THE GOVERNMENT OF THE UNITED STATES, In account with THE TAX PAYERS.

EXPENDITURES.

The total expenditure of the government in the fiscal year ending June 30, 1891, including the postal service, amounted to			$421,304,470 46
Recovered from postal service in compensation for carrying mails			65,931,785 72
Remainder			$355,372,684 74
Customs revenue returned in Rebates, Drawbacks, etc			11,937,408 79
Net expenditure			$343,435,275 95
Amount of extraordinary expenditures in the specific year ending June 30, 1891, which will not recur again:
Refund to States of Direct Taxes levied during the war		$11,521,496 92
Cost of Eleventh Census		5,942,977 13
			$17,464,474 05
Remainder representing the true cost of government for fiscal year ending June 30th, 1891			$325,970,801 90
Expenditures in that year which will recur and for which provision must be made from year to year, but which are not a part of the normal or true cost of government:
Pensions a little less than one-third for first payments which once paid are final			124,415,951 40
The true pension roll or payments which are recurrent until death amounted to less than $80,000,000. It is probable that all claims under existing acts will have been audited before June 30, 1894, when all first payments will have been liquidated. The annual pension change will then fall off one-third or more.
True cost of government			$201,554,850 50
Expenses of a variable but continuous character, to be repeated year by year at the will of each Congress, according to the ability of the country to bear taxation:
On Public Buildings		$4,811,822 16
On Rivers		8,760,464 71
On Harbors		3,490,162 52
On Naval Vessels		10,609,197 15
		$27,671,646 54
Disbursements which will be ultimately recovered:
Interest advanced on bonds issued to Pacific R. R., to be repaid by them and now recovered in part, year by year, and accounted for in the miscellaneous receipts of the Treasury,
	$5,408,871 12
Sinking Fund Union Pacific R. R.
	$1,837,098 45
Sinking Fund Central Pacific R. R.
	$481,191 25
		$7,727,160 82
Continuous expenditures on the whole lessening year by year:
Interest on public debt		$32,138,264 25
Indians, support of		8,527,469 01
Soldiers’ Homes, support of		3,599,199 81
			$79,663,740 43
Normal or true cost of government which is not subject to any great variation and which is diminishing in ratio to population			121,891,110 07
Legislative Department		$7,471,598 44
Executive Department		174,897 20
State Department		2,170,047 47
Treasury Department		29,216,319 86
Interior Department		15,271,705 34
Agricultural Department		1,797,147 16
Department of Labor		143,682 50
Department of Justice		810,112 74
Judiciary		5,808,080 77
Postal Deficiency		6,958,528 14
Army		36,201,599 93
Navy		15,867,390 52
			$121,891,110 07

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It will be observed that the true cost of the government was $121,891,110.07, and that the expenditures of a constructive order which will be constant for many years, varying and lessening in amount at the will of each Congress, were $79,663,740.43. These two sums taken together give all the expenditures which are of a recurrent description and which may be called normal, to which pensions are to be added:

Normal	$201,554,850 50
Pensions	124,415,951 40
Total	$325,970,801 90

Upon this analysis of the true expenditures of the fiscal years ending June 30, 1891, future expenditures may be predicated.

Having credited the government with these expenditures, we may now take up the debit side of the account.

Taxation and work are two names for the same thing. How much money’s worth is to be charged to the government and what were the sources or subjects of taxation from which its revenue is derived are given below.

The subjects of taxation and the revenue from each class are concisely given in the Annual Report of the Bureau of Statistics of the Treasury Department upon imports entered for consumption