New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-03-20

:. gill be observed that the maximum surplus on
,.b I was in 1883, and that nearly 80 per cent OF
deposited in National banks where it drew no in
.ss. although the Government was paying interest
'. ,he rate of per cent and IL per cent on bonds
s The purchase of which the surplus was applicable
De irportant to show. therefore, to what extent the
,.srsst-bearing debt reduced in the six years
mentioned -,
.,ss in respect TO the policy Of buying bonds at a
r,omIum. at least until after all the per cents had
hsen retired for they were subject to call and yet on
March l. 1887, there were nearly S53OOooOo OF those
,ords unredeemed although the surplus revenue on
,hsi date amounted to nearly $93,0OOOOo. In other
worts. $50, 100000 lay idle in the Treasury which
,,h+ have been applied to the redemption OF bonds
,snc interest at the rate of per cent, amounting
Al 81 $50 900 year. In the two years the deDt hao
,ssn reduced by the sum of Sal ,o3G,3O0 OF whlch
cor -o9 $50 was on account OF the Sinking Fund, and
onlv s4974275O by purchases from the surplus reVe
nue.. oo- ,oo ,..,u. 40 lac,
In the next biennial period, 1S87-'o9 being the as
,or NJ the Cleveland Administration, the principal OF
49, interest Fearing debt was reduced by the sum OF
s,os $50 OF this total $52,' 5000 consisted OF
ner cents redeemed at par. The total reductoh ol
nrincipal on account of the Sinking Fund was So@'
ZIG $50 and the amount of bonds purchased Win inc
surplus revenue $113,762.O 900. For the PEI
cents bought with surplus revenue the average pre-
mimi maid had exceeded 20 L. per CeHl' dIu 'iO q"
nual saving of interest all bonds thus purchased
uas 81 491 ,O64. But March A. 1889. the surplus
amounted to S13O,67340S, of which S43'3o4'7oo was
donosited in National Banks which paid 10 interest
although they exacted interest from individuals to
whom the money was loaned
In the next and last biennial period. lS8Q01, bene
the FIRST two years OF the present Administrations the
nrncipa of the public debt was reduced by the sum
NJ 1928 614s5o-a reduction effected wholly by the
nurclase of a and 41-2 per cent bonds. The total
reduction of principal on account Of the sinking fund
was $50 S25 $50 and the amount OF BONDS pufcnasea
Win surnlus revenue Sl44 1S04OO For the ~ =.
1880 of per cents purchased with surplus revenue
the average premium paid was little more uah
Is 10 per cent about 10 per cent less thh Ie
nremiun paid in the preceding biennial perOd. Inc
annual saving OF interest on all the bonds pufcnaSo
with surplus revenue in the last two years Is Tol-o
sol. or 81 635, 527 moro than the annual saving o.
interest on the bonds thus purchased lii the last Two
years of the Cleveland Administration Inc amount
on deposit in National banks on March l. lcol, was
S24 I66 1913 against $43,394. on March l. lSeo'
The aggregate amount Of money applied TO the SuuG;
ton of the public debt in the two years enGed Marh
/ 1901 was $3.50 100 O76. being about SG8Ooo'o0I
greater than the aggregate amount so applcd III Le
twO wears ended March l. 1o6o, and Sl24,ls s'''o
greater than the amount thus applied in the first TWO
years of the Cleveland Administration.