Evening star. [volume] (Washington, D.C.) 1854-1972, 1893-12-28
The Balance Lower Than Has Been
Known in Many Years.
JANUARY PAYMENTS TO Be MADE
Will Call for the Disbursement OF
Large Amounts.
A LOAN LIKELY TO BE MADE.


carried 1t down to sSs.914. O96, of which $751;
o24'96 was In gold and sass, 800 In cur
rency. This is the smallest currency bal
ance available for many years. but the ac-
tual amount in the treasury and its branch
es Is trifie more than the figures on the |
books, because Of amounts set aside against |
demand liabilities which have not been pre- |
scented. The United States notes in the |
treasury cash Were 81. As, 1886, the Sherman |
silver notes, S2,6SS, LIB, and the silver GER |
tificates s.. 716.5O1, making a total of Sl2-
s62O6 This would be a very respectable |
working balance for every day transactions /
If it were not for the large amount tied I'D !
in money which is in process Of redemption |
This amounted to about s., $50 600, and re-
duced the actual currency. even when GER
tain demand liabilities were disregarded. to
about $7.5O0,OOo.
Excess of Expenditure.
The expenditures this month have exceed |
ed the receipts by the amount Of s., 81. 900, |
and II Is a puzzling question how the treas |
ury can run on much longer without a new
supply of cash from outside the usual
sources of revenue. The customs receipts
thus far this month have been y7.sls. 600, |
and will not exceed s9.O0o.0O0 for the month. |
This is the lowest record for any month
since 1855. when the population OF the
country was about half what II is today, |
and Is little more than half of the customs
receipts for December of last year. A fall |
ing of Of six millions a month cannot be
endured much longer without the complete
exhaustion of the gold reserve, and one of
the subjects which will be seriously discuss
ed at the cabinet meeting on Friday will
be the promptest way OF meeting the exist
ing emergency.
January Payments to BE Made.
Interest rayneptS ~ the a,,o,,pt - 49,.
ly $6,OV0.Oo0 on the per cent bonds and the
Pacific railroad skies will he due on Janu-
airy i, In addition to twelve or thirteen mill
lion for pensions and the usual depart
mental expenditures. The suggestion of
Secretary Carlisle that treasury bills re-
deemable after one year at the pleasure OF
the governmnt be issued in discharge OF
government obligations to those willing TO
receive them or sold at par in the market.
Will undoubtedly be adopted and immediate
action urged upon both houses of Congress
The silver men are likely to meet such a
proposition with amer dments providing for
issuing certificates against the seigniorage
bullion In the treasury, but there is no in
dication at present that President Cleve-
land will consent to such a plan OF meeting
the deficit
An Issue of Treasury Bills.
With the gold reserve already reduced to
$s2.OO0.OO0 and carrying the weight OF
$S46.OOo,0O in United States notes ana
$l53,0OO.OO0 In Sherman notes, a further
issue Of silver money or money redeemable
In silver is considered peculiarly unsafe
at the Treasury Department. IL $5oOo0,Ooo
In treasury bills could be issued. replenish-
ing the cash reserve by that amount. the
gold fund could be increased by husband
ing the gold received at the custom houses
or by exchanging currency for gold with
the banks without any direct legislation
regarding the reserve. New silver issues,
II il feared. would cause another gold panic
in the present reduced condition of the
treasury cash. and would cause a run upon
the gold, which would soon exhaust the
nominal supply which the government now
has on hand.
Relief Needed.
1t is generally admitted that the treas
ury should have relief before 1t can be OBJ
tanned from the proceeds OF new taxes.
The experience of the war showed tina
collections from internal revenue and Gus
toms did not essentially swell the receipts
until some time after the enactment OF the
laws. The only chance for an immediate
revenue without some form of a loan sp-
pears to lie in the manipulation of the in
ternai revenue tax on whisky. A sharp
increase of the rate, TO take effect on an
whisky on which the tax had not been
paid at the time of the passage OF the BILL
would probably result in emptying the
warehouses; ana pouring money into the
treasury sufficient for every immediate re-
quirement. The speculative movement once
over, however, the internal revenue receipts
would fall lower than before and new re-
sources would have to be sought to again
replenish the treasury.
A Loan to He Authorized.
While II is probable that the ways ana
means committee will adopt the suggestion
of Secretary Carlisle that the whisky tax
be increased from % cents to 81 per gallon.
this will probably come after a temporary
loan has been authorized. and no encour-
agement will be given to spectators In
whisky certificates. The silver men are
likely to oner great variety of PROPOSE
lions as amendments TO any bill providing
for a loan, but the President is disposed to
take the same firm position he took regard
ing repeal of the silver purchase law and
to insist that the loan be authorized to
meet the absolute necessities Of the treas
ury without its being coupled with any
concessions to silver.