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[Reprinted from Land &
Liberty, Winter 1996] |
TWO THINGS are on my mind both of which converge into one
conclusion.
First: we who see merit in the so-called Georgist concept have a
critical need to get ourselves "into the public dialogue".
Second: there is open to us right now a logical new door through which
to enter.
A relatively new "non-profit public-policy organisation" is
at work these days in San Francisco (where Progress and Poverty was
written) on a new economic measure to replace the American GDP.
They call it the GPI -- for Genuine Progress Indicator.
Three of its key people have written a piece called 'If the GDP Is
Up, Why Is America Down?' which appears in the October 1995 issue of
the Atlantic Monthly.
Its 11,000 words are comprehensive, covering the history of the
GDP/GNP, the practical application of it to today's perplexing
economy, and the growing confrontation between economists who insist
that it shows that things are just great these days and the public
which knows better.
After an exhaustive (but far from exhausting) presentation of the
idea, the authors get round to the tax implications of their proposal.
Here is the effect they believe it would have in that key area: "To
put it simply, the nation would cut -- or if possible eliminate -
taxes on work and enterprise and replace them with increased taxes on
the use of natural resources."
Where have we heard that before?
As a political activist these days (or, if you insist an active
politician), I am convinced the Georgist concept is rising to the
surface right now. We are winning. The ideas are steadily emerging,
not so much out of our efforts as out of the bubbling historical
cauldron, spontaneously.
Free Trade, Free Enterprise Zones, planning and zoning laws based on
the fact the earth is ours. And, of course, liberty and freedom which
are the root of it all.
OUR TROUBLE is simply that people still refuse to see the value of
putting a tax on land values or settling for a single tax, or
recognising quite yet that land and the products of labour and
industry are different.
But all that will come, because it has to come, and we need only to
be: first, patient; and second, social (which is to say, in the public
dialogue).
The related concepts of a 'flat tax' and an 'end to the Internal
Revenue Service' are both legitimate, viable ideas in the rapidly
developing political mix these days. They aren't exactly what we want:
they are only part-way measures. But they are both logical for a
society that is heading in the right direction.
I said in my paper to the International Union for Land Value Taxation
at Roskilde in July that the log-jam we face as social reformers is
the fact that all too few people see that there are two kinds of "property"
and therefore two bundles of "property rights."
Redefining Progress is already seeing the dichotomy in, for instance,
"the so-called 'takings' bills, which would require taxpayers to
compensate property owners for restrictions on the use of their
property." I touched on that key distinction in my paper at
Roskilde, which faced up directly to the well-chosen theme of that
conference.
It is a distinction which, as the authors of the Atlantic Monthly
piece realize, came into sharper focus when the Walt Disney company
proposed a new theme park near the Civil War battlefield in Manassas,
Virginia.
"[Pat] Buchanan and numerous other tradition-minded
conservationists joined environmentalists in blasting the proposal,"
they remind us.
It is not far from there to a realization that the word "property"
is too complicated to be used without a qualifier: property in land,
or property in wealth?
The challenge for Georgist politicians these days is not to win back
for Henry George the honour he deserves, but to recognize how steadily
his realizations are coming to the forefront of public awareness,
albeit bit by bit and piece by piece. But there is both consistency
and continuity to the process.
It is happening right now, all along.
"The GPI has been several years in the making;" the authors
say, "and we will continue to refine it. But already it appears
to have touched a nerve in the economics profession and beyond."
The twinned motivations for this piece come together right here. We
need to be in the public dialogue, not the fusty dialogue of single
tax quibbling, and, if so, the nerve that appears to have been touched
will send us signals.
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