INDEBTEDNESS IN EUROPE AND INDIA 97 



individual defects of the people — e.g., in the matters of 

 education, temperance, thrift, foresight. 



' Of the causes of indebtedness mentioned above, 

 only those of the actions of money-lenders and of the 

 facility of borrowing need further discussion for the 

 purpose of this study. The first it is useful to discuss 

 to show that the small proprietor everywhere, in his 

 universal need for capital, is the prey of the money- 

 lender, and that, while human nature is as it is, the 

 money-lender cannot, if he wishes it, avoid en- 

 tangling the peasant. The danger and the difficulty 

 of the ryot in India is not singular ; it is common to 

 the small holder all over the world, and it is necessary 

 to recognise this in analyzing Indian conditions and 

 miseries, and in planning out remedies. We have in 

 India no abnormal and unheard-of misfortunes and 

 conditions, but exactly the same difficulties, generally 

 in a far less intense degree, as in Europe, and even 

 in America. If, however, we have the example of 

 the European peasant's difficulties, we have also the 

 history of the efforts made to help him, and in 

 these, whether in success or failure, lies the lessor 

 for us in India. The succeeding remarks are drawn 

 direct from standard or authoritative European 

 works or reports on rural economy, credit, and 

 statistics. 



* In France the great mass of the agricultural mort- 

 gage debt is held by private lenders, and probably the 

 whole of the personal credit rural debt. Now, the 

 money-lenders are said to be frequently mere usurers. 

 ** Very often the}^ avail themselves of the misfortune of 

 the borrower; they trade upon his misery and igno- 

 rance. From the moral point of view their actions are 

 criminal ; they are frequently the ruin of the agricul- 

 turist." 



* The details of the transactions are well known. 

 Beginning with a simple note or bond, all the tricks of 

 the trade are habitually and purposely resorted to, 



7 



yT OF THE 



