Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1875-10-04
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Az G Us@ T A.
MONDAY MORNING.. October a, 1875.

MONDAY MORNING.. October a, 1875.
REPUBLIcAN FYNANciAL SCCcESS
The last statement Of the public debt
shows that it. was reduced during the
month Of SepsSmberin the sum OF %, 342.-
562. Thus while the democrats are rail
Ing ut the government 1t continues stead
lily to pay all current demands and lessen
the amount of the public debt This Is
TACT which blatant democratic demagogues
like Allen and Cary cannot successfully
deny. Nor can they obscure its force and
importance in connexion with republican
adrninistratjop. When an individual pays
his debts he evinces his honesty as well
~uhiy uccnomy and thrift. and while re-
lieving himself Of burden improves his
credit and ability to continue payment
The effect is precisely similar with ma
ton that honestly meet. its obligations,
Our financial policy has not only reduced
the debt but it has improved our national
credit 40 that we are able to make a large
Swing in interest as we issue new bonds.
One Of our exchanges speaking of the sue
7 csssfuI sale Of the new five per cent. bonds,
isys:, ~, ~. ..s Is. raas =. L.
7. News comes from Washington that only
e &c. oOO. 900 of the new five per cent bonds
remain in the Treasury. All the rest of
he 95Oo. 900. 900 issue has been subscribed
fur and sold. Ere long. the insignificant
rsmsans remaining will be taken. The
p1seinx or these bonds will then have en-
xhlsd. the Secretary Of the Treasury to re-
deem Al equal amount of the per cents.
TAs saving in annual interest will amount
to / per cent. on $500, 900 900, or s.. 0oo,-
600. The people are freed from yearly
4 tax of this amount. This is notable IL
lastration of the fact that honesty Is the
best policy. The law which enabled the
Secretary Of the Treasury to practically
fand the per cents. in 5s by selling the
latter and using the gold thus got to. re-
deem the former was vigorously opposed
! BY many democratic Congressman. They
argued that the country ought to cheat its
creditors by redeeming the 6 per cents. in
ereeubacks, then worth anywhere from
81 to 30 cents on the dollar. But this re-
publican measure has enabled us to keep
,psrfece faith with our creditors. and yet
save. more money than we would have
done by paying the bonds in legal tend
srs.. For the average time the new ) per
cents. will run before payment will be at
least twenty years. and the saving in in
tere,t. each year. is per cent on The
whole amount. The total saving, there
fore. viii be 20 per cent. 50 that we will
practically redeem the old 20 bonds at a
cost Of 80 per cent five had taken DEM
ocratic. advice. and paid on, greenbacks
Instead Of gold in exchange for the bond',
the cost would have been from IS to Sc
per cent. instead OF 80; We should have
broken solemn pledge; and our credit
would have sunk so low that in all proh..
bility we should not have been able to ne
1e0ieA sisgle bond in Europe for years
TO come. Honesty has been the best
policy.f ~ s1te
We have established the fact that o,r
Government can borrow millions of mont y
at6per cent. interest and this foreshadows
our borrowing at IL 2 and eventually at
per cent Only one thing can prevent
this. European capitalists are waiing for
the popular voice to declare itself on The
currency question. If Ohio is carried by
The rag money men, and il Pennsylvania
votes.in the same way. !, " i'll not be easy
for as to negotiate another 8, or even
new 6, per cent bond abroad. But if the
vstesssf these States are trumpet-tongued
for honest money, and if they find an echo
throughout the country, we can confident
ly issue 1-2, if not per cent. bonds and
place them on the market at par. When
we sell the per cents. at par. our credit
win be very nearly as good as that of
England. Her per cents. are quoted at
% and 93 II our per cents. are sold ut
100. we shall borrow money almost as
cheaply ~ it Is borrowed across the Altar
tic. Funding the old 6s in the new 5s is
q great step towards this end. 1t is one
of the most striking successes of republic
can rule"
Mr. Rice is not prohibilioniss but
prefers license law. which the KenEebec
Journal has time and again declared is
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