The times. [volume] (Richmond, Va.) 1890-1903, 1896-12-22

oencoIlsd in any year by redemptions out
of the gold reserve. The secretary OF tile
Treasury should le clothed WIN aulnoi
itv 10 apply to that purpose any surPlus
f,Srde in tho Treasury. and I'm addition.
n necessary IN issue the Character "t
bonds above described 20 a SUI. ~,
amount TO supply the provision OF 'ne
low The adoption Of such policy would
give Immediate assurance or purpose 10
return within n reasonable period TO
safe and "A elastic currency system ana
would remove much OF the doubt ana
uncertainty which have for many years
disturbed the public mind and embarrass-
ed the business Of the people and opera
tions OF government.
NO sudden or large contraction OF me
active currency could result from the
expectation of such n plan. because the
rcdomptons would be made from time
10 time with gold already
withdrawn from circulation and
hold in the Treasury. except
i'm cases where IL might become ne
ccssarv 10 issue and sell bonds IN order
10 make the redemption correspond 10
the amount required or authorized, ana
I'm an such cases contraction could be
easily prevented by selling the bonds
and thus adding their proceeds 10 our
domestic stock OF money
RELIEVING THE TREASURY,
Continuing, he says:
Whatever plan may be finally adopted
for the retirement of United States notes
and Treasury notes. IL Will fail to afford
complete protection 10 the government
AGAINST demands for gold IN the future
unless IL includes ii provision relieving the
Treasury from the obligation to redeem
| national bank notes except Such as are
! worn. mutilated or defaccg and the notes
of failed banks. or requires these instl-
D
/ ti,n found i'm gold and to deposit gold
/ coin for the withdrawal Of bonds when
! circulation is 10 he surrendered or re-
| duced."
Mr.. Carlisle rencws his recommends
| tions for such amendments 10 the nation
! al bankinp laws as would permit The issue
! of circulating notes equal in amount 10
/ the face value Of the bonds deposited. and
| reduce the tax on notes 10 Cne-fourth or
| one per cent per annum, and that au-
! th0rty be given 70 cslahlish brahch
| banks for the transaction Of all kinds Oh
business now allowed except the issue OF
circulating notes.
Taking up the question OF revenue ana
/ quoting figures and the yearly Gehciehcy'
the Secretary says.
"But. unless our annual receipts are
| Increased by improved business conditions
or annual expenditure are reduced, Il
time will arrive when provisions must be
made for additional revenue; and, if the
| expenditures Of the government shall bee
| Increased hy acts Of Congress, the neccs-
| stv for such a measure viii arise earlier
| than the present situation seems 10 in
/ dIcate. IN view OF this possible contin-
gency. it will not be- inappropriate 10 sub
NIT n few suggestions concerning the
/ general policy 10 Doe adopted In making
| the provision q meet the future nccessi-
ties of the government.
PROTECTION.
'For more than a century our tariff
| legislation has been designed to great
extent. az least TO accomplish objections
| other than the lsing Of revenue for
| public purposes Tho protection OF capital
invested I'm our native Industries and the
! protection OF labor cmcployod in the Unit
ed States against the competition Of the
| products OF foreign Industries ana foreign
| labor have been alleged as the para
| mount objects in many cases. and urged
as a Justification for the progressive in
! crcases OF tar.n taxes and commercial
restrictions whom revenue was not need
ed. or whom the rates imposed were so
! hich as 10 reduce the revenue.
In other instances revenue duties have
been abolished in order that protective
! duties might hc retained or increased
AMI the necessities Of the government
| and just principles OF the taxation have
been subordinatcd 20 the demands OF spec
cial interests.
so long ass the income of the govern
ment from customs and internal taxes
exceed IT'S expenditure. the fact that
protective duties were destructive Of
revenue although clearly apparent TO all
who observe tho practical operation OF
the system. ala not attract the attention
OF the public generally. but the situation
has been materially changed since 1892.
and hereafter IL will not be possible 70
! sacrifice revenue 90 protection without
| seriously embarrassing the fiscal af-
fairs Of the government by deprivinc il
or am income sufficient 10 dofrav its neces-
sary expenditures If the usual proper
tion Of this income Is hereafter 10 be de-
rived from taxes on imported goods. the
protective theory must be abandoned as
the basis Of our legislation unon the SUBJ
jcct. and a well considered and consist
ent revenue system must De substituted
I'm It's place, and. I'm my opinion this
can be done without material injury To
any trade or Industry now existing I'm
this country"
CONDITIONS CHANGED.
Whatever danger existed from for
! 'l-H ''iiI'tlb"H tut secretary thinks.
has been reduced 70 a minimum or who'll
~ eliminated by the changed Industrial
and trade conditions This belief ne
Celebrates in an exhaustive argument
fortified with statistics. and concludes
that instead Of increasing existing rates
upon articles now dutiabln II will De me-
cessary 20 resort TO taxation upon various
kinds Of importations heretofore ex-
empted simply because they were not
included within the scope OF the protec-
tive theory.
The alternative viii be. the Socretar,
thinks. the imposition Of taxes I'm some
otner form' but IN either case ne saws
there are certain fundamental rules anC
| principles applicable 10 The subject wnicl
cannot he d.sretarded without iniue.ic,
10 the people from whom the exactiOn.
are 10 be made The first and most i'm
portant one IS that no TAX should be- lai,
except Tor punhc expenses and that al
sums paid hy the people should be re-
ceived 10y the Government ANY tax
/ whether imposi or excise. which increase.
the cost of commodities 90 the consumer
beyond the amount collected by the Gov
! crnment is unjust and indcfansible un0r
any correct economic principle Taxa
tiOn should not only be imposed for pub
| lie purposes alone. hut IL should be limit
| ed as FAR as possible 10 such articles a'
the people can avoid the use OF withou
J imnairng their ability 10 earn "a subsis
| tence or Increase the cost Of any par
| OF The materials on which the WOrk-tha
is on articles Of voluntary. rather thar
! on articles OF necessary use. and all suci
| taxes should be so adjusted when pos
| sible. as 10 distribute the burdens of th'
government eqNally upon the people. ac
Sordinc 10 their ability 10 boar them.
As TO EQUALITY.
"It IS not claimed that absolute equality
in The distribution Of burdens Of taxation
| ,., ba s.ftlrsd In all ca under an,