HOW SHALL EXPENDITURES BE GAUGED?
“Such, in my view, are the relations which the expenditures of the revenue sustain to the honor and safety of the nation. How, then, shall they be regulated? By what gauge shall we determine the amount of revenue that ought to be expended by a nation? This question is full of difficulty, and I can hope to do little more than offer a few suggestions in the direction of its solution.
“And, first, I remark that the mere amount of the appropriations is in itself no test. To say that this government is expending two hundred and ninety-two million dollars a year, may be to say that we are penurious and niggardly in our expenditures, and may be to say that we are lavish and prodigal. There must be some ground of relative judgment, some test by which we can determine whether expenditures are reasonable or exorbitant. It has occurred to me that two tests can be applied.