Page:Indian Journal of Economics Volume 2.djvu/345

 PRINOIPLE$ OF FINANOE 881 roads in an agricultural district, the annual loan charge being met by a special eess upon agricultural land so improved. (2) The second class of expenditure is that caused by emergencies which cannot be foreseen or prevented, such as wars and famines, The chief justification or calamities for throwing like the earthquakes. burden to a the it may be argued that a war benefit of posterity, or to avert injury which would result from (8) The third case is that of is undertaken the continued defeat. a permanent character is erected, or work of permanent 'utility done in laying out the park or promenade; consequently they will be enjoyed by future generations for very many years, and payment for the cost of providing that enjoyment should be spread over its probable minihum period of duration. In regarding as justifiable the use of loan monies for non-productive works, such as the public amenities above referred to, I differ from Bastable, but parks, or other works of public amenity. These are for the direct use of the community, either in its corporate capacity, e.., a town hall, or as an aggregate of individuals, e.., a park, promenade, or free public library. Here the justification of meeting the expendi- ture from aldan lies in the fact that a building of agreement with Sidgwick practice in English local and also finance as Local Government Board. Bastable states, "What we have called 'economic' outlay has a claim to be met by borrowing that does not hold in respect to other forms . . . Non-economic expenditure is primarily to be met out o! income, and unless it can be so dealt with am in with the actual authorized by the for the future providing buildings, large extent on the future is-that it is beyond taxable capacity of the people to provide the expen- diture immediately out of annual revenue. Furthermore,