Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1878-12-04
Secretary Shermal's Report.
WASHINGTON, Dec.

" ASHINGION, Dec Z.
The Treasury reports shows a fall
ing eff in revenues for the fiscal yesr,
ending June 2Olh last, of nearly
twenty-One millions, principally due
to the decrease in Internal Revenue
receipts, probably caused by Congress
sionai agstatiOn on the tOOaccJ tax.
For the present fiscal year the receipts
are estimated at 1924 800 000, expendi-
lures al $40 100 coo.
The Secretary says that every step
in preparation for resumption has been
accompanied with Increased business
confidence The accumulation of
coin. las rad Of increasing its price, as
was feared by many, has steadily re-
duced it's premium in the market.
The depressing and ruinCus losses
that followed the panic of 1873 had
not diiniuisheu III 1875, when the re-
sumption acJ passed, but every meas
IRE takeu in the execution or enforce
meDt OF this act has tended TO tighten
these losses and reduce the premium
on coin, go that now il is now merely
nominal. The present condition OF
our trade, industry and commerce
will hereafter be more fully stated.
Our ample reserves and the general
confidence inspired in our financial
opinion that we are prepared to
commence and maintain resum ption
from and after The first day of Janu-
ary, 1879. The means and manner of
dJing this are left largely to the disc
cretion of the Secretary but from the
nature Of the duty imposed, he must
restore coin and bullion when with
drawn in process of redemption, either
by sale of bonds or the use Of surplus
revenue or Of the notes redeemed from
time to time Further upon this re-
port the Secretary says: The current
receipts from revenue are sufficient to
meet current pendltures, rs well as
the ac:rding interest on the public
debt. Authority is conferred by re-
funding To redeem the six per cent.
bonds as they become redeemable by
the proceeds of the sale of bonds
bearing lower rate of interest. The
United States mott s redeemed under
the resumption act are therefore the
principal means provided for the pur-
chase of bullion or coin with which to
maintain resump; ion, but should be
only paid out when they can be used
to redeem All equal amount of coin
Withdrawn from Inc resumption fund.
They may, il Is true, be Used for cur
rent purposes, like other money, but
when so used. their place is filed by
money received from taxes or other
sources of revenue.
In concluding rather langhty
chapter of the report upon resumption,
the Secretary remarks: The Secre-
tary deems it proper to state that in
the meantime in the execution of the
law as it now stands he will feel it to
be his duty 10 redeem ali United
States notes presented on and after
January 1st next, at the office Of the
Assistant Treasurer Of the United
States in the city of New York in
sums OF not less than fifty dollars,
with either gold or silver coin, as de-
sired by the holder, but reserving the
legal option of Government, and to
pay out United States notes for all
other demands on the Treasury, except
when coin is demanded on coin liabil-
tiles. / is his duty as an executive
officer 10 frankly state his opinions,
so that if he is in error Congress may
prescribe such policy as is best for
the public interest.
In the hope of pop1larizing public
loans, the Secretary recommends the