New-York tribune., 1906-02-02

The Treasury statement for January lays the
ghosts Of the deficit seares which have been
stalking through the dreams Of certain critics
anxious TO prove that for revenue producing
purposes the Dingey law has outlived its use
fulneSs In 10000 the Treasury incurred
deficit of So. 30 000-due 10 an extraordinary
expenditure of S5OOGOO6o cash for the Panama
Canal Companys plant and perpetual right of
way across the Isthmus Of Panama In 1904 90
there was losing balance of $685. .o0a-due
10 increased appropriations for ordinary pur
poses and no corresponding increase in reve-
nues. Many critics of pessimistic turn Of mind
jumped. therefore. n the conclusion that under
the Dinglev law the Treasury would never
again he able To ray its way. Deficits in July
and August. 1865. aggregating S1S.5s9oon. gave
some encoura cement tc these theorists and
they began 10 forecast losing balance of 500
100000 70 $4,000 000 for 1905 Of.
The Tribune has never shared in this de
spondency On the contrary. il has maintained
that the present fiscal year would end with
debit and credit accounts about evenly bal
anced This impression was strengthened bv
the showing made in the six months ending
December 31. 1915 Between August n and
December 81 the deficit was reduced from SIS
$50. .nnh 10 5000. and al that rata of -ain
il was apparent thar tho next six months would
cut the losing balance 70 zero But Jan,iaTy's
statement Is TAR more f3T0T3hip rh9n mar for
any of the six months preceding Usually Ian
uary shows n deficit Last wear the loss on
the months operations was S6.2t6.7l4 but this
year there is surplus of $3S45. .G96 In other
words January. 1905 has made gain over
January. 1905. Of more than Sl00noHC0 \ year
ago the deficit for the seven months was S2s-
$4,000 Now. for the same period the deficit is
only S3.S97.Oo0
This marked improvement is due 10 two
idly increased snd. On the other. expenditures
have been successfully kept 10 the 1904 o. limit
January showed gain in receipts from Gus
toms nf S4Fh"n and gain in receipts from
internal revenue 0f S25onOn0 Miscellaneous
receipts declined 3 little. SO that the net gair
for the month in income was 81 500 600 hut
expenditures fell from S49627.O .O0O in January
1909, to S46.s45,ooo in January 1905 Expendi-
lures for the seven months of this fiscal wear
nave oeen S3olo460o0 against S249 657 900 for
me same period last wear. This is an increase
of S1SS9Noo bur the increase in r4ceints has
been about S26 100000
Compared with last vesr there hos hoo, o..
material cur in expenditures for military nur
poses The army account for the seven months
ehaen with January is about S5.oGOn0o smaller
anu me navy account is nearly So 1000 oOO
smaller but the Ss0AOOeo thus saved has
gone 10 public works and been expended. ap-
PaieiuS. on Fsnama canal construction The
Urgent Deficiency bill now pending in the Sen
ate Will authorize additional expenditure
Tor canal work, but Congress is considering
proposition tn repay these cash advances from
lhe proceeds OF canal bond sales This is the
pracocal and sensible course to follow for n
ls Irauonal TO keep drawing current funds
ID NE Treasury 70 meet the enormous expendi-
ture entalled by the canal enterprise But if
me fuhds used on the canal are 70 be repaid
10 tne 1Fea stry, there can he no possible dan
ger OF deficit this year Instead there will
De substantial surplus and with Congress
showing an increasing disposition 70 combat
eAu7FaRshNe aud to decrease rather than In
IeaSe' "ol ordinary annual expenditures the
Ifeasur! should have no trouble in making
| ends meet The country can easily pay its wsv