It has for a long time been recognized that a sharp decline in the prosperity and strength of municipal life in the Roman Empire took place during and shortly after the reign of Diocletian, and this has been attributed largely to his bureaucratic administrative system and heavy increases in taxation, with their consequent pressure upon the urban middle class—the curiales. Of the essential correctness of this view there can be no doubt; and apart from possible new evidence there is little more to be said on that phase of the subject. But there are other aspects of this important problem which seem to have received less attention than they deserve. Bureaucracies and crushing taxes have not always destroyed the middle classes of the countries in which they have existed, as the case of France under the Old Régime clearly proves; so there must be other contributory factors which helped to produce this result in the case under consideration. Some of these have been dealt with ; but one at least—the continuance under the new system of a type of internal municipal government suited only to the most prosperous period of the system which it replaced—seems to have been largely, if not entirely, ignored by investigators. Diocletian not only tried to make the municipia of his empire efficient agents of the central government, but in addition attempted to render them once more the energetic and prosperous organisms which they had been before the Military Anarchy ; and, as his efforts in the end contributed powerfully to produce exactly the opposite result, this portion of his work is worthy of note, if for no other reason than to serve as a warning for would-be benevolent despots in other ages.