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Now, supposing we should abolish all other taxes direct and indirect, substituting for them a tax upon land values, what would be the effect? In the … - Henry George
" "Now, supposing we should abolish all other taxes direct and indirect, substituting for them a tax upon land values, what would be the effect? In the first place it would be to kill speculative values. It would be to remove from the newer parts of the country the bulk of the taxation and put it on the richer parts. It would be to exempt the pioneer from taxation and make the larger cities pay more of it. It would be to relieve energy and enterprise, capital and labour, from all those burdens that now bear upon them. What a start that would give to production! In the second place we could, from the value of the land, not merely pay all the present expenses of the government, but we could do infinitely more. In the city of San Francisco James Lick left a few blocks of ground to be used for public purposes there, and the rent amounts to so much, that out of it will be built the largest telescope in the world, large public baths and other public buildings, and various costly works. If, instead of these few blocks, the whole value of the land upon which the city is built had accrued to San Francisco what could she not do? So in this little town, where land values are very low as compared with such cities as Chicago and San Francisco, you could do many things for mutual benefit and public improvement did you appropriate to public purposes the land values that now go to individuals. You could have a great free library; you could have an art gallery; you could get yourselves a public park, a magnificent public park, too. You have here one of the finest natural sites for a beautiful town I know of, and I have travelled much. You might make on this site a city that it would be a pleasure to live in. You will not as you go now — oh, no! Why, the very fact that you have a magnificent view here will cause somebody to hold on all the more tightly to the land that commands this view and charge higher prices for it. The State of New York wants to buy a strip of land so as to enable
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About Henry George
Henry George (September 2, 1839 – October 29, 1897) was an American political economist and journalist. His writing was immensely popular in 19th-century America and sparked several reform movements of the Progressive Era. He inspired the economic philosophy known as Georgism, the belief that people should own the value they produce themselves, but that the economic value of land (including natural resources) should belong equally to all members of society. George famously argued that a single tax on land values would create a more productive and just society.
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Additional quotes by Henry George
No amount of force will break an egg-shell if exerted on one side alone. So capital could not squeeze labor as long as labor was free to natural opportunities, and in a world where these natural materials and opportunities were as free to all as is the air to us, there could be no difficulty in finding employment, no willing hands conjoined with hungry stomachs, no tendency of wages toward the minimum on which the worker could barely live. In such a world we would no more think of thanking anybody for furnishing us employment than we here think of thanking anybody for furnishing us with appetites. That the Creator might have put us in the kind of world I have sought to imagine, as readily as in this kind of a world, I have no doubt. Why he has not done so may, however, I think, be seen. That kind of a world would be best for fools. This is the best for men who will use the intelligence with which they have been gifted. Of this, however, I shall speak hereafter. What I am now trying to do by asking my readers to endeavor to imagine a world in which natural opportunities were "as free as air," is to show that the barrier which prevents labor from freely using land is the nether millstone against which labor is ground, the true cause of the difficulties which are apparent through the whole industrial organization.
To prevent government from becoming corrupt and tyrannous, its organization and methods should be as simple as possible, its functions be restricted to those necessary to the common welfare, and in all its parts it should be kept as close to the people and as directly within their control as may be.
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It is as to whether its services or uses are to be exchanged or not which makes a tool an article of capital or merely an article of wealth. Thus, the lathe of a manufacturer used in making things which are to be exchanged is capital, while the lathe kept by a gentleman for his own amusement is not.
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