New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1865-01-13
FINANCE AND THE WAR.
TAview OF oil the Financial Laws Fasso'
aimee the Commencement of lie f1o"ci-
ten-The Points OF Entcress in h"en


Law.
When, in years to come, the student OF histo'
~ follows the course of the gigantic contest IN winch
We are now engaged he will find in no topic Oh great
Or interest than its financial problems.
Even now while in the midst OF the struggle VIZ
End II matter of interest TO review what mas Oe'h
done by Congress and the Treasury department 10
supply the ways and means Of sustaining the cTed o.
the Government
In the present article We propose TO sketch the Prl
eipal points Of ell the laws passed since the begun
ming OF the Rebellion, whose object has been supp!
money for the use Of TIE Government in prosecuting
the war. So many laws have been passed. 80
many loans taken such number of classes OF pohus
and Treasury notes have been issued, that MINUS
not accustomed TO the study Of finance are apt 10 De-
come confused when the different securities are named
in the present article we propose TO give the lniorhh
ton needed 10 make the whole subject plain ana cca
70 all In pursuing our purpose we VIII pace d,
chronological succession review OF the PROVISIONS "
che various laws passed.
II will be remembered that the preliminary steps
toward Rebellion were taken toward the emu Oh 4'oA
while James Buchanan was stiL President IL was
then that the ordinances Of secession Of several OF te
States were passed and that measures were poth Openly
and secretly taken in the South to overthrow the a"
authority of the United States In our review then
we shall 60 back to the acts ofthe AAANlth congress
On the 18th Of December 1861 was approved by Pres
fdent Buchanan, An Act to authorize the issue OF
Treasury Notes and for other purposes"
By this act the President authorized to oause TO
be issued treasury notes for such the exgences
Of the public service might require. not exceeding
eloOOo 600 and of denominations not less than $50
These notes were to be redeemed after the expiration
of one wear from the date OF issue and were to bear In
terest at the rate of six per cent per annum from the
date Of issue which interest was TO cease after the
maturity Of the notes at the expiration OF sixty days
notice of readiness to redeem The Secretary Of the
Treasury was authorized 10 issue these notes TO pubic
creditors who chose 10 receive them at par he was
also authorized Issue the notes at such rate OF In
terest may be offered by the lowest responsible bid
der OF bidders who may agree TO take tue said notes
nj par after public advertisement of not less than ten
days" The notes made receivable for al debts
due to the United States and TO bear interest TO
the day they were paid to the United States.
The next financial measure passed by Congress was
approved February 1861. and was entitled An Act
authorizing a loan"
BY it the President authorized TO borrow, at any
Zine before July J. 1851, sum not exceeding s2aoO1
600 or 30 much thereof as might be required 10 meet
current demands the Treasury, and for the redemp
ton Treasury notes outstanding at the time OF the
approval of the law and to replace in the Treasury any
amount of said notes which shall have been paid and
received for public dues.
For the amount borrowed the law authorized the
Issue of stock bearing interest not exceedng6 per cent
TO be reimbursed within period not beyond 20 years
and not less than 10 years No certificate Of stock for
less amount than Il coo was 10 be issued and the al
tschInent ocoapons Of semannual interest was anthor
he'd The loan to be awarded after advertising
less than zen days, to those who made the most IA
yorable sealed proposals therefor.
Previous 70 this the ped OF June, net had been
approved which authorized the borrowing of sci 900 coo
10 redeem Treasury notes outstanding. The stock TO
be issued therefor similar TO that authorized by the
act under review. viz: bearing interest not OK
ceedng per cent and TO be reimbursed within perl
Cd not beyond 90 years and less than 10 years The
act Of February 1861. provided that the residue OF
che loan authorized BY the act Of June o. or SO much
thereof as necessary should be applied TO the re-
dempion Of Treasury issued under the act Of
H. 1860 The Secretary was also authorized to ex.
change al par bonds Of the United States authorized by
the oct of june % 1860 for the Treasury notes referred
20 above and the nccruing interest thereon The Sec
retaIy was not obliged to accept the most favorable
bids unless he should consider it advantageous for the
United States TO do
BY this time 1t became apparent that something must
be done further than passing acts authorizing loans
An increased revenue demanded by the necessities
Of the Government, and in order to procure 1t the at
tention OF Congress directed to the Tarf During
long interval the Governmen. had been In receipt Of
sufficient from the ordinary Of revenue
among which was the Tariff. Tho rates Of duty I'm.
posed foreign goods imported into the United States
were lust previous the Rebellion, quite low. and st
high enough 70 yield all the money required from this
source. Now. however. IL was seem That greater
revenue could readily be obtained by Increasing these
rates. Accordingly Law revising the Tariff was
passed and approved by the President MaTch ., 1861
II was entitled AN oct to provide for the payment Of
outstanding Treasury Notes, 70 authorize Loan 90
regulate and tx the Dnties Imports and for other
purposes" From this title IL will be seen that tho law
was not confined 70 altering the duties on Imports but
also bad r its object The authorization OF another loan
The President waG authorized Mt any time within
twelve monttsuf;es thc passage q Che act % borrow
sum not exceeding & O00o0l mich thereof Gs.
IN his opinion lin e-gencies Of the public service
might require for fho express purpose o, paying ap
propria3ns made 10y aw, and the balance Of Treasury
notes thea outstanding InTegaTd 70 the redemption Of
the debt thns created q was provided that no stipua
ton or contract shall u made to prevent tho Unto
States from .eiuburs,sg sny sum borrowed under tn
authority otis act at aay tDe after ths expiration Of
ten years from tlc first day ofJuy next OsGD By the
Unicd states eiy wing tE5c months notice. % be pub
ished in some newspaper Published at the scat Of gov
erument of their neaduesS 10 do so aLd 40 contract
sba be made to yeot tie redemption Of TIC same nj
any TING after tie Aspiration q twenty years from to
said FIST day OF july next. vito notice.
The losr was to be Tcctea by issuing stock Tor Che