 81 ccuntry already equal to that
a. France which aboe thousand millions OF do,isrs
sod ~. immense aebcduess o. ours is increasing at
TIE rae of tAsu 1--we millions month-the
Aggregate the % ~ navlag been 81 4e2 10
AID the 3oh o. September s. 955 e7S 7s The paper
mcrcy imitation is the keeping pace with
the general ease the to the currency dur.
ias month OF having amounted to forty.
three and half millions, msking u total up TO the
Nst ult of soS7 Gee sTS Vet the bllnderng financial
policy. which has increased the deb. and saeied
The volume OF the currency enormously stil being
persevercd w.th apparently Spartan tenaeity OF
purpose the part r the Secretary of the Treasury
aud neither President Cabinet politicians people,
be troubled By with regard the result OF
tbs state of thiees.
Il is provcrbial past admitted with
reluctance, and inat measures OF preosuton espe
cIsly II they Of decisive character arc
slowly adopted against dangers which not iDnineu
OF legislation rarely result OF mature
reelection ard foresight, but Of pressing circumstances
and Immediate influences Hence a. ogsaiion is likely
provs less taeiy and iuapphcable under the
tesi ot time. ard the which may have seemed
fad.eut the period they resolved after
found to be cn,el remarkable for their de
and the OF wisd who framed them That
tins respects past financial policy obvous
70 a. the world.
nv the depreciation currency dollar than
lfty cents 10 coiu tie has been compelled
Iay than double would have been the specie
pgce for everything purchased aad although there
woud have been a considerable premium gold what.
policy Lad been adopted during the suspension.
there be doubt The currency issues had
exceeded the wants o commerce the premium would
not have risen TO hGi present amount ard the public
debi IA consequence would have been at least onethird
less than II
The fact be overlooked tha. If the debt
creating be pald, the interest upon
lcug couiinued it can oily be by heavy taxation
dustry and accumuatiag capital which will be found
% oppress both trade aoa manufactures and occasion
css Of populsr dscon and political agitation
THIS country may be abe pay the necessary TO
rsy not only The interest but the principal OF
the hnsi debt. however largo 1t may be; but
~ the war should be much further prolonged,
aut the present. financial policy meanwhile be
perseve-ed in the i'll be much greater
than i hss been hitherto that the eventual aggregate
VIII lettTely eclipse whatever estimates OF it
might BE formed al the time, and ultimate repu
dstion vii! then beglu financial horizon
our deb. Is already than half much that Of
Great Britain, ana nearly fourteen hundred and
eighty eight millions Of II paying interest at little
less than double the English rate cousos bearing only
three per per II is therefore clear
fore many months have elapsed the interest debt
vii De e4u 70 that II Great Britain, the total OF
the principal o. the latter being sIs0 900 900
In this connection glance at its origin and progress
may DO interesting 10 the earlier periods OF English
history the monarchy borrowed money not through the
insirumerlaty Of Parlisment, but by mortgagng its
revenues to those had the to lend, for
egnes not excepted Parliament had idea in those days
OF either permanent cebt permanent taxation.
not till the house or Stuart commenced its reign that
system OF creating permanent debt and providing for
IL by permanent taxation inaugurated. James the
First involved himself in variety OF unsuccessful
specuations and being surrounded by host OF greedy
dependents, he LETT the country the legacy OF debt
which the troubles OF his unfortunate successor greatly
augmented The Commor wealth despoiled the OF
many OF its possessions and accumulated q host
OF Hebts, which largely added to after
the restoration Of the progate Charles the Second
during the reign Of his oigoted follower Not long after
the revelation or 1858 Parliament took the subject into
consideration to avert popular odium from the new
dynasty and then II tnat the system OF borrowing
and nndag adopted This opened the way conven.
ieny 10 the contraction o debts and ssdded poster
Is with burden whicn the increase
Toe Bank OF Eaglsud Established in 1892, and ths
the chief instrument carrying the policy
ol
Stuayt the comparatively independent OF the
people maintaining itse supporting its dignity, ard I'd
Ininserug justice y t-s ample revenues aided
enereenciss by granted for year only BY
Parliament having iis,f only years existence. ln
the regp Of George the FIRST appropriated sder
tie two preceding re. tie payment OF the nalioua
ccbt Sun foluc Inadequate 10 the demands, aud
than all, rendered fresh loans necessary The
funding policy completely developed and
rutfy hefpv
I7I5 l7I7 by wtc1 tile several appropriated 10
tho discharge Of The punc debts consolidated into
four funds namely te Aggregate, ne General the South
Sea AID tie Sil.iua Fun1. IL l720 The government
expended three nUlous O. pounds sterling, in
converting most of lho aprues that remained termina
bic nto rodccmablo rcrut1ues, by which the debt
tor The purpUe reducing the demand tor To-
tefesi as vel as 10 induce creditors lend money
demands 20 uaioua deot Is Ia tits way
increased rapidly, and become vast aud unw.eliy
that, Notwithstanding - statements contained = the
finance accents Nris.o nt ., House q Com
mons from time to urr neither the Parliament, the
Treasury nor Inc nauk ). Essaud bad any accurate
knowledge Or its cxacs nernL
Ttus Il win be slct ta, ne national Of England
& the accumulated rssa ages. onrs on The ether
hand L chiefly tbe r.pt q years and hsli Of
war. Tho ~ ect wst.h debt las betn incurred
is fully worthy 81 ard st more, for what but
drop 10 the ocoln anolrt 81 money sacrifice
pared With tae other .feai eacrinces Of TIE war
But stu 10 dini0sh ihe increase or the national
debt ought 10 be a national study and the object Of
every member bot Congress and the Administration
FOR 70 allow its needless Increase Is better than
crime Jhe of onssor u, therefore, as bad as that u
commssicn and IL respous usibtes attaching 10
Congress and the Treasury that desire to
can attention. Tor thus ar the history OF this war the
Management or the national finances has been marked
BY series Or bunoers which Of that kind
which makoe item tnau crimes while an
utter atsence Of thai sense of responsibility which dc
wolves urcn both the Secretary Of the Treasury and
lgisiatort has been mhn csted 70 extent which will