Hutchinson gazette., 1900-04-19
PROSPEROUS NEW ZEALAND.
Vagarios are Accomplished Facts in
That Colony.

Gently returned from New Zealand
and Is now writing u book about 1t,
calls IL the worlds experiment sta
ton In social science, The liberals
Of New Zealand, who have for several
years controlled the government, have
acted on the fundamental principles;
First, that all legislation should not
be In the interest OF any class as
against the whole; and, second, that
large amounts OF propertK in few
hands are contrary TO the public in
terost. They have made II definite
purpose that there should be no mil
lionaires and no paupers In the coun-
try. And they have succeeded so well
that the movement toward concentra-
ton of wealth, which was In full
swing some years ago, has ceased to
exist as n factor in national life, and
the tide has been turned toward
wealth diffusion and the enrichment
of the entire community, The means
by which this remarkable evolution
has been accomplished is as follows;
About 20 years ago large part of
the y public lands were withdrawn
from sale and reserved for perpetual
lease by the state on rentals to be
readjusted every II years on the value
of the land, exclusive of improvements
made by the tenants.
II was enacted that no one should
buy or lease public land unless he
were prepared to settle on the land
and cultivate II.
No one purchaser, person or COM
pany is allowed to acquire more than
39O acres, or what will make 800 acres
with his prior possessions.
70 stop land speculation by taking
the profit all out Of II, the law nine
years ago adopted John Stuart Mills
plan of taking from land holders, in
the form of taxes, all future increase
OF land values (Which OF course do not
include improvements made by
tenants),
70 break up large estates already
in existence two measures were
adopted:
A special tax was put on large hold
ings, The ordinary land tax is one
penny in the pomd--two cents on
$4,S5. The graduated tax begins at
$4,000 at lSd in the pound, and rises
by elghths Of penny till it Is two
pence in the pound for an owner
whose land has an unimproved value
Of e9l0,000 or more, so that the total
land tax on holding of e210,000 or
more would be three pence in the
pound, or three times the ordinary
tax for holdings below $4,000
Large estates were made liable to
resumption by the state, on applica-
tion of persons ready to lease the
land from the government at rentals
amounting to Ave per cent. on the
price nt which II should be assessed
by the compensation court, The state
issues bonds at 3h per cent and the
five per cent rentals pay off the in
terest and the principal Some 80 es-
tates have been resumed" under the
law. One of the largest recently
taken was worth S1,50O,00O and is now
divided among resident farmers, who,
with their families, number about
1000 people,
A special absentee tax was also en-
acted TO make II unpleasant for for
eigners, or persons living in for
eign countries to hold New Zealand
lands, This tax amounts to an addi-
ton Of 20 per cent, upon the grndu-
ated tax levied as above stated, and
is applied wherever the owner has
not resided in New Zealand for three
years,
To prevent mortgage slavery the
government makes loans TO farmers
on easy terms, as Gladstone did IN
Ireland, Millions Of dollars have been
borrowed by the farmers to pay or
pre-existing private mortgages calling
for interest higher than that required
by the government.
Old age pensions were established IN
1898. All persons over 65 years old
long resident in the country and OF
good character are entitled to pen.
sion of 500 year II they need it,.
State life insurance has been in OPP
Grafton since 1869. The insurance is
safe and cheap. II is on the mutual
plan, all profits being divided among
the assessed.
National ownership and operation
Of the railroads has been in fun swing
In New Zealand for 20 years, There
are no rebates, determinations or fa-
vors to persons with "pull." The gov.
ernment Of the day can neither pro-
cure the appointment nor the dis.
missnl Of a railway employe of any
grade. The whole body Of employees
is under civil service regulations,
which are thoroughly enforced, There
has consequently been no trouble
with patronage. New Zealand pays
no dividends on watered stock and no
excessive interest on bonds. She has
no railroad millionaires or lobbies.
The profits go to the public treasury,
and the roads are run to serve the
people. The roads have been built and
equipped for $4,000 mile, though IL
is "A mountainous country, and wages
and materials are both very high.
Work on the railways is carried on by
ro-onerntivp prouns ~ Nvnrkn,an xubn