18 JULY 1874, Page 2

M. Magne, the Bonapartist Minister of Finance, has resigned. The

Assembly has a deficit of £2,600,000 to meet, and he proposed to meet it by one of two alternative schemes,—a tax on salt, or an addition of half a decime to all existing taxes. The Assembly, which dreads unpopular taxation, rejected the first scheme by 362 to 256. and M. Magne then produced the second. The Assembly, however, no believing that the tax would draw, or afraid of the effect on elections, rejected this also by 413 to 256, and M. Magne resigned: His successor has not yet been appointed, but he will not apparently be M. Pouyer-Quartier, for his substitute for a tax, an anticipation of certain sums payable by the Railways, was also thrown out, and it is believed that a proposition of M.Wolowski will be ultimately accepted. This is to pay the debt due by the State to the Bank of France somewhat more slowly, so as to extinguish it in twelve years, instead of six. The proposal is not unreason- able, if the Bank accedes, but the excessive unpopularity of every form of new taxation in France is not a good omen for her future finance. It is fortunate that, as was shown in 1848, all parties are equally convinced of the necessity of avoiding even an appear- ance of insolvency. It should never be forgotten that the Pro- visional Government destroyed its popularity, rather than allow a deficit to continue.