The Bolivar bulletin. [volume] (Bolivar, Hardeman County, Tenn.) 1865-1888, 1880-04-01
THE STATE DEBT.
Effect Of Reputation upon orr Mate
rial Prosperity.

An able contributor to the columns
of the Nashville american says:
/ have thus far discussed this ques-
ton merely as party question, and
have shown that the Democratic par
ty Of Tennessee was fully committed
to the validity and settlement of the
State debt, and shat if the party should
abandon its former position it would
be ruinous to the party. viii now
say q few words as to It's effects upon
the people of the State. The destruc-
ton of public and private credit isalike
ruinous to communities and to individ-
uals, as all history clearly shows, The
small amount saved by reduced taxa
ton is far more than made up in de-
probation Of property, the destruction
Of confidence and in the stagnation of
business, which universally follow the
reputation of public obligations. The
rate Of taxation WIS reduced in 1877
and yet the assessed value of property
declined from 1868, O00, 900 in 1875 to
$213, 000,0 900 in 1870. This was the
effect produced by the failure to settle
the State debt, although the taxes
were reduced. States that pay and
have paid much higher taxes than we
do, have increased in wealth, whilst,
according to our assessment, we are
declining.
The fallacious idea that men who
own no property pay the taxes is doing
great injury. 1t is said that, although
they pay no direct taxes, they pay, in
directly, all the taxes by the increased
rent which they pay for land and by
the decrease in their wages. All that
is necessary to show the fallacy ofthese
assertions is for man to open his eyes
to the facts that are around him. The
State tax is now only one-fourth what
it was formerly and yet land rent is as
high and wages have been for some
years as low as they were when State
taxes were much higher. In the free
territory of Nashville, where there are
comparatively light taxes, rents are as
high as where they have high taxes to
pay. In Memphis, although taxes are
now very high, rents are low. The
truth Is, rents and wages do not de-
pend upon the rate Of taxation. The
property of the country has to pay the
taxes and they do not come out of the
non-property owner either directly OF
indirectly. If, however, they did, this
would strengthen the argument in ia
vor of a speedy and fair settlement.
Our State debt is now $25, 900, 900; il
four years more it will be $50, 100000
If instead of settling it nov at, say
s15, 900, 900, payable in thirty or forty
years. We permit it to increase to $50,
900, 900, all of which we may have tx
pay in q few years, it will be terrible
on us and and if, as some say, the poor
men will have it all to pay, what is Il
become US? This is what the men call
ing themselves friends of the people
may be driving us to. VIII the peopl,
follow such dangerous teaching?
The farmers, Iaborers and mechanic
who constitute the bulk of the peopl,
have as deep an interest in the preser
walton of public credit and In higl
standard Of public morals as any man
The labor and credit Of the poor MAJ
constitute his capital. Deprive him o
either Of these and you destroy hi
hopes and his prospects. The fac
that in States where taxes are morn
than in Tennessee, but whose credit i
unimpaired, the laboring people ar,
made more prosperous and have NOR
remunerative wages, ought to satisfl
every sensible man that mere reduc
ton Of taxes does not benefit the poo
man when this reduction IS accom- PAM
ed by loss OF credit and of character
| So long as Tennessee permits he
State debt to remain unsettled, she vii
continue to travel the downward road
| A DEMOCRAT.