------+--------------+--------------+---------------+-------------+ | Amount of | Payments | Debt | Annual | Years.| Public Debt | on | Contracted. | Increase. | | January 1st. | Principal. | | | ------+--------------+--------------+---------------+-------------+ 1802 |$80,712,632.25| $3,657,945.95| - | - | 1803 | 77,054,686.30| 5,627,565.42| $15,000,000* |$9,372,434.58| 1804 | 86,427,120.88| 4,114,970.38| - | - | 1805 | 82,312,150.50| 6,588,879.84| - | - | 1806 | 75,723,270.66| 6,504,872.02| - | - | 1807 | 69,218,398.64| 4,022,080.67| - | - | 1808 | 65,196,317.97| 8,173,125.88| - | - | 1809 | 57,023,192.09| 3,850,889.77| - | - | 1810 | 53,172,302.32| - | - | - | ------+--------------+--------------+---------------+-------------+ ----------------- Annual Decrease. ----------------- $3,657,948.95 - 4,114,970.38 6,588,879.84 6,504,872.02 4,022,080.67 8,173,125.88 3,850,889.77 - ----------------- * Louisiana purchase. 1802 $80,712,632.25 Decrease $36,912,764.51 1810 53,172,302.32 Increase 9,372,434.58 -------------- -------------- $27,540,329.93 Decrease in 8 yrs. $27,540,329.93 From this it appears that, notwithstanding the extraordinary increase of the principal by the amount of the Louisiana purchase, Mr. Gallatin contrived a reduction of $27,540,329. But if to this be added the true reduction for the year 1803, namely, the difference between the Louisiana debt, $15,000,000, and the increase for that year, by reason of that purchase, $9,372,434, say $6,627,565, the reduction is found to be, and but for that disturbing cause would have reached, $34,167,895, a sum exceeding by $1,878,895 that estimated by Mr. Gallatin in his report of 1801 as the amount of eight years' reduction, namely, $32,289,000. The ways and means of this remarkable example of financial management appear in the following extracts from Elliott's synoptical statement (table given on page 194).