Year: 1872

One of the most encouraging facts Of the
time IL that which is derived from the his
tory of our national finances during the
last three years,-and it deserves to be not
ed all the more because great WORK has
been going on, in comparative silence,
while the country has been agitated by the
noisy brawls ofambitious politicians. Since
the beginning of March, 1869, the public
debt has been reduced to the amount of
more than S2s7, 200, 900, without including
what has been redeemed in this month of
February. The amount known TO have
been paid is almost 5000 900, 900 year. At
the same rate Of extinction, the entire debt
could be paid Off and extinguished in n
bout twenty years from this time. But
could this rate of liquidation be kept up
without the maintenance of improper taxes,
improper because injurious to business
aud to industry? We think it could; and
for two reasons. The first reason is this:
The country is growing fast, and its re-
sources are in course OF rapid development,
the effect of which must be greatly to in
crease the revenue derived from imports.
The probability is, that during the next
v
sound tariff which should afford ample
protection to home industry, would yield
an average revenue of $500, 200, 900, because
of the great consumption that would follow
from tue increase of our opulation from
about 100000 10 not less than 60,000,00
Such a revenue would suffice to meet all
the demands on government, including the
payment of the principal and interest If
we pay 500, 100000 in 1872 we shall have
the interest thereon, or sj,000,000 to use in
helping pay the principal. In this way an
enormous gain would soon be made,-a
gain SO great that we might look for the en-
tire payment OF the debt in much less than
twenty years. 1t would be the application
of compound interest to the work OF liqui-
dation. Already, and in three years only.
we have reduced the amount Of annual in
terest on the debt almost SIS ,000, 600, by the
simple process of paying almost S30O,00O,-
900 Of the principal. This shows how rap
idly the debt would honestly vanish were
we TO go on paying 1t only for half dozen
years at the same rate that we have made
payments on it since the beginning of the
spring of 1869. Probably half the debt
would be paid at that time,-say at the
close Of the fiscal year of 1875, June 30th.


II is to be noted that, while we have paid
so much Of the debt, we have at the same
time abolished many taxes, and reduced
many more. The amount of taxation abol-
ished or reduced approaches to 5000, ,0O0, 900,
and it is in contemplation to remit $50, 000-
600 more. Even the income tax is but the
shadow of what it was, and probably it
will be collected for the last time in 1872,
and on incomes received in 1871. Thus we
see that we have paid debts while putting
an end 10 taxation, showing that we can de-
pend upon the growth and increase of the
country in wealth and population to furn-
ish abundant means to meet all the claims
that can be fairly made upon us. 1t only
remains to he added, that we have sur
plus in the treasury of about 500, ,000, 900
which reduces the public debt to that a.
mount, as it is available for use in paying
part of that debt The picture is a fine
one, and derives no small part of its beau
ty from its correctness and ii is something
very different from what we expected il
would be ten years ago, when the issue of
the civil war was very uncertain, and when
many of us thought we were fast Fastening
to defeat and bankruptcy WatchmGn and
Reflector.