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| [A speech given at
the Chautauqua Institution, August, 2005] |
Those are two words that we use so often that we tend to take their
meanings for granted. It might be helpful to stop and think about what
they truly mean.
Justice is often seen as the fair retribution for something done wrong.
We say "justice was done" when a criminal is sent to jail.
George W. Bush vowed to bring the 9-11 terrorists to justice.
However, that conception of justice -- in which one does good, in order
to avoid the consequences of not doing good -- is actually an immature
one. In the stages of moral development identified by psychologist
Lawrence Kohlberg, this is called the "conventional" stage.
Maturity comes in the "post-conventional" stage, when we come
to value doing good so as to contribute to our community, or, even,
doing good for its own sake.
Jesus was hip to that, in his scorn for the loudly-praying pharisees on
the street corners. They already have their reward, he said. He set much
greater store by good deeds done without thought of reward: "whatever
you do to the least of my brothers and sisters, you to do me also."
And, along similar lines, according to the prophet Micah, God wants us
to "Do justice and love mercy."
So, what is "doing justice", in this positive sense? If I do
something nice for the least of my brothers and sisters, have I done
justice? If I send them a handmade quilt? I think the least of my
brothers and sisters, cold though they might be, would resent my
presuming to know exactly how their problem ought to be handled. Perhaps
they'd rather make their own quilt, or build a fireplace, or move to a
warmer place. Justice must have to do with freedom. To do justice, then,
is to secure, in Thomas Jefferson's words, people's inalienable rights:
life, liberty and the pursuit of happiness. The most basic of those
rights is life. (In this day and age, though, even that is
controversial... Somewhere amid all the passionate concern about the
special cases of the very beginning, or the very end of life -- I wish
we'd pay more attention to every single human being's right to live!)
Be that as it may: we all understand basically what human life is, and
what its basic requirements are: food, clothing and shelter.
In heaven, there is no beer... And in heaven, one does not need
to work for a living. Heaven is usually seen as an entirely spiritual
place, where we are freed from earthly suffering, aches and pains, and
in fact, from all material needs.
(That's why I could never understand Satan. I've always thought he was
a bit of a nut. I mean, why rebel in heaven? But, to each his own.)
Here on earth, anyway, we have material needs. (That's why we drink the
beer here). Our food, clothing and shelter have to come from somewhere
-- and so the question of justice inevitably leads to the question of
land.
Now, what do you mean by "land"? The land... it usually
brings to mind scenes of nature's bounty: fields of whispering wheat...
the mighty river... the rainforest... the good earth... the untamed
savannah...
We tend to have a romantic conception of land, in this day and age. I'm
not sure why, but I suspect it has to do with how seldom modern people
actually come into contact with the stuff of the earth itself. We deal
with hamburgers... papers... toilets... without thinking about the many
layers of processing between hayfield and burger, between tree and
paper, between flush and water table. We think of dropping out of the
plastic modern world to go "back to the land". "The land"
is where we go on camping trips.
This romantic conception of land can lead to some dangerously fuzzy
thinking. It leads us to think, for example, that perhaps land used to
be absolutely vital to human life, back in some halcyon, underpopulated
past -- but modern technology has long since taken care of that.
Or has it? Let's think about a question: what is our most valuable
natural resource? Is it
- gold, diamonds, strategic or precious minerals? Nope, not even
close.
- Oil? Well, it's highly important to industrial civilization, of
course, a matter of great political import -- but by no means the
most valuable.
- Water? Now we're getting closer: necessary for life, to be sure,
and thus a potential object of wars -- but in terms of cost per
cubic foot, not so terribly high, yet.
Our most valuable natural resource is land whose natural fertility is
utterly depleted, it will yield no gems or minerals; often, its soil is
full of toxins. Our most valuable natural resource -- by leaps and
bounds, more valuable than all the others combined -- is urban land.
There's nothing worthwhile about it, except for one vital attribute:
where it is.
Technology has continually reduced the amount of land that each person
needs to survive. But, of course, we do more, economically, than merely
survive -- and human society has continually demanded more land for all
the stuff that people produce: all the knickknacks, gimcracks, widgets
and thingamabobs...
It takes a whole bunch of land to produce -- and transport, and
merchandise -- all that stuff. Nowadays we hear a lot about the concept
of the ecological footprint: the overall area of land and resources
needed to support a certain industry, say, or a certain region. The
grossly huge ecological footprint of many communities (the United
States, for example) leads to hand-wringing about overpopulation --
goodness gracious, what if all the people in China and India start
wanting to consume as much as we do!
We can understand the ecological footprint a bit better, I think, if we
separate it into its three distinct components:
- the subsistence footprint (resources we must have to stay alive
-- which, as I said, tends to shrink with human progress)
- the wealth footprint (the resources needed to make the stuff we
want, over and above what we actually need)
- the illth footprint ("illth" is a very useful term
coined by ecologist and social philosopher Ralph Borsodi. It refers
to the resources that are squandered on things we neither want nor
need: pollution, waste, weapons, crime, preventable disease and
malnutrition)
It is indeed possible to provide for the subsistence of more people,
and to create more of the things we want -- while cutting back on the
output of illth. Compare today's London with the foul, unhealthy place
it was in the nineteenth century. Or, consider the surprising
re-emergence of the ivory-billed woodpecker -- one of many threatened
species whose habitats have returned in the United States. Indeed, it
appears that environmental protection does not come at the expense of
development -- but rather gains strength as a society reaches a certain
level of prosperity.
If we just look at the "ecological footprint", it's easy to
be scared of the seemingly unavoidable damage we are doing to the earth.
But seeing "the footprint" in terms of its components --
subsistence, wealth, and illth -- makes it clear that the fact of
persistent global poverty is by no means inevitable. I believe it's true
that the world cannot long support current levels of pollution, waste
and habitat destruction -- but these problems spring, not from
production itself -- and certainly not from trade, itself -- but from
privileges, granted by governments, to individuals and corporations --
things that we can correct, if we choose to.
To solve the problem of land and justice, we must remove unjust
privilege, by instituting an economic system that rewards production and
prohibits extortion.
It's all about the land: not only is land necessary for all life --
land is also necessary for all production. So, as human population
increases, and as the production of wealth gets more and more efficient,
the demand for land goes up, and, of course, the land factories start
cranking out more land!
Wait! They can't DO that, can they? Wealth -- widgets, thingamabobs --
these things are made by human beings. If customers are willing to buy
more of them, then manufacturers will make more of them. But human
beings can't make land. The supply of land cannot be increased. If the
demand for land increases, only one thing can happen: its price will go
up.
The owners of land see population and production go up, up, up -- and
no more land. So, they will only put their land to use if they have an
immediate need for the cash. If they can afford to wait, they will wait,
because they expect the land's value to increase with time. That, in a
nutshell, is the key to the problem of poverty. That is why millions
upon millions of people who are willing and able to work cannot find
work, even while millions upon millions of acres of useable land (city
land, industrial land, farm land, you name it) are held idle. It's all
about treating the land as an "asset".
This leads to no end of problems. In the United States, it brings urban
blight and suburban sprawl, which disrupt communities, and waste energy
and resources. You don't think under-use of land is that big a deal?
Consider the fact that in the five boroughs of New York City, 7.5% of
its land, or 18.6 square miles, is vacant. That's buildable land, not
parks or streets. And, of course, a great deal more land in New York, as
in every other city, is used somewhat, but far less than the local
economy would support. New York City has about 80 people per acre of
residential land. That means that New York's vacant land could house
another 956,000 people at current density levels, without even starting
to use its vast stock of under-used land.
Even though downtowns are underbuilt, people want to move away from the
high prices and high crime rates they often find there -- so development
leapfrogs, using far more land than is necessary, jacking up the price
of farmland near the city -- so that local farms are no longer viable.
All this sprawl creates more and more need for roads -- provided by tax
dollars, of course. With all these roads, and all these cars, public
transportation systems become less popular and harder to finance. This
chokes the cities with even more traffic, making them even less
desirable places to be. Meanwhile, all these subsidized highways are
just great for the big trucks, burning subsidized fuel, carrying
imported merchandise to all the big-box stores and franchise restaurants
of suburbia. In other words: land speculation is at the root of two of
the hugest problems that progressives in the United States are trying to
address -- the decay of communities and the rise of the corporate big
box. It's all about treating the land as a private asset. This gives too
much power to the banks, for land is by far the greatest source of
collateral for loans, everywhere. The more money we have to pay for
land, the more power we give to the banks. Although 66% of American
families own their homes, the overall net equity of American home "owners"
is only 18%.
In "developing countries" the question of land and justice
leads to a terrible vicious circle: peasants lose their land to one of
two groups: first, to land-baron cronies of corrupt regimes -- who hold
land idle for the specific reason of not allowing peasants to use it,
thus making sure they have no place to go, and are willing to work for
subsistence wages -- or, second, to multinational corporations, who run
huge plantations to grow crops for export. The foreign exchange thus
gained goes for debt service, which allows the ruling regime to keep
playing by the IMF's rules, and stay in power. Meanwhile, the peasants
gravitate to the cities, seeking nonexistent jobs, and end up in
shantytowns that lack clean water and sewers.
We are told that two billion people live on less than two dollars a
day. That statistic bugs me -- not because I want to deny the terrible
extent of poverty in our world -- but because it doesn't make any sense.
Two dollars a day? Consider your own basic needs, and ask yourself how
far two bucks will go toward satisfying them. Nobody can survive on just
the buying power of two dollars a day. Why haven't those two billion
people just keeled over by now?
This sort of paradox led the Nobel prize-winning economist Amartya Sen
to the studies described in his book, Development as Freedom.
Sen contends that the true measure of economic welfare -- and therefore
of development in any meaningful sense -- can't be a matter of GDP and
other conventional measures of "growth". Any true measure of
economic welfare must have to do with freedom: with the degree to which
each person can set and achieve his or her own economic goals.
Economic freedom for the world's poorest people is unquestionably all
about the land. Let's say a peasant family has a goat and a garden, and,
working carefully, can grow enough to feed itself. Occasionally a good
harvest will yield some surplus which can be sold -- there isn't much of
that, but let's say it brings in an average of two dollars a day. With
thrift, enough for school clothes, maybe even books.
Now, let's imagine that the family loses their land -- perhaps an
injury or some other disaster makes it impossible to keep farming it --
and they have to go to the city, where they manage to find a combination
of odd jobs, yielding an income of $10 per day. Now, they must somehow
buy their food and every other necessity out of that $10, and they have
to live in a miserable shack, with open sewage running in unpaved
streets.
Yet, in terms of development numbers, their income has increased by
$500%. In which case did the family have more freedom? Which scenario is
more conducive to development?
We have been talking about the tendency for landowners to use land as
an investment -- a sensible thing to do -- not to use it now if they
don't need to, but to think in terms of enjoying its increase in value
over time. We have even identified that as the key to the problem of
poverty. But -- good heavens, what can we do about that? Isn't that just
how the economy works? Isn't the private ownership of land a basic part
of a modern economy? How can we do without such an important
institution? Or in other words -- won't the poor always be with us?
Not necessarily. It has been plain, since very earliest days of civil
society, that the private ownership of land leads to exploitation and
great extremes of wealth and poverty.
And, since at least the time of the Book of Leviticus, we have had a
pretty good idea of what to do about it. In that book were recorded the
words "The land shall not be sold for ever, for the land is Mine,
for ye are strangers and sojourners with me."
This ideal was codified into a remarkable three-stage program for
economic justice and social harmony: the land laws of Leviticus. The 3
stages were:
- The Sabbath. Every seventh day was the Lord's day; people were
enjoined to keep it holy and refrain from work. Now, we were told in
Sunday school that this was all about going to church, but, as so
often happens, our teachers missed the deeper significance. Kids who
try to get out of, say, taking out the garbage on the Sabbath
realized that the prohibition was really against gainful work; folks
were still allowed to weed the garden and stuff. What the Sabbath
did was to force people to focus on things that had meaning beyond
striving and striving to get ahead. Indeed, if one did work on the
Sabbath, while one's neighbors did not, one could become wealthier,
at their expense -- which was why the Sabbath was a very big deal:
one of the ten commandments.
- The Sabbatical. Every seventh year, the fields were to lie fallow
-- thus recognizing the right of the earth itself to be
protected against depletion and misuse. And, in the sabbatical year,
debts were to be forgiven. A debt that could not be paid off after
six years was well on the way to becoming a usurious burden, a
guaranteed flow from the labors of one into the coffers of another.
The canceling of debts in the seventh year was designed to ensure
that nobody got too far ahead, or too far behind.
- The Jubilee. Even seven times seven years (actually, every 50th
year), each family could return to its original allotment, or
heritage, of land -- even if it had been sold in the meantime. Under
biblical law, then, land could not be sold for ever -- never for
more than a single generation.
Now it is interesting to note that the economic vision presented in the
Bible is not a precursor of communism. Two of the ten commandments
explicitly support the institution of private property. The prophets
consistently railed against landlords and rulers who robbed the people
of the fruits of their labor. The Bible's economic laws, which Jesus
said he "came not to destroy but to fulfill", envisioned a
community in which every family is secure in its own home and property,
"beneath their vine and fig tree". (Incidentally, the quote on
the American Liberty Bell, from Leviticus, chapter 25, was a direct
reference to these principles: "Proclaim liberty throughout the
land and to all the people thereof." It was a reference to the
Jubilee, and the freedom it provided was from debt and servitude.)
The division is clear: there is to be a sacred right of private
property in the things that are made by people. But people were not to
own the things that were made by God. The 7th commandment sums up both
principles in 4 words: Thou shalt not steal.
Modern society has looked away from these principles, calling them
quaint, naive, inapplicable to the complexities of our time -- yet,
modern society finds itself mired in chronic economic and social
problems for which it can find no solutions -- and which threaten to
pull down all the advances of civilization into a dark age -- occasioned
by some combination of war, financial implosion or ecological collapse.
If there is any way out of this dark future, it can only come by way of
solving the problem of land and justice. Fortunately, there exists a
plan for that: The Single Tax.
The plan takes the shape of a "fiscal reform", because it
applies a definition of the relationship between the individual and the
society that is consistent with both economic efficiency and moral law.
It calls for us to respect the right of labor to create and to save
wealth, and to acknowledge that the value of land is created not by its
"owners", but by the entire community. Therefore, we will
abolish all taxes on income, products and sales -- and collect the full
rental value of land and natural resources for public revenue.
What would happen, if we did this? Let's consider the great problems we
were discussing earlier.
Land in cities would be used efficiently. Cities need not become
over-crowded; regulation of land use would still be in their power, as
it is now. But urban blight and decay would be banished. Public
transportation, like other public services, could be provided free,
funded out of the value of locational advantages that it created.
The unnatural pressure on farm land near cities would be eliminated, as
development proceeded to "infill". There would no longer be an
incentive to haul heads of lettuce across the continent.
Production and employment would be released from the burden of taxation
that currently hobbles it. The banking system would be freed from its
unhealthy dependence on land for collateral. Combining these benefits
with the newly-efficient use of urban infrastructure, unemployment could
be cut or even eliminated, even while inflation went down!
But the best benefits of all would be in the developing world. If the
land-baron cronies and the multinationals were charged the market rental
value of the land they hold, then they would let go of most of it.
Access to good farmland would be restored, and the disastrous migration
of peasants to ill-equipped poor cities would be reversed. The resulting
vitality would bring these poor nations new sources of domestic economic
strength -- no longer would they have to grovel to maintain foreign
credit.
Despite the current flood of bad news on just about every conceivable
topic -- and although I do accept that many things in my children's
world will probably get worse before they get better -- I am optimistic
about our long-term prospects. Eventually, I believe that human society
will adopt the biblical and georgist wisdom, and organize itself as it
must, to achieve justice, efficiency and sustainability.
Eventually we will have tried everything else.
That's how Clarence Darrow -- one of the reform's many prominent
supporters -- saw things. He said this: "The 'single tax' is so
simple, so fundamental, and so easy to carry into effect that I have no
doubt that it will be about the last reform the world will ever get.
People in this world are not often logical."
True enough. Yet I have to believe that eventually the obvious truth
will start to dawn on us.
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