National Republican., 1878-12-03
The PRESIDENTS MESSAGE
0bnffnuosf from Nrsi Puoe.l !

fneut nus DCcn 1nCiinett 10 TeBhru tne muuef
hv0rably. Whatever restrictions upon trade
with Japan are found injurious to that people
cannot but affect injuriously nations holding
commercial intercourse with them.
Japan, after a long period Of seclusion, has
within the past few years made rapid strides
In tho path Of enlightenment and progress,
and, not unrcasonably, Is looking forward TO
the time when her relations with tho nations
Of Europe aud America shall be assimila.cd
to those which they hold with each other.
A treaty looking 10 this end has been made,
which will be submitted for the consideration
of the Senate.
After nn interval Of several years tho Chi.
ncse government hos agnin sent ENJOYS to the
United States They have becn received, aud
permanent legation Is now established here
by that government. II Is not doubted that
this step will be Of advantage TO both nations
In promoting friendly relations and removing
causes Of difference. The treaty with tho
Samoan Islands, having been duly ratified and
accepted on the part of both governments, Is
now In operation, and a survey and soundings
OF the harbor Of Pago. Pago have been made by
naval vessel Of tho United States, with
view Of Its occupation as a naval station II
found desirable TO tho service.
since the resumption Of diplomatic relations
with Mexico, correspondence has been opened
ard still continues between the two govcn-
ments upon the various questions which at one
time seemed to cndanger their relations.
While no formal agreement has been reached
as to the troubles on the border, much has been
done to roprcss and diminish them. The
effective force Of United Statel troops on the
Rio Grande, by strict aud faithful cOmpi-
ance with instructions has done much to re-
move the sources Of dispute, aud Il is now un.
dcrstood that q like force Of Mexican troops on
the other side Of the river is also making au
energetic movement against tho marauding
Indian tribes
This Government looks with the greatest
satisfaction upon every evidence Of strength
In the national Authority of Mexico, and upon
every effort put forth TO prevent or to punish
ineursions upon our territory. Reluctant to
assume any action or attitude In the control of
these incursions by military movements across
the border not imperatively demanded for the
protection OF the lives and property Of our own
citizens, shall take the earliest opportunity
consistent with the proper discharge of this
plain duty TO recognize the ability of the
Mexican government TO restrain effectively
violations Of our territory. It Is proposed to
hold next year an international exhibition in
Mexico, and IL Is believed that the display Of
the agricultural and manufacturing products
OF the two nations will tend 10 better under.
standing aud increased commercial intercourse
between their people.
With Brazil aud the republics Of Central and
South America some steps have been taken
toward the development OF closer commercial
intercourse. Diplomatic relations have been
resumed with Colombia and with Bolivia. A
boundary question between the Argentine Re-
public aud Paraguay has boon submitted by
those governments for arbitration 10 the Pres.
ident Of the United States, aud l have, after
careful examination, given decision upon 1t.
naval expedition up tho Amazon aud Ma
deira Rivers has brought back information
valuable both for scientific and commercial
ntlrUOGls. a like xnaIttinn ia ahnnt ,,ts
the coast of Africa and the Indian Ocean. The
reports Of diplomatic and consular officers In
relation to the development of our foreign
commerce have furnished many facts that
have proved Of public interest aud have siim.
ulated TO practical exertion the enterprise Of
our people.
The report of the Secretary Of the Treasury
furnishes detailed statement OF the operations
Of that Department Of the Government, and of
tho condition OF the public finances
The ordinary revenues from all sources for
the fiscal year ended June 90 1873, were $751;
163,s1e.IOi the ordinary eXonditurcs for the
same period were $236,96i, ,3.6s0, leaving a
surplus revenue for the year of $50, ,799, ,55l.0O
lho receipts for the present fiscal year, end.
ing June 30, 1879, actual and estimated, arc as
follows: Actual receipts for the first quarter,
commencing July ], 1878, S73.3S9 1913: es.
timatcd receipts for tho remaining three.
quarters Of tho year, S1Ol 1l0, ,256.57; total re.
eeipts for the current fiscal year, actual and
estimated S26i, 100000.
The expenditures for the same period will
be, actual aud estimated, US follows For tho
quarter commencing July /, 1878, actual cx-
pendltures, S13,3i 573.27; aud for the remain
ing thrco.quartcTs OF the year the cXpendi-
tuFcs are estimated at SlG6 755, i26.73, max
ing the total expenditures $40, 100, 900, and
leaving an estimated surplus revenue for the
year Guiding June 80 1879, of $2l, 100000.
IN Nntn ~ a.
ending Juno 30, 1850, estimated according to
existing laws, will bc S2Gi 100000, aud tho es.
uniated ordinary expenditures for the same
period will DO S236, ,32O, ,il26s, leaving u sur.
plus Of $2s, ,lT0, ,5S732 for that year
In tho foregoing statements Of expenditures,
actual and estimated, no amount is allowed for
the sinking.fnnd provided for by tho act ap.
proved February %, 1862, which requires that
] per cent. of tho entire debt of the United
States shall be purchased or paid within each
fiscal year, to DO set apart as a sinking.fund.
there has been, however, u substantial COM
pliancc with the conditions of tho law. by its
terms the public debt should have becn re.
duced between 1862 aud tho close of the last
fiscal year S5ls 1851, ,sO62s; tho actual reduc-
tion Of the ascertained debt in that period has
been 20,Gil, ,739.6I, being in excess of the re.
dnetion required by the sinking-fund act, $2O2,-
2S2, ,033.33
The amount of the public debt less cash in
the Treasury November l. 1873 was $2,02i,.
2OO,OS3.ls reduction since tho same date
last year of S23, ,l50,6l739.
The progress made during the last year In
reiunding the public debt at lower rates of in
tercst Is very gratifying. Tho amount of
per cent. bonds sold during the present year
prior to November %, 1878, Is SlOO21 300, and
per cent. bends commonly known as Ave.
twentics TO an equal amount, have been or
will be redeemed as calls mature.
1t has been tho policy Of the Department to
place the per cent bonds within easy reach
Of every citizen who desires to invest his
savings, whether small or great, In these
securities. The Secretary Of tho Treasury
recommends that the law be so modified that
small sums may be invested, and that through
the post-oiilccs or other agents Of the Govern
mcnt the freest opportunity may DO given in
oil parts of the country for such Investments.
Tho best mode suggested is that the Depart.
mont be authorized to issue certificates of
deposit, Of tho denomination Of $40, bearing
Interest at the rate Of 3.65 per cent per annum
aud convertible ut any time within one year
after their issue into the per cent. bonds
authorized by tho rcfunding act, aud to be
Issued only In exchange for United States
notes sent to tho Treasury by mail or other.
wise. Such provision of law, supported by
suitable regulations, would enable any person
readily, without cost or risk, to convert his
money into an interesl- Lpa "A N q sncn rity Of tho