The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1868-12-10

Jackson's administration. After its
resumption a large sum remained in
the Treasury, which was deposited for
safe keeping with several States. on
condition that it should be returned
when required by the public wants.
In l849, the year after the termina-
ton of an expensive war with Mexl-
co, we found ourselves involved in a
debt of S64. O0O, 900, aud this was the
amount owed by the Government IN
1860, Just prior to the outbreak
of the rebellion In the Spring of
1861 our civil war commenced, and
each year of its continuance made
an enormous addition to the
debt, and when, in the Spring of
1865, the nation successfully emerg-
ed from the conflict, the obligations
of the government had reached the
immense sum of s., so, 992, 300. The
Secretary of the Treasury shows that
on the 1st day of November, 1867,
this amount had been reduced to 3D.
491 ,5O4 453; but at the same time his
report exhibits an increase during the
past year of $50, 625, 102. The debt up
TO the LIST day of November last is
stated to have been 81. 527. 129, 552. 1t
is estimated by the Secretary that the
returns for the past month will add
$11 ,000, 600, making a total increase
during thirteen months of $461, 500,-
600.
In my message to Congress of De
cember 4, 1865, it was suggested that
a policy be devised which, without
being oppressive to the people, would
at once begin to effect reduction of
the debt, and if possible to discharge
it fully within definite number Of
years. The Secretary of the Treas
ury forcibly recommends legislation
of this character. and justly urges
that the longer it is deferred the more
difficult must become its accomplish
ment We should follow the wise
precedent established In 1889 and
1916, and without further delay make
provision for the payment of our OBJ
legations at as early a period as may
be practicable. The fruits of their
labors should be enjoyed by our citi-
zens, rather than used to build up
and sustain moneyed monOpoiies in
our own and other lands.
Our foreign debt is already COM
puted by the Secretary of the Treas
ury at $950,000,000 Citizens Of for
eign countries receive interest upon a
large portion of our securities, and
American tax. payers are made to
contribute large sums for their sup
port. The idea that such debt is 10
become permanent should be at all
times discarded as involving taxation
too heavy to be borne, and the pay
ment, once in every sixteen years, at
the present rate of interest, of an
amount equal to the original sum.
Permanent debts pertain to monarch
zeal governments, and are totally ir-
reconeilable with the free institu-
tons introduced into our republican
system. They would gradually, but
surely, sap its foundations, eventually
subyert our governmental fabric, and
envelope its ruins ia mOneyed aristoc-
racy. 1t is our sacred duty to trans
NIT uuimpaired 70 our posterity the
blessings of liberty, which were be
queathed to US by the founders of the
Republic, and by our example to teach
those who are to follow US, carefully
to avoid the dangers which threaten
a free and independent people.
Various plans have been proposed
for the payment of the public debt.
However they may have varied as to
the time and mode in which it should
be redeemed, there seems to be gen.
eral concurrence as to the propriety
and business of a reduction in the
present rate of interest. The Secre-
tary of the Treasury in his report
recommends five per cent. Congress,
in bill passed prior to adjournment
on the 9th of July last, agreed upon
four and four and half per cent.
By many three per cent. has been
held to have been an amply sufficient
return for Investment.
The general impression as to the
exorbitancy of the existing rate of
interest has led to an inquiry into the
public mind respecting the considera-
ton which the government has actu-
ally received for its bonds, and the
conclusion is becoming prevalent that
the amount which it obtained was, in
real money, three or four hundred
per cent. less than the obligations
which it gave in return. 1t cannot be
denied that we are paying an extrava-
CANT per ceutage for the use of the
money borrowed, which was Da-
per currency, greatly deprecated be-
low the value of coin. This fact is
made apparent when we consider that
bond-hoIders receive from the Treas
ury, upon each dollar they own Ia
Government securities, 6 per cent. in
gold, which is nearly or quite equal to
9 per cent. in currency; tina the bonds
are then converted into capital for
the National Banks upon which those
institutions issue their circulation,
bearing per cent. interest. and that
they are exempt from taxation by the
Government and the States, and there
by enhanced 2per cent. in the hands
an aggregate of IL per cent.
which may be received upon
each dollar by the owners Of Gov
ernmentz securities. A system that
produces such results is justly re-
garced. as faToring few at the ex-
pense of the many, and has led to the
further inquiry whether the bond
holders, IN view of the large per cent
age which they have enjoyed, would
themselves be averse to a settlement
of our Indebtedness upon a plan
which would allow them a fair re-
Enumeration. and at the same time be
j st to the taxpayer of the nation
Our national credit should be, sa-
credly observed, but la making pro-
visions for our credits, we should
not forget what is due to the masses
of the people. 1t may be assumed
that the holders of our securities have
already received upon their bonds
larger amount than their original
investment, measured by gold stand
ard. Upon this statement Of facts it
would be just and equitable that
the six per cent. interest now paid by
The Gnzarn m Q Ms hn1rld he arnliad to