Evening star., 1896-12-21
CARLISLE'S REPORT
The Greenbacks Must Be Retired,
he Says.
HAVE Been REDEEMED TWICE over
Increased Revenue and Strict Econ
omy Restoring Hope.
TARIFF FOR REVEN NUE

Secretary Carlisle in his annual report on
the state of tha finances shows the revenues
of the government from all sources to have
been $409 .474 4OS and the expenditures $43f,-
CTS 654, which leaves deficit for the year
ended June 80, 1896, of 81, ,203 ,245. In adj
Gition to the ordinary revenues collected
during the year. the cash in the treasury
vas increased by the followings sums:
From the sale of $1OO,OOO.OOO per cent
thirty-year bonds, $111, ,166,246, and from
the issue of per cent bonds in liquidation
Of interest accrued on refunding certificates
converted during the year, 81 .13O. making
total of Sill, ,17O,378. AS compared with the
fiscal year 1895, the receipts for 1896 in
creased SIS, ,2O5 of which the following
are the principal items of increase: Gus
toms. 81 ,S63, 134; internal revenue, 1891 1872:
profits on coinage. bullion deposits, etc,
81 "a ,512: postal service. $5,516. OSO. There
is shown to have been decrease in the
ordinary expenditures of $4,015,S52.
Receipts and Expenditures.
The revenues of the government for the
current fiscal year are thus estimated upon
the basis of existing laws: From customs,
s14S, 900, 900; from internal revenue, $780,
Co., 900; miscellaneous sources, s2O0OOoOO;
from postal service. $50, 193, 100; total esti-
mated revenues, $4O7. 1888 40. The expend!-
lures for the same period are estimated at
A72, ,293, 12o, leaving an estimated deficiency
for the year of $64 500 0G0. 1t is estimated
that upon the basis of existing laws the
revenues for the fiscal year 1888 will be:
From customs. $15O.OO0.0OO; from internal
revenue $3.50 OOO, 900: from miscellaneous
sources, 10000, 600: from the postal service,
SOC, ,227 .O96; total estimated revenues, $421,-
227, ,O76. The estimates of appropriations re.
quired for the same period, exclusive OF
sinking fund, amount to $466, ,946, OF. which
leaves estimated deficiency for the year
eldng June 80, 1893. of $45, 1890 These
estimates of receipts and expenditures. the
Secretary says, are made upon the assump-
ton that there will be no substantial change
in existing business conditions, and that
the present scale Of public expenditures VIII
not De reduced; but if our ordinary bust
consumption of articles subject to taxa
ton should increase to its normal proper
tions. there may be in fact, the Secretary
says, no deficiency in our revenues. g..
The Currency Question.
In his discussion of the currency -ques-
ton the Secretary makes an exhaustive
argument in favor of the retirement from
circulation of United States and treasury
notes in the course of which he sayssi sn1
"Since March 1, 1893 United States bonds
to the amount Of s262 315 400 have been
issued and sold for $293. .isf ,s94 in gold,
" hie during the same time notes have been
redeemed in gold to the amount Of $457 $685.
$50, and on the 1st day of December, 1886,
there was free gold in the treasury to the
amount of $131, ,51O,352. Since the resump-
ticn of specie payments on the 1st day Of
January. 1879. United States notes to the
amount of s470, 490 ,9S7 and treasury notes
issued under the act of 1890 to the amount
of $S6, 42S SS1. making $3.50. 6.919,s6s in the
aggregate, have been redeemed In gold, and
since August 1, 1893, treasury notes to the
amount of $,5, 121 I'D, have been redeemed
in silver and the notes so redeemed have
been Cancelled and retired from circulation.
Making no deductions on account of the
loss or destruction of notes, the total
istence on the 1st day Of December, 1895,
was $46S 35S, ,296, consisting of $346.6e1 ,Ol6 in
United States notes and $121 .611.2sO n
treasury notes of 1880, and, consequently,
it appears that the entire volume Of such
notes has been once redeemed in gold. and
more than $9s, ,561 600 have Leen twice
deemed
Our experience since the resumption of
specie payments has so thoroughly demon
strated the impolicy of attempting to main
tain the circulation Of these notes as a
permanent part of our currency, that fur
ther argument upon the question seems to
be unnecessary, except for the purpose of
again pressing the subject upon the at
tention of Congress and urging prompt
adoption OF such measures as will, within a
reasonable time, eliminate this element Cf
weakness from our system.
The Gold Reserve.
The use of these notes as circulating
medium compels the government to pro-
vide large gold reserve for their current
redemption. and they are reissued when
redeemed, such reserve must be replenished
from time to time, in order to afford the
public a reasonable assurance that no de-
fault will be made in the discharge of our
public obligations. The difficulty of pro-
curing gold for this purpose is greatly in
creased at the very times when its possess
sion Is most necessary, and. consequently
the government, being at such times de-
prived Of gold receipts from the ordinary
sources Of revenue, is compelled to issue
and sell bonds upon terms less favorable
that might be procured under other cir
cumstances. The annual interest upon the
addition to the public debt which has been
M ade to procure and maintain the reserve
amounts to s16,312,816, and the aggregate
of principal and interest at the maturity
of the bonds will he more than s641 600 600,
and yet the notes themselves, on account of
which this enormous Indebtedness has been
incurred, will. II our present policy is main
tained, remain unpaid.
More Bonds.
But it cannot be safely assumed that
this will be the whole measure Of the bur-
den imposed upon the people; because, if
provision is not made for the cancellation
of this currency, 1t is reasonably certain