MODE OF GOYERXMEXT. 217 



INCREASK OF DEBT. 



The increase of the i)ublic debt within the last ten years lias 

 arisen mainly fi'om the building of aliout 31 1 miles of railway 

 now completed and in operation ; and which, in the future, by 

 the development of the resources of the Colony, will yield ample 

 returns, and increase the revenue. The debt is represented bv 

 these lines of raihvays, and also by the St. .John's Drv Dock 

 which cost over .§600,000 ; the new Post Office, a very creditable 

 building, and other public works such as light houses and break- 

 waters. The remarkable expansion of the public revenue gives 

 ample assurance that in the construction of jjublic works the 

 Colony has not gone beyond its means and can well afford to 

 l^ay the interest on its debt without any undue strain. The in- 

 A-estment in railway biiilding, without which the rich natural 

 resources of the Colony must remain dormant, has been alreadv 

 fully justified. Within twenty years the revenue has doubled ; 

 and is now quite sufficient for the maintenance of the civil ser- 

 ■vdce and payment of the interest on the jjublic debt. Judging 

 from the experience of the past there is every reason to anticipate 

 a further steady increase of revenue. These imblic works, while 

 in progress, distribute money in the shaj^e of wages ; and by 

 increasing the imports add to the revenue. If we take the gross 

 debt of .$'8,053,127 it amounts to nearly ^40 per head for the 

 entire population. The gross debt of the Dominion of Canada is 

 $'205,333,000, and the amount per head is $'60. In Belgium the 

 public debt is .^63 j)er head ; in France $146 per head ; in Italy 

 $75 per head ; United Kingdom $86 ; New South Wales $225 

 South Australia $330 ; and New Zealand $292 per head of the 

 entire population. 



TAXATION. 



If Ave take the revenue of last year at $1,764,791 this shows 

 a taxation of $8 per head for the entire population. But it must 

 be taken into account that there are no direct taxes in New- 

 foundland, except in St. John's which is now under a Municipal 

 Council. The local taxation for AA'ater, sewerage and street 

 improvements is small. The greater part of the revenue is 



