But one thing is proved beyond any shadow of doubt by this history of decreasing postoffice deficits and coincident increases in second-class mail, and that is, _that the deficit can be reduced with an ever-increasing body of second-class mail, carried at one cent a pound_. It can be, because the record shows it was. Below is a fuller history of postoffice deficits and second-class increases: THE FACTS AS TO DEFICITS AND SECOND-CLASS MATTER. The annual reports of the Postmaster General are the authority for the following figures: In the year 1870 there was a deficit in the operations of the United States Postoffice Department of 21.4 per cent of its turnover. In 1879 there was passed the act that put second-class matter on a pound-payment basis. An immediate increase in second-class matter began. In 1880 there was a deficit in the postoffice operations of only 9.6 per cent of its business. In 1885 was passed the law that made the rate for second-class matter 1 cent a pound, which still further increased second-class mail. It trebled in the decade preceding 1890. In 1890 the deficit in the operations of the Postoffice Department was 8.8 per cent. The next decade brought a much larger increase in second-class matter than any previous 10 years--from 174,053,910 pounds in 1890 to 382,538,999 pounds in 1900. The deficit in the postoffice operations in the year 1900 was 5.2 per cent of its business. In the prosperous years following 1900 the increase of second-class matter was stupendous; from 382,538,999 pounds in 1900 to 488,246,903 pounds in 1902, only two years. _The increase of advertising in the magazines was even greater than the increase in second-class matter._ These years brought the great forward movement in _the production of low priced but well edited magazines_, made possible by large advertising incomes, and also in the increase in circulation by _extensive combination book offers_, and so-called “clubbing” arrangements, by which the subscriber could purchase three or more magazines together at a lower price than the aggregate of their list prices. In 1901 there was a deficit in the postoffice operations of only _3.5 per cent of its business_. In 1902 the deficit for the postoffice operations was _2.4 per cent_, the smallest percentage of deficit in 18 years and the smallest but two in 40 years. RURAL FREE DELIVERY STEPS IN.