rVIIL1?llMt WBKHtr IIY THOMAS W. I.OltRAlN, ronxKii or hiciuiiiim*^ ???? tA#i mriiBpr*, juati-Ttton-o RITKHnmA*?TAV*rtS. 7V;.,?i? of A'MA?r;/>//m.~Thf?a riollai-ft per annum, p*y' able in advance.... >>? pnpo to be discontinued, ?but?t tbr option ot'tlic Kditnr, until nil arrcnrarei iit'c paid. .hhiriticinriit* not exctcd'iijc tbortec;! line*, lowxtcd the l*u>t i iiik* fur wrerttyrflvt4 crntx, and flirty c*nt* for <\?r!i NttlMequfint insertion \ ami hi die twine proportion for u larjjcr number of lifai. ??' ? ? .I'lUJJ V3*SSSB?SSSSS. r?i ??. . ' 4 T * :** ? ? National Vimmtto. v "".y. "?"W' ' ' ?! ? * A ft ITKAO ^ ?, ' AI4 TUKA8imV oecrewry of the Tr&Mify has tlm hon or U? lay before CongfeH* the. following Uoport, tomprcfiendlng,?!. A cur?6ry review of the fi nancial operations ofiuio ipvcrnlnoiit i];r<4fer* enco (it (ho recent WOf* "? A \iew of ?he fluauccM for 1 estimate* of the flub lie n'veniio f?r 1^16. HI. Pro* IiosiiiohH for thteijmff&vcmcnt & niauajxcmcnm ho revenue ttfwTIG? tho jttp|)ort of public crciHt. 1 4 A ctfrsoru vUwhf^the financial operations of f^vqriiniw ft iiytftreiicetothe recent state of It^ordcirtfo liitroduO&to the consideration of congress HvSth adjpntage, the measures which will be respectfully suggested* for replacing the finnncekidthe United ntirtes upon the basis of a peatie establishment, a review of tlie llnancial operation of the government, in reference to the recent state of war, appears to be a nccc**a ry preliminary. 4^ Tiio restrictive system. which commenced in the year 180/,' grtfotly diminished the product of the public revenue ; but it h uh not until the crisis involved an actual declaration of war, that the augmentation in the cxpenccs of the gov eminent became obvious and important. With 1lic occasional aid of tcm|>orary loans, the ordi nary receipt* of tlie Treasury Itad exceeded the ordinary expenditures, even during the period of a suspended commerce) and a report from this department* presenting the estimates for the year 1819* seems to havo given the first inti mation that the portion of extraordinary cxpen ccs to be incurred for tile military and naval ser vice, on account of the then existing state of the country, would raise tlie demands u|>on the trea sury to a considcrablvMftpiuunt beyond the esti mated product of tlie cufrcnt revenue. The or dinary disbursements for the year cuditijr on the .10th Sept. 181 1, were stated at P>1.1,052,G57 73, and the ordinary rccoiute formic same year, at ftlft,54l,446 ctn. independent of a temporary loan (raised in 1810 and repaid in 181)) as well of the balances in the treasury nt the commence ment and close of the year. l)ut the estimates for 1812 required on tlie account of current ex? j.vunon are Sum of ?O,4WV>00 ? and tjlO fciitadrtr nig revenue to meet those expenses was estima ted at 88,20c , 000 $ leaving a delict for which it was proposed to provide by a loan amounting to the sum of Sl?200,000. Such were the limited objects of expense, and such the limited means of supply at the commencement of the year in which war was declared. An increase of the ex pense and a diminution of tho supply must have been anticipated as the inevitable consequence of that event j but tho government reposed with confidence, for all the requisite support, upon the untried resources of the nation, in crcdit, in ca pital and in industry. 'Hie confidence was justly reposed ? yet it may perhaps be. considered as a subject for regret, and it certainty furnishes n lesson of practical policy; that there existed no system by which tlie internal resources of the country could ho bjoiwht at once into action when the resources "fits external commerce became incompetent * ? answer the exigencies oi' the. time. Tho existence of such a sys tem would probably have invigorated the early movement* of tho war, might have preserved tlie public crcdit unimpaired, and would lyive ren dered the pecuniary contributions of the people more enual as well at more effective. Hut ow- 1 ing to the want of such a system, a sudden anil almost an exclusive resort to the public crcdit wn* nccc-nr.rily adopted as the chief instrument of finance. 'IV nature of the initrument em ployed v. a- soon developed and It was found that public credit could only be durably maintained upon the broad foundation of public revenue.?? < )n The opening of the session of congress In Nov. 181 1, the legislative attention was devoted to the organization of the military ami naval depart ment.- upon the enlarged scale of n war establish ment t so that the appropriations ft?.* this pur pose, far e\ceeded. in a short time, tin-: estimates anil the resources '<( the Treasury, n/ tJ'ey have i?ec:n already described. Ways and meaiii' were, thevefor?'. provided to meet tho extrrtord/miry demand* t mis created { ln ? they were derived e\ciu-hi?lvMl by c1(2 years from the 1st of January 1814. The. payment of the interest; and the redemption or, purchase of this stock, ore charge ed upon, the jinking fund.( 2. And an authority was given to issue Trea sury Nofcs, for a aum not exceeding 5,000,000 of dnllart? absolutely ; with n provisional art thority to isstto an additional sum 8, 042 dollars, 43 cents, and in the proceeds of loans and treasury notes at ?.1,07(5,912 dollars SO cents, making together 30,007,007" dollars 03 cents: and the actual disbursements of the same period .vcre sUted at 32,928,835 dollars 19 cent*. independent of the lialaticcs in the treasury, at the commence ment and the close of the year. Hut the esti mates for the year 1814, required a h.um of 45, < 330,000 dollars, leaving a deficit for which it was proposed to provide, 1st, by a part of a ba lance in the treasury, and second by loans ami treasury notes, amounting to 30.980,000. For the deficit thus approaching the sum of 31,000,000 dollars, the only provision made during the-sossion which commenced in Dec. 1813, rested again upon the public credit, j f. Authority given to i???ie 5,000,000 dollar* of T reuse ry N.Uch, and to raise by loan 23, 000; 000 dollar*.} nun accordingly, hi rtmenf, dated ?,wli into the 1 imUof. lipts was s'fated Tho embarrassments of the treasury, after the adjournment of congress in the year 181-4. be came extreme. It appears that the disburse ments during tho first half of that year, liail a* mounted tflHfe sum of 19.099,781 dollars 27 cents ) and The balance of the appropriation* for the name object* of expenditure required during tho other half of the name year wan set tlod at the turn of 27,576,391 dollars )9 rents. Hut the actual receipts into tho treasury during the first half of the 1814^ had Amounted to 19, 219,940 dollar*, 3.1 cents ; and the estimated aggregate of the funds to meet the demands on the treasury to the close of the year 1814, wat the sum of*37, 102,585 dollars 55 cents, leaving a deficit for the service of 1814, after absorbing all the cash of the treasury, amounting to the sum of 10.107,580 dollars' 91 cents. To sup ply thin deficit of $ 10.167, 580 91, to provide aii additional sum for the contingencies of tlx yenr, and to accelerate the fiscal measures which were essential to the prosecution of the war, in 1 81.1* the interposition of tho legislature was deemed indispensable. The plan of finance which was predicated upon tho theory of defray* iii'j,- the extraordinary cxpencea of the war fry the successive loans, already became impera tive. The product of the revenues had ceased io furnis'i an amount equal to the exnendlture of t'ne former peace establishment, with an ad dition of (he interest upon the debt contracted on account of wni4. And the sudden suspension of siiecie payments at the principal banks e Rtablished in the different states (however il may l*e excused or justified by the apparent ne cexnity of the case) had exposed the govern ment, as well as private citizens, to all the in conveniences of a variable currency, devoid a - like of national authority, and of national cir culation. The treasury could no longer trans fer its funds from place to place t and it became of course, impracticable to maintain the accus tomed punctually in the payment of the public, engagements. Under these circumstances the congress was convened by the special call of the president, in September; 1814, when the citizens of every or cupation and pursuit, seemed eager to second the legislative clVorts to replenish an exhausted treasury* and torenovato the public credit.? Commerce continued to contribute* perhaps to the extent of its capacity. Agriculture, though buffering the want of a vent for some of its im portant staples* was every where prepared for the requisite exertion. Domestic manufactures which hod, scarcely surmounted the first strug gle for existence* yielded to the patriotic im pulse ) and the capital of individuals, in all its variety of form, offered a ready tribute to relieve .the necessities of the country. - [Tl?c incrcuMtl dutie* on komc article* sml new tin t.?* on oilier* cmimerntctl.) It will he natural here to enquire into the mi neral eftccUof tho war upon the debt of theU. States ; ami 4h o annexed table inurkcd C. ex hibits a detai.v t statement of tho uusati*ficd n mounton the l?tdny of January* annually* from the year 1791 ? to the year 1813. both, inclusive. 'Hip Mihjcct, however, inay be placed distinctly* in the following point of view, upon estimate* referring to the date of the 30th of Sept. 1813. Of the I'lihUc Debt. ? I. Tho amount of the Funded Debt contracted before w ur, which re mained on the 30th September, 1813, may be stated nt the sum of 3!). 1 35,484 doll*. 90 cents. ?. The amount of the funded debt, contract ed on account of the late war, on the 3fHh of September, 1813. may be stated ut the slim of 03,144,1)72 dollars 30 cents.. 3. The amount of tlip floating debt contract ed since tho commencement of the late war, may be stated at tho sunt of 17, 333, If " dollars. II. *1 view of the Finances for 1813, with rati mates of the public revenue toul expellee# for 1310. At the close of the last session of ctfngress, the demands upon the trensury were interesting in their nature, as well as great in their amount. Exclusive of tho ordinary exnences of the go vernment, they consisted or demands for the I payment of the army preparatory to its rcduc I tion to the peace establishment, with other very heavy arrearages and disbursements on the war 1 and naw departments ; for the payment of the dividends on the funded debt, und of the ar rearages as well 'kiltie accruing claims, on nc count of the Treasury Note deut t and for the payment of the LouiHiami dividends, with other considerable debt* contracted in Europe, in con sequence of the late war. The efficiency of tho means which ueie posHCFScd for the liquidation of these demand*, depended'upon circumstances beyond the con troul of the government. The balance of mo ney in tho Treasury consisted of bank credits, lying chiefly In the* southern and western sec tions of tho anion. The revenue, proceeding e. ? prior to the last sen was, comparatively, of small amount. Tho revenue, proceeding from the E revision made during that session, could not e available for a, great portion of the present year i and in both instances the revenue was. payable in Treasury Note*, or it assumed the form of bank credits, 6t the respective places ol collection. The only remaining resources for immediate use* were an additional issue of| Treasury Notes, ami a loan ; but the success ful employment of these resources was render ed^ for some time* doubtful* by the peculiar si tuation of the credit and currency of the nation. The suspenftion of specie payment, , through out the greater part of the United States, and the consequent cessation of the interchange of bank notes and bank credits, between the insti tutions of tho different Atates, had deprived the Treasury of all the facilities of transferring it:? funds from place to place i and a proposition, which was made at an early period, to tho prin cipal banks of the commercial cities, on the line of the Atlantic, with a view, in some degree, to restore those facilities, could not be e lie c ted, for the want of a concurrence in the requisite number of banks. Hence, it has happened (and the duration of the evil in without unv positive I limitation) that, however adequate the public | revenue may be in its general product to din clmrge the 'public engagement*, it become* to tally inadequate in the process of it* application : *ince tho possesion of public funds, in one part, no longer afl'ord* the evidence of a fiscal capa city to discharge a public debt, in anv other part of the union. From the su?pension of specie payments, and from various oilier causes, real or" imaginary* differences in the rate of exchange nroae be tween the Heveral states, and even iietwecn the several districts in the xame state, and (he em barrassment* of the Treasury were more ami more increased : since congress had not none* tinned any allowance on account of the rate of (exchange* and the amount of the legislative ap propriations wan the same, wherever the legisla tive object* were to he effected. Hut the Trea sury Notes partook of the inequalities of the exchange in the transactions of individual . al though the Treasury could only issue them ct their par value. The public, stock, created in consideration of a loan, also pm took of the ine qualities of the exchange \ although to the go-: vernment. the value of the Ktock created, and , the obligation of the debt to be discharged, were J the name wherever the subscription to the loan i might be made. Thus, notwithstanding tlx* am- ] pie revenue provided, and permanently pledged j for the payment of the public creditor^ and not-' withstanding the auspicious influence of peace upon the resources of the nation, the market price of the Treasury Note* and of the public &tock wan every where f.ir below it * par. or true value, for u considerable period after the ad journment of congress | \ihrafing. however, with a change of place, from the rate of 7.1 to the rate of 1X) per cent. Payment* in bank pa per were universally preferred, during that pe riod* to payments in the paper of the govern ment j & it was a natural consequent e. w V, e\ ? ? the Tvcwury failed in procuring a local curren cy, it failed; in making a stipulated payment, J Under these extraordinary' and perplexing circumstances, the great cllnrt of the Treasury was, 1st. to provide promptly and efieclunllv u gainst nil urgent demand*, at tlio proper place of payment and to therequisitc amount of funds : 2d, to ovcrcomc tho difficulties of the circiilut - ing medium as far as it was practicable \ so that no credit ?r should receive more, and i-* debtor pay lew* in effective value, on .the vnne account* than every othef creditor, or everv other debtor -? and fid, to avoid any unreasonable iiacrifice of the public property/ particularly when it must, also, be attended with a sacrifice of (lie piiblir. crcdit. It wan not expected "thut (hid elfoi f woyld every where \ -educe the fame satisfac tion, and tlio same result* \ but thu belief is en tertained, that it has been suclrcssful in %'.?c al ? tainmviit of its object*, to ii..? extent of a just anticipation. Of the Lonn. ? -The annexed notice marked I*. dated the 10th March 1815,uas published, open ing a loan for the sum of St 2.0000, (M). The of fer* to subscribe to the loan prior to the 19th of April, 1815, placed (of. it wis proper to- place) money and treasury notes upon the Fame foot ing! but the offers varied essentially in tlie term>? and conditions that uito annexed to them j and ill point of fact, no direct oII'm- was made to .sub scribe nt a higher rate than 8!) per cent, while some of the oilers were made at a rate, lower than seventy -five per cent. l/pon thi.i experiment therefore, it wn>: seen at onre, that the new .situa tion of the irT.-ury required n new course Of pro. ceedini, and tbr.t neitm r tlw ji'Stice. due to the equal rights of tl:e public cr editors, nor a fair es timate ol the value, of '.he public property, nor an honorable regard for the public credit, would |H?nnit the loan to assume fne shape and charac ter of a scramble ; subservient to the saccula tions which create what is (ailed a market price, and shifting in every town ami village of even state, according to ,tho arbitrary \ai ialioiis what is called (lie difference of exchange. In this view of tho subject, all. the lifters of siih scHption tq the loan, made in the first instance, were declined j but it was declared, at the same time, that oilers at the rate of i)3 per cent, would be acccpted. The rate thus proposed, was adapt ed. on a cniifidcration of the value of the flock, of the equitable, as well as legal claim c.fljio hol ders of treasury note/, and of the real coalition of the public credit. The objects of tho loan be ing (as already stated) to absorb a portion Af the treasury note, ilebt, and to acquire a sufficient \ of local currency, for local pur^osei . tho pi ice of the stock at the treasury wasof, course, indepen dent of the daily up-and-down priced of the vari ous stock markets u? the union, and could only Iks affected by the progress towards the attain ment of those objects. Thus while tho wants of i)\o ?r*ftMiry W%T r innufllcKntly nuppllod,otfei!ito subscribe were freely accenteil, anu the parties were sometimes authorised & invited to increase the amount of their oilers; but where local funds l.ad ho accumulated, as to approach the probable amount of tho local demands, the price of- the stock was raised at the treasury j and where tlie accumulation una deemed attenuate to the whole amount of the local deinauus, the loan was closed. The policy of the course pursued at the trea-"? sury was soon demonstrated. Ofter.i of sub scription to the loan, of the rate of 95 j>er cent, payable in treasury noted, or in money, were presented to a large amount, soon after the rulo of the treasury wan declared ? and the annexed table market' u. will exhibit the progressive and actual state of all tlie subscriptions to tho SOtli of September last* . In the District of Columbia, the money sub scriptions, including the subscription of certain liquidated claim? upon the treasury) were suc cessively at 05, 00 l--:, 97, and romper cent, and finally, at par. In the city of Baltimore, the money subscriptions have been at 95 and 9G 1-2 per cent. In the city^of Philadelphia, the money tub* criptious have been entirely at 9.1 per cent. The price was raised at the trea sury from 05 to 98 jier cent, on the 18th of June, (subject^ of course, to all -unexecuted taibscrip tious previously accepted or authorized) anu, since that time*, considerable oilers have been received at 95 ami 90 per cent, but none have befen ret eivetl at the increased rate of 98 per cent. The subscriptions payable in treasury notes havt' been made in all places, at the same rate of 95 ]>er cent. Of the Revenue for 18JG, rstimnl'tl atcnrd hif* to the laws voir in force. ? By (lie ln\v:? now ill forco, tho revenue at Nina from cin*lomj?, dn litiR tlip year 1HW>. will ho nftoctod in tho fol lowing manner : tho present ratoa of duties con tinue until' tlif* IHlh of February, 18l(it when the duty on wilt imported will cense, nod tho. rates of flnticA on meiohandisw of o\i'rv de 'rtcription. imported in American vcxoU", will fall to ??>??? !??"? of tho amount* with t.lio exception of certain manufactured ni ticlc ronl'miied upon i In* corrc* pondinr? .".rtule* ?'! domestic ' i ::im far tare. On the Ifcih id' Kohni.irv. tin* e\tra duty mi mnrhn:idi/.o impt 'r?! i > i foreign \e* *e|y, which i* imw I .? ^ per cent. ? Hie irr."iii>t of the dutv in Ameri'.to vcm-I*. will till to M) per (cni. ??n thai amount, and llie t m; i.e dut v on loM'i'/n ? hich i * liovv ??. dollars per ton* will fall to ?K?y cent* per toil. I'l.o extra dut v i? el mi |j y?'e ??> ho aflWied hv tho operation of nitfu- aho|j?hir.'< all di>i rind nutitig dutii'H upo-i a I>,vm of na'ior.nl t.-iipio cit v. By the Iuvl 4 i.ow in fore. the revenue arUing from internal d'.fio will he nlVocteil in l! o follow iii't online"' : I ho dtilioi **?i h m* note*, on i!'.' ? ( ?? ??? -.t 1 ? *?-. i*k *' 'j? i'f ex