ed with the subject, informed the House that it
had been determined not to enter upon a general revision. He
reported a measure to extend the schedule of dutiable articles with
the view of adding immediately to the revenue about $22,250,000
annually. After disagreement with the Senate his bill with slight
alteration was enacted and became the tariff on Aug. 5, 1861. In
Dec. 24, 1861, the duties on tea, coffee, and sugar were increased
directly as a war measure. During the consideration of this bill,
Mr. Morrill presented estimates showing that the revenue would be
increased by about $7,000,000, and Mr. Vallandigham of Ohio took
occasion to dwell on the falling off of importations, asking, "How
are you to have revenue from imports when nothing is imported?
Your expenditures are $500,000,000, your income but $50,000,000."
He was much nearer the actual figures than political rhetoric is
apt to be. Mr. Morrill's response was only to hope that the
gentleman from Ohio had some proposition to offer more acceptable
than the pending bill. That bill was indeed a reasonable, and, so
far as it went, an effective measure, and Mr. Vallandigham had no
substitute to offer.

NATIONAL FINANCES IN 1861.

In his annual report as Secretary of the Treasury, Howell Cobb had,
on the 4th of December, 1860, estimated that the receipts of the
Treasury for the fiscal year ending with June, 1862, would amount
to $64,495,891, while he reckoned that the expenditures would be
$68,363,726. With the prospect of peace and national unity he
predicted a deficiency of $3,867,834 for that year. His figures
were so preposterously incorrect as to justify the suspicion of
intentional misstatement. The deficiency for the four years of
Mr. Buchanan's administration had been, according to a statement
by Mr. Sherman of Ohio in the House of Representatives, almost
exactly $20,000,000 a year. This deficiency had been met by
continual borrowing. On the 11th of February Secretary Dix reported
to the Committee of Ways and Means that provision must be made
before the 4th of March for a final deficiency of $9,901,118. This
necessity was provided for by a clause in the Morrill Tariff Act;
and the authority to issue Treasury notes to the full amount of
loans previously permitted, gave to the administration of President
Lincoln the means to start upon its difficult career.

With a revenue which no one estimated