The herald., 1896-11-04
head that such a campaign has been
| poaaihla
LAND AND WHEAT

A slight rise in the price of wheat in
San Francisco and in eastern markets
has recently occurred. 1t was reported
at San Francisco that whatever ad-
vance there might be in the price OF
California wheat would undoubtedly
soon be followed by corresponding ad-
vance in the prices of grain-producing
lands in this state and contiguous
states The ratio mentioned was an ad-
vance of SO an acre for every ten cents
per Genital added to the price of wheat.
This announcement furnishes food for
thought. Political economists will be
interested in analyzing the economic
problems embodied therein. Except
under very extraordinary circum-
stances operating detrimentally to the
community the tendency of land values
everywhere is upward. While labor pro-
ducts, by reason of increased competi-
tion and improved facilities for produc-
ton, become cheaper year by year.
land grows dearer all the time. This is
true in large cities, in towns and in ag-
ricultural districts. A striking instance
in proof of this statement is found in
California statistics. During the twen-
ty-two years from 1872 to 1894. accord
ing to assessment reports. the
total labor products in this state
deprecated S55,0oO.o00. In this same
period land values in the state
doubled two and one-half times.
OF course the enormous shrink
age in the assessed value of labor
products was partially due to improved
facilities and increased inclination
among property owners to conceal per-
sonal property, and. by various meth
DDS insure light assessments on taxa
BILE things that gould not be kept out of
the assessors sight. Yet after due al
lowance is made on that score the fact
remains that there was great falling
off in values of labor products.
Now every inquiring mind will ma
turally desire to know whether IL land
values are increased by rising wheat
market the returns to labor will be cor
respondingly advanced. The answer is,
most certainly not, if we are to judge
by universal past experience. The
value of land either for selling or rent
ing purposes. is something that rises
though other things fall. There are
three, and only three. factors in the pro-
duction of wealth. They are land, labor
and capital. Each gets portion of the
product. What land gets is called rent,
what labor receives is wages. and what
is credited to capital is interest. When
one of these factors gets more than its
just share the other two are robbed to
that extent Under the Embellishments
Of our existing social system the passive
factor, land, appropriates the lions
share, leaving to the others only enough
of the product for them to exist upon
and continue to produce wealth for the
lord of the land.
Let no one imagine that an increase of
land values anywhere means an in
crease Of wealth or an enhancement of
general prosperity among the people.
1t simply means that access to land for
useful purposes is becoming more diff
cult, and the profits of mere land own
ership are rising
The worlds fair had the effect Of rails
ing land values in Chicago about $780,
100000. But that fifty million dollar in
crease was purely speculative and f1cti-
tious. 1t added nothing to the aggre-
gate wealth of the inflated city. On the
contrary, it rendered the production of
wealth more difficult and labor more
helpless by raising still higher the bar
rier between labor and land. What is
true of Chicago real estate imitation is
true of every other city and of every
town and rural district where land spec
ulation is unchecked.
The adoption of fiscal policy that will
stop speculation in natures gifts to all,
discourage idleness, and reward indus
try by insuring to labor all that it earns,
is the great problem of the age.