Year: 1873

From the n. Y. Journal Of Commerce.


The next Congress, we think, will be deter
red somewhat from the passage OF subsidy
bills by the almost unanimous, threatening


protests OF the people. The public sees by


this time that the word subsidy Is only another


term for stealing. Out of thousand dollars,


or thousand acres Of land, voted in aid Of an


enterprise, about quarter Is distributed TO


promoters through the lobby, about half Is


gObbled up by contractors and commission
agents, and the rest Is used in executing the
work to be aided. Sometimes the proportions


are different from those we give; but the prin-


ciple is invaTiable, that the subsidy does not
| wholly, or In large part, go to the execution of


an internal improvement, but into the posses


sion OF the ring which procured its appnOprIa-


ton. The first OF these diSgraced the country
| as no other one scandal has done, impaired


the national credit, broke down confidence in


official and personal integrity, and was, not
remOtely,a cause Of the present financial tEou-


bles. Next TO the Credit Mobiier In its per-


nlcious example and its disastrous effects we


place the Northern Pacific jOb-and that was


the pet child Of subsidy. 1t received outright
and unreservedly aid which was only In Ger


tain sense lent to the Union and Central Paci.


fic. In the affair of the Northern Pacific, the


false principle of subsidy distanced in its au-
dacity everything that had gone before It


reached the high points Of folly, extra vagance
and dishonesty. From this climax the descent


has been swiftly made and at this daY the


principle of subsidy stands before the public
confessed fraud and failure, and there Is no


one willing TO stand up and say a word in its
defense. Hence its OblIteratiOn from the top


les booked for the next session for the Nation
al Board of Trade. Nothing more startling
than the development Of the Credit MObilier
swindle and the Northern Pacific explosion
could have shaken some people out Of their
infatuated love for subsidy y-giYing rs policy
of government. 1t was the old delusiOn Of q
strong, central protecting administration, which
should take all sorts Of schemes underits wings
and be eVerybOdy's parent and benefactor.-
At the very best such principle is fatal In
application because it makes the governed
lean too much on the government, instead OF
using their own intellect, energy and money.
But, in practice, as we have seen IL illustrated
OF late, this is the least of the evils that subsi-
dies produce. They not only make people q o
dependent on government and too dlstTustfu,
of themselves, but they are the occasions OF
Corruption and swiDdling They dlebauch |
Legislatures and they rob the people. ThrOu Oh |
out the country there are thousands of men |
whS have invested in securities which rest |
wholly on the foundation Of government sub /
sldies, exchanging for them good, solid gov
bonds al tie earnest rrQuest of COM
mission agents These unfortunate persons /
are now racked with anxiety to know whether |
these investments are more than worthless pa /
ptrS aud no one can answer an relieve their /
distress. Holders of such securities now dis. |
cover why we have opposed the principle of /
sustaining private enterprises by the national |
purse, or land, or credit.