A Defense of the Single Tax
Thomas Flavin
[A response to a criticism of the Single Tax by W.C.
Brann
in The Iconocast, 12 August, 1897]
In your editorial on the "Henry George Hoodoo," which
appears in the August number of the ICONOCLAST, the following
passage occurs:
"It seems to me that I have treated the Single
Taxers as fairly as they could ask, and if I now proceed to state a
few plain truths about them and their faith they will have no just
cause to complain."
From the tone and tenor of these words it is fair to assume that in
the editorial referred to you have discharged against the Single
Taxers and their faith the heaviest broadsides of which your ordnance
is capable. If, notwithstanding all the time you have wasted "crucifying
the economic mooncalf" which has played such sad havoc with the
wits of Single Taxers, it should turn out that the monstrous concept,
far from being crucified, annihilated, or even "dying of its own
accord," only gathers strength, energy, and renewed activity from
the healthful exercise with which you provide it, must it not seem the
part of prudence for you, even if occasion of regret for us, that you
should abandon the war and leave the calf to his fate? Your belated
and apparently desperate resolve to "tell some plain truths"
about us, Single Taxers, justifies the inquiry, what were you telling
before?
The fact that it seems to yourself that you have treated Single
Taxers fairly is not absolutely irrefragible proof that they have been
so treated at least it has not brought conviction of the fact to them.
That the offer of your space to Mr. George was courteously declined
affords no just ground for refusing it to those "whose matin hymn
and vesper prayer reads, there is no God but George," etc. I'll
warrant you that if you and the Single Taxers had access on equal
terms to a journal which neither controlled, and whose space both were
bound to respect, you would not have to go outside the limits of your
own state to find a dozen foemen worthy of your steel, and I'd stake
my life on it that you'd find not a few to unhorse you. This is not
claiming that any one of them, or all of them together, can come
anywhere near you in the artistic manipulation of words or the
construction of ear-tickling phrases; but it is claiming, and that
without any false pretense of modesty, that they have yet seen no
reason to fear you in rigidly logical argument when the Single Tax is
the question at issue. Their cause is so palpably just, its underlying
principle so transparently simple and elementary, its practical
application so direct, feasible and efficient that no mere wizardry of
words, no thimble-riggery or language, can by any possibility obscure
the principle -- or confuse the advocates. Of course there are among
Single Taxers, as among other enthusiasts, men who indiscreetly use
abuse for argument, and of these you may have some reason to complain;
but should not your great talents and the immense advantages which the
undisputed control of your own journal give you, enable you to rise
above their abuse, to ignore it completely, and to grapple with only
those who present you with argument?
I have no right to expect from you more consideration than has been
meted out to better men; still, you can but refuse this rejoinder to
your August editorial, which is respectfully offered for publication
in your journal. If you are quite sure of your ground, you can only
gain strength from exposing my weakness, but even if you are not sure
of it, both the requirements of simple justice and the amende
honorable to Single Taxers would still plead for the publication of
this article.
You say that Mr. George has obtained no standing of consequence in
either politics or economics "because his teachings are violative
of the public concept of truth." Do you really believe that the
fact that he has obtained no standing of consequence in politics is in
any way derogatory to his character or his teaching? Do you not know
full well that a Bill Sykes, a Jonas Chuzzlewit, or a Mr. Montague
Tigg would have a hundred chances to attain that distinction to-day to
the one chance that Henry George, Vincent de Paul or even Jesus Christ
would have? Don't you know this well, and if you do, why do you use it
as an argument against Henry George?
As to his standing in economics, that, I submit, is a matter of
opinion. You think he has no standing of consequence; I think his
teaching is the most active ferment in the economic thought of to-day.
We may be both mistaken, but whether we are or not cuts no figure in
the truth or falsity of the Single Tax. But it is worth while to point
out that the reason you have given for his lack of "standing"
lends neither weight nor force to your argument. "Because,"
you say, "his teachings are violative of the public concept of
truth." When did the public concept of truth become the standard
by which to test it? The public concept of the best form of money is,
and has been for thousands of years, gold and silver coins. I am much
mistaken if that be your concept. By the way, why did you not say "violative
of truth," instead of "violative of the public concept,"
etc.? I guess you had an inward consciousness that a thing is not true
or false by public concept, but by being inherently so. What Henry
George taught was inherently true or false before he ever taught it,
and would be so still if he had been never born. The only difference
would be that so many of us who now bask in the blessed light of
inward, if not of outward, freedom would, in that event, be still
barking with the great blind multitude over every false trail along
which blinder teachers might be leading them and us.
You admit that Mr. George is a polemic without a peer, and you say
that "no other living man could have made so absurd a theory
appear so plausible, deceived hundreds of abler men than himself."
Surely there is something very faulty in the position you assume here.
If what you say be so, how do you know that you are not yourself the
victim of deception at the hands of some inferior? Or is it only men
who have "gone daft on Single Tax" that possess the
extraordinary power of leading abler men than themselves by the nose?
Surely that were too much honor for an antagonist to concede to them.
More surely still, if a man's intelligence is not proof against
deception by inferiors in argument, he can never reach finality in a
process of reasoning, and logical proof for him there is none.
"He mistakes the plausible for the actual and by his sophistry
deceives himself." O pshaw! We all say things sometimes that just
do for talk, but this hasn't even that poor excuse. I might just as
well say, "He takes the conceivable for the supposable and by his
logic enlightens himself. One statement would be as valuable as the
other and neither would be worth a pinch of snuff. Come, let us argue
with dignity and composure, like honest men sincerely searching after
truth, and eager to lend a hand in abolishing this social Inferno of
legalized robbery which fairly threatens to consume us all.
There is, you'll admit, such a thing as land value, i.e. value
attaching to land irrespective of improvements made in or on it by
private industry. This value arises from the presence of a community
and can never actually exist without it. If the exclusive creator or
producer of a thing is its rightful owner, land belongs to the
community that creates or produces it, and can never, in the first
instance, rightly belong to any other owner. The Single Tax is the
taking of this value for this community. Is it just? The highest
homage, the highest act of faith which the human mind and heart can
offer to God is to say that He could not be God and pronounce the
Single Tax unjust! Here now is a gage of battle cast at the feet of
whoever wishes to take it up, be the same logician, metaphysician or
theologian. (Pardon me, Mr. Brann, for momentarily turning aside from
you.)
The justice of the Single Tax is beyond all question of refutation.
What about its efficiency for the cure of social ills? Here, I think,
is where we are widest apart. You say, "the unearned increment is
already taken for public use under our present system of taxation."
If by "unearned increment" you mean what I have defined as
land value (and I think you do) your statement is the wildest and most
astounding I ever heard or read from a sane man making an argument.
Is it possible you have not learned that where all the land value is
taken in taxation there can be no selling value? And where is the land
to-day with a community settled upon it that has not selling value? If
land value is already absorbed by taxation, what is it that goes to
maintain landlordism? Perhaps you'll contend that landlordism doesn't
exist. What value is it that a man pays for when he buys an unimproved
lot in the heart of a city? What is it that the boomer booms and the
land speculator gambles on when he adds acre to acre and lot to lot
without any intention of productive use? What, if not the community
value which he expects to attach to his land as a result of increase
of population? And what advantage to him as a speculator would this
community value be if, as you claim, it is now being absorbed in
taxation and should continue to be so absorbed as fast as it arises?
Do landlords in cities and towns retain for themselves only the rent
of buildings and hand over to the government the full amount of their
ground rents as tax? I know an old eye-sore of a building in this city
not worth $150, whose occupant pays $100 a month rent. Do you
seriously believe that all of this $1,200 a year which does not go to
the city and state in taxes is rent on the old $150 rat-warren? Why,
the thing is too childish for serious discussion; and to have
discussed it with you without having been driven to it by yourself, I
should have regarded as in the nature of a slight on your
intelligence. If what you claim as a fact were true, we would have the
Single Tax in full swing now and would be fretting ourselves to
fiddle-strings, not to bring it about, but to get rid of it for its
evil fruit.
As to whether the Single Tax, in full force, would provide enough
revenue for municipal, county, state and federal governments, we,
Single Taxers, are not greatly concerned. We have our own opinions on
that question and can give better reasons for them than our opponents
can give for theirs. But the question is not essential to our
argument. What we hold to is that until land values fully taxed prove
inadequate for the expenses of government economically administered,
not one cent should be levied on labor products, no matter in whose
possession found. This, however, belongs to the fiscal side of our
reform. Of infinitely more importance is the social side. Here our end
and aim is to secure to all the sons of Adam an equal right to life,
liberty and pursuit of happiness by securing to them an equal right in
the bounties of nature--and passing strange it certainly is that men
who would not dream of denying this right in the abstract are ever
ready to anathematize it in the concrete.
With the Single Tax in force, that is, with the plain behest of
nature observed and respected, no man will hold land out of use when,
whether he uses it or not, he must pay to the community its annual
value for the privilege of monopolizing it. No man will hold land for
a rise in community value when that value is taken from him for the
use of the community as fast as it arises. No man will need to
mortgage his home and the earnings of his most vigorous years to a
boomer or speculator for the privilege of living on the earth for
there will be no boomer or speculator to sell him the privilege, and
the privilege itself will have ceased to be such and become an
indefeasible right.
"He (Mr. George) is a well-intentioned man who confidently
believes he can make the poverty-stricken millions prosperous by
revoking the taxes of the rich and increasing the burthens of the
poor." Fie, fie! What is to be gained by such transparent,
palpable misrepresentation as this? Do you verily believe that land
values, which Mr. George proposes to tax, are mainly in possession of
the poor? Did you not see--of course you did--a diagrammatic exhibit
made not long ago by the New York Herald of the holdings of twenty New
York real estate owners? Let me quote a passage from an article in the
New York Journal on this exhibit:
"The reason 170 families own half of Manhattan
Island, as stated in the Herald, and that 1,800,000 out of the two
million residents of Manhattan Island, until very recently, had no
interest whatever, except as renters, in this superb property, is
because, until the last few years, it required a fortune to own the
smallest separate parcel of this great estate. Only the rich could
participate in its ownership, its income, its profits."
Now is it your view that all this is but clumsy lying, and that in
reality it is the poor people of New York as of other large cities
that own the bulk of its land values? Again you say, "He would
equalize the conditions of Dives and Lazarus by removing the tax from
the palace of the one and laying it upon the potato patch of the
other." This statement is much more artistic than the preceding
one. It wears a jaunty semblance of truth. Indeed it is true in a
sense as far as it goes. But it is vague and incomplete, and for that
reason as deceptive and misleading as half truths always are.
With your permission I will fill it out in parenthesis and convert it
into an honest whole truth: "He would equalize the conditions of
(both freedom and justice for) Dives and Lazarus by removing the tax
from the palace of the one (and from the labor products of the other)
and laying it upon (the community value of the land occupied by the
palace and) the potato patch of the other." Now, if the potato
patches of the poor occupy, as a rule, more valuable land than the
palaces of the rich, there might be some apparent ground for your
contention. It would be only apparent, however, for in such a case the
potato patch would be as much out of place as a public school on a
wharf front. To devote highly valuable land to ordinary potato culture
would be about as sensible as to print the Sunday edition of the
Galveston News on costly linen paper. One of the virtues of the Single
Tax is its potency to prevent such stupid waste of opportunity. Your
way of stating the case, however, has this virtue that it is a welcome
variation of the old wearisome chestnut about the poor widow owning a
valuable lot, etc.
You believe Progress and Poverty inspired by the plutocracy, "250,000
of whom own 80 per cent. of the taxable wealth of the country, while
the land is largely in possession of the great middle class."
Passing over the source of the inspiration, you have come pretty close
to the truth here! Unfortunately for you, however, the statement has
no value in the argument. Single Taxers do not need to deny that the
great middle class largely own the land, but they do claim, and you
won't have the hardihood to deny it, that the plutocracy own the vast
bulk of the land values. You will perceive the distinction when you
reflect that the land is nearly all out in the country, while the land
values are nearly all in the cities and towns. To tax land according
to area is the bug-a-boo you are putting up your guards to; to tax it
according to community value is what we invite you to smash if you
can. You "cannot understand how a man possessed of common sense
could fail to see that removing taxation from the class of property
chiefly in the hands of the rich and placing it altogether on property
chiefly in the hands of the comparatively poor, could fail to benefit
the millionaire at the expense of the working man." Neither can
I, if you tax it according to quantity, but that is not the Single Tax
and it is time you knew it. Let me tell you now something that I can't
understand--why a man who has the means and the ability to strike
giant blows for the cause of the blind, stupid, plundered humanity
prefers to waste his time, his talents, his opportunities making
himself a straw man and, with that silly-looking thing for antagonist,
belaboring all about him like a bull in a china shop. You sincerest
well-wishers, of whom I claim to be one, earnestly hope you will soon
change your tactics.
You ask some practical questions which it may be well to answer:
"How will you prevent the Standard Oil Company
forcing weaker concerns to the wall by the simple expedient of
selling below cost of production?"
The Standard Oil trust is maintained (1) by monopoly of oil lands;
(2) by monopoly of pipe lines; (3) by collusion with railroads. The
Single Tax and its corollaries would absolutely destroy each of these
advantages; (1) by throwing unused oil lands open to all on equal
terms; (2) by government ownership or complete control of pipe lines
to all distributing points, such lines being open for use to all oil
producers on equal terms; (3) by exactly analogous treatment of
railroads. With the three-fold monopoly of oil lands, pipe line, and
railroad abolished, the Standard Oil trust would find no wall against
which to crush weaker concerns. As to the trust, we hope that the
abolishment of the thieves' compact, i.e. the protective tariff, will
make the trusts sick unto death. Absolute free trade, a necessary
concomitant of the Single Tax, will leave 99 per cent. of the trusts
stranded. If any survive it will not be the fault of the Single Tax.
Be it remembered that the evils which the Single Tax is guaranteed to
cure are, primarily, land monopoly, and, secondarily, all the other
monopolies based upon it; as those of the coal, iron and lumber trust,
the Standard Oil trust, etc.
"With coal fields leased to the operators by Uncle
Sam, how would you prevent Hanna organizing a pool, limiting
production, raising prices and reducing wages?"
Coal fields are included in the economic term, land. When unused land
is free for occupancy, unused coal fields will also be free. If Mark
sought to limit production by shutting down his mines, one of two
things would happen. Either somebody else would start in to mine coal,
or Mark's tax would be raised till the wisdom of either letting go or
resuming would dawn on his fat wits. Unless he owned or controlled the
coal fields he could not limit production, raise prices, or cut down
wages.
"How will you prevent the Standard Oil company
forcing weaker concerns to the wall by the simple expedient of
selling below cost of production?"
We wouldn't prevent them. But if they afterwards tried to recoup
their losses by raising prices as they do now, we might get after them
with a tax commensurate with their asinine generosity, and keep after
them till other concerns got well on their feet. If they became too
refractory, what's to prevent the government from taking hold itself
and working the oil wells for the benefit of the whole people?
Remember the government is theoretically the people's servant, and it
could be actually so if the people only had a little intelligence and
moral courage.
You very needlessly tell your Ft. Hamilton friend that land is the
primal source of all wealth; that it does not produce wealth, but
simply affords man an opportunity to produce it; you forgot to add --
provided the landlord doesn't prevent him. You say in another place, "Figure
it as you will, adjust it as you may, a tax is a fine on industry and
will so remain until you get blood from turnips," etc. This very
objection in protean form is continually being raised by a class of
shallow-thinking men with whom the editor of the ICONOCLAST
should not be proud to herd. "What difference docs it make,"
they say, "whether I pay rent to the government or to a landlord
when I've got to pay it anyhow? And what difference does it make
whether taxes are levied on my land or my improvements, or both, so
long as I've got to pay them with the products of my labor?"
Now, it is quite true that all taxes of whatever nature are paid out
of the products of labor. But must they be for that reason a tax on
labor products. Let us see. I suppose you won't deny that a unit of
labor applies to different kinds of land will give very different
results. Suppose that a unit of labor produces on A's land 4, on B's
3, on C's 2 and on D's 1. A's land is the most, and D's is the least,
productive land in use in the community to which they belong. B's and
C's represent intermediate grades. Suppose each occupies the best land
that was open to him when he entered into possession. Now, B, and C,
and D have just as good a right to the use of the best land as A had.
Manifestly then, if this be the whole story, there cannot be equality
of opportunity where a unit of labor produces such different results,
all other things being equal except the land. How is this equality to
be secured? There is but one possible way. Each must surrender for the
common use of all, himself included, whatever advantages accrues to
him from the possession of land superior to that which falls to the
lot of him who occupies the poorest.
In the case stated, what the unit of labor produces for D, is what it
should produce for A, B and C, if these are not to have an advantage
of natural opportunity over D. Hence equity is secured when A pays 3,
D, 2 and C, 1 into a common fund for the common use of all--to be
expended, say in digging a well, making a road or bridge, building a
school, or other public utility. Is it not manifest that here the tax
which A, B and C pay into a common fund, and from which D is exempt,
is not a tax on their labor products (though paid out of them) but a
tax on the superior advantage which they enjoy over D, and to which D
has just as good a right as any of them.
The result of this arrangement is that each takes up as much of the
best land open to him as he can put to gainful use, and what he cannot
so use he leaves open for the next. Moreover, he is at no disadvantage
with the rest who have come in ahead of him, for they provide for him,
in proportion to their respective advantages, those public utilities
which invariably arise wherever men live in communities. Of course he
will in turn hold to those who come later the same relation that those
who came earlier held to him.
Suppose now that taxes had been levied on labor products instead of
land; all that any land-holder would have to do to avoid the tax is to
produce little or nothing. He could just squat on his land, neither
using it himself nor letting others use it, but he would not stop at
this, for he would grab to the last acre all that he could possibly
get hold of. Each of the others would do the same in turn, with the
sure result that by and by, E, F and G would find no land left for
them on which they might make a living. So they would have to hire
their labor to those who had already monopolized the land, or else buy
or rent a piece of land from them. Behold now the devil of landlordism
getting his hoof on God's handiwork! Exit justice, freedom, social
peace and plenty.
Enter robbery, slavery, social discontent, consuming grief, riotous
but unearned wealth, degrading pauperism, crime breeding, want, the
beggar's whine, and the tyrant's iron heel. And how did it all come
about? By the simple expedient of taxing labor products in order that
precious landlordism might laugh and grow fat on the bovine stupidity
of the community that contributes its own land values toward its own
enslavement! And yet men vacuously ask, "What difference does it
make?" O tempora! O mores!
To be as plain as is necessary, it makes this four-fold difference.
First, it robs the community of its land values; second, it robs labor
of its wages in the name of taxation; third, it sustains and fosters
landlordism, a most conspicuously damnable difference; fourth, it
exhibits willing workers in enforced idleness; beholding their
families in want on the one hand, and unused land that would yield
them abundance on the other. This last is a difference that cries to
heaven for vengeance, and if it does not always cry in vain, will W.
C. Brann be able to draw his robe close around him and with a good
conscience exclaim, "It's none of my fault; I am not my brother's
keeper."
It will not do, my dear friend; you must think again on the Single
Tax, even though, in doing so, you might make men suspect that you are
not infallible. The sublimest act it will ever be given you to perform
is to candidly confess to your grand and ever-growing constituency
that you were mistaken in your estimate of the Single Taxers and their
faith.
"Government must compel each to pay toll in
proportion the amount of wealth it has produced -- and this is the
only equitable law of taxation."
Just reflect for a moment what a monstrous conclusion flows from
these premises. Labor applied to land produces all wealth. Landlordism
as such produces nothing. Therefore labor should bear the whole burden
of taxation, while landlordism and all other forms of monopoly should
go scot free. The iniquity of our present system of taxation is that a
portion of it is levied on land instead of being all levied on labor
products, like the tariff! To be strictly just, we must quit taxing
land and exact no royalty from owners of coal mines and oil wells!
That your view?
"There is every indication that his cult has had its
day and is rapidly going to join the many other isms, political and
religious, that have been swallowed up like cast off clothes and
other exuviae by the great mother of dead dogs."
This is fine, incontestably fine! Also forcible, impressibly forcible
-- with the force of a squirt of tobacco juice. If "the Single
Tax party will not long survive its creator," perhaps it is
because it has not as much attraction for the great sovereign voter as
the blessed protective tariff, which, to use your own fantastic
expression, you should "cosset on your heaving brisket" for
its splendid success as a survivor of its primogenitors. Look at the
pinnacle of political success to which the McKinley bill has brought
Bill McKinley (excuse the paltry little pun) and sound money (saving
your presence) brought Grover Cleveland, and then contemplate the
ignominy and obscurity has brought George and free silver has brought
Bryan. Evidently George isn't a mouse to McKinley, while Bryan is but
a brindle pup compared to the great and only Grover. Yes, the "public
concept of truth" makes it plain that protection is all right and
Single Tax all wrong. "George is a reformer who can't reform
because he took issue with the wisdom of the world," just like
the man who said that the earth was round and that the sun didn't go
round it every twenty-four hours, contrary to what the wisdom of the
world had long ago decided.
You are not mistaken in saying that "Mr. George was unable to
keep one of these expounders of his doctrine (a S.T. paper) from
running on the financial rocks." It is a very logical deduction
to draw from this fact that the teachings of the paper were worthless.
Why should anybody teach what does not, in the teaching, promote his
financial prosperity? See what fools Professors Bemis and Andrews have
made of themselves. Because they did not have due regard for the "public
concept of the truth" they are cashiered; and it serves them
right, for the truth must be vindicated--if it pays. On the other
hand, see what splendid financial successes the ICONOCLAST,
the Galveston News and the so-called yellow journalism of New York all
are. "Deserve, in order to command success," the old
copy-book headline used to say, from which it follows as mud does
rain, that whatever succeeds deserves it, and whatever doesn't,
doesn't. It doesn't take much besides capital to succeed, however, "where
the conditions for the propagation of empiricism are more favorable
than ever before." All you have to do is to propagate and expound
the "public concept of truth" and let the truth itself
alone. The Single Taxers respectfully solicit some more plain truths
on the "Mumbojumboism of George."
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