New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-12-22
THE TREASURY REPORT.

TO commend Secretary Carlise's report would
be most pleasant. But that he has made impos
sible by twisting statements so as 10 favor re-
trement cancellation Of United States notes
and abandonment Of protective duties. After
honorable effort for the cause OF sound money
the Secretary had rare opportunity 10 put
bigoted partisanship behind him. Everybody
who looks ut his report will see whether he has
done so.
1t is necessary first to consider the claim that
there would have been revenue enough under
existing laws without protective duties. From
March l. 1893, to December ], 1896, according
10 Secretary Carlise's own reports. thc receipts
have been 81 III ,SS2 O9l %, and the expenditures
have been 81 1863, 966, 1913 SO, showing deficit Of
s1SS. OS4, 1O4 &C. 1t is needless TO show that his
whole story Of borrowing money for replenish
ment Of the gold reserve Is unworthy of him.
The money borrowed by the Secretary, including
all actually received, has been 1898, 19S,S69 TO,
and as part of this deficit he has without warrant
piled up in the Treasury many millions OF legal
tenders which bonds were issued virtually to
retire
This performance he deferds on the plea that
there can be no safety for the treasury unless
outstanding notes which are redeemable in gold
are retired and cancelled. Mr. Carlisle's theory
Is a violation Of United States law, and he has
been engaged in violating that law In trying to
contract the legal-tender currency without legal
authority The law stands upon the belief that
the amount Of United States notes now author
ICED will freely circulate without depreciation or
dlstr1ist. If United States revenue exceeds ex-
penitures. Mr.. Carlisle sets up different the
ory His disregard Of law Is not Hcommenda-
ton nor Is there the least reason to believe that
Congress or the public will accept his Idea that
there can be 40 safety unless obligations re-
deemable in coin are wholly repudiated." 1t Is
queer phrase The Secretary uses 1t as the
alternative Of cancellation. Does he actually
mean TO imply that in his opinion Government
notes must be cancelled or may be repudiated?
In truth, this is a very remarkable report. 1t
Is impossible TO reconcile 1t with facts shown in
his official statement. But why should anybody
try? The Secretary starts with the theory that
notes which have for thirty years circulated at
par in gold without distrust or disturbance have
somehow become the principal cause Of all the
misfortunes which have followed an attempt TO
take protective duties out Of the tariff. Then be
proceeds to argue deliberately that protective
duties ought 10 be abolished, that the country
would then realize more revenue anu tnat the
United States notes might be retired by issues
of bonds OF other interest-bearing obligations OF
the Government
The Secretarys pretended analysis OF working
men employed in different branches Is so far er-
roneous that only 81 per cent are assigned to all
the protected Industries. 71,6l9 to the clay and
pottery industries 16O.555 to the iron and steel
industries, and 5S9O4S to the textile industriea
Men who have known anything about these
branches of manufacture will see at a glance that
the figures have no relation to facts. But II they
had any the experience Of the country during the
last four years could not be ignored. 1t Is piece
OF good fortune that the Cleveland Administra-
ton which has been more completely discredlted
and dshonOred than any other for fifty years.
which s by four-ifths Of its political friends and
by everybody else regarded as unfaithful and IN
worthy, is the one to propose this reconstruction
of the currency for the benefit Of the National
banks The one thing certain IS that no such
recommendation will help the scheme 1t Is like
" to CO. with the notion Of a Free-Trade tariff,
into the limbo OF things proposed by the Admin
istratlon which has caused the worst disaster for
half century.