Staunton vindicator. [volume] (Staunton, Va.) 1860-1896, 1868-12-18

November. 1867, this amount had been re-
duced to $2,491 ,5o4, $50. but at the same
time his report exhibits an increase during
the past year of S35 ,625, 1902; for the debt
on the first day Of November last is stated
to have been 2.527 1923, 552. 1t is esti-
mated by the Secretary that the returns for
the past month will add to our liabilities the
further sum of eleven millions, making to-
tai increase during thirteen months of forty
six and a half Millions
In my message to Congress of December
4. 1865, it was suggested that policy should
be devised which, without being oppressive
to the people, would at once begin to effect
reduction of the debt. and, if persisted in,
discharge it fully within definite number
of years. The Secretary of the Treasury
forcibly recommends legislation of this char
acter, and justly urges that the longer it is
deferred the more difficult must become its
accomplishment. We should follow the wise
presidents established in 1889 and 1916,
and without further delay make provision
for the payment ofour obligations at as ear
ly period as may be practicable,
The fruits of their labors should be enjoy
ed by our citizens, rather than used to build
up and sustain moneyed monopoles in our
own and other lands. Our foreign debt is
already computes by the Secretary of the
Treasury at eight hundred and fifty millions.
Citizens offoreign countries receive interest
upon a large portion of our securities. and
American Taxpayers are made to contribute
large sums for their support. The idea that
such q debt is to become permanent should
be at all times discarded as involving taxa
ton too heavy to be borne, and payment
once in every sixteen years, at the present
rate of interest, Of an amount equal to the
original sum. This vast debt, if permitted
to become permanent and increasing, must
eventually be gathered into the hands of 8
few, and enable them to exert o dangerous
and controlling power in the affairs of the
Government. The borrowers would become
servants to the lenders, the lenders the mas
tiers Of the people Wenow pride ourselves
upon having given freedom to four millions
Of the eolored race. II will then be our
shamc that forty millions Of people, by their
own liberation Of uslsrpation and profigacy,
have suffered themselves to become enslaved,
and merely exchanged slaye-owners for new
task masters in the shape Of bandsholders
and tax -gatherers, besides, permanent debts
1 pertain to monarchioal governments. and ten
ding to monopolies, perpetuities, and class
Legislation, are totally irreconciliable with
| free institutions Introduced into our re-
publican system, they would gradually but
surely sap its foundations, eventually sub
vert our governmental fabric, and erect up
on It's ruins a moneyed arlstocfacy. 1t is
our sacred duty to transmit unimpaired te
our posterity the blessings of the liberty
which were bequeathed to us by the founders
of the Republic, and by our example teach
those who are to follow lis carefully to ayoic
the dangers which threaten free and indie
pendant people. Various plans have beer
proposed for the payment Of the public debt
| However they may have varied as to th1
time and mode in which it should be redeem
ed, there seems to be a general concurrence
as 10 the propriety and business Of a reduc
ton in the present rate Of interest. The
/ Secretary of the Treasury in his report re-
commends five per cent, Congress, in a bill
passed prior to adjournment of the 9th o
July last, agreed upon four and
half per cent, while by many three per cent
has been held to be an amply sufficient re
turn fer the Investment, The general i'm
preston as to the exorbitancy of the existing
rate Of interest has led to an inquiry in tn
public mind respecting the consideration
which the Government has actually receives
for its bonds, and the conclusion is heeom
ing prevalent that the amount which it oh
tanned was, in real money, three Or four hun
derd per cent. less than the obligations whiol
it Issued In return. 1t cannot be denie
that we are paying an extravagant percent
age for the use of the money borrowed
which was paper currency greatly deprecia
ted below the value of coin This fact i
made apparent when we consider that bond
holders received from the Treasury upo
each dollar they own in Government secu
rites six per cent IN gold, which is nearl
or quite equal to nine per cent. in currency
that the bonds are then converted into CAPT
tai for the national banks, upon which thos
institutions issue their circulation baarin
six per eeut Interest; and that they are ex
empt from taxation by the Government an
the States, and thereby enhanced two pc
cent. in the hands of the holders We thu
have an aggregate of seventeen per cent.
which may be received upon each dollar b
4 the owners of Government securities.
system that produces such results is justl
regarded as favoring a few at the expens
of the many, and has led to the further in
quiry whether our bond-holders, in view {
the large profits which they have enjoyed
would themselves be averse to a settlement
of our Indebtedness upon plan which woul
Weld them fair remuneration, and at tn
same time be just 70 the tax payers OF tn
nation. Our national credit should be sa
credly observed but in making provisio
for oar creditors we should not forget VIVA
is due to the masses of the people. 1t ma
be assumed that the holders of our securi
ties have already received upon their bond
larger amount than their original invest
ment, measured by a gold standard Upo
!; this statement of facts it would seem bu
Just and equitable that the six per cent. in
terest now paid by the Government shout
be applied to the reduction of the principa
!, in semi-annual install ments, which ii sixtee
years and eight months would liquidate tn
entire national debt. Six per cent in goE
would, at present rates, be equal to nine pc
cent. in currency, and equivalent to the pay
meut of the debt one and half times in
fraction less than seventeen years. This, il
connection with all the other advantages de
i rived from their investment, would afford t
: the public creditors fair and liberal com
pensation for the use of their capital, am
with this they should be satisfied. The les
sons of the past adnlonish the leader that
is not well to be over anxious IN exactin
from the borrower rigid compliance with tn
], letter Of the bond, lfprovision be made 70
the payment Of theindebtedness of the Gov
ernnentin the manner suggested, our natio
r,;ll llv renorer IFS WOpted prosperity