| | | -- ----+--------------+--------------+---------------+-------------+ 1802 |$80,712,632.25| $3,657,945.95| - | - | 1803 | 77,054,686.30| 5,627,565.42| $15,000,000* |$9,372,434.58| 1804 | 86,427,120.88| 4,114,970.38| - | - | 1805 | 82,312,150.50| 6,588,879.84| - | - | 1806 | 75,723,270.66| 6,504,872.02| - | - | 1807 | 69,218,398.64| 4,022,080.67| - | - | 1808 | 65,196,317.97| 8,173,125.88| - | - | 1809 | 57,023,192.09| 3,850,889.77| - | - | 1810 | 53,172,302.32| - | - | - | -- ----+--------------+--------------+---------------+-------------+ -- --------------- Annual Decrease.
-- --------------- $3,657,948.95 - 4,114,970.38 6,588,879.84 6,504,872.02 4,022,080.67 8,173,125.88 3,850,889.77 - -- --------------- * Louisiana purchase.
1802 $80,712,632.25 Decrease $36,912,764.51 1810 53,172,302.32 Increase 9,372,434.58 -- ------------ -- ------------ $27,540,329.93 Decrease in 8 yrs.

$27,540,329.93 From this it appears that, notwithstanding the extraordinary increase of the principal by the amount of the Louisiana purchase, Mr.Gallatin contrived a reduction of $27,540,329.

But if to this be added the true reduction for the year 1803, namely, the difference between the Louisiana debt, $15,000,000, and the increase for that year, by reason of that purchase, $9,372,434, say $6,627,565, the reduction is found to be, and but for that disturbing cause would have reached, $34,167,895, a sum exceeding by $1,878,895 that estimated by Mr.Gallatin in his report of 1801 as the amount of eight years' reduction, namely, $32,289,000.
The ways and means of this remarkable example of financial management appear in the following extracts from Elliott's synoptical statement (table given on page 194).
The purchase of Louisiana was the extraordinary financial measure of Jefferson's first presidential term.

Though the new obligation for the consideration money, fifteen millions of dollars, was a large sum in proportion to the total existing debt of the United States, it did not in the least derange Gallatin's plan of funding and reduction, but was brought without friction within his general scheme.

With the terms of the contract Gallatin had nothing to do.