ECONOMIC BUILDINGS 315 



Cost of homestead : 



Cottage SOO \BOO 



Buildings ,200 r 



A. ^500 at 5 per cent. (Lands Improvement s. d. 



loan) 20 12 6 



B. 5QQ at 4 per cent. (Government loan) ... 20 



A gains 7s. 6d. per annum. 

 B gains 6 per annum." 1 



On the basis of these figures it appears that 

 holdings of 5 acres and under on which buildings 

 are required can only be created at a loss. But it 

 must be noticed that the price of the cottage is put 

 at 300. Calculating in the same way on the basis 

 of a 200 cottage, there would under the Govern- 

 ment loan be a gain of l per annum. It may be 

 argued that nothing is put down in these calcula- 

 tions for depreciation, etc. It will, however, be 

 admitted that the gain in rent on the holdings of 

 10 acres and upwards allows for this. Further, 

 Lord Harrowby puts the life of his cottages at one 

 hundred years. By this scheme the loan is paid off 

 in fifty years, when the only charge on the debit 

 side will be the ordinary difference between the 

 gross and net rental. 



