JOHN ADAMS.
TO THE PRESIDENT OF CONGRESS.
Leyden, March 29th, 1781
Sir,
It is of importance to the people of America to observe how much lighter their own burthens are than those of their enemies, and for this reason I have every year since I have been in Europe taken notice of the new taxes laid, annually, in perpetuity upon the people of Great Britain by Parliament, in support of tyranny, in addition to all former debts and taxes. One sixth part of the new taxes of this year would be more than sufficient to pay the interest of the whole sum which America will expend this year in support of liberty. The new taxes consist in an additional duty of five per cent upon all articles subject to the duty of excise, except malt, soap, and candles, and green leather, valued at
£150,000 sterling.
| Seven per cent upon the drawbacks at the custom-house, | 167,000 |
| An additional duty of one penny three farthings upon each pound of tobacco, | 61,000 |
| A duty of a halfpenny upon each pound of sugar, | 326,000 |
| ——— | |
| 704,000 | |
| The interest of the new loan is said to amount only to | 660,000 |
| ——— | |
| Which leaves a surplus of | 44,000 |
There cannot be a more striking contrast than that between the conduct of Lord North and M. Necker. The abilities of the former as a financier consist wholly in laying new taxes without end; those of the other lie in finding resources for vast expenses, without laying any new burthens on the people. M. Necker is laying a foundation for a credit in France as solid as that of Great Britain, by stating to the public the expenses and revenues. This is the only solid foundation of public credit. America will never obtain a credit of any consequence in Europe until she has a credit at home. It is demonstrable that the people of America are able to lend to Congress every year more than money enough to carry on the war, and pay all expenses. What is the reason they do not. The reasons are plain; first, they have not known that their public money was expended by any fixed rule, so that they could judge how much it amounted to; secondly, they did not see any certain prospect of the punctual payment of interest or principal at a fixed value. All the art of financiering in America lies in ascertaining with precision by a fixed standard, how much our expenses are; next ascertaining what our income is; thirdly, how much must be borrowed; fourthly, how to assure the payment of interest and principal.