The great West. [volume] (St. Paul, Minn.) 1889-18??, 1892-06-10

ton, but also of the smaller aggrega-
tons, or communities, as, for instance,
states, counties, townships, cities, towns
and villages. What do we mean and what
is involved by the expression, Expenses
of the governments AS the three SUI
preme divisions or heads of our govern
ment are the legislative, the executive
and the judicial, such expenses may be
said to principally be incurred for the
purpose of making laws, enforcing OF
executing laws and defining or adjudg-
ing laws. These are the principal legi-
innate objects and powers of all govern.
ments in time of peace. The army and
navy involve more or less expense, but
are unnecessary adjuncts of govern
ments in peaceful times, being MAIN
tanned for the purpose of protecting and
unfolding the government in case OF
foes without or revolutions within. Tbs
educational feature, as exemplified in
our public school system, as also our
postal service, ETC., ETC., all entail ex.
pense, but governments could and ara
maintained and administered without
them.
All citizens of government are NOR
ally and legally bound to pay portion
of the expenses contingent upon the
maintenance of their government.
First, for the protection accorded to
them as individuals. in their persons,
and in the full and free enjoyment b
their civil and religious rights. Sec.
ond, for the protection afforded to theil
property or wealth against the assaults
or entertainments of all other persons
and certain elements, such as fire,
food, etc. They are liable for taxes,
first, as citizens or individual members
of the government, and in this respect
the liability of each and all is ex
actly equal. All having equal rights
and privileges before the law, all should
pay equally for the protection OF
such rights and guaranty of such priv
leges. Second, as owners and accumu.
lators of wealth, or property; and in
this respect there is no equality what.
ever in liability. Even as the wealth
of individuals differs in amount and
value, so also should the taxes paid for
the protection of such wealth differ in
and amount. These are the
eternal truths upon which, as a sub
structure, the scientific system of taxa
ton must be built.
Now let us glance at the present sys.
TEN. First, there is the revenue for the
support of the general government,
which is derived from tax levied upon
certain articles of domestic manufacture
the internal revenue tax, and tax
levied upon certain imported goods (the
protective tariff. In this article, treat
ing specially of taxation, it is not my
intention to point out or enlarge upon
the extortionate profits charged by Ger.
tain lines of manufacture which have
themselves into trusts under
cover of the protective tariff. Both the
tariff and the internal revenue tax are
ton, or indirect tax. That is to say enter.
ing as such taxes do into the first cost OF
articles manufactured here and the cost
to the importing merchant of goods inn
ported from abroad, the tax is included
in the price of the goods to the consum-
err, and hence each individual pays
taxes according to his consumption and
not according to his wealth. This of
entirely exempts from taxa
ton the residual increment" or net
annual increase in wealth, because
such increment is what is left after all
demands for consumption are satisfied.
It is the accumulation of residual in
or net product after all de-
mands for consumption are satisfied,
that makes up great portion of what
is called our national wealth at the end
Of each ten-year period.
Incomes, whether derived from direct
wages, rents, profits or interest and
grade and ascend in grad
uating scale from those of the day
laborer, who receives but s'bare sub
sistence," or less than $500 a year, or
the landlord, merchant or investor,
who receives a comfortable living, to
the landlord, merchant, investor or
railroad president or insurance man.
ager who receives anywhere from &c..
300 to $500 a year, to fabulous in.
come, running into millions But some
where on this graduated scale we reach
a point that divides those who spend
their entire income for living (of
grade and style commensurate with the
position they aspire to in society from
those who receive more income than
they can spend for living, and conse.
auently have left some residual incre.
ment." Up to that point all have paid
a portion of their earnings as tax;
above that point each individual has
some wealth that cannot be reached by
Indirect taxation.
Now as to state, county and munici.
pal taxes. At first blush it would seem
as if here we tax all men according to
their wealth, directly and in a manner
they cannot evade or dodge. Let us
see.
First, as to land taxes-if Mr.. Wake
ield will pardon my presumption in
treating of a subject Of which have not
even "a superficial knowledge" Under
the present system, all contiguous lands