Page:Indian Journal of Economics Volume 2.djvu/605

 ECONOMIC DEVEL OPMEII' EZtenn o] Local Debt If s policy of extending public borrowiug construction of public works be adopted i means necessary hs practically ,'all he should be dbne by he Governmen of Indis---I would go further and say ha i is are many cosideraions which suppor he if here were a greater variety of loans for he is by no borrowing he public--as, for example, by silowing and encourag- ing Provincial Governments and local authorities, such ss Divisional Councils and municipalities oher hsn he por towns, to make heir own issues---a far larger osl sum of borrowed money could be made available each year for works o! public uiliy, including sanitation. In all advanced countries of the world here is s gres variety of loan issues by differen kinds ol public bodies of all si.es. In England we have loans of many county councils, besides hose of. numerous municipal corporations and por russ and and of special bodies like he Metropolitan Wser Board. In he United States, besides he Pedersl deb slmos every sse has exercised borrowing powers, and counties, cities, school boards and harbor trusts all issue bonds. Colonies and in every indeed been acutely said And so Western that the boo in he British country. It has sae of. advance- ment of. a country in civilisation is indicated by the amount o.f its public debt per .head of population. If this b interpreted so as to include all debt in. cuffed by local bodies substantially true; and as well as ste debt, it is for two reasons: (1) so far as the loan monies were spent for produotive pur- poses (e.g., public works) they hse socomplished economic and sanitary development of, the country and have increased he national income and sndsrd no desirable. There view ha offered o