The Providence news. (Providence [R.I.]) 1891-1906, 1893-08-31
The TfeaSury'S Only Money to Pay
Debts Is the Gold ReserVe.
A DEFICIENCY OF sll,5O0 900.
eecretary Carlisle Hopes Congress Will
Voluntarily Authorize an Issue OF
I,onds-Present Administration the
First to Encroach Upon the Reserve.


WASHINGTON. Aug. 3l.-The treasury
figures to be issued today at tho close OF
business for the present month, showing
the financial condition of the govern
ment, will furnish most important and
alal mirg announcement TO the country
Tbe receipts from all sources will not
meet the expenditures by Sll.5O0, o00
This is for the Period from the beglnni Y
Of the present fiscal year to July |. Not
only is this fact, but. ccmpared with
the receipts OF the corresponding period
of last year, n ing off will be exhibscd
amounting TO $l3 O00,0 900
With this statement given to the pubic c
IL will no longer be case of wouder that
the government has had to use it's gold
reserve to NEE cure demands and
that the country il faced with tn ques-
tion as to how much OF the gold reserve
the secretary OF the treasury will he
compelled TO use to main ain the cred
it OF the United States. or how far he can
carry the invasion of that reserve with
outether impairing the parity or the va
rious kinds of currency, or being Obliged
TO appeal to congress for authority 10
issue bonds to bring back gold to the
treasury vaults.
The gold reserve Is now being rapidly
encroached upon. and within short
time will be reduced to 500. .000, 600
There is no Immediate prospect that
the receipts of the government from
customs, or from internal rtveuue. will
improve. The pr oportion Of the ortage
is greater in customs, az ouniing TO
about two-thirds OF the totnl sum lost,
the other third being in int .rnal revenue.
Th 8 condition Of affairs has been fore cen
for some time iy Mr.. Carlisle. who views
the outlook with the gravest apprehen-
sion.
The present invasion of the re erve is
L.- x.~l1 4 p.
actual poverty OF the govern ment through
the + ling of in its receipts and the
necessity OF paying ITS current expenses
In cash. The fact thai there Is no Uther
cash on hand than gold, excep the
fractional silver which is not avail
able for payment in large sums. forces its
issue. There is believed to ie only one
way to meet the emergency. That is to
issue bOnds While the secretary OF the
treasury has been understood to have the
power TO do this, yet, with congr, ss la
session. no secretary would venture to
assume thal respou sibility.
Immediate action is required, and il is
estimated that 500, 600 of bonds mt
the utmost. aud S50,000000 at least.
must be disposed OF in oriIer To rccoup
the treasury funds. The secretary
has great delicacy In calling the
attention OF congress TO the situa-
ton in which ne fpds himself aud he
Nculu uOb TekbTd ~ dullss III tue FeSOlu-
ton offered by Senator Stewart were
adopted. This resolution calls for a
statement from the secretary of the
treasury Of the estimated receipts OF
the government and its expenditures
Tue subject has been canvassed offi-
cially far enough for a conclusion as to
the character Of the bond that ought to
be issued. IL is believed that - 3 per
cent. bond. redee,nable at the will OF the
government after one or two years, coul d
be disposed OF readily. IL is not neces-
sary that gold should be insisted upon in
payment for the proposed new oan. as
currency would answer every purpose OF
the govrrnme q.
A special message to congress at ap
early date on tiis subject need OCCASION
no surprise, unless congress itself should
take the initiative.