The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1883-06-04
naht and Prosnaritn.


Since the 30th of June, last year, the
public debt has been reduced $1l4, 1874, :
575, or, in round numbers. by Sl15, 000,-
600, being an average of ESQ, 500 per
month, and at the rate of 1888, 900
per year. The highest point for the in
terest-bearing debt Of the United States
was in August, 1865, when it stood g.
So, $50, 295. The reduction since made
is 81, 1928, 1854 The annual interest
charge in 1865 was $3.50, 81, 697. At
the close of the fiscal year 1882 it was
but $57, 500, ITO, and now it is some 81
100000 less. The lowest rate of interest
paid in 1865 was per cent, the highest
was 7.3 per cent. the average was a
little over per cent; the lowest rate at
present is per cent, the highest is 81
per cent.
These figures are sufficiently striking
They do not indicate the highest wis
dom in the management of the national
finances, for many errors have been
made. The burden laid upon the peo-
pie has been needlessly heavy on &C
count of the depreciation of the Govern
ment notes previous to 1873 But the
enormous available resources of the
country and the capacity of our people
to bear without serious difficulty astrain
wholly unprecedented in economic his
tory are all the more proved. This fact
comes out still more plainly when the
history of our debt is compared with
that of England. Since 1857-twenty-
six wears the net reduction of the debt
OF England has been but $685., 900, 900.
In his latest budget the Chancellor of
the Exchequer announced project for
the further reduction in the next twenty
years of $850,000,000, making for the
forty-six years an average annual re-
duction OF a little over $50, 900, 000.-
During the eighteen years since 1865 the
average annual reduction of the debt OF
the United States has been nearly twice
that amount, or over $5S, 100000, while
last year the reduction of the interest.
bearing debt was over $175, 100000, oil
nearly six times the average annual re.
duction in Great Britain. As bearing on
the material condition of the two ma.
tions, it must, moreover, be remembered
that taxation in Great Britain is far more
carefully adjusted than in the United
States and its burden bears more lightly
upon the earning capacity of the PEG
pie.
If we compare the financial condition
of the United States with that of the
other great republic of the world, France
there is still more striking contrast -
France, like the United States, has haC
to struggle with the burdens of a gi
gantic war, and though civil war is fal
more costly than a foreign war, ever
when followed by such loss of territory
and such money indemnity as France
had to bear, France is to-day in far
weaker and more insecure position thar
the United States. The Government il
now engaged in the process of refund,
ing relatively small amount, some
$40, 900, 900, of the per cent. debt in.
to 4! per cents, and the measure is re,
garded as very seriously threatening the
stability not only of the Ministry but o.
the Republic itself. The debt being very
largely held by the smaller tradesme1
and peasants, who have put their mon,
ey into it at various rates of purchase.
from "a per cent. to above par, the los;
of one-tenth the annual income of the
| boDdholders creates the most.acute dis
content--a feeling wholly unnoticed il
this country, when by mere admins
trative act OF the Secretary of the Treas
ury the interest on over a Thousand
millions of the debt was reduced from
per cent, AZ per cent, and per cent
to 81 per cent, a reduction ranging
from 123 per cent. to 80 per cent, of the
revenue derived from thebonds. These
facts show how very much more closely
the French people are compelled tc
calculate their incomes, and how much
more seriously the exactions OF the Gov
ernment affect their comfort and theil
security.