Evening star. [volume] (Washington, D.C.) 1854-1972, 1884-12-01
THE NATIONAL FINANCES.
Annual Report OF ts,e Secretary Of 81,
Treasury.

THE TARIFF CONSIDERED N CONNECTION wrrH OUR
FOREIGN TRADE-nE PROPOSES MODIFICATION
OF THE TARIFF LAWS As A REMEDY FOR THE DIS
TREss IN OUR MANUFACTURING INDcsTgT-HE
THINKS TEE UNITED STATES Is CERTAIN TO RIVAL
ENGLAND N HER FoREIGS CcaGERcE-IE URGES
THAT GOVERNMENT AID BE- ExTEHpED TO AMERI-
CAN sHTPfING-TIREATEFE DANGERS FROM THE
CoINAGE OF sI.vER--orHEg IMPORTANT SUBJECTS
DISCUSSED by THE SECRETARY.
The annual report OF Hon. Hugh McCul,oah Sec
Rotary OF the Treasury on The state Of the national
finances which accompanies the Presidents mes
sce TO Congress- contains sixty printed pages, and
Is unusually interesting. it discusses at consid-
erabls length various questions OF great pubic I'M
portance. The ordinary revenues OF the govern
ment from all sources for the fiscal year ended
June 80, 1884, amounted 10 s3i55i9 81 OF which
the largest items were Sa5 05 1910 from customs,
and Sial $50 0T2.5I from internal revenue, the re-
mainder being derived from various miscellaneous
sources, Including 1879 ID from the District OF
Columbia. The total ordinary expenditures were
Ssso9l6, So, leaving surplus OF s57 COS 1860
OF this surplus S3466 5ii.O9 was added TO the cash
in the Treasury, the remainder being applied TO
the redemption OF bonds, certificates and notes.
$50 $50 alone being used III redeeming bonds of
the loan OK July la, l6s 1t Is estimated That the
requirement OF the sinking fund for the present
fiscal year will be SAT GO Is, OF which there has
been applied during the first four months or the
previous fiscal year there vas net decrease in the
receipts froln all sources OF $40 712 o. and net
decrease In expenditures OF s2l Isl Sa32 For the
present fiscal year the estimated revenues, based
upon the receipts for the first quarter. amount to
SS50,0o0,000, including SlS5 100 from customs,
SIZE, 500 from internal revenue and 81 800 900
from the District Of Columbia The expenditures
for the period are estimated at se9o6aO 20 49,
leaving an estimated surplus Of S3s s79, 1884.
THE ESTIMATED SURPLUS IN 1886.
For the fiscal year ending June 30, 1886, the estf-
mated receipts are $3.50 0OJ 900, and the estimated
expenditures received from the several depart
ments, 1891 1914 25 leaving an estimated surplus
OF only s6.0 63575 The estimates submitted by
the several executive departments for the fiscal
departments FOR the fiscal year 1855 by more than
40,000 co., Referring TO the fact that appropria-
lions usually TALL short of the estimates The Secre
tary thinks IL may be fairly assumed that the ex-
penditureS for 1886 will not exceed the actual
expenditures for the present year, which would
million. The estimate OF receipts from customs
Tor 1885 is placed at $1S5 the for the
preceding year, which is 100000 less than the
actual receipts from customs Tor 1884 The value
OF dutiabe imports for the years 1854 and 1885 has
been much reduced by The unusual depression OF
business, which. we may fairly hope, will not long
continue. This reduction in 1881, as compared with
1889, was nearly $4,000, OOO the average duty on
which would amount to more than SIG 900 900 1t
seems safe TO assume, therefore, the Secretary says
that the surplus revenues for 1856 will be more than
900 600 During the year ended october 81 1884,
United States bonds were -edeemed or Cancelled to
y
the annual interest charge was s., 203 ,668
SUBJECTS DISCUSSED IN THE REPORT
After giving summary OF the financial opera
lions of the government, OF which the foregoing is
synopsis, the Secretary says:
GAS / am to occupy for very brief period only the
Office recently made vacant by The lamen5ed death
OF one distinguished gentleman and tn. acceptance
by another scarcely less distinguished OF a place
more congenlal TO his taste, 1t might be becoming
In ME to contine my report TO the foregoing exhb
rs and presentation OF the reports OF The heads
OF the various bureaus, which abound In valuable
Information in regard TO the condition of tho de-
partinent and TO other matters OF interest to Con-
greSS and the public.
There are, however, some subjects OF 80 great
Importance that do not feel at liberty to With
held an expression OF my views upon them, short
s has been the time for their consideration These
subjects are: list. Our foreign trade and taxation
Cd. Our merchant marine. 3D. The public debt
and the condition OF the Treasury. 4th Our ma
t1Onai banking system
FOREIGN TRADE AND TAXATION
After referring TO the condition Of western farm
ers in early days. when there were no means of
transportation and no market for the crops, the
Secretary says that the condition of the manufac-
curing Interest OF the United States is similar
some respects TO the condition OF the agricultural
farmers then needed was market for their crops:
what manufacturers now need is market for their
surplus manufactures. After tracing the growth
OF our manufacturing industry, the foundation of
which, the report asserts, laid in New England
under the first tariff Of protective character and
which was stimulated during the civil war by the
demands OF the government and the high tariff,
and after the war by extravagant expenditures in
duced by superintendent currency, the report as
serts that the time has now come when the manu-
featuring industry Of the United States is in dire
distress from plethora OF manufactured goods. So
large ana widespread mas this industry become, SO
interviewer is II with other industries so essential
is 1t to the welfare OF the whole country, that 1T
cannot be seriously depressed without in1uriously
affecting business throughout the Union.
1.-THE all-important question, therefore that
presses itself upon the public attention." the Sec
rotary says, ais how shall the country be relieved
from the plethora OF manufactured goods. and how
shall plethora hereafter be prevented? 1t is obvious
that our power to produce IS much in excess or the
present or any PROBABLE future demand for home
consumption. The existing iron cotton ana wooden
mills ii EMPLOYED at their full capacity, could meet
in six neutrality-suspicious. in shorter time-the home
demand for year. 1t is certain, therefore, that
unless markets now practically closed against us
are opened, unless we can share in the trade which
is mOnOpoZed by European nations, the depression
now SO severely felt win continue, and may become
more disastrous.
The question how shall our foreign trade be in.
creased is the question which now comes to the
front and demands prompt and Careful consdera-
tlon manufacturers are primarily Interested, but
the whole country has stake in it's solution. In
VOWED, tnasmuch as the relations between it ana
our foreign trade are so close that they cannot be
except so far as 1t stands in the way OF 1nterna-
tionai trade. II the duties upon raw materials are
an obstruction, those duties should be removed. II
the duties upon other articles are an obstruction
they should be modified. Whatever may be re-
quired to increase foreign trade whether 1t be
repeal or modification OF existing duties, should
be demanded by the manufacturers themselves
How, then, snail the Information required for rll
understanding Of what stands In The way OF an in
creased expectation OF our manufactured goods be
obtained? 1t may not be proper for to offer ad-
vice On this point but cannot forbeer to say that
can see no better means than by
TIE APPOINTMENT OF COMMISSION,
composed Of men not welded to the doctrines Of
free trade or protection -fair-minded men. who
would prosecute the inquiry thoroughly, compre-
hensibly and impartially. II such commission
should be created, it should be done without
unnecessary delay.
1t is true that previous commissions have not
accomplished all that was expected Of them. The
OF this partial failure it Is not necessary to
| the appointment Of such commission as has been
suggested unless something better can be devised
1t is very clear that what Is needed cannot be
accomplished through the agency OF the COM
mtttee on ways and means. So vast in its COM
prehensive reach is the question to be investt-
policy OF other Nations that this committee would
lack the time required for its thorough tnvestiga
tion. Besides, the committee on ways and means
Is usually appointed to sustain measures to which
the party in control in the House is pledged
rather than to give to subjects referred to it that
impartial consideration which is needed for correct
conclusions Nor is the fact to be overlooked that
even constituted as this committee has been. and
able as have been It's members, there has rarely
| II ever, been committee which so reflected the
sentiments or commanded the respect OF the
House as to be able TO carry through without
important changes the bills which It had prepared
ills, therefore, obvious that some other agency
than the committee on ways and means must DO
resorted to in order that tho House may have the
Information absolutely needed for correct concu-
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