Part 36 (1/2)
If we were back in the old days of hand labor and crude, unorganized production, I admit that the only way to benefit the slaves might be to turn out the masters by force. But here we have a social system of infinite complexity, a delicate and sensitive machine, which no one person in the world, and no group of persons understands thoroughly. In the running of such a machine a slight blunder may cost a fortune; and certainly all the skill, all the training, all the loyal services of our expert engineers and managers is needed if we are to remodel that machine while keeping it running. The amount of wealth which we could save by the achieving of that feat would be sufficient to maintain a cla.s.s of owners in idleness and luxury for a generation; and so I say, with all the energy and conviction I possess, _pay them_! Pay them anything that is necessary, in order to avoid civil war and social disorganization! Pay them so much that they can have no possible cause of complaint, that the most hide-bound capitalistic-minded judge in the country cannot find a legal flaw in the bargain! Pay them so that every engineer and efficiency expert and manager and foreman and stenographer and office-boy will stay on the job and work double time to put the enterprise through! Pay them such a price that even Judge Gary and John D. Rockefeller will be willing to help us do the job of social readjustment!
”Ah, yes,” my young radical friends will say, ”that sounds all very beautiful, but it's the old Utopian dream of brotherhood and cla.s.s co-operation. That will never happen on this earth, until you have first abolished capitalism.” My answer is, it could happen tomorrow if we had sufficient intelligence to make it happen. That it does not happen is simply absence of intelligence. And will anyone maintain that it is the part of an intelligent man to advocate a less intelligent course than he knows? What is the use of our intelligence, if we abdicate its authority, and give ourselves up to programs of action which we know are blind and destructive and wasteful? We may see a great vessel going on the rocks; we may feel certain that it is going, in spite of everything we can do; but shall we fail to do what we can to make those in the vessel realize how they might get safely into the harbor?
We have had the Russian revolution before us for four years. Mankind will spend the next hundred years in studying it, and still have much to learn, but the broad outlines of the great experiment are now plain before our eyes. Russia was a backward country, and she tried to fight a modern war, and it broke her down. She had practically no middle cla.s.s, and her ruling cla.s.s was rotten, and so the revolutionists had their chance, and they seized it. Perhaps it would be more correct to say that they came to the rescue of Russia, saving her from the hands of those who were trying to force her to fight, when she was utterly exhausted and incapable of fighting.
Anyhow, here was your dictators.h.i.+p of the proletariat. It turned out all the executive experts, or nearly all of them, because they were tainted with the capitalist psychology; and then straightway it had to call them back and make terms with them, because industry could not be run without them. And of course these engineers and managers sabotaged the revolution--every non-proletarian sabotaged it, both inside Russia and outside. You denounced this, and protested against this, but all the same it happened; it was human nature that it should happen, and it is one of the things you have to count on, in any and every country where you attempt the social revolution by minority action.
They have got power in Russia, and they dream of getting power in America in the same way. But there is no such disorganization in our country as there was in Russia, and it would take a generation of civil strife to bring us to such a condition. We have a middle cla.s.s, powerful, thoroughly organized, and thoroughly conscious. Moreover, this cla.s.s has ideals of majority rule, which are bred in its very bones; and while they have never realized these ideals, they think they have, and they are prepared to fight to the last gasp in that belief. All that the leaders of Moscow have to do is to bring about an attempt at forcible revolution, and they will discover in American society sufficient power of organization and of brutal action to put their movement out of business for a generation.
A hundred years ago we had chattel slavery firmly fixed as the industrial system of one-half of these United States. To far-seeing statesmen it was manifest that chattel slavery was a wasteful system, and that it could not exist in compet.i.tion with free labor. There was a great American, Henry Clay, who came forward with a proposition that the people of the United States, through their government, should raise the money, about a billion dollars, and compensate the owners of all the slaves and set them free. For most of his lifetime Henry Clay pleaded for that plan. But the masters of the South were making money fast; they knew how to handle the negro as a slave, they could not imagine handling him as a free laborer, and they would not hear to the plan. On the other side of Mason and Dixon's line were fanatical men of ”principle,” who said that slavery was wrong, and that was the end of it. There is a stanza by Emerson discussing this question of confiscation versus compensation:
Pay ransom to the owner And fill the bag to the brim.
Who is the owner? The slave is owner, And ever was. Pay him.
This, you see, is magnificent utterance, but as economic philosophy it is reckless and unsound. The abolitionists of the North took up this poem, and the slave power of the South answered with a battle-song:
War to the hilt, Theirs be the guilt, Who fetter the freeman to ransom the slave!
And so the issue had to be fought out. It cost a million human lives and five billions of treasure, and it set American civilization back a generation. And now we confront exactly the same kind of emergency, and are coming to exactly the same method of solution. We have white wage-slaves clamoring for their freedom, and we have business men making money out of them, and exercising power over them, and finding it convenient and pleasant. They are going to fight it out in a civil war, and which side is going to win I am not sure. But when the historians come to write about it a couple of generations from now, let them be able to record that there were a few men in the country who pleaded for a sane and orderly and human solution of the problem, and who continued to voice their convictions even in the midst of the cruel and wasteful strife!
CHAPTER LXVIII
THE PROBLEM OF THE LAND
(Discusses the land values tax as a means of social readjustment, and compares it with other programs.)
The writer of this book has been watching the social process for twenty years, trying to figure out one thing--how the change from compet.i.tion to co-operation can be brought about with the minimum of human waste. He has come to realize that the first step is a mental one; to get the people to want the change. That means that the program must be simple, so that the ma.s.ses can understand it. As a social engineer you might work out a perfect plan, but find yourself helpless, because it was hard to explain. As ill.u.s.tration of what I mean, I cite the single tax, a theory which has a considerable hold in America, but which politically has been utterly ineffective.
A few years ago a devoted enthusiast in Southern California, Luke North, started what he called the ”Great Adventure” to set free the idle land.
In the campaign of 1918 I gave my help to this movement, and when it failed I went back and took stock, and revised my conclusions concerning the single tax. Theoretically the movement has a considerable percentage of right on its side. Land, in the sense that single taxers use it, meaning all the natural sources of wealth, is certainly an important basis of exploitation, and if you were to tax land values to the full extent, you would abolish a large portion of privilege--just how large would be hard to figure. I was perfectly willing to begin with that portion, so I helped with the ”Great Adventure.” But a practical test convinced me that it could never persuade a majority of the people.
The single tax proposal is to abolish all taxes except the tax on land values. Then come the a.s.sociations of the bankers and merchants and real estate speculators, crying in outraged horror, ”What? You propose to let the rich man's stocks and bonds go free? You propose to put no tax on his cash in the vaults and on his wife's jewels? You propose to abolish the income tax and the inheritance tax, and put all the costs of government on the poor man's lot?”
Now, of course, I know perfectly well that the rich man dodges most of his income tax and most of his inheritance tax. I know that he pays a nominal pittance on his cash in the bank and on his wife's jewels, and likewise on his stocks and bonds. I know that the corporations issuing these stocks and bonds would be far more heavily hit by a tax on the natural resources they own; they could not evade this tax, and they know it, and that is why they are moved to such deep concern for the fate of the poor man and his lot. I know that the tax on the poor man's lot would be infinitesimal in comparison with the tax on the great corporation. But how can I explain all this to the poor man? To understand it requires a knowledge of the complexities of our economic system which the voters simply have not got.
How much easier to take the bankers and speculators at their word! To answer, ”All right, gentlemen, since you like the income and inheritance taxes, the taxes on stocks and bonds and money and jewels, we will leave these taxes standing. Likewise, we a.s.sent to your proposition that the poor man should not pay taxes on his lot, while there are rich men and corporations in our state holding twenty million acres of land out of use for purposes of speculation. We will therefore arrange a land values tax on a graduated basis, after the plan of the income tax; we will allow one or two thousand dollars' worth of land exempt from all taxation, provided it is used by the owner; and we will put a graduated tax on all individuals and corporations owning a greater quant.i.ty of land, so that in the case of individuals and corporations owning more than ten thousand dollars' worth of land, we will take the full rental value, and thus force all idle land into the market.”
Now, the provision above outlined would have spiked every single argument used by the opposition to the ”Great Adventure” in California in 1918; it would have made the real intent of the measure so plain as to win automatically the additional votes needed to carry the election.
But I tried for three years, without being able to persuade a single one of the ”Great Adventure” leaders to recognize this plain fact. The single taxer has his formula, the land values tax and no other tax, and all else is heresy. Actually, the president of a big single tax organization in the East declared that by the advocacy of my idea I had ”betrayed the single tax!” We may take this as an ill.u.s.tration of the difference between dogmatism and science in the strategy of the cla.s.s struggle.
I first suggested my program immediately after the war, with the provision that the land thrown on the market should be purchased by the state, and used to establish co-operative agricultural colonies for the benefit of returned soldiers. But we have preferred to have our returned soldiers stay without work, or to displace the men and women who had been gallantly ”doing their bit.” By this means we soon had five million men out of work, and many other millions bitterly discontented with their wages. Again I took up the proposition for a graduated land tax, with the suggestion that the money should be used to provide a pension, first for every dependent man or woman over sixty years of age in the country, and second for every child in the country whose parents were unable properly to support it, whether because they were dead or sick or unemployed.
You may note that in advocating this program, you would not have to convert anybody to any foreign theories, nor would you have to use any long words; you would not have to say anything against the const.i.tution, nor to break any law, nor to give occasion for patriotic mobs to tar and feather you. To every poor man in your state you could say, ”If you own your own house and lot, this bill will lift the taxes from both, and therefore it will mean fifty or a hundred dollars a year in your pocket.
If you do not own a home, it will take millions of idle acres out of the hands of the speculators, and break the price of real estate, so that you can have either a lot in the city or a farm in the country with ease.”
Furthermore, you could say, ”This measure will have the effect of drawing the unemployed from the cities at once, and so stopping the downward course of wages. At the same time that wages hold firm, the cost of food will go down, because there will be millions more men working on the land. In addition to that, the state will have an enormous income, many millions of dollars a year, taken exclusively from those who are owning and not producing. This money will be expended in saving from suffering and humiliation the old people of the country, who have worked hard all their lives and have been thrown on the sc.r.a.p-heap; also in making certain that every child in the country has food enough and care enough to make him into a normal and healthy human being, so that he can do his share of work in the world and pay his own way through life.”