New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1865-09-04
REPORT OF THE sECRETARY OF
THE TREAsURY.

REPORT OF TIKI bEChETAhh VI
THE TREASURY.
The Secretary OF the Treasury makes favor
able report of the finances. The total amount
of the Debt is 50, 757, 659,57l an increase dur
ing the past month of $295. OO0-more than
should have been, but not as much as we
dreaded, from the nature of the reports in what
are called financial circles. The interest on the
Debt has decreased 1921 900, and making an al
lowance for this, we find that we owe but
$50 900 more than we did on the first OF August.
II is very comfortable to get away from the
daily millions that were spent in the beginning
of the year; and although we think it was in
the power of the Government by economy IN
r-pageantry and so on to have reduced the
amount of expenses to the amount OF receipts,
we shall make no special complaint now, but
hope for a better result in October. The
reduction of the legal-tender notes is proceed.
ing gradually, Sl,O57,0O0 being withdrawn.
This reduction Of currency, if properly made, Is
wiSe 1t need not suddenly embarrass COM
merce. II shows that we are on the road to re-
trenchment and specie payments. The legal
fender was war measure, and does not suit
times of peace. 1t gives the Government TOO
much influence in the finances of nation. The
power to suddenly withdraw or issue hundreds
of millions of currency is the power to create a
monetary panic in day, and no Secretary OF
the Treasury, however good or great, should
have it in his keeping. II is, therefore, with
peculiar pleasure that we notice the gradual re-
ducton, and we trust that with the return of
peace. the increase of labor and capital, and the
speedy development Of Southern resources, we
shall be able to retire our whole legal-tcnder
currency, and have specie and the National
Bank circulation. Legal-tender belongs to the
period Of armies and ships of war, and tho
sooner we are through with it the better.
We see it stated that a part of this saving in
interest and reduction Of currency has been ac-
complished by recalling all compound-interest-
bearing notes of an early issue, returned to the
Treasury in the ordinary course OF business, and
replacing them by issuing notes of later dates.
The interest of the recalled notes would thus be
saved. Mr. McCulloch does not tell us whether
the saving of S23l 900 was accomplished in this
way ornot 1t is aquestion whether it would not
be good policy for the Secretary to save interest
by this method. The OBSERVATION-DISCLOSURES
! ing notes only serve as temporary currency.
For the first wear of their issue they float about
mt par, but afterward become absorbed by
shrewd investors. The issues of 1868 and 1854
are fast passing out of sight, and when they
mature the currency will be measurably re-
duced. TO replace these notes by new issues,
or TO recall them prematurely, if obtainable at
par, with the view of saving the interest, may
be economy but not sagacity; it is make-shiit
policy. We merely carry the burden of an in
flated currency, and throw additional obliga-
tions into the fiscal year 1869. 1t Is not
wisdom to put any more burdens upon that
wear. We shall have the Seven-Thirties to pay,
and other securities of short date, and to carry
the Understanding notes into that year, or
even portion, by new issues, is to initiate the
currency by throwing these now dormant notes
into circulation, and make the burden OF 1869
more difficult to bear
The policy which we hope to see adopted is in
the first place, redemption of currency and ex-
tincton of legal tender, and in the second place,
the transfer of the short and heavy interest
loans into long, consolidated loan, bearing
four or five per cent AS We contract the cur
rency, let us establish q sinking fund, and so ar
range tariffs and excise duties that our receipts
shall exceed our expenditures This will re-
quire great economy and % thorough revision OF
our whole Government system. 1t is difficult,
we know, to reduce large establishment to
small dimensions very suddenly. We must
practice economy, se!fdenial, a retrenchment OF
luxuries. and palmer methods Of living. 1t may
seem hard to return so many gallant officers to
civil life; but it was not hard to send q hall
million of soldiers home. Government never
can be too simple. We want direct, positive re-
auctions. Diminish the number Of bureaus and
clerks; the fancy expeditions of Goldsborougb,
who is firing off powder at Brest and Plymouth,
while our whalers are burning in the Pacific
Ocean, amid all the pageantry and pomp OF
war; and when Congress meets we can 60 over
the accounts and get our money affairs into
proper order.
The Washington Chronicle states that all pains
bo, IN koon foEou nv tho War Doua n Ia