The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-07-31

Now we do not know how much truth or
speculation there is in these reports, but they
are probably true in the main, for there is no
doubt the credit of our Government stands
high with the shrewd and far-seeing capitalists
OF Europe, and is rising steadily and daily in
the markets of the world. 1t would be strange
indeed if this were not the case, as our Trea-
sury is so plethoric that Mr.. Boutwell, hardly
knows what to do with the money. Then the
rapid liquidation of the debt during the last
few months, and the vast resources and sur
prising increasing wealth of the country,
must inspire confidence in the value of our
securities. Ignorance of this country and its
resources has been the only cause why our
securities have not heretofore reached a much
higher point in Europe. As the truth be-
comes known they must appreciate more and
more
Mr.. Boutwell, ought to be the happiest of
finance ministers, for never has one been
more fortunately situated Month after
month the revenue comes in like food tide
and he gets the credit for this gratifying state
OF things and for reducing the national debt
with a portion of his abundant means Nor
are we disposed to say anything to lessen the
credit of the Secretary, for he is doing much
better than his predecessor, and shows dis
position to take good advice and learn. Still,
he could do much more in reducing the
the country has to bear There is no ne
cesslty for keeping q hundred millions or
more in the Treasury all the time. There
is no contingency likely to arise requiring
more money for the current expenses of
the Government than will come in from
month to month and day to day. If the
Treasury were empty tomorrow he would
soon have surplus again, for the revenue is
enormous and perpetual stream, while the
naVmpntS M "A Io1
times. If fifty millions were applied to the
purchase of the debt, that would reduce the
interest and be q saving of three millions a
year. If a hundred millions were so applied
six millions year would be saved And why
not? The money lies idle 1t will never be
wanted for anything else, for, as was said the
incoming revenue will be more than sufficient
to meet all future demands.
BY using the currency on hand in this wav
another good effect would be produced in
making money easy. Trade would be pro-
NOTED and the Wall street gamblers would
have less opportunities to lock up and specu-
late in money. As to holding large reserve
of gold to keep down the premium, that idea
is exploded. 1t has no such effect. The pre-
MUM is much more likely to be brought down
by gradually disposing of the gold at regular
sales, and thus diffusing it through the chan
nels of commerce and the country With the
appreciation of our securities both at home
and abroad gold will naturally go down; and
with the increasing population and business
of the country there will be greater demand
for currency, and it will become relatively
more scarce. In other words, we should
grow up to specie payments Any action on
the part of the Treasury Department or Con-
gress, except that of eXtinguishing the debt
as fast as possible, is unnecessary and would
only prove disastrous
With regard to reducing the interest on the
debt by process of transforming the securi-
ties and funding the sooner this is done the
| better. 1t can be accomplished at less cost
| to the Government and country now than
when the bonds rise higher in the market.
| We would rather see the debt held at home
than abroad and thereby prevent a vast drain
of specie yearly to pay interest to foreigners;
| but if money is so much more valuable here,
and the debt will be taken in Europe at four
| per cent. interest, let us make the best bar
gain we can. By all means, let the interest
on the debt be reduced by some process Oh
other. At present it is not only an enormous
burden upon the people, but 1t locks up capi.
tai that would be employed in trade and in
the development of the resources of the coun
try; for when capitalists can get eight pei
cent. in currency on United States securities
W ithout trouble or taxation, they will not in
vest their money in other things. In every
way the present high rate of interest is ruin
Gus. We hope the Secretary of the Treasur.
may be prepared to submit to Congress mex
December some comprehensive plan for fund
ing and liquidating the debt and for reducing
the rate of interest.