Knoxville weekly chronicle. [volume] (Knoxville, Tenn.) 1870-1875, 1873-04-02
CONTINUED FROM FIRST PAGE.

AesINAhb BOAASJ vi I1LklduU Ill tnC bDttCn
delivered by him against the present meas-
ure. he called our attention to the warn
ings Adam Smithgave to the English peo-
pie against any repetition of the policy of
funding the public debt. AS / listened to
the soft eloquence of the gentleman, /
thought he had entered upon a dangerous
experiment Ia his Invocation of English
history on his side of this debate. won
dered then, as i wonder now, that n gem
tleman of his intelligence should dare to
wander into the financial policy of Great
Britain to find presidents of disaster i'm re-
gard to funding and consolidating the
whole debt of a State, principal and inter-
est, into one series of bonds. 1t will be
remembered by those familiar with the
subject, that England began the policy of
issuing bonds and using her credit rs early
as 1892; and that she commenced at high
rate of interest, ten per cent, and after
wards consolidated both principal and in
terest into the world-renowned English or
British consols at three per cent interest.
And 1t is we'll known that these consolida-
ted bonds are of the most popular charac-
ter of investment. Capital is constantly in
search OF them. Now, we have been cited
to this experiment of England, as the
gentleman Mr.. Cummins and his friend,
Adam Smith, have pleased to call that
great financial project let us examine the
history of that policy, as portrayed by Eng
lands great historian, Macauley, and see
whether it will frighten us from the sup
port of this bill, or strengthen our convic-
tons of right in making il the policy of the
State. GAIT. -.
Speaking of the depleted Treasury of
England after the struggle of war through
which the kingdom had passed, Just pre-
vious 10 1862, he describes the c;rcum-
stances that impelled that government TO
adopt financial policy, and the surround
N ctrilxi nUlxy 81 I, o;t Tn,
alton in which we find ourselves to-day,
that l call special attention to them, and
ask their particular consideration by the
House. Referring TO the subject, on page
2S7 of volume 4, Macauley says: "Still,
however, the estimated revenue was not
equal to the estimated expenditure. The
year 1892 had bequeathed large deficit to
the year 1893, and i seemed probable that
the charge for the year 1893 would exceed,
by about five hundred thousand pounds,
the charge of 1922 Here let me call the
attention of the House to the striking fact
that we, too, have just passed through the
scourge of war that the year 1872, and the
years preceding, has "bequeathed to the
year 1873 q large deficit aud the debt now
due and demanding attention, very large
ly exceeds our estimated revenues for
many years to come.
Macaulay continues by saying, taxa
ton both direct and indirect had been car
ried to an unprecedented point )" and here
in this particular the analogy fails, because
our people are not heavily taxed, as 1 will
show directly, but then the parallel is re-
sumed in the concluding words of the sem
tence, yet the income of the State still
fell far short of the outlay. IT 1Cds neces-
Sdyy to deviSe Soneetising."
This fits our case exactly. Our income
will fall far short of meeting and discharg-
ing current expenses, and paying this ac-
,I.,Nn sv.NA .l.,sx~
language just quoted, sit is necessary to de-
else Sonaething."
Our opponents have offered nothing ex-
cept the proposed charter for the railroad
ring. Referring to this subject again on
page 292, this same honored historian pro-
pounds this question: "How, indeed, was
| it possible that debt should not have been
! contracted when one party was impelled
| by the strongest motives to borrow, and
the other was impelled by equally strong
| motives to lend ?'' Indeed, are we not in
| the precise condition here described? Have
we not the strongest possible motives to in
| crease our debt? Have we not every rea-
son to do so, in order to take breathing
| spell and be freed from the four and half
or five millions now due? Again, right
here listen to what the great historian says:
"a statesman might well think that some
part of the wealth which was daily buried
or sauandered might, with advantage to
| the proprietor, TO the taxpayer, and to the
State, be attracted into the Treasury
Much has been said upon this floor in ref.
erence to candidates for Congress, and the
! part certain gentlemen hoped to take in
the future control and government of the
country. i call the attention of those who
are aspiring, to the language of history that
"a statesman might well think Off this
mode of relieving our State Treasury from
its endorsements just as the statesmen Of
England did relieve the Treasury of tina
kingdom. Members of the House will bea
in mind that the history of England wa
, appealed TO In this matter. "Unto Casa
, the appeal has been made, and unto CRsa
let us gO,"-history has been knocked, lie
: us take the voice of history! And what Il
it? Listen, beseech you, as the historian
, declares: at was often asserted, at q latte
: period, by Tories, who hated the nationa
4 debt most Of all things, and (Bishop) Bur
: net most of all men, that Burnet was tin
: person who first advised the government
to contract national debt" Don't 20,
2 see the same spirit against public debt
then, that Is evinced here: Don't you Sc
4 that the same angry utterances were riff
1 then that We hear now? 1t has been a.
a serted since this debate commenced tina
Il the funuing policy began with England
: and proved disastrous To the interests {
= the people. 1t was the 18th day of Decem
e Der, 1892, that the House of Commons II
). solved itself into q Committee of Ways an
e Means, and a proposition for loan wa
L adopted. England borrowed this polio
/ from Italy France, and other countrie
& And 1t is recorded of Holland that sh