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Reparations

Were America to ever gather the political will to pay reparations to all who could prove themselves to be the descendant of at least one enslaved person, under our current system (some would describe it as "land monopoly capitalism," the bulk of the benefit of those reparations would fall, not to the descendants of enslaved persons, but to those who owned land or houses or rental properties around the time that those reparations were paid. Twenty years later, we'd find that it was their children whose college attendance had been increased, and their retirement portfolios which had been inflated. After 20 years, those who had received reparations would be only slightly better off than they had been before the vote to pay reparations. And those whose economic situations before reparations were fairly similar to those of the recipients (and their children), but who did not receive reparations, would be worse off, because in the years following the payments, they would have had to compete for housing with those who had more to spend, and housing costs would have been driven up significantly. The beneficiaries would be those who owned the best land, in proportion to the quality of their holdings.

Is this an argument against reparations? Not particularly. Rather, it is an argument that we first fix some of the most serious underlying problems, and then see how things sort themselves out, before making things worse for nearly everyone and enriching further the already rich! We might very well find that, with everyone starting from a position of economic justice and equality, many of the problems of poverty and racism would improve


Henry George: The Crime of Poverty  (1885 speech)
If poverty is appointed by the power which is above us all, then it is no crime; but if poverty is unnecessary, then it is a crime for which society is responsible and for which society must suffer. I hold, and I think no one who looks at the facts can fail to see, that poverty is utterly unnecessary. It is not by the decree of the Almighty, but it is because of our own injustice, our own selfishness, our own ignorance, that this scourge, worse than any pestilence, ravages our civilisation, bringing want and suffering and degradation, destroying souls as well as bodies. Look over the world, in this heyday of nineteenth century civilisation. In every civilised country under the sun you will find men and women whose condition is worse than that of the savage: men and women and little children with whom the veriest savage could not afford to exchange. Even in this new city of yours with virgin soil around you, you have had this winter to institute a relief society. Your roads have been filled with tramps, fifteen, I am told, at one time taking shelter in a round-house here. As here, so everywhere; and poverty is deepest where wealth most abounds.

What more unnatural than this? There is nothing in nature like this poverty which today curses us. We see rapine in nature; we see one species destroying another; but as a general thing animals do not feed on their own kind; and, wherever we see one kind enjoying plenty, all creatures of that kind share it. No man, I think, ever saw a herd of buffalo, of which a few were fat and the great majority lean. No man ever saw a flock of birds, of which two or three were swimming in grease and the others all skin and bone. Nor in savage life is there anything like the poverty that festers in our civilisation.

In a rude state of society there are seasons of want, seasons when people starve; but they are seasons when the earth has refused to yield her increase, when the rain has not fallen from the heavens, or when the land has been swept by some foe – not when there is plenty. And yet the peculiar characteristic of this modern poverty of ours is that it is deepest where wealth most abounds.

Why, today, while over the civilised world there is so much distress, so much want, what is the cry that goes up? What is the current explanation of the hard times? Overproduction! There are so many clothes that men must go ragged, so much coal that in the bitter winters people have to shiver, such over-filled granaries that people actually die by starvation! Want due to over-production! Was a greater absurdity ever uttered? How can there be over-production till all have enough? It is not over-production; it is unjust distribution.  ...

We talk about over-production. How can there be such a thing as over-production while people want? All these things that are said to be over-produced are desired by many people. Why do they not get them? They do not get them because they have not the means to buy them; not that they do not want them. Why have not they the means to buy them? They earn too little. When the great masses of men have to work for an average of $1.40 a day, it is no wonder that great quantities of goods cannot be sold.

Now why is it that men have to work for such low wages? Because if they were to demand higher wages there are plenty of unemployed men ready to step into their places. It is this mass of unemployed men who compel that fierce competition that drives wages down to the point of bare subsistence. Why is it that there are men who cannot get employment? Did you ever think what a strange thing it is that men cannot find employment? Adam had no difficulty in finding employment; neither had Robinson Crusoe; the finding of employment was the last thing that troubled them.

If men cannot find an employer, why cannot they employ themselves? Simply because they are shut out from the element on which human labour can alone be exerted. Men are compelled to compete with each other for the wages of an employer, because they have been robbed of the natural opportunities of employing themselves; because they cannot find a piece of God's world on which to work without paving some other human creature for the privilege. ...

In the Old Testament we are told that when the Israelites journeyed through the desert, they were hungered, and that God sent manna down out of the heavens. There was enough for all of them, and they all took it and were relieved. But supposing that desert had been held as private property, as the soil of Great Britain is held, as the soil even of our new States is being held; suppose that one of the Israelites had a square mile, and another one had twenty square miles, and another one had a hundred square miles, and the great majority of the Israelites did not have enough to set the soles of their feet upon, which they could call their own — what would become of the manna? What good would it have done to the majority? Not a whit. Though God had sent down manna enough for all, that manna would have been the property of the landholders; they would have employed some of the others perhaps, to gather it up into heaps for them, and would have sold it to their hungry brethren. Consider it; this purchase and sale of manna might have gone on until the majority of Israelites had given all they had, even to the clothes off their backs. What then? Then they would not have had anything left to buy manna with, and the consequences would have been that while they went hungry the manna would have lain in great heaps, and the landowners would have been complaining of the over-production of manna. There would have been a great harvest of manna and hungry people, just precisely the phenomenon that we see today. ...

Now go into the cities and what do you see! Why, you see even a lower depth of poverty; aye, if I would point out the worst of the evils of land monopoly I would not take you to Connemara; I would not take you to Skye or Kintire — I would take you to Dublin or Glasgow or London. There is something worse than physical deprivation, something worse than starvation; and that is the degradation of the mind, the death of the soul. That is what you will find in those cities.

Now, what is the cause of that? Why, it is plainly to be seen; the people driven off the land in the country are driven into the slums of the cities. For every man that is driven off the land the demand for the produce of the workmen of the cities is lessened; and the man himself with his wife and children, is forced among those workmen to compete upon any terms for a bare living and force wages down. Get work he must or starve — get work he must or do that which those people, so long as they maintain their manly feelings, dread more than death, go to the alms-houses. That is the reason, here as in Great Britain, that the cities are overcrowded. Open the land that is locked up, that is held by dogs in the manger, who will not use it themselves and will not allow anybody else to use it, and you would see no more of tramps and hear no more of over-production. ... read the whole speech

Winston Churchill: The People's Land 

Every form of enterprise only undertaken after the land monopolist has skimmed the cream off for himself   It does not matter where you look or what examples you select, you will see that every form of enterprise, every step in material progress, is only undertaken after the land monopolist has skimmed the cream off for himself, and everywhere today the man or the public body who wishes to put land to its highest use is forced to pay a preliminary fine in land values to the man who is putting it to an inferior use, and in some cases to no use at all. All comes back to the land value, and its owner for the time being is able to levy his toll upon all other forms of wealth and upon every form of industry. A portion, in some cases the whole, of every benefit which is laboriously acquired by the community is represented in the land value, and finds its way automatically into the landlord's pocket. If there is a rise in wages, rents are able to move forward, because the workers can afford to pay a little more. If the opening of a new railway or a new tramway or the institution of an improved service of workmen's trains or a lowering of fares or a new invention or any other public convenience affords a benefit to the workers in any particular district, it becomes easier for them to live, and therefore the landlord and the ground landlord, one on top of the other, are able to charge them more for the privilege of living there. ... Read the whole piece


Nic Tideman:  A Bill of Economic Rights and Obligations
...  While the bill of economic rights and obligations does not address the issue explicitly, it should be understood that people have a right to redress for past injustice, no matter how far back in the past. If some persons have inferior starting positions because they are the descendants of slaves who, because of that status, were unable to provide what others provided to their children, then there should be a levy on the property of the descendants of slave-owners to rectify that injustice.

In fulfilling its obligation to ensure that future generations had opportunities at least as great as those of the present generation, people would want to take account of:

1. The amount of land per capita, adjusted for the quality of land;
2. The level of technology that will be available;
3. The education and any initial wealth that is provided to all children;
4. The level of public infrastructure;
5. The level of public debt;
6. Environmental quality;
7. The price of depletable natural resources.

Decreases in some items could be offset by increases in others. If people wanted to have more children than could be provided with opportunities equal to those of the present generation, Congress and state legislatures would have an obligation to tax those who wanted to have children, so that people would have fewer children, and so that all children could be provided with an initial endowment upon attaining maturity, to compensate for reductions in other items on the list.  Read the entire article

 

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