New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1865-12-06


present synopsis of its most important state
ments of fact and of opinion, including the three
topics of Currency, Public Debt, and Revenue,
and pursuing the order in which they are
treated by Mr.. McCulloch.
i. The Currency.-Tbe key to the policy which
the Secretary advocates may be found in the
declaration of his belief that the authority OF
Congress to make the obligations Of the Govern
ment a legal tender resides outside Of the Con-
stitution, and that the initiation which has fol-
lowed upon the necessary exercise of that author
ity during the war is prejudicial to both public
and private interests. While, therefore, be does
not advocate the repeal Of the legal tender acts,
nor believe il possible to reduce the volume OF
the currency by violent measures, he is OF
opinion that those acts should be regarded as
only temporary, and that tho work OF retiring
the notes which have been issued under them
should be commenced without delay and care
fully and persistently continued until all are
withdrawn. The rapidity of the process will
depend upon the ability to dispose Of securities.
The specific measures recommended are as
follows:
First: That congress declare that the CON-
pound interest notes shall cease toy a legal
tender from the day of their maturity. These
notes were intended to be a security rather
than circulating medium, and such declara-
ton by Congress would be neither injurious to
the public nor an act OF bad faith to the holders.
Second: That the Secretary be authorized in
his discretion TO sell bonds Of the United States,
bearing interest at a rate not exceeding six per
cent and redeemable and payable at such Pc
RODS as may be conducive to the interests OF
the Government, for the purpose Of retiring not
only compound interest notes but the United
States notes.
The amount which the Secretary estimates as
necessary to be retired in order to bring the
currency within proper limits is from one humid
red 70 two hundred millions, in addition 10 the
compound notes, the amount OF which latter,
Oct 81, was Sl73,0l2, lil all due in 1867
aud 1865. The total paper circulation of the
United States at that date was S10i, 2lS, 03o,
To which should be added $50, coo, 900, the esii-
timated amount Of compound interest notes
actually in circulation The total 10 likely ia
be still further increased by the issue of notes
to the National banks now daily going
ON. aud destined 10 continue till the
/ limit of $500, 900, 900 authorized BY law shall
have been reached, as it will be at no distant
date. As but SIS, 900 900 of National Bank
notes are included in the estimate OF S73,.
2ls,0.i- 20 there remain Sll5,O0O,O0O TO be
added, and the aggregate amount Of circulation
will then be $50 ,03- 20. If the recon
menda,ions ofthe Secretary in regard to contrac
ton be fully carried out by retiring S2O0,00O
600 of United States notes and the $50, 000, 00t
Of compound interest notes actually in circu
lation, there will still remain total circulation
extension of the amount of National Bank note
I now authorized to be issued be granted by Con
grcss. 1t is, perhaps, in view of these or similar
calculations that the Secretary adds to hi
: suggestions the remark that "neither tn,
amount ofreduction nor the time that will b,
required to bring up the currency to the specie
standard can now be estimated with any degrc,
of accuracy. The first thing to be done is 10 es
tattish The policy Of contraction"
III. The Public Debt.-Thc Secretary regards
it as public burden, the work of removing
which should not be long postponed. He sees
10 way Of doing that except by an increase o
the national income beyond the national ex
pcnditures The first step is to fund the obi
cations that are soon to mature. The next, e
provide for raising revenues necessary to pay
the interest on the debt, and certain definite
amount annually for the reduction of the prn
cipal. On the 3lst Oct, since which time nc
material change has taken place, the public
debt amounted to S2,sOs, $40, 437 %; for tn,
items Of which total, readers may refer TO Tn,
report ITSELF Receipts for tho fiscal yea
ending June 30, 1865 were SI,-9s, So, 533 -
of which $s6i, s63, 400 IL were from loan
applicable to expenditures, and S607, 3Gl,2 6,
from loans lapplied to payment of public debt
and 500, ,2l5 % from internal revenue
Expenditures were $l,s97, GA, 22i %, Of whicl
the War Department is charged with 81 OBJ,
So, $50 70; redemption of debt as above stated
interest on public debt, $T,397,7l2. Bal
ance July L. 1865, $s5s.3O9 10. Total inoress
of public debt during the year, S94l ,9O2, 537 OF
The receipts for the quarter ending Sept. 30
1865, were $iaO, 226,77O %; expenses 1913,
OG5.25a %; leaving balance Oct. |, $G7, l5S,
5l5 "A. Estimated receipts for the remaining
three quarters of the year ending June 80, 1866
are: