The weekly pioneer and Democrat. [volume] (Saint Paul, Minn. Territory) 1855-1865, 1864-09-23

rimony of the government " was so large
that it could endure the cost of this civil
war for score Of years to come, and, in
general, defended the financial policy of
Mr.. CHASE. We quote from the reply as
follows:
When this people took possession of this
continent they acquired vast tract of
land, which, with the air above it and the
water through it, was fertile instrument
of future wealth. Combined with human
labor, an annual valuable product was Sc
cured. Of this q very large proportion
was necessarily consumed by the pro-
ducers. There remained, however, a sur
plus each year. This accumulated from
year to year, and supplied manufactures !;
portion of the profits from which was,
also, annually saved. Surplus food was
sold abroad, immigrants arrived with capi-
tai, and the savings began to manifest
themselves in accumulated stocks of goods,
furniture, bank stocks, company stocks,
railroads, &c. and, finally, in 1860, the
total amount of these savings in the North
ern States amounted, per census, to $2,-
632,709, ,497. This sum, the aggregate
savings of more than 200 years of the an
nual earnings, constitutes the national
patrimony." It is the fund by which
labor is maintained, industry carried on,
and production increased.
It win be here noticed that we have not
taken into account the value of the real
estate which is sometimes considered a
national resource. 1t is, however, an
error to consider it in that light The
value of real estate consists only in what
it produces. Its actual value is embraced
in the annual production which we have
already considered. The value of the land
is proportioned to its production, and any
tax whatever, laid upon it, must be paid
out Of that production. AS regards indi-
viduals, rise in the value of land en-
hances the fortune of the holder. The
national wealth, however, is not changed
by it. The wild lands that were originally
the property of the Federal Government,
nave been gradually sold at one dollar
per acre, until great States have grown
up on them, and the valuation of Illinois
land is ten dollars per acre for purposes
of taxation. The value of the land, as
property, represents it's productive power,
and is capitalization of the annual pro-
duct. If that product fails, the value of
the land fails also. If, by taxation, one
half the product is taken, the land value
falls one half It is not, therefore, sign
| of national wealth aside from its annual
product.
The nation that held this patrimony
| owed no debt, and there was drawn from
the annual production very little for gov
ernment taxes. Of late years the fund
has increased with greater rapidity, and
| if we estimate that even one-half has been
accumulated in the last thirty years, the
amount saved will be 81, 1878, ,491 per an
mum. Now it is evident that if the federal
taxes, during that thirty years, had been
100000 more than they were, there
would have been no accumulation of prop
erty, it would all have been dissipated, or
the people would have been compelled to
economise and spend less. This was not
the case, however, and that splendid ''pa-
trimony " was put into Mr.. Chases hands
three years since, and he has contracted q
debt nearly equal to the whole of it. II
it were possible to sell out the whole of the
personal property of the North, it would
not pay the debt. But that is impossible.
The only way the debt can be paid at all,
is to meet it from the annual earnings.
These we have stated at forty-three mil
lions per annum for the last thirty, years.
If We allow that they were as high as six
millions, for the ten years up to 1860, we
may, on that basis, form an idea. of what
will be our future payments, and what our
means to meet them with. And here the
voice from the beach !" calls in question
our statements of the public debt, as fol-
lows:
On the LIST day of August, the debt was lust
seventeen hundred million. and fraction, by
Mr.. Fessendens statement, including every
species OF Indebtedness; and yet the Magazine
boldly adds three hundred millions to the state
ment, and SAYS the Government is 'almost u
bankrupt!
The amount of debt given in Mr.. Fes-
senden's sworn statement, Aug. l, 1864,
| was:
Principal paper outstanding -. 81 1927 ,492, 10
Interest on paper outstanding. rs, AS O35
The claims unadjusted, accounts, ar
rears, &C., add several hundred millions to
the amount of outstanding paper. Had:
therefore, the war closed the day that Mr..
Chase resigned, no one can doubt but that
the debt would have reached, if not ex-
| oeeded, the amount we mentioned. The
whole of this debt must, sooner or later,
be funded, and put in train of payment.
| If we allow that the whole may reach only
| 50, 500, 900, 900 Jan. 1, 1866, and that it
can be funded at six per cent, the annual
| charge will be $3.50. 600. 900. Mr.. Chase
page IL of bis annual report, estimates
the future peace expenditures at $37, ,6O4,- :
400 for the civil service, and $55, 5,s45, 1884
for the army and navy. The pension list
will Of necessity be at least $50, 600, 900.
All those items will make sum of $780,
900, 900 per annum, to which is to be add.
| ed one per cent. for sinking fund of the