142 THE IRISH AGRARIAN PROBLEM. 



/i 0,000, for which he is paying interest at 

 5 per cent. For every ,1,000 of net rental he 

 therefore received only ,500. Now let us 

 pose that he sells his residence with the 

 estate and receives ,5,000 for it. With this 

 ^5,000 he pays a part of his old debt and con- 

 tracts a new one at 2^- per cent, interest ; that is 

 to say, instead of paying- ,250 interest he p; 

 only .140, thus saving \ 10. If he uses another 

 ,5,000 to clear off the remainder of his encum- 

 brances, then his position is as follows : He has 

 now a capital of ,15,000 and a debt of ,5,000. 

 The capital at 3^ per cent, will yield him an 

 interest of 



^,487 10 o 

 interest on mortgage 137 10 o 



350 o o 

 Plus the bonus interest .. 96 o o 



Leaving an income of ... ,446 o o 

 As against this, he had formerly, 



Rents ... ... x i,ooo o o 



Less costs of collection ... 100 o o 



900 o o 

 Less interest on encumbrances 500 o o 



Leaving an income of only ^400 o o 



Thus, in the case of an estate encumbered to half 

 its value, the new Act leads to a direct increase 

 in the landlord's income. It is only the estates 



