COMMON SENSE AND THE TARIFF QUESTION. 603 



like, and the cost of the collection of revenue ; second, the support 

 of the army and the construction of fortifications ; third, the sup- 

 port of the navy, without expensive appropriations for construc- 

 tion ; fourth, the deficiency in the postal service ; fifth, the interest 

 on the public debt ; sixth, the support of the Indians ; and seventh, 

 the miscellaneous expenses. The sum of these regular or normal 

 expenditures, aside from war obligations, according to the esti- 

 mates submitted by the Secretary of the Treasury for the next fis- 

 cal year, which estimates until now have been more apt to be cut 

 down than increased by Congress, amount to less than $200,000,- 

 000. We may set off a tax against each branch of expenditure, 

 and the conclusion which we reach is rather singular. 



Omitting fractions, the internal revenue from whisky more 

 than pays the cost of the civil government. The excess added to 

 the tobacco tax more than suffices to pay the army expenses and 

 fortifications. The navy floats on beer, with a part of the beer 

 tax to spare and carry forward. The income from the Indian 

 trust funds meets the cost of the Indian Department. The mis- 

 cellaneous permanent receipts of various kinds more than cover 

 the miscellaneous permanent expenses ; while the sugar tax and 

 the revenue derived from imported liquors and tobacco cover the 

 postal deficiency and the interest on the public debt, with $10,- 

 000,000 to spare. 



Were it not for pensions and sinking funds, our pleasant vices, 

 with the tax on sugar added, would support the Government on a 

 very adequate scale, not very economically administered, and with 

 a margin for contingencies of more than $10,000,000 to spend on 

 rivers and harbors. 



This is only one way of putting the case. It shows how easily 

 we could cover all the normal or peace expenditures of the Gov- 

 ernment by taxing nothing but spirits, beer, tobacco, and sugar. 

 But we are subject to war expenses and we must continue some 

 war taxes for a term of years. We may therefore make up two 

 accounts : 



War Expenses : ^°- 1 ' 



Current annual pensions, $65,000,000; arrears, $35,000,000 $100,000,000 



Interest on war debt 31,500,000 



Sinking fund 48,500,0 00 



Total war expense $180,000,000 



' War Taxes : 



Internal tax on whisky $78,000,000 



Internal tax on beer 27,000,000 



Internal tax on tobacco 33,000,000 



Duties on sugar and molasses 60,000,000 



Elasticity in next fiscal year 2,000,000 



Total war taxes $200,000.000 



Excess of war revenue carried forward $20,000,000 



