Year: 1860

The New York Herald gives statement ofthe
would be its condition were she foolish enough
to withdraw from the Union.


"The announcement that the federal officers
in South Carolina have resigned their Offices,
and that the Legislature has unanimously called
a convention to provide Cor secession, will take
one by surpIize. The event was generally
anticipated, and whatever the views of lawyers
may be with regard to the right of State to Sc
cede public sentiment in this section of the
country would be decidedly opposed to the in
tention of any State in the Union by force. We
presume that in the event OF the 100000 free
white people of South Carolina declaring their
determination to form a seperate republic, no
serious objection would be raised and it there
fore becomes interesting to inquire into the fl
nancial condition of the State. South Carolina
owes rather IS, 100000, represented by three,
five, and six per cent State Bonds, nearly all
of which are held in England. The interest on
the debt is paid out of the profits of the State
Bank, and some railway stocks owned by the
State. The State revenue averages about $500
0 co annually, about half of which is derived
from tax of seventy five cents a head on slaves
one fourth of the balance is derived from land
tax amounting to about six mills in the dollar
on the value of the agricultural land under cul-
tivation in the State,


The expenditure which generally falls short
of income, is economical, and is Incurred for
municipal and local purposes. In the event of
secession of South Carolina, new issue of bonds
would be necessary to pay for the United States
property within the limits of the State-such as
Fort Moultfie on Sullivau's Island Fort John
son, Fort Pickney, the Custom House, Post OIL
fc,, and other I. S. buildings at Charleston,
and the other United States Post Offices, ect. &,
throughout the State, all of which the new ma
ton wonld have to purchase, 1t is hard TO val
ue these buildings, as Forts have no actual mar
ket value. but they cannot be worth less than
several millions A further Issue Of bonds
would also be necessary for the purchase or con-
structioa of such vessels of war and revenue cut
ters as the foreign trade ofthenew nation would
require. Lastly, in separating from the Union,





hardy did when it separated from the Austrian
empire-to assume a portion of the United Sta
tes debt, which has been incurred partly for her
netit


What propoticn ought to be assumed, in this
contingency, by South Carolina, we will not
would probably be disposed to deal libcrally
with their departing associate, ard no one
would desire to see the necessary difficulties OF
her position needlessly complicated Still al
lowing that her share of the debt was set down
at the lowest possible figure, the total amount
of bonds which the nation would probably
have to issue, in order to pay for United States
property acqnired, TO purchase the rudimcnts ol
a navy, and to settle finally with this country
would hardly be less than ten or eleven millions
of dollars, which, added to the present. would
bring the ,tal Indebtedness of the new nation
up in something like SI4,o00,OOo. Under the
circumstances of the case, it probable
that the bonds of the new nation might be had NJ
a very reasonable rate. With regard to the ex-
penditure of South Carolina as an independent



along the inland frontier-some Goo or zoe
miles lOug-would be expensive. Judging from
the cost of our foreign customs service in the
North, this lire could not be guarded against
smuggling lor less than S75O000 to 81, 1000, GOO a
year At least as much would have to be spent
on an army and navy to begin with, and if the
new nation had any foreign representatives, this
service would cost something more.


With great economy, perhaps an Independent
government might be established and carried on
at first for about four millions of dollars 1000
600 = a year, which, added to the intrest on the
debt and losses for discount on bonds ect., would
swell the annual budget to, say five millions of
dollars This is comparatively small annual
expenditure for an Independent nation-less than
one-twclfth the expenditure of the United States
or Great Britain. 1t is possible, however, that il
would be felt with some severity by the 300, 600
white citizens of South Carolina, who would have
to pay it. Under present government, every
citizen contributes directly, about 81 per head
for the support of the Federal Government. The
citizens of South Carolina contribute, as we have
seen. over and above these 81, 81 per head more
for the support Of their State government, max
ing their total taxation 81 per head. When
they had established themselves as an indepen
ent nation, they would find themselves taxed not
less than 1866 per head to carry on their gov
ernmeut."