Chapter XII: Tramways in Great Britain, Conclusions

1. The laws concerning unsanitary buildings are a new violation of the right of property.

2. The establishment of sanitary lists is designed to keep diseased inmates out of these buildings. But, in order to circumvent such regulations, proprietors will contrive to make all prospective tenants pass before a special examining health board.

3. Sanitary statistics of apartments belonging to municipalities are of no value, because the towns may choose their tenants.

4. We see the London County Council dispossessing 45,000 people and lodging 51,000. These latter are seldom or never the same people, and, therefore, between the destruction and construction of houses, the unhappy tenants have found themselves housed under no better conditions than before.

5. Those cities which buy real estate increase the price of that which remains; consequently they are helping to achieve such an end. In constructing houses at all they are withdrawing this branch of industry beyond the reach of private enterprise, and, while they are driving individuals out of business by their competition, they are showing themselves incapable of providing for the needs that they are pretending to care for. In reality they are working in the interest of higher rents.

6. Then such cities are practically subsidizing associations more or less financial and philanthropic. These are frequently granted special privileges, as in France under the law of 1894, reinforced by that of 1906. Léon Bourgeois himself described the results of such laws as “sporadic.” The departmental Committee on Patronage of Cheap Houses declares that: “The number of philanthropic associations is unimportant, and they are not modifying hygienic conditions in the housing of the workmen of Paris.”

7. The law of 1906 has had at least one result: While philanthropic associations were showing their inefficiency individuals and contractors have hesitated to invest capital in the construction of small houses, fearing to see their property decrease in value by reason of the competition of privileged associations or of the city.

8. Statistics prove the conclusions above drawn. The excess of buildings constructed in Paris over buildings demolished has been:

Or a difference between the two periods of at least 22 per cent.

The following table applies to tenements of 500 francs per year and under. These buildings are not taxed.

Or at least 31 per cent.

As a matter of fact the housing crisis in Paris has been provoked by legislative and municipal intervention.

9. On the 11th day of July (1912) the Chamber of Deputies passed a resolution modifying the law of 1906 concerning cheap lodgings. In this law there is no mention of construction and direct public management by municipalities. Nevertheless, the Journal Officiel, of July 30, 1912, duly proclaimed the law as authorizing the city of Paris to borrow 200,000,000 francs ($38,000,000), in order to facilitate “the construction of cheap houses, or to acquire and make sanitary buildings already existing.” The law as modified was placed on the statute books December 1, 1912.

In part compensation for this enormous outlay the prefect of the Seine proposed to levy taxes to the amount of 11,000,000 francs ($2,200,000) upon tenants, owners, and billboards. He has been compelled to abandon the scheme, but meanwhile necessary work on the city streets has been at a standstill.