THE FINANCIAL CONDITION OF BRAZIL. 305 



taken at 21 d. Beginning by a condensed statement concerning 

 the proclamation of independence, the early days of the empire, 

 the finances, and some of her brilliant financial statesmen, he then 

 proceeds to give a classification of the Budgets from 1823. 



I wish especially to draw attention to the ever-increasing 

 receipts, as well as to the rapid growth of expenditure. 



Senhor Carreira then enters into details of various changes 

 which took place, loans issued, etc. A table of the various internal 

 and foreign loans will be found at the end of this article. 



" All the Budgets of this last quinquennial were liquidated by 

 deficits, and although this is scarcely a praiseworthy proceeding, 

 especially as it is the usual occurrence, then at least it was 

 justified by the disastrous and terrible war which, for six years, 

 was carried on with Paraguay, consuming precious lives and a 

 vast capital, which, applied to the improvement of the country, 

 would have vastly assisted its progress and advance. The ex- 

 penses of the Paraguayan War amounted to 613,183,262 milreis, 

 which, constituting a debt from that nation, will require a long 

 time for its repayment.* To meet the deficits, loans were 

 opened to the amount of 23,995,849 milreis, beside the emission 

 of paper currency." 



Milreis. Milreis. 



1865-70 Receipts ... 376,891,018 Deficit ... 324,308,486 



Besides extraordinary loans of 297,901,467 milreis, paper money 

 was again issued to the extent of 23,389,505 milreis. 



* In 1885 this debt has been reduced to 256,049 milreis. 



X 



