New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-07-05
PEDUCING THE DEBT.

The reduction OF DEBT less caSn III lne
Treasury, as officially reported in the debt
statement for July /, is $10,214,424 oil. But
the greater part of the apparent reduction Is
due to the omission of fractional notes amount
ing to $8,375, 1874, hitherto counted as part OF
the outstanding debt, but now deducted as
"lost or destroyed" There is no reason to
doubt that the actual loss or destruction or
fractional notes has been much greater. The
Treasury might as safely have been authorized
by Congress to deduct $14,O00,000 as
SS,375, 1884 for the notes destroyed, for there
is not one chance in ten thousand that the
notes to come in for redemption hereafter
will amount to $1.590,O0O. Since the re-
demption of these notes began, in April, 1876,
the amount outstanding has been reduced from
S42. 6O4, S94 to $15, 590,SS8 81, but nearly
the whole of this reduction was within the
first three years. Eighteen months ago, the
amount of fractional notes nominally out
standing was only $16,1O9, 154 81, and
it was estimated by The Public, upon
comparison of the steadily diminishing
rate of redemption for the several Is
sues, that the amount then to be pre-
scented for redemption probably would not
exceed 81 900, 900. One year and a half has
passed, and the amount redeemed has been
less than $51S.000, and during the last six
months it has been only $03,5OO. Why a
much larger sum was not deducted, for frac-
tonal notes lost or destroyed, if it was desir-
able to make any deduction on that account,
those who framed the act OF Congress author
ling the change may be left to explain.
The debt statement is n very satisfactory
one In some other respects. The actual re-
duction of debt. exclusive of the book
keeping change, already considered, was
81 1913, 400 81, and during the fiscal
year the reduction has been SIG, $780, OPT Oh
though the apparent change, after taking
out the fractional notes estimated lost, is
$50, 961 03. 1t has been very satisfac-
tory year, as respects reduction in the amount
of debt, only three fiscal years having sur
passed it, but still more as respects reduction
in the amount of annual interest payable. A
very interesting table prepared by the Treasury
shows that the annual interest charge is
now only $79,213,981. The reduction since
President Hayes entered upon his duties
has been nearly $16.0O0,O00, and since
August 81, 1865, when the debt was at Its
maximum, the annual interest-cEarge has
been reduced over $71, 100000, or not quite
one-haf. Considered with regard to pOpula-
| ton. however, the decrease has been from
81 20 per capita yearly in 1865 to 81 So pei
| capita in 1880. No other nation has ever
made such progress in cutting down it's bur
dens of Indebtedness by honorable methods
and this splendid record is one of the indis
putable proofs of Republican wisdom and
fidelity in the management of financial af-
| fairs.
Another table issued by the Treasury shows
the amount of notes and fractional silver coir
outstanding at the close of each fiscal year.
! The National bank circulation has expanded
during the past year from 1929, 691 ,697 tt
| S344,5Oj,427 while the amount of Stat,
bank circulation has been reduced less thar
| $4,000. In legal-tcnder notes there has beer
no change, and in demand notes decrease OF
! less than $500 the decrease III one and two
year notes of 1868 has been $3,700, il
compound interest notes only $16.5 800 ant
In fractional notes, not deducting the $3.50,
934 estimated as lost or destroyed Onll
1852 200. On the other hand, the amount o
| fractional silver in circulation has decreased
during the fiscal year from 500, $3.50, 529 t,
$24061, 449 the coins which have disap
peared from circulation having been lodged il
the Treasury. The silver certificates outstand
ing are reported as $12,374,270, agans
only $2,466,950 last year but thi
is misleading statement. Nearly tb
whole of the silver certificates, thoug
technically outstanding" were in th
Treasury one year ago. and $6,5S4, 70
are now in the Treasury, so that onl
S5,7s9,579 are in actual circulation. Tn
table, which is in some degree vitiated b
these statements, shows an increase of abou
1921 900 in currency of all kinds during Tia
year, but it would be more proper to regar
the $s.375. 934 in fractional notes as out
standing as much at the end as &
the beginning of the year. and t
deduct the silver certificates held