The home journal. (Winchester, Tenn.) 1858-188?, 1883-03-14
TIE WORLD BANKRUPT.
The Large Amour, Owed by Government,

~.-N .'''' ~ f-e''oa"s Ofs~u W
An ingenious statistician, who had
been losing sleep in the pursuits Of
science, has added up the nations of the
world, and is distressed to find out that
this poor old world is really bankrupt;
that it owes more than it can pay, and
that, as the process Of debt-making is
continually going on, the inevitable end
will be n universal smash. The gloomy
view of the situation is supported by the
magnitude of the fgures-total amount
webelieveis some 800, 600, 900, 000or $780,
100000, 000-and it is plainly true that,
with the exception of the United States,
the civilized governments Of the world are
rapidly increasing their Indebtedness.
But we believe that this immense aggrc-
gate Of debt is an evidence rather of sol
vency than Of bankruptcy; proof, not
that the world is SO poor ~ to be insol-
vent, but that it is 30 rich that no extrava-
gance can ruin it All the great public
debts of the world are the creation of the
present century, and many Of them Of
the past twenty or thirty years. At the
beginning of the century France had no
debt at all and England only n triiling
one. Italy, which is quite active as n
debtor, did not exist as nation thirty
years ago and the United States had no
public or local debt Of any amount twenty
years ago.
If, in the course of eighty years, the
nations of the world have succeeded in
loading themselves up with burden OF
debt to the whole of the estimated wealth
Of this country at the last census, it is n
proof that their material prosperity and
accumulated resources have reached pro-
portions which would have been consid-
! cred impossible and mythical in any
previous era Of history. France, which
now thriycs and prospcrs under an enor-
nous debt OF 81, 100, 900, 900, ON which il
pays an annual interest OF S2O3, OOO, O00
would have found it impossible 100 years
ago to borrow the amount which is an
nually paid for interest. England owes
| n debt OF some $1,000, 900, 600, the foun
dations of which were laid in the attemp
to prevent the French from being ruinc(
J by a sovereign Of their own choosing
But if England had had any idea at til,
outbreak of the Napoleonic wars of thu
outlay which would be incurred, we may
be sure the ablest fianciers would have
said that there was no credit Of COVER
ment or power of authority which woult
suffice to carry so large II debt. Now,
triumphant Germany asks France for Il
triile Of Il, 0O0,0 600, 900 rs coolly rs if il
were bottle of wine, and totally mort
cages the resources Of Il nation before {
nation is established. Was the worlt
any richer 100 years ago, when its lacl
of credit prevented its borrowing money
Is it any poorer now, when it has Dor
rowed so much that Il demand for pay
ment would bankrupt it?
A very simple answer to the question
may be had by merely considering wher
all the money came from which is nov
invested in the Grand Livre or ledger o
France, the consols of England, and TIN
bonds of other countries. Before IN
country could borrow there must hay
been capitalists who had the money t
lend-andto spare. The nationscould no
have borrowed unless the people wer
ableto lend, andif the world isableto LEM
$40, 900, OOO,OOO or $50, 600, 100000 it ca
hardly be in dangcrof immediate bank
ruptcy. In fact, the debts of the nation
are merely the surplus Of the people,
small part Of the accumulations whic
have been made i'll II century OF industr
and of progress. Steam, electricity, an
patent inventions have accumulated
the world such mass of wealth rs the oI
world never dreamed of; and, as the pr
cess of accumulation is going on fast,
than the process OF borrowing, the worl
is growing richer every day, richer
spite of wars and armies and kings an
tariffs and tax-eaters, and other obstacle,
and there is no call for any learned staff
tician to sit up Of nights in despair ov,
the future of an insolvent world.