The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1896-01-04

Il
had refused to expend appropriations not
mandatory in form, but permissive, so as
70 contine expenditures within receipts,
serve This would have been stalwart
act In harmony with the Presidents char
acter and plainly within his power. He
knew well as any one that since the
= close OF the civil var TO the date OF his
inauguration the expenditures OF the gov
erDment had been less than its receipts"
Mr.. Sherman read from a table showing
she receipts and expenditures each year
flonn 1856 to 1893 and continued: Now for
we first time since 1856 We have deficiencies
OF revenue. Since the LIST of March. 1888.
60 the 1st of December. 1885. the national
debt has been increased 1852 COZ. 645. The
President in his recent annual message
complains that the law or Oct 6. 1890,
known as the Mckinley act, was inefficient
for the purposes OF revenue That law,
though it largely reduced taxation by plac-
ing many articles on the free list and
granted a bounty for the production or
sugar, yet did not reduce revenues below
expenditures, but provided a surplus OF
81, Z39, 76257 June 80. 1891, and 1894, 1896
June 90 1892. and s2.Sn .e74.29 on the S0th OF
dent and Democratic majority in both
Houses OF Congress had been elected all
pledged to repeal the Mckinley act and to
reduce duties.
WHY REVENUES FELL OFF.
That the Mckinley act did not produce
more revenue in 1898 and 1894 is not a mat
ter OF surprise. Any tariff law denounced
by the party in power. with a promise TO
repeal il. and TO reduce duties, would pre-
vent importations under the old law. and
thus lower the revenues. Early in Decem-
Der. 1895, at the first regular session OF Con-
gress during Mr.. Cleveland's term. a bill
was formulated and as soon as practicable
passed the House of Representatives. That
bill met the hearty approval OF the Prosi-
dent. IL II had become q law as originally
presented. the deficiency in the revenue
would have been much greater than now.
The conservative Democratic Senator's, with
the aid OF Republican Senators, greatly i'm
proved the House Dill. added other duties
and changed the scope or the measure.
With these amendments 1t became law.
The President refused 10 sign II, express
ing his opposition to the Senate amend
ments. and yet supports it when de-
ficiencies have been greatly increased, when
the public debt is increasing and doubts are
expressed as TO the ability of the govern
ment to maintain its notes at par with
coin. No complaint was made that the Nc
kinley law was inefficient for the pur-
poses of revenue when the Wilson bill was
pending. The objection to the Mckinley
law was that IL was a protective tariff,
and the Wilson bill was revenue tarin.
i have a statement showing the receipts
and expenditures under each law. each
month the Mckinley law from its passage
10 the election of Cleveland, and the Wilson
law from its passage to Dec. J.. 1879 Dur
ing the twenty-five months of the McKin-
ley law the average monthly surplus was
N129,S21. During the existence of the VIII
was $i.6e9. COS. If the Mckinley law was, in
the opinion of the President, inefficient for
revenue he should have said of the Wilson
law that IL was 'bounteous in deficiencies
Mr.. Sherman then entered into compare
tive analysis OF the Mckinley and Wilson
laws to show that under the latter we ex-
ported in a year agricultural productions
valued at s30l. SIS, While during the last
year OF the Mckinley law we exported
similar productions valued at $371, 125, 299.
president Cleveland" he continued. be
Esves in large importations at the lowest
cost, without regard to the industries and
labor OF our countrymen, while believe in
a careful discrimination and the imposition
of such duties on articles that compete
with home productions as will diversity our
TALLY all Industries. whether of the
farm. workshop. the mine. the forest or the
sea. have not been satisfied with any
tariff law made during my public life.
though l have shared in framing many. |
prefer a law that will impartially protect
and encourage all home industries. and
gard the MCKINLEY law as Infinitely better
than the Wilson law, which | believe is
the cause OF all the evils which we now en-
counter by adverse balance of trade, by ex-
portation of gold and arrangement of our
monetary system"
ONE OF THE PRESIDENTS ERRORS.
Mr.. Sherman. continuing. declared that the
deficiency of revenue was the primary cause
of the demand for United States notes. and
that the only remedies are either a radical
reduction of expenditures or an increase of
taxation, and perhaps both. He thought it
strange that the President. in dealing with
our financial condition. should ignore entire
ly the fact that during his term of office
thus far three issues of bonds have been |
made. amounting, in the aggregate. to |
Sl62. 400. to meet current expenses in time |
of profound peace. 1.-The President" he |
said. attributes all our financial difficulties |
TO the continued circulation of its notes and |
treasury notes debts, bearing no interest, |
amounting to nearly s500.000.O00. His state /
rnent of the origin and history of the United |
States notes il strongly tinged with preju- |
dice, for, though these notes were irredeem- |
able for time, they were incontrovertible |
into bonds bearing interest payable in coin. |
They replaced notes issued by banks char |
tered by the several States.
Senator Sherman then read from Secretary |
Carlisle's report TO show that prior TO 1881, |
the demand for coin for United States notes |
during a period of thirteen years, from July |
i. 1879 to July 1. 1892. was only siS.3l0S96. |
while the receipts of gold for United States
notes during the same period amounted to
$3.50. 100000. The Withdrawals from the treas
ury from July l. 1892, 70 Dec l. 1895, have
term of Mr.. Cleveland ne continued. |
''when he was powerless to affect our cur
rency and tariff policy the Senate being g. Re-
on the 1st of April 1885. to $500 900 on the |
1st of April. 1889. This gold came into the
treasury without cost. in exchange for |
United States notes or gold certificates. 1t |
s. Just 10 Mr.. Carlisle TO say that he at |
tributes the withdrawal of gold to silver leg
force from 1873 TO 1890. when the accumula-
ton Of gold occurred, and the great body
of gold was withdrawn after the act of
july H. 1890, repealed.
in view of these official facts, can any
fair man doubt as TO the cause of our finan-
cai condition? What other cause can be
stated than that unwise legislation reduced
our revenues below our expenditures, i'm
paired confidence in our ability to maintain
cur currency at par and compelled the gov
eminent TO sell bonds provided for the re-
demption OF United states notes, in order |
10 meet deficiencies? What other rem
edy is there for our financial diff
fculties except to borrow money |
on the best terms possible TO pay
current deficiencies and 10 provide addi-
tional revenue for future wants? To this
extent ard for these purposes / am willing |
10 support this administration. however
much may disagree with its general pol
icy.
A. DISASTROUS POLICY.
but the President is not satisfied. He
demands the retirement and cancellation of
al the United States notes and treasury
notes by the sale of bonds of the United
States bearing interest If this policy is
adopted to compel the people of the United
States TO Surrender the best paper cur
rency they have ever enjoyed IL will fall
II revenue is wanted T. meet current ex-
penditures 1t will be furnished either by
taxation or by borrowing by both but