The New York herald., 1869-05-04
The Natiou., Debt and Tsxa,ion.

The Treasury Department and its agents
| and organs are making great flourish over
the reduction Of the national debt of six mil.
lions the last month, and the friends of Mr..
Boutwell, are making the most of tho fact in his
favor. Doubtless this is gratifying exhibit
TO the country, as far as it goes, and partcu.
larly when we look at the past extravaganza
and increasing indebtedness ofthe government.
We only hope that the next month and the
month after, and AN along in the future, wa
may have similar fiattering statements. But
let us not deceive ourselves. Let us look
squarely at our financial situation and SEQ
what prospect there is before us. One months
statement will not give reliable data as to tho
condition of the finances because the revenue
income or expenditures may, from special
causes, be extraordinary or unusually small
for that short period. We must take longer
period-the average Of several months or q
year-to ascertain whether the debt is
diminishing or increasing. Nor has Mr..
Boutwell, been in the Treasury Department
long enough to produce any perceptible effect
upon the debt. Whatever result has been pro-
duced the last month must be attributed to
causes over which he had little or no control.
The country has yet to learn if he has the
ability to reduce the debt by skilful manage
ment of the finances Independent Of the legs-
lation of Congress and through his own official
acts. 1t has yet to learn if he has the states
manship to devise and lay before Congress
such a system of finance as we need.
But, to go back to the debt statement, wc
find that the national indebtedness has beon
increased during the last year--that is from
May I, 1868, to May /, 1S69-nearly twenty
nine millions of dollars, and during the last
two years over eight millions. To get an idea
of the reckless extravaganza and miserable
financial management Of the government 1t
must be understood that the debt has been
thus augmenting long after the war closed and
war expenses ceased, and at time when the
revenues brought in four to five hundred
millions a year-at time, in fact, when the
people have been taxed enormously and to the
utmost limit of forbearance. If the debt has
increased so with such a stupcndous income.
what are we to expect, unless there be
radical change in the management of the
Treasury, when the income is much less But
the actual weight or burden of the debt has
been augmented much more than the figures
represent, through the transformation of that
portion of the debt which bore no interest and
that bearing currency interest into the debt
bearing gold interest. Through Mr.. McCul-
lochs mismanagement and wretched financial
policy the annual burden has been increased pro-
badly notless than twenty millions--that is, the
people have to pay twenty millions year
more taxes than they need have paid had there
been capable Secretary Of the Treasury.
The Secretary arranges the figures so as 10
make IT appear that the Hfty-six millions oi
bonds issued TO the Pacific Railroad are sepa-
rate from the debt but that is not So These.
form part Of the debt as much as the five
twentles, and, no doubt, if ever paid will have
to be paid by the government.
Nor do the enormous revenues Of the gov
ernmcnt show by long way the amount OF
taxation; for the Treasury has been defraudod
through the whiskey ring and other rings and
dishonest officials hundred millions year.
OF course the amount of these frauds come
out of the honest taxpayers. The govern.
mcnt must supply the vast sum thus st,lcn.
and the people have TO make it good. Then
our expensive, cumbrous and complicated
revenue system requires an army of oflice-hold-
ers to carry it on. They. eat up large
amount of what is collected. Now everything
is taxed-everything we eat, drink, wear.
use Or look upon. We are the worst taxed
people in the world, and with less results te
show for it. In England large revenue ID
raised, but it is not as burdensome as ours,
nor by any means as costly to collect The
revenue should be raised chiefly from few
articles Of luxury in general use. AS much
could be obtained in this way as by our pro
sent abominable system Of taxing everything
The cost Of collection to the government
would be far less, three e-fourths at least of the
present army of office-holders could be dis
penscd with, there would be little temptation,
comparatively, to corruption, and tho whole
revenue machinery would be much easier
watched and controlled by the Treasury De-
partmcnt. Can Mr.. Boutwell, comprehend
these much-nceded rctorm5p Can he devise
q system Of revenue more simple and effective.
by which the people will be relieved Of their
numerous aud burdensome taxes, and by
which, at the same time, the debt would be
steadily diminished? II he can he is just the
man for Secretary of the Treasury; .if not tho
the President should search the country
through ill he finds such one., The subject
Of our national finances is the most important
one, and of all the Cabinet officers the Soc
retary of the Treasury ought 10 be states
man Of the highest capacity.
"a LITTLE Monk CpsR, The Boston
Post asserts that there is evidence that Mas