New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1882-04-03
CONGRESS AND TIE DEBT

The debt statement of April ! shows a de-
crease in March of $1G,4G2,9i7. In nine
months Of the current fiscal year, the decrease
has been $114, $3.50. Surely it would be
well for Congress to give very serious atten-
ton to this fact and its causes. 1t cannot be
said that so rapid reduction of debt is desir
able The country ought not to be obliged to
apply from lis yearly earnings at the rate Of
1852 600, 900 year to the eXtinguishment Of
debt. Yet the measures which many members
of Congress advocate, instead of diminishing
the public revenue would increase it. The ex-
pansion Of revenue is mainly in consequence
of an increase of imports. and Vt members
londly advocate such a reduction OF duties as
would inevitably brlng about far greater III
crease of imports. Instead of spending weeks
in discussing the tariff upon which Congress
is not prepared to act intelligcnty and which
if Is altogether desirable not to reduce i'll such
a manner rs to increase imports and depreSs
industry. il would be far better to take speedy
action upon the proposed hl! for the reduc-
ton Of internal reYenuc, and to cause the in
vestgation of the tariff by a competent COM
mission to be commenced without delay.
During the month of March one call
for SzOOOO.0OO of the continued three
and a half per cents maturcd, and
such Of these bonds as have not been
presented have been transferred to the
account Of debt on which interest has ceased
Bonds Of that class have Increased $2,627,690,
SO that the actual reduction in principal OF
the bonded debt has been from Sil.544,3 1868, 525
to SLOT, 4ls,315, or $16,945, 210-a little
more than the entire decrease of debt less
cash in the Treasury. On the Sth another call
for $4,000, 900 will mature, so that before
the end of the present mouth the boz ed
debt viii for the first time be reduced To about
81, 800 600, 900. There was an increase of
81 ,9O7, 500 in the amour. OF interesJ due,
but the debt bearing no interest decreased
SOL 1870 during the month, namely, $40 in
old demand notes, $4,000 il legal-teDder
certificates Of deposit, $3.50 in fractional cur
rency, and $3iO,310 in coin certificates. Thus
the actual decrease in debt of all kinds was
SI5, S33. while the cash in the Treasury
increased $674,l1l. At latest advices there
were $317,5j0 bonds of the lOjth call
not yet presented, Sl,5SS,95O Of the 1O6th,
and $4,5s4 600 of the 107th, in NIL S. 491, 100.
There remains of bonds and other forms of
Indebtedness which maturcd long ago,
$G,174,515, against 1922, O75 March 1, ouly
1852, $50 of this class of debt having come in
for payment during the month.
Government bonds last week touched the
highest prices ever recorded. The four per
cents sold at 1888 on Friday, with l per
cent interest Ire the next day, and on Satur-
day near The opening 1855 ex interest was paid.
The continued SKIES with Is interest accrued,
sold at 1O1lo; the continued fves sold at
1922 ex-interest on Saturday. In view of the
| strong probability that some reduction of taxes
will be effected at this session Of Congress, so
that, even with a continuance of general pros
perty, redemption of the fves cannot be COM
| menced for another year, the price does not
indicate that five year three per cents would be
readily sold OF par The high price of the long
term bonds is due less to any recent improve
ment in the public credit than to the growing
scarcity of securities in which money can be
kept undisturbed for considerable period but
| the price has now advanced so far that some
sales have been made TO realize their profits
by banks having the four per cents on deposit
for circulation. Last week 1885, 600 of this
class of bonds was withdrawn from deposit, and
only $3.50, 900 of all other kinds of bonds de-
posted, mainly OF three and a half per cents.
| Congress ought not to overlook the fact that
the rapid redemption Of the three and half per