The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1886-03-16
ABOUT PROGRESSIVE BORROWING.

The Opposition press profess to have
horror OF public borrowing, but would
they point to any progressive country of
modern times which has not resorted to
borrowing to assist in developing its in
ternal resources and stimulating its
foreign trade If there be any such
country in the world we confess our igno-
rance of its existence.
The Australian Colonies and New Zea-
land are to-day perhaps the most striking
examples of what may be accomplished
by the expenditure of loans, raised
on national security, to create wealth
and found prosperous and progressive
States. But although the public debt
is nominally very large and enough to
Created BY It's expenditure. This is what
makes the enormous load of debt any
thing but an unbearable burden to the
taxpayers.
Any country with considerable undevel-
oped resources must borrow money for in
ternal improvements, or be content to re-
main in poverty and obscurity What
was it built the railroad systems of the
world but borrowed money in one form
or another? Private enterprise incurred
these debts in the United States and the
United Kingdom. In the British Colo
MES and India the Governments be-
came responsible, either directly as
builders and operators of the railroads,
or as guarantors of interest upon the
bonds issued against capital borrowed
for construction. What was it built the
Canadian-Pacific Railroad across the I'M
travelled and trackless wilderness con-
Meeting the wharves at Quebec by
steel track with the waters of the Pacific
at Burrard's Inlet except borrowed
money? The Dominion Government
undertook the construction of the road,
and by 1880 had built 432 miles of track be-
tween Winnipeg and Lake Superior, 213
miles up the Fraser river in British
Columbia, and some other short sections.
In 1881 the work was turned over to the
Canadian Pacific Railway Company, to |
which was given 40 miles of completed |
road, $25, O0O, 900 in cash borrowed by |
the Government), twenty-five million !
acres of land, exemption from taxation |
or customs duties on construction mate |
rails, and various other valuable con-
cessions. The result is that the vast
continental area lying west of Winnipeg
is as accessible to agricultural settlement
along the railroad track as was the
country traversed by the Central and
Union Pacific railroads, while politically
the result has been very conspicuous,
Sir Charles Upper, High Commissioner
for Canada at London, having been in
vited to participate in the Imperial Con-
ference regarding the New Hebrides,
which was to meet in the Colonial Office
early this month.
1t was borrowed money expended on
works therefore that made
the Dominion a Pacific power, entitled
to be heard beside the great Australasian
Commonwealth in determining what
the policy of the British Empire should
be regarding French and German ag-
yression in that ocean. Borrowed money
developed its industries, opened its
ands to settlement, and IN short Gre
tied it one of the leading American pow
rs. Borrowed money has done the
anne in degree for Australia and New
and it is building up an Anglo
african Empire between the Zambesi l
liver and Cape of Good Hope. I
Borrowed money created the railroad \
ystem of the United States, without \
-hich their marvellous industrial devel- Il
pment would have been impossible
'ithout referring to the enormous in S