New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-07-05
NATIONAL DEBT And CURRENCY.

The financial situation at the close OF the
fiscal year, as set forth by the official state
ments, is more satisfactory than had been ex-
pected. The decrease in debt less cash during
the month of June was remarkably large,
500, $50, 726, and during the fiscal year $685.
471,449, leaving the net debt only S9SS, 49,
1872. For the first time since the close Oh the
war the debt goes below thousand millions,
and vet there is included nearly sixty-seven
millions of Pacific Railroad bonds which were
not formerly reckoned among direct obliga-
tons of the Government Of the interest-bear-
ing debt formerly recognized, only about seven
hundred and twenty-five millions remains,
while the debt bearing no interest and used as
currency, exclusive of notes and certificates IN
the Treasury, is about seven hundred and
ninety -four millions, against which there are
cash items of over six hundred millions. At
last years rate it would take only about eleven
years more to extinguish the entire interest
bearing debt, whereas it will be seventeen
years before the four-per-cent bonds become
redeemable.
The currency of various kinds in actual cir
culation outside the Treasury is officially re-
ported as S1,429,71S,378, decrease OF only
S1,475,275 during the month. The issues OF
silver certificates have increased S2,553,96O
and of gold certificates S591,620, while
S153,s74 more subsidiary silver has been put
into circulation. But S1,911,391 of the United
States notes have been taken in, and the sur
render of bank notes has amounted to S1,641,-
545. In addition the gold coin in circulation
has been reduced by Ss49,975, moro than
$500, 900 having been added to the stock
In the Treasury and the standard silver dol
lars in circulation have diminished S371,S1S,
tie stock in the Treasury having increased
S3,272, 900. The net change in currency OF
all kinds during the last year has been an in
crease of $4,000, 900 roughly forty millions
in silver certificates, fifteen millions in gold
certificates, and eighteen millions in legal
tenders, against decrease of twenty-six mill
ions in bank notes, and some minor variations
1t is not easy in view of these facts to be-
lieye that the country is suffering at present
for lack of money, and the year closed with
money markets fairly supplied. But there will
soon come a much increased demand on &C
count of movement of products, and it is in
connection with this demand that larger sup
ply of the circulating medium is thought
requisite. This at least may be said, that the
increase during the last year has been little
more than enough to balance the increase in
population, so that the actual circulation out
side the Treasury is larger for each inhabitant
than it was year ago, and the course OF events
during the last year has not disclosed any press
ing need of larger circulation. But the de-
mand from abroad which has caused some ex-
ports of gold during the last month, might
presently become sufficient to create some en-
barrassment, if no measures were taken to make
larger supplies of currency available. 1t is on
this basis and no other Of a strictly scientific
or reasonable character, that provisions for
expansion of currency are advocated.