Page:The New International Encyclopædia 1st ed. v. 14.djvu/518

NEW JERSEY.  In 1868 there were 55 national banks, and in 1900, 115. A Department of Banks and Insurance was established in 1891. The banking law was revised in 1899. Trust companies have rapidly multiplied in the State since 1880, under the influence of the organization of gigantic corporations, which have made the State conspicuous. In ten years the number of these increased from 11 to 23, and the deposits increased eightfold. Savings banks were established early (1828). A law for regulating them was passed in 1876. It remains almost unchanged. The condition of the various banks in 1902 is shown in the following table:

. The beginning of the Civil War found the State in a satisfactory financial condition. It became involved in heavy war expenses,

and a loan of $2,000,000 and a State tax of $100,000 for war purposes were authorized in 1861. In 1866 the total war debt amounted to $3,305,200. Besides the minor civil divisions of the State (counties and towns) spent more than $23,000,000 for war purposes. This debt was totally extinguished by the redemption of the last $71,000 on January 1, 1902.

In the matter of taxation New Jersey is in advance of many States, having long ago solved the problem of conflict between State and local taxation by entirely dividing these two fields. Even between 1840 and 1850 the income of the State was largely derived from taxes on the gross receipts of railroads (‘transit duties’ was their official designation), taxes on capital stock of railroads, etc. A State tax upon general property was only introduced in 1861 for war purposes, and though it existed for twenty years, it was exceedingly small. In 1880 75 per cent. of the income was derived from corporation taxes. New laws for taxation of railroads, as well as other corporations, were passed in 1884 and 1885, and were declared constitutional after a hard struggle. Since then the only State tax on general property is collected for the purposes of the school fund. The whole sum collected