The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-05-22
AN ABLE LETTER.
THE SINGLE TAX TTIEORY-A BE
HrER pI AN pR nHOSEn EOR r AIQIN

the single tax theory to James G. Clark,
of Pasadena CAL, for criticism, and he
referred me to you, saying that you
would publish them. In accordance
Herewith, l send you the following:
: The single tax theory has been be-
fore the public for some years and has
gained number OF supporters; but
there seems to be serious objections, be-
Sides. more equitable and rational
method of raising a revenue may be
devised
This theory is founded on the assump
ton that land acquires certain value
termed the "unearned increment" BY
an ultimate analysis of this idea, it re-
solves itself into locality made valu-
able by opportunity, and has no rela-
ton whatever to land.
Association creates interests that did
not exist before. Relations necessitate
interchange of various kinds, involving
interests that can be secured only by
service, Facilities for the performance
of service are greatly enhanced by near
ness to centers: which increases the
value of opportunities. Markets, schools,
churches and various societies afford ia
cilities for pecuniary advantage and So
cial intercourse, education and religious
worship. Association renders necessary
the construction of highways, bridges,
streets, sewers, and the like. These add
to the value of opportunity and make
proximity more desirable.
Such advantages constitute what is
termed "unearned increment" Who
create these opportunities and give
value to them? Evidently the COM
munity who reside in their midst; and
they already enjoy them. Why should
they pay for what they have created
and are enjoying?
Bpt another idea is brought into this
theory,-that of revenue The idea is
that since the community enjoys this
"unearned increment" they ought to
pay for it.
1t is said that ground rents paid to
landlords enriches them and impover-
ishes the tenants. True; and to compel
the landlords to pay this rent into the
pubic treasury would avoid this iniqui
tous measure. True, again, these con-
siderations give the value to the single
tax theory.
This theory grants the right to hold
land in any quantity so long as the
rental value is paid. One may hid a
million acres by paying the ground
rent; thus keeping thousands of fami-
lies out of homes. This rent would be
very small because the opportunities
afforded by locality (being distant),
would be of small value. A wealthy
man might wish to have a deer park;
who could interfere?
If a more rational and equitable
method of raising revenue could be
devised, the advocates of the single tax
theory, when convinced Of it, would
abandon it; but before presenting such
method, few objections against this
theory will be considered.
1. The tax is unequal. The idea of
a tax is compensation for public serv-
ice. Let us suppose man owns United
States bonds to the amount of $4,000,
and receives his interest regularly. He
lives in Paris, and exchanges his gold
for the coin of the realm. He is a ben
eficiary of the government; it feeds and
clothes him and protects him from
insult and abuse. The luxuries enjoyed
by the rich canhardly be reached by
ground rents, especially those who own
no homes.
2. 1t jeopardiZeS the permanency of
the home. The tenure is held only by
the annual payment of the ground rent.
If another is wiling to pay more than
the occupant, he takes it. This uncer-
tainty of tenure prevents the permanent
improvement of the home.
Civilization could not exist without
permanent homes; and anything that
would impair that perlnancncy should
be avoided.
g. The rental value Of land is diff
cult to assess, on account of values i'm
parted to it by labor, OF injured by bad
cultivation. How to ascertain this value,
the land in a state of nature, is a prob
lem too difficult to solve, since there is
no fixed standard to judge by.
Land may be improved by cultiva-
ton by supplying elements extracted by
cropping. other land is seriously III
jured by eXhausting the soil, befou1ing
it with ncXious weeds or working it
when too wet or too dry. How much
the soil is benefited or injured being
difficult to ascertain, will serve as a
bone of contention that may never be
settled
Other objections may he urged.s Let
us suppose a case. A valley of fertile
soil is twenty miles from the market.
1t contains thirty families, who are en-
gagged in raising all kinds Of farm
products. 1t costs $3.50 ton to take
their produce to market. A man builds
railroad connecting this valley with
the market place, and carries their
freight for so cents ton. In common
parlance, this increases the value Of
the land in the valley. This, the single
takers call the "unearned increment -
Who creates it? He who built the rail-
road; but he is equitably compensated
by taking so cents ton. The advan-
tage lies in the superiority of steam
over horse flesh, and steel rails over
rough and hiily roads; and while no
one is a loser, all are gamers by this
advantage.
According to the single tax theory,
he who created this "unearned incre-
ment' should pay lit into his own
hands! The mem in, the valley did
to whom should these values be paid?
ing a revenue could be devised, brief
outline of which is here given:
Interests are created by the fact of
association. To secure these interests,
requires labor. They being necessary,
whoever receives this labor service re-
ceives a value. Government is an or
ganized association for the sole pur-
pose Of providing for the service re-
CURED in securing these common inter-
ests. The payment for that service
must he the source of revenue