New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-12-07
srcprr1pY SVFPVdN,S REPORT.

of the Treasury in which the public will take
the greatest interest is probably that
in which he submits his method for
the refunding of the bonds falling
due next year. The plan he has matured con-
templates the issue of securities of two kinds
to q greater amount in all by more than
500 OOO, 900 than will be needed, thus leav-
ing the Department free to exercise us
discretion in placing that class OF them
which shall be found most advantageous
TO the Government. He recommends the Issue
of Treasury notes in denominations OF not
less than SO, running from one to ten years.
which. being convenient in size, easily trans
ferable and of amounts purchasaDle py
persons of small means, would ne De-
lieves, be attractive as investments oI
savings. Mr.. Sherman asks Congress to au-
thorize four per cent interest to be pald upon
these notes, if necessary, but expresses the
opinion that q sufficient amount for the
purposes of the Treasury can be sold I'M
der an annual interest of three per cent
only The other class OF securities favored
is a 3.65 bond, redeemabe at the pleasure OF
the Government after fifteen years. The
authority to issue 500, 900, 900 of each class
margin of discretion in giving the preference
TO either as was deemed best for the Interests
Of the Government
The Secrctary's limitations as to interest VIII
to many practical business men seem too
high. Our readers will remember striking
paper, published i'll TIE TRIBUNE, year ago,
insisting that the rest OF the debt could be
funded in United States 3 per cent stock.
The interval has amply justified the view
then taken. at least as to the rate OF interest
tie Government could command. With
-Four Per Cents at the present
premium there will be many to argue
that tour per cent ought moi to he
allowed on any OF the proposed Treasury
notes. and some to think that all OF them
could be foated at as low rate as three per
cent.
The report seems to deprecate any reduc-
tion of taxation at a time when surplus reYe-
nue. can be so readily devoted to the payment
of bonds falling due, but suggests that
if any reductions be made, all the taxes
imposed by the internal revenue law
excepf those on bank circulation, and on
spiIit4. tobacco and fermented liquors, be
| abolished. This would remove the tax on
| friction matches, patent medicines etc.
The tax on banks, both National and
STATE. is defended . as being in the
one case easy to collect. and in the other a
check on the revival OF the old State bank
| system. and in both cases just and proper.
The report opposes, with variety of argu-
menf4. the withdrawal and cancellation
Of the grecnbacks, which the Presi-
dent favors in his Message. The See
rotary makes the recommendations which had
been expected regarding the silver dollar
that either its coinage be suspended or its
value increased to an equality with the gold
dollar. X advises q careful revision of the
tariff. in which, however, its fundamental
Drincples shall always be kept in view, sug-
e,ests a Civil Service system in which
there shall be tenure of office for a fixed
neriod with an increased pay for faithful
service. and renews his recommendation of last
wear for standing Appropriation Committees
of The two Houses of Congress- which shall have
leave TO sit during the recess, and power to
send for witnesses and papers. All Of these
recommendations, and all that are made III
the report, will be received with great respect
everywhere. The great ability Mr.. Sher-
man has always shown as a financlor, and his
admirable achievements during his four years
administration of the Treasury, give especial
| weight to anything he may say at time
when we are enjoying a vast prosperity due
in part to him.