Evening star. [volume] (Washington, D.C.) 1854-1972, 1879-02-08
Bankrupt states and Cities.

The financial difficulties OF cities AMI STATES
are coming to attract the attention and to occu-
py the newspaper space formerly devoted to
individual failures. Bankruptcies OF the latter
KIND, being, as the greenback papers were free
TO remark, the fiendiSh work OF John sherman.
did not, however, afford the same room for dis
cusSion as the present municipal bankruptcies
concerning which the idea has inr0nsisf emily
enough, arisen that the falling parties are I'm
some way responsible for their failures II is
not held sufficient now, as before the success OF
resumption, to merely mention the fact OF a
bankruptcy and TO refer the responsibility. re-
specially or diSTeSpectfulIy. 10 the Secretary
of the Treasury. Each state and each city.
struggling against financial difficulties. is
now directly admOnished, reproved or praised
as to its course. Among the cities Memphis has
already yielded up its municipal life and Eliza
beth City is among the breakers OF a sea of
financial troubles. Elizabeth failed to take
warning by the charge to fling away ambition.
She decorated herself as a fine lady instead of
retaining the garb OF a humble Village maiden.
and now finds herself unable TO pay the dress
makers bills. The states of Tennessee, North
Carolina, Louisiana and Virginia are afflicted
with large debts and with class of citizens,
representing certain percentage of the popu-
iatlOn, who show no disposition to nav them
The state treasury OF Virginia is entirely de-
pieted and the general assembly must devise
means TO raise funds for current expenses,
Nevertheless Virginia, speaking generally,
shows disposition to meet her liabilities in a
business Ike way, and this fact Will tend to
quicken the development OF those internal
resources from which the means to pay her
debts must finally be derived. 10 comparison
WIN the course OF Virginia. unfayorabIe COM
hent mas been passed upon Tennessee for its
continued evasion OF the problem of meeting
itS uaollltlsS, an evasion which tends towards
virtual reputation by causing creditors 10 aban
don their claims in despair or obtaining even a
percentage of their face value East Tennessee
processes 10 wish TO pay its share of the debt
ana set up for an independent state. leaving
the reputation half 10 its fate. The governor
OF North Carolina considers the state debt OF
s2', 100000 exclusive of special lax bonds which
II Is proposed 10 repGdiate entirely. as much
100 great an amount TO be paid in full, aud pre-
poses a compromise. When debt becomes
hopeless it IS to the interest OF both creditor
and debtor that II should be compromised. but /!
u should first be aSceTtained with safety that
the deDt Is hopeless. consideration OF the III (
Jury which is done 10 state by failure 10 meet
lis obligations in fun should serve 10 encon
rage good citizens to believe that with industry |
and economy every dollar may be paid states /
should not Imagine that they are hopeless OF I
paying their debts. when, in too many cases .
not looking to the end, they are merely Careless
about paying them. These southern states
however, are not the only ones that have had /
occasion 10 resist temptations to repudiate a
heavy Indebtedness. Pennsylvania Indiana.
Illinois and Michigan have been in financial |
straits and have been delinquent in paving in
ierest On their debts. In PENNSYLVANIA the |
state property. IL is said. was once offered for !
sale at AUCTION.