The river press. [volume] (Fort Benton, Mont.) 1880-current, 1912-04-03

.:e next generation gets the benefit Of
lem. Under the bond issue policy
soth the present and the future genera
tons receive the benefits and both help
to pay for them.
1t may be argued that the system OF
borro wing money for road building Is
more expensive for the reason that the
money borrowed must be paid back as
we'll as the interest thereon. which at
8 per cent in twenty years will amount
to as much as the principal, and there
fore for each dollar borrowed two will
have to be paid back at the end of
twenty years. This Is not strictly true.
however. The money will be borrowed
as needed. Furthermore. a few thou
sand dollars placed in the bank at COM
pound interest is sufficient for a sink
ing fund.
The above objection would in a meas
ure apply to any similar transaction
in the business world, and yet today
80 per cent Of all the business Of the
civilized world is done on a credit ba-
0A0s IL AuNAOlSs 0tAIO0s AOuAIACo uAu III
dividuals had listened to this argu-
ment this country Of r would today
be almost as little known and as little
developed as the continent Of Africa.
When a community is building pub
lie roads for the use Of its people oil
Of the money borrowed for this pur-
pose is placed in circulation among the
people. They s it in their business
transactions; they make it earn an in
terest often worth far more to them
| than the interest which the county
pays for the sum. In other words. the
county has the roads and the money
| which has been spent upon them.
The whole structure of u indus
trial and governmental fabric rests
upon the mechanism Of credit. The
amount of legal tender actually in cir
culation in the United States in 1910
was only $34.52 per capita and would
be pitifully inadequate to meet the
demands of business If all transactions
were conducted on a cash basis. The
building Of our great railroads. the
financing Of war of independence
and subsequent conflicts have been
conducted through the powerful agen'
cy Of credit. Our entire banking sys'
TEN, involving 1883, 1874 900, rests up
on the foundation stone of credit.
Would it be wise to advise a thrifty
young farmer to refrain from buying q
farm because he had not the entire
purchase price in cash? Would it have
ever been possible for the vast do
mains Of the early landed proprietors
to be divided up into small farms il
the practice Of partial payments had
not been introduced?
1t is evident that the construction o.
a large mileage of improved roads a
one time would result in a lower cos
per mile than if the roads were bull
a mile or so at a time, as the contrac
tors having large plants and the quar-
ries furnishing large quantities Of ma
terial could utilize their equipment ant
material at less relative expense thar
on small jobs.
Because improved roads benefit al
interests in the country all interest
should help to pay for them. A coun
ty bond issue usually levies the cos
upon the town property as we'll as til
country property and thus relieves tn
farmer Of part of the burden whicl
he now bears under the old district o
township system. In nearly ever.
county in the United States which or
crates under the "pay as you go" pla'
the country property alone bears til
entire cost Of road building.
A bond issue is not an unjust bul
den on posterity, because through tn
increase in the value Of land and til
development of agricultural esource
posterity is benefited. Therefore tn
son who inherits the wealth thus pre-
duced by the preceding generatio
should certainly help to pay the cos
Of the factors which are instrument;
in bringing about this wealth.
!, The increase in farm values as tn
J result of road improvement is so grea
!, that the tax rate is frequently lowe
than before the issuance of bonds. L
substantiate this point the followin