The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1897-01-09
rue FINANCES or THE NArIoNl
sHcts Cleaned from Secretary carIisls's
Report.


rActs Cleaned from Secretary CarIisls's
Report.
The recent report of the secretary OF
the treasury exhibits the financial con-
dition of the government as 10 was June
30 last. the close of the fiscal year, and it
contains estimates, on the basis OF ex-
isting laws and expenditures, for the
years ending June 80. 1897. and June 30,
1895.
The total revenues of the government
for the past year were 5000, AIS, 40s, and
the expenditures $434,67S,654, leaving
deficit of $25.203,245. This was six
months ago. Since then the expcndi-
lures have exceeded the receipts to q
still larger extent and the deficit the
end of next June will probably be s64,-
100000. Should the same revenue laws
and the same rate of expenditure con-
tinue the deficiency for the next year
will be about 100000.
That is bad business management
even wilkins Micawber could tell us, for
his great financial discovery was thatif
the income was 20 and the expendi-
lures 20 0s Cd the result was misery,
but the income being c 20 and the ex-
penditures $40 los Cd the result was
happiness.
The principle applies TO nations IA
we'll as TO individuals. and no nation can
be considered as well governed or pros
porous whose expenditures exceed its
income from s25,o0o.o0o to SG0,o00,00o
annually.
1t is generally conceded that the fall
ing off in revenue is due to the Wilson
German revenue measure, but that does
not excuse the last congress from its re-
sponsibility. 1t was the duty of that
congress either 10 increase the revenue
or cut down expenditures. II did
neither. The appropriation committees
went gayly forward with their usual ex-
travagances, just as il the treasury was
overlooking with money. while the ways
and means committee did nothing ade-
quate to provide for the expenditures.
This condition admirably illustrates
the beauty of our congressional fnnn-
cling. which suffers one committee TO
provide the money and another COM
mittee TO spend IL. One and the same
committee should do both, or, at all
events. the appropriation committee
should be limited 20 the minimum es-
timated income.
The most deeply interesting part of
the sccretary's report is that which
urges the retirement OF the greenbacks
and the establishment OF the national
finances on a sound and enduring basis.
So long rs the government issues its de-
mand notes TO be circulated rs moneyso
long will the treasury be subject to
raids at particular junctures by those
who wish 10 obtain gold 20 export or 20
hoard. The result Is constant anxiety
on the part of the business public, az
well as on the part Of the government
officials. and thus the foundations of
our entire currency system are weak.
ened.
This policy also keeps the money
question in politics, and at every election
sends tremor through the business
world from fear that extreme and radi
cal theories will prevail. and this dis
turbs the stability OF our currency. The
thing for congress 10 do is TO remove
this question altogether from politics
by taking away the money-issuing func-
ton from the government and permit
ting the people under proper safeguards
to provide their own money. The Sec
rotary very justly says:
The people. n left free 10 conduct their
business affairs IN their own way. will al
ways decide for themselves how much
money they ncod, and. unless prevented by
artificial distractions. the necessary
amount Will always be supplied either from
their own resources nt home or through
exchanges abroad. The volume 81 busl-
ness transacted determines the amount OF
money and credit required and whenever
the volume OF business demands an addi-
tional supply OF money or an extension OF
credit the demand VIII certainly be COM
piled with. provided the laws do not inter-
fere Go prevent Il. As rapidly as our notes
arc redeemed and cancelled, gold, or cur
roncy as good goid win take their places
in tho circulation. " the interests OF tho
country require IT,"
The secretary's arguments should be
weighed and considered by every bust
ness man interested in the future iiuan-
cial welfare OF the country. Chicago
'Iimcs-I Ierald