Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1893-12-30
A BELATED REPORT.
Secretary Carlisle Tells of the
Treasurys Needs.
He Recommends New Issue of Bonds, n
Tax on Lcgacies and Incomes, and
an Increased Tax on
Spirits
OTHER Observation-Disclosures.

OTHER RECOMMENDATIONS.
WASHINGTON, Dec. 22.-The annual
report of Hon. John G.. Carlisle, secre-
tary of the treasury, was transmitted
to congress Wednesday.
The secretary estimates the revenues OF the
government for the hscal year which will end
on the Both OF next June at 1880 12 900, and that
the expenditures for the same period will
amount to t46S 900 leaving a deficit of S2S
O00,00O on tho year. He mentions that
rs "currency skies" issued in aid OF the
Pacific railroads, falling due within the
year 1894, TO, the amount OF s2,S62,O0O which
must be paid, at maturity, and recommends
that congress take action ut this session 10
provide for them He suggests as means of
enabling the government to promptly meet the
emergency and provide larger reserve fund
several courses OF action. One is the issue OF
per cent hve year bonds, in small amounts, TO
be disposed Of through the subtreasuries and
post offices to our own people. Another, the is
sue of fifty million dollars in one-year, per
cent bonds ut par.
Until the effect of the repeal OF the Sherman
silver purchase law is more fully developed he
does not consider II advisable to recommend
further specific legislation on that subject. He
favors legislation to authorize u more extended
use of silver certificates He refers to the
opinion OF his predecessor and OF the late attor-
ney general that the gain or segnorage result
ing from the coinage OF the silver bullion as IT
progresses constitutes part OF the general as
Sets of the treasury and states that he has
dered the mints Mt New Orleans and Sau Fran
cisco to be kept in readiness 10 commence the
COiHubo VI SnNcE al any
when required.
He champions the system OF substituting ad
valorem duties for SPECIFIC duties in the col
lection of customs, and recommends an In.
crease OF ten cents n gallon in the internal
revenue tax on distilled spirits; the imposition
of additional internal revenue taxes on cigars
and cigarettes, the imposition of new taxes on
playing cards, cosmetics, perfumeries, legacies
and successions and incomes derived from in.
vestment in stocks and bonds OF corporations
and Joint stock companies
In speaking OF the possible issue OF bonds the
sIF sl,A
the public credit nothing less than the exist.
ence OF great and pressing financial emer-
gency would, in NY opinion. Justify the issue
and sale o. any OF these classes OF bonds.
IF tie authority now existing should be
SO n.odii.d d as 20 empower the secretary of the
treasury TO issue the bonds in denominations
sums OF S25 and its multipes they could be readi-
ly disposed of through the subtreasures and
post oiicts without the agency or intervention
of banks or other financial institutions and
without the payment OF commissions Such
bonds would afford TO the people ut
surplus earnings into form OF Sc.
curlty, which. while IL would be perfectly
safe, would not only increase in value by reason
OF accommodating interest but be Mt all times
available Us the means OF procuring money when
needed, and the experience OF this and other
countries usttfles the confident belief that such
plan would be popular and successful Con-
gress alone has the power TO adopt such meas
ures rs will relieve the present situat ton and
enable the treasury 10 continue the punctua
payment OF all legitimate demands upon it. and
respt ctiully but earnestly urge that immedi-
ate attention be given TO the subject"
Secretary Carlisle says that ut the date OF
the resumption OF specie payments, January !,
lsIs there were sSioosl 0ld OF the old legal ten.
der notes TO be redeemed. and the secretary of
the treasury considered that SlOJ OOJ 900 would
constitute sufficient basis for the mnntcn-
ance OF that amount OF currency at par But
since July Il, 1880, additional treas
g5s ,Ss ron1 notes have s,5, as been issued to
there are now outstanding sl5SSs,a9l, making
the government obligations in currency Sig9 800 :
si0 IL addition, he says that there nave been
1a..ftNs Nsg.Ff
legal tender silver, upon which certificates have
been issued, to the amount OF 1854 l3S 5O4
With reference 10 this matter the secretary
Under these circums tances It is, in my opin.
ion, necessary not only that the secretary
should be clothed with full authority TO pro-
cure and maintain an ample reserve in coin but
that the purposes for which such reserve
as comprehensive as the duty imposed
upon him by the laS. The existence of
such authority in constantly available form
would OF itself inspire such confidence in this
security and stability OF our currency that its
actual exercise might never become necessary,
but the futllity OF declaring specific policy
and Withholding the means which may become
necessary for lis execution, is too apparent TO
require comment"
After detailing the recent efforts OF the
treasury department TO maintain the hun
dred million dollars reserve. he continues: so
long rs the government continues the uuwise
policy of keeping its own notes outs landing to
circulate as currency, and undertakes TO pro.
vide Tor their redemption in coin on presenta-
secretary OF the treasury TO possess the means,
or to have the clear and undoubted authority 10
secure the means which muy from time TO time
become necessary 10 enable him to meet such
emergencies us the one which hus recently oc-
Cured IN our tnanciul affairs"
The secretary says tnat the amount OF money
In the country outside OF the treasury on Deceul-
ber /, 1893. was sll2, ,4G9i7 greater than the
amount outstanding on November l. 1892 and
insists that it is greater than is required for
the transaction OF the business OF the people at
this timc This is conclusively shown, he says,
hN fhR for Nhn nDnsn 1sa= 11na "A
and is still accommodating, in the financial
centers To such an extent as TO constl'
in which it is deposited The secretary
says that the money does not create business
but business creates II demand Tor money, and
until there is such u revival OF industry and
trade us 10 require the use OF the circulating
mediumnow outstanding II would be hazardous
10 aroilrariiy increase us volume by law, or Il
make material changes in its character by dis
turDlng in any manner the relations which
tis different forms now bear 10 each other
secretary Carlisle says that one OF the prin
cipul diticulties encountered by the treasury
department results from the indisposition o
the public To retain standard silver dollars ant
silver certificates in circulation. The secretary
does not know why thus should be, and adds:
with the policy OF maintaining cquaitr IN
the excEangtabie value OF all our currency
firmly established ana the fur lher accumula
ton uf silver bullion arrested, there is no sub
staniial reason why the silver certificate
liberaly treated by the public US any Other
form OF note in circulation, and FOL
mand tor their permanent use In the daily
transactions OF the people have directed that
as far us The law permits, and rs rapidly as tn,
opportunity is afforded, the amount OF sucl
certificates of denominations less than ~
shalt be increased by submitting them fC
larger ones 10 be retired and lhat the small de
nominations of other kinds OF currency shall b.
retired as they are retired into the treasur!
and larger ones substituted in their places.
am OF the opinion that IL tins policy can b.
carried out 10 the extent OF supplying th
country with small silver certificates to al
amount sufficient u conduct ordinary cusl
transactions Of the people, and II, during III
sume time, certificates OF the largest denonina
lions wers issued in the.places OF Others retired
SO rs 10 encourage the national banks 10 hol
them rs parts OF their lawful reserves, the es
istblI difficulties would be removed, and ult
matuly u larger amount OF such currency tina
is now in circulation codld be conveniently an
safely used
I'm order that the department might be in
condition to comply promptly with any II
creased uemund there may be made upon II b
the public for standard silver dollars or silye
certificates, or that IL might take advantage Q
any favorable opportunity that may occur
put an uddluonnl amount OF such currency
circulation without unduly disturbing the MOI
etilrv situation, have caused large amOuL