pay their way from year to year grows stronger and stronger. National debts no longer even in France go up with the old light-hearted leaps and bounds. But local debts still increase. In Preston the local debt is said to amount to seven times the annual rating valuation. And although at present (November, 1888), since the “surf at the edge of civilisation” is only thundering to the extent of three small colonial wars, our own national debt is slowly going down; still if war were declared to-morrow with any European State no ministry would dare to raise all the war expenses by immediate taxation either on incomes or on property. It may be objected that no such danger would arise under Socialism; for there would be no fund from which a loan could be offered that would not be equally easily reached by a direct levy. But if we are speaking of society in the near future there would certainly be plenty of members of non-Socialist States, or English holders of property in them, ready to lend money on good security to a timid or desperate or dishonest Socialist government. Again, in times of extreme stress a government might believe itself to require even personal possessions; and it might be difficult under such circumstances not to offer to restore them with or without interest. In any case there would be no more economic difference between the new fund-holders and the old landlords than between Lord Salisbury as owner of the Strand district and Lord Salisbury now that he has sold his slums and bought consols. Perhaps the most serious danger of the creation of a common debt would arise from the earnings of exceptional ability. Modern Socialists have learnt, after a long series of co-operative experiments and failures, that the profits of private adventure will withdraw men of exceptional business talent from communal service unless work of varying scarcity and intensity is paid for at varying rates. How great this variation need be in order to ensure full efficiency can only be decided by experience, and as the education and moralisation of society improves, and industry becomes so thoroughly socialised that the alternative of private enterprise will be less practicable, something like equality may at last be found possible. But, meanwhile, comparatively large incomes will be earned by men leading busy and useful lives, but often keenly anxious to secure leisure and comfort for their old age and aggrandisement for their family.[71] I have already suggested that some of the earnings of a man employed by the community might be left for a time in the common treasury to accumulate without interest. Now, it would suit both these men and the lazier of their contemporaries that the reward of their services should be fixed at a very high rate, and be left to the next generation for payment; while the next generation might prefer a small permanent charge to any attempt to pay off the capital sum. It is often hinted that one way to obviate this would be