The San Francisco call., 1905-04-26
THE TREASURY DEFICIT.

THE revenues of the Government main the
tariff and internal These ebb and How with the
varying consumption by country imported goods
liquors tobacco With apparent reason why should
surplus the treasury followed by reaction and econonzng OF
consumption that a Treasury deficit
Mr. Ceveands there present large surplus
which excited his anxiety demand for the reduction
OF tariff taxation When his second term began the reaction was IN
full swing and growing deficit appeared and renamed as tor
the administration To meet it. the large sum
of borrowed bonds The situation then de-
neoped panic by unsatisfactory condition
of financial policy The Treasury receiving large incre
deprecated silver which excited the fear that We would
This weakened the credit and impaired
borrowing power the The depression continued
od n the he food od Sr @ @ made certain that the go
Then followed in consumption and increase in the
The immediate expenses the Spanish by increase
internal taxation that impression made
the ordinary income But to be that the pro-
@ et !" @ h Wa up o suom@r ,d T That % br;f erne
changes national policy We expanded
domain directions that will for long participate
epIensng Treasury large navy
pressing national necessity The people hman canal
and demanded acquisition and construction by the Government
Looking backward only little way easily that all
consequences making canal national work
expenditures that could be met only by
1t double his by extension
properties nonproductve and maintain
whole upon barely suced for his original hold
ing The war taxes were repealed too soon they were as legitimate
Tor the purposes enaed by the they for its current
They legitimate applied to the cost OF the
made by the they were Tor the cost OF Its actions
Manila and Santiago But this taken into and
the repeal OF the the existing and increasing
deficit n the Treasury
While should be with cOmPlacency indifference
tied public private credit together They financial Samese
Eng died Chang died also. If the increment of silver
pushed the Treasury upon silver basis and rested the public
credit dollars all private credits outstanding that
special also.
that element the twelve years that caused the panic
When the Treasury low and neared the point of of
payment final slump the silver standard That
the peril with high courage by Mr. Cleveland that
made his fame in his couny history Such peril
Public and private credit entirely separated
they should be- If panic any time the future
may will the OF overspeculation upon private
and the condition the Treasury will have connection with
all.
The country flush with money enterprises
readily underwrten Foreign loans like that of Japan placed
here Immediately oversubscrbed The deficit the Treasury
alarm and subject of anxiety the administration
only If the proper will be an increase
The people familiar with that experience their State
and local They less familiar with the national
government because national taxation is indirect
The people demanded the Spanish and direct appeal
have three ndorsed all of its results The Call speak
from entirely dnerested standpoint since against
those results while the question open But
longer and the condition OF the public expressed by
the deficit must be taken evidence that complete adjustment
conditions has been effected The lesson obvious What
the people they have The larger pobaed
them by the which they demanded They patiently
the adjustment made by the of responsibility