The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1868-09-16
HAS A GOVERNMENT THE RIGHT
TO TAX IT'S BONDS?
Opinions of Alexander hamilton.

LlOu OF Tue 4uebLsOh hAShAS@ - D.
ment has right to tax its bonds, Whlcn
not long after the organization OF the
government had created some uneasi-
ness among the holders of public secu-
rites, by Remaining that he had re-
earded it I" as incapable of being dis
puted, )" and that the negative of such a
pretension had acquired in his mind SO
much the force of an axiom as to have
precluded even the mention of the SUBJ
ject in any one of his former reports.
:. 1t is pretenslon," he adds, $50 I'M
warranted by principle or usage" so
"subversive of the sound maxims of
public credit, as to warrant a presump-
ton of the impossibility of any legisla-
ton InflictIng " SO deep a wound on the
national interest and character or to
derogate from principle which may
be placed among the most sacred in the
administration of government"
But "the confidence" which this illus
trious man believed might 'justly be
reposed in the collective wisdom of the
government" has in these degenerate
days OF our political history been rude
ly shocked by threat OF the leading
radicals of the Democratic party, au-
dRcIously proclaimed in the very "plat-
form" of their late convention, which,
should they gain power to execute,
would involve "such a departure from
settled principle" and SO palpable and
positive breach of national faith, as
would inevitably give lasting, if not
fatal shock, at home and abroad, to
the public credit.
1t may be well then for the consider
ate and conservative men of the
Democratic party, and OF all parties,
who prize the honor OF their country,
at home and abroad, as. they. do their
own, to tread, mark, learn, and in
wardIy digest" the following luminous
and unanswerable arguments from the
pen OF one of "the choice and master
spirits" of the golden age OF the re-
public:
ais there right in the government to
tax its own funds?
1.-THE pretence of the right Is deduced
from the general right of the legislative
power to make all the property of the
State COntributorS to its eXigencies.
10 'But this right is obviously liable to
be restricted by the engagements of the
government; 1t cannot justly be exer-
cised in contraYentlOn of them; they
hn denied that tha General riobt in
Sueation conId and v6niS he ahTidoad
Nv an exnress promise not tn taT fhe
finds This nr6nisa indead hasnor
been given in name. but il has been
given in substance. When an individ-
ual lends money to the State the State
lent, with a certain Interest. or 10 nav
a certain interest, indefinitely, till the
principal is reimbursed; or II stipulates
something equivalent In another form,
In our case. the stipulation is in the
second form.
"To tax the funds is manifestly either
IN take or 10 keen hack. "a nortion of
the principal or Interest stipulated TO
be paid,
UTo do this on vyhataver nretext 10
mt 10 do whatever ia exnressIv pom
ised n is moi Ia INV that nracise princi.
noi that nrecise intsrest which has
b"nID aD',oIaj IN La naiJ. a 10 thoraf1ra
IN vIoInIs The nromise riyen 10 the
lender
uBuI Ia mt Tho stinnlotion IN the
lender with n tacit reseTvation oI the
general right of the legisIature TO raise
contributiona ON The property of Inc
State?
"This cannot be supposed, because il
| involves two contradictory things: an
obligation to do. and a right not to do.
| An obligation to pay a certain sum,
and n right 10 retain it in the shape OF
| n tax. II is against the rules both OF
law and reason to admit, by applica-
ton, in the construction of "a contract,
a principle which goes in destruction OF
| It..
1.-THE government by such n construc.
tion conId be made to snv 10 the Lend
ers: AZ want n sum of money. for ma
tionol nurnose. which olI the citizens
onoI,t n cnntribute nronnrtionobiv Int
| n y,jIl he more ronvenient To them and
Won will lend IL. L promise YOU faith
| fnIIv 10 allow Won n certain Tnte of in
teTnSt while / keen tIe money aud IN
reinburse The Drincinle Within n 5eIar-
minnte neriod .Eexcent. so much of Tho
| onennd the other as nav mink III IN
Withhold in tlie shane Of n tax
.tTs snch n constrnction eItLar ratural
or rational? Does II moi in fact. nnIify
| the nromise. nv the rnseryntion Of n
right not TO performit?
| GTt ia 10 bP Trpsumpd yyitbont heino
exnressej int such cav he tho nndera
standing of a lender when he paris
With bis mopsy ~ N CovSrnment9 Tbe
nnn'r nrS tsUy n ~ Io nt NE lug
| o6ja Inst notbjng sbort y, mn arn-ass
rases,, ,Io con s5nnort Inc .,raten5iors
&c taS iho Ir HHI support 'iie
:" az ~ a. r. C,,os,,o,, I'm ,riod h., ,,,,o,
oroI1s,s az ''' w ''AeN ~ "n"'Nei
" i.sIs,shS;o ALL, o,,, .o,,, ,,,o.,
upllc Ie s.. can ca scaLcely, IN iegal
phrase, oe uenueu US el'hSr PtoPerty IN
possession IS OF IN actloh, II Is eHluehtly
hol the nEst Liii II Is ES sISi 70 posses,
SION ny payhle1t. 10 DC tne-secon9 q
Woulu supPose y iegat power 10 com pei
pay i nia, ny Sun suit Sucn power uSes