Evening star. [volume] (Washington, D.C.) 1854-1972, 1883-12-04
5000, 100000
45,S16.741.O1
Leaving a balance Of.

Leaving balance of.......... 80 1S3. 25S 90
II the revenue for the fiscal year, which viii end
on June 80 1881 be estimated upon the basis OF eX-
lstlng laws the Secretary is of The opinion that for
that year the receipts Will exceed by $50 900 the
ordinary expenditures including the amount Ge-
voted To the sinking fund.
Hitherto the surplus as raDidly as II has accumu
national debt.
Which are redeeable at the pleasure OF the gov
eminent NJ are The three per cents, amounting to
The four and one-half per cents, amounting to
snuD0tl and the 1871 100000 four per cents arc
no. payable until 1891 and 1897, respectively.
If the surplus Shall hereafter be as large as the
Treasury estimates now Indicate, the three per
cent bonds may all be redeemed at least four Yea r.,
before any OF the four and one-half per cents can
DE called In &c latter at the same rate of acc,,-
mutation OF surplus can be paid at maturity and
the moneys requisite for the redemption of the
before those obligations become payable.
Ihere are cogeht reasons however why the ma
,ioni,i ihdebtedness should not be thus rapidly ex-
tlngulSiled. Chief among them Is the fact that
able f' ~
In communication to the Congress at its last
session recommended that all excise taxes be
abolished except those relating to distilled spirits
ana That substantial reductions be also made in the
revenues from customs. A statue has since been
enacted by Which the annual tax and tariff receipts
OF the Government have been cut down to the ex-
tent OF at least fifty or sixty millions of dollars
While have no doubt that still further 1edrc-
tons may be wisely madeI do not advise the adOp-
ton at TINS session OF any measures for large dimi-
mutton or the national venues The results OF the
legislation OF the last session of the Congress have
not as yet become sufficiently apparent to Justify
existing law. N
In the interval which must elapse before the
effects Oh tne act OF March B. 1881 can be definitely
aSceftalned portion at least OF the surplus reye-
nueS may be wisely applied 10 the long-neglected
duty OF rchabilitating our Navy and providing
This is matter to which shall again advert
Immediately associated with the financial sub
!ect lslSt discussed Is the important question what
legislation Is needed regarding the national cur
rency.
The aggregate amount OF bonds now on deposit I'm
the Treasury 10 support the national-bank circu-
lation is about s356OOO.OOO. Nearly yaOO0Oo MO Of
this amount consists OF three per cents, which. as
ALREADY stated, are payable at the pleasure OF the
less than four years unless meantime the surplus
revenues Shall be diminished
The probable effect OF such an extensive retire
iltnl Oi me securities which are the basis of the
natlona-bank circulation would be such a contrac-
uol vi the volume OF the currency as to produce
grave cOinlnercia! elnbarrassments
How can this danger he obviated? The most
eHectnal plan, and one whose adoption at the
earliest practicable opportunity Shall heartily an
prove has already been Indicated. "p
III Tie revenues OF the next four years sail be
Kept substantially commensurate with the ex-
10 SufIer any material disturbance
But IT, On the other hand, there shall be great de-
lay In reducing taxation, 1t will become necessary
either 10 substitute some other form of currency iii
place OF the national bank notes or to make impor-
tat changes IN the laws by which their circulation
Is now controlled
In my Judgment the latter course is far prefera-
Ole: commend TO your attention the very inter-
estins and thoughtful suggestions upon this SUBJ
JeCt winch appear In the secretary s reINrt.
The objections which he urges against the
acceptance OF any other securities than the obli-
CATIONS OF the government itself as foundation
1Ol national bank circulation seem to Inc insuper-
able.
For averting the threatened contraction two
courses nave Deen suggested, either OF which Is
probably feasible. One Is the issuance OF new
bonds: having many years TO run, bearing low
rate OF iaterest, and exchangeable upon Specified
terms for those now out.tand,ng The other
course, which commends itself TO my own 1udp-
hent as the better, Is the enactment OF law re-
pcailng the TAX on circulation and permitting the
banks TO Issue notes for amount equal to s. per
cent OF the market value instead OF as the face
Secretary IN the belief that the adoption of this
plan would AFFORD the necessary relief.
Inc trade-dollar was coined for the purpose Of
Ird1c In countries where silver passed at its value
rs ascertained by It's weight and fnenesS 1t never
RAD legaltende quality. Large numbers OF these
coins entered however, into the volume OF our cur
Iency BY common consent their circulation in
domestic trade has now ceased and they have thus
become disturbing element. They should not be
longer permitted 10 enbarraSS our currency SyS-
ten. recommend that provision be made for their
reception by the Treasury and the mints as bull
At price OF silver OF like 1ineness
The Secretary OF the Treasury advises a cons,li-
dalton OF certain OF the customs districts or the
country. and suggests that the President b, vested
with such power In relation thereto as is now given
hm In respect 10 collectors OF internal revenue by
section 3i4l OF the Revised Statutes The statistics
upon this subject which contained in his report
furnish OF themselves strong argument In defense
OF his views
:, At the adjournment OF Congress the number OF
inlernal revenue collection districts was 1875 BY
hAecative order dated June 25 1888 directed that
certain OF these districts be consolidated The re-
SUIT has been reduction OF one; third their mum.
Der, which at present Is but 81
THE MILITARY AND NAVAL ESTABLISHMENTS
FROM the report of the Secretary OF War It wi be
seen that In only single instance has there been
any disturbance OF the quiet condition OF our Ini.n
tribes A raid from Mexico into Arizona was mace
In March last by a small party OF Indians. which
was pursued by General Crook into the mountain
regions from which Il had come. It's confidently
hoped that serious outbreaks VIII not again occur
ana thatthe Indian tribes which have for 50 many
years disturbed the West VIII hereafter remain I'm
peaceable submission. ~
! again can your attention TO the present condi-
ten OF Our extended Scacoase, upon witch are 40
-iny large cities waoSo wealth and jsfxov nee tn