The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1900-06-08
DEMOCRACY AND THE SURPLUS,

Says the local Democratic platform:
The present tariff law, admittedly
framed along the lines which give pro-
lection to the American manufacturer,
has and is taking from the taxpayer
millions of money in excess Of the hon
est needs of the Government. In conse-
quence. an enormous surplus has been
accumulated, now lying idly in the
treasury of the United States, every
dollar recreant to it's lawful and proper
use and duty"
This is clearly absurd Two of the
special funds which the law requires
to be kept in the treasury are the
available cash balance" or the work
ing capital of the Government, and the
"surplus'' or gold reserve a fund long
since established there by statute as
an obvious precaution. This surplus is
supposed to stand at 800 00O, 900, or
about one-twelfth of the biennial APP
preparations of Congress. 1t is a safe
guard to every American citizen, and
Democrats when in power at Washing
ton keep it up the same as RepubIi-
cans do. They are obliged to-
But the parties, juuging from their
recent history, differ vitality as to the
means by winch they raise this $780,
oOO,0oO fund. The Democrats in Cleve-
lands time borrowed money at three
per cent interest to maintain an idle
Ind ''recreant" surplus, and the whole
people are now bearing the burden of
the oebt. So RAPIDLY did Cleveland's
surplus vanish that he had to borrow
more than once in the aggregate sum
or 250,0O0,OO0, a part Of which found its
way by indirection into the pockets of
his Wall street friend. j. Pierpont Nor
gan. The whole sum was charged
against the public credit, and 1t sweiIed
the national debt. AS soon as the Re
publicans came into power after Cleve-
lands second term they made the i'm
porters provide the 500, 0OO, 900 surplu:
through customs duties. The men anc
women who brought over Paris gowns
Amsterdam diamonds, French wine:
ana German beers, Russian sables anc
Japanese and Chinese silks raised the
$lOO,OOO,OO0, and thus relieved the com
mon people of the burden which the
Cleveland Democracy had imposed.
BY just these millions of idle money
says the Hawaiian Democratic at.
form, accumulated under the Repub.
hcan tariff law. are the people unjustiy
taxed This Is sheerest demagogy
We have shown that the Democrats
Keep up the surplus when they have
control of Congress, and that they d,
IL In the most oppressive and cost,
way, while the Republicans seek a more
satisfactory method through the tax
alton of foreign goods In any even,
there Is no basic injustice In the surpiu.
itself. No great business house coula
keep up it's credit without a surp us
and every stockholder breathes more
freely when he knows there is one In
the bank. In railroading, banking
merchandising, carrying on mines OF
plantations or any large enterprises
the effort to get something ahead in tn
form of a reserve precedes the effort tC
earn dividends. What is true of Amer
can private business is true of American
public business. Our Government Is &
great business machine-one of the
greatest in the world-and 1t is not alb.
solved from the usual precautions t.
which business enterprises are bound
No stockholder in his right mind OBJ
5ects to a surplus amounting to ter
per cent of the capital stock Of his cor
poration, and no wise stakeholder in
the american republic can oppose q
similar safeguard. He knows the money
cannot be idle or "recreant" when II
keeps his corporate credit good and is
always on hand to meet public emerg-
encies.