Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1889-12-05

Civil and cellaneous..........S7 81, III SOB 46
Increase 1896 go "a
War 6.9l2S3 "a
Navy Department.................. 4,452 81 &c
642 S99 81
,056, ,1S0 II
There wa. decrease in the interest ON
the public debt ei $371 ,352 "a.
The revenues for the present fircal year
are estimated at 1886 900, 900, and expendi-
lures at $293, 100000, leaving surplus of
$92, ,00o, ,000 or after the sinking fund is sup
piled, Of $43,678. .SS3.
SURPLUS AND REDUCTION.
OF the surplus and means of reduction
the Secretary says: "The accumulation of
money in the Treasury beyond the neces-
sites Of the Government endangers legiti-
mate business, leads to excessive and waste
full public expenditure, and to encourage
extravaganza in private affairs. In the
presence of such conditions it is manifest
duty To wisely guard against future need
less accumulation with its fruitful train of
evils. II a portion of the surplus revenues
can be used to enlarge our foreign markets,
and thereby advance our commercial and
productive interests, it is the part of wisdom
to so apply it. The Strengthening of our
coast defenses and the building up of our
navy, subjects of national concern, offer
further opportunity for wise expenditures
that would return money directly to the
people. But after making provision for
such expenditures as may be proper and
reasonable for these purposes, large an
nual surplus will still remain, under the
operation of existing laws.
THE reduction of the interest. bearing
debt of the Government by the purchase of
bonds is an expedient resorted to for
r1t,, IS /.
channels of trade. and is the only
means now open to the Secretary of the
Treasury for the use of this money To
require from him this measure of RESPONSE
bility and discretion is of doubtful wisdom.
The possible successful appeal to this dis
cretion tempts individuals to rush business
undertakings, in the belief that the money
in the Treasury will be used 10 avert
threatened disaster. In the absence of such
discretion in the Secretary, the possible use
Of this money would cease to enter into the
calculations of the business world. 1t is
msnifestly wrong to take money from the
people for the cancellation of bonds to the
saving of only about 2 per cent. of interest,
when it is worth to them perhaps three
times as much i'll their business. 1t is
rather through q reduction of customs re-
ceipts and internal taxes that the unneces-
sary accumulation of money in the Treas
ury should be avoided"
The Secretary then recommends the
abolition Of taxes on tobacco, making re-
duction of $32 600 900, and of the removal
OF the tax on alcohol used in the arts,
making further reduction of S., 100000.
TARIFF FOR REVENUE.
Treating of the tariff question, the Sec
tary deprecated the tanff for revenue as
follows: THE tariff for revenue only con-
templates such an adjustment of duty as
will yield the largest amount of revenue at
the lowest rates. 1t means the largest DOS
sible quantity of importaiions consistent
with the amount of customs revenue re-
ouired to defray the expenses of Govern
ment. If under the protection of the tar
iff $500, 900, 600 of importations would pay
an annual revenue of 100000, 900, to pro-
duce the same amount half the rates under
the tariff for revenue only would require
$500, 100000 of importations. The re-
suits OF this policy, in the case supposed
would be to take from the American pro-
ducers their home market for $500, 600, 600
on products and transfer it to their foreign
competitors, while it would thus deprive
our workmen Of employment. 1t would
also deplete the country of gold to pay for
foreign labor and material, which should
be supplied ct home"
The Secretary goes extensively into the
subject OF tariff inequalities and recon-
mends legislation for the improvement of
customs administration. Fixed salaries
are recommended for Collectors of Customs
The imports during the year amounted to
$745, ,131, ,652 and exports to $742 401 1915.
SUBSIDIES TO VESSELS.
Subsidies to American vessels are recon-
mended The Secretary says: American
vessels running between San Francisco and
Asiatic ports and receiving mail compensa-
ton Of say S14. AS 80 year, have to COM
pete with the subsidized ships of England
and other countries, and especially with
new line recently established for the ex-
press purpose OF preying upon our COM
merce, both on land and sea- This latest
and boldest attack upon our transportation
interest, is backed by subsidies of $500, 900
per annum on the line between Port Moody,
in British Columbia, and China and Japan,
and $500 900 on the Atlantic line between
Liverpool and st. Johns, New Brunswick.
The railroad which forms connecting link
to these two steamer lines, and thus gives
through route from Liverpool 10 China,
ha. been aided to the extent of SIG. .554 ,S04,
as stated in the annual report of the Pacific
Railway Company. During the past fiscal
year we paid to foreign steamers for carry
ing our mails 1896, ,5S3 81, and to our steam
ers S109,S28 II.
sILyEB PROBLEM.
After thoroughly discussing the silver
question, the Secretary recommends the
following plan: The issue of Treasury
notes against deposits of silver bullion at
the market price Of silver when deposited,
payable on demand in such quantities of
silver bullion as will equal in value, ct the
expressed on the face of silver, or in gold