Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1864-02-26

mere WeTes OF SUI notes, feGimEted by
tEeir proportion Of the circu-atiou.) a
little over-' .-.--...s..-.... 100000
Amount Of s00 notes nov In circulation 500 O00 600
L IS assumed by The Ssntintl that the present
sE29ant Of circulation is $3.50, 600 OO8. To de-
pleis this tls law iIsa provides for the abstrae.
tion of all he hundred dollar notes. This msy
be safely Anticipated between the present time
aud sha lst Of April rexL The provisions OF
sections snd 4 Of The aci, viii infalliby secure
ihat- The Bsxt element Of depletion viii be
the amount funded in four per cent. stock, prior
to the lst OF april Il might be supposed, at g
casual gianae, that smEil results are to be ez-
pected from this source; for the reason tas the
interest bei'g only four per cent, it would be
Is gEesi a slorifics to make such an investment
as to swsi the tax of thiriy-ihrse and g
third PSF cent. On The currency, 70 be imposed
on tho Ist ,f April. Bat this is sn error. Sec
ton ? makes great difference in the values Of
the bonds and OF The notes, foT the uses Of the
year 1864. The bonds are receivable according
to iheir fioe, in payment Of all Government
dues for 1864, while the currency, after The let
Of April, ,till be subjected 10 a tax or disc.unt
o one-Ilnid.
supposei foT example, ciiizsn should owe
tax 70 the Government, on the lst Of July, OF
two thousand dollars By investing that amount
OF tho present eurTeEcy in a treasury bond, =.
any time between The present and The Ist OF
April, he Efill have the means Of paying his tax
without lois. Bat, if he fail to provide himself
with such bond, and present himself, cur-
reucy in HIND, 10 the eoileeiJr, il will require
lssss thousand dollars Of the same currency 10
psy the tax Of two thousand dollars. It is not
to be supposed that men viii be 50 negligent of
their interests as to fail to nvost in four per cent
bonds, st lsss. enough to meet their anticipated
taxes. II any individuals concerned shall be
too dull OF careless 10 make such provision,
capitalists will 40 il foT them, and make them
pay a lRTga premium fox their neglect.
The amount which viii be invested as pro.
vision for paying tszes may bs oonjsetpred
from the probable amount Of taxes 70 be paid
during tht year. In the last report of the-See-
rsiaFy Of the T essury, ths proesed5 Of the tx
on incomes, profits, ETC, levied in April, 1863,
and still ii force, are estimated at hundred
millions pr srnum. The taxes Just imposed
ars in addition 10 these. a tax Of Eve per cent.
on real and perJonaI estates, is estimated in the
same report, IS promising gross revenue of a
hundred s,ad fifty millions. Bai the late tax
ae. does more than levy tax Of Eve psr cent.
on the rea snd poTsonsl estate Il lays heavy
additional duties on profits, sad duties higher
than 6vs per cent. on some articles The lax
laws Of April, 1863. and February, 1854, in
their combined sction, will not, probably, yield
less than three hundred millions of dollars
during tho present yesr
We fnc from this examination, that between
the present time and the IBt Of April, there win
exist the asesssiiy fer funding q very large
amount. The hundred dollar notes, when
funded, would furnish the bonds, in part, with
which taxes can Be paid hui this sum is insuf
fcisni. and As il is nos likely that ihey can be
exactly distributed, The bonds would not avail
to gheir fnll extent Besides tbs particular pro
scribed issue, probably not less than hundred
and ffty millions viii need 10 be funded. These
subtrsesiens viii reduce the present circulation
to four hundred millions To this must be ac-
ded the further Issues SLOWED until the lst Of
April, sni We have at thss lime total circula-
lion st ssoa. St65, ,0oo.000. In reaching this
result, which is only about thTes.6flhs Of the
present circulation, it is estimated only for tho
asessss7g funding.
Il is obvious, that the great and immediate
demand aus created for money By this necsssi-
ty for fuBdinz to which We have referred, and
the CONSEQUENT reduction Of the currency to H..
tie more ihsn half its present volume, must
grsstly insfesse the value Of The currency, aud
consequently its purchasing power. If there
Be any tuth in The theory that prices are in
ProP'Tiion to the circulation, then prices mus.
soon and raPidly fall But there is 3 sall better
reason 70 This eject Holders Of property have