Evening journal., 1896-07-08
Homes for tho People.

The subject of providing homes for the
people Is not new one, but 1t does not
lack In interest and Is not likely to until
every man Of family is provided with
comfortable home, sufficient to meet his
requirements In that state Of life In
which the Almighty has seen ht to place
him Taking this view OF the subject
the more It is aglbated and Investigated,
the better. We have repeatedly given
articles upon the advantages offered by
the cooperative building associations.
These vary somewhat, though In the
main they do good work. In discuss
ing this matter the Yale Review classes
the main objections TO building Rssocia-
tions rs follows:
u. Expense to borrowers Is greater
than Is absolutely necessary. Enhanced
pro6ts to the lender--snd he usually gets
them-come from the pockets Of acquir
ing proprietors who are the borro Wsrs.
"2. Business skill Of high order is
not readily available for management,
involving occasional losses or failures.
3. Ia the case of the death of Dor
rover before his term pay yments have
been completed his family Is often
obliged TO surrender the home under dis
advantageous circumstances
These objections are certainly we'll
taken, especially the hrst and third, and
should be considered in the formation OF
new associations that. through their
desire to become prosperous. as a society
often require greater gains from their
members than is necessary for security.
In the case OF Che death OF the investor
and tbs head of the family, some provision
should be made 60 secure the homo or at
least the full amount that has been paid
upon 1t to those Ia whose interest the
Investment was originally made 1t may
be difficult to do this, but aa It Is fact
that large proportion Of these associa
tions accumu late money, In excess OF the
requirements Of their members, It would
seem possible that 1t could be done With
out injustice to the survivors
The objections noted have, we are told,
less force In the cooperative building
associatio ms Of European countries. Bel
gium has the most effective scheme fol
home building probably In the whole
world and It has been In operation slncG
1889 with at present more than sixty
oompanies O;her countries, notably
France and Germany. are seeking to Ap
ply the same system. This measure 1.
not socialistio, although the loan capita
comes from the general savings bank
whose deposits the government guaran
tees, and which Is. therefore, In a sens,
an official institution,
By this plan the loans are not made di
rectly to working people. but to Inter
mediate agencies which are responsibl
to the bank. There are four classes o
corporations, namely, Joint stock and 90
operative loan companies, and joint stocl
and cooperative building companies
The difference between the loan and tn
building company is that In the forne
case the corporations make loans to indl
viduals who select their own property
whereas the latter buy tracks OF land
build houses and sell them to ACC lirln
purchasers. We think that some hint
can be gained by bstter understandin
Of the European system for home builC
ing aud We advise that it be studied
The advantages ss they appear to us ma
be. to certain degree, In the shape {
paternAlism. that would not suit tn
country. yet the schemes might be mod
fed 30 as to be successful here.