Smyrna times., 1878-01-23
One Cause of Hard Times.

StatlSClclanS are not the most interesting
people in the world, but they are undeni-
ably useful, and once in while they bring
out an array of figures that commands
attention. Such an array is that which
Mr.. Robert P. Porter, of Chicago, drew up
before the recent Social Science Congress
at Boston. Mr.. Porter has been studying
the subject of municipal Indebtedness, and
has collated the financial statements of one
hundred and thirty American cities, from
which it appears that the debt of these
cities amount to more than $644,000,000,
two,thirds of which have been added dur
ing the past ten years. The property of
these one hundred and thirty cities was
valued in the official reports at about six
thousand millions, and if we allow for the
property of the taxpayers has been already
mortgaged for fifteen per cent. Of its value,
and if the debt continue to increase in the
ratio of the past ten years, which is about
one per cent. annually, another decade
will bring this mortgage to the enormous
sum of twenty-five per cent. upon the
assessed valuation. A municipal debt, as
was we'll said by President Smith of the
Select Council, in his inaugural address, is
the first and heaviest mortgage that encum.
bers every mans home, and with such a
load resting upon them it is not difficult
to understand why our merchants and
manufacturers, workingmen and trades
people of every kind find it so hard to re-
gain prosperity. We hear great deaI
about the down-trodden and tax-ridder
people of Europe, but there is not foreign
State in which the taxes will compare with
those Of our leading cities. Ireland, fo
example, pays taxes to the amount o
about $2l 100000 annually, or 1882 a head
while the municipal taxes of New Yorl
city amount to $33OOOOOO, or $27.5O
head. In Switzerland, where the govern
ment does everything-builds roads, run
railways, maintains military organization
and what not-the annual taxation is bu
$S,000,000, or 1896 for each inhabitant
while Philadelphia pays for municipal pul
poses $l2,O00,O00 year, or $l5.25 pc
capita, besides what is each year added t
the debt. The kingdom of Portugal is nc
) remarkably we'll governed, but its revenue
from taxation are only about twice those
! Philadelphia, while its population is fiv
' times as great. This comparison could b
g prolonged indefinitely, but the figure
Y already given will furnish enough for ia?
!. payers to think about. 1t is the municip;
!. and local Indebtedness, with unchecke
Q extravaganza in local expenditure, that Ii;
D placed the heaviest Of their burdens upo
e the people of this country. 1t amounts
:. and it far exceeds the sum of the Sta
IS debts, even with all the load which recol
e struction placed upon the South. NJ
}. Porter gives the aggregate debt of II
IS States at less than $3ll 100000 of whiC
|, nearly $lS0,O00,O00 belongs to the nil
" Southern States, making debt of $22 fl
A each inhabitant of those States, while IL
P. debt per capita in the Eastern States is b.
r IS and in the Western States only $2.S
1t was precisely the same kind of ignoranc
a extravaganza and corruption that create
N the debts of the Southern States and tho
N of the Northern cities, and unless son
v means can be devised to remove the
,e forces from the control of affairs and subs
is tute intelligence and honesty in their ste'
,e we shall look for the return of prospero
0, times in vain and all the panaceas of Il
d currency quacks will profit nothing
m Times.