Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1880-02-06
DaiIp Kennebtr .3ournal.


senfdtires:
As We commence the active duties of the
session under most extraordinary circum
stances, il is we'll to pause for a moment tC
recognize that beneficent Father whose watch.
full providence ever controls the destinies OF
nations; and while we see his hand in all the
startling events of States and peoples, to re-
member also, that not sparrow falleth to
the ground without his notice.
In the duties now before you it is not in nv
power at this time tn give you the informa-
ton l could desire, not having received
the Treasurer's report for 1879,
until last evening, or, with few ex-
ceptions, any Of the reports from the depart
ments or institutions of the State. l there
fore refer you to them for your careful con-
sideration when they shall be laid before you.
THE NATIONAL CoNDiTIoN.
For the reason that the financial
affairs Of the nation entered largely
into the discussion of the last two
political campaigns, it is proper to briefly
refer to them, and consider some of the lead
ing facts that characterize the present condi-
ton of the whole country. The variety and
extent of speculations Immediately following
the close of the war were without parallel in
our history. Taking three million men from
their accustomed avOcations of producing
property to respond to the demands Of war
with its necessary destruction of property.
left the country much poorer that it otherwise
would have been. During the struggle the
government purchased the peoples products
at the highest prices. The close of the war
stopped those purchases. and left the people
dissatisfied with the old modes of business
and the low prices of former days. and drove
tbovr, 20 lott har thav tn
obtain and keep up the prices and profits of
war times.
This course was largely induced by cheap
and fluctuating paper currency. All classes
ran recklessly in debt The crash of 1873
commanded halt. Great depression of bust
ness Immediately followed in nearly all the
States. Bankruptcy prevailed to an alarm
ing extent. There was great lack of conf
dence among business men. All sought to
ascertain the cause of the W wide-s spread depres-
sion. Many who had been led by too san
guine hopes in the days of cheap currency to
contract debts which they were unable to pay.
blamed the government: and as q relief for
their misfortunes demanded further issue of
the same kind Of currency, the wrong use of
which had brought their misfortunes upon
them.
Men have honestly taken different views
have honestly predicted different results. 1t
has not been, however. so much question of
who was honest as Of who was right. Events
have developed what was right and best for
the people. The great question of the re-
sumption of specie payments has been settled
One year ago in the minds of many it was an
experiment-to-day it is an accomplished
fact. The effect has been to make the paper
which promises to pay dollar equal to the
dollar in coin,-the dollar of the laboring
man equal to the gold of the capitalist or the
bond of the bondholder. 1t has DESTROYED the
speculatiOns in gold, and abolished the gold
gambling Offices which existed so long as
there was difference in value between the
greenback and gold. 1t has established
national credit, and most of all. has
created confidence between man and man.
The result of all this is that the accu-
mulated capital of the country has been
let loose at low rates of interest and has
found employment. the wheels of industry
are in motion; bankruptcy is fast disappear
ing from our midst the great army of tramps
is going to work; stocks of all kinds are ad-
vancing in value: old liabilities are being
settled: business is reviving and large num-
bers of the trading classes have left their un-
certain employments to join the producers.
Agriculture, the greatest source of
u
received stimulus hitherto unknown. The
surplus from our golden harvests of grain is
readily exchanged for the real gold of Eu-
rope at prices that make glad the hearts of
our farmers and fill our marts with abundance
of money.
With an agriculture that excels that of any
other country: pastures that from their sur
plus supply even Europe with meat; manu-.
factories that successfully compete in the
markets Of the world; lumber enough for
the demands Of great nation: quarrics of
slate and stone sufficient for all time: mines
of coal and iron inexhaustible in extent; de-
posts of gold and silver, such as never
blessed natien before, and with a vast and
growing commerce, our people believe that
we have passed the crisis which was followed
by the hard times and have entered upon
an era of sslid prosperity.
In 1860 government securities sold at a dis
count Of from to IL per cent. and in Feb
ruarv, 1861, six per cent. government bonds
sold at an average discount of Q 1-2 per cent.
To-day the national credit is such that our
four per cent. bonds are among the best Sc
curities in the world. In 1865. the national
debt, including the unascertained outstand-
ing claims, was nearly three billion dollars
to-day it varies but little from two billions
In 1865, the annual interest claim was $50
millions; to-day it is less than s3 millions.
while the annual burden Of taxation has been
reduced more than 300 millions No nation
in the worlds history ever before paid its
debts so rapidly. and none ever sustained
better reputation for honesty.
We now have the best currency the country
has ever had, the people feel safe with it.
business has become adapted 70 it, and it
would seem good judgment to give the conn
try a rest for the present from further dis
turbing financial schemes or distracting dis
cussions.
PUDLIC DEBT.
For detailed statement of the condition
of the treasury, refer you to the Treasurer's
report. The report shows that the receipts
of the State treasury the past year, including
Sl57, ,256.o0 on hand December 81, 1873.
we're 81 1855, ,417.l4: and that the expendi-
lures during the same period were 81 ,3l6.-
OO3 81. leaving balance in the treasury Dec
3l.ls79, of S69, ,4l3.47. On the first day of
January. 1850, as appears by the report, the
bonded debt Of the State amounted to the
sum of o., ,s4s 800, from which. deducting
the present amount of the sinking fund,
81. .166. l59, leaves the debt at 81 .6s2.741
On August Is, 1880. there will fall due of
the public debt bonds to the amount of
eS01 600: on March l. 1888, 1885, 600; on
June /, 1889. 81 $50. 600; and on October /,
1889. there will become due g, ,s26. 800. The
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