The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1873-02-18


HTNorE.-Early in January lust addressed cir
cular noo to the Governor Of each State requesting
u statement Of the exact amount OF Its debt, the
amount Of It's sinking fund arElcabe to the redie,
character II its contingent liability. The above
statement Is made up from the responses which have
been received from most of the States, and the
oilers marked with an *f|. from the census Of ls7J
and other public documents As these latter States
changes may have occurred in the amounts since
$780, but 1t Is more than probable that the actual
amouns will be- found to be considerably less than
those given above. The contingent liabilities gen.
orally consist of Endorsements Of railroad bonds
enter Into any estimate of the actual Indebtedness of
the STATES. An educational funds invested In state
virginia ami Yves. Virginia is the amount or the
principal Of the debt and Interest to january 1878.
after dcductng assets and funds properly appica-
bic 10 lis reduction, the never having bcrn ap-
pOrlicncd between the two ates. North Carolina
has assets OF the nominal value with interest Of
S26,5555 O.. and the amount of her debt, rs given
interest. as to whether The State debts shall be paid
aher par or market value rs well as the ascerta!n-
the deduction fast nat ers Of tactical detail
10 be proyilcd1or by act OF Congress
From this statement it appears that the
total Indebtedness of NIL the States, after de-
Quoting the assets which should be applied
to their liquidation, amounts TO the sum Of
1922, 295, i50.45: and this sum would be fur
Their reduced by several millions If that por-
ton of the debt Of North Carolina and
some other States claimed to have been
fraudulently contracted be thrown out Of
the calculation. But to be entirely safe, take
as a round sum S3OO,000,0O0 counting all
bonds, fraudulent as well rs the ungues-
toned, at par, for propose to answer this
objection even In its most questionable
form,) as the total of State indebtedness, and
we have the utmost possible increase Of the
national debt which the assumption of the
State debts by the General Government
would cause. This sum, at five per centum
interest, the rate OF which the Government
is now funding its public debt, would an
nually require $15,00O,000 to meet the accru-
Ing interest thereon, and to this extent, and
no more, would tho burthens Of the Federal
Treasury be increased.
But could this comparatively small sum
cause any embarrassment or neceSsitate any
increase of Federal taxation or affect pre-
juGicially our national credit Why, the
present revenues of the General Govern
mcnt are sufficient to meet all its current e.
penses, including the interest upon the pub
lie debt, and leave balance of nearly $780,
1900 to be applied to the payment of the
principal Of the public debt, and that, too, in
advance Of its maturity.
Without stopping here to discuss the wis
dom of financial policy which taxes the
depressed aud discrdeled energies and in.
dustries of people just commencing to re-
cover from the disastrous effects of gigan-
tic civil war, to anticipate the payment OF the
debt which it necessitated before 1t is re-
quired Gy the terms of the bond, 1t is suffi-
Gent for our present purpose to note that
the only change which the payment of the
interest upon the total debt of the Staes
would necessitate in the present financial
policy OF the Federal Government would be
simply the decrease for brief period by the
sum of $l5,000,000 Of the amount Of the M
tional debt which might otherwise be anuu-
ally paid. In other words, instead Of annu-
ally paying, as now, si00, 000, 900 OF the prin-
cipal OF the public debt, we should pay but
So. 0U0, 900, the balance Of $4,000. 900 being
applied to the payment of the interest upon
the debts Of the states assumed. The ussump-
tlon and payment Of the debts Of the States
by the Federal Government would not,
therefore, necessitats any increase Of 10.