The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1884-09-17
THE TREASURY SURPLUS.
10 De Editor d the lndianapoli. JournaI.


Colonel Gray, in his speech at Medora, last
Saturday, said that there is in the United
States treasury $500, 900, 900 that has been
collected from the people by unjust and un-
equal taxation; that this money is living there
useless surplus, and that under Republican
management it will still increase indefinitely
and without limit.
. He said that the treasury ought to be empty;
that all this money should be in circulation
among the people; that such an immense
treasure was an outrage, and could only be
remedied by a Change The question de-
sire to have answered is: Do not the green
back and gold and silver certificates represent
large part of this so-called surplus, and is it
not circulating largely in this waya Some
persons say that this $400, 000 600 does not in
clude the money deposited to secure the green
back and certificates. Please answer me-. as
desire to have an authoritative answer.
w. N. BEEzLEY.
FIT. RITNER, Ind, Sept. Is.
Mr., Hendricks has been making similar
false and demagogical statement to the
people. According to the public debt state
ment of Sept /, there was in the treasury a
total of $414, 541, 952 81. OF this amount
there were of gold and silver certificates $242,
851, 841. 90, which amount is practically in cir
culation, added to the legal-tender notes and
national bank notes forming the currency of
the people There are also of United States
notes, held for redemption of certificates of
deposit, $14, APO, 900; this amount is not the
property of the government but belongs to
banks who have placed them on deposit.
There is, also, interest due and unpaid,
81, 685, STATS. debt on which interest has
ceased, $14, 1875, 5S5 60, and interest on that,
1922, 410.67. These are the items constitut-
ing the treasury surplus. 1t will be seen that
the actual cash balance is but $141, 072,-
541.26, all the other items being COW
cred by actual liabilities, which are
due on demand. Against this cash balance Of
$l4l, 100000, in round figures, there are out
standing legal tender notes, $346, 739. $40, and
fractional currency, $6,978, 001.31, or total
of 1858, 100000. To secure this amount of
demand notes the Treasury hoids tie cash
balance Of $140. 900 Or, Or little less than
40 per cent This per cent. sometimes falls
as low as 80, and when it goes above 40,
and surplus accrues beyond the amount
| believed necessary to secure the de-
| mand notes, there is call for bonds.
and SO much Of the national debt is paid.
TIE government stands pledged for the re-
demption on call Of 1858, soc, 900, and to make
that pledge good it carries on hand reserve
of $4,000, 000 Is there prudent banker
who will do business on less reserve than 40
per cent. Of his liabilities9 Colonel Gray is,
! or has been, a banker. Will he say to any
| audience that it is safe to carry less
reserveY Would the United States notes be at
| par were this cash reserve dissipated, as these
Democratic statesmen proposef How long
would it be before these legal tender notes
| would be the sport of spectators, and fall
with the rise Of gold-for which there would
| be great demand whenever the paper fell be-
| low the par mark-to as low figure as they
did when Democratic rebellion beat them
down to thirty-fve centsS The legal-tender
notes forced below par, because Of the disap-
| pearance Of the reserve, the national bank
notes go with them, and the whole currency
| system is upset and becomes chaos, in which
spectators would acquire wealth and the
common people would be ruined This treas
ury reserve was accumulated by Republican
| officials, under Republican policy. II was tn