Pullman herald. [volume] (Pullman, W.T. [Wash.]) 1888-1989, 1896-12-26
SECRETARY OF THE TREASURY
CARLISLE MAKES A REPORT.
No More Taxes Are Needed, but More
Economy in Appropriation
and Expenditures.

$409 475, 4OS, and the expenditures $434, Ool
leaving a deficit for the year ended June
80 of $25, 2O6, 24o.
In addition to ordinary revenues, the
cash in the treasury was increased by
the following sums: The sale of 100000 =
900 per cent 30-year bonds, Sill, 1866 GAG:
and from the issue of per cent bonds IN
liquidation OF interest accrued on refund
ing certificates converted during the year,
$413O making a total of Sill, 376. AS
compared with 1895, the receipts for 1896
increased $40, 102 205, of which the follow
ing are the principal items of increase
Customs, ST. 1853 1874; internal revenue, $31l,-
1872; the profits of coinage bullion depo3-
tied, ETC., 81, 256, 512; postal service, $5,516,-
$50.
There is shown to have been a de-
crease in the ordinary expenditures of
$4,000 82.
The revenues of the government for the
current fiscal year are thus estimated
upon the basis of existing laws: From
customs $14S 900, 600; from internal rev.
enue, $3.50, 900, 900; miscellaneous sources,
$4,000, 1000; from postal service, $79,792, 100;
total estimated revenues $407, 1913, 100.
The expenditures for the same period
are estimated at $472, 1913, 120, leaving an
estimated deficiency for the year of Ssh
soc, 900.
If our ordinary business activity should
be resumed and the consumption of ar
ticles subject to taxation should increase
to it's normal proportions, there may be
in fact, the secretary says, no deficiency
in our revenues.
Tn Of
secretary makes an exhaustive argument
in favor of the retirement from circu1a-
ton of United States and treasury notes.
The secretary says:
1.-THE maintenance Of a policy which
necessarily imposes upon the government
the burden of furnishing gold at the
public expense to whom may demand it
for use or boarding at home or for eX
port to other countries can not be justi-
fled upon any grounds of expediency or
sound financial principle.
while the government has power to
borrow money, it is not it's duty to issue
public obligations merely Tor the purpose
of providing the paper currency for use
in the transaction of business; nor has
it the constitutional power, in my opin-
ion, to make it's promises legal tender
although the actual ability of the gov
eminent to redeem it's notes promptly in
gold coin may be undisputed, still the
question whether they will be or ought
to be so redeemed must always be open
to public discussion, and it is well known
that the constant agitation of this ques-
ton during the past few years has upon
several occasions greatly imperled the
Of
long as the United States notes remain
in circulation, questions as to the mode
and manner Of redemption and public
confidence in the stability of our cur
rency must be more or less disturbed.
mo system of coinage that can be de-
vised Will furnish the country with either
gold or silver unless it pays for it with
means already collected by taxation or by
contracting an Indebtedness to be paid by
the people in the future.
Il am thoroughly convinced the retire
ment and cancellation of United States
notes of both classes, under such reason
able limitations and restrictions as to the
time and methods as congress may see
proper to ascribe, or as "a prudent seCre-
tary of the treasury would adopt in the eX-
ercise of his official discretion, would not
result either permanently or temporarily
in an injurious contraction of the cur
rency."
Secretary Carlisle renews his recommen-
dation made in his last report that the
secretary of the treasury should be au-
thorized to issue from time to time bonds
payable in collaborating interest at a rate
not exceeding per cent per annum, and
having a time to run, and to exchange
such bonds for United States notes and
treasury notes upon such terms as might