The Kimball graphic. (Kimball, Brule County, Dakota [S.D.]) 1883-1905, 1883-12-14
not DO thus rapidly extingnished. Chief
among them is the fact that only by excessive
taxation is such rapidisv attsinsble.

not DO thus rapidly extinguished. Chief
among them is the fac, that only by excessive
taxation is such rapidly attainsble.
REDUCING THE REVENUE
In a communication to congress at its last
session l recommended that all excise be aboi-
ished except those reiat ng so distilled spirits,
and that a substantial reduction also be made
In the revenues from customs. A statute has
since been enacted by which the annual tax
and tariff receipts of the government
have been cut down to tile extent
o! at least fifty or sixty millions of dollars.
While have no doubt that still further reuuc-
TONS may be wisely made. do not advise the
adoption at this session of any measures for n
large diminutinn OF the national revenues.
The results of The legislation OF last session of
congress have not as yet become sufficiently
apparent to lu.ttfy any raalca! revision or
sweeping notifications OF existing law. In the
interval which must clare before the effects
of the act of March3, 1858, can be definitely
ascertalned, a portion, at least, OF this surplus
revenues may be wisely applied to the long
neglected duty of rehabili,atiug our navy snd
providing defe,ses for the protection of our
hsrbors. This Is a matter to which l shall
again advert Immediately associated with the
financial subjects just discussed is the import
ant question, What legislation is needed re-
Sardins tue rational currency? The aggregate
amount of bonds now on deposit in the treas
ury to support the national bank circulation liz
ABOUT 600; nearly $500, 600, 900
OF TINS amount consists of 8 psr ceuts, which,
a. aieiuS sEauGI, arc payable a. the
pleasure of the government. aud are likely to
De called i'll within less than four years, unless
meantime the surplus rcvenues shall be di-
minished. The probable effect of such an
extensive retirement of the securities which
are the basis of he national bank circulation
would be such a contraction of the volume of
The currency as to produce grave commercial
embarrassment How can the danger be obv!-
ated? Thu most ~efectual plan, and one
whose adoption at tho earliest practical
| o. -nnrT1n1fr GhOlt hnarf,lNr a..
already been indicated. If the reve-
nues OF the next four years shall
Kept substantially commensurate with the ex-
penses, the volume of circulation Will not be
likely to suffer any material disturbances; but
II, on the other hand, there shall be great
delay in reducing taxation, it will become
necessary either 10 substitute some other form
OF currency in place of the national bank notes.
or TO make important changes III the laws by
which their circulation is now controlled. In
my judgment the latter course is far preferable.
m to your attention tho very
interesting and thoughtful suggestions
on this subject winch appear in
the secretsry's report. The objections which
he urges against the acceptance of any other
securities than the oh iga.ions of the govern
ment itself as a foundation for national bank
circulation seem 10 me insuperable. For adj
verilng the threatened contraction, two courses
have been suggested, either of which is prob
ably feasible. One is the issuance of new
boads, having many years to run, bearing a
low rate of interest and exchangeabie upon
specified terms for those now outstandI ng. The
other course, which comments Itself to nv
own judgment as the better, is the enactment
o! o law repeating the tax on circulation
and permitting banks to issue notes
for an amount equal to 80 per cent of tho mar
ket value, ns'ead of, as now, the face value o.
deposited bonds. 1agree with the secretary in
the belief that the adoption of this plan Will
afford the necessary relief.
THE TRADE DOLLS
The trade dollar was coined for the purposes
OF ilade III countries where silver passed at its
value, ascerrained by its weight and fitness.
1t never had a legal tender quality. Large
numbers OF these coins entered, how
ever, into the volume of our currency
by common consent. Their circulation in
/ domestic trade has now ceased, and they have
become a disturbing element. They should
not longer be permitted to embarrass our chr
rency system. l recommend that provision for
their reception by the treasury and mints as
bullion at a small percentage above the cur
rem! market prices of silver of like tineness.
CUSTOMS DISTRICTS.
Inc secretary of the treasury advises a COM
hination of certain of the customs distress
Of the cou try, and suggests that the president
be vested with such power in relation thereto
as Is now given him in respect to collec-
tors OF internal revenue by Sec.
1881 Of the revised statutes. The
statistics on this subject, which are
contained in his report, furnish of themselves
a strong argumentin defense of his views. At
internal revenue coIlection districts was 1875.
BY executive orders dated juno %, 1883, l
directed that certain of these districts be con-
soildated. The result has been a reduction of
one-thlrd their number, which at present is but
eighty-ttree.