The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-08-06
The statement of Public Debt.

national credit, have, within q few days, been
taking exception at the failure of the Treasury
Department to make public the condition Of the
debt on the LIST of August. The thunder has
been taken away from such malcontents by the
publication of the statement-and a most graft
tying statement it is. Although the war mas
been terminated but fifteen months, and although
the departments have hardly yet had time TO
settle up their accounts, and be enabled TO dis.
miss, their extra hands, yet he debt has already
commenced to diminish. Just one year ago 1t
had reached its maximum, standing at
81, ,767, ,255, 275'86. That was its flood tide, ana
now 1t has commenced to ebb; and we anti
cipate that it will flow out with ever
increasing rapidity, until 1t once more
sinks TO the level which it held before the war.
Within one year it has decreased Sl24, 1853, 999.
The falling off during the first year of one
hundred and twentv.four millions of dollars is
no small matter. Why, at that rate, aud making
no allowance tor the increase of speed which
will naturally follow the gradual reduction, we
will have it all extinguished in twenty-one
years. Let us look at the various reductions in
certain departments of the currency and
bonds. The first noticeable fact is, that although
the debt nominaly stands at 81, 633, ,000 900, yet
of that $59,0OO,OOO are non-interest bearing;
hence the sum on which interest has TO be paG
is really but 81, lS9,COO,COJ.
The reduction OF the currency is steadily
being carried out, as fast as it can be accom-.
plished without the embarrassment which would
naturally come from too hasty recall OF the
notes in circulation. The canceling during the
past three months stands:-
GrecgbdckS Fractional
May 1........... $415 164 3l8 90 $25 1872 OH rs
l. n
August 1............. 4LO,36i,728O0 266S4 133 81
amounting to nearly fifteen millions in three
months. The compound-interest notes, those
greatest drains on our treasury, are also being
got rid of as fast as possible. The statement OF
the rate OF reduction shows:-
May S167 ,Ol2l41
June io5 UiS i40
august loo,Ulzlu
Thus eleven millions OF the most exactiug
of our bonds have been quietly liquidated within
quarter. OF all possible forms of obligation
which Government can place itself under, this
is the most harsssing. By continual process,
it grows heavier and heavier by its own weight.
Like the old man of the sea, the more he strug-
giles TO bear him up, the most onerous becomes
his labor. We therefore hail with peculiar
satisfaction any reduction in this particular
form. The difficulty OF getting hold OF the notes
locked up as securities in banks, where, without
yielding any good or mourning to their owner
any risk, they act as a drain on the Treasury.
Under the Funding law, as finally passed, banks
are forbidden to keep these notes as deposits.
Hence they will shortly be dragged from their
resting places, and when once put in circulation
will be absorbed by the Government with the
utmost rapidity. The temporary loan has, within
the month, been decreased $l2, 1882, 1888. The
gradual transmutation of the 7'3Os into the
5.z0s is testified to, the data for the quarter
being:-
Period. 1905. Coin debt
May y1..............,.$Sl 1916 5l2 $50 S1,l86 002 2841
June '''..''''''..''' Sl22Zl 6OO ll96 825 !9l
ADJUST l............... 79S 949, $50 1212,6A8 AL
As the Hve-twenties are now at a premium,
the Government can cancel the Seven.thlrties to
its own advantage. Since the last monthly state
ment the remaining certificates OF indebtedness
have all been absorbed. In July they stood at
$43,O25; but they now cease to act as witnesses
of Indebtedness 10 the people of the land. Thev
are dead, with the continental notes" among
the currency OF The past
In the brief examination we have made it
will be seen that Secretary MCCULLoCH is
quietly. and without ostentation, cancelling our
debt with rs much rapidlty as discretion and
our finances will allow. The Secretary has, so
far, shown himself most able hnancier, and
as day by day exhibits his action in new light,
he is continually securing the confidence of our
business community, and of the public at large.
DT. DOstie One of the Victims of the