New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-11-12
THE QUESTION or BONDS.

Il is moi difficult 10 understand why the Al
ministration shrinks from another issue Oh
Government bonds. The step could only he re-
gardcd aS most humiliatinE confession "f
the failure of the party in power to provide ior
the needs of The Governments 1t Is notorious
that the Administration utterly failed 10 oplalh
from "A Congress Democratic in both branches
any authority 10 issue bonds. Though Win Such
authorization terms much more favorable 10
Government might have been made than are
Dossiblc under die act which fitted the cohdl-
tons existing twenty years ago. Inc opS'iH''
refusal of the Presidents party Ia make Su'h
provision was not for lack Of earnest represent
tations by the Administration, and the serious
loss which the Government would incur
in issuing bonds on nccdlcs>ly uniaN"fahle
terms were made known 10 Congress- but Inc
intense hostility Of the Populist and Demo
cratic haters of bondholdors made il simply
impossible 10 get any reasonable action
II is likely that Secretary Carlisle realized
the intensity of this feeling more fully IMAM
thp President II would therefore mol ne
strange it, as some now report the president
has been taking outside advice about the mat
fer without consulting his Secretary OF me
Treasury at all. Ordinary respect Tor great
Office which is in some maticrs made lhu'p'h-
dent OF the President 10y law might nave
promptod "A different course But it Is ho''-
rors that in regard to the payment "l lE'ds-
ury notes in silver and the bill 10 com the
seignioricc the opinions Of the Secfc'ar! were
not those afterWard expressed ny me lr'Si-
dent. In the last campaign Secretary CARLISLE
was credited by Democrats with strong ne
sire to help his party hy speaking IN New
York bur directions appear 10 have p''h IS
sued by the President which restricted Su'h
"pcrn;ciouS activity on the part 81 MS primer
nal suhorlinatcs If some differences OF reel
ING and opinion exist the President Is qui''
likely 10 take his own course without regard
10 tie ideas of The Secretary.
He has been much impressed. one may readily
believe. with the idea that an issue Of bonds
would be helpful to the stock market ana il
such branches Of business - are most affected
by the market for securities. If the SUGAR
Trust whose wishes he carefully collSidcrcl
in regard 10 the Tariff bill has now in mind
an operation 10 which a general advance IN
prices would be helpful or if his close friends
of the Chicago Gas Trust have such an opera
ton in mind. they would doubtless De ahi'
10 command The Presidents attention. Their
reasoning would be that, if it is going 10 be
necessary m any time within the next ciShi
months TO issue bonds in order 10 protect Inc
credit of the Government and the soundnrSs
of the currency, the negotiation may be made
more safely now than later, because money Is
now abundant and rates are low. While e1-
ports Of gold may be expected 10 begin before
long and 10 continue until next summer.
1t is a more serious question whether borrow
ING If money by the Government al thiS time,
so soon after the enactment Of n new revenue
law would tend 10 strengthen the public credit
or to restore confidence. 1t would be not mere
" an admission Of Illuminating failure, but also
Of weakness. TO be obliged TO borrow again
this year. after an entire year spent IN revising
the revenue laws, would surely manifest such
incapacity in government rs might well IN
crease rather than lessen approximations Yet
the President may conclude that the amazing
ncapacity since it exists may Is well be rccoc-
nized and met with public notice 20 all the
world that the Government is still able TO
! borrow money. The decrease IN revenue mas
| been so great that the Government cannot well
escape acknowledgement of financial weak
ness lis requirements are more than S3O.OW,-
/ 600 per month. while for the past two months
| the income has been about Si5OoOOo0 indicat-
inc a deficit of more than S7.50p0Oo monthly.
| No one can guess what the income tax will bring
! in after January l. or to what extent the On
| largemcnt Of dutiable imports will increase
the revenue There seems TO he litlc room 10
douht at all events. that the President is Sc
riously considering an offer of bonds, notwith-
standing the obvious fact that ii would be Il
confession of the incapacity Of his party.