The universal geography : earth and its inhabitants

ADMINISTBATION OF BRAZIL. 289
sons. Since tlien tte effective has varied from 15,000 to 20,000, capable, in
time of war, of being rapidly raised to 30,000. The national guard, which has
a purely fictitious existence, nominally comprises a million or so of citizens.
Up to the recent outbreak the navy had been maintained at a considerable
strength. Under the empire most of the vessels were commanded and manned bv
English, Americans, and other strangers. At present recruits for this service are
raised in Brazil, although the vessels are still, for the most part, built in Europe.
Ships of small size alone are launched in the various government dockyards at
Rio, Bahia, Pernambuco, Maranhao, and Ladario, near Corumba.
The struggle with Paraguay cost BrazQ £60,000,000, a sura which about
represents the present amount of the national debt. The interest on foreign loans
is payable in gold, and Brazil has hitherto punctually met all its engagements,
Fii'. 124.
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Fat.ace oy Fiscal Islai.tj—CrSTOjr HorsE. Bat of Rio.
although the annual budget usually shows a deficit. Most of the revenue is
derived from customs, which increase by 60 per cent, the mean value of the
imports. The expenditure is chiefly devoted to the army and navy.
Thanks to a recent fiscal arrangement, by which a share of the customs is
apportioned to the several States, several of these are in a flourishing financial
position. Thus the receipts of ilinas Geraes have increased threefold during the
last twenty years, while the expenditure has advanced at a much slower rate.
Similar relations prevail in Bio de Janeiro, and even in the almost uninhabited
State of Amazonia, which has no debt, and a considerable yearly excess of income
over outlay.
Other States are less prosperous, and Goyaz, Piauhy, and Parahyba are unable
to balance their accounts without aid from Congress. But nearl}- all depend for a
part of their income on the love of gambling which pervades Brazilian society.
VfiL. XIX. u