Bisbee daily review., 1904-03-09
ADlMINlSHINc SURPLUS
Secretary Shaw's Financial Pre-
 dicament.
GALL IN LoAHs OR ISSUE BONDS 2

National Banks Wnl Have to Return Borrowed. Money So That Uncle Sam May. Fay For Pa.sna Canal or Ds.ds win Have to Be Issued to Daase eAe Runas. S. The astounding revelations of Seere- tsry Shaw in his annual report pre- sent the financial situation of the country in a more unfortunate condi- ton than the most dolorous pessimisa could have pictured it. He informs the president. the congress and the voters that the enormous and ineopceivable shrfnksge" in securities that are dealt In on the Stock Exchange and else where has caused loss to the people estimated far in excess of the cost of four years devastating civil war" But Secretary Shaw rises to the occasion, and. notwithstanding the losses to the people of thousands of millions. he de ciarea. "There now exists scant reason for apprehension-certain no occa- sion for alarm" He acknowledges there has been a slight curtailment ip business enterprises. but ito all ap- pearances the crisis is passed"
 Secretary Shaw is a regular Mark Tapley. He looks at the disastrous condition that he so vividly describes as one that could be infinitely worse and that "to all appearances the crisis Is passed" This comforting assur- ance from the highest official nuthori- sy on Guaneiai affairs is somewhat qualified by his estimates for the two coming fiscal years of the receipts and expenditures of the government dur ing that period. For the present fiscal year the estimate he gives shows surplus of S14.O00.000. but for 190i-O5 there will be deficit of S23. .O02. l46.O7. Such a deficit would necessitate one of two important happenings for the taxpayers. The present congress will have to either reduce the scale of ap- propriations or devise by law a means for raising more money. There Is of course another way to escape the dilem- ma by the secretary of the treasury calling upon the national banks to re- turn what is needed from the S15S.- 6I4,757S1 loaned 10 them and upon which enormous sun they pay no iD- terest, as the extraordinary payment for the Panama canal to the French company and the new republic of Pan anna and further disbursements for the work of digging the canal viii require either the fund deposited with the na- tional banks to be drawn on or bonds will have to be issued to meet the ex- pentlitures To withdraw from the na- tional banks at this time such a large amount would compel them to reduce their loans, and that would in all prob ability result in another upheaval in the stock market and might precipi- tate a panic. The financial condition in Wall street is none too sound even with the extraordinary aid rendered by loaning the banks all the available re- sources of the government
 The report of the cash In the United States treasury in the statement issued Dec. 5 gives the available cash bal ance of S223. .454.073. But. although Secretary Shaw calls that large sur plus available, when the items that compose it are examined it is sound that 1t melts into but S43, ,101. .690 of free cash that can bc used to pay for the canal
 This will be seen by the following fig ures taken from the treasury state rnent:
 .,rr. s1ss era 7s, To credit of disbursing officers
 fin United States. 9.H9.1Oa Tn treasury of Philippine Islands 4o43.53s Xv.itinp reimbursement 7sO3: Subsidy silver and minor coin..- Sl96.sSl
 If that amount is deducted from what Secretary Shaw calls the avail able cash balance it leaves but S43. I01. 600.
 I. is admitted the money loaned tt the national banks is not available. the money to the credit of the disbursins officers in this country and the Philip pines is virtually already used. and tht subsidiary silver and minor coi,is arr only useful when especially called for.
 I. will be seen, therefore. that ther' Is not sufficient cash in the treasury t' nay for the Panama canal if the new treaty with Panama Is ratified by tn senate. No wonder even the optimisti' secretary of the treasury could oni! saJ tbere is "scant reason for appre arnsion."
 I. will soon be up to the administra tiof. 60 declare its policy by either caii fny upon the nptional banks to disgnrg pr to i.;sne fnore bonds
 For the sweets of life don't over look Toboggan Maple Syrup.
 TO KILL THE DANDRUFF GERM.