New-York tribune., 1900-10-25
TEXT OF THE PRESIDENTS LETTER.


into public law
The present Congress has given to Alaska a
territorial government for which it had waited
more than a quarter Of a century; has estab-
hshed a representative government in Hawaii
has enacted bills for the most liberal treatment
of the pensioners and their widows; has revived
the free homestead policy. In its great fnan-
cial law it provided for the establishment of
banks Of issue, with capital Of $25 600 for the
benefit of villages and rural communities and
bringing the opportunity for profitable business
in banking within the reach Of moderate CAP
ital Many already avaiing themselves of
this privilege.
During the last year more Ihan S19OOOOOO of
surplus revenues of the Treasury and in addi-
ton $Zo,OOOOOO of per cents matured, called
by the Government, are in process of payment.
Pacific Railroad bonds issued by the Govern
ment in aid of the roads in the sum of nearly
S44OOGO00 have been paid since December 81,
1897. The Treasury balance is in satisfactory
condition, showing on September l. S135 419, 900,
in addition to the $150,OO0OOO gold reserve held
in the Treasury. The Governments relations
with the Pacific railroads have been substan-
TALLY closed, S1244 1000 being received from
these roads, the greater part in cash and the
remainder with ample securities for payments
deferred
Instead of diminishing, as was predicted four
years ago, the volume of our currency is greater
per capita than it has ever been It was $21 10
in 1896 1t had increased to S26 80 on July l,
1900 and S26 So on September 1, 1900 Our
total money on July 1, 1896 was S15O6 434 966;
on July 1, 1900, it was $2.O62, ,425,49O, and
$2,0@6,6S3,O42 on September l. 1900.
UNPRECEDENTED PROSPERITY.
Our industrial and agricultural conditions are
more promising than they have been for many
years-probably more than they have ever
been. Prosperity abounds everywhere through
out the Republic. rejoice that the Southern as
well as the Northern States are enjoying a full
share Of these improved National conditions
and that all are contributing so largely to our
remarkable industrial development The money
lender receives lower rewards for his capital
than if it were invested in active business The
rates of interest are lower than they have ever
heen in this country, while those things which
are produced on the farm and in the workshop,
and the labor producing them have advanced
in value
our foreign trade shows a satisfactory and
increasing growth The amount Of our exports
for the year 1900 over those of the exceptionally
prosperous year Of 1899 was about S5OO,OOO for
every day Of the year, and these sums have
gone into the homes and enterprises of the
S5OOOO,0OO in the exports of agricultural prod
ucts 92692,220 in manufactures, and in the
products of the mines of over $100O0OOO Our
trade balances cannot fail to give satisfaction
to the people of the country. In 1898 we sold
abroad S615432 676 of products more than we
bought abroad; in 1S99 S529 S74S13 and in
1900, S544471,7O1 making during the three
years a total balance in our favor OF
$16S9 779 190-nearly five times the balance of
1 do ",
years from 1890 to June 80, 1897, inclusive.
-Four hundred and thirty-six million dollars Of
gold has been added to the gold stock of the
United States since July 1, 1896 The law Of
March a. 1900 authorized the refundng into
per cent bonds Of that part of the public debt
represented by the per cents due in 1908, the
4 per cents due in 1907 and the ) per cents due
in 1904 aggregating $S40OOO,OOO. More than
one-third of the sum of these bonds was re-
| funded in the first three months after the pas
sage Of the act. and on September 1 this sum
| had been increased more than $33, 900 600 max
ing in all $33057So50 resulting in a net saving
| of over $3.50 $50 The ordinary receipts of the
| Government Sor the fiscal year 1900 were $79,-
! $4,000 in excess Of its expenditures
While our receipts both from customs and in
| ternal revenue have been greatly increased, our
| expenditures have been decreasing. Civil and
| miscellaneous expenses for the fiscal year end
| ing June 30. 1900 were nearly S14, 900 900 less
! than in 1899 while the war account there is
a decrease of more than S95 100000 There was
! required SSOO0O00 less to support the Navy
this year than last and the expenditures on ac-
count Of Indians nearly $275OOOO less
! than in 1899 The only two items of increa Sc
! in the public expenses Of 1900 over 1890 are
| for pensions and interest on the public debt
/ For 1899 we expended for pensions S139 1874 929
! and for the fiscal year 1900 our payments on
1 this account amoupted to $140,S77, ,316 The net
| increase Of interest on the public debt of 1900
over 1893 sequired by the war loan was S263 =
| 4O6 %. While Congress authorized the Govern
ment to make a war loan Of $4OOOOOOOO at the
beginning Of the war with Spain, only $780,
100000 Of bonds was issued, bearing per cent
interest, which were promptly and patriotically
taken by our citizens.
TAXATION SHOULD BE RED1Tcr0
Unless something Unforeseen occurs 70 raduca
our revenues or increase our expenditures +be
Congress at its next session should reduce taxa
ton very materially.
Five years ago we were selling Government
! bonds bearing as high as 8 per cent interest
Now redeeming them with a bond AZ
par bearing per cent interest. We are selling
our surplus products and lending our surn1us
money to Europe. One result of our selling 70
other nations so much more than we have
bought fro=n them during the last three wars
/ is a radical improvement OF our financial reIa-
! tons The great amounts OF capital which ba,,a
! been borrowed Of Europe for our rapid material
development have remained a constant drsiD
upon our resources for interest and dividends
and made our money markets liable to constant
disturbances by calls for payment or heavy
sales OF our securities whenever moneyed strin-