142 THE IRISH AGRARIAN PROBLEM. 



^10,000, 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 

 suppose that he sells his residence with the 

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

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

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

 to say, instead of paying- ^^250 interest he pays 

 only ;^i40, thus saving £1 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 3J- per cent, will yield him an 

 interest of 



/^48y 10 o 

 137 10 o 



350 o o 

 Plus the bonus interest ... 96 o o 



Leaving an income of ... ;^446 o 

 As against this, he had formerly. 



Rents 



Less costs of collection ... 100 o o 



x-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 



