The New Orleans daily Democrat., 1878-06-19
MUNICIPAL EXTRAVAGANZA.

few months ago Mr.. Parker told the
story Of municipal extravaganza in the
United States since the war. The showing
he made was alarming indeed. The entire
country seemed to have gone mad; cities bor-
rowed money in the widest and most crimi-
nal manner, piling up debts on top of debts
that it was clearly impossible they could
ever pay, increasing taxation until all indus
try and commerce were crushed out and de-
stroyed; in fine, living a wild, spendthrift
and extravagant life, with no care or thought.
| apparently, for the future.
Mr.. Korosi, Of Pesth, has Just written a.
similar book on the municipalities Of Europe.
He shows that municipal extravaganza is not
| confined to America; that large number of
the most important cities of Europe have
practically bankrupted themselves In the past
two decades truly the age of extravaganza.
Therei is scarcely a town in Europe, Mr.. Korosi
shows, whose expenditures do not exceed it's
revenues ALI of the leading cities have doubled
their ordinary expenses in the past ten years,
whilst their population has increased scarcely
more than 10 per cent. In Paris the ordinary
expenses of the city has increased so per cent
In the past ten years. from $3O,OOO,0OO to
S45,0OO,000, while the population has increased
barely 10 per cent; in six years the expenses
Of the city of Berlin have increased $50 per
cent, from $3,6OO,OOO to $9,4OO,OOO; in Vienna
the increase Is 150 per cent, from $5,4OO,OOO to
$13,5OOO00; in Stuttgard the increase is 300
per cent in nine years; In Florence 23O Der
cent In nine years-that city, with a popula-
tion half that of New Orleans, being compell-
ed to raise an annual revenue of $4,750OOO:
while in four years the expenses of the city
OF Rome have nearly doubled.
OF course all these cities find great difficulty
In raising enough revenue to pay expenses.
Many OF them, as Naples and Florence,
are practically bankrupt. The latter city now
enjoys an annual deficit of nearly million
dollars. 1t has farmed out all it's revenues to
its creditors, and is now asking for some
sort OF release, threatening if this be not
granted to repudiate.
There seems to be little reason to doubt that
much OF the "hard times" which now prevail
over almost the entire globe Is due to this
municipal Indebtedness and the consequent
heavy taxation that paralyzes trade and de-
stroys industry. 1t is more difficult, however.
to discover the cause that brought about this
municipal extravaganza. In the United
States it was due, in large part, to
the peculation of official rings such as Tweed
organized in New York and the Radicals in
most OF the Southern cities. In Europe
however, official rings seem to have played
put small part in bankrupting these cities
The late European wars, the ease with which
money could be borrowed, and the attempt to
improve the condition of the laboring
classes evidently did much to develop munich
pal extravaganza and bankruptcy. How the
evil is now to be remedied it is hard to
see; these cities are all in debt beyond their
means to pay; economy may reduce expenses
but will not pay debts. The problem is an
important one, but at the same time one
almost impossible to solve.