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"to decompose and ferment, perhaps to have a dwelling "erected over it, so long as these evils are allowed to exist, there is no chance for a cessation of these frightful "diseases. On the contrary a steady increase may confidently be looked for."

tion of

164. Water is always a most important factor in spreading Purificatyphoid fever, and whenever the slightest suspicion of dan- water. ger exists, it should be always boiled before using. It is also said that one-half grain of alum to each gallon of water will render it comparatively pure and free from contamination.

dumb, insane and Manitoba

blind, in

and the Three Districts, 1886 and 1885.

165. There was a slight decrease in the number of deaf Deaf and and dumb in Manitoba in 1886, the proportion being one in every 1,357 persons as compared with one in every 1,346 in 1881. There were 19 deaf and dumb in The Territories in 1885, being one in every 2,545 of the population. There was a decided increase in the number of those of unsound mind, the proportion being one in every 1,308, in 1881 it was one in every 1,090. In The Territories the total number was 10, being one in every 4,862 persons. The decrease in the number of blind persons in Manitoba in 1886 was very marked, the number being only one in every 6,790 persons, against one in every 2,127 in 1881. In The Territories the proportion was very large indeed, being as high as one in every 819 persons, this high rate is presumably caused by the dirt and smoke among the Indians.

Toronto Board of Health Report, 1887 p. 17.

120

The fiscal

year.

Conversion of foreign currency.

Consolida

ted Fund.

Sources of revenue.

CHAPTER III.

FINANCE.

166. The fiscal year of the old Province of Canada used to be identical with the calendar year, and terminate on the 31st December; in 1864, however, a change was made, and it was decided to commence the fiscal year on the 1st July and end it on the 30th June. At Confederation the same plan was adopted for the Dominion, and has since been maintained. As therefore, all financial and commercial returns, and as a general rule departmental reports, are made up to the 30th June in each year, the fiscal year beginning on the 1st July and ending on the 30th June, is the one spoken of and refered to throughout this work, except where specially mentioned.

167. In all cases where figures relating to foreign countries have been used, their values have been first changed into pounds sterling, and then converted into currency at the rate of $4.86-66. For the sake of convenience, cents have been omitted from most of the tables, and only used with reference to amounts per head and similar calculations.

168. The receipts from the sources of the ordinary revenue of the country are paid into what is called the Consolidated Fund, and payments thereout are made to cover the ordinary expenses. These receipts and payments therefore constitute what may be called the regular income and expenditure of the country, and the figures relating thereto are among the principal indicators ofits financial and commercial condition.

169. The ordinary revenue is derived from a variety of sources, which may, however, be divided into two classes viz., "Taxation" and "Other sources." The amounts raised by taxation consist solely of Customs and Excise duties,

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and those raised from other sources consist of money derived from the postal service, railways, public works &c. The ordinary expenditure provides for the charges for debt and provincial subsidies, charges on revenue, and the current expenses of the country.

Revenue and expenditure, 1887.

170. The following figures give the ordinary revenue and de expenditure for the year ended 30th June, 1887 :

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Increase

and de

171. The revenue was $2,577,953 in excess of that of the preceding year, while there was a decrease in the expendi- crease. ture amounting to $3,353,932. The increase in revenue was derived almost entirely from taxation, there being an increase in the receipts from Customs duties of $3,005,250 and from excise duties of $455,296, and a decrease in receipts from various sources of $882,593. The amount paid on account of the North West Rebellion of 1885, was much less than that paid in the previous year, and was moreover charged to a different account (see par. 176) which facts to a large extent explain the reduction in expenditure. There was also a decrease in charges for debt and subsidies, and in the expenses of Legislation.

solidated

1887.

172. The following table gives the receipts and payments The Conon account of the Consolidated Fund, that is, the ordinary Fund, 1868revenue and expenditure of the country for the last 20 years, and shows the surplus or deficiency in each year:

RECEIPTS AND PAYMENTS ON ACCOUNT OF THE CONSOLIDATED
FUND (ORDINARY REVENUE AND EXPENDITURE)-1868 to 1887.

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Surplus and deficit of reve

nue.

173. In thirteen years out of the twenty that have elapsed since Confederation, there has been a surplus of revenue, and in the remaining seven an excess of expenditure. The total amount of surplus during the period has been $30,375,863, and of deficit $16,044,817, being a net excess of revenue over expenditure of $14,331,046. The revenue raised in 1887 was, with one exception, the largest ever raised (that raised in 1883 having exceeded it by $39,656.) and was $22,067,065 in excess of that of 1868, the first year after Confederation, being an increase of 161 per cent. After deducting the war expenditure from the expenditure of 1886, it will be seen that there was a decrease of ordinary expenditure in the year under review amounting to $176,712, wih

diture.

the exception however of 1886, the expenditure was the largest since Confederation, exceeding that of 1868 by Increase $22,171,588, being an increase of 164 per cent. The expendi- in expenture has therefore increased in a somewhat larger proportion than the revenue, but when the difficulties and expenses attending the opening up of new country are considered, it will be seen to be inevitable that at the beginning the expenditure should increase in faster proportion than the revenue, and in connection with the increase in expenditure the large extent of additional territory brought under control since Confederation must not be overlooked.

revenue.

174. The following is a detailed comparative statement of Heads of the various receipts on account of the Consolidated Fund from all sources in the years 1886 and 1887, showing the increase or decrease in each item :

HEADS OF REVENUE-CONSOLIDATED FUND, 1886 AND 1887.

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