The Union and journal. [volume] (Biddeford, Me.) 1858-1882, 1868-07-10
NUMBER 20.

isctors. Al Q pertinent Illustration, I might
cite the case Of the bonds Of ny own 6tats. Of
which there are over Ave millions In existence
day. largely held 0s hvorits inysstmsnt
BY the citiieus Of Maine. Ofthis whole sum
sm safe 10 saying that scarcely dollar Sbend
on the li,t, Of any assessor in the State. And
yN me facility for eoneesling ovnership In na-
nonA bonds Is hr greater than In any other
hands Of individuals that would escape the a.
sessment OF local taxes may bs inferred with
reasonable certainty from tie analogies have
suggested, and which Are familiar 70 I'll Who
have given the least attention 10 the subject.
Indeed. venture to assert with confidence that
II the power OF local taxation Of thess bonds
were fully accorded to-day. the tsx lists Of our
average one per cent Many Of tSoss vSo S 10. To-
day may be ambitious Of parading their bonds
when protected by what Is deemed an offensive
exemption would suddenly have none when the
power OF taxation applied to them. Indeed,
the utter fAilurs to realize anything from this
source, II the power to test Il were granted,
would In the end create moro dissstisfsction
than that exemption, which. In theory. 10 offen-
sivs, but In practise Is absolutely OF no conso-
quence whatever.
But Il will be asked. why don't you tax
the bonds by national authorityi" Granted It
would be nugstory and yaiueless. "thst Affords
oil the stronger reason for taxing the bonds BY
direct congressional enactment" In answer
70 this have only 10 say that . tax levied d.
rectly upon the coupon 10 simply su abatement
Of interest, and the result can bc reached In Q
better and more satisfactory and moro honors-
bic way. The determination manifested BY this
Congress and by the great Republican oonysn-
tion ct Chicago 10 maintain the national faith
A. - H. LII L. -f.St -
value Of the bonds, and with the strengthening
OF our credit, which results from An honest and
high toned policy. We will speedily be able TO
fund our debt on lower scale Of Interest, run.
ming down to Ave, four and half, and ulu-
mately to four per cent. per annum. Should
wo proceed, however, In violation Of good faith
and OF the uniform practise Of oivilised nations,
10 hold back part OF the stipulated Interest In
stead Of efectlng On honorable exchange Of
bonds to the mutual advantage OF the Govern
ment and the public. creditor, We should only
punish ourselves, produce calamitious results
In the business world, and permanently ipjurc
our national fame.
To withhold one per cent. Of the interest un-
der the plea Of . national tax this year might
be followed by Withholding two per cent. neIt
year and three per cent. the year ensuing. To
enter upon such policy would produce alarm
at homo and widespread distrust abroad, for
this rate OF interest not on Wnat Wa eupulAteu
In the contract, but on what might be the will
and caprice Of Congress In It's annual withhold
ing of q portion Of the interest under the pro-
tense Of . tar. Under such policy our bonds
would be returned upon Us from Europe with
panic.like rspidity, and the drain upon our
specie resources would produce an immediate
and disastrous crisis In monetary circles II
even one half our bonds held In Europe wero
suddenly sent home Il would drain ~ Of two
hundred and ftty millions Of specie, and the a.
nancisl distress throughout the length and
breadth Of the land would be beyond tho pow
er Of calculation or Imagination. And yet that
Is the precise result involved II we should fol-
low the policy advocated by those who urge N
to tar the coupon and withhold one or two per
cent. Of the interest. Let us reject such coun-
sells, and adhere to the steady, Straightforward
course dictated alike by good policy and good
faith. And let rs never forget that In the Ian
guage OF the Chicago platform, 'the best poll
oy 70 diminish the burden Of debt u TO % I'm
prove our credit that capitalists will SEX 70
loan us money st lower rates Of interest than
We now pay, and must continue to pay, % long
% reputation, either partial or total, open or
covert, Is threatened or suspected"