1 For a full account of the debt policy of the American commonwealths see my monograph, Das Kreditwesen der Staaten und Städte der Nordamerkanischen Union in seiner historischen Entwickelung, Jena, 1891.

In conclusion, it would seem that the experience of great nations shows : that debts must be paid; that they can be paid only by increased taxation ; and that the possible weight of taxation for this purpose is determined by a consideration (1) of the length of time it is thought desirable that the debt shall run, (2) of the existing burden of taxation, (3) of the general conditions of the people. When the debt has been contracted for some productive purpose it seems fitting that the surplus earnings of such an enterprise should go to debt payment, as this eventually enables a permanent lowering of the cost of such services to the people.