The new dominion. [volume] (Morgantown, W. Va.) 1876-1904, 1891-11-28


/ In his optimistic speech at the
Chamber Of Commerce dinner Seerc-
tary Foster referred to the general
prosperity Of the country 1t was
noticeable that be had nothing to say
as to the condition of the government
finances. The Secretary, if he had
touched on the latter subject. could
not have continued in his optimistic
strain. While there is no cause for
serious alarm there is reason to feel
disguised if not disturbed over the
shrinkage Of the Treasury balance
The real state of affairs has been
known for some time to the leading
financial minds, but partisan press
has prevented the people at large from
realizing the predicament in which
the Billion Dollar Congress and the
pension pirates have placed Uncle
Sam. The Treasury, in spite of Mr..
Fosters arduous efforts, is again sail
ing very close to the wind. The Pres
ident, our Washington correspondent
tells us, may yet be compelled to fall
back upon the reciprocity clause Of
the Mckinley Tariff law and impose
duties upon sugar, hides, tea and cof-
fee to get money enough to keep the
wheels of government in motion.
The Treasury balance is steadily
shrinking. On September it was
$60,000,000, on October l it was less
than $40, 100000, on November it
was 500, 671, 92O, and to-day it is 1884,
343,306. The redemption of the four
and one half per cent bonds caused
the September shrinkage, but since
then the shrinkago is due to nothing
but the current expenditures of the
government.
OF the declared balance to day $14,
270,7lO is on deposit in national
banks, $l4,76l ,24S in subsidiary sill
yer and 1914, 1853 in minor coin and
fractional paper. This leaves less
than $5, 100000 of available cash, and
part of the pension money for the
month remains to be drawn. There
are but eleven days for the Treasury
to recuperate before more big drafts
must be made to meet the steady out
flow OF the pension payments.
The actual currency in the Treas
ury and its branches, without con-
sidering any liabilities except certif-
Gates, is $S,937,0 900. This is prac-
tically all the money the government
has to draw upon to meet demands.
There are $39,910,6l0 in gold certi-
Gates, but Secretary Foster is unwill-
ing to pay that out because it would
reduce by just so much his margin
of free gold. Such course would
reduce the margin to paltry 49,
100000. The margin of free gold is
already barely half what it was
year ago, little more than quar-
ter of what it was on March 4, 1889,
when the present administration
came into power.
Such is the condition of the ma
tional Treasury. The Secretary has
resorted to every expedient to pull it
through. He will probably succeed,
but the situation is far from being a
pleasant one There would be no
cash in the Treasury at all if he had
not zealously reduced the holdings
of national banks and the accumula-
ton Of subsidiary silver These two
items, five months ago, when the
present form of debt statement was
adopted, exceeded $44,000,000, and
were $40, 100000 more than the whole
Of the present declared balance.
A shrinkage of SIS, 100000 per month
will soon bring the department to the
end of its rope, in spite of every eff
fort to keep down expenditures and
husband resources. The Treasury
officials are hoping that the active
autumn months will bring increased
customs receipts and relieve the sit
uation. Thus far, however, the total
receipts for the month have fallen
$2,362, 900 below the expenditures.
That something will have to be done
to raise money to meet the outrageous
appropriations of the last Congress
is apparent. The imposition of du-
ties by the President under the re-
clause may be the easiest
plan, but it will be an open confes-
sion that this Wanted clause is
doleful failure. There is nothing in
the straitened condition of the Treas
ury to endanger general business if
a reduction of the gold reserve does
not force upon us silver basis. IN.
Y. Herald.