The War with Mexico, Volume 2 (of 2)Smith, Justin Harvey
History
The War with Mexico, Volume 2 (of 2)
Smith, Justin Harvey
Mexican War, 1846-1848
Since the beginning of hostilities our blockade, assisted by new
methods of wholesale smuggling, had greatly reduced the income from
duties, which had always been the principal reliance; the adoption of
the federal system had given the best part of the internal revenue
to the states; and the residue was almost wholly eaten up by the
officials. The foreign debt amounted now to more than fifty millions
and the domestic debt was nearly twice as great. Every known source of
income had been anticipated. Freewill offerings had proved illusory.
By ceasing to make payments on account of the debt in May, 1846, the
government had largely increased its income, of course, but it had
forfeited all title to financial sympathy; and the high officials,
who robbed the treasury still in this time of supreme distress, had
stripped it of all title to respect.[21.5]
The government, therefore, had no real credit. Men who made this kind
of gambling their business would now and then furnish a little money
for a brief term at an exorbitant rate. In February, 1846, for example,
a loan was placed at a total sacrifice of about thirty-seven per cent.
But when the treasury was authorized to borrow fifteen millions in a
regular way, nobody cared to furnish any part of the sum. New taxes
were equally vain. In October, 1846, the government imposed a special
war "contribution" in order to save the Mexicans, it explained, from
becoming foreigners in their own country, like the Spaniards of
Florida; and the chief result was to enrage a handful of persons, who
found they had been silly enough to pay while almost everybody else
had laughed. In November a forced loan was demanded of the clergy,
but the project aroused such opposition that substantially it had to
be given up. The whole gamut of methods, even violence, has been tried
in vain, said the ministry in December. Business was dead, confidence
gone, capital in hiding or sojourning abroad; and if by good luck a bag
of silver dropped into the treasury, it seemed to evaporate instantly.
Financially, reported the Spanish minister, the situation of the
country was "truly frightful."[21.5]
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account