The Daily Alaska empire., 1941-05-07
PubIitDebf,
 With Trends
 Is Given Out
Amounts of Federal, State, , Local Will Be Shown in
 Census Bureau Report

| w OlN, 4Nldy ts-lICOOo " State and local government. amounted to 20,225 100000 in 194O according to a report of the Censu! Bureau shortly to be issued by Act ! inb Director Vergil D. Reed.
 This represents an increase o1 only $663 100000 in eight years, com- pared with an expansion of $9,307, 100000, or 91 per cent, in the same type of debt during the decade end ing in 1882
 Despite the increase of 3.4 per cent in State and local government debt between 1892 and 1940, the effective weight of this debt decreased in terms of population and national income. That is, State and local debt did not increase so fast as either population or income. The per capita burden of such debt is today less than $154, compared with $157 in 1892, a decrease of 2.2 per cent. The ratio of such debt per capita, to income per capita de- creased A per cent in these eight years.
 Debt Per Capita
 Adding the $154 per capita share of State and local government debt to the $326 per capita share of Fed eral debt in l94G the total govern- ment debt per capita was $480 in 1G40. This does not include recent additions to the Federal debt as a result Of the defense program.
 The per capita share of all public debt is, therefore, preponderantly Federal, whereas recent analysis by tn Cencus Bureau of the tax payments showed that the tax bur- den was preponderantly State and local. Of the total ax bill of $109 per capita in 1940, State and local governments shared to the extent of $70 while the Federal government got $39, and even portion of that S39 was passed on to State and local governments through Fed era grants.
 Family Bac,s
 On a per family basis, the tc.al gross public debt. represented obli- gations of $1,813 cn June 3o 19s0, of which the Federal share was S1,233 and State and l3aal $53G
 State and local governments i1- creased their sinking fund sssets in these eight years frcn1 s1,Ss4 ,000,030 to $2,042,O00, 900. Grcss dabts less these sinking funds were therefore SIT 7,6e8. 100000 in lc32, increased to 18, 183, 100000 in 1940, an increase of 2.7 CT cent against a grocs Increase of 3.4 per cent.
 Resources from which State and local public debts are paid increased from 1892 to 194o, notwithstanding a decrease in assessed valuations. Property taxes-like other taxes are paid from economic income that has been expanding since 1882. In- stead of State and local gross debt per capita equaling 49 per cent of income per capita, as in the low in come year of 1892, this debt repre- sented only 27 per cent of the l940 national income, which approached the depression level. The total decline of the debt load by A per cent meant a decrease in thedebt- to- income ratio in 45 States, small in- creases occurring in only 3 States.
 U. s. Public Debt
 Americas public debt of $63, ,196,- 100000 on June 30, 1940 represents the sum of widely different debts Federal, State, and local. Of this total, the Federal debt was 68 per cent, SAP 2,971 100000; the State debt was 5.5 per cent, $3,505 ,000,000; and the local government share was 26.5 ger cent, $16,720,0O00O0 Relative debt trends from 1902 to 1940 are portrayed in the accompanying chart for the three governmental levels, Federal, State and local. In years othr than during periods af- fected by wars and depressions, State and local government debt as- sumes a more important role in the total public debt structure. In 1882, before the depression and the Fed eral-aid policy had seriously affect ed State and local government debt, local obligations were nearly 43 per cent and State obligations were "A per cent of the total government debt