Highland recorder. (Monterey, Highland County, Va.) 1877-1972, 1919-08-08
REVENUES WILL
PAY 1920 DEBTS
Secretary Glass Says U. S. Ex-
y penditures viii Not Exceed
Its Receipts.
RIGID ECONOMY is NEEDED.
Public Debt on June 80, 1920, viii
Be S26, SIG, sos, 160-No More Loans
Will Be Fioated-Fal orabIe
Treasury Statement.

Washington-In a letter to the
banks and trust companies of the
United States made public Sec
tary of the Treasury Carter Glass
states that he anticipates the revenues
for, the fiscal year ending June 30, 1920,
will meet all the expenditures of the
government.
He fixes the national income, in
Guiding the deferred instalments of
the Victory Loan, at $4,000, 100000.
This means that there will be no net
increase in the. public debt for the
year except the loan instruments. If
MS calculations are correct they mean
that on June 80, 1920, when presum-
ably the entire cost of the war will
nave been paid, the public debt Of the
United States will be $26,516, ,506, 100.
During the next five months, the
period Of heaviest expenditures, the
government will meet its obligations by
increasing the outstanding certificates
Of Indebtedness by not more than
S500,000,000. The conclusion to be
Drawn from the secretary's letter is
hat there is not to be an early issue
IF notes. The secretary says:
1t is not possible at this time, when
the appropriations for the coming
year are under consideration by the
Congress, when contract claims by and
against the United States are still in
process of settlement, when demobili-
sation is still incomplete, when the eX-
.ent of the liability on the wheat
guaranty is ascertained, and when the
business upon which the income and
profits tax receipts in the first half Of
he calendar year 1920 are to be based
IS still only half transacted, to make q
formal estimate of the receipts and eX-
oenditures of the United States during
the fiscal year 1920 lending June 80,
1920.
| do not hesitate to say, however,
hat | anticipate that the government
will be in receipt of revenues under
existing law and from the Victory Lib
prty Loan during the fiscal year 1920
TO the amount of at least S6,o00,OOO,-
900.
In the absence of Il budget system or
IF any treasury control of govern
mental expenditure t is even more
difficult to foretell the expenditures
than the receipts Of the government.
Current expenditures, which reached
the maximum of $1,000, 100000 In
December 1918, fell in June, 1919, to
$500 100000, and after deducting the
amount of the certificates of indebt-
edncSs Of the director general of rail-
roads paid during the present month
Of July, should show still further
decrease in this month.
Allowing for all the elements of un-
above referred to, have no
present reason to believe that the eE-
pendtures of the government during
the fiscal year 1920, will exceed the
amount Of its receipts as above indl-
Gated, excluding transactions in tho
principal Of the public debt other than
The Victory Loan. If these eXpccta-
tiGnS prove to be correct, the gross
public debt of the United States, which
on June 80, 1919, amounted to $25, ,4S4,-
sos, ,1G005, should lie increased during
the fiscal year 1920 by not more than
the amount of the deferred instruments
of the Victory Liberty Loan payable
In the fiscal year 1920, S4,032, 100000,
making Il total public debt on June
80, 1920. when presumably the whole
cost of The war will Lave been financed,
of, $2G, ,51G,50 1905.
Tie rcallZatlOn of these sanguine
expectations is contingent upon the
practice of most rigid economy by the
government and the continuance of
ample revenues from taxation.