Year: 1868

to-day's HERALD, have been to exhibit the |
present state of the national finances, SO far as
the debt and annual obligations for expendi- |
ture are concerned, and to discuss the condi-
tions under which the revenue required in |
order to meet such expenditures may be raised |
by taxation with the least detriment to the |
productive power and the welfare Of the whole |
country. The report is based upon the inves-
legations which the Special Commissioner has
made, not only as to the sources of national
revenue, the best methods Of collecting re-
venue, the administration Of existing revenue
laws, and the relations of foreign trade to
domestic industry, but also as to the revenue
systems and industrial conditions in Great
Britain and some of the leading States of con-
tinental Europe. A visit to Europe and per-
sonal examination of its various revenue sys-
TENS has enabled Mr.. Wells to compare the
financial condition and prospects of the United
States with those of other nations. He pre-
sents picture full of encouragement in re-
spect to our own financial and Industrial future.
His conclusions are =" That the United States
is the only one Of the leading nations of the
world which is, at present, materially dimin-
ishing Its debt and reducing its taxes and


the only one, moreover, which offers any sub


stantial evidence of its ability to pay its debt


within any definite period, or even anticipates


the probability Of any such occurrence"


Mr.. Wells even feels authorized to say that the
people of the United States have great cause
for congratulation that the wave Of CONNER
| cal depression which, since the termination Of
| their war, has swept over the commercial
centres Of the whole civilized world has
brought so little of disaster to their interests,
| inasmuch as there is not to-day country in


Europe in which the paralysis Of industry is


not greater, the failures more numerous and
| the prospect Of an early return of commercial
| prosperity and activity less encouraging than


in the United States.


One thing at least, if, as in Mr.. Wells
| opinion, no other may be considered as having
been settled by the financial experience of the


past three years. and this is the marvellous
! capacity Of the country for revenue, which


has been proved to be equal, under the most


unfavorable conditions, to every requirement


for expenditure and for the extingushment Of


the debt at rate which finds no precedent in


the history of any other nation" A single


instance cited by Mr.. Wells illustrates in q


striking and suggestive manner the productive


power of the country to meet current expendi-


lures and reduce or extinguish debt We refer


to the fact that the estimated present average
| annual value Of the apples alone sent to mar


ket from eight of the sixty counties of the
State OF New York-viz., four and half to
five millions Of dollars-is sufficient to pay the
| interest on the entire State debt and add
about two millions annually to the sinking
| fund 80 that if all other forms Of industry or
production in the State Of New York should


cease to contribute to the State debt but the


apple trees in those eight counties should con-


tinue to grow and produce, their annual pro-


duct, if devoted to this purpose through the


patriotism Of their owners, would In less than


ten years extinguish the whole debt, including
| the present unliquidated cost (ffteen milions)


Of the Erie canal. This single instance may


serve to suggest the incalculable material


strength and development Of the whole nation,


and to silence all who are disposed to croak


about its inability either to carry or to extin-


guish the national debt. The figures speak


eloquently on this point in the review by Mr.


Wells Of the present condition Of the capital


and industry Of the country, and Of


their ability to sustain the necessary


burden Of taxation. The Commissioner shows


with what wonderful rapidity the country as
1 whole, is recovering from the effects OF the


war and resuming its normal condition Of


development and progress. Immigration,


which makes positive yearly addition to the
wealth and producing capacity Of the country


Of not less than one hundred and fifty miliens Of
| dollars; continued increase in the invention
ofmachinery and the perfcc.ing Of proces sses for


improving and cheapening products; an in.
| crease in the quantity and value Of the
| national agricultural products-.hc aggregate


crops Of oil kinds for the year 1867 although
| less In some respects than what was antici-


pated, having exceeded, both in quantity and


value, those of any previous year; an increase
| in the capital invested, and In the number and
capacity of establishments for manufacturing
| purposes; the Increase in the production of
! pig iron, OF anthracite coal, of petroleum; tho
increase of tonnage on tho northern lakes and


other inland waters; the increase in the earn.


ings Of the leading railroads; the increase in


the aggregate business of the country, and


particularly that OF the principal cities; the


Increase in the number of houses erected dur.
ing the past year, estimated to be greater than


in any former year OF our national existence;


in fine, all our multiplying sources Of in
creased prosperity are indicated by the Com
missioner as full Of promise for the future.


Mr.. Wells suggesting an estimate of our


national annual expenditure at one hundred


and forty millions for ordinary expenses, one


hundred and thirty millions for interest and
fifty millions for the reduction Of the principal
~ ilnd dnht i.aAi