The New York herald., 1870-01-27

s24.s zoo re also purchased during the same ss
s1o,d2s, lso which latter bonds are held q
ny nlm as special fund, suI!cvs n,S
e aGn Of Congress and ne aea 70 che
slnFng fuad and that any further purchases as
N Az be made DC 30 added until the gross amouhs
shall constitute fund equal 10 tnat WMcn wouu
have been created II there had been no delay IA tne
execution OF laws" The aggregate or the stOchs
50 purchased and ned by ,ne secretary secret w nG@ ns
received annually, In gold, for accrued interest,"
IS. 7le,sSs, when is payable semi.annually. ),
There can be little doubt but Congress Will carry
out the suggestions OF the Secretary OF the Treasury
by enactment OF law When this IL done, and snouiu
the same annual appropriations be made OF the SUI.
plus revenue as has been made In the last egnt
months or the year just closed, our whole pubic
debt viii be paid IN about thirteen years. nis, you
VIII concede, Ia quite as far ahead In point Of time
at least, OF your plan for paving national debt as
yours ~ OF Mr. Giadstone's for paying the national
debt OF Great Britain.
Whatever plan may be adopted Tor the payment
OF national debt the first step - 70 settle tne ques
tlon now 10 raise the money for the purpose. Pro-
cure II as you Will, 1t will In some way De lax on
the Industry OF the psople and as the SOONER y y
paid tne less IT will cost to pay IT. lne real question
lor an Indebted nation to solve Would seem to be
how much can annually be collected Tor the purpose
without doing injury to The prosperity OF the c0un-
tryl Perhaps OF all countries IN the world this
could best afford to defer large present payments
because It's rapid increase in population and wealth
would make It easier IN the future. And yet II H.
perhaps more able than any other country In the
TO new loans. Ii Will therefore PROBABLY continue as
It has begun, TO pay on the public debt down 70 q 2
point wnen from Its smallne3s and the low rate OF
interest at wnicn 1t Will then be placed 1t VIII cease
to give any concern to any one.
confess that do not clearly understand either
your or Mr. GadsLone's plan. The dii1culty nes
right at the starting point capital is needed 70
begin with. Without 1t no accumulation can De nau
Now, II see the TWO plans correctly, Mr. Gladstone
proposes to raise ms capital Dy aovernment sales
territorial annutteS. You propose " raise yours Dy
taxaLlon IN some form. After .ndt as see them,
mia IN " "A
apart, aud the consequent time required 10 ex-
unguish given amount 0f Indebtedness. All your
plans seem TO contemplate the investment OF the
interest received alter terms o years. rae interest,"
on our SIX per cent bonds falls due 5eml-annually
part on The frst days OF January ana July and
iirsr days or May and November on the other
part. interest Is due on tuese Stocks hed
Oy government II Is on the same duy invested In
tue purchase OF Otner like bonds winch In their turI
Immediately commence drawing interest, whIct
Is in ike manner invested, anu SO The reduc
ton the national debt is constantly going on anc
| with u constant, accelerated movement Muci
stress has been put upon the IDEA oi sinking iund
Dut IN most cases it is better, II US good plar
for extingusnlng q debt ~ would be the purchase
OF the obligations OF government and their lmme
date cancellation. There Is more machinery and,
course, more ircJlOn, by reason 0I the cost ana Os
OF investing and the dangers or loss in tht
first mentioned mode tnan IN the latter plan. Whet
q nation owes debt and Intends honestly to PAL
| IT, the SIMPLE ana best way would seem 10 be
when 1t mas surplus Of money. To redeem Its bonds
and TO cancel them. 1 can weii see mat where
nation IS owing debt that is placed for q ion.
term, having many years TO run 10 maturity, at
| low rate interest," and It's bonds nos TO be had
except at a large premium and having surplus OF
hand 10 be applied 70 the payment VI the debt
which De loaned out at nigher rate Of interes
| than its own debt bears. sucn loan. 80 III
vested, woud be good economy. But IN our case al
the circumstances are entirely different and aSalis
SUCH course The rate oil interest pau Oh onl
loans Is nigh the rullng ordinary busl
loans III The money marKcGs o tue country ant
as 1t Is payable in gold while the suspension o.
specie pay DIeDs lasts IL is higae Than Ge legal
Tne most ol our national Douds according 70 lnS
fprl a lEnnH TN
TO The period when the government has the optioi
| to reaeem them by payment AT any time, nov O
hereafter AS ~ present they daye not quite reaches
the par OF gold Tue government Can do little bette
by selling It's gold at the current premium, taking IL
own noLes lii payment and buying rnercwitl it
bonds al the rate current Iii the STOCK marhct. Tn
present currency price tor god Is l2o and the las
purchase vi slX per cent bonds was made at ia llJ
The prices o. tue two are approxlnAtllg. So sooI
as the currency premium goii snail be les
tnan chat on Tile government Six per cent bonus tD
government WILL redeem them witn god direct ant
b the sale OF gold and the purchase VI les bonds,
as now.
on review OF al your letters am satisfied tina
your plan OF paying of the national debt OF Grea
BrItan altogether preferable 10 tne one proposed
Dy Mr. Gladstone. 1t Is, perhaps, the very bes
scheme for the purpose that the British governmen
speeoy pan would never satisfy the impatient go
% sasss m.nas ndsy Z dS thHs lily ct asss
plisned There are elements at WORK here NOR
favorable 70 the speedy payment 0i great deb
nave ever existed, or PROBABLY can eXlSt
IN any other country on the face o the carLh. Eh
| natlonaltles oI The Eastern Continent, including
| Europe Asia and Africa, Russia perhaps alone ex
cepted, may be said to De tnshed. Tney are all at
.sIandstll,u and most OF them Gcciinin2. Their
will be lilte increase OF population or genera
wealth in Their future. Not SO with this country
| here the population doubles IN less than thirt
years, and the value OF the aggregate properly i
being Increased regularly at the rate of more tna
100 per cent In less than nine years. This gives Tn
United States the advantage OF every other country
Favorable financial results can be brought about Ii
this country without much difficulty that would b
utterly impossible elsewhere. lhe civilization q
| old and nearly wornout Europe, with all 1t
economical appliances has been transferred here /
a new world, with young and vigorous people
| possessing an almost b0undless continent OF vlrg
aol, unboundedly rich with the precious metals an
| all other valuable minerals-a country tha
stretches from the Atlantic to the Paclc and fron
the tropics TO the Atlantic Ocean, and that spread
fifty degrees Of latitude aud 100 degrees
longitude and that has every variety oil climate so
| and producnon necessary to the comfort ana haI
| plness OF man. Although the laws OF politics
| economy are perhaps as fixed as the natural law
tHat govern the universe, yet the teachings In tha
| science by the ancients ana even those OF MOI
| modern Europe are applicable here only In degre,
Our circumstances are so different that they can
better seen and understood by contrast than by cOn
parison. The uay is not far distant when the worl
| VIII wake up to the knowledge Of our UNLIMITED n
| sources and material strength, and consequel
ability not only TO pay Off our large national del
| but III a shorter time than 1t now dreams or I'll
building OF our great trans-cOntinenal railroad ia O
| earnest OF otner great acnleveinenrs that we sna
accomplish Tor the benefit Of our own people and tn
other peoples OF the EARTH
thanking you for your great Kindness In sendn
me your plans and explanations OF them, ara, We,
Treasurer OF tile United States.
THOMAS c. RIDDLE, Esq. Geeoag, Victoria, Aui
| trains.
| THE GREAT Observation-Disclosures PHENOMENA
referring to the recent tornado Ii Tennessee, tn
| Gailatln Examiner OF January 20, says:-The 70;
l