Western Reserve chronicle. [volume] (Warren, Ohio) 1855-1921, 1868-12-16
Presidents ANIMAL MESSAGE.

last. 1t would occupy about seven
columns of the CHRONICLE, if print.
ed in detail but as much of it could
hardly interest the mass of readers,
we deem best to publish an abstract
OF its leading points, which we have
no doubt will prove quite as accept
able to our readers as the entire
document. 1t opens declaring
RECONSTRUCTION A FAILURE.
The reconstruction law of Congress,
after a fair trial have substantially
failed and proved pernicious in theil
results, and should be repealed.
States have been reduced to military
dependencies, the attempt to place
the white population under the DOM
inatiOn of the cOlOred people of the
South, has impaired, if not destroyed
the friendly relations previously eX-
listing between them.
THE TENURE OF OFFICE BILL.
This law should also be repealed,
the President thinks, as il prevents
him from enforcing that rigid &C
countability of officers essential to
a faithful discharge of their duties.
Congress is charged with passing
unconstitutional laws interfering with
the Presidents legitimate functions
as commander in chief of the army
and navy, and also denying the
people of the States the right to
protect themselves by mean of their
OWL militia.
THE FINANCIAL QUESTION.
Compared with the growth Of our
population, the public expenditures
have reached an amount u~nprecedent-
ed in our history. The population OF
the United States in 1870 was nearly
four millions of people. By compar-
ing the public disbursements of 1869,
as estimated, with those of 1871, will
be seen that the increase of eXpendi-
ture since the beginning of the
government has been eight thousand
Six hundred and eighteen per centum,
while the increase of the population
for the same period was only eight
hundred and sixty-eight per centum.
RECEIPTS AND EXPENDITURES.
1t is shown by the report of the
Secretary of the Treasury, that the
receipts for the fiscal year ending
June S0th, 1868, were S405, 63S, 0SS,
and that the expenditures for the
same period were S377, 340,2S4, leaving
in the Treasury a surplus of SIS, 297,-
T9S. 1t is estimated that the receipts
during the present fiscal year ending
June 30th, 1869, will be S341 1872, S6S,
and the expenditure 1886, l52, 40,
showing a small balance of S5,24O,-
sos in favor of the government For
the fiscal wear ending June 30th $50,
it is estimated that the receipts will
amount to 1927. 900, 900, and the eX-
penditures to S303, 900, 900, leaving an
estimate surplus of $4,000 00.
PAYMENT OF THE PUBLIC DEBT.
The President has contrived a plan
for swindling the national creditors,
which We give at length. He says
Various plans have been proposed for
the payment of the public debt in all
of which there seems to be a general
concurrence as to the prOpriety and
business of a reduction in the present
rate of interest. The Secretary OF the
Treasury recommends five per cent.
Congress in its bill passed prior to the
twenty-seventh of July last, agreed
upon four and four and a half per
cent. is held to be an amply sufficient
return for the investment. The
general impression as to the exorbl-
fancy of the existing rate of interest
has led to an inquiry by the public
mind, respecting the consideration
which the Government has actually
received for its bonds, and the cOnclu-
sion 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 issued in return. IT cannot
be denied that we are paying an eX-
travagant per centage for the use OF
the money borrowed, which was
paper currency greatly deprecated
below the value of coin. This fact
is made apparent, when We consider
that bondhOlders receive from the
treasury upon each dollar they own in
Government Securities, six per cent
in gold, which is nearly o T quite equal
to nine per cent in currency that the
bonds are then converted into capt
tai for the National Banks, upon
which these institutions issue theil
circulation bearing six per cen
interest, and that they are exempt
from taxation by the Government
and the States, and thereby enchaneeC
two per cent in the hands of tht
holder. We have thus an aggregate
of seventeen per Ct, which may b'
received upon each dollar by thu
owner of Government securities. !
system that produces such results, i
! Justly regarded as favoring a few a
the expense of the many, and has LEI
to the further inquiry whether on
bondholders, in view Of the largI
profits which they have enjoyed
| would themselves be averse to a set
Element of our Indebtedness upon
plan which would yield them a fai
remuneration, and at the same tim,
be Just to the taxpayers of the nation
I Our national credit should be sacredl.
/ observed, but in making prov isiol
| for our creditors, we should not forge
what is due to the masses of the PEG
Die. It may be assumed that tn
/ holders Of our securities have alread.
received upon their bonds a large
amount than their original invest
ment, measured by a gold standard
Upon this statement of facts it w0ulI
seem Just and equitable that the 81,
per cent. interest now paid by tn
| Government should be applied to tn
reduction of the principal in semi
annual installments, which in siXteel
wears and eight months could liquid
ate the entire national debt. Six pc
cent. IN gold would at present rates b
equal to nine per cent. in currency
and equivalent TO the payment Of tn
debt one and a half times in a fractio
less than seventeen years, This, i
connection with all the other advan
tages derived from their investment:
would afford 10 the public creditors
fair and liberal compensation for tn
use of their capital, and with thi
they should be satisfied.
THE CURRENCY QUESTION.
The President reiterates his opinion
expressed in his last annual messag
on the currency question. He favOl
the earliest practicable resumption
specie payment. At the beginning {
the rebellion the bank note circulatiO
of the country amounted to M
much more than two hundred mi
lions of dollars. Now the circulatiO
of National bank notes and leg;
tenders is nearly seven hupdre
millions.
The specie value Of our paper issue
may be ascertained by enquiring no
much gold and silver could be pul
chased by the seven hundred million
of paper currency. Probably not ov'
three hundred and fifty millions, {