The Princeton union. [volume] (Princeton, Minn.) 1876-1976, 1895-12-19
UNCLE SANS CASH
SECRETARY CARLISLE'S ANNUAL RE-
VIEW OF FINANCES.
The Secretary States That 1t Would
BE Difficult to Devise q More In
convenient, Expensive or Dan-
GerOus System Than the One
lib Now In OperatiOn-Some Changes
+ Are Recommended

ii Now In Operat1on-Some Changes
/. Are Recommended.
Washington, Dec. 10. Secretary
Carlisle's report was sent to congress
to-day. 1t shows that the revenues
of the government from all sources
during the last fiscal year amounted
to $3.50, 1878 ,203. The expenditures dur
ing the same period aggregated $433,-
17S,426, leaving deficit for the year
Of 81, 805, 223. AS compared with the
fiscal year Of 1894, the receipts for
1895 increased $17,57O,7O5, although
there was decrease Of $11 ,329,0S1 in
the ordinary expenditures which is
largely accounted for by reduction
Of $11 ,34O,O55 on sugar bounties. The
revenues for the current fiscal year
are estimated upon the basis OF exist
ing laws at $431, 9O7,4D7 and the ex-
penditures at $44S9O7, 4O7, which will
leave a deficit of $17,OO0OOO. For the
coming fiscal year ending June 80,
1897, the secretary estimates the re-
ceipts at $464, 1913, 12O, and the eXpend-
lures at $457 1884 1893, or an estimated
surplus Of $69OS,926. The secretary
states freely the facts concerning the
issues Of the bonds during the year,
the particulars of which have already
been reported to congress. The sec
rotary devotes large share of his re-
port to discussion of the condition
of the treasury and the currency, in
the course of which he makes an ex-
haustive argument in favor of the
Retirement of the Greenbac1ks.
'"The cash balance in the treasury
on Dec. 1, 1885," he says, twas $177,-
4O6,3S6 being $9S,O72, 42O in excess Of
the actual gold reserve on that day,
and ST., 4O6,3 1886 in excess of any sum
that it would be necessary to use for
replenishing that fund in case the Sec
rotary should at any time be able to
exchange currency for gold. There is,
therefore, no reason to doubt the abil-
fly of the government to discharge all
it's current obligations during the pres
ent fiscal year, and have large cash
balance at it's close, without imposing
additional taxation in any form upon
the people, but adhere to the opinion
heretofore expressed that the secre
tary Of the treasury ought always to
have authority to issue and sell or
use in the payment of expenses, short
time bonds, bearing low rate of in
terest, to supply casual deficiencies in
the revenue.
with a complete return to the nor
NAL business conditions Of the coun-
try, and a proper legislative and ex-
ecutive supervision over expenditures
the revenue laws now in force will,
in my opinion. yield ample means for
the support of public service upon the
basis; now establi shed; and upon the
assumption which seems to be justi-
fed that the progress now being made
toward the restoration Of our usual
state of prosperity will continue with
out serious interruption, it is estimated
that there will be surplus of nearly
100000 during the fiscal year 1897.
During the fiscal year 1894 and 1895,
the ordinary expenditures of the gov
eminent have been decreased $27. 49,
6562O. as compared with the fiscal
year 1898, and it is believed that with
the cooperation of congress,
Further Reductions
can he made in the future without
impairing the efficiency Of the public
service. The large withdrawals Of
gold in December, 1894, and in Janu-
airy and the early part Of February,
1895, were due almost entirely to a
feeling Of. apprehension in the public
mind, which increased in intensity
from day to day until it nearly
reached the proportions of panic,
and it was evident to all who We're IA
miliar with the situation that unless
effectual steps We're promptly taken
to check the growing distrust, the gov
eminent would be compelled within q
few days to suspend gold payments
and drop to a deprecated silver and
paper standard. More than $43.OOO,OOO
Of the amount withdrawn during the
brief period mentioned was not de-
manded for export, but was taken out
by people who had become alarmed
on account of the critical condition of
the treasury in it's relations to the
currency of the country.
"The purchase of 100000 ounces Of
gold followed, it being in the con-
tract that not less than one-half Of the
gold was to be procured abroad. but
after large part of the gold had been
furnished from abroad, the secretary,
in order to prevent disturbance in the
rates of foreign exchange at a critical
| period, and avoid condition which
would force gold exports and conse-
quent withdrawals from the treasury
acquiesced in departure from the
literal terms Of the contract, that one
half Of the coin should be procured
abroad, and accepted deposits of gold
| then held in this country to complete
the delivery: Ordinary prudence de-
manded that the success of the plan
! to protect the treasury against with
drawa]s should not he endangered by
insisting upon a strict compliance
with all the details of the contract
especially as the government could
sustain no loss, and the whole amount
of gold stipulated Tor was secured.
Defects in Currency Law.
'"The amount Of bonds issued under
this contract was $62,315, 400, and the
amount of gold reserved was $G5.116.:
24402. The beneficial effects of the
transaction were felt Immediately, not
only in this country, but in every 9th.
err having commercial relations with
us. . -
coincidence in our securities was al
once restored and these encouraging
indications of increasing prosperity
still continue, and it is reasonably Ger